Title
Resolution to Increase the Purchase Order with The Detroit Salt Company, L.C. for the Purchase of Seasonal Backup Supply Ice Control Salt through the Michigan Delivering Extended Agreements Locally (MiDEAL) ($65,972.00 increase, Total $281,212.00)
Memorandum
Attached for your approval is a resolution authorizing an increase to the existing purchase order for bulk ice control salt to control snow and ice accumulations on City streets during the winter events.
Annually, the State of Michigan solicits a state-wide bid for bulk ice control salt, allowing those who participate to receive advantageous pricing. The bid seeks pricing for early fill and seasonal backup supply of ice control salt. This season Public Works only sought pricing for seasonal backup supply. The Detroit Salt Company, L.C. was the low bidder for seasonal backup supply.
As a result of the City using the MiDEAL bid, the quantities are guaranteed. The contract allows the City to purchase up to 130% of the contracted quantity or only 80% of the contracted quantity, as conditions warrant.
The 2025-2026 Winter Season has produced more winter events than in recent seasons, this has resulted in the need to purchase the contractual 30% (1,200 Tons) overage of bulk salt allocated to the City of Ann Arbor in excess of the original request of 4,000 tons.
Seasonal Backup Maximum Limit = 130% of 4,000 tons = 5,200 tons at $53.31/ton +$4,000.00* for trucking load variances = $281,212.00
*Due to the difficulty of loading trucks to the exact tonnage ordered, Public Works is seeking an additional $4,000.00 above the quantity requested to be able to pay the vendor, The Detroit Salt Company, L.C., if overloading should occur on the seasonal backup fills.
Budget/Fiscal Impact: Sufficient funds for this purchase are available within the appropriate approved FY26 Public Works Operation and Maintenance Budgets.
Staff
Prepared by: Robert West, Public Works Assistant Manager
Reviewed by: Paul Matthews, Public Works Manager
Jordan Roberts, Public Services Area Administrator
Approved by: Milton Dohoney Jr., City Administrator
Body
Whereas, The City uses ice control salt on major streets, local streets, and other public spaces during the winter months in response to snow and ice accumulation, with care given to achieving a balance between traffic safety and environmental impacts;
Whereas, Competitive bids were solicited by the State of Michigan for early fill and seasonal backup supply of bulk ice control salt. The Detroit Salt Company, L.C. submitted the lowest responsible bid for seasonal backup supply;
Whereas; The contract allows the City to purchase up to 130% of the contracted quantity or only 80% of the contracted quantity, as conditions warrant;
Whereas; The 2025-2026 Winter Season has produced more winter events than in recent seasons and has resulted in the need to purchase the contractual 30% (1,200 Tons) overage of bulk salt allocated to the City of Ann Arbor in excess of the original request of 4,000 tons;
Whereas, The bid prices are firm through August 31, 2026;
Whereas, The Detroit Salt Company, L.C. is an approved vendor of the State of Michigan and complies with the City’s Non-Discrimination Ordinance; and
Whereas, Sufficient funds have been budgeted in the approved operations and maintenance budgets of the Public Service Area for the proposed expenditures;
RESOLVED, That City Council approves an increase to the existing purchase order to The Detroit Salt Company, L.C. for the supply of ice control salt for seasonal backup supply to an amount totaling $281,212.00 (5,200 tons @ $53.31/ton + $4,000.00 for truck loading variances for seasonal backup); and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.