SUBJECT/RECOMMENDATION:
Title
Approve a Contract with Corrpro Companies, Inc., in the amount of $313,424.62, for consulting and system maintenance services, and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
Clearwater Gas System distribution system is comprised of steel, cast iron and plastic gas mains/service lines. All steel gas lines must be Cathodically Protected (CP) from external corrosion. This is accomplished by applying a low voltage to the steel which prevents corrosion/oxidation of the pipe.
In July 2014, the Florida Public Service Commission (FPSC) conducted their annual evaluation of CGS's distribution system. Their evaluation found several items that need to be modified in order to be compliant. The FPSC recommended we hire an outside company to assist us in correcting the deficiencies cited in their 2014 audit. CGS issued Request for Proposals 36-14 and selected Corrpro as the best candidate for this project.
As part of the evaluation, Corrpro will provide a comprehensive report and list action items to correct all deficiencies within our CP system. In addition, Corrpro will provide all necessary field labor to correct each deficiency. This project is expected to last 6-12 months, depending on the extent of their findings.
APPROPRIATION CODE AND AMOUNT:
A first quarter budget amendment will increase expenditure code 0423-02179-530100-532-000-000 (Other Gas Regulatory) by $313,424.62 for this contract, which is offset by existing Gas Fund revenues.
USE OF RESERVE FUNDS:
N/A