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    13.    
City Council Regular
Meeting Date: 10/13/2020  

SUBJECT:
APPROVAL OF EVOQUA WATER TECHNOLOGIES, LLC, AS A SOLE SOURCE PROVIDER
RECOMMENDATION:
  1. Approve EWT Holdings III Corporation, doing business as    Evoqua  Water  Technologies, LLC (Evoqua), as a sole source provider for the purchase of Bioxide and servicer of applicator equipment.
     
  2. Authorize the issuance of a purchase order in the amount of $25,000 to purchase Bioxide.
     
  3. Authorize the Director of Public Works/City Engineer to execute a two-year agreement, with no renewal options, with Evoqua to provide servicing of equipment in a not-to-exceed amount of $10,000.
BACKGROUND/ANALYSIS:
Wastewater collection systems develop hydrogen sulfide from decomposing sewage. Hydrogen sulfide is a colorless, toxic gas, that is highly flammable with a foul, pungent odor. Public Works staff use Bioxide to eliminate the odor, corrosion, and safety concerns associated with hydrogen sulfide in wastewater collection systems. Bioxide is a calcium nitrate solution that meets standards set by the regional sewage treatment provider, Inland Empire Utilities Agency (IEUA). The City's sewer lift stations have proprietary chemical applicator equipment installed to inject Bioxide. This chemical applicator requires periodic servicing to ensure proper functioning and dispensing of Bioxide. Evoqua holds several patents for the dispensing equipment and for the Bioxide solution.
 
Staff has researched other products to compare with Bioxide and has determined that Evoqua offers the most suitable and cost effective product. The product presents less of a safety risk to staff in the handling, storage, and application than other comparable products, and it has worked well in the City’s sewer system for treatment of sewage. Other chemicals are corrosive on lift station pumps and equipment at the wastewater facilities. Chino Hills Municipal Code Sections 3.16.110 and 3.18.050 exempts services and purchases from competitive bidding when the service or purchase can be obtained from only one provider, also known as a sole source. 
 
City Council approval of Evoqua as a sole source provider will allow staff to proceed with issuance of a purchase order in the amount of $25,000 for the purchase of Bioxide, and authorize the Director of Public Works/City Engineer to execute a two-year agreement, with no renewal options, with Evoqua in a not-to-exceed amount of $10,000 for servicing of the dispensing equipment. The total amount to be expended for the purchase order and agreement with Evoqua is $35,000.  
ENVIRONMENTAL (CEQA) REVIEW:
This proposed action is exempt from review under the California Environmental Quality Act (California Public Resources Code §§ 21000, et seq., "CEQA") and CEQA Guidelines (Title 14 California Code of Regulations §§ 15000, et seq.), because it does not involve any commitment to a specific project which could result in a potentially significant physical impact on the environment; and, constitutes an organizational or administrative activity that will not result in direct or indirect physical changes in the environment. Accordingly, this action does not constitute a "project" that requires environmental review (see specifically 14 CCR § 15378(b)(2,4-5)).
FISCAL IMPACT:
There is sufficient funding in the Sewer Utility operating budget to cover the Fiscal Year 2020/21 cost of  the agreement and purchase order for Bioxide. Future agreement costs will be budgeted in the appropriate fiscal year. There is no fiscal impact to the General Fund with this agenda item.
REVIEWED BY OTHERS:
This agenda item has been reviewed by the Finance Director.
Attachments
Sole Source Letter
Agreement - Evoqua

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