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HomeMy Public PortalAbout08-18-1952 69 MINUTES OF THE MEETING OF THE COMMON COUNCIL OF THE CITY OF RICHMOND, INDIANA, SERVING AS A COMMITTEE IN CHARGE OF THE OPERATION OF THE MUNICIPAL ELECTRIC LIGHTING AND POWER PLANT. - MONDAY AUGUST 18, 1952. The Common Council of the City of Richmond, Indiana, serving as a committee in charge of the Municipal Electric Lighting and Power Plant, met in re- gular session in the City Hall in said City, Monday, August 18, 1952, at the hour of 8: 00 P.M. (CST) . Councilman Eastman presiding with the following members being present: Messrs. Alkire, Baldwin, Kettelforder, Law, Marino, Salzarulo, Tracy and Youngflesh. The following business was had, to-wit: . On motion duly made, seconded and carried, the minutes of the previous meeting were dispensed with. On recommendation of a committee composed of Councilman Alkire, Salzarulo, and Tracy, the committee voted unanimously to reject the request for additional street lighting on Ridge Street from N.W. "L" to N.W. °K" Streets. On motion made by Councilman Youngflesh, seconded by Councilman Salzarulo and carried by unanimous vote, the City Clerk was authorized to inform the Park Board by letter, requesting that trees around the street light- ing in the City be trimmed to permit better lighting on the City Streets. A letter was read from the Richmond Retail Merchants Bureau, Inc. , re- questing this committee to furnish the power and light necessary for the operation of the "Richmond Open House Fall Festival" , October 23, 24 and 25. Council voted to have one of the chairmen of this festival present at the next regular meeting to explain their needs, Councilman Salzarulo' s letter from Mr. Arthur, Bode, 508 South 16th Street, requesting the installation of street lighting on North "C," Street, be- tween North 16th Street and 17th Streets was received and ordered referred I/ to the Board of Works. The General Manager presented each Councilman with tabulation sheets of the bids received for furnishing Boiler Feed Pumps, Circulating Water Pumps, Cooling Tower Make-up Pumps, Auxiliary Pumps, Air Compressors, Heat Exchange Equipment, Bearing Water Heat Exchanger, Deaerating Heaters and Cooling Tower for the new plant. The following letter from the Black & Veatch Engineers was read and the following action was taken: • August 11, 1952 Subject: Richmond, Indiana Power Plant Improvements Project No. 1996 Auxiliary Equipment Bids To the Members of the Common Council City of Richmond, Indiana Gentlemen: Following is our analysis of the bids received on August 4, 1952, covering pumps, heaters and cooling tower equipment to be used in the construction of your new power plant. The specifications for this equipment clearly stated that delivery of this equipment was desired at the plant site January 1, 1954. The specifications also clearly stated that bid prices must be valid for such delivery. In spite of these statements, most of the proposals indicated very early deliveries, which would cause unnecessary storage expense. However, in all cases we have been able to work out satisfactory delivery arrangements. Following is our analysis of the bids re- ceived. TO Auxiliary Pumps and Air Compressor Equipment. Item I Boiler Feed Pumps: Base Bid Max, Escal. Max. Cost Allis Chalmers Company $71, 127.00 3 8, 171.50 $79, 298.50 Byron Jackson Company 68, 65.0.00 7, 703.00 76, 353.00 Ingersoll Rand Company 69, 314.00 6, 931.40* 76, 245.40 Wikel & Cornelius 79, 971. 00 11, 186,00 91, 157.00 ' Wikel .& Cornelius 78, 749.00 10, 941.80 89, 690.80 Wikel & Cornelius 68,138. 00 7, 916.20 76, 054.20 Worthington Corporation 77,515,58 •7, 751.56 85, 267.14 Dravo Corporation. 82,200. 