Title
Resolution to Approve Purchase of Sodium Hydroxide for Water Treatment from JCI Jones Chemicals, Inc Bid No. ITB-4153 ($560.00/ton, estimated $126,000.00/yr)
Memorandum
Your approval is requested to authorize the purchase of sodium hydroxide for the Water Treatment Service Unit. Sodium Hydroxide is used to raise the pH of the water to avoid taste and odor in the water delivered to customers. The estimated total cost of this chemical for FY12 is $126,000.00.
The following bids were received:
JCI Jones Chemicals Inc $560.00/dry ton
KA Steel $624.00/dry ton
Alexander Chemical $750.00/dry ton
PVS Nolwood $875.00/dry ton
It is recommended that JCI Jones Chemicals, Inc be awarded the contract as the lowest responsible bidder for the quality of chemical required to satisfy the Water Treatment Service Unit's FY12 requirement for sodium hydroxide. In the event JCI Jones Chemicals is unable to furnish the chemical, it is requested that the City Administrator be authorized to accept the next lowest responsible bidder for the sodium hydroxide purchase.
It is also recommended that the purchasing agreement be extended for up to three additional years at no increase in cost if the vendor is agreeable, and if the City deems it to be in its best interest.
Funds are specifically budgeted for this purchase in the approved FY12 Operations and Maintenance Budget for the Water Supply System.
Staff
Prepared by: Larry Sanford, Asst Manager, Water Treatment Services
Reviewed by: Sue F McCormick, Public Services Administrator
Body
Whereas, The Water Treatment Service Unit uses sodium hydroxide to raise the pH of the water to avoid taste and odor in the water delivered to customers;
Whereas, Contracts for supplying estimated requirements are the most stable and cost effective way of meeting water treatment needs;
Whereas, Of the bids received to supply sodium hydroxide per Bid No. ITB-4153, JCI Jones Chemicals, Inc submitted the lowest bid; and
Whereas, JCI Jones Chemicals, Inc received Human Rights approval on May 4, 2011;
RESOLVED, That Council accepts the JCI Jones Chemicals, Inc bid of $560.00/ton for sodium hydroxide in accordance with the terms of Bid No. ITB-4153;
RESOLVED, That the City Administrator be directed to approve a purchase order with JCI Jones Chemicals, Inc for purchase of sodium hydroxide in accordance with this resolution at $560.00/ton, for a projected cost of approximately $126,000.00 for FY12;
RESOLVED, That the City Administrator be authorized to renew the purchase order for up to three one-year periods providing both parties agree to an extension and subject to the annual appropriation of funds in FY13, FY14, and FY15;
RESOLVED, That the City Administrator be directed to accept the next lowest responsible bidder if JCI Jones Chemicals, Inc is unable to furnish adequate supplies;
RESOLVED, That the purchase of sodium hydroxide be funded from the approved FY12 Operation and Maintenance Budget of the Water Supply System; and
RESOLVED, That the City Administrator be authorized to take all necessary actions to implement this resolution.