Title
Water, Wastewater, and Lift Station Treatment Chemicals
Action
Action:
A. Approve unit price contracts for the purchase of water, wastewater, and lift station treatment chemicals for an initial term of one year to the following:
- EWT Holdings III Corporation dba Evoqua Water Technologies LLC, and
- JCI Jones Chemicals, Inc.,
B. Authorize the City Manager to renew the contracts for up to four, one-year terms with possible price adjustments throughout the contract term and to amend the contracts consistent with the purpose for which the contracts were approved,
C. Approve the purchase of magnesium hydroxide by the sole source exemption, and
D. Approve a unit price contract with Premier Magnesia, LLC for the purchase of magnesium hydroxide for the term of one year.
Body
Staff Resource(s):
Angela Charles, Charlotte Water
Ron Hargrove, Charlotte Water
Sole Source Exemption
§ N.C. General Statutes Section 143-129(e)(6) provides that formal bidding requirements do not apply when:
- Performance or price competition are not available;
- A needed product is available from only one source or supply; or
- Standardization or compatibility is the overriding consideration.
§ Sole sourcing is necessary for this contract because there is only one supply source.
§ City Council approval is required for any purchases made under the sole source exception.
Explanation
§ Charlotte Water uses a variety of chemicals in the water and wastewater treatment process, and each chemical plays an essential role to ensure the treated water is safe for customers and the environment and to eliminate odor and corrosion in the wastewater collection system.
Actions A and B
§ On March 28, 2022, the City issued an Invitation to Bid (ITB) for chlorine gas; two bids were received.
§ On March 28, 2022, the City issued an ITB for calcium nitrate and ferrous chloride; one bid was received.
§ The companies selected were the lowest responsive, responsible bidders.
§ Annual expenditures are estimated to be $2,300,000.
Action C and D
§ Premier Magnesia, LLC is the only source of supply for the required magnesium hydroxide.
§ Annual expenditures are estimated to be $3,200,000.
Charlotte Business INClusion
Action A and B
Per Charlotte INClusion Policy: Part B: Section 2.3(a) The City shall not establish subcontracting goals for Contracts where (a) there are no subcontracting opportunities identified for the Contract; or (b) there are no SBEs, MBEs, or WBEs (as applicable) certified to perform the scopes of work that the City regards as realistic opportunities for subcontracting.
This contract meets the provision of (a) - No subcontracting opportunities.
Action C and D
This is a sole source contract and is exempt (Part A: Appendix 1.27 of the Charlotte Business INClusion Policy).
Fiscal Note
Funding: Charlotte Water Operating Budget 0