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W A T E R E N E R G Y L I F E <br />RIVERSIDE PUBLIC UTILITIES <br />Board Memorandum <br />P U B L I C U T I L I T I E S <br />BOARD OF PUBLIC UTILITIES <br />DATE: FEBRUARY 24, 2020 <br />ITEM NO: 3 <br />SUBJECT: BID NO. RPU -7719 FOR MULTI -SUBSTATION TRANSFORMER UPGRADE AND <br />RECONDITIONING PROJECT WITH REINHAUSEN MANUFACTURING, IN THE <br />AMOUNT OF $1,375,809.57; AND WORK ORDER NO. 2002530 FOR A TOTAL CAPITAL <br />EXPENDITURE OF $1,883,000 <br />ISSUES: <br />Award Bid No. RPU -7719 for Multi -Substation Transformer Upgrade and Reconditioning Project to <br />Reinhausen Manufacturing, of Humboldt, Tennessee, in the amount of $1,375,809.57; and approve Work <br />Order No. 2002530 for a total capital expenditure of $1,883,000. <br />RECOMMENDATIONS: <br />That the Board of Public Utilities: <br />1. Award Bid No. RPU -7719 for the Multi Substation Transformer Upgrade and Reconditioning Project <br />to Reinhausen Manufacturing, of Humboldt, Tennessee, in the amount of $1,375,809.57; and <br />2. Approve Work Order No. 2002530 for a total capital expenditure of $ $1,883,000. <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 utility system. A single substation <br />transformer can provide power to more than 4,000 customers. As such, substation power transformers <br />are critical assets in Riverside Public Utilities' (RPU) electric system. <br />The average life of a transformer is approximately 40 years. The life of the transformers can be shortened <br />substantially by various factors such as poor design, overloading for extended periods of time, moisture <br />intrusion, and poor maintenance practices. Planned transformer upgrades and reconditioning measures <br />are required to optimize the life of transformers, reduce failures, extend the reliable life of transformers, <br />and improve public and employee safety. <br />Load Tap Changers (LTC) are an essential component of a substation transformer because they regulate <br />voltage in the electrical system. Some transformers are experiencing recurring issues with LTCs. These <br />devices are the only moving part in a transformer and are now requiring frequent repairs as they have <br />exceeded their design life. <br />This project will provide essential upgrade and replacement of transformer parts that benefit a large <br />number of customers to improve reliability and reduce prolonged outages. Also, the project introduces <br />