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Commission reviews delayed transformer order, upcoming bids and local utility projects
Summary
Commissioners discussed a delayed 2022 transformer order, options to cancel, upcoming 2025 equipment bids (due Feb. 12), a spare transformer bushing expected in March and several construction closeouts and projects including a MnDOT-funded Business Highway 2 lighting plan.
Commission staff updated the Water and Lake Commission on multiple equipment and construction items, including a long-delayed transformer order from 2022, bids due for 2025 equipment and several project closeouts and near-term procurements.
Staff reported that 650 kVA transformers ordered in September 2022 have been pushed back four times and remain undelivered; if a new delivery date is not set, staff said they may cancel the order and seek alternatives. "They were supposed to be here February of last year. They've been pushed back 4 times since then," said a staff member. Staff said the purchase did not include a bid bond and indicated they believe the order could be canceled without repercussions, though they planned to confirm contract terms.
Separately, bids for 2025 equipment and materials are due Feb. 12 at 2:00 p.m.; staff estimated the package could come in around $15,023. Staff also reported that a spare transformer bushing for the industrial park substation is expected in March and remains on schedule.
On construction matters, the 2023 miscellaneous construction contract has been closed out and the final pay request appeared in bills and payroll. Staff also presented a certificate of substantial completion for a 2024 miscellaneous construction project and said remaining punch-list items will be addressed in spring. Staff expects to present plans and specifications for 2025 miscellaneous construction for commission approval at the March 5 meeting, after which the city would go out to bid.
Staff also said the Business Highway 2 lighting project is moving forward under Minnesota Department of Transportation approval; MnDOT will fund the project and the city has paid for plans and specs to date. Other operational notes included replacement of a damaged roll of primary wire (supplier to change out the roll), an upcoming bucket-truck chassis and boom order at the next meeting, and that American Crystal Sugar had canceled a planned project but will reduce fan loads while covering some site work.
Commissioners and staff did not take a formal vote on cancellations or new orders during the meeting; staff reported they would return with contract details and recommendations as needed.
