TO: Mayor and City Council
FROM: Rod Tonelli, Interim City Manager
SUBJECT:
title
Award of Contract for the 2024 Aluminum Sulfate Purchase to Usalco Michigan City Plant LLC in an amount not to exceed of $720,655.00
end
BACKGROUND:
Aluminum Sulfate solution is used at the Wastewater Treatment Plants to aid in the removal of phosphorus. The City of Joliet utilizes alum as the single means to remove phosphorus at the Westside Wastewater Treatment Plant and utilizes alum to aid in removal at both the Eastside and Aux Sable Wastewater Treatment Plants. An advertisement for bids for the 2024 Aluminum Sulfate purchase was published in the Labor Record on Thursday, September 28, 2023. The Public Service Committee reviewed this memo at the November 6, 2023 meeting and recommended for approval by full Council.
CONCLUSION:
Bids for the 2024 Aluminum Sulfate Purchase were opened at 10:30 a.m. on Thursday, October 19, 2023. Two (2) bids were received for the contract and read out loud. The bid summary is as follows:
|
Bidder |
2024 Bid Price |
2025 |
2026 |
|
USALCO Michigan City Plant LLC (USALCO) |
$720,655.00 |
$760,370.00 |
$792,805.00 |
|
Chemtrade |
$1,154,790.00 |
$1,189,890.00 |
$1,233,765.00 |
|
|
|
|
|
|
Engineer’s Estimate |
$812,500.00 |
|
|
The low bid by USALCO is 12% below the engineer’s estimate.
In addition to year 2024, the contract also requested bidders to submit an optional two-year extension to be evaluated at the end of each year.
Funds will be charged to the 2024 Water / Sewer Operating Fund / Westside / Aux Sable / Eastside Wastewater Treatment Plant-Chemicals (Org 50080803, Object 536108, $468,425.75; Org 50080804, Object 536108, $122,511.35; and Org 50080802, Object 536108, $129,717.90).
RECOMMENDATION:
recommendation
Based on the above, it is recommended that the Mayor and City Council authorize the award for the 2024 Aluminum Sulfate Purchase, in the amount of $1.1087 per gallon of solution, not to exceed $720,655.00, on behalf of USALCO Michigan City Plant LLC.
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