09 - Laserfiche WebLink

FINANCIAL STATEMENT The contract with CD & Power for a yearly not to exceed amount of$250,000 has an estimated breakdown of $110,000 for generator repair and replacement expenses which is currently funded by the Water and Sewer Repair and Replacement Funds, $110,000 for portable generator rentals which will require the addition of funds to the Rental expense category of the Water Operating Budget (to be reflected in the FY 2019/20 mid-year adjustment and FY 2020/21 mid-term adjustment), and $30,000 for portable generator rentals for Castlewood which will be fully reimbursed by Alameda County. BACKGROUND Starting in July of 2019, the City entered into year one of a three-year contract with CD & Power for the repair and replacement of generators that are used at pump stations within the City's water, sewer, and storm drain systems. These generators provide backup power in the event of a PG&E power outage, allowing pump stations to continue to operate as required. The City's water system consists of 16 pump station sites of which seven (7) have permanent generators providing dedicated backup power. The City's sewer system consists of 11 pump station sites of which eight (8) have permanent generators. For the pump stations that do not have a permanent generator, the City relies on a fleet of three (3) portable generators that can be brought out to a site as needed for backup power. For the 2019 wildfire season, PG&E implemented a public safety power shutoff (PSPS) program during extreme fire conditions. This presented a risk to the safe operation of the City's water and sewer systems due to the unprecedented number of pump station sites losing PG&E power simultaneously. The PSPS program also presented a similar risk to the Castlewood water system, which is owned by Alameda County and operated by the City. Staff performed a risk assessment of the water and sewer systems that considered pump station redundancies and high versus low probability power outage areas and determined that an additional five portable generator rentals (including one for the Castlewood water system) were required to reduce operational risks during a PSPS event. During the 2019 wildfire season, the City experienced two major PSPS events. Both events required the full use of generator rentals and helped to minimize impacts to the operation of the water and sewer systems without impact to our residents and businesses. Staff is beginning to investigate the feasibility of purchasing additional permanent or portable generators as a long-term alternative to rentals during the wildfire season. Submitted by: Fiscal Review: Approved by: Kathleen Yurchak Tina Olson Nelson Fialho Director of Operations and Director of Finance City Manager Water Utilities Page 2 of 3