HomeMy WebLinkAboutPR 19056: INCREASE BLANKET PURCHASE ORDER NO. 184980 BY $16,00.00 FOR THERCHEN COPR. FOR THE PURCHASE ON ANHYDROUS •i,,f •
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INTEROFFICE MEMORANDUM
UTILITY OPERATIONS DEPARTMENT-ADMINISTRATION DIV.
Date: July 8, 2015
To: Brian McDougal, City Manager
From: Jimmie Johnson, Ph.D. Director of Utility Operations
RE Proposed Resolution No. 19056
COMMENTS
RECOMMENDATION
I recommend that the City Council approve Proposed Resolution No. 19056 authorizing the
amendment to Blanket Purchase Order No. 184980 for the purchase of Anhydrous Ammonia
from TherChem Corp. in the unit prices shown below to the new not to exceed amount of
$62,800.00, an increase of $16,000.00 and authorizing the payment of two invoices for this
chemical purchased over the previously estimated quantities. The Water Plant is expected to
order two additional loads of chemical before the end of this contract. We are at the end of this
contract, and have used extra chemical do increased water usage and chemical demand in the
system over the past year.
BACKGROUND
This chemical is used to help disinfect the drinking water in the distribution system. The current
price for this product is listed below.
Vendor Chemical Unit Price Total Yearly Contract
TherChem Corp. Anhydrous Ammonia $.72/Lb. $46,800.00
BUDGET/FISCAL EFFECT
Quantities of chemical were estimated based on actual consumption in 2013. This chemical is
purchased on an as-needed basis and is charged to the Water Purification Division O&M Budget
account No. 410-1252-532.29-02.
STAFFING/EMPLOYEE EFFECT
Trained and TCEQ certified employees administer all water treatment chemicals.
SUMMARY
I recommend that the City Council approve Proposed Resolution No. 19056.
P. R. No. 19056
07/08/15jt
RESOLUTION NO.
A RESOLUTION AUTHORIZING AN INCREASE TO
BLANKET PURCHASE ORDER NO. 184980 BY
$16,000.00 FOR THERCHEM CORPORATION FOR THE
PURCHASE OF ANHYDROUS AMMONIA FOR THE
UTILITY OPERATIONS DEPARTMENT. FUNDS ARE
AVAILABLE IN THE WATER PURFICATION DIVISION
0 & M BUDGET ACCOUNT NO. 410-1252-532.29-02.
WHEREAS, the Utility Operations Department routinely utilizes various Water
Treatment Chemicals to treat drinking water at our Water Purification Plant; and,
WHEREAS, on May 13, 2014,the City Council, by Resolution No. 14-220, authorized a
second and final year contract renewal for the purchase of Anhydrous Ammonia, and the
Purchasing Division subsequently issued Blanket Purchase Order No. 184980 for such purchase
to TherChem Corp., as delineated in our Purchasing Policy; and,
WHEREAS, chemical consumption and water production has increased over the past
year over budgeted estimates;NOW THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT
ARTHUR:
THAT, the City Council authorizes the amendment to Blanket Purchase Order No.
184980 by $16,000.00 to the new total amount of$62,800.00; and,
THAT, payment is also authorized for Invoices Nos. 4299 and 4309, attached as Exhibit
"A", for chemicals provided by the vendor for the Utility Operations Department; and,
THAT, funding for these chemicals is provided for 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.
P. R. No. 19056
07/08/15jt
Page 2 of 2
READ, ADOPTED AND APPROVED THIS day of
2015 at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the
following vote:
AYES: Mayor ;
Councilmembers:
NOES:
Deloris Prince, Mayor
ATTEST: APPROVED FOR ADMINISTRATION:
Sherri Bellard Brian McDougal
City Secretary City Manager
APPROVE I AS TO FORM:
te i 10
Valecia Tizeno Jimmie Johnson, Ph.D.
City Attorney Director of Utility Operations
APPROVED AS TO AVAILABILITY
OF FUNDS:
Director of Finance Clifton Williams
Acting Purchasing Manager
P. R. No. 19056
07/08/15jt
Exhibit "A"
(Invoices 4299&4309)
•
Cayce Chemicals, Inc. DBA Invoice
TherChem Corp.
P. 0. Box 12053
DATE New Iberia, LA 70562-2053 INVOICE#
5/28/2015 (337) 364-4191 4299
BILL TO SHIP TO
CITY OF PORT ARTHUR CITY OF PORT ARTHUR
1101 H.O. MILLS BLVD. 1101 H.O. MILLS BLVD.
PORT ARTHUR,TX. 77640 PORT ARTHUR,TX. 77640
P.O. NO. TERMS SHIP DATE DELIVERY TICKET NO.
18317 Net 30 5/26/2015 12513
DESCRIPTION QTY(LBS) RATE/LBS AMOUNT
ANHYDROUS AMMONIA 5,871 0.72 4,227.12
FUEL SURCHARGE 1 110.00 110.00
UTILITY OPER no s
JUN 1 8 2015
,goic
REciAv ;D
_ SERVICE CEN'T'ER
PER OR
ATER PURIFICATION
1410-1252-532.29-02
Thank you for your business.
Total $4,337.12
Cayce Chemicals, Inc. DBA Invoice
TherChem Corp.
P. 0. Box 12053
DATE New Iberia, LA 70562-2053 INVOICE#
6/23/2015 (337) 364-4191 4309
BILL TO SHIP TO
CITY OF PORT ARTHUR CITY OF PORT ARTHUR
1101 H.O. MILLS BLVD. 1101 H.O. MILLS BLVD.
PORT ARTHUR,TX. 77640 PORT ARTHUR,TX. 77640
P.O. NO. TERMS SHIP DATE DELIVERY TICKET NO.
18317 Net 30 6/23/2015 12307
DESCRIPTION QTY(LBS) RATE/LBS AMOUNT
ANHYDROUS AMMONIA 4,948 0.72 3,562.56
FUEL SURCHARGE 1 110.00 110.00
CrrY
UrIL op I ARTHUR
liATEI-PwsERVAkIONS
JUN 3 0 1015
kECE11,E0
SER VICE CEiv7'ER
Thank you for your business. Total
$3,672.56