Title
Resolution to Approve Purchase of Sodium Hydroxide for Water Treatment Services from PVS Nolwood Chemicals, Inc Bid No. ITB-4375 (estimated $175,208.00/yr)
Memorandum
Your approval is requested to authorize the purchase of sodium hydroxide for the Water Treatment Services 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 cost of this chemical for FY16 is $175,208.00.
The City received the following bids:
PVS Nolwood Chemicals $484.00/ton
JCI Jones Chemical $500.00/ton
Univar $518.11/ton
Brenntag Great Lakes $535.00/ton
KA Steel $537.00/ton
Sodrox Chemicals $554.00/ton
Rowell Chemical $565.00/ton
Shannon No Bid
It is recommended that Council accept the bid and award a purchase order to PVS Nolwood Chemicals, Inc, as the lowest responsible bidder, to provide the Water Treatment Service Unit with sodium hydroxide for FY16.
It is also recommended that the purchasing agreement be extended for up to three additional one-year periods at no increase in cost if the vendor is agreeable and if in the best interest of the City.
If PVS Nolwood Chemicals, Inc is unable to furnish sodium hydroxide, it is requested that the City Administrator be authorized to accept the next lowest responsible bidder for the sodium hydroxide purchase.
Funds are specifically budgeted for this purchase in the approved FY16 Operations and Maintenance Budget for the Water Supply System Fund.
Staff
Prepared by: Larry Sanford, Assistant Manager, Water Treatment Services
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Steven D. Powers, City Administrator
Body
Whereas, The Water Treatment Services 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, PVS Nolwood Chemicals, Inc's bid is the lowest responsible bid for the supply of sodium hydroxide per Bid ITB-4375;
Whereas, Funding for the purchase of sodium hydroxide is available in the FY16 approved Operation and Maintenance Budget of the Water Supply System Fund; and
Whereas, PVS Nolwood Chemicals, Inc complies with the requirements of the Non-Discrimination Ordinance;
RESOLVED, That Council accepts PVS Nolwood Chemicals, Inc's bid of $484.00/ton for sodium hydroxide in accordance with the terms of Bid No. ITB-4375;
RESOLVED, That the City Administrator be directed to approve a purchase order with PVS Nolwood Chemicals, Inc for purchase of sodium hydroxide in accordance with this resolution at an estimated cost of $175,208.00 for FY16;
RESOLVED, That the City Administrator be authorized to renew the purchasing agreement for up to three one-year periods provided both parties agree to an extension and subject to availability of funding;
RESOLVED, That the City Administrator be directed to accept the next lowest responsible bidder if PVS Nolwood Chemicals, Inc is unable to furnish adequate supplies during the Contract period; and
RESOLVED, That the City Administrator be authorized to take all necessary actions to implement this resolution.