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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: NOVEMBER 25, 2019 ITEM NO: 6 SUBJECT: STOCK BID NO. Y200248 FOR 10,000 FEET OF TYPE 500 COPPER CABLE FOR MAGNOLIA -PLAZA 4kV to 12kV CONVERSION PROJECT TO THE OKONITE COMPANY IN THE AMOUNT OF $95,678.25 ISSUE: Award Stock Bid No. Y200248 for 10,000 feet of type 500 Copper Cable for the Magnolia -Plaza 4kV to 12kV Conversion Project to The Okonite Company, of Long Beach, California, in the amount of $95,678.25. RECOMMENDATION: That the Board of Public Utilities award Stock Bid No. Y200248 to The Okonite Company, of Long Beach, California, in the amount of $95,678.25. 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). Central Stores enters hundreds of replenishment requests per fiscal year. These replenishment requests are entered as a Central Stores Replenishment Requisition, approved by the respective division manager, and routed to the Purchasing Division for final approval and purchase order issuance of said replenishment. DISCUSSION: On January 28, 2019, the Board of Public Utilities (Board) approved Work Order No. 1503112 in the amount of $2,174,000 for the Magnolia -Plaza 4kV to 12kV Conversion Project (Project). This Project will require 18,516 feet of 500 copper cable. On September 30, 2019, Central Stores, at the request of RPU, entered the replenishment request. The Purchasing Division sent the stock bid request for proposals. Purchasing Resolution No. 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 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 exceed $50,000. On October 9, 2019, the Purchasing Division obtained three (3) 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 $87,980 plus 8.75% sales tax, which equates to a total purchase order amount of $95,678.25.