Title
Salt River Project Construction and Service Agreements for Deer Valley Water Treatment Plant Cortez Substation (Ordinance S-48303) - Amendment (Ordinance S-48980)
Description
Request Council to amend the not-to-exceed value of Ordinance S-48303, from $600,000 to $660,000 due to equipment cost escalation. Further request to authorize the City Controller to disburse all funds related to this item.
Report
Summary
The City Manager, or his designee, has been authorized by the Phoenix City Council to enter into contracts with the Salt River Project (SRP) to upgrade protective electrical equipment for the Cortez Substation at the Deer Valley Water Treatment Plant. These upgrades will replace transformer protection devices that have reached the end of their useful lifecycle. The replacement of these devices will ensure facility and personnel safety and help ensure continuous operation of this water treatment plant. The original authorization occurred on Feb. 2, 2022, for the agreement to not exceed $600,000.00. Subsequent to that authorization, equipment price escalation occurred and has increased the new proposal estimate to $660,000. This request is for Council to increase the not-to-exceed amount by $60,000 for a total of $660,000.
Contract Term
The contract term remains unchanged. The contract term is for four years starting on or about Feb. 2, 2022.
Financial Impact
Upon approval of $60,000 in additional funds, the revised amount for the service agreements will not exceed $660,000. Funds are available in the Water Services Department's Capital Improvement Program budget.
Concurrence/Previous Council Action
City Council originally approved the SRP agreements for Deer Valley Water Treatment Plant Cortez Substation (Ordinance S-48303) on Feb. 2, 2022.
Location
Deer Valley Water Treatment Plant
Council District: 1
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Water Services Department.