00 firm 82, 200,00 *Price commitment good only to March 11, 1953. Analysis of these bids show that the lowest bid is that of Wikel & Cornelius for Pacific pumps and Terry turbine. However, Pacific pumps fail to meet the experience clause in the specifications and therefore cannot be considered. The next low bid is that of Ingersoll Rand Co, Their price commitment states that, if delivery of pumps is delayed beyond the delivery date specified in their proposal, the price billed will be that in effect at time of ship- ment. Since the delivery date specified in their proposal is March 11, 1953, and delivery date called for in the specifications is January 1, 1954, obviously this becomes an open end escalation • provision and cannot be considered. The next bid is that of Byron Jackson Company which we find is in order and does meet specification requirements in all respects except that they have taken exception to the liquidated damage clause. We do not consider this an irregularity, since it does not effect the cost, quality, design or amount of equipment to be furnished and the specifications provide for such exceptions to be taken. Therefore, we recommend that this bid be accepted and con- tract awarded to Byron Jackson Company for two boiler feed pumps as specified for a base price of $68, 650. 00 and providing for maximum escalation of S7, 703.00. The General Manager concurred in this recommendation of the Black & Veatch engineers. Councilman Law moved, seconded by Councilman Tracy and by unanimous vote, the bid of the Byron Jackson Company for two boiler feed pumps as specified for a base price of ,$68,.650.00 and providing for maximum escalation of S7, 703. 00 was accepted. Item II Circulating Water Pumps: ' Base Bid Max, Escal. Max. Cost Allis Chalmers Company S36, 080. 00 $3,491. 60 s39,571.60 Byron Jackson Company 32, 982. 00 900.00 33,889.00 ' Peerless Pump Company 30, 486.00 1, 000.00 31, 486.00 Ingersoll Rand Company . 35, 301. 00 1,863.00 37, 164.00 Worthington Corporations 27,840. 00 2, 784.00 30, 624.00 Dravo Corporations 44,400.00 firm 44, 400.00 Analysis of the above bids shows that the Worthington bid is the lowest. Since their, offering meets the specifications in all respects except that they also have taken exception the the liquidated damage clause, we recommend acceptance of their pro- posal and award of contract to them for their 'circulating water pumps as specified for base price of 527, 840,00 and providing for maximum escalation of ;;2, 784.00. The General Manager concurred in the recommendations of the Blaak & Veatch engineers. Councilman Tracy moved, seconded by Councilman Kettelforder and by unanimous vote the bid of the Worthington Corporation for their circulating water pumps for a base price of ; 27,84.0.00 and providing for maximum' escalation of— 2, 784.00 eras accepted. 71 Item III Cooling Tower Makeup Pumps: Base Bid Max. Escal. Max. Cost Byron Jackson Company $9, 000.00 $ 200.00 $9, 200.00 Peerless Pump Company 4, 618.00 firm 4, 618.00 Ingersoll Rand Company 6, 942. 00 320.00 7, 262.00 Worthington Corporation 5, 990.00 599.00 6,589.00 Peerless Pump Company bid is low for this equipment and we re- commend acceptance of their proposal and award of contract to them for two cooling tower make-up pumps as specified for a II lump sum of 0, 618.00. The General Manager concurred in the recommendation of the Black & Veatch engineers. Councilman Baldwin moved, seconded by Councilman Law and by unanimous vote the bid of the Peerless Pump Company for their two cooling tower make-up pumps in the lump sum of $4, 618.00 was accepted, Item IV Auxiliary Pumps Base Bid Max. Escal. Max. Cost Byron Jackson Company q 5, 962.00 $ 110.00 $ 6,072.00 ,,,e Peerless Pump Company 3, 700.00 firm 3, 700,00 Ingersoll Rand Company 10, 040.00 144. 80 10, 184.80 d Worthington Corporation ' 10,4.08, 00 1,040.80 11, 448.80 Worthington Corporation 8, 493.00 849. 30 9, 342.30 Dravo Corporation 3,860. 