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PUB approves sale and removal of obsolete substation transformers; contractor to pay about $402,000
Summary
The Denton City Public Utilities Board approved the disposal sale of large, end-of-life substation transformers, with a contractor set to remove, drain and scrap units the city no longer uses and to pay roughly $402,000 to the utility.
Chris Luedrick, executive manager of operations for DME, told the Public Utilities Board on Feb. 9 that the city will contract to have multiple large substation transformers removed and scrapped because they are obsolete or at the end of their service life.
Luedrick said many of the units are large substation transformers (about 50 tons) that the utility cannot move itself. About half are 69 kV units no longer compatible with the city’s system voltage; others date to the 1960s and late 1960s and have been replaced. "They're not our distribution transformers. These are all in substations," Luedrick said. He told the board a contractor will drain oil, load them on trailers and remove them; the company will pay the city roughly $402,000 for the scrap value and removal work.
Board members asked where the units sit and which would be removed first; Luedrick said the unit at the North Bonnie Brae substation will be the first to go. He also said one unit’s sister failed at Florida Power & Light in another jurisdiction and that failure led to fatalities, which informed the city's decision to mandate scrapping rather than reuse because of liability concerns.
After questions about bid evaluation and unit obsolescence, the chair moved to approve consent agenda item F (the disposal sale). The motion was seconded and carried unanimously.
The board also approved routine items including the Jan. 12 minutes during the same meeting. No additional financial details beyond the approximate $402,000 payment and the bidder tabulation in the backup materials were provided during the discussion.
