Item Coversheet
 Water Utility Transition Consent Agenda
10.4.


City of North Miami Beach
17011 NE 19 Avenue
North Miami Beach, Fl 33162
305-947-7581
www.citynmb.com

MEMORANDUM



 

TO:Mayor and City Commission
FROM: Esmond K. Scott, City Manager
VIA: Jafeth Baez, P.E. MSCE, Director of NMB Water
Donna Rockfeld, CPPB, Chief Procurement Officer
 
DATE:September  15, 2020



 RE: Resolution No. R2020-86 Purchase of 93% Sulfuric Acid (Jafeth Baez, P.E. MSCE, Director of NMB Water)


Description
 
BACKGROUND ANALYSIS:


 

Treatment of our potable drinking water requires the addition of sulfuric acid to the raw water coming into the plant. This lowers the water's pH for proper performance of the treatment membranes. We use approximately 4,855 tons of acid per year, depending on water demand at the Norwood Water Treatment Plant.

 
In line with the North Miami Beach Strategic Plan’s mission of providing exceptional municipal services and being financially responsible, the City routinely participates with the Southeast Florida Governmental Cooperative Purchasing Group. The group is comprised of government entities from the southeast region of Florida and provides cost savings and cost avoidances to member entities by utilizing the buying power of combined requirements for common basic items.

 
The City of Deerfield Beach, acting as the lead agency issued Bid #2018-19/22 “Sulfuric Acid 93% for Water Treatment Plant Operations”.  The contract was awarded to Sulfuric Acid Trading Company, Inc. (SATCO) a three-year contract, with provisions for up to three one-year renewals, starting on June 1, 2019.  There is a semiannual regular price adjustments based on market indexes because the cost of sulfuric acid can vary depending on worldwide demand, so that the City can always be assured of paying a fair market price.  The current price is $190.00 per ton.

 
Section 3-2.2 of the City’s Code of Ordinances provides that the Chief Procurement Officer has the authority to join with other governmental entities in cooperative purchasing plans, when the best interests of the City would be served.  The City has estimated an annual expenditure of $922,537 for the purchase of 93% sulfuric acid.

Section 3-3.14 of the City’s Code of Ordinances provides that contracts in excess of fifty thousand ($50,000.00) dollars shall be awarded by City Commission.

 RECOMMENDATION:


 

The City Manager, along with the Director of NMB Water and the Chief Procurement Officer recommend that the City Commission approve and authorize the City Manager or designee to issue a purchase order for the purchase of 93% sulfuric acid from Sulfuric Acid Trading Company, Inc. in an estimated annual amount of $922,537.

 FISCAL/ BUDGETARY IMPACT:
 Funding will be provided in 410904-533505. 



ATTACHMENTS:
Description
Department Request, Contract documentation
Resolution Approving Purchase of Sulfuric Acid 93%