Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Christine Taylor
DATE: July 15, 2025
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
ratifying the expenditure of funds by the City Manager for the emergency purchase and installation of a
replacement 2500kva transformer for the Lake Lewisville Water Treatment Plant; and providing an
effective date (File 8861 – awarded to Shermco Industries, Inc., in the not-to-exceed amount of
$147,500.00). The Public Utilities Board recommends approval (5 - 0).
STRATEGIC ALIGNMENT
This action supports Key Focus Area: Enhance Infrastructure and Mobility.
INFORMATION/BACKGROUND
One of two utility power transformers that supply power to the Lake Lewisville Water Treatment Plant has
failed and cannot be repaired. The average life cycle for this type of transformer is 20 to 30 years. The
transformer in question was installed in 1993 and is now beyond its expected service life.
This transformer provides critical power to the high-service pumps that deliver treated drinking water to
the City’s distribution system. During the failure, the redundant onsite utility transformer (manufactured in
2012) was utilized to power the entire high-service pump station.
Operating the high-service pump station with only one transformer places unnecessary stress on the
electrical system. If the remaining transformer were to fail, the plant would be unable to supply water to the
city. The redundant utility transformer is designed to share and balance the electrical load under normal
operating conditions, not to handle the full electrical load for extended periods.
Under current market conditions, utility transformers of this type can have lead times of up to three years.
Staff was able to source the correct replacement transformer locally. Installation, commissioning, and return
to normal operations were completed on June 26, 2025.
Project Description Estimated Expenditures
Installation of 2500kva Transformer $147,500.00
1 Year Service Warranty Included
Removal of old transformer and oil Included
Installation of Infrared viewing windows Included
Total $147,500.00
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On June 23, 2025, the Public Utilities Board (PUB) recommended this item to the City Council for
consideration.
RECOMMENDATION
Staff recommends ratifying the emergency purchase and installation of a replacement 2500kva transformer
for the Lake Lewisville Water Treatment Plant, in the estimated expenditure amount of $147,500.
PRINCIPAL PLACE OF BUSINESS
Shermco Industries, Inc.
Irving, TX
ESTIMATED SCHEDULE OF PROJECT
Delivery and installation are estimated to occur on June 25, 2025.
FISCAL INFORMATION
These services will be funded from LLWTP DOE Transformers account 630559517.1360.40100. Purchase
Order #211157 has been entered into the Purchasing software system in the amount of $147,500. The
budgeted amount for this item is $147,500.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Quote
Exhibit 3: Ordinance
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: John Dillard, 940-349-7628.
Legal point of contact: Marcella Lunn at 940-349-8333.