Item 5ECity of Southlake, Texas
MEMORANDUM
June 20, 2006
To: Shana Yelverton, City Manager
From: Robert H. Price, P.E., Public Works Director
Subject: Authorize an Annual Purchase Agreement with Premier
Chemical for odor control treatment at lift stations.
Action
Requested: Authorize an Annual Purchase Agreement with Premier Chemical
for odor control treatment at lift stations.
Background
Information: Since the construction of the Shady Lane and Lonesome Dove
Sanitary Sewer Lift Stations in 2000, the city has spent
approximately $65,000 per year to prevent Hydrogen Sulfide
production in the sewer system affecting the residents of the
Kirkwood Hollow neighborhood. Because the old technology was
failing to produce acceptable results staff found another treatment
process which has been in place on a trial basis since the middle of
April. Because of the successful performance during the 60 -day
trial, staff is recommending that council accept the proposal
offered by Premier Chemical, LLC to guarantee a rate for their
services for a 12 -month period with an estimated annual cost of
approximately $60,000.00. Premier Chemical is a sole source
provider of this technology.
An additional benefit to this technology is the prevention of grease
buildup in the lifts stations eliminating the need for City crews to
remove and dispose of excess grease.
Financial
Considerations: The FY 06 has funding for this service in the amount of $63,800.
Citizen Input/
Board Review: None
Legal Review: None.
Alternatives: The City Council may approve it, deny this proposal.
Supporting
Documents: Agreement
Sole Source Documentation
Staff
Recommendation: Authorize an Annual Purchase Agreement with Premier Chemical
for odor control treatment at lift stations.
Staff
Contact: Robert H. Price, P.E., Public Works Director
Chuck Kendrick, Public Works Operations Manager
CHEMICALS, LLC
April 21, 2006
Chuck Kendrick
Public Works Operations Manager
City of Southlake
Phone (817) 748 -8080
Fax (817) 748 -8103
ckendrickn_a ci.southlake.tx.us
Re: Annual Contract Pricing
Chuck:
Pursuant to your request for an annual contract for Thioguard, I am submitting this letter and a copy of the
original trial proposal to outline the terms of agreement, as an extension of the trial. As noted in the
proposal and with the project extension, Southlake will be invoiced $5,000.00 for installation and set -up.
You can submit Purchase Orders on a per load basis, or a Blanket PO for the duration of the price in effect.
Pricing after the term noted may change due to changes in production costs, freight, etc..
Expected Thioguard Costs
Dosing: Product dosages may range from 40 -95 gallons of Thioguard per million gallons of wastewater
treated. An initial dosage rate is calculated by taking the total dissolved sulfide measurement and
multiplying by 1.7. In this case, a range of 10 -25 mg/L dissolved sulfides measured at the Lonesome Dove
and Shady Lane FM discharge times 1.7 would equate to an initial dosage of 17 -42.5 gallons of Thioguard
per MGD of wastewater to be treated. Additional Thioguard is added to account for certain wastewater
factors such as initial pH, FOG, CO,, retention time and desired HAS gas odor /corrosion results. On a daily
basis, we are estimating 40 -70 gallons of Thioguard consumed per day for the 0.7 mgd treatment lines
associated with the Lonesome Dove and Shady Lane LS.
THIOGUARD: $2.35 /gallon delivered to Southlake
Truckload of material (-3,650 gallons of Thioguard)
Valid: 7/1/2006 — 6/30/2007
Estimated Annual Cost (at max dosage): $60,042.50
On an annual basis, at a maximum dosage rate of 100 gallons of Thioguard per mgd of
wastewater treated, total cost is estimated at 70 gpd x $2.35 x 365 = $60,042.50, although the
maximum dosage rate may not be necessary to obtain the desired results.
*With the completion of a successful 60 -day trial period, the use of Thioguard can be extended at the
$2.35 per gallon rate (FTL only). Southlake would be assessed a one -time recuperative
$5, 000.00 equipment installation and project start -up fee.
NOTE. The figures contained herein are based on approximate dosing schedules, as actual consumption
rates are typically verified during the trial period. In the absence of a trial, actual consumption rates can
only be determined during an initial adjustment period. The price per gallon is based on the following
assumptions:
• Two feed locations (Lonesome Dove LS, Shady Lane LS)
• Feed unit configuration allowing full - truckload deliveries
13325 Kingman Dr. Austin, TX 7872910: 512- 331 -4368 1 F: 512- 996 -8461
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CHEMICALS, LLC
Premier will provide:
Storage tank/feed units appropriate for designed dosing requirements
(Premier retains ownership of all Thioguard feed equipment unless specifically
purchased by Southlake
Parts/Labor for regular interval maintenance
Material (Thioguard)
Data collection (w/ assistance from Southlake)
Reporting of Data Analysis
Requirements — To be provided by Southlake
SITE PREPARATION
• Level firm pad to set the Thioguard feed units in place (a level gravel pad formed using 2x6
lumber 10x10 is adequate)
• Boom truck or backhoe (w/ operator) to unload Thioguard equipment. (Approximate weight
empty = 2,500 lbs; approximate weight loaded = 37,000 lbs)
• ELECTRICAL
0 230/460 3 -phase 20 amp disconnect located near the Thioguard units
o Contact closure indicating when lift station pumps are running, where applicable
0 4 -20 ma output signal indicating lift station pump speed for VFD stations or variable
metered flow conditions
• WATER
o Fresh -water hose bib
• FEED POINT
o Premier designated access point for Thioguard feed injection
• ACCESS
o Unencumbered access to feed units: key to gate and doors with unlimited hours of
access
• DELIVERIES
o Adequate access and safety for delivery by tanker truck.
• TRIAL COMPLETION
o Cleanout of equipment upon completion of trial in preparation for pick -up by
Premier
Proposal Acceptance:
Signature
Title
Print Name
Date
Please do not hesitate to call if you have any questions or require additional information.
I look forward to working with you and Southlake.
Sincerely,
Matt
Matthew Madolora
Premier Chemicals
THIOGUARD
13325 Kingman Dr. Austin, TX 7872910: 512- 331 -4368 1 F: 512- 996 -8461
http : /h�Avw.Premierchernicals.com I mmadolora� 'apremierchemicals.com