cover
TO: Mayor Thomas J. Weisner
FROM: Bob Leible, Assistant Superintendent of Water Production
DATE: October 27, 2016
SUBJECT:
Resolution Awarding Contracts to Supply Process Chemicals for the Water Production Division.
PURPOSE:
To obtain City Council approval for the execution of contracts with suppliers of various chemicals for the Water Production Division. The recommended suppliers are listed in a separate attachment.
BACKGROUND:
Each year the Water Production Division (WPD) solicits bids for process chemicals to be used at the Water Treatment Plant (WTP). These chemicals are essential and necessary to the operation of the various water treatment processes such as clarification, softening, disinfection, fluoridation, and taste & odor control, as well as regulatory compliance with drinking water standards. Sealed bids for this purpose were opened on October 19, 2016. The tabulation of all bids is provided in a separate attachment.
DISCUSSION:
Most contracts are awarded to the lowest responsive, responsible bidder for a period of one-year, which may be renewable for a second year when mutually agreed upon by the City of Aurora and the supplier. Certain chemicals are occasionally bid on a trial basis because the chemical's performance in the treatment process has not yet been determined. The chemicals bid for this solicitation are all offered for a two-year period.
It should be noted that Mississippi Lime Co. (MLC) is not the lowest bidder when solely considering unit cost (2nd low bid). The WPD is nonetheless recommending MLC to supply calcium oxide for use at the WTP during 2017 - 2018 for the following reasons: 1) MLC is the only bidder who meets the minimum bid specification for 93% Available Calcium Oxide (Av CaO), the actual percent of reactive material in the bulk product. 2) MLC currently supplies the City of Aurora with calcium oxide at a unit price of $181.35/ton. The price offered by MLC for 2017 is $184.16/ton, an increase of $2.81/ton or 1.5%. 3) More raw bulk CaO from Graymont/Western Lime (low bidder) must be purchased in order to receive the same quantity of actual reactive material. As a result, an increase in lime residuals and associated disposal costs would occur. When considering both purchase and disposal costs, the total cost difference is 2.0% for MLC to supply calcium oxide to the water treatment plant. These costs are illustrated in a separate attachment.
Perhaps most importantly, the calcium oxide supplied by MLC has proven to be a consistent, reliable and successful product as utilized by the Aurora Water Treatment Plant over many years.
Funds have been requested in the 2017 City Budget in Account No. 510-4058-511-65-36 for all process chemicals including those in this solicitation: calcium oxide, sodium hypochlorite, anhydrous ammonia, liquid ferric chloride, and carbon dioxide.
IMPACT STATEMENT:
None.
RECOMMENDATIONS:
That the attached resolution be submitted to the City Council for their approval so that contracts may be executed for a two-year period as indicated therein. It is further recommended that this matter be forwarded to the Finance Committee for their review and approval.
cc: Alderman O’Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Mesiacos, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
title
A Resolution Awarding Contracts to Supply Process Chemicals for the Water Production Division.
body
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, bids were requested for process chemicals to be used in the treatment of the City's water supply for a two-year period (2017 - 2018); and
WHEREAS, listed on the attachment, "WPD Recommended Chemical Bidders 2017 - 2018", are the lowest responsive, responsible bidders for each process chemical, at the bid amount shown, for a two-year period; and
WHEREAS, Mississippi Lime Co. is recommended as the lowest responsive, responsible bidder able to supply calcium oxide (lime) which meets the minimum specification for Available Calcium Oxide (the reactive material in the bulk product); and
WHEREAS, funding for the purchase of all process chemicals is provided annually in the City Budget in Account No. 510-4058-511-65-36;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: that the Purchasing Director is hereby authorized to enter into an agreement with the lowest responsive, responsible bidder for each process chemical, as recommended above, for the Water Production Division.