Title
RESOLUTION AWARDING A CONTRACT TO UNIVAR USA FOR THE PURCHASE AND DELIVERY OF 70,000 GALLONS OF LIQUID CAUSTIC SODA IN YEAR 2019 FOR A TOTAL COST OF $156,534.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to issue a purchase order to Univar USA for the purchase and delivery of an estimated 70,000 gallons of liquid caustic soda in year 2019, in accordance with city-approved specifications and the vendor’s low bid of $2.2362 per gallon, for a total of $156,534, payable from 510-500-1955-5216-05 (water fund, public works and utilities, water treatment and pumping, chemicals, liquid caustic soda).
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes the purchase and delivery of 70,000 gallons of liquid caustic soda from Univar USA for a total amount of $156,534, payable from the water fund.
This chemical is used for water purification at the Lakewood water treatment plant, located at 8130 Congdon Boulevard in Duluth. The total of 70,000 gallons is an estimated quantity based on past need.
Univar USA’s bid of $2.2362 per gallon represents a price decrease of 6.4% from the 2018 low bid, which was $2.39 per gallon.
The purchasing division posted a request for bids November 6, 2018 and received three responses as listed below. Univar USA submitted the lowest bid.
Bidder Per gallon bid price
DPC Industries, Inc. $2.34
Univar USA $2.2362
Hawkins Chemical $2.38