HomeMy WebLinkAboutPR 21854: POLYMER COAGULANTS FOR WATER PURIFICATION PLANT £nays'
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INTEROFFICE MEMORANDUM
Date: March 19, 2021
To: The Honorable Mayor and City Council
Through: Ronald Burton, City Manager
From: Donald G. Stanton, Interim Director of Utilities
RE: PR 21854—Polymer Coagulants for Water Purification Plant
Introduction:
The intent of this Agenda Item is to seek City Council's approval to amend Resolution No. 20-
283 for the purchase of polymer coagulants for Water Purification Plant.
Background:
Our water purification process uses polymer coagulants to remove solids from water. Each
process uses a unique blend of chemicals for maximum effectiveness. These polymer coagulant
blends are sole-source and proprietary in their make-up. This resolution authorizes the purchase
of each of these products as each is needed so that our treatment personnel may make use of the
most cost-effective treatment system at any given time. All water purification chemicals are
administered by trained employees who are properly certified by the Texas Commission on
Environmental Quality.
City Council approved Resolution No. 20-283 on September 8,2020 for the purchase of polymer
coagulants. Per a letter dated February 3, 2021, AOS Treatment Solutions notified the City of
Port Arthur that there will be a price increase for all deliveries made after February 15, 2021.
The price will increase by $0.02/LB to $0.625/LB. In the letter, AOS Treatment Solutions
assured the City that this adjustment is solely due to increases in raw material costs and does not
reflect an increase in profit.
Recommendation:
It is recommended that City Council approve P. R. No. 21854, authorizing the purchase of sole
source polymer coagulants at an increased price for the Water Utilities Department.
"Remember, we are here to serve the Citizens of Port Arthur"
P.R. No. 21854
3/19/21 bw
Page 1 of 2
RESOLUTION NO.
A RESOLUTION AMENDING RESOLUTION NO. 20-283
AS IT RELATES TO THE PURCHASE OF SOLE SOURCE
POLYMER COAGULANTS WITH AN INCREASE IN THE
APPROVED AMOUNT BY $0.02/LB. TO A PRICE OF
$0.625/LB.FUNDING AVAILABLE IN WATER UTILITIES
ACCOUNT NO. 410-1252-532.29-02, (WATER
TREATMENT CHEMICALS)
WHEREAS,pursuant to Resolution No. 20-283 approved on September 8,2020,the City
Council authorized the Director of Water Utilities to purchase proprietary sole source chemicals-
polymers; and
WHEREAS, AOS Treatment Solutions, LLC sent a letter dated February 3, 2021 stating
that there is an increase in the cost of raw materials, specifically aluminum and hydrochloric acid,
and, as of February 15, 2021, there would be an increase in price of$0.02/LB for a new price of
$0.625/LB for AOS 7050 polymer coagulant; and,
WHEREAS, a correction in the product price and packaging is required, attached in
substantially the same form as Exhibit"B".
NOW THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PORT ARTHUR:
THAT,the facts and opinions in the preamble are true and correct; and,
THAT, Resolution No. 20-283 is hereby amended by replacing Exhibit "B" to reflect the
correct products and prices of said polymer coagulants; and,
THAT,the Director of Water Utilities shall present the purchase of proprietary chemicals
that are expected to cost more than $25,000 per year without advertising for bids for approval to
City Council; and,
THAT, a copy of the caption of this Resolution shall be spread upon the Minutes of the
Meeting of the City Council.
P.R. No. 21854
3/19/21 bw
Page 2 of 2
READ, ADOPTED AND APPROVED this day of , 2021
at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote:
AYES: Mayor
Councilmembers:
•
NOES:
Thurman"Bill" Bartie
Mayor
ATTEST:
Sherri Bellard
City Secretary
APPROVED AS TO FORM:
VAAL 67-f` h-Q-A-a/2
alecia Ti eno
City Attorney
APPROVED FOR ADMINISTRATION:
Ronald Burton Donnie Stanton
City Manager Interim Director of Utilities
APPROVED AS TO THE AVAILABILITY
OF FUNDS:
*CA/ \,)- (Vs< (A)St;
Kandy Daniel Clifton Williams, CPPB
Interim Director of Finance Purchasing Manager
Exhibit A
AOS AOS TREATMENT SOLUTIONS, LLC
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February 3,2021
Mr. Jeff Wyble
City of Port Arthur, Texas
Water Purification Plant
1101 H.O. Mills Boulevard
Port Arthur, Texas 77640
Subject: AOS 7050 Price Increase
Dear Jeff:
We want to inform you that recent increases in the cost of both aluminum and hydrochloric acid used in
the manufacture of aluminum chlorohydrate, a major component in AOS 7050, have forced us to impose
a small price adjustment to recover the increased cost.
Based on our increased product cost, we have no alternative but to increase our sales price on AOS 7050
by$0.02/Ib. This makes the chemical cost$0.625/Ib., FOB delivered.
The new price is effective with all deliveries made after February 15, 2021.
This adjustment is solely due to increases in raw material costs and does not reflect an increase in profit.
We at AOS Treatment Solutions sincerely appreciate your business and will continue to provide quality
products and experienced technical support at the lowest possible cost. If you have any questions,
please do not hesitate to contact me.
Sincerely,
George H. Hahn— President—General Manager
GHH/hs
CC: Mr. Clyde Trahan
Mr. Garrett Elizando
14600 Cypress N.Houston Road • Cypress.TX 77429 • 936-539-0040 • Fax 936-539-0041 • http:/'www.aosts.com
Exhibit B
Polymer Vendors & Maximum Prices
Name Bulk Price Tote Price Drum Price
Advance Oxidation Services $0.625/lb. (+$.02) $1.55/lb. (+$.02) N/A
Product No. AOS 7050-001 -coagulant polymer used at WTP
Advance Oxidation Services $1.30/lb. $1.40/lb. N/A
Product No. AOS 7713-00 -anionic dewatering polymer used at WTP (bulk)
Product No. AOS 7713-20 -anionic dewatering polymer used at WTP (tote)
Advance Oxidation Services $1.45/lb. N/A $2.50/lb.
Product No. 7545-10 -coagulant polymer used at WWTP
Product No. AOS 7369-30 -coagulant polymer used at WWTP
Polydyne, Inc. N/A N/A $1.90/lb.
Product No. C-9458 -coagulant polymer used at WWTP
Polytech, Inc. N/A $1.30/lb. $2.00/lb.
Product No. PT-1126TRM -coagulant polymer used at WWTP
Product No. PT-515 -anionic dewatering polymer used at WTP
Product No. PT-515 i -anionic dewatering polymer used at WTP
Neo Solutions, Inc.
Product No. NS4150 N/A N/A $1.45/lb.
Product No. NS4407 N/A N/A $2.25/lb.
-anionic dewatering polymer used at WWTP
Fort Bend Services
Product No. FBS-7802 N/A N/A $2.68/lb.
-anionic dewatering polymer used at WWTP