12-16-11 BPU RPT 07 - Laserfiche WebLink

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WATER ENERGY LIFE I.To RIVERSIDE PUBLIC UTILITIES hiim &9& Board Memorandum PUBLIC UTILITIES BOARD OF PUBLIC UTILITIES DATE: December 16, 2011 ITEM NO: 7 SUBJECT: SECURITY BARRIER AND PROPERTY IMPROVEMENTS FOR MOUNTAIN VIEW SUBSTATION ISSUE: That the Board of Public Utilities consider approval of a contract for construction of masonry block walls, security fencing, manual and automatic roller gates and irrigation/landscape improvements at the Mountain View Substation. RECOMMENDATIONS: That the Board of Public Utilities: 1. Declare that the bid submitted by MetroCell Construction, Inc. is non-responsive; and 2. Approve the award of a contract in the amount of $442,450, to L.H. Engineering Co., Inc. of Anaheim, California. BACKGROUND: Over the past several years, Riverside Public Utilities (RPU) has experienced a number of intrusions to its facilities, including theft and damage to electric facilities and equipment. These security breaches have cost the Department hundreds of thousands of dollars and increased safety hazards. The perpetrators are predominantly removing the grounding copper wire, which subsequently creates a dangerous working environment. This causes a significant impact to the reliability of the energy delivery system, impacts the safety of RPU crews and increases maintenance costs. Further, the reliability standards promulgated by the Westem Electric Coordinating Council (WECC) and the North American Reliability Corporations (NERC) require RPU to increase security to sensitive facilities. To meet current security standards for RPU and to meet future requirements of WECC and NERC, staff is proposing to initiate the first phase of its security upgrade measures. On June 5, 2009, Work Order No. 0909712 was approved by the Board of Public Utilities in the amount of $1,750,000 to upgrade physical security at various electric facilities, specifically the Mountain View Substation, Orangecrest Substation, Hunter Substation and the Riverside Energy Resources Energy Center (RERC). Masonry block walls, security fencing, manual and/or automated roller gates and irrigation/landscape improvements are among the items to be constructed and installed at these facilities. A Professional Consultant Services Agreement with the DMC Design Group, Inc. (DMC), was executed on May 21, 2010 to provide engineering design services. DMC completed the Mountain View Substation's engineering package, and subsequently the Request for Bid No. 6979 was advertised on June 28, 2011. Four (4) bids were received; two (2) of which were non-responsive. The lowest responsive bid was 30% higher than the Engineer's estimate of $424,000. It was determined that it was