Item 4B CITY OF
SOUTHLAKE Item 413
MEMORANDUM
(June 7, 2016)
To: Shana Yelverton, City Manager
From: Robert M. Cohen, P.E., Director of Public Works
Subject: Approve an annual agreement for providing odor control
treatment at lift stations with Premier Magnesia, LLC. in the
amount of$138,000 for a 12 month period
Action
Requested: Approve an annual agreement for providing odor control treatment
at lift stations with Premier Magnesia, LLC. in the amount of
$138,000 for a 12 month period.
Background
Information: Since the construction of the Shady Lane and Lonesome Dove
sanitary sewer lift stations in 2000, the City has had to treat the
wastewater to prevent hydrogen sulfide production in the sewer
system from affecting residents. Hydrogen sulfide gas has a very
strong "rotten egg" odor and is highly corrosive to concrete
manholes and the cast iron manhole ring and lid. Premier Magnesia
has been providing this service for Southlake and Trinity River
Authority since 2006 because previous attempts to control the
hydrogen sulfide with other products were not successful.
An additional benefit to this technology is the prevention of grease
buildup in the lift station wet-wells and downstream sewer mains
eliminating the need for City crews to remove and dispose of
excess grease. Grease causes blockage in the mains that may lead
to potential sewer overflows.
Under the proposed agreement, the cost per gallon will remain at
$2.73 per gallon. Premier Magnesia is a sole source provider for
Thioguard technical grade magnesium hydroxide slurry.
Staff is recommending that Council accept the proposal offered by
Premier Magnesia, LLC. to guarantee a rate $2.73 per gallon for
their services for a 12-month period with an estimated annual cost
of approximately $138,000.
City of Southlake Values:
Integrity Innovation♦Accountability♦Commitment to Excellence ♦Teamwork
Item 4B
Page 2 of 2
Financial
Considerations: Funding for this program is provided in the FY 2016 operating
budget of the Waste Water Division.
Strategic Link: The annual purchase agreement for the magnesia treatment of
wastewater links to the City's strategy map relative to the strategic
focus area of Performance Management and Service Delivery. The
specific corporate objectives that are met by this agreement
include: 132 collaborate with select partners to implement service
solutions, PW132 minimize environmental pollution and promote
public health (132), and PWF2 invest to provide and maintain high
quality City facilities and City infrastructure (F2).
Citizen Input/
Board Review: N/A
Legal Review: None
Alternatives: The City Council may approve or deny the agreement to provide
odor control treatment at lift stations.
Supporting
Documents: Annual Contract Pricing Renewal Letter
Sole Source Letter
Staff
Recommendation: Approve an annual agreement for providing odor control treatment
at lift stations with Premier Magnesia, LLC. in the amount of
$138,000 for a 12 month period.
Staff Contact: Robert Cohen, P.E., Public Works Director
Cristina McMurray, C.P.M, Public Works Dep. Director/Operations
City of Southlake Values:
Integrity♦Innovation♦Accountability♦Commitment to Excellence ♦Teamwork
giREMIER
MAGNESIA, LLC
May 20, 2016
Cristina McMurray
Deputy Director of Public Works - Operations
1950 East Continental Blvd
City of Southlake, Texas 76092
Re: Premier Magnesia, LLC —Thioguard® Annual Contract Pricing
Cristina:
Pursuant to your request for a renewal of the annual contract for Thioguard, I am submitting
this letter to update you on the terms of the agreement. You may submit Purchase Orders
either on a per load basis, or a Blanket PO may be issued for the duration of the price in effect.
The price per gallon for the upcoming year will be $2.73 effective July I"through and ending
June 30th 2017.
At the current combined rate of usage for Lonesome Dove and Shady Lane of 125 gallons per
day, plus or minus 10%for seasonal variability, estimated annual costs are between $124,556
and$137,012.
Premier Magnesia very much appreciates your cooperation and looks forward to a continued
long-term relationship as a quality supplier.
Sincerely,
Mary P. Evans
South Central Regional Account Manager
Premier Magnesia, LLC
Thioguard TST
Phone: 903.245.6316
20108 CR 186
Flint, Texas 75762
Email: mevans rerrierma nesia.com
giREMIER
MAGNESIA, LLC
ACCEPTANCE:
Laura Hill, Mayor Date
ATTESTED BY:
Lori Payne,TRMC Date
City Secretary
APPROVED AS TO FORM AND LEGALITY:
City Attorney Date
_7_9Five Tower Bridge
!?E 300 Barr Harbor Drive,Suite 250
mi� MIER
West Conshohocken,PA 19428-2998
MAGNESIA, LLC Tel: (610)962-8954
Fax: (610)962-8958
May 26,2016
Mr. Jack Thompson
Wastewater Supervisor
1950 East Continental Blvd
City of Southlake,Texas 76092
Re: Premier Magnesia, LLC—Thioguard® Sole Source Procurement
Dear Jack:
Thioguard is the highest quality technical grade magnesium hydroxide slurry available in the marketplace today. Through
our proprietary manufacturing process,we are able to provide a safe,non-hazardous slurry,which when properly applied
to municipal wastewater collection systems or treatment plants,has been proven to provide plant alkalinity and buffering,
safe control of hydrogen sulfide evolution,prevention of organic odors and corrosion, and a reduction/elimination of FOG
(fats,oils and grease).
In addition,manufactured Thioguard is a quality technical grade of magnesium hydroxide slurry that:
• Is produced and derived from highly reactive magnesium chloride brine
• Is sourced and proprietarily processed exclusively by Premier Magnesia LLC in the USA
• Has the highest available surface area and reactivity as a result of Premier's proprietary manufacturing process
• Provides a reduction in plant sludge generation typically associated with lime and lower grade magnesium
hydroxide products
Since wastewater treatment is performed in a sensitive biological environment wherein operation is at near-neutral or
slightly alkaline condition,the processes require the highest reactive grade magnesium hydroxide available for proper
operations. Lower reactive grades are incapable of sufficiently neutralizing the acid generated in these environments,and
will pass through the system unused.
Finally,Thioguard is manufactured to exacting particle size,particle size distribution,and specific surface area to provide
the highest reactivity and stability for transportation,pumping, and handling of our product. This manufacturing process
ensures consistent performance,better dispersion and suspension stability,all of which are critical to collection system
and treatment plant operations.
Premier Magnesia LLC is the only supplier of Thioguard technical grade magnesium hydroxide slurry.
Regards,
""f
Mary Evans
South Central Regional Account Manager
Premier Magnesia,LLC
903-245-6316
mevans@premiermagne sia.com