Title
MOTION TO RATIFY THE CITY MANAGER’S APPROVAL OF EXPENDITURES EXCEEDING $25,000 UNDER THE EXISTING AGREEMENT WITH FLORIDA POOL FILLS, INC., UTILIZING THE PRICING ESTABLISHED BY THE SOUTHEAST FLORIDA GOVERNMENTAL PURCHASING COOPERATIVE GROUP (CO-OP) BID NO. 23-05-12-HR, FOR THE PURCHASE OF SWIMMING POOL CHEMICALS (LIQUID CHLORINE - SODIUM HYPOCHLORITE) FOR THE RECREATION AND CULTURAL ARTS DEPARTMENT, PURSUANT TO SECTIONS 35.18(C)(6) AND 35.21(A)(1) OF THE CITY’S CODE OF ORDINANCES.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinance is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.18 of the City's Code of Ordinances is titled "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS."
- Section 35.18(C) states that "Only the following situations are exempt from the competitive bid and competitive proposal requirements of this section:"
- Section 35.18(C)(6) states that, "Cooperative purchasing plans are exempt from this section."
- Section 35.21 of the City's Code of Ordinances is titled "AWARD OF CONTRACT."
- Section 35.21(A) of the City's Code of Ordinances is titled "City Commission approval."
- Section 35.21(A)(1) states, "An initial purchase of, or contract for, commodities or services, in excess of $25,000, shall require the approval of the City Commission, regardless of whether the competitive bidding or competitive proposal procedures were followed."
SUMMARY EXPLANATION AND BACKGROUND:
1. The Recreation and Cultural Arts Department uses Liquid Chlorine (Sodium Hypochlorite) to maintain and service swimming pools at various City facilities.
2. On March 14, 2023, the City of Sunrise, as the lead agency for the Southeast Florida Governmental Purchasing Cooperative Group (Co-Op), awarded Bid No. 23-05-12-HR, “Swimming Pool Chemicals,” to four vendors for specific line items.
- Line Item #10b - Sodium Hypochlorite (Liquid Chlorine), Continuous Feed, No Minimum Order Quantity - was awarded to Florida Pool Fills, Inc. at a unit price of $1.74 per gallon for an initial one-year period (March 26, 2023 - March 24, 2024), with two (2) one-year renewal options.
- The agreement was renewed for the first renewal term through March 26, 2025, and renewed a second time again through March 26, 2026.
3. On July 25, 2025, the City of Sunrise and Florida Pool Fills, Inc. approved a rate adjustment for Sodium Hypochlorite, increasing the price from $1.79 per gallon to $1.83 per gallon in response to supplier-imposed surcharges and import duties. The adjustment was made in accordance with Section 4.10, “Terms Relating to Price.”
4. The Recreation and Cultural Arts Department originally estimated its FY 2024-2025 annual expenditure for pool chemicals to remain below the City Manager’s $25,000 approval threshold, with an initial requisition of $24,012. However, due to the rate increase and additional usage, an additional $5,654.45 was required to pay outstanding invoices, bringing total expenditures to $30,153.45, above the City Manager’s approval limit. The City Manager approved this additional expense on October 15, 2025, in order to process payment to the vendor and maintain uninterrupted service.
5. The Recreation and Cultural Arts Department intends to continue to use the Co-Op agreement until its expiration, for an estimated amount of $12,564 for the period of October 15, 2025, to March 26, 2026.
6. The Recreation and Cultural Arts Department is requesting that the City Commission ratify the City Manager’s approval of expenditures exceeding $25,000 under the existing agreement with Florida Pool Fills, Inc., utilizing the pricing established by the Southeast Florida Governmental Purchasing Group (Co-Op) Bid No. 23-05-12-HR, for the purchase of swimming pool chemicals (liquid chlorine - sodium hypochlorite) for the Recreation and Cultural Arts Department, pursuant to Section 35.18(C)(6) and Section 35.21(A)(1) of the City’s Code of Ordinances.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: $42,717.45
b) Amount budgeted for this item is in Account No: $30,153.45 for FY2024-2025 expenses were paid from # 001-572-7001-552480-0000-000-0000 (Pool Chemicals). FY 2025-2026 will be paid from the same account.
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5 year projection of the operational cost of the project: Not Applicable
e) Detail of additional staff requirements: Not Applicable.
FEASIBILITY REVIEW:
A feasibility review is required for the award, renewal and/or expiration of all function sourcing contracts. This analysis is to determine the financial effectiveness of function sourcing services.
a) Was a Feasibility Review/Cost Analysis of Out-Sourcing vs. In-House Labor Conducted for this service? Not Applicable.
b) If Yes, what is the total cost or total savings of utilizing Out-Sourcing vs. In-House Labor for this service? Not Applicable.