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File #: 19-1072    Version: 1 Name: 7/1/19 - FY 20 D3W Resolution
Type: Resolution Status: Passed
File created: 7/1/2019 In control: City Council
On agenda: 7/1/2019 Final action: 7/1/2019
Enactment date: 7/1/2019 Enactment #: R-19-317
Title: Resolution to Approve the Purchase of Odor Control Chemicals from D3W Industries, Inc. for the Wastewater Treatment Plant ($119,350.00 Annually, Estimated)
Attachments: 1. PB Quotation Ann Arbor 2019.pdf, 2. PB Sole Source Ann Arbor 2019.pdf

Title

Resolution to Approve the Purchase of Odor Control Chemicals from D3W Industries, Inc. for the Wastewater Treatment Plant ($119,350.00 Annually, Estimated)

Memorandum

Your approval is requested to authorize the purchase of odor control chemical from D3W Industries, Inc. (D3W) for the City’s Wastewater Treatment Plant (WWTP) at the maximum unit price of $62 per gallon, for an estimated volume of 1,925 gallons per year and total estimated annual cost of $119,350.00, for a three-year period.

 

During the winter season, the WWTP centrifuges liquid biosolids to reduce the moisture content and produce a cake that is disposed in a landfill.  Previously, the WWTP added lime dust to the centrifuged cake to reduce odors to a level that made it acceptable to the landfill.  However, during truck loading activities, the lime dust released significant amounts of ammonia that caused strong odors at the WWTP and migrated to areas surrounding the plant.  As a result, the Michigan Department of Environment, Great Lakes and Energy (MDEGLE) received odor complaints and informed the City that it was not in compliance with the terms of its air quality permit.

 

Through various field tests, WWTP staff determined that a chemical called Planet Breeze from D3W is most effective for reducing odor complaints both locally and at the landfill. Consequently, Planet Breeze was used during the past several winter landfill seasons. Based on these successful results, and to avoid violations of the MDEGLE air quality permit that could lead to citations, fines or other regulatory actions, your approval is requested for the purchase of Planet Breeze for three years. D3W is the sole manufacturer and distributor of this particular product and has informed WWTP staff that it will offer a discounted unit price that ranges from $57 to a maximum of $62 per gallon for FY20, FY21 and FY22. (By comparison, the unit price through FY19 is $61 per gallon.)

 

D3W received Contract Compliance approval on May 6, 2019, and is not required to provide proof of Living Wage Compliance because it is supplying a commodity.

 

Funds to finance this purchase are included in the approved FY20 WWTP Operation and Maintenance budget for the Sewage Disposal System. Purchases during FY21 and FY22 are subject to the availability of funds.

Staff

Prepared by:                     Earl J. Kenzie, P.E., Manager, WWTSU

Reviewed by:                     Craig Hupy, Public Services Area Administrator

Approved by:                                          Howard S. Lazarus, City Administrator

Body

Whereas, During the winter season, the City’s Wastewater Treatment Plant (WWTP) centrifuges liquid biosolids to reduce the moisture content and produce a cake that is disposed in a landfill;

 

Whereas, The WWTP previously added lime dust to the centrifuged cake to reduce odors to a level that made the cake acceptable to the landfill;

 

Whereas, Lime dust released significant amounts of ammonia that caused strong odors at the WWTP and migrated to areas surrounding the plant, which resulted in odor complaints to the Michigan Department of Environment, Great Lakes and Energy (MDEGLE);

 

Whereas, MDEGLE staff informed the City that it was not in compliance with the terms of its air quality permit and had to take action to mitigate the odors;

 

Whereas, WWTP staff field tested several odor control chemicals as an alternative to lime dust for centrifuged cake and found Planet Breeze from D3W Industries, Inc. (D3W) proved to be the most effective option for mitigating odors both locally and at the landfill;

 

Whereas, The WWTP used Planet Breeze successfully during the past several winter landfill seasons;

 

Whereas, D3W is the sole manufacturer and distributor of this particular product and has offered a discounted unit price that ranges from $57 to a maximum of $62 per gallon for FY20, FY21 and FY22;

 

Whereas, D3W received Contract Compliance approval on May 6, 2019; and

 

Whereas, Sufficient funds for this purchase have been budgeted in the approved FY20 WWTP Operation and Maintenance Budget for the Sewage Disposal System, and purchases during FY21 and FY22 will be subject to the availability of funds;

 

RESOLVED, That City Council approve the purchase of Planet Breeze from D3W at the maximum unit price of $62 per gallon, with an estimated volume of 1,925 gallons per year and a total estimated annual cost of $119,350.00 for a three-year period starting in FY20; and

 

RESOLVED, That the City Administrator be directed to enter into an agreement in accordance with this resolution.