The Fairhope City Council voted on Sept. 22 to amend the agenda and approve a resolution authorizing an emergency purchase of two Eaton regulators to replace a failed regulator at the Nichols substation and to provide a spare unit for future reliability.
Ben, an electric‑utility staff member, explained the urgency: an internal failure occurred at the Nichols substation and a spare on hand also failed. Staff recommended procuring two replacement Cooper/Eaton regulators immediately to restore redundancy and maintain service. He said typical manufacturer lead times are lengthy but the vendor offered an eight‑to‑ten‑week delivery window for the chosen units.
Why it matters: regulators are critical substation components. Staff said the failure reduced on‑hand redundancy and that prompt replacement is necessary to maintain reliability of electric service.
Council action and outcome: Council amended the meeting agenda to add the item and approved a not‑to‑exceed purchase price of $182,050 for two regulators from Gresco (procured under procurement exceptions for emergency equipment). Kim Creech, city treasurer, said the cost will be placed in the FY2026 budget and that staff will amend the budget accordingly when the equipment arrives. Staff also said they will file warranty/claim paperwork with the manufacturer and pursue any third‑party reimbursement if applicable.
Operational notes: staff said manufacturers’ standard warranties are limited and that they are still investigating whether the units can be claimed under warranty; if so, staff will file claims. The vendor indicated an option to expedite for additional cost; staff said they accepted the eight‑week timeline offered without excessive premium.
Ending: The council approved the emergency procurement and staff will include the purchase in the FY2026 budget through an amendment; staff will pursue warranty claims and pursue any reimbursement if eligible.