To: Honorable Mayor and Members of City Council
From: Phil Brun, Utilities Director
Prepared By: Joy Eldredge, Deputy Utilities Director
TITLE:
Title
Purchase Mobile Generators for Water System
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution authorizing the transfer of $305,000 from the water fund emergency reserves for the purchase of mobile generators, authorizing the Utilities Director to sign contracts for the purchase of the generators in an amount up to $305,000, and determining this action is exempt from CEQA.
Body
DISCUSSION:
The City of Napa Water Division provides high quality, safe, reliable water to over 25,500 customers 24hours per day, 7 days per week. Since the October 2017 fires the local power utility has started a public safety power shutoff (PSPS) program of proactively shutting down the power system when fire danger is elevated due to dry, windy conditions.
The water system consists of a series of major facilities to ensure delivery of clean, safe reliable water including treatment plants, extensive pipe network, storage tanks and pump stations that serve the hillside areas. The three treatment plants and nine pump stations require power to function properly. The treatment plants have stationary generators with automatic transfer switches to ensure continuous water treatment during a power outage. The pump stations rely on mobile generators. During power outages, staff mobilize, connect and start up emergency generators to power the pump stations. The current fleet consists of three generators which has historically been sufficient to address periodic power outages throughout the water system. In light of the PSPS and increased frequency as well as potential increased duration of power outages, staff recommends the purchase of three additional generators to ensure greater reliability to customers at the higher elevations of the water system.
FINANCIAL IMPACTS:
The Water Fund Emergency Reserve account (53000-25150) has $1,100,461 available to support emergency operations. The transfer of $305,000 from Emergency Reserve account to the water transmission operating account (53006-54701) is required to purchase three mobile generators. The remaining balance will be $795,461. The fiscal policy states the Emergency Reserve is to be maintained at 5-10% of annual operating expenses excluding debt service or $1,114,830-$2,229,660 in FY20. Subject to available fund balance, the Water Fund will replenish the Emergency Reserve at a rate of 1.5% per year such that the fiscal policy is met by the start of FY21.
Sources
$305,000 Water Fund Emergency Reserve Account (53000-25150)
Uses
$305,000 Water Transmission - Equipment >$5k Account (53006-57401)
CEQA:
The Utilities Director recommends that the City Council determine that the Recommended Action described in this Agenda Report is exempt from CEQA, pursuant to CEQA Guidelines Section 15301(b) which exempts the operation, repair, maintenance or minor alteration of existing facilities of a utility involving negligible or no expansion of use.
DOCUMENTS ATTACHED:
ATCH 1 - Resolution
NOTIFICATION:
None