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Water & Wastewater Commission Review and Recommendation Health and Environment COA Strategic Direction: July 14, 2021 Commission Meeting Date: Council Meeting Date: Department: Purchasing July 29, 2021 Client: Rick Coronado Agenda Item Recommend approval to award a multi-term contract with CarbPure Technologies, LLC, to provide powdered activated carbon, for up to five years for a total contract amount not to exceed $4,600,000. Amount and Source of Funding Funding in the amount of $153,333 is available in the Fiscal Year 2020-2021 Operating Budget of Austin Water. Funding for the remaining contract term is contingent upon available funding in future budgets. The Purchasing Office issued an Invitation for Bids (IFB) IFB 2200 PAT1045 for these goods and services. The solicitation issued on March 8, 2021 and it closed on March 30, 2021. Of the five offers received, the recommended contractor submitted the lowest responsive offer. A complete solicitation package, including a tabulation of the bids received, is available for viewing on the City’s Financial Services website, Austin Finance Online. Link: Solicitation Documents. N/A July 14, 2021 — To be reviewed by the Water and Wastewater Commission. This solicitation was reviewed for subcontracting opportunities in accordance with City Code Chapter 2-9C Minority Owned and Women Owned Business Enterprise Procurement Program. For the goods and services required for this solicitation, there were insufficient or no subcontracting opportunities; therefore, no subcontracting goals were established. Purchasing Language: Prior Council Action: Boards and Commission Action: MBE/WBE: The contract will provide powdered activated carbon for the treatment of City drinking water. Powdered activated carbon is used to treat drinking water to remove taste and odor. In previous years, taste and odor conditions were encountered in Lake Austin and Lake Travis when plankton and algae counts would be at elevated levels. Recently, with the presence of zebra mussels in the source water, powdered activated carbon is being used continuously at all three water treatment plants, as precautionary treatment for taste and odor conditions that can occur as a result of the die off of zebra mussels. The recommended contractor is not the current provider for these goods and services. The contract will replace a contract which expires on August 14, 2021. The requested authorization amount is based on historical spending and forecasted needs. If the City is unable to secure a contract, Austin Water will not have a reliable source for powdered activated carbon. This will force the City to procure these goods and services on the open market which could result in higher prices and increased lead times. Contract Detail: Contract Term Initial Term Optional Extension 1 Optional Extension 2 Optional Extension 3 Optional Extension 4 TOTAL Length of Term 1 yr. 1 yr. 1 yr. 1 yr. 1 yr. 5 yrs. Contract Authorization $ 920,000 $ 920,000 $ 920,000 $ 920,000 $ 920,000 $4,600,000 Note: Contract Authorization amounts are based on the City’s estimated annual usage. PRICE ANALYSIS a) Solicitations: 167 notices were sent, including 2 MBE and 2 WBE firms with no M/WBE firms responding. b) Cost Analysis: The proposed contract pricing is consistent with a 4.72% decrease represented in the market.