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05-14-2018 BPU RPT 09
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05-14-2018 BPU AGENDA
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W A I. R I w I R 6 Y L 1 r F <br />RIVERSIDE PUBLIC UTILITIES <br />Board Memorandum <br />PURL IC OF IL.IIIES <br />BOARD OF PUBLIC UTILITIES <br />DATE: MAY 14, 2018 <br />ITEM NO: 9 <br />SUBJECT: AWARD REQUEST FOR PROPOSAL NO. 805 FOR FURNISHING AND DELIVERING <br />TWO SUBSTATION POWER TRANSFORMERS TO DELTA STAR INC., OF SAN <br />CARLOS, CALIFORNIA, IN THE AMOUNT OF $2,289,438.44 — APPROVE WORK <br />ORDER NO. 1816638 FOR $4,202,827 <br />ISSUES: <br />Award Request for Proposal No. 805 for furnishing and delivering two substation power transformers <br />from Delta Star Inc., of San Carlos, California, in the amount of $2,289,438.44; and approve Work Order <br />No. 1816638 for $4,202,827. <br />RECOMMENDATIONS: <br />That the Board of Public Utilities: <br />1. Award Request for Proposal No. 805 for furnishing and delivering two substation power <br />transformers from Delta Star Inc., of San Carlos, California, in the amount of $2,289,438.44; and <br />2. Approve Work Order No. 1816638 for $4,202,827. <br />BACKGROUND: <br />Substation power transformers (transformers) are essential components of the power grid. Transformers <br />are critical to the reliability and optimum operation of the electric grid. A single substation transformer <br />can provide power to more than 5,000 customers. As such, substation power transformers are critical <br />assets in Riverside Public Utilities' (RPU) electric system. <br />The average expected life of a substation power transformer is approximately 40 years. Several of the <br />substation transformers in RPU's system have exceeded or are reaching the end of their design life. The <br />age of a transformer is a significant factor in electric system reliability, safety, and maintenance costs. <br />The loading capability of a transformer declines as a transformer ages. Age also reduces the <br />transformer's ability to handle electrical and mechanical stresses encountered during normal operation. <br />Page 809 <br />
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