Placement: Consent Agenda
Action Requested: Motion / Vote
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Approve Direct Purchase of Reverse Osmosis Replacement Membrane Vessels from Protec Arisawa for the James E. Anderson Water Treatment Facility.
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Submitted By: Kevin R. Matyjaszek, Utility Systems Director
Strategic Plan Link: The City's Goal of high-quality infrastructure and facilities.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Kevin R. Matyjaszek, Utility Systems Director
2. Parties: City of Port St. Lucie Utility Systems Department (“USD”) and Protec Arisawa
3. Purpose: The USD is recommending replacement of 445 Reverse Osmosis (“RO”) membrane vessels at the James E. Anderson (“JEA) Water Treatment Facility.
4. New/Renewal/Modified: New.
5. Duration: N/A.
6. Benefits to Port St. Lucie: The vessels hold the membranes in line to treat raw water at the JEA Water Treatment Facility.
7. Cost to Port St. Lucie (Annual and Potential): $452,955 for the direct purchase from the manufacturer of 445 membrane vessels, a cost savings of $124,441 to the City by directly purchasing the materials from the manufacturer.
Presentation Information: N/A
Staff Recommendation: Move that the Council waive the provisions of the Procurement Code, for good cause shown, and approve the purchase of 445 membrane vessels with Protec Arisawa.
Alternate Recommendations:
1. Move that the Council amend the recommendation and approve the purchase of 445 membrane vessels with Protec Arisawa.
2. Move that the Council not approve the purchase and provide staff with direction.
Background: Kimley-Horn is a third-party consultant overseeing the membrane replacement project at JEA. Upon vessel inspection during the replacement project, Kimley-Horn found some fiberglass vessels are delaminating and are nearing the end of their useful life. Kimley-Horn is recommending replacement of 445 (of the 480). The vessels operate at pressures over 200 pounds per square inch (PSI) and are vital to the treatment process. Aerex Industries, Inc. is the City Contractor assisting with the membrane replacement project. The City Council approved Contract #20210034 for the JEA RO Water Treatment Membrane Replacement project on July 12, 2021 with Aerex Industries, Inc., who will install the vessels, however, the quote Aerex provided for the purchase of 445 membrane vessels is $577,396. The quote included markup, bonding and overhead. The City acknowledged that it could save $124,441 by directly purchasing the vessels from the manufacturer (Protec Arisawa).
Issues/Analysis: Membrane vessels are essential to the production of potable water.
Financial Information: The City acknowledged that it could save $124,441 by directly purchasing the vessels from the manufacturer. The direct purchase saves the City the financing costs incurred by avoiding a third party. The quote from the manufacturer is $452,955 for the direct purchase of the membranes. A second quote was obtained from CodeLine, a second manufacturer with at a cost of $692,965. Account #438-3312-563000.
Special Consideration: The vessels are at their end of useful life, are developing leaks, and would cost the USD much more in the future should the replacement of the vessels be delayed. Replacing the vessels will ensure continued operation of the JEA Water Treatment Facility. The City Council previously authorized a direct purchase of membrane vessels on June 28, 2021.
Location of Project: JEA Water Treatment Facility.
Attachments: 1. Quote from Aerex; 2. Quote from Protec; 3. Quote from Codeline.
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 9346
Legal Sufficiency Review:
Reviewed by Ella M. Gilbert, Senior Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.