Submitted By
John P. Wielebnicki, Public Works Director
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Approving a Purchase Price Agreement with Steiner Electric Company for the Purchase of LED Street Light Lamps and Surge Protectors in an Amount Not to Exceed $38,670.00 and Authorizing its Execution as Reviewed at the May 20, 2019 Regular Meeting
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Overview
Overview
The Sustainability Fund provides funds for the implementation of a Village Wide residential street light lamp replacement project. The project will replace residential street light lamps from a 100W Mercury Vapor lamp to a 25W/3,000 Kelvin LED lamp. This item will allow the Village to enter into an agreement for the purchase of 3,000 LED lamps and surge protectors, enough material to complete the three year project.
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Body
Staff Recommendation
Approve the Resolution.
Fiscal Impact
The FY2019 Sustainability Fund provides funds for the purchase and installation of LED Street Light Lamps in account no. 2310-41020-101-570954 for a total of $170,000.00. Staff estimates that in FY2019, $170,000.00 would be enough to purchase enough lamps and surge protectors to complete the whole project and for installation of at least one third of the lamps.
Background
One of the energy efficiency program initiatives of the Sustainability Fund is to replace all of the residential street lights on the north/south streets in the Village with an energy efficient lamp. After reviewing the options with the Village Board and soliciting community input it was the consensus to replace the 2,500 100W Mercury Vapor lamps with a 25W/3,000 Kelvin LED lamp.
Pricing was requested for 1,000 LED Street Lamps and Surge Protectors from area electrical suppliers. An ad for the Request for Bids was published in the June 12th edition of the Wednesday Journal and posted on the Village Web Site. There were eleven responses from eight different suppliers as shown on the attached bid summary. Two suppliers submitted multiple bids.
The Specifications in the Request for Bids required the lamp to qualify for the $25.00 discount under the Commonwealth Edison Energy Efficiency Program.
After reviewing the bids for all materials, staff has found that it is most advantageous to purchase these materials from Steiner Electric Company.
Factors considered were:
Material - There were a total of five different LED products presented. Two of these were eliminated because of their cost, one was rejected because the lamp did not meet the minimum specifications (not enough lumens) and one product, Light Efficient Design Model Number 8018M30A is not currently available for inspection or testing due to it being a brand new product which won’t be released for at least another month.
The remaining lamp, Green Creative Model Number 97968, which the Public Works staff has been testing for almost a year and a half, has been found to be a reliable.
Price - Four Suppliers provided pricing for the Green Creative Model Number 97968 plus a qualifying surge protector, the lowest of these provided by Steiner Electric Company.
Availability - Green Creative Model Number 97968 is and has been available and has a proven track record.
Green Creative Model Number 97968 LED Lamps are manufactured (as most LED lamps are) in China. With the uncertainty of tariffs and no guarantee of the same Commonwealth Edison discounts after December 31, 2019, there is the possibility that the price could increase significantly.
Staff recommends that the Village purchase 3,000 Green Creative Model Number 97968 LED Lamps and Surge Protectors from Steiner Electric Company for a total price of $38,670.00. This would be enough material for the completion of the three year program, plus have available lamps for stock, however the installation will still be programmed over the three year period. Steiner has agreed to maintain the same price for this quantity.
Vendors were requested to provide a Return on Investment (ROI) summary for their proposed lamp. The Village also completed an independent ROI summary. The Steiner summary identifies a 0.5 year Payback Period (see Page 3 of the Steiner Lighting Retrofit Proposal). The Village’s independent summary identified a 0.26 year payback on energy and maintenance. The favorable ROI suggests this is a very worthwhile initiative.
Alternatives
The Board can delay action to gain additional information.
Previous Board Action
The Village Board has approved the funds for this project in the FY 2019 Sustainability Fund.
The Village Board met on May 20, 2019 and approved a Motion to concur with the Public Works Director’s recommendation to install 3,000 Kelvin LED lighting as Part of the Village’s Residential Street Lighting System Replacement Project.
On June 11, 2018 staff made a presentation on the details of a Pilot Street lighting Program with the potential to replace the 2,500 residential 100W Mercury Vapor street light lamps with LED lamps. As a result of the meeting Staff proceeded to install four locations with LED lamps of varying color (Kelvin rating 2,500 - 4,000) to gain public opinion.
The Village Board met on February 12, 2018 and approved a Motion to concur with the Public Works Director’s recommendation to create a Pilot Street Lighting Program and directed Staff to prepare the necessary documents. The Village Board was provided an overview of four possible street lighting options to modify the system to more energy efficient lamps.
Citizen Advisory Commission Action
The Environment & Energy Commission on October 2, 2018 approved a motion to encourage the Village Board of Trustees to proceed with the full scope of the street lighting replacement program using the 3,000 Kelvin rated LED lamps.
Anticipated Future Actions/Commitments
Under another Board Agenda item the Public Works Department will be bringing forth an agreement for the installation of the lamps. In addition, future energy efficient street lighting projects will be presented to the Village Board for consideration.
Intergovernmental Cooperation Opportunities
No intergovernmental cooperation opportunities exist at this time.