File #: 18-1061    Version: Name: CO2 from Airgas USA LLC
Type: Purchase Status: Passed
File created: 9/6/2018 In control: City Commission
On agenda: 9/17/2018 Final action: 9/17/2018
Title: MOTION TO APPROVE AN INCREASE TO THE ESTIMATED ANNUAL AMOUNT OF CARBON DIOXIDE PURCHASED FROM AIRGAS USA, LLC, UTILIZING THE SOUTHEAST FLORIDA GOVERNMENTAL COOPERATIVE PURCHASING GROUP (CO-OP) BID # L-43-26 TO AN ANNUAL AMOUNT NOT TO EXCEED $179,600 ($224.50 X 800 TONS).
Attachments: 1. 1. Airgas CoOp Agreement and Renewals, 2. 2. 10-18-17 Commission Approval
Title
MOTION TO APPROVE AN INCREASE TO THE ESTIMATED ANNUAL AMOUNT OF CARBON DIOXIDE PURCHASED FROM AIRGAS USA, LLC, UTILIZING THE SOUTHEAST FLORIDA GOVERNMENTAL COOPERATIVE PURCHASING GROUP (CO-OP) BID # L-43-26 TO AN ANNUAL AMOUNT NOT TO EXCEED $179,600 ($224.50 X 800 TONS).

Summary Explanation and Background

SUMMARY EXPLANATION AND BACKGROUND:
1. Since July 11, 2017, a temporary Carbon Dioxide Injection System has been up and running at the City's Water Treatment Plant, which replaces the Chlorine Gas that was being used. In addition, on August 2, 2017, the City Commission approved to purchase a Permanent Carbon Dioxide Injection System at the City's Water Treatment Plant from TOMCO2 Systems, Inc. As a result, the City needed to purchase Carbon Dioxide for the operation of the new system.

2. On October 18, 2017, the City Commission approved the purchase of carbon dioxide on an as needed basis from Airgas USA, LLC, utilizing the Southeast Florida Governmental Cooperative Purchasing Group (Co-Op) Bid #L-43-16 for an estimated amount of $94,290 per year.

3. The Utilities Division estimated the usage to be approximately 420 tons of carbon dioxide per year at an estimated annual cost of $94,290 per year (420 tons x $224.50).

4. The Utilities Division has requested an increase in the amount of carbon dioxide needed as more carbon dioxide is being used in order to keep the pH level decreased when processing the water through the Ion Exchange to prevent an odor.

5. The Utilities Division is requesting to increase the annual amount by an additional 380 tons of carbon dioxide, which equates to an additional $85,310 per year ($224.50 x 380 tons).

6. On July 26, 2016, the City of Pompano Beach as lead agency for the Southeast Florida Cooperative Purchasing Group (Co-Op) awarded Bid # L-43-26 "Carbon Dioxide, Liquid, Bulk Delivery" to Airgas USA, LLC with a unit price per ton delivered of $224.50 for a one year period commencing on September 10, ...

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