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Home My WebLink AboutPR 19447: AUTHORIZING THE SECOND YEAR (1ST RENEWAL) OF THE CONTRACT FOR THE PURCHASE OF WATER TREATMENT CHEMICALS is City of P.R.No. 19447 07/12/16 jj/ds ort rthu r Texas INTEROFFICE MEMORANDUM UTILITY OPERATIONS DEPARTMENT-ADMINISTRATION Date: July 13, 2016 To: Brian McDougal, City Manager From: Jimmie Johnson, Ph.D.,Assistant City Manager RE: Proposed Resolution No. 19447 Nature of the Request: The Utility Operations Department routinely utilizes various Water Treatment Chemicals to treat drinking water and wastewater at our various treatment facilities throughout the City. The Purchasing Division has solicited bids for such Water Treatment Chemicals. Seventeen (17)vendors responded with three (3)bidding on fluoride. Contract for the purchase of Water Treatment Chemicals with Mosaic Global Sales, LLC in the total estimated annual amounts are shown below. Fluoride Bidder 95 tons Key Chemical,Inc. $.24/Pound Waxhaw,NC DXI Ind. $.2435/Pound Houston, TX Mosaic Global $.231/Pound Lithia, FL Est. Ann. Total $43,890 Staff Analysis, Considerations: Trained and TCEQ-certified employees administer all water and wastewater treatment chemicals. Recommendation: I recommend that the City Council approve Proposed Resolution No. 19447 authorizing the extension of a contract for the purchase of Water Treatment Chemicals with Mosaic Global Sales, LLC in the total estimated amount of$43,890.00. Budjiet Considerations: This chemical is purchased on an as-needed basis and are charged to the Water Purification Division O&M Budget Account Nos. 410-1252-532.29-02. P.R.No. 19447 07/12/16 jj/ds RESOLUTION NO. A RESOLUTION AUTHORIZING THE SECOND YEAR (1sT RENEWAL) OF THE CONTRACT FOR THE PURCHASE OF WATER TREATMENT CHEMICALS FOR THE UTILITY OPERATIONS DEPARTMENT WITH MOSAIC GLOBAL SALES, LLC, OF LITHIA, FLORIDA, FOR THE SAME UNIT PRICES CURRENTLY PAID. FUNDS ARE AVAILABLE IN WATER PURIFICATION O&M BUDGET ACCOUNT NO. 410- 1252-532.29-02. WHEREAS, the Utility Operations Department routinely utilizes various Water Treatment Chemicals to treat drinking water and wastewater at our various treatment facilities throughout the City; and, WHEREAS, the Purchasing Division has solicited bids for such Water Treatment Chemicals, as delineated in our Purchasing Policy, and seventeen (17) vendors submitted bids on May 06, 2015; and, WHEREAS, the bids have been evaluated by Utility Operations and Purchasing and awarded to the lowest bidder by City Council on July 21, 2015,per Resolution 15-262; and, WHEREAS, Resolution 15-262 allowed execution of a contract for purchase of Water Treatment Chemicals with the option to renew for two (2) additional one (1)year periods; and, WHEREAS, staff is recommending exercising the option to renew the contract for the second year(1St renewal). NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT,the City Manager of the City of Port Arthur is hereby authorized and directed to execute, on behalf of the City of Port Arthur, a one year contract extension(with the option to renew one additional year) for the purchase of fluoride to treat drinking water and wastewater P. R. No. 19447 07/12/16 jj/ds Page 2 of 3 between the City of Port Arthur and Mosaic Global Sales, LLC, for the unit prices currently paid, in substantially the same form attached as Exhibit"A". THAT, the City can terminate any of these contracts at its convenience with ten (10) days written notice; and, THAT, funding for these chemicals is provided in the Utility Operations O&M budget; and, THAT, a copy of the caption of this resolution be spread upon the minutes of the City Council. READ, ADOPTED AND APPROVED THIS day of 2016 