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W A T E R E N E R G Y T I F F id& P U B L I C U T I L I T I E S BOARD OF PUBLIC UTILITIES RIVERSIDE PUBLIC UTILITIES Board Memorandum DATE: JUNE 24, 2019 ITEM NO: 9 SUBJECT: PURCHASE ORDER NO. 193534 FOR 15kV UNDERGROUNG COPPER CABLE FROM THE OKONITE COMPANY IN THE TOTAL AMOUNT OF $78,378.30 FOR FISCAL YEAR 2018-2019 ISSUE: Approve Purchase Order No. 193534 for 15kV underground copper cable from The Okonite Company in the total amount $78,378.30 for fiscal year 2018-19. RECOMMENDATION: That the Board of Public Utilities approve Purchase Order No. 193534 for 15kV underground copper cable from The Okonite Company in the total amount $78,378.30 for fiscal year 2018-19. BACKGROUND: Central Stores is responsible for the inventory, tracking, monitoring, and ordering for many critical items for all City departments, including Riverside Public Utilities (RPU). Hundreds of replenishment requests for supplies are entered into the Oracle Utilities Work and Asset Management (UWAM) system each fiscal year as a "stores replenishment type", or S type, requisition. Staff then routes each requisition for approval through the appropriate approval routing. Once approved, the Purchasing Division of the Finance Department reviews and provides final concurrence, which includes the issuance of a purchase order, for each replenishment request. DISCUSSION: Central Stores, at the request of RPU, had a need for 7,500 feet of 15kV underground copper cable in accordance with the latest revision of The City of Riverside Specification 1-2.25. Purchasing Resolution 23256, Section 404 provides that Wire and Cable are peculiar to the needs of the Electric Utility and may be acquired by informal procurement regardless of their estimated procurement expenditure amounts, provided that the Board of Public Utilities (Board) has approved the proposed acquisition if required under the provisions of the City Charter, either by approval of the procurement contract or approval of annual purchase orders. The City of Riverside Charter, Section 1202 provides that the Board has the power and duty to approve any purchase of materials, supplies, goods, or services when the amount exceeds $50,000. In October 2018, the Purchasing Division obtained four (4) quotes for the stock item via an informal procurement process pursuant to the Purchasing Resolution. The Okonite Company was determined to be the lowest responsible bidder for the stock item in the amount of $68,640 plus 8.75% sales tax, which equates to a total purchase order amount of $74,646.