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TO: Mayor Richard C. Irvin
FROM: Robert Leible, Assistant Superintendent of Water Production
DATE: November 8, 2021
SUBJECT:
A Resolution Awarding Contracts to Supply Process Chemicals for the Water Production Division (WPD) to Kemira Water Solutions, Rowell Chemical Corporation, Alexander Chemical Company, Donau Carbon, and Mississippi Lime.
PURPOSE:
To obtain City Council approval for the execution of contracts with suppliers of various process chemicals for the Water Production Division.
BACKGROUND:
Each year the Water Production Division solicits bids for process chemicals to be used at the Water Treatment Plant. These chemicals are essential and necessary to the operations of the various treatment processes such as 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 21, 2021.
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. Bid pricing is solicited for year 1 and year 2 of the chemical supply agreement. The following suppliers are the lowest responsive, responsible bidders: liquid ferric chloride (Kemira), sodium hypochlorite (Rowell), fluorosilicic acid (Alexander), and powered activated carbon (Donau).
Alexander and Rowell submitted bid pricing for 2022 only. Donau and Kemira submitted pricing for 2022 and 2023. Chemical pricing in general has increased substantially due to several drivers including the global pandemic, transportation costs, inflationary effects, and raw material availability after the Texas winter storm and hurricanes (supply chain issues). Specifically, the following are the percent increases for the low-bid chemicals for 2022 as compared to current 2021 pricing: ferric chloride +22.2%, sodium hypochlorite +111%, fluorosilici...
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