1990-1182516L-7/1589
ORDINANCE NO. ~d
AN ORDINANCE PROVIDING FOR THE EXPENDITURE OF FUNDS FOR EMERGENCY
PURCHASES OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES IN
ACCORDANCE WITH THE PROVISIONS OF STATE LAW EXEMPTING SUCH
PURCHASES FROM REQUIREMENTS OF COMPETITIVE BIDS; AND PROVIDING FOR
AN EFFECTIVE DATE.
WHEREAS, state law and ordinance require that certain
contracts requiring an expenditure or payment by the City in an
amount exceeding $10,000 be by competitive bids, except in the
case of public calamity where it becomes necessary to act at once
to appropriate money to relieve the necessity of the citizens, or
to preserve the property of the city, or it is necessary to
protect the public health of the citizens of the city, or in case
of unforeseen damage to public property, machinery or equipment;
NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the City Council hereby determines that there
is a public calamity that makes it necessary to act at once to
appropriate money to relieve the necessity of the citizens, or to
preserve the property of the city, or to protect the public health
of the citizens of the city, or to provide for unforseen damage to
public property, machinery or equipment, and by reason thereof,
the following emergency purchases of materials, equipment,
supplies or services, as described in the "Purchase Orders"
attached hereto, are hereby approved:
PURCHASE
ORDER NUMBER VENDOR AMOUNT
98813 Eastern Electric $98,740.00
SECTION II. That because of such emergency, the City Manager
or designated employee is hereby authorized to purchase the
materials, equipment, supplies or services as described in the
attached Purchase orders and to make payment therefore in the
amounts therein stated, such emergency purchases being in
accordance with the provisions of state law exempting such
purchases by the City from the requirements of competitive bids.
SECTION III. That this ordinance shall become effective
immediately upon its passage and approval.
PASSED AND APPROVED this the ~ day of , 1990.
BOB CASTLEBERRY, MA R
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
APPROVED A TO LEGAL FORM:
DEBRA A. DRAYOVITCH, CITY ATTORNEY
BY: 'L ~~71 ~
PAGE TWO
DATE: August 21,1990
CITY COUNCIL REPORT
TO: Mayor and Members of the City Council
FROM: Lloyd V. Harrell, City Manager
SUBJECT: PURCHASE ORDER #98813 - EASTERN ELECTRIC APPARATUS
REPAIR CO. INC. - $98,740.00
RECOMMENDATION: We recommend this purchase order in the amount of
$98,740.00, to Eastern Electric be approved.
SUMMARY: Purchase Order #98813, is for the emergency repair of an
Allis-Chalmers Oil filled Transformer. This unit is a 69000
Delta to 13200 wye unit in the Hickory Street substation. The
price includes unloading repairing testing and reloading of the
25 year old transformer. (See Eastern quote attached). Delivery
is expected to be 16-18 weeks.
A new unit this size would cost approximately $425,000 dollars and
delivery is in excess of one year.
BACKGROUND: Purchase Order 98813, Eastern Quote #NFWR9668,
Memorandum date August 9,1990, from Ernie Tullos.
PROGRAMS, DEPARTMENT OR GROUPS AFFECTED: Electric Distributionj
Electric Utility Customers.
FISCAL IMPACT: Funds for this emergency repair will be from the
Electric Meter & Substation Maintenance.
Account # 610-080-0255-8332.
Prepared by:
Name: Tom D. Shaw, C.P.M.
Title: Purchasing Agent
Respectfully submitted:
L1 d V. Harrell
City Manager
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2475 EAST 1QMG AIBYUE
r ARWAM FVHr VMTH, MM 70104M
r j x (817) 0-My
August 81 1990
City of Denton
1701 A Spencer Road
Denton, Texas 76205
Attention: Ray Wells
Subject: Request for quotation on repairing Allis-Chalmers
Oil filled transformer - 69000 Delta to
13200 WYE, 12-16-20 MVA
Reference: My Nepotation No.I$NFWR 9668
Gentlemen:
We are pleased to offer our proposal for the repair
of subject transformer.
WORK SCOPE:
1. Unload unit from customers transportation, perform
preliminary teats and inspections.
