Sparks City Council Meeting 1/26/2015 2:00:00 PM

    Monday, January 26, 2015 2:00 PM
    Council Chambers, Legislative Bldg., 745 4th St., Sparks

General Business: 9.4

Title: Consideration and possible approval of Bid #14/15-010, for an initial one (1) year contract (AC-5119) with the possibility of four (4), one (1) year extensions to Thatcher Company of Nevada, Inc. to supply sulfuric acid to the Truckee Meadows Water Reclamation Facility at a cost of $242.00 per solution/ton.
Petitioner/Presenter: Neil C. Krutz, P.E. – Deputy City Manager/Michael Drinkwater, P.E. – TMWRF Plant Manager / Todd Saxberg- TMWRF Operations
Recommendation: Staff recommends that the Council approve a one year contract for Thatcher Company of Nevada, Inc. to provide Sulfuric Acid to TMWRF at a contrated price of $ 242.00 per solution/ton.
Financial Impact: There is no General Fund impact. There remains $1,037,706.00 in appropriations in the Chemicals grouping for Fiscal Year 2014-2015, approved by Joint Coordinating Committee on April 2, 2014. Annual costs for Sulfuric Acid are estimated at $417,450.00 based on 1725 solution/tons utilized annually. This expense will be charged to TMWRF, Fund 5605, Account 603325, Sulfuric Acid, under Program 131505, TMWRF Operations. Following quarterly reconciliation of TMWRF’s operating expenses, affecting the Sanitary Sewer Operations fund (1630), Sparks is quantifying reimbursement from the City of Reno based on actual flow splits provided by ADS Environmental. The flow split for the quarter ending September 30, 2014, Fiscal Year 2014-2015, was 35.11% / 64.89% for the Cities of Sparks and Reno respectively and the approximate split is outlined in Attachment 1, Figure 1.
Total Costs: $417,450.00
Fund: Joint Treatment Plant    Account: 603325
Program: TMWRF Operations (131505)
Amount: $417,450.00    Budget Status: Budget Exists
Business Impact (Per NRS 237):
    
A Business Impact Statement is not required because this is not a rule.
Agenda Item Brief:

This is a request to approve a contract between the City of Sparks and Thatcher Company of Nevada to supply sulfuric acid to the Truckee Meadows Water Reclamation Facility for one year, with an option to extend for four (4) additional twelve (12) month extensions.



Background:

Sulfuric Acid is used to lower pH in water discharged from Truckee Meadows Water Reclamation Facility (TMWRF) to the Truckee River and to the effluent reuse system. The lowering of pH in the effluent allows the bleach used as a disinfecting agent to be more effective, helping to maintain compliance with the disinfection limit.    The plant is expected to require approximately 1725 tons per year to treat the effluent, at an annual cost of $417,450.00.



Analysis:

If approved, the City of Sparks will enter into a contract with Thatcher Company of Nevada, Inc.  Companies that provide Sulfuric Acid calculate their pricing on a solution ton basis.  The contract is structured with an initial one year period with the option of renewing up to four (4) one (1) year extensions, totaling five years.

Solicitation for the Sulfuric Acid contract, under Bid #14/15-010, was advertised on December 10, 2014 in the Reno Gazette Journal and known interested vendors were alerted to the availability to the bid package via the City of Sparks internet website.  Two (2) bids were publicly opened on January 7, 2015 at 2:00 PM at Sparks City Hall.  A summary of those bids are outlined in Table 1.  The proportional cost sharing of this contract between the Cities of Reno and Sparks is shown in Attachment 1, Table 2.



Alternatives:

1. Council could direct the Manager to provide other alternatives.



Recommended Motion:

I move to approve the contract (AC-5119) with Thatcher Company of Nevada, Inc. to supply sulfuric acid to the Truckee Meadows Water Reclamation Facility at a cost of $242.00 per solution/ton.



Attached Files:
     Attachment 1.pdf
     Thatcher Contract-Sulfuric Acid.pdf
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