Laserfiche WebLink
REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />AUGUST 1, 2011 <br />TITLE: <br />CONTRACT RENEWAL TO GALLADE <br />CHEMICAL INC. FOR WATER <br />TREATMENT SALT <br />(SPEC. NO.08 -008) <br />f #- <br />` j l <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 151 Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Renew the contract with Gallade Chemical Inc. for water treatment salt for a one -year period in an <br />annual amount not to exceed $40,000. <br />DISCUSSION <br />The Public Works Agency Water Resources Division produced 35,274.6 acre -feet of water last fiscal <br />year from 21 groundwater wells and purchased another 5,860.6 acre -feet of treated water from the <br />Metropolitan Water District for delivery to businesses and residents in Santa Ana. In compliance with <br />the National Sanitation Foundation Standard 60 requirements for safety, salt is used in a non- <br />hazardous disinfection process at the well sites. Central Stores at the Corporate Yard handles the <br />ordering and storing of the salt bags until requisitioned by PWA water crews. The contract for salt <br />provides quality products at a significant savings based on quantity pricing. <br />On April 7, 2008, the City Council awarded a contract to Gallade Chemical Inc. for a one -year period, <br />with provisions for four one -year renewals. The vendor has performed satisfactorily during the past <br />contract period and has agreed to renew the contract; however the vendor has requested a 2.15 <br />percent price increase per sack as the results of rising cost of raw material. Staff verified the <br />increase is consistent with the market and the vendor continues to offer a competitive price. Staff <br />recommends the third renewal of the contract. The annual amount has been adjusted down by 11 <br />percent based upon staff's projection for the next year. <br />FISCAL IMPACT <br />Funds are available in the Water Utility Production & Supply account (accounting unit 06017640- <br />63001). <br />Raul Godinez II <br />Executive Director <br />Public Works Agency <br />km <br />APPROVED AS TO FUNDS AND ACCOUNTS: <br />Francisco Gutierrez <br />Executive Director <br />Finance & Management Services Agency <br />22E -1 <br />