2. Unload separately :shipped bushing and .inspect.
3. Disconnect any side bushings, remove cover and untank.
4. Joint inspection of transformer damage.
5. Photonrapho of unit as found after untanking.
6. Remove }lead frame and ouperuLructure; unstaek top
core iron; remove coils for complete inspection.
Review and advise of damage and take photographs.
7. Clean and monger core, review and evaluate core
damage, if any is found. Repairs would be priced
as additional for customer's approval.
6. Perform computer analysis of existing design and
comparo to present standards required for improvins¢
short: circuit withstand capabilities. Donif3n changes
will be submitted for customer review.
City of Denton
it l.tu~
Page Two
9. All transformer designs will also be computer analyzed
for impluse voltage distribution to verify that the
original design will moot present day standards. This
analysis gives the customer the opportunity to indontif y
original design deficiencies with our recommendations
for upgradeina.
10. All appropriate material associated with redesigned coils
and redesignod bracing will be new.
11. Wa will prnvi.de loss reduction options after performing _
our redesign engineering analysis. These options will be
priced ae additional and submitted for your approval prior
to proceeding.
12. Complete minor inspection of load tap changing equipment
to include-
a. Draining, opening and flushing with the oil
tap changer compartment.
b. Visual examination of moving and fixed mechical
c>arta, such as shaft meals, bevel gears, stationary
and moving contacts, etc.
C. Tightness check on bolts, locking keys, pins, etc;.
d. Mechanical operation with the use of the hand crank
through all portions to check for binding.
o. Furnish and install now tap changer door moskets
as needed.
13. Inspect all gauges and accessories for proper operation,
inspect and clean bushinsts and all C.T.'s within the tank
and all other auxiliary windings within the tank will be
throughly flushed, cleaned, dried and tested. For LTC
transformers, this will include the :series tr•aneforater and
the preventive auto transformer.
14. Rewind all low voltage, regulating voltage & high voltage
coils.
City of Denton Page Three
15. Hydraulic leveling and dry leveling of all Coils to equal
height of radial spacer columns.
16. Process all coils through drying oven while maintaining
axial pressure on the coils. Thin process removes moisture
and further sizes the coila to designed dimensions.
17. Final sizing pressure applied and held until coils are
loaded on the core.
18. Reprocess core and coil assembly with trot oil spray
under vacuum in it's own tank.
19. Furnish and install new gaskets as needed for main tank.
2U. The follnwing testa will be porformod in accordance with
the lastest revision of ANSI standard tests code CS?.12.90:
a. Resistance measurements of all winding.
b. Ratio tests on rated voltage connection and
on all tap connections.
c. Polarity and phase-relation test on the rated
voltage connections.
d. No load loss at rated voltage on the rated
voltage connection.
e. Exciting current at rated volatge on the rated
voltage connection.
f. Applied potential toots at 100% rated test
voltage.
g. Induced potential tests for 7200 cycles at
1009E rated test volatge.
h. Insulation powor factor tests.
i. Insulation resistance toots (megpor) on each
windinx and core.
21. One coat of ANSI No. 70 gray paint will be applied
22. Preparation and loading of the subject unit from
our facility.
23. Transformer will be shipped pressurized in dry air.
24. Transportation & new oil is not included in our base
price.
City of Denton
~<<a
page Four
In line with currant government regulations regarding oil
filled transformers and possible PCB contamination "All
mineral oil filled transformers are presumed to be PCB
contaminated unless tests or other information prove
otherwise". All units being sent for repair must have the
oiul tested to determine possible PCB contamination levels-
Both the main tank and auxiliary compartments, such as LTC
compartments, must be cheoked separately. Test results
must precede the arrival of the transformer. Our proposal is
based on a Non-PCB transformer.
Our price for the rewind/redesign per our above
work scope 1 thru Z4.... .........................$98,740.00
DelivorY ..........................18 - 18 weeks
This offer is subject to the terms and conditions above and
included herein. Notice of objection to any other terms and
conditions is hereby given.
Thank you for this opportunity to be of service.
Very truly Yours,
Mr Christman
S r ice Center Manager
MFC/ mp
,
Terms and Conditions of Sale.
'rice Reference-All Prices are Negotiated.
