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HomeMy WebLinkAboutD. PHOSPHATES RESCIND/AWARD City of Port Arthur, Texas Mayor and City Council Communication DATE REFERENCE SUBJECT: Page NUMBER Recommending Rescinding and Awarding of Bid for 05/17/06 Phos06.doc Phosphates (Water Treatment Chemical) for the Utility 1 of 2 Operations Department. RECOMMENDATION We recommend the City Council rescind the award of bid for Phosphates to Carus Chemical and award the bid to the Iow bidder, Shannon Chemical. In April 2006, the City Council approved our recommendation to award this chemical. Afterwards, we discovered an error in the bid tabulation where we had originally showed the bid from Shannon Chemical at $760/ton, when, in fact, their bid was $634/ton. This chemical will be purchased, when required, for the Utility Operations Department Water Purification division operations activities. BACKGROUND This chemical is used to treat ddnking water. Unit prices are firm for one year. Note that phosphates have been largely unavailable since Hurricane Katrina, and we have not been able to get this chemical in bulk deliveries. Forty (40) bid packets were sent out, and the following bids were received on March 23, 2005: Phosphates Bidder 80 tons Jaeger Chem. $69123 Houston, TX Shannon $634.00 Malvern, PA Carus Chem. $670.00 Peru, IL Calciquest. $740.00 Belmont, NC 2004 Bids $385.95 Current prices not avail. Est. Ann. Tot. $50,720. % Change +64.3% BUDGET/FISCAL EFFECT This chemical is charged to the Water Purification Division Operation and Maintenance Budget Account No. 410-1252-532.29-02. This correction decreases our costs $2,880.00. STAFF/EMPLOYEE EFFECT Trained and TCEQ certified employees administer all water treatment chemicals. PREPARED BY; DISPOSITION BY COUNCIL: PROCESSED BY KE:JT C~T~ APPROVEO BY [ ] APPROVE [ ] OTHER (DESCRIBE) SECRETARY City Manager City of Port Arthur, Texas Mayor and City Council Communication DATE REFERENCE SUBJECT: Page .UMS~R Recommending Rescinding and Awarding of Bid for 05/17/06 Phoso~.doc Phosphates (Water Treatment Chemical) for the Utility 2 of 2 , Operations Department. SUMMARY The Iow bid for Phosphates was incorrectly shown on the bid tabulation in April 2006 and it is recommended that the City Council reject the award to Carus Chemical. We recommend the City Council award the bid to the actual Iow bidder, Shannon Chemical in the amount of $634.00/ton, for an estimated annual total of $50,720. To be charged to account no. 410-1252-532.29-02. RECOMMENDED: K~lly Eldhdge ~ (Joee~h Br6b'~sard Director of Utility Operations Purchasing Coordinator Director of Finance 410 Water & Sewer Fund 1252 Water Purification 532 Water Utilities 29 Other Supplies 02 Chemicals PREPAREO BY: DISPOSITION BY COUNCIL: PROCESSED KE:JT s¥ CITY APPROVED BY [ ] APPROVE [ ] OTHER (DESCRIBE) SECRETARY City Manager Date