FROM: Robert Thompson, General Manager
Originator: Riaz Moinuddin, Director of Operations & Maintenance
SUBJECT:
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GAS COMPRESSOR INTERCOOLERS CRITICAL SPARES
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GENERAL MANAGER'S RECOMMENDATION
recommendation
RECOMMENDATION: Recommend to the Board of Directors to:
A. Approve a Sole Source Purchase Order to NEAC Compressor Service USA, Inc., for the procurement of two spare intercoolers for digester gas compressors in an amount not to exceed $246,754, not including applicable sales tax and freight; and
B. Approve a contingency of $24,675 (10%).
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BACKGROUND
The Orange County Sanitation District (OC San) operates six gas compressors between Plant Nos. 1 and 2 to increase the compression of methane gas generated during the anaerobic digestion process. The compressed gas is transferred to the Central Generation facilities, where it fuels the engine-generator units to produce electricity for both treatment plants.
The intercoolers are integral to maintaining equipment reliability and the continued operation of the gas compressors.
NEAC Compressor Service USA, Inc. (NEAC) is the Board of Directors approved original equipment manufacturer (OEM) representative and the sole authorized distributor of compressor equipment and replacement parts. As the sole authorized source for these OEM intercoolers, NEAC ensures compliance with manufacturer specifications and compatibility with the existing compressor systems.
RELEVANT STANDARDS
* Protect OC San assets
* 24/7/365 treatment plant reliability
* Maintain a proactive asset management program
PROBLEM
Due to the corrosive gases processed and their environments, the gas compressors intercoolers are susceptible to corrosion, resulting in reduced performance and reliability over time. Existing intercoolers are showing early signs of corrosion and performance degradation. OC San currently has no spare intercoolers in inventory, and replacement units require a minimum lead time o...
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