Eesturt Eioonic Aonaratkil Repair Compdity, Ins, (the 'Company") hurobf,
;Ivnv nonce of its objectinn t0 ally diftemnt or addrllonai terlrls end cnnditWrd
xrept fill any such tifrrns and umditiu^s as imiy fns exprell0v accepted by
1 ,n wr;itny
urrest rl,ifo,VM u, addmo of trrini and romdi'rnns are stated or frferrrod
o 111 the proposal, tit whiers event such diffamnt or Additional terms end
:ondc,oils shall Ur exduswa ac to the outlicular subject rovered. the corms
and conditlo,ts stated below, apply. and such tmml, and condrt;ors supersede
,ny prmf of comornprAnvous Agnitnnents or rorrffspondence betwom, the
larlio.
Quotations,
Each qutitAtion is val,n for '40 days hunt iri calls unless otherwise stated
if, site quotelian,
Price Policy
Pelcos quoted Art, firm for nirety days from the date of order, if shipment
of tepoired egwpment 0r cumitlenon of service extends beyond 90 days Isom
the note of order, the imces will he adjutt.vd to those in effect of the time of
such shipment or completion: however, Increases will not exceed 116 of the
unnafd bilamt Per month from y,e data of tho order.
Reptaeing or recunilAtOf mg of insulabnp oil it i Ordetl with any setviee•
perfnrmed. Oil handling aril storing is the w1ponvbillIV of the purChasvl,
Taxes
'rho once dope riot uir,Wdr. any federal, stat0, or local property, licanse,
privilege, sail. use, excise, ynnts receipts, value dulled, or 011101 like taxes
which may mew of hercofler be Apnlicabia to, nwowrwl try, nr imfllIkAd upon,
ur with resipecr to lice tfaniaction, the pieparty, its 0Ie, its value, ill its use.,
of any services rretformed In Gm1nfIctlur' thuflMkth. JuCII (axes aft for the
account or the purchases and Gtr purchaser a(prl to pay of re:mborse the
Company For any such taxes which the Cornoanv or :is runtrartore or suppliers
are rpgv,ra(f to flay.
Terms of Payment
Paymfrtt is due ution ref:rrbt of i•ivoieC
Delayed Payments
11 payment ON not nrirle in „r.enrdance with those terms, a servieft ehalgr,
will, Wittfavt Dreiudlee to the rlntit of the Company tit imulydiatc payment.
be arbevd to the arcnunT of till, Isurcheser in 'it% amount Crfnol to the lower
of 1 112% par munch « ifacoon 14ereOf or the highest legal rate on ate unpaid
nelan(Y:.
Payments
The Company shall ha.r the right let refliflie full eft partiol nayfnrnt in
aliva.'rce At Any finite, it, in its oriinswr, ll'te financial condition of the purChadar
does not justify the i9ritm of payment specifiro
Should the pwc.Phter he adlvllged bankrupt or -:lsolven' to any legal
proceed,ng. -tie Company shill have the fight, at its pimtlon and throughout
the porrfud allowed in such otoceadtnq for filing claims against the purchtser's
rswiv. to r..ncul um order and to recover its proper concellafibn charges from
the pill chanter's at late.
If work is delayed by file purchaser, the Compeny may rrnluire pa'/"sent
for all motarrole accumulated Alto work performed under tiff order,
Defivery-Risk of Lola
All oanspoftasion 1`0613 ai:dl fie 1111 rho occount of the purrhaser and shall
he added to the Invoim.
Risk of loss nn damage during trantlt !o and huts: the Company's tattnry
or 'epair f aeility %hall rvnein with the Purchaser,
purchafer shall also have risk of loss of diunage its any reused materiel
and components which fail during any tests made by the (Company, Any
adddmna; relasin resulting from such loss or damage sisal be for the =twist
of the nurehmer. Unless otherwise agreed in writing bistineen the pa,dnt, all
test +:+luat N11411 be determined by the Comfseny.
Shipping Dataa
Shipping ond/dr currinleiimrt dat,•i are approximate abet are based on
prenpt rovint Of all norassary mtoefna6on oud apsxoyals little the purrhasrt.
