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TO: Mayor Richard C. Irvin
FROM: David E. Schumacher, P.E., Superintendent of Water Production
DATE: November 14, 2019
SUBJECT:
A Resolution Authorizing a Scheduled Inventory Reagent Replacement Plan with the HACH Company for the Water Production Division
PURPOSE:
To obtain authorization for a one-year Scheduled Inventory Reagent Replacement (SIRR) Plan with the HACH Company (HACH), Loveland, CO, for laboratory chemical reagents for the calendar year 2020 for the Water Production Division (WPD), at a cost of $33,733.40.
BACKGROUND:
Since 2006, the WPD has maintained a SIRR agreement with HACH under which chemical reagents are supplied for existing HACH on-line and laboratory water quality monitoring instrumentation utilized at the Water Treatment Plant and associated remote WPD sites. The current SIRR plan will expire on December 31, 2019.
DISCUSSION:
The chemical reagents are used in approximately 80 analyzers manufactured by HACH. These analyzers test for chemical parameters essential to maintaining regulatory compliance and effective water treatment process control, such as pH, chlorine residual, ammonia nitrogen, and fluoride residual.
The cost of the proposed SIRR plan is $33,733.40, a decrease of $1,694.72 from the 2019 SIRR plan. Some of this decrease is due revisions of testing processes utilized and modified testing frequencies by the WPD. Also, by entering into such an agreement with HACH, they have provided preferred/reduced pricing for a total volume discount of approximately 11.86% off their standard list prices for the provided reagents. HACH is not receptive to negotiating a two-year SIRR plan.
HACH has a well-established and successful history of providing reagents needed in a timely manner while avoiding issues with backordered or out-of-stock items for the WPD. As such, the WPD recommends HACH to provide the necessary reagents through their SIRR plan program to insure a successful outcome.
Per City of Aurora Code of Ordinances, Article 5, Section 2-355 (a) (6), any municipal work or public improvement, when the expense thereof will exceed twenty-five thousand dollars ($25,000.00), may be undertaken or constructed by contract or agreement without advertising for bids if authorized by a vote of three-fifths (3/5) of the members of the city council then holding office.
Funds have been requested in the 2020 City Budget in Account No. 510-4058-511-61-30.
IMPACT STATEMENT:
Not approving the SIRR plan would render most of the necessary HACH analyzers inoperable.
RECOMMENDATIONS:
That a resolution authorizing award of a purchase order, to the HACH Company in the amount of $33,733.40 be approved by the Mayor and City Council. It is further recommended that this matter be submitted to the Finance Committee for review and recommendation.
cc: Finance Committee
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
title
A Resolution Authorizing a Scheduled Inventory Reagent Replacement Plan with the HACH Company 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, the current Scheduled Inventory Reagent Replacement Plan (SIRR) for chemical reagents for the existing analytical equipment manufactured by the HACH Company (HACH), Loveland, CO and utilized by the Water Production Division, will expire on December 31, 2019; and
WHEREAS, these reagents are used in approximately 80 laboratory and on-line water quality monitoring instruments manufactured by HACH, providing analyses essential to regulatory compliance and effective water treatment process control, and
WHEREAS, HACH has provided this service to the City with satisfactory results over an extended period of time, and
WHEREAS, a proposal has been received from HACH where they have provided preferred/reduced pricing for a total volume discount of approximately 11.8% off their standard list prices for the provided reagents for a one-year SIRR plan for existing instrumentation, for the price of $33,733.40; and
WHEREAS, budgetary authority for this purchase has been requested in the 2020 City Budget in Account No. 510-4058-511-61-30; and
WHEREAS, per City of Aurora Code of Ordinances, Article 5, Section 2-355 (a) (6), any municipal work or public improvement, when the expense thereof will exceed twenty-five thousand dollars ($25,000.00), may be undertaken or constructed by contract or agreement without advertising for bids if authorized by a vote of three-fifths (3/5) of the members of the city council then holding office.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: subject to the approval of this item in the 2020 budget, Hereby authorizes a one-year SIRR plan agreement with the HACH Company for the Water Production Division effective for the calendar year 2020, and does hereby further authorize its Purchasing Director to issue necessary orders to implement purchase of same.