Title
Resolution to Approve Purchase of Sodium Hydroxide (Caustic Soda) for Water Treatment from JCI Jones Chemicals, Inc. (ITB 4730, Estimated $450,000.00/year)
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 FY24 with quarterly price adjustments is $450,000.00.
The City received the following bids per dry ton:
JCI Jones Chemicals, Inc. - $1,100.00 (pricing quarterly, change after 9/30/23 with 30 days written notice)
Alexander Chemical Corporation, a Carus Company- $1,249.00 (pricing per calendar quarterly only)
PVS Nolwood Chemicals, Inc.- $1,376.00 (pricing per quarterly)
It is recommended that Council accept the bid and approve a purchase order to JCI Jones Chemicals, Inc., as the lowest responsible bidder, to provide the Water Treatment Service Unit with sodium hydroxide for FY24.
It is also recommended that the City Administrator be authorized to extend the purchasing agreement for up to three (3), one-year (1) periods provided both parties agree to an extension, and with an optional price increase tied to the Producers Price Index (PPI) as outlined in the bid documents, and subject to the availability of funding.
If JCI Jones 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.
JCI Jones Chemicals, Inc. complies with the City's Non-discrimination Ordinance.
Budget/Fiscal Impact: Funds are specifically budgeted for this purchase in the approved FY24 Operations and Maintenance Budget for the Water Supply System Fund.
Staff
Prepared by: Rebecca Lahr, Drinking Water Quality Manager, Water Treatment Plant
Reviewed by: Brian Steglitz, Public Services Area Administrator
Approve...
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