Posting Language
Title
Authorize a contract for network protector rebuild and maintenance services for Austin Energy with KBS Electrical Distributors, Inc. for an initial term of two years with up to three 1-year extension options in an amount not to exceed $5,000,000. Funding: $83,334 is available in the Operating Budget of Austin Energy. Funding for the remaining contract term is contingent upon available funding in future budgets.
Body
Lead Department
Financial Services Department.
Client Department(s)
Austin Energy.
Fiscal Note
Funding in the amount of $83,334 is available in the Fiscal Year 2024-2025 Operating Budget of Austin Energy.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Purchasing Language:
The Financial Services Department issued an Invitation for Bids solicitation IFB 1100 LLM1000 for these goods and services. The solicitation was issued on February 17, 2025, and closed on March 25, 2025. Of the two offers received, the recommended contractor submitted the lowest responsive offer. A complete solicitation package, including a tabulation of the bids received, is available for viewing on the City’s website. This information can currently be found at https://financeonline.austintexas.gov/afo/account_services/solicitation/solicitation_details.cfm?sid=142102.
MBE/WBE:
This contract will be awarded in accordance with the City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program). For the g services required for this solicitation, there were no subcontracting opportunities; therefore, no subcontracting goals were established.
For More Information:
Direct questions regarding this Recommendation for Council Action to the Financial Services Department – Central Procurement at FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500. Respondents to the solicitation and their Agents should direct all questions to the Authorized Contact Person identified in the solicitation.
Council Committee, Boards and Commission Action:
September 8, 2025 – Recommended by the Electric Utility Commission on an 11-0 vote.
Additional Backup Information:
This contract will provide Austin Energy with network protector rebuild services and purchasing of components for Austin Energy’s network. Network protectors are electric protective devices used to maintain a reliable and safe electrical grid by ensuring longevity and performance of equipment, and are essential for managing the City’s power distribution. This contract also allows Austin Energy to rebuild and provide overhauls for electrical components including network protectors, breakers, and relay modules.
The recommended contractor is not the current provider for these goods and services.
Without this contract, Austin Energy could face operational and safety risks, outages, and the inability to properly maintain critical electrical infrastructure.
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Contract Details: |
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Contract Term |
Length of Term |
Contract Authorization |
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Initial Term |
2 years |
$2,000,000 |
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Optional Extension 1 |
1 year |
$1,000,000 |
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Optional Extension 2 |
1 year |
$1,000,000 |
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Optional Extension 3 |
1 year |
$1,000,000 |
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Total |
5 years |
$5,000,000 |
Note: Contract authorization amounts are based on the City’s estimated annual usage.