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Water & Wastewater Commission Review and Recommendation December 1, 2021 Government That Works for All COA Strategic Direction: Commission Meeting Date: Council Meeting Date: Department: Purchasing December 9, 2021 Client: Rick Coronado Agenda Item Recommend approval to negotiate and execute a contract with Innio Jenbacher North America, LLC, to provide preventative and corrective maintenance for the generator at Hornsby Bend Biosolids Management Facility, for a term of ten years in an amount not to exceed $2,000,000. Amount and Source of Funding Funding in the amount of $150,000 is available in the Fiscal Year 2021-2022 Operating Budget of Austin Water. Funding for the remaining contract term is contingent upon available funding in future budgets. Sole Source Purchasing Language: N/A Prior Council Action: Boards and Commission Action: MBE/WBE: December 1, 2021 — To be reviewed by the Water and Wastewater Commission. Note: Sole source contracts are exempt from the City Code Chapter 2-9C Minority Owned and Women Owned Business Enterprise Procurement Program; therefore, no subcontracting goals were established. The contract is for a service and maintenance agreement for the 850-kW generator located at the Hornsby Bend Biosolids Management Facility. A maintenance agreement has been in place since the purchase of the generator and has allowed it to consistently operate for 60,000 hours since being put into service in early 2013. As a result of this regular maintenance the unit was able to exceed the 85% reliability target. Extending this service will continue to ensure the reliable operation of the unit. This generator has been consistently generating more energy than the Hornsby Bend facility uses, thereby offsetting the plant’s energy usage and generating a credit to the water utility. This generator provides an estimated 4,432,492 kWh per year and reduces approximately 2,867 tons of carbon dioxide equivalents. These savings are equivalent to 5,033,527 vehicle miles traveled, removal of 628 cars from our roadways, the planting of 98,297 trees or 4,915 acres of forest in Austin’s parks. PRICE ANALYSIS Cost Analysis: The proposed contract pricing is a 10.8% decreased from prior contract. This is a result of obtaining service directly the manufacturer and not the distributor. from