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HomeMy WebLinkAbout22E - WATER TREATMENT SALT REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: CLERK OF COUNCIL USE ONLY: JULY 6, 2010 TITLE: APPROVED ? As Recommended CONTRACT RENEWAL FOR ? As Amended ? Ordinance on 1S' Reading WATER TREATMENT SALT ? Ordinance on 2"d Reading (SPEC. N0.08-008) ? Implementing Resolution ? Set Public Hearing For CONTINUED TO , ~ L~-~ - ~,:~L~,' FILE NUMBER `-CITY MANAGER RECOMMENDED ACTION Renew the contract with Gallade Chemical Inc. for water treatment salt for cone-year period in an annual amount not to exceed $45,000. DISCUSSION The Public Works Agency Water Resources Division produced 35,274.6 acre-feet of water last fiscal year from 21 groundwater wells and purchased another 5,860.6 acre-feet of treated water from the Metropolitan Water District for delivery to businesses and residents in Santa Ana. In compliance with the National Sanitation Foundation Standard 60 requirements for safety, salt is used in a non- hazardous disinfection process at the well sites. On April 7, 2008, the City Council awarded a contract to Gallade Chemical Inc. for cone-year period, with provisions for four one-year renewals. The vendor has performed satisfactorily during the past contract period and has agreed to renew the contract; however the vendor has requested a 6.3 percent price increase per sack after holding their pricing for two years due to the rising cost of raw material. Staff verified the increase is consistent with the market and the vendor continues to offer a competitive price. Staff recommends the second renewal of the contract. The annual amount is based upon past usage and staff's projection for the next year. FISCAL IMPACT Funds are available in the Water Utility Production & Supply account (accounting unit 06017640- 63001 APPROVED AS TO FUNDS AND ACCOUNTS: Raul Godinez II Francisco Gutierrez Executive Direct r Executive Director Public Works Agency Finance & Management Services Agenc~ km 22~-'' 22E-2