PISMO BEACH COUNCIL AGENDA REPORT
Agenda Item #9.I
SUBJECT/TITLE:
CONTRACT AMENDMENT #2 WITH BRENNTAG PACIFIC FOR SUPPLY OF SODIUM
BISULFITE
RECOMMENDATION:
Adopt a Resolution authorizing the City Manager to execute Amendment #2 to the existing Professional Services Agreement with Brenntag Pacific, Inc. to supply sodium bisulfite in an amount not to exceed $56,376 for Fiscal Year 2024.
BACKGROUND:
The City of Pismo Beach’s Wastewater Treatment Plant uses sodium bisulfite during the treatment process to dechlorinate wastewater effluent prior to being discharged to the ocean. In June of 2022 through a competitive bid process, the City entered into a contract with Brenntag Pacific, Inc. (Brenntag) for one year with three options to extend the agreement for an additional one-year period.
The initial contract was executed under the City Manager’s authority on June 15, 2022 for $1.7496 per gallon, which was estimated at that time to not-to-exceed an amount of $39,900. Due to storm activity in January and March, as well as other unforeseen circumstances, that not to exceed amount was reached prior to the end of the fiscal year.
On March 21, 2023 Council authorized Amendment #1 increasing the not to exceed amount by $19,100 bringing the total FY 23 contract amount to $59,000.
Staff has requested a quote from Brenntag to continue to provide sodium bisulfite for FY
24. The quote is for $1.74 per gallon plus 8% sales tax for a total price of $1.8792 per gallon, not to exceed $56,376.
Conclusion and Recommendation
Staff recommends that Council adopt a Resolution (Attachment 1) authorizing the City Manager to execute Amendment #2 (Attachment 1.A) to the existing Professional Services Agreement with Brenntag to supply sodium bisulfite in the amount not to exceed $56,376 in Fiscal Year 2024.
FISCAL IMPACT:
The fiscal impact of approving the attached Resolution is $56,376 in the Wastewater Enterprise Fund. The FY 2024 budget includes sufficient funds in the Wastewater Enterprise Fund de-chlorination account for the purchase of sodium bisulfite.
ALTERNATIVES:
1. Do not authorize the Resolution; provide staff with direction on how to proceed.
9.I-1Council Agenda 6-6-2023
ATTACHMENTS:
1. Resolution
1.A Exhibit A to Resolution: Amendment #2
Prepared by: Meeting Date: June 6, 2023
Erin Olsen, Management Analyst
Submitted by: Benjamin A. Fine, P.E., Director of Public Works/City Engineer Interim City Manager Approval:
9.I-2Council Agenda 6-6-2023
PAGE 1 OF 1
R-2023-___
RESOLUTION NO. R-2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH, CALIFORNIA AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT #2
TO THE EXISTING PROFESSIONAL SERVICES AGREEMENT WITH BRENNTAG PACIFIC, INC. TO SUPPLY SODIUM BISULFITE IN AN AMOUNT NOT TO EXCEED $56,376 FOR FISCAL YEAR 2024
WHEREAS, the City of Pismo Beach’s Wastewater Treatment Plant uses sodium bisulfite during the treatment process to dechlorinate wastewater effluent prior to being discharged to the ocean; and
WHEREAS, in June of 2022 through a competitive bid process, the City entered into a contract with Brenntag Pacific, Inc. (Brenntag) for one year with three options to extend the agreement for an additional one-year period; and
WHEREAS, staff requested a quote from Brenntag to continue to provide sodium bisulfite for Fiscal Year (FY) 24; and
WHEREAS, the quote is for $1.74 per gallon plus 8% sales tax for a total price of $1.8792 per gallon, not to exceed $56,376.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby authorizes the City Manager to execute Amendment #2 to the existing Professional Services Agreement with Brenntag Pacific, Inc. to supply sodium bisulfite not to exceed $56,376 for FY 2024.
UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 6th day of June 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RECUSED:
Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
Attachment 1
9.I-3Council Agenda 6-6-2023
AMENDMENT # 2
to the
JUNE 15, 2022 AGREEMENT BETWEEN THE CITY OF PISMO BEACH AND BRENNTAG PACIFIC, INC.
Pursuant to the June 15, 2022 Agreement for Professional Services between the City of Pismo Beach, hereinafter referred to as “City,” and Brenntag Pacific, Inc., hereinafter referred to as “Vendor,” City and Vendor hereby agree as follows:
1.Additional services shall be performed as set forth in the proposal dated May 16, 2023, which is attached hereto and by this reference made a part hereof.
2.Compensation for and timing of the additional services shall be as set forth in the referenced proposal. Compensation for the additional services shall not exceed the amount of $1.8792 per gallon, not to exceed fifty-six thousand three hundred seventy-six dollars ($56,376), without prior written approval of the City.
3.The revised fee under the June 15, 2022 contract, plus addendums 1-2, is one hundred fifteen thousand three hundred seventy-six dollars ($115,376).
4.All other provisions of the Supply of Sodium Bisulfite agreement between City and Vendor shall remain in full force and effect.
CITY:
City of Pismo Beach, a Municipal Corporation
Signed:
Name: Benjamin A. Fine, P.E.
Title: Director of Public Works/City Engineer
Dated: ________________________________
Signed:
Name: Jorge E. Garcia
Title: Interim City Manager
Dated: ________________________________
ATTEST:
Signed:
Name: Erica Inderlied
Title: City Clerk
APPROVED AS TO FORM:
Signed:
Name: David M. Fleishman
Title: City Attorney
VENDOR:
Brenntag Pacific, Inc.
Signed:
Name: ________________________________
Title: _________________________________
Dated: ________________________________
Address for giving notice:
(if changed from prior agreement)
______________________________________
______________________________________
Email address for official communications:
(if changed from prior agreement)
______________________________________
Vendor Representative:
(if changed from prior agreement)
Name/Title: ____________________________
Attachment: Cost Proposal
Attachment 1.A
9.I-4Council Agenda 6-6-2023
Price Extension
175 N Hughes Ave. Fresno, CA 93706
Robbie Bishop – Account Manager
Cust. Service # 800-350-4150 , Fax # 559-485-0605
Cell # 559-905-4211 Hm. Office # 661-387-0285
To: City of Pismo Beach
Wastewater Treatment Plant
Attn: Paula Reitsma
From: Robbie Bishop
Date: 5.16.23 2023/2024 Effective 7.1.23
Product Item Number Quantity Price
Sodium Bisulfite 25% 500 gl. $1.62 a gal. to $1.74 a gal.
Small Bulk.
Pricing is delivered to Pismo Beach, CA.
Confirming we will adjust pricing by .12 a gal. and hold for 12 months. From 7.1.23 to
7.30.24. All other terms and conditions remain the same for this price extension.
California Locations: South Gate, CA – Santa Fe Springs, CA – San Diego, CA – Fresno, CA – Richmond, CA - Imperial, CA.
Attachment 1.A
9.I-5Council Agenda 6-6-2023