AGENDA MEMORANDUM

 

 

Meeting Date:           May 10, 2010

 

From:                          Paul Kalv, Electric Director

 

Subject:                      Resolution Authorizing Agreement with PowerSecure to provide Annual Maintenance and 5-Year Extended Warranty for eight previously installed Interactive Distributed Generation Switchgears

 

 

Staff Recommendation:

Staff recommends approval of the proposed Agreement with PowerSecure to perform annual switchgear maintenance and five year extended warranty for 8 previously installed switchgear locations.

 

Analysis:

This Distributed Generation project is performing as anticipated and is playing a significant role in the Department’s objective of reducing the wholesale power supply costs by reducing the Demand billing determinant during the monthly Coincident Peak hour.  During the three months the generators have been available for service and deployed (January – March 2010), the distributed generation has reduced Leesburg’s power supply bill by more than $200,000.

 

To maintain operational readiness for both an automated emergency generator role as well as the distributed generation benefit it provides, staff recommends that Power Secure be contracted to perform the recommended semi-annual inspection and maintenance activities.

 

Similarly, because of the high reliance Leesburg has placed on these resources and to mitigate the high cost of repair in the event of a major malfunction, staff recommends Leesburg purchase the 5-Year  Extended Warranty.

 

Options:

1.  Approve the Agreement with PowerSecure; or

2.  Such alternative action as the Commission may deem appropriate

 

Fiscal Impact:

The annual maintenance agreement will cost $23,000.00 and the 5-year exended warranty will cost $70,000.00 for the 8 generators.  Although costs were not specifically budgeted funds are available in the Reserve for Future Use account of $1,259,266.50. Use of these funds will require a budget adjustment.

 

 

 

Submission Date and Time:    5/10/2010 5:04 PM____

 

Department: ______________________

Prepared by:  ______________________                     

Attachments:         Yes____   No ______

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. ______JB__________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _041-1062-531-3410___

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH POWERSECURE FOR ANNUAL MAINTENANCE AND 5 YEAR EXTEDED WARRANTY FOR EIGHT PREVIOUSLY INSTALLED EMERGENCY GENERATOR SWITCHGEARS; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement with POWERSECURE whose address is 1609 Heritage Commerce Ct., Wake Forest, NC 27587 for the installation of new switchgear, an annual maintenance agreement and a 5-Year Extended Warranty.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 10th day of May 2010.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________

City Clerk