at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor ; Councilmembers: NOES: Derrick Freeman, Mayor ATTEST: APPROVED FOR ADMINISTRATION: Sherri Bellard Brian McDougal City Secretary City Manager P. R. No. 19447 07/12/16 jj/ds Page 3 of 3 APPROVED AS TO FORM: Valecia Tit eno r 44 Clifton Williams, CPPB City AttorneyJ Acting Purchasing Manager Dr. Jimmie Johnson, PhD Assistant City Manager APPROVED AS TO THE AVAILABILITY OF FUNDS: Jerry Dale, CPA, CGFO o(c1\00 Director of Finance P. R. No. 19447 07/12/16 jj/ds Exhibit "A" PURCHASING CONTRACT AGREEMENT (Mosaic Global Sales, LLC.) P. R. No. 19447 07/12/16 jj/ds SECOND YEAR (1ST RENEWAL) PURCHASING CONTRACT FOR WATER TREATMENT CHEMICALS THIS AGREEMENT is made this the of , 2016, by and between an individual, firm partnership or corporation, MOSAIC GLOBAL SALES LLC. of Lithia, Florida hereinafter called "Vendor", and the City of Port Arthur, a municipal corporation organized under the laws of the State of Texas, hereinafter called the "Owner" or "City". WITNESSETH: That for and in consideration of the payments, terms, conditions and agreements set forth herein, Owner and Vendor agree as follows: 1. Pursuant to Resolution 15-262, the City entered into a one—year contract with the option of renewal for two (2) additional years. The parties agree to exercise said option for the second year (1st renewal). The City can terminate this contract at its convenience which includes, but not limited to, funding not being available in any budget cycle with ten (10) days written notice. 2. The Vendor will provide Hydrofluosilicic Acid, as delineated and submitted in their bid on May 06, 2015. 3. During the term of this Contract, the Vendor will furnish all of the materials and supplies, as stated in the advertised bid specifications, described as: Water Treatment Chemicals 4. The Vendor agrees to deliver all materials on an as-needed basis during the term of this contract, in a not-to-exceed bid price of $0.231/Ib as shown in the Bid schedule. 5. The term "Contract Documents" means and includes the following: (A)Agreement (B)Specification.,* (C)General Information* (D)Bid* (E)Addendum* (F) Notice to Proceed *These items were attached to the original letting contract. The agreement only is included for this renewal. P. R. No. 19447 07/12/16 jj/ds 6. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, this Agreement in two (2) copies each of which shall be deemed an original on the date first above written. SIGNED AND AGREED to on the day of , 2016. WITNESS: CONTRACTOR: Mosaic Global Sales, LLC SIGNED AND AGREED to on the day of , 2016. WITNESS: CITY OF PORT ARTHUR: City Secretary City Manager • File Edit Commands Help / , ,'*401401•XtV et,c C ttCTJR J r :; N 1 410-1252-532.29-42 1*. seq.. tlBatenee Details ,ter Account misceilane Budget '� DeoFund 410 WATER UTILITIES Original budget 1,572,887.00 � j artm-a 12 PUBLIC WORKS Revised Budget .00 , i Fa Encumtaanres Division 52 WATER TREATMENT Current expenditures 51,292.48 le Pre-encumbrance;', Activity basic 53 PUBLIC WORKS YTD expenditures .OD Eti Transau'ians i Sub.activity 2 WATER AND SEWER Unposted expenditures 1,335,518.49 Ei Detail by date Element 29 OTHER SUPPLIES - MATERIAL Encumbrances 11.299.50 13 Detail bycode i Object 02 TREATMENT CIEMIC..ALS Unposted encumbrances 18,528.38 r Detail byYear&{1- ' Pre-encumbrances .00 L. Pending by date j Total Exp &Ens 1,418,738.85 90.1 ee a Pending bycodei ; Unencumbered balance 156,143.15 9.9 is Pending by year d li Ei Procurement car, .'tet Prtnt ( .. ....... _..._._.,, _.- 9 IC encel,,,,,w,,., ..._ `# Led Prvv&rusnrn:_.. # Neal account n1F. ' 201/ t'. "..,....,._. ,.,,_...� ,.....,.E A aunt,sett .�_.... Penciteg trams.-_ a } Ima:ees Etudget atioaa.. . '..... ...._ .. s .MPJ