Explanation
1. BACKGROUND: This legislation authorizes the Director of Finance and Management to enter into a contract with Xylem Water Solutions USA, Inc. for the purchase of an Ultraviolet (UV) Disinfection System and associated services, for the Dublin Road Water Plant (DRWP), in an amount up to $1,600,500.00, for the Department of Public Utilities, Division of Water Contract No. 2024.
Xylem Water Solutions will furnish all necessary goods and services for a fully functioning UV Disinfection System, including UV reactors and ancillary equipment, installation services, commissioning and training services, and design support during development of the facility’s construction documents. The contract will be executed in the name of the City initially and will subsequently be assigned to an Installation Contractor designated by the City.
The planning area for this project is “N/A” since DRWP serves multiple planning areas.
2. ECONOMIC IMPACT/ADVANTAGES; COMMUNITY OUTREACH; PROJECT DEVELOPMENT; ENVIRONMENTAL FACTORS/ADVANTAGES OF PROJECT: The UV Disinfection system will provide the DRWP with a multi-barrier approach to disinfection, improving water quality and enhancing public health protection for DOW’s customers.
3.0 CONTRACT AWARD: The Purchasing Office advertised and solicited competitive bids in accordance with the relevant provisions of Columbus City Code Chapter 329. The proposal indicated bids would be evaluated on the basis of the submitted life cycle costs (capital cost plus operation and maintenance cost) while the contract amount would be based on the submitted capital cost. Bids were evaluated on the basis of life cycle costs (as opposed to capital costs only) because the equipment available from the various vendors can have significantly different operational and maintenance costs. Evaluating the bids on a life cycle basis captures these differences and provides the City with a system that offers the lowest total cost of ownership.
Two bids were received and opened on August 18, 2016. The bids are listed below:
Bidder Capital Cost Life Cycle Cost
Xylem Water Solutions USA, Inc. $1,600,500.00 $2,559,448.00
Calgon Carbon UV Technologies $1,170,000.00 $3,696,891.00
Xylem Water's bid for Life Cycle Cost was deemed the lowest, best, most responsive and responsible. The Division of Water would like to enter into a contract with Xylem Water Solutions based on their Capital Cost amount of $1,600,500.00. Their Contract Compliance Number is 45-2080074 (expires 4/21/18, Majority) and their DAX Vendor No. is 008147.
Additional information regarding both bidders, description of work, contract time frame and detailed amounts can be found on the attached Information form.
3.1 PRE-QUALIFICATION STATUS: Xylem Water Solutions and all proposed subcontractors have met code requirements with respect to pre-qualification, pursuant to relevant sections of Columbus City Code Chapter 329.
Searches in the Excluded Party List System (Federal) and the Findings for Recovery list (State) produced no findings against Xylem Water Solutions.
4. FISCAL IMPACT: There are sufficient funds within the Water G.O. Bonds Fund for this expenditure.
Title
To authorize the Director of Finance and Management to enter into a contract with Xylem Water Solutions USA, Inc., for the purchase of an Ultraviolet Disinfection System and associated services, for the Dublin Road Water Plant, for the Division of Water; and to authorize an expenditure up to $1,600,500.00 from the Water General Obligations Bond Fund. ($1,600,500.00)
Body
WHEREAS, the Purchasing Office received and opened two (2) formal bids on August 18, 2016 for an Ultraviolet (UV) Disinfection System for the Dublin Road Water Plant, for the Division of Water; and
WHEREAS, the lowest, best, most responsive and responsible bid was from Xylem Water Solutions USA, Inc. in the amount of $1,600,500.00 (evaluated on Life Cycle Cost); and
WHEREAS, it is necessary to authorize the Director of the Department of Finance and Management to award and execute a contract for the DRWP UV Disinfection Project; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to authorize the Director of Finance and Management to enter into a contract with Xylem Water Solutions USA, Inc., in accordance with the terms, conditions and specifications of Solicitation No. RFQ002121 on file in the Purchasing Office, for the preservation of public health, peace, property and safety; now therefore,
BE IT ORADINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Finance and Management be and is hereby authorized to establish a contract with Xylem Water Solutions USA, Inc., 14125 South Bridge Circle, Charlotte, NC 28273; for the purchase of an Ultraviolet (UV) Disinfection System and associated services for the Dublin Road Water Plant (DRWP), for the Department of Public Utilities, Division of Water, in accordance with specifications on file in the Purchasing Office.
SECTION 2. That the expenditure of $1,600,500.00, or so much thereof as may be needed, is hereby authorized in Fund 6006 - Water G.O. Bonds Fund, per the account codes in the attachment to this ordinance.
SECTION 3. That the funds necessary to carry out the purpose of this Ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 4. That the City Auditor is hereby authorized and directed to transfer any unencumbered balance in the project account to the unallocated balance within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies no longer required for said project; except that no transfer shall be made from a project account by monies from more than one source.
SECTION 5. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 6. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this Ordinance.
SECTION 7. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.