00 frim 3, 860.00 Peerless Pump Company bid is low for this equipment and we recommend acceptance of their proposal and award of contract to them for this item as specified for a lump sum price of $3, 700.00. The General Manager concurred in the recommendation of the Black and Veatch engineers. Councilman Alkire moved, seconded by Councilman Kettelforder and by unanimous vote the bid of the Peerless Pump Company for their auxiliary pumps in the lump sum of $3, 700.00 was accepted. Item V Air Compressors: Base Bid Max. Escal, Max. Cost Ingersoll Rand Company $6, 900.00 $ 323.00* $7,223.00 Worthington Corporation 7,085. 00 708.50 7, 793.50 Joy Manufacturing Company 7,106. 00 710. 60 7, 816. 60 Dravo Corporation 6, 960. 00 firm 6, 960.00 * Price commitment good only to December 1, 1952. Dravo Corporation is the low bidder on this equipments How- ever, they do not include information which would indicate that they could meet the experience clause. The next bidder was Ingersoll Rand Company and their bid carried an open end escalator clause. The next bidder was Worthington Corporation. This bid was in order in all respects. However, we consider the escalated price of this equipment rather high. Therefore, we recommend that all bids for this item be rejected. This equipment, because of its short delivery, can very logically be purchased under the power piping contract. The General Manager concurred in the recommendation of the Black and Veatch engineers. Councilman Law moved, seconded by Councilman Tracy and by unanimous vote the bids of ' the ' various Companys were rejected. Heat Exchange Equipment: Item I Closed Feed Water Heaters: Base Bid Max, Escal. Max. Cost f, o. b.Richmond Westinghouse Electric Corp. $25, 920.00 $ 5, 184. 00 184. 00 $31, 104.00 Lummus Company 34, 750. 00 firm 34, 750.00 742 The Westinghouse offering is low both in base bid and with maxi- . mum escalation applied. Westinghouse is a well established reputable company and their offering complies with the specification in every respect except that exception is taken to the liquidated damage clauses. We therefore recommend that the Westinghouse proposal be accepted and contract awarded to them for this item as specified for a base price of $25, 920.00 and providing for maximum escalation of 55, 184.00. The General Manager concurred in the recommendation of the Black and Veatch engineers. Councilman Tracy moved, seconded by Councilman Kettelforder and by unanimous vote the bid of Westinghouse Electric Corporation for their bid on the Closed Feed Water Heaters in the sum of 125,920. 00 and providing for maximum escalation of 5,184.00 was accepted. Item II Bearing Water Heat Exchanger: Base Bid Max. Escal. Max. Cost f. o.b.Richmond Westinghouse Electric Corporation S3, 775.00 $ 755.00 $4,530.00 Lummus Company 2, 940.00 firm 2, 940.00 The Lummus Company was low bidder. However, they did not in- clude a standard questionnaire with their bid and therefore cannot be considered. The' Westinghouse Corporation proposal . ' does comply with the specifications, except that they take exception to the liquidated damage clause. Therefore, we recommend acceptance of this proposal and award of contract to them for this item as specified for a base price of $3, 775.00 and providing for maximum escalation of $755. 00. The General Manager concurred in the recommendation of the Black and Veatch engineers. Councilman Law moved, seconded by Councilman Alkire and by unanimous vote the bid of the Westinghouse Electric Corporation for Bearing Water Heat Exchanger for the sum of S3, 775.00 and providing for maxi- . mum escalation of S 755. 00 was accepted. Item III Deaerating Heaters: Base Bid Max. Escal. Max. Cost Worthington Corporation $16,310. 00 $ 3,262.20 $19,572.20 Graver Water Conditioning Co. 13,270. 00 firm 13, 270.00 Elliott Company 16, 360. 