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ITEM: AUTHORIZATION TO CONTINUE UTILIZING A CITY OF PLANTATION CONTRACT, AS A BASIS FOR PRICING, WITH ALLIED UNIVERSAL CORPORATION, FOR THE PURCHASE AND DELIVERY OF SODIUM HYPOCHLORITE
REQUEST: Authorization to continue utilizing a City of Plantation contract, as a basis for pricing, with Allied Universal Corporation, for the purchase and delivery of Sodium Hypochlorite in the amount of approximately $725,000.00.
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EXPLANATION: The Utilities Department utilizes sodium hypochlorite as a disinfectant in the water and wastewater treatment processes, and for odor control at the wastewater plant. On November 14, 2022, The City of Plantation, Florida awarded ITB No. 078-22; Purchase and Delivery of Sodium Hypochlorite to Allied Universal Corporation for the purchase and delivery of sodium hypochlorite. The City of Plantation recently renewed the Contract through December 7, 2025 with two (2) additional one (1) year renewal options remaining. The delivered per gallon contract price with Allied Universal Corporation is $1.610 for less than a truckload (LTL) and $1.545 for a truckload (TL). As a result of continued supply chain volatility, the renewed contract pricing reflects an approximate 3.2% (LTL) & 3% (TL) increase to the previously utilized contract pricing of $1.56 (LTL) and $1.50 (TL). The water plant anticipated sodium hypochlorite usage is 320,000 gallons and wastewater plant usage is anticipated at 146,000 gallons, for a total estimated expenditure of approximately $725,000 in FY 2025.
The annual financial impact of the unforeseen pricing increase is approximately $20,970.
Staff requests authorization to utilize City of Plantation Contract #088-21 with Allied Universal Corporation for the purchase and delivery of sodium hypochlorite in the amount of approximately $725,000.00.
BUDGET AMENDMENT REQUIRED: NO
PUBLIC HEARING: NO QUASI-JUDICIAL:
FIRST READING: SECOND READING:
LEGAL SUFFICIENCY: YES
FISCAL IMPACT: Funds have been allocated in the FY 25 Water and Wastewater Operating Budgets.
WELLINGTON FUNDAMENTAL: Protecting Our Investment
RECOMMENDATION: Authorization to continue utilizing a City of Plantation contract, as a basis for pricing, with Allied Universal Corporation, for the purchase and delivery of Sodium Hypochlorite in the amount of approximately $725,000.00.