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HomeMy WebLinkAboutA031 - Resolution awarding contract to Air Products & Chemicals for liquid carbon dioxide for the Water Treatment PlantITEM #:32 DATE:06-09-26 DEPT:W&PC SUBJECT:FY 2026/27 LIQUID CARBON DIOXIDE FOR WATER TREATMENT COUNCIL ACTION FORM BACKGROUND: Liquid carbon dioxide is used in the water treatment process to adjust pH and maintain water quality. Approximately 330 tons are used annually. On June 30, 2026 the City's existing contract for the supply of liquid carbon dioxide will expire, so the contract has been rebid for the period of July 1, 2026 through June 30, 2027 with an option to extend the contract for an additional 12 months through June 30, 2028. On May 22, 2026, one bid was received as follows: Bidder FY 2026/27 Price Per Ton FY 2027/28 Optional Extension Price Per Ton Air Products and Chemicals, Inc. Allentown, PA $156.00 $162.24 The bid price for FY 2026/27 represents a 4% increase over the current contract price of $150 per ton. Staff is recommending approval of the contract with Air Products and Chemicals, Inc. of Allentown, PA. The FY 2026/27 operating budget estimates 330 tons at $156 per ton for a total of $51,480. ALTERNATIVES: 1. Award a contract for the purchase of liquid carbon dioxide in FY 2026/27 to Air Products and Chemicals, Inc. of Allentown at a unit price of $156 per ton. 2. Reject the bid and attempt to obtain the required supplies on an as-needed basis. CITY MANAGER'S RECOMMENDED ACTION: An adequate supply of liquid carbon dioxide is essential for the established water treatment process at the City's Water Treatment Plant. Air Products and Chemicals has demonstrated the ability to dependably provide this product at a competitive rate. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as described above. 1