Legislation Details

File #: DC-2915    Version: 1
Type: Consent Action Status: Passed
File created: 12/18/2023 In control: Board of Commissioners
On agenda: 1/23/2024 Final action: 1/23/2024
Enactment date: 1/23/2024 Resolution #: 24-054
Title: Authorization To Execute Fifth Amendment To Contract With Voith Hydro, Inc. For Design And Fabrication Of Water-To-Wire Equipment For Byllesby Dam Turbine Upgrade Project
Sponsors: Environmental Resources

DEPARTMENT: Environmental Resources

FILE TYPE: Consent Action

 

TITLE

title

Authorization To Execute Fifth Amendment To Contract With Voith Hydro, Inc. For Design And Fabrication Of Water-To-Wire Equipment For Byllesby Dam Turbine Upgrade Project

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PURPOSE/ACTION REQUESTED

Authorize execution of a contract amendment with Voith Hydro, Inc., to provide inspection and installation support services for the turbine and powerhouse upgrades at the Byllesby Dam. Construction-related change orders and costs were discussed during the presentation at the August 22, 2023, Physical Development Committee Meeting.

 

SUMMARY

Dakota County owns the Byllesby Dam and operates its high-hazard hydroelectricity facility under the Federal Energy Regulatory Commission (FERC) safety regulations. Over the past decade, the Dakota County Board of Commissioners has approved significant capital investments into the project for FERC-required dam safety improvements. By Resolution No. 15-532 (October 20, 2015), the Dakota County Board of Commissioners authorized staff to execute a contract for preliminary design tasks on a turbine upgrade project to replace the existing century-old equipment in the dam.

 

To complete this project, County staff developed a team including an engineering consultant to provide project design, a turbine manufacturer to provide turbine and generation equipment in a complete package (e.g., water-to-wire equipment), and a general contractor for installation of the equipment and modification to the powerhouse structure. By Resolution No. 18-111 (February 13, 2018), County staff developed prequalification requirements for the turbine manufacturers through a request for qualifications, in which Voith Hydro, Inc., was selected utilizing the Best Value Contracting process authorized by State statute in the amount of $4,220,436.00. Voith’s first contract amendment was addressed administratively in the fall of 2019 for small changes to their design and modifications during fabrication in the amount of $76,793.74, bringing the total contract amount to $4,297,229.74. By Resolution No. 20-072 (February 4, 2020), the County Board authorized a second contract amendment for changes in the electric equipment to address powering Byllesby Regional Park and modifications in the penstocks to make construction more cost-effective. By Resolution No. 20-402 (August 18, 2020), the County Board authorized a third contract amendment for customs and duties for shipping the equipment from overseas. By Resolution No. 21-289 (June 8, 2021), the County Board authorized a fourth contract amendment for the storage of sensitive battery and electrical equipment in the amount of $6,630.00, bringing the total contract amount to $4,496,395.94.

 

The costs associated with this fifth amendment are for the on-site installation and inspection representatives for the commissioning phase projected for April-June 2024. Costs for on-site support were provided within the original proposal. However, the project timeline was extended, and hourly billing rates have increased since the 2018 proposal. The project equipment also had to be partially disassembled and reconditioned due to a longer-than-anticipated storage duration on site.

 

RECOMMENDATION

recommendation

Staff recommends approval of the fifth amendment to the contract with Voith Hydro, Inc., to increase the amount at a cost of $272,130.12.

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EXPLANATION OF FISCAL/FTE IMPACTS

The amended Byllesby Dam Capital Improvement Program budget includes sufficient funds for the amendment. The recommended amendment to the Voith Hydro, Inc., contract will increase the contract by $272,130.12, bringing the total contract amount to $4,768,526.06.

 

  ☐ None              ☒ Current budget              ☐ Other        

  ☐ Amendment Requested                           ☐ New FTE(s) requested

 

RESOLUTION

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WHEREAS, Dakota County owns the Lake Byllesby Dam and operates its hydroelectric facility under the Federal Energy Regulatory Commission (FERC) safety regulations; and

 

WHEREAS, over the past decade, the Dakota County Board of Commissioners has approved significant capital investments to the project for FERC-required dam safety improvements; and

 

WHEREAS, by Resolution No. 15-532 (October 20, 2015), the Dakota County Board of Commissioners authorized staff to execute a contract for preliminary design tasks on a turbine upgrade project to replace the existing century-old equipment in the dam; and

 

WHEREAS, to complete this project, County staff developed a team including an engineering consultant to provide project design, a turbine manufacturer to provide turbine and generation equipment in a complete package (e.g., water-to-wire equipment), and a general contractor for installation of the equipment and modification to the powerhouse structure; and

 

WHEREAS, by Resolution No. 18-111 (February 13, 2018), County staff developed prequalification requirements for turbine manufacturers through a request for qualifications, in which Voith Hydro, Inc., was selected utilizing the Best Value Contracting process authorized by State statute in the amount of $4,220,436.00; and

 

WHEREAS, Voith’s first contract amendment was addressed administratively in the fall of 2019 for small changes to their design and modifications during fabrication in the amount of $76,793.74, bringing the total contract amount to $4,297,229.74; and

 

WHEREAS, by Resolution No. 20-072 (February 4, 2020), the County Board authorized a second contract amendment for changes in the electric equipment to address powering Byllesby Regional Park and modifications in the penstocks to make construction more cost-effective; and

 

WHEREAS, by Resolution No. 20-402 (August 18, 2020), the County Board authorized a third contract amendment for customs and duties for shipping the equipment from overseas; and

 

WHEREAS, by Resolution No. 21-289 (June 8, 2021), the County Board authorized a fourth contract amendment for the storage of sensitive battery and electrical equipment in the amount of $6,630.00 bringing the total contract amount to $4,496,395.94; and

 

WHEREAS, the costs associated with this fifth amendment are for on-site installation and inspection representatives for the commissioning phase and partial disassembly and reconditioning of equipment due to a longer-than-anticipated storage duration in the amount of $272,130.12.

 

NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby authorizes the Physical Development Director to execute a contract amendment with Voith Hydro, Inc. in the amount of $272,130.12, bringing the total contract amount not to exceed $4,768,526.06, subject to approval by the County Attorney’s Office as to form.

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PREVIOUS BOARD ACTION

15-532; 10/20/15

17-421; 09/01/17

18-111; 02/13/28

20-072; 02/04/20

20-402; 08/18/20

21-289; 06/08/21

 

ATTACHMENTS

Attachment: None.

 

BOARD GOALS

   ☒ A Great Place to Live                                          ☐ A Healthy Environment     

   ☐ A Successful Place for Business and Jobs         ☐ Excellence in Public Service

 

CONTACT

Department Head: Nikki Stewart

Author: Mike Behan