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HomeMy WebLinkAboutItem 06.jDate: 14 July 2011 Item No. CONTRACT AMENDMENT WITH SEAFORTH ELECTRIC, INC. TO EXTEND THE CONTRACT FOR THE LIGHTING RETROFIT PROJECT Proposed Action Staff recommends adoption of the following motion: Move to approve the contract amendment with Seaforth Electric, Inc. to extend the contract for the lighting retrofit project. Passage of this motion provides an extension of the contract to 31 August 2011 to allow for final installation of parking lot and exterior lights. Overview The Lighting Retrofit Project replaces exterior building and parking lot lights at the Central Maintenance Facility, Water Treatment Facility, and Fire Station 4. The City contracted with Seaforth Electric, Inc. on 31 March 2011. Completion of the installations was planned for 30 June 2011. During installation, a defect in the manufacturing process for the light fixtures was found that resulted in damage to the wires connected to the lights. The manufacturer's representative verified the defect on site and the manufacturer made the determination that the fixtures be returned to the factory for modification. Fixtures from each of the facilities were returned to the manufacturer and will be returned for installation. The process of returning the fixtures to the manufacturer has increased the time needed for installation. Staff has reviewed the contract amendment and recommends approval. Primary Issues to Consider • The manufacturing defect was outside the control of Seaforth Electric, Inc. Extending the contract provides adequate time for the modification and installation of the fixtures. Supporting Information • A co -the proposed contract amendment and manufacturer's letter is attached. C ristophef Petr-e Operations and Maintenance Director Financial Impact: None Related Documents (CIP, ERP, etc.): Notes: Budgeted: Source: AGREEMENT dated 18 July 2011, by and between the CITY OF LAKEVILLE, a Minnesota municipal corporation ( "City "), and SEAFORTH ELECTRIC, INC., a Minnesota corporation (the "Contractor "). 1. EXISTING AGREEMENT. The parties have previously entered into a Contract for the lighting retrofit project dated 31 March 2011 which is incorporated herein by this reference shall remain in full force and effect except as specifically modified by this First Amendment. 2. AMENDMENT. The Contract is amended by changing the required completion date from 30 June 2011 to 31 August 2011. CITY OF LAKEVILLE (SEAL) FIRST AMENDMENT TO CONTRACT BY: AND Mark Bellows, Mayor Charlene Friedges, City Clerk SEAFORTH ELECTRIC, INC. BY: Its Architectural Lighting Design St. Anthony Office 2920 Anthony Lane St. Anthony, MN 55418 -3239 Attn: Bob Early Regard, Philips Gardco Field Service www.sitelighting.com PHILIPS Philips Gardco lighting 1611 Clovis Barker rd Philips Gardco/ Field Service Subject: City of Lakeville SO #308583,309979 Date: 2011 -07 -01 309980 P.O.# 5500920786 In response to the reported manufacturing defect on products listed on P.O. # 5500920786, Philips Gardco has initiated a recall of components with the intention of reworking product in an expedited manner. Upon internal investigation, it was discovered that our production team did not secure the LED pig tails according to our digital manufacturing documentation. The LED pig tails were un- secured in a manner that allowed contact with the internal support brackets. This led to the wires being pinched which compromised the dielectric of the LED power wires. This issue has been corrected in our manufacturing efforts and should not re- occur. Moving forward, Gardco is taking the following action to resolve this issue. Philips Gardco management team met on June 28th and recalled all products from the distributor's warehouse. This is documented on RMA #'s 312950, 312951 and 312976. Products on RMA #'s 312950, 312951 have already been shipped back to Philips Gardco's location. These were shipped via YRC tracking# 275 - 881943 -4. The production team has agreed to turn this product around in 48 hours after receipt of product. RMA# 312976 is a bit more complex than the two others. These units have been installed with a temporary field fix. Our plan 01 action for these units will be to take exactly Y2 of the units down to be sent back to the factory for repairs. As the cartons have already been discarded, Philips Gardco will ship new cartons directly to Seaforth electric. Seaforth will be responsible for taking the units down and re- installing once they are shipped back. Upon receipt of the first batch, Seaforth will be sending the second batch to the factory for repairs. We have the same 48 hour commitment from our production team that we have on the above RMA's. We are very sorry for the inconvenience caused by this manufacturing error. With the above action plan, we are well on our way to resolving this issue in its entirety. We thank you for your time and patience to this ongoing matter.