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SR 10-24-2023 5H City Council Report City Council Meeting: October 24, 2023 Agenda Item: 5.H 1 of 4 To: Mayor and City Council From: Rick Valte, Public Works Director, Public Works, Water Resources Subject: Award Purchase Order with Brenntag Pacific, Inc. to Furnish and Deliver Liquid Hydrofluorosilicic Acid Recommended Action Staff recommends that the City Council: 1. Adopt a finding of categorical exemption pursuant to Section 15301 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines. 2. Award Bid #4464 to Brenntag Pacific, Inc. for the purchase of liquid hydrofluorosilicic acid for the Public Works Department. 3. Authorize the Procurement Manager to issue a purchase order with Brenntag Pacific, Inc. for liquid hydrofluorosilicic acid for a total amount not to exceed $350,000 over a five-year period, with future year funding contingent on Council budget approval. Summary The City of Santa Monica’s Water Resources Division operates a multi-barrier treatment process at Arcadia Water Treatment Plant (Arcadia WTP) to provide high-quality, safe, and reliable drinking water for the City’s 93,000+ residents and over 2,700 commercial customers. As part of the multi-barrier treatment process, the Arcadia WTP adds fluoride to the final treated water in compliance with California law. Staff recommends issuing a purchase order with Brenntag Pacific, Inc. in an amount not to exceed $350,000 over a five-year period for the purchase of liquid hydrofluorosilicic acid for the Arcadia WTP. 5.H Packet Pg. 159 2 of 4 Discussion The Arcadia WTP was upgraded in 2010 as part of the Charnock Well Field Restoration Project that restored local groundwater supplies. The multi-barrier treatment process at the Arcadia WTP produces high-quality, safe, and reliable drinking water for the city and consists of green sand filtration, cartridge filtration, reverse osmosis, decarbonation towers (air stripping), chlorine disinfection, and fluoridation. Fluoridation of the city’s drinking water supply to maintain optimal fluoride levels is required by the California State Water Resources Control Board, Division of Drinking Water, to improve oral health and reduce dental cavities. The Arcadia Water Treatment Plant Expansion Project, which will increase overall water treatment plant capacity, efficiency, and safety, is replacing the existing fluoride saturator system with a more reliable liquid hydrofluorosilicic acid system (purchased as 23% solution of H2SiF6) to maintain the City’s standard of high-quality, safe drinking water. This compound is widely used at drinking water treatment facilities throughout the United States. Vendor Selection Bidder Recommendation Best Bidder Brenntag Pacific, Inc. Evaluation Criteria Price; the ability of the bidder to provide the specified standard require; and the ability of the bidder to provide the desired quantity required. Municipal Code SMMC 2.24.180 Bid Data Date Posted On Advertise In Vendors Date Publicly Submittals Received Brenntag Pacific, Inc $3.34/Gallon Hazma LLC $3.83/Gallon 5.H Packet Pg. 160 3 of 4 Posted (City Charter & SMMC) Downloaded Opened 08/18/2023 City's Online Bidding Site Santa Monica Daily Press 9 9/14/2023 Best Bidder Justification Brenntag Pacific, Inc. was selected as the best bidder based on price per gallon. Environmental Review The purchase and use of this compound at the City’s Arcadia WTP is categorically exempt from CEQA pursuant to Section 15301 of the CEQA Guidelines. Section 15301 provides exemption for the operation, repair, maintenance, permitting, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination. The purchase order would continue the practice of fluoridation as part of the operations at the existing Arcadia WTP. The agreement would not expand or materially change existing facilities or operations. Therefore, the award agreement is categorically exempt pursuant to Section 15301 of the CEQA Guidelines. Financial Impacts and Budget Actions Staff seeks authority to approve available funding from the Water Fund to award a purchase order to Brenntag Pacific, Inc. for the purchase of liquid hydrofluorosilicic acid for the Arcadia WTP. Purchase Order Request FY 2023-24 Request Amount Department Account # Future Years Amount Total Contract Amount $50,000 50500003.525081 $300,000 $350,000 Future year funding is contingent on Council budget approval. 5.H Packet Pg. 161 4 of 4 Prepared By: Thomas Poon, Senior Administrative Analyst Approved Forwarded to Council Attachments: A. Oaks Initiative Form - Brenntag Pacific, Inc. 5.H Packet Pg. 162 CITY OF SANTA MONICA OAKS INITIATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1.Personal services contracts in excess of $25,000 over any 12-month period; 2.Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3.Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4.Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5.Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6.Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7.Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Brenntag Pacific, Inc. Name(s) of trustees, directors, partners, and officers: Bill Fjelstad, Interim President; Bill Huttner, VP Supply Chain Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: Laura Tua/Pacific/Brenntag Title: Municipal Bid Manager Signature: Date: September 12, 2023 Email: Ltua@brenntag.com Phone: 562 903-9626 FOR CITY USE ONLY: Bid/PO/Contract # Permit # None 5.H.a Packet Pg. 163 Attachment: Oaks Initiative Form - Brenntag Pacific, Inc. (6013 : Award PO to Brenntag Pacific, Inc. for Liquid Hydrofluorosilicic Acid)