00 firm 16, 360.00 Cochrance Corporation 16, 360.00 firm 16, 360.00 The bid of Graver is low for this equipment and since all speci- fication requirements are met by this offering; we recommend that the proposal be accepted and contract awardedto them for the lump sum of 513,270.00. The General Manager concurred in the recommendation of the Black and Veatch engineers. Councilman Alkire moved, seconded by Councilman Baldwin and unanimous vote the bid of the Graver Water Condition Company for their bid on. Deaerating Heaters in lump sum of $13,270. 00 was accepted. Cooling Tower Base Bid Max. Escal. Max. Cost Annual Charge Lille Hoffman S119, 750. 00 . Firm S119, 750.00 $27,578.15 Fluor Corp. (Base) 140,095.00 Firm 140,095.00 24, 978. 96 Fluor Corp. (Alt. ) 111,044..00 Firm 111,044. 00 26, 381. 20 Foster Wheeler 137, 600.00 $20, 640..00 158,240.00 24, 702.55 J.F. Pritchard 105, 326.00 open 24,860. 19 Marley Company "A" 123, 320.00 11, 318. 80 134, 638. 80 22, 339. 61 Marley Company "B" 113, 220.00 10, 388.00 123, 608. 00 22, 260. 46 Marley Company "C" 99,510. 00 9,146. 70 108, 656. 70 22, 766. 67 Marley Company "D" 91,950.00 8, 449.50 100, 399.50 23, 398.83 The above tabulation shows the base price bid, the maximum escalation, the maximum cost of the tower and the annual charge or the annual cost of operating each tower. The annual charge is an evaluated 73. figure which takes into account the first cost of the tower as well as the water pumping costs and the fan power costs. It is calculated in accordance with the formula set out in the specifications. This analysis shows that the Marley "B" offering is the most economical buy. It is not the lowest priced tower offered; but because of more liberal design, which results in lowered power cost, it has the lowest annual charge. Also, because of the more liberal design factors, it will be capable of meeting extreme operating conditions more satisfactorily than the other towers offered. Therefore, we recommend the acceptance of the Marley "B" proposal and award of contract to them on this item as specified for the base price of $113,220.00 and providing for maximum escalation as stipulated in their proposal. The General Manager concurred in the recommendation - of the Black and Veatch engineers. Councilman Salza- rulo moved, seconded by Councilman Youngflesh and by unanimous vote the bid of Marley Company for their bid for a Cooling Tower as set out in "B" in the sum of S113,220. 00 and providing for maximum escalation as -- stipulated in their proposal was accepted. :4r Respectfully submitted, C.T3 BLACK & VEATCH By /s/ J.W. Harries JWH:ls Councilman Salzarulo moved that the General Manager be authorized by this Body to enter into contract as submitted by General Electric Company for an early delivery date for the Switchgear Breakers for the new plant, and store the same until ready for use; seconded by Councilman Marino and on voice vote was unanimously carried. The General Manager stated that this would probably save $4,000.00. A letter was received from the City Engineer requesting the Light Plant to make an estimate of the cost for installation of street lighting along Whitewater Blvd. from North 10th Street to the intersection of said boulevard and Southwest 1st St. This was taken under advisement. The Committee allowed the claims in the amount of $103, 311. 35. Of this sum the following transfers were allowed: The sum of $25,000. 00 from Cash Operating Fund to Cast Reserve Fund; The sum of 015,000.00 from Cash Operating Fund to Sinking Fund; The sum of .$22,597.26 from Cash Operating Fund to Depreciation Reserve Fund Cash; The sum of 01, 4.67. 00 from Depreciation Reserve Fund Cash to Cash Operating Fund. By unanimous vote this Body will meet Tuesday, September 2, 1952, at the regular time instead of Monday, September 1, 1952. There being no further business presented, on motion duly made, seconded and carried, the meeting adjourned. COUNCILMEN MARINO AND SALZARULD ON CLAIMS FO ^ E MONTH OF SEPTEMBER. • Chairman Attest: City lerk