RPU BOARD MEETING MINUTES
Members Present: Mr. Toulouse, * Mr. Bourgeois, Mr. Landwehr, Mr. Carlson, ** Mr. Hunziker
Absent: None
Also Present: Mr. Adkins, City Attorney
Board President Toulouse called the meeting to order at
1. Mr. Landwehr moved to approve the minutes of the
2. Mr. Carlson moved to approve the accounts payable report, seconded by Mr. Hunziker. All voting "AYE"
3. The Board recognized Ms. Diane Bengtson, for 34 years of service to RPU and the citizens of
4a.-d. Mr. Hunziker moved to approve en bloc resolutions for insulators, steel poles and labor for the Q1/Q2 transmission line construction, and circuit breakers for the Chester Substation upgrade, seconded by Mr. Carlson. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a purchase order agreement with NGK-Locke, Inc. for 161kV Polymer Post Insulators for Q1/Q2 Transmission Line
The amount of the purchase order agreement to be EIGHTY-TWO THOUSAND FIVE HUNDRED TWENTY AND 00/100 DOLLARS ($82,520.00) and NGK-Locke, Inc. being lowest responsible bidder.
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a purchase order agreement with Thomas & Betts/Energy Product Sales for Four Steel Transmission Structures for Q1/Q2 Transmission Line
The amount of the purchase order agreement to be ONE HUNDRED FIVE THOUSAND SEVENTY FOUR 00/100 DOLLARS ($105,074.00) and Thomas & Betts/Energy Product Sales being lowest responsible bidder.
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a contract agreement with L.E. Myers Company and that the Common Council authorize the Mayor and the City Clerk to execute the agreement for 161kV Q1/Q2 Transmission Line Construction
The amount of the contract agreement to be SIX HUNDRED EIGHTY-THREE THOUSAND THREE HUNDRED FORTY-SIX AND 81/100 DOLLARS ($683,346.81) and L.E. Myers Company being lowest responsible bidder.
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a purchase order agreement with Alstom USA, Inc. for 2 Outdoor Circuit Breakers for Q1/Q2 Upgrade at Chester Substation
The amount of the purchase order agreement to be ONE HUNDRED NINE THOUSAND SEVEN HUNDRED EIGHTY AND NO/100 DOLLARS ($109,780.00) and Alstom USA, Inc. being lowest responsible bidder.
* Mr. Bourgeois entered the meeting at this time.
4.e. The bid received from Burmeister/Howard Industries was discussed. Staff recommended that the Board reject the bid for failure to meet the delivery specification in the bid which is very critical to completion of the new combustion turbine project. Mr. Hunziker moved to reject the bid from Burmeister/Howard Industries for non-compliance to specification and to approve a purchase order agreement with Border States Electric/Cooper Power Systems, seconded by Mr. Landwehr. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, to reject Burmeister/Howard Industries bid on the basis of non-compliance to specifications.
BE IT FURTHER RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a purchase order agreement with Border States Electric/Cooper Power Systems for three-phase pad-mounted auxiliary transformers.
The amount of the purchase order agreement to be THIRTY-THREE THOUSAND, NINE HUNDRED TWELVE AND 00/100 DOLLARS ($33,912.00) and Border States Electric/Cooper Power Systems being lowest evaluated bidder.
5. Mr. Greg Oxley, Director of Government Relations, Minnesota Municipal Utilities Association, appeared before the Board to discuss some of the provisions of the energy bill that was passed by the
6. The additional design engineering services required for the new combustion turbine were discussed with the Board. Staff had reviewed the additional cost requirements and attested that they were necessary and reasonable to bring the gas turbine project to a successful completion. Mr. Bourgeois moved to approve a resolution requesting the Common Council to approve additional engineering fees not to exceed $498,000.00 under the terms of the existing contract with Burns & McDonnell, seconded by Mr. Hunziker. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve an amendment to the engineering services agreement with Burns and McDonnell (Contract 99-16-E dated December 20, 1999) for Contract Amendment To Provide Additional Professional Engineering Services
The amount of the amendment not to exceed FOUR HUNDRED NINETY-EIGHT THOUSAND AND 00/100 ($498,000.00) for completion of the installation of the Cascade Creek gas turbine, total amount of the contract not to exceed $1,698,000.00 for the project.
7. The amendment to the contract for engineering services to upgrade the 161kV Q1 transmission line was discussed. Staff stated that although this amendment represents a scope increase in the Ulteig design engineering contract, it has no effect on the project budget. Mr. Carlson moved to approve the amendment, seconded by Mr. Landwehr. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a contract agreement with Ulteig Engineers, Inc. and that the Common Council authorize the Mayor and the City Clerk to execute the agreement for Contract Agreement to Provide Additional Professional Engineering Services
The amount of the contract agreement to be FOUR HUNDRED NINETY-THREE THOUSAND AND 00/100 DOLLARS ($493,000.00).
8. Mr. Koshire provided the Board with a brief update on status of security procedures at RPU. A security committee has been formed. In addition, RPU staff has met with the Postal Service and Police. Mr. Koshire also stated that there have been no direct threats to the electric system or water supply.
9. Mr. Koshire provided the following report to the Board:
a. Delays have been experienced with the permitting process for the new steam project.
** Mr. Hunziker left the meeting at this time.
b. Mr. Lorber, RPU Director of Operations, provided a cost savings comparison based on RPU's previous full requirements status versus its current contract rate of delivery status with the Southern Minnesota Municipal Power Agency. Mr. Lorber stated that the savings should continue into the future.
10. The management/financial reports were discussed.
11. Mr. Bourgeois moved to adjourn the meeting, seconded by Mr. Carlson. All voting "AYE" The meeting was adjourned at
Approved by the Board: