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Council approves $396,900 PLC upgrade for electric department, including $120,000 insurance payment
Summary
After questions about contingency and warranties, council approved a PLC upgrade for the electric department with $276,000 in new budget authority and $120,000 from an insurance claim, for a total project cost the transcript reports as $396,900.
Council approved a proposed PLC (programmable logic controller) upgrade for the electric department after discussing contract language, warranty changes and contingency levels.
Scott Haggy of the electric department described the technical scope as phases one and two of a replacement project and recommended proceeding. A councilor questioned a 10% contingency. "If you don't go to 10% I can always come back to council for a change order," Scott said, adding that the contractorscope represented a complete replacement rather than a time-and-materials patch.
Council and staff also discussed contract warranties and liabilities; staff said language limiting warranties and liabilities had been removed after negotiation with the contractor. The financing shown in the motion split the project into $276,000 of new budget authority and $120,000 of insurance proceeds, with a reported total of $396,900. The motion to approve the PLC upgrade as presented carried on a council vote.
