Project UpdateMajor Components
• Contract is structured to provide engineering analysis and field inspection of parts to be reused to ensure 50 year life extension. Possible outcomes include:– reuse as is– modify & reuse– replace
• New components– turbine runner– inner headcover– wicket gates (originally planned for reuse)
• Stress concentrations• Fatigue life• Material properties• Unacceptable for 50 yr. life extension
5
Project UpdateMajor Components
• Refurbished components– intermediate head cover– stay ring and stay vanes– bottom ring– wicket gate linkage, operating ring, & servomotor– turbine bearing– packing box– Kaplan pipes, oil head and governor oil pressure system– turbine shaft (originally planned for reuse as is)
• Stress concentrations• Fatigue life• Acceptable for 50 yr. life extension with modifications
6
SHOP ASSEMBLY Voith York (PA) or Voith Sao Paulo (Brazil)
Major Part Manufacturing
CASTING/FABRICATION MACHINING
HUB & INTERNALS China Erzhong (China) Voith Shanghai (China)
BLADES Voith Sao Paulo (Brazil) Voith Sao Paulo (Brazil)
7
Change Order #1
• Housekeeping changes (no cost)– Modifies the Milestone Schedule to match awarded project scope– Adjusts the Payment Schedule to match the Milestone Schedule– Adjusts the liquidated damages to match the Milestone Schedule– Clarifies the timing for making price adjustments per the escalation clauses
9
Description of Change COST Increase to Voithcontract?
Increase to project cost?
Changes location and shifts responsibility for lead abatement and painting for intermediate headcover refurbishment to Voith.
$120,000/unit yes no
New inner headcover deck plates $12,000/unit yes no
Adds bottom ring facing plates $113,027/1st unit 106,690/2nd‐10th unit
yes yes
Modifies methodology for site assembly of the runner
$184,471 yes no
Adds design of modifications of certain parts to be reused
Turbine shaft ‐ $62,272Wicket gates ‐ $119,401Wicket gate mechanism ‐ $5,560
yes yes
Change Order #1 Costs
• Cost for changes included in Change Order #1– Increase in Voith contract costs – $ 2,764,941– Increase in project costs – $1,260,470
• New total Contract Price – $64,363,818
10
Next Steps
230‐2583 PR Turbine Upgrades
Approval of Change Order #1 June 9, 2015Resolution of shaft, wicket gates and other misc. items ‐ potential Change Order 2
June 23, 2015
Potential approval of Change Order #2 July 14, 2015
13
Other Related Contracts General NDE services 3rd quarter 2015Lead abatement & painting 4th quarter 2015Site labor 1st quarter 2016Discharge & bottom ring refurbishment 1st quarter 2016
2
Project Timeline/HistoryDESCRIPTION DATE
Commission Action: Prequalification of Voith, Alstom, Andritz
June 10th, 2014
Draft technical specifications provided to bidders for comment.
Oct 10, 2014
Andritz notifies District their Canadian bar shop was moved, Andritz required to re‐qualify a facility that meets the pre‐qualification criteria
Oct 22, 2014
Commission Report: Pre‐Qual update, GE request to reconsider their pre‐qual status, and bars vs coils discussion
Dec, 9th 2014
Staff approves Andritz’s Austrian bar manufacturing facility.
Dec 18th 2014
Contract Released for Bid Jan 29, 2015
Contract Bids Opened April 23, 2015
3
Contract Scope of Work
Monitoring System
Excitation System
Thrust Bearing
Thrust bearing scope likely to increase
Bids Received
*Engineer’s Estimate developed from 2008 Wanapum Generator Contract bids and
escalated to 2015. Confirmed by Independent estimate by MWH at $98,978,000. • Close Competitive Bids, 2.8% between Base Bids
Bidder Base BidAlternate Bid No.
1Alternate Bid No.
2
Voith Hydro $85,351,900 $83,935,300 $90,760,100
Andritz Hydro $87,491,100 $85,763,400
Alstom Power $87,775,000
Engineer’s Estimate* $98,660,000
4
Commercial & Technical Evaluation Criteria per Contract
• Total Bid Price• Efficiency Evaluation• Temperature Evaluation• Schedule Evaluation• Bidders Data
– Sub‐Contractors– Project and site managers– Technical/commercial exceptions– Equipment data, descriptions, and drawings
• Other Elements that may affect cost or benefits to the District
5
6
Existing11,199
Alstom11,064
Voith, 11,687
Andritz11,340
10,700
10,800
10,900
11,000
11,100
11,200
11,300
11,400
11,500
11,600
11,700
11,800Kilowatts
Total Generator Losses, 10 units
Lower Losses = Better Efficiency
Over ½ Megawatt Spread Amongst Bidders
Andritz Hydro Base & Alt Bids• Commercially Compliant• Technically Non‐ Compliant• Major Technical Exceptions
– Bar installation method is not one of the two defined methods. Not “equal or better than” the two methods.
