Title
Compressed Natural Gas Compressor Decommissioning - Contract Recommendation (Ordinance S-45603)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Zeit Energy, LLC to provide decommissioning and removal of out-of-service compressed natural gas (CNG) compressors from various City locations. This contract will have a total aggregate value of $45,000. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
The Public Works Department is responsible for maintaining the fuel sites at various City locations. These sites provide fuel for City fleet vehicles and equipment. Six of the fuel sites have CNG compressors that are no longer being used due to insufficient demand for CNG at these locations and extensive repairs required to maintain the compressors. This contract allows these CNG compressors to be decommissioned and removed from City property.
Procurement Information
Invitation for Bid (IFB) 19-FSD-050 was conducted in accordance with Administrative Regulation 3.10. The Public Works Department received two bids. There were two groups to be awarded and both groups had successful bids with Zeit Energy, LLC being recommended as the lowest priced, responsive and responsible offeror. Attachment A shows the bid summary of offers submitted for both groups.
Contract Term
This contract will begin on or about June 1, 2019, with an initial one year term and four option years in increments of up to one year, with a total contract option term of five years.
Financial Impact
This contract will have a total aggregate amount not to exceed $45,000 over the life of the contract. Funds are available in the Public Works Department's budget.
Location
South Mountain Police Precinct, 400 W. Southern Ave.
Southern Command Police Precinct, 3443 S. Central Ave.
Maryvale Police Precinct, 6180 W. Encanto Blvd.
Desert Horizon Police Precinct, 16030 N. 56th St.
Central City Police Precinct, 1902 S. 16th St.
52nd Street Water Distribution Yard, 5204 E. Thomas Rd.
Council Districts: 2, 6, 7 and 8
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.