Unless the DurChASOr ttipulatof nn its purchase oedot mat an eat rice Ahioment
se -lot Pmm ssiole, the Cornbany reserves the :ighl to ship pdnr to this eontrr(;t
si)toprml date.
Force Majeure
The Cumoarty shalt not be liable for fadufe to lonform n: for delay fit
p,,,formatu:e duo to fire, floors, strike or other Iahar oftfleuity, Ace of Gkid, act
of any governmental AuthiNfty or tit the purchase,, riot, anihar(lo, fuel or enar)y
shortage. car shortage. faulty coitinns of torgalg%, wrecks of dWny ir•
u'anmPortatlon, Inability to nbgir, rimmarv labor. materiels, or mAnufamilrsg
facilities tram ufuai scwoc , or due to Any cause bm;Ono its roosonaole
canh ol.
In file event of delay i,, nrrfosmonet, duu to any such cause, file date t(
dei;very o• time lu% eonspi Wor will be extpndoos 11y a potion of time reasonable
necessary Ul nverconla 711;; .),fact of tlmh o0ey.
Warranty
the Company warrants that the work rlrrformod hereunder shaft be lies
of dafeCto in.workmarrshio and material. Should any failure to confofm to thfS
warranty appear within a pat lod of one (1) year otter shipment of the raltened
Of revamped equipment by the Company for, In the rasa cif equipment
ronaited nr revtimpefi on purchaser's premises, after the Company nag
notified nurchasar that the same Is ready for commorcfal operation), the
Company %hall, upon prompt written noutfcation thereof and suhstantrAtion
that the vquspmwit has been storaa, installed, isparstoo and malwaini(1 in
accordance with any Company instructions and stwsdard industry practle:a,
correct such nonconformity by repairing, nr at its option, replacing any
defective work, F O.R. itl. factory of repair facility.
Ira no event shall the Cornpeny be sespunsible for providing vcakmu accvil
a) the defect, irr.ludinq the removal, disassrnsbly, ieplorrrnont of reinstallation
of any equfomonr, rr+aleriah or structurtis to the extent necessary to permit
file Com pArly to oariarl, its warranty obligations, Or transpurt4ror, costs to
and front the Company factory or repair facility. The r,unditiont of any tests
shall be. mutually agieed anon and the Company shell be notified of and may
be.. present at all tests that may be made,
All warranty work shall be performed on a single shift straight time titsis
Monday through Fr;tlay, In the event that thil prudhirt reuutres refection of
warranty ilems ofs on ovet rinse schedule, the pf enstum portion of suds overtime
shall he fist the pumflose'•e account.
THE WARRANTILS SET FORTII IN THIS PROVISION ARE EXCI USIVC
AND IN LIEU OF ALL OTHER WARRANTIES WHETHER STATUTORY,
FXPRESS OR IMPLIED ONUUDING ALL WARRANTIES Or
MERCHANTABILt'rY AND FITNESS FOR PARTICULAR PURPOSE AND
ALL WARRANTIES ARI$IN(; FROM COURSE OF DEALING OR USAGE OF
TRADE). The nsmedim provided above are the purchaser's sofa remedies
for any failtre of trip Company to comply w'fth its obligations. Corrosion of
airy nois-mntwmity in Tire manner and for the Period of time provided above
111411 cnffst(tum complete hdfillmoof of ail the habdities of the Company
whether the claims of the Purchaser are based in contract, in tort (Including
negligence) or otherwise wipe respect to or anSing out Of the work infrformed
hereunder.
In nu evert thall the Company he responsible for removing, handling,
storing, treat;ng or replacing insulating oil,
Liability
The Company, its runr.:ctas and Auppliees of any tier, shall not be liable
to rontiact, in tort lincluding negligeneei or otherwise for damage or loss kit
other propelty of equipment, loss of prPfhs at revenue, loss o1 use if
saogmlonl nr power system, cast of cnpisal, cost of purchased or roplacemont
Power or tempurAry erWfrmanl finiti t(ing additional expenses incurred it
us:nq exienng facilities), claims of customers of the purchaltu, of for any
special, ;nflifect, Incidental, or comenuantul darrf/ges whatsoever.