• Does not provide a zero clearance on both sides of Bar• Does not meet wedging system requirements to provide 150% preload on the bar
– Excitation System has numerous exceptions• Alternate Bid 1 could not be considered according to ITB‐2, since Base Bid was non compliant
7
Voith Hydro Alternate Bids• Alternate Bid 1
– Commercially Non‐Compliant, Technically Compliant– Commercial Exception: Alternate payment schedule with
progress payments resulting in $1.4M price reduction, However;• Forward cash flow of progress payments results in reduced value of $2.4M compared to their base bid
• $2.4M added to evaluated bid price • Additional risk added with progress payments vs payment for on‐site material delivery or on‐site assembly completion
• Alternate Bid 2 – Commercially Non‐Compliant– Uses same sub contractors for excitation and monitoring
systems as Wanapum Dam resulting in a $5.4M price increase. Also includes progress payments. No additional value to District over their Base Bid and not considered.
– No further technical evaluation completed
9
Alstom Power Bid• Commercially & Technically Compliant• Best efficiency of all Bidders• Only bidder to improve the efficiency of the Units
– Achieved by tightening baffle clearances & sealing leakage paths
– Optimized rotor pole connection system that does not negatively impact the efficiency
• Stator bars, Exciter, and Monitoring System all manufactured in Canada. Same supply as Wanapum – Reduced internal labor resources – Many Interchangeable spare parts between plants
• Lowest Evaluated Bid
10
Evaluated Bid Prices
11
$85,351,900
$83,935,300
$87,775,000
$3,395,350
$3,395,350
$0 Most Efficient
$2,414,679
$81,000,000
$82,000,000
$83,000,000
$84,000,000
$85,000,000
$86,000,000
$87,000,000
$88,000,000
$89,000,000
$90,000,000
$91,000,000
Voith Voith alt 1 Alstom
Bid Price Efficiency Adjustment Progress Payments
$87,775,250
$88,747,250
$89,730,650
Alstom Optional Bid Items• 19 Optional Bid Items for: replacement parts, additional field work, or additional spare parts. – Future Engineering analysis and field inspection will determine the need for replacement parts
– We expect to replace thrust bearing at $1M per Unit• Spare Power Potential Transformer for Excitation System. Alstom’s price is $128,400– Significantly reduced down time in case of failure – Significantly reduced pricing when purchased with other 10 Units and not in an emergency condition
• Recommend award of Optional Bid Item No. 9 for Spare Power Potential Transformer
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Staff’s Recommendation
Award Contract 230‐3737 for the Priest Rapids Dam Generator Rehabilitation
to:Alstom Power Inc. in the amount of
$87,903,514 *
*Includes price of Optional Bid Item for spare transformer
13
2 Public Affairs Q1-2015 Report
Targeted,
easy-to-define
metrics to
determine
effectiveness
of campaigns
3 Public Affairs Q1-2015 Report
Results of High Speed Network campaign:
Through March 31, 2015
• 508 new fiber subscribers, 5% growth in Q1, (17.9% growth since ‘13.)
• $158,496 in additional annual revenue
– $569,400 in additional annual revenue since Jan. 1, 2014
• In Q1, take-rate goal gap closed from 2.97% to 1.38%
• Fastest growing hubs – Mattawa +68, Larson +48, Soap Lake +36
• Implementing Wireless marketing plan
Public Affairs Q1-2015 Report 5
Results of Q-1 ePay campaign
New ePay
customers in Q1
2015:
• 549 new ePay
customers –
9.7% growth
• $9,882 in
annual mailing
savings
– $41,000
since July
2013.
Public Affairs Q1-2015 Report 6
Share the Warmth
• Record-breaking donations of $63,000 for the 2014-2015
campaign, (Feb. 2014-Jan. 2015)
Public Outreach plans for 2015
Public Affairs Q1-2015 Report 10
• Sunglass Selfie Social Media Contest
– Highlights recreation upgrades and drives social media
interaction
• Grant County Fair
– Tuesday main advertiser, partnering with 811 and Wanapum
• Summer library hydropower demonstration
– Engagement with community and youth to explain hydropower
and electrical safety
• Recreation and High Speed Network campaigns
– New video and print ads for recreation and High Speed Network
• Visitor centers development and promotion
– Working with project managers to help develop content and also
promote Wanapum and Hydro visitors centers.
Copyright ©2013 Grant County Public Utility District. CONFIDENTIAL AND PROPRIETARY
Customer Satisfaction Survey2015
Purpose
• Strategic Plan Objective 3 “Provide Outstanding Service to Our Customers”.– Metric: Retail Customer Satisfaction
Surveys » (every other year)
• Gauge effectiveness of customer education and outreach
Satisfaction Survey 12
Instrument
• Vendor: Strategies 360• Survey portion of population with a 5.7%
margin of error and a 95% confidence level.
• Sample size of 300 (Eng & Sph) representing every community.
• 10-11 min. in length
Satisfaction Survey 13
Instrument
• Previous years satisfaction levels:– ‘12=88% satisfaction– ’07=95% satisfaction– ’08=91% satisfaction
• Survey conducted in June results presented in July/Aug timeframe
• Questions designed to gather actionable data
• Requesting board input on proposed questions today
Satisfaction Survey 14