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PAGE | 1 OF 1 <br />MEMORANDUM <br />To:St. Anthony Village City Council <br />From:Charlie Yunker, City Manager <br />Date:September 24, 2024 City Council Meeting <br />Request:Approval of Water Treatment Plant Backup Generator Repair <br />BACKGROUND <br />On May 27, 2024 the city experienced a substantial power outage due to the effects of a thunderstorm. <br />The outage triggered the generator that supplies backup power to the Water Treatment Plant, City Hall, <br />Community Services, and the Police Department to energize, as intended. Public Works was notified of <br />the power outage when the alarms at the Water Treatment Plant were activated and responded to the <br />site. The generator ran for approximately one hour with no indications of any complications. <br />On June 4, 2024 Public Works conducted their monthly routine inspection of the generator and found a <br />substantial amount of coolant on the floor of the generator housing. Cummins, the generator supplier <br />and repair service provider, was contacted and visited the site. The technician confirmed the coolant <br />supply hose failed, causing the generator’s motor to run with no coolant. This caused a complete failure <br />of the unit and major repairs are needed. <br />Staff immediately arranged for a temporary generator to be rented to provide back-up power for the <br />Water Treatment Plant. In addition, a city-owned generator was placed at the Community Center to <br />provide back-up power for that building. These have been utilized a few times over the summer. <br />A representative from J.C. Malee & Associates via The League of Minnesota Cities Insurance Trust <br />(LMCIT) performed an evaluation of the generator, reviewed service records, and spoke with city and <br />Cummins staff. The LMCIT responded with a payment recommendation in the amount of $249,733.74, <br />matching the amount quoted by Cummins to perform the repairs. It was determined a replacement <br />engine would cost more than repairs and is currently not available and that a used/refurbished engine is <br />not available for less than the rebuild. Insurance will cover the cost of the repair minus the City’s <br />deductible of $2,500.00 when a signed contract is provided. <br />Costs for the temporary generator will be covered under the policy as well once it is taken offline. <br />RECOMMENDATION <br />The staff recommends approval of the backup generator repair. <br />ATTACHMENTS: <br />Contractor’s quote <br />Resolution 24-062 <br />31