The rentsdies of file purchaser oar forth herein are excwsivo end the liability
of this ContpAny with respect to any contract, or anything done In connection
thetgw'ip+ such as the perivimance or breach thereof, tit from the manufacture.
gait, deavvey rar•rip, ittitallatiohs or technirnl direction of installarion,
rnamtpnencr, of techcarcal direction of mamlenence, rehab or u%u of cry
equipment crivored try of furs'l6hed tinder the contract, wfxrther in contract,
in tort (including negligence) or otherwise. shell nor exceed the price set forth
hpre,si for the, wrA,
Indemnification
Purchaser shell indemnify and save the Company harndess too any claims,
liabilities and damages indrxling, cwt not limited ro, the eost of compliance
with govcrmltental Orden and injunction$ a+xi clainhs of third parties far Physical
darnage to propoety and Personal injury, including death, occurring dunng the
performance of the work hereunder and in Connection with the disposal,
traneportatinn Anti handlitlit of maferiaf and/or components eaturno.d to or
Reroute to purchases ("Cinim6"I, except as to Claims resulting dirvctly •.ill
Tololy from the rtletligence of the Company, subject to the provision above
entilwd L;obihty.
The Company shall, with impact to sdrh work, comply with the orovnions
of the Applicable Workmen's (Worken') Compensation Art.
Termination
Any order o, contract may be terminated by Ilia purchase( only on written
notice to the: Cnmpuny ands coon ja+vu,vul of rrasonabfo and iunflor _
w•minafion char)
Minimum Billing
The minimum billing for any service fn:rformed on a single order will M` $50.
Scrap materials
All WtIlP mateflAK bseome the fr OSAM of the Company,
Containers;
An exists Charlie wi;l tar made her rots.nlable Containers end stsK:tal ifupprr;g
dev,ces, but refund will be made if returned in !toad condition to the tactofy
of niter point t4rtignatwl by the Company within 90 days from data of original
shipment, ctlosges oloPavt.
.y
MEMORANDUM
TO:
Lloyd
Harrell,
City Manager
THRU:
R. E.
Nelson,
Executive Director of Utilities
FROM:
Ernie
Tullos,
Director of Electric Utilities
DATE: August 9, 1990
SUBJECT: HICKORY SUBSTATION TRANSFORMER FAILURE
On Monday, August 6, at 2:05 p.m., the Substation #2 transformer
experienced an internal fault and was disconnected by
differential relaying from the 69KV source and 13.2 KV main
feeders.
There was no interruption of service to our customers since we
were operating with both transformers in parallel.
The load on the station was reduced by transferring all, or
portions of the 13.2 KV feeders to adjacent substations.
Measurements were made of the internal windings of the failed
transformer, and it was determined that it would require
rewinding.
The failed transformer was manufactured in 1965 and is a 12/16/20
MVA unit with load tap changing for automatic voltage regulation.
It weighed 90,000 pounds with oil, and 60,000 pounds after
approximately 4,000 gallons of oil was removed for shipment.
Quotations were obtained from three bidders to rewind the unit as
follows:
1. Low Bid: Eastern Electric $ 98,740.00
Ft. Worth, Tx
2. Southwest Electric $103,041.00
Oklahoma City, Ok
3. Magnetek Ohio Transformer $108,000.00
Bradenton, Fla.
Page 2
Hickory sub
we accepted the low quote of the Ft. Worth, Texas company, and
shipped the transformer Wednesday afternoon. They now have the
unit to begin repair.
we did consider junking the unit due to its age (25 years), but a
new transformer would cost approximately $300,000 and would
require one year lead time. We decided that we could not operate
reliably since our only spare would be in service. When the unit
is disassembled, the shop may find that additional work/parts may
need to be replaced especially in the automatic tap changing
section. We expect to have the unit returned for reinstallation
in about 18 weeks.
We have processed a budget transfer in the amount of $130,000 to
cover all the expected cost, and have notified our insurance
carrier of the loss.
We have installed a spare unit that was purchased some five (5)
years ago expressly for this eventuality. It is a 28 MVA unit
compared to the 20 MVA faulted unit, and should be carrying load
with everything back to normal by Monday, August 13, 1990.
EBT:tn
08090116