SUBJECT/RECOMMENDATION:
Title
Award Invitation to Bid 25-17, Antiscalant, to American Water Chemicals Inc. of Plant City, FL in the annual amount of $60,000, including two one-year term extensions at the City’s discretion, and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
American Water Chemicals Inc. provides chemical products to the water treatment industry. Antiscalant is a water treatment chemical used to inhibit the formation of scale for water being purified by the Reverse Osmosis (RO) treatment process. Antiscalant is utilized at the two Water Treatment Plants for treating drinking water. The product specified at RO1 is a Phosphonated Antiscalant. The Product specified for RO2 is a non-phosphonated product. The constituents in the water at RO1 are different than at RO2. RO1 needs a product capable of chealating iron vs. RO2 does not. Since the concentrate from RO1 is reused at RO2, a phosphonated product cannot be used or it causes a phosphate overload which causes phosphate to precipitate out of solution and clog the RO membranes at RO2.
On June 22, 2017, four bids were received in response to Invitation to Bid #25-17, Antiscalant, for two different types of Antiscalant. American Water Chemicals Inc. is the lowest, most responsive bidder with the cost of phosphonated Antiscalant at $0.66/lb for use at RO1 and the cost of non-phosphonated Antiscalant at $0.66/lb for use at RO2.
The contract will be effective for an initial one-year period for an annual amount of $60,000.00, with two, one-year renewal options. Years two and three allow for cost increases based on the Producer Price Index (PPI), not to exceed 5% of the prior annual amount.
APPROPRIATION CODE AND AMOUNT:
0421-02053-551000-533-000-0000 $15,000.000 FY16/17
0421-02053-551000-533-000-0000 $45,000.000 FY17/18
Sufficient funding is available in the Water & Sewer Utility Fund operating cost center 0421-02053, Water Production, in the amount of $15,000.000 to fund the current fiscal year’s cost of the contract. The funding for the remaining balance of $45,000.00 occurring in fiscal year 2018 will be included in the Water & Sewer Utility Fund recommended operating budget from the Public Utilities Director.
USE OF RESERVE FUNDS: N/A