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TO: Mayor Richard C. Irvin
FROM: David E. Schumacher, P.E.; Superintendent of Water Production
DATE: July 24, 2017
SUBJECT:
A Resolution Authorizing an Addendum to the Amended and Restated Potable Water Service Agreement with Calgon Carbon Corporation (Calgon) for the lease of Granular Activated Carbon (GAC) in filters 1 - 4 for the Water Production Division (WPD).
PURPOSE:
To obtain City Council approval for an addendum to the subject agreement for pricing and installation of GAC for filters 1 - 4 in 2017 at the City of Aurora Water Treatment Plant (WTP).
BACKGROUND:
The WTP has 12 dual-media filters which contain sand and GAC which are used to remove solids prior to disinfection of the water. In addition, the GAC media serves to remove taste and odor compounds which are adsorbed onto the GAC in the filter bed. Over time the GAC is expended (spent) and needs to be replaced/refreshed, typically between 36 and 42 months. This is done on a staggered schedule in three groups of filters, filters 1 - 4, 5 - 8, and 9 - 12.
The WPD currently leases GAC under an existing agreement with Calgon and has long since standardized the use of GAC provided by Calgon. Until most recently, the WPD had always utilized brand new GAC, otherwise known as "virgin" GAC. Due to escalating costs of virgin GAC, Calgon provided an option to utilize "reactivated" GAC under their Custom Municipal Reactivation (CMR) program. Reactivation, in simple terms, is the high temperature heating of the spent GAC which volatilizes the adsorbed compounds thus returning the GAC to additional productive service. The opportunity for cost savings from utilization of CMR GAC is significant, without sacrificing substantial performance when compared to virgin GAC.
CMR GAC is currently in use in filters 2, 4, 7, 8 and 9 - 12 at the WTP. Based upon the results of testing of CMR GAC over the past five years, performance and longevity have been comparable to that of the virgin GAC which was placed in filters 1, 3, 5, and 6 for experimental comparison. Due to favorable performance, filters 1 - 4 will all be furnished with CMR GAC at the scheduled fall 2017 replacement.
DISCUSSION:
Due to the demonstrated performance of CMR GAC currently in use at the WTP, all GAC to be replaced in filters 1 - 4 will be CMR GAC as noted above, at a cost of $31.95/cubic foot in 2017, a 0% increase from 2016. The total cost for the 36 month lease term for the CMR GAC in filters 1 - 4 will be $309,276.00.
As a comparison, virgin GAC pricing in 2017 is $51.32/cubic foot, or $496,777.60 per the 36 month lease term. Thus, when compared to virgin GAC over the 36 month lease term, the savings realized from the use of CMR GAC is $187,501.60 or 37.7%.
Funding for leasing GAC is provided annually in the WPD Budget Account No. 510-4058-511-38-28.
IMPACT STATEMENT:
None.
RECOMMENDATIONS:
That the City Council authorizes an addendum to the Amended and Restated Potable Water Service Agreement with Calgon for pricing of GAC to be installed in filters 1 - 4 in 2017. It is further recommended that this matter be forwarded to the Buildings, Grounds, and Infrastructure Committee for their review and approval.
cc: Alderman Garza, Chairman
Alderman Donnell
Alderman Bohman
Alderman Hart-Burns, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution Authorizing an Addendum to the Amended and Restated Potable Water Service Agreement with Calgon Carbon Corporation for the lease of Granular Activated Carbon in filters 1 - 4 for the Water Production Division.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the Water Production Division utilizes granular activated carbon (GAC) in the City Water Treatment Plant filters and the GAC is leased from Calgon Carbon Corporation under an existing lease agreement; and
WHEREAS, the Water Production Division seeks to replace the GAC filter media in filters 1 - 4 with reactivated GAC in 2017 at a unit cost of $31.95 per cubic foot or a total cost of $309,276.00 over the 36 month lease period; and
WHEREAS, funding for leasing of GAC is provided annually in the City Budget in Account No. 510-4058-511-38-28;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: does hereby authorize the Procurement Director to execute the Addendum to the Amended and Restated Potable Water Service Agreement with Calgon Carbon Corporation, Pittsburgh, PA, for the lease of Granular Activated Carbon in filters 1 - 4 at the City of Aurora Water Treatment Plant.