AGENDA TITLE:
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Adopt a Resolution Authorizing City Manager to Execute Amendment No. 3 with Clean Energy, of Newport Beach, for Monthly and Preventative Maintenance and Repairs of Compressed Natural Gas Fueling Station ($175,000) (PW)
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MEETING DATE:
May 21, 2025
PREPARED BY:
Public Works Director
recommendation
RECOMMENDED ACTION:
Adopt Resolution Authorizing City Manager to Execute Amendment No. 3 with Clean Energy, of Newport Beach, for Monthly and Preventative Maintenance and Repairs of Compressed Natural Gas Fueling Station in the amount of $175,000.
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BACKGROUND INFORMATION:
Since 2015, the City has contracted with Clean Energy to perform monthly inspections and maintenance on the compressed natural gas (CNG) fueling station. The contract for the monthly inspections and maintenance includes labor and materials needed to perform maintenance, such as compressor oil, filters, and dryer elements. Also included in the contract is a provision for on-call repairs.
The CNG fueling station is heavily used and is critical to operations of the City’s transit vehicles. The agreement for monthly maintenance of the CNG fueling station ensures that the system is operating properly. The contractor performs monthly on-site inspections of the fueling station and performs routine maintenance that may be required at the time. Any major or emergency repairs will be charged at the quoted hourly rate, parts and materials cost, plus mark-up.
The City of Lodi’s Compressed Natural Gas (CNG) fueling station was originally constructed in 2002, and it has two compressors. One is currently inoperable, and the second compressor has a significant number of run hours and is increasingly needing repairs, for which it is very difficult to procure parts.
By separate project, the City seeks to upgrade the existing system to establish a reliable fueling source for the City’s CNG transit fleet. The future CNG Upgrade Project consists of replacing aging, end-of-life components of the CNG station by upgrading the compressors, CNG fast fill dispenser, and associated valve and communication panels.
Due to the constant repairs, the City is requesting additional funding to address necessary repairs until the new project is complete. Amendment No. 3, if approved, will add $175,000 to the contract that will be used to fund necessary repairs and maintenance and extend the contract term through September 30, 2026. The CNG Upgrade Project mentioned above is expected to be completed prior to this date.
Staff recommends adopting a resolution authorizing the City Manager to Execute Amendment No. 3 with Clean Energy, of Newport Beach, for Monthly and Preventative Maintenance and Repairs of Compressed Natural Gas Fueling Station in the amount of $175,000.
STRATEGIC VISION:
8A\. Public Well-Being.
FISCAL IMPACT:
Routine monthly maintenance will reduce long term repair costs and improve reliability of the CNG system.
FUNDING AVAILABLE:
Funding for this project is budgeted in Fiscal Year 2025/26 Fleet Services Operating account (6505000)