Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Approving And Authorizing The Appropriate City Officials To Issue A Purchase Order Along With An Amendment To The Purchase Order Terms And Conditions To Schwing Bioset Inc. for The Purchase, Installation And Start-Up Of Lime Stabilization Equipment In The Amount Of $2,944,300.00; Authorizing The Appropriate City Officials to Execute A Five Year Maintenance Agreement Including The Supply Of Parts In The Amount of $891,532.00 For A Total Cost Of $3,835,832.00, Based Upon Section 38.41(C)(2) Of The City’s Procurement Code (Sole Source); Approving An Amendment To The Fiscal Year 2020 Capital Improvement Plan.
Strategic Plan Focus
Infrastructure & Facilities
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
Southern Regional Wastewater Treatment Plant (SRWWTP) is a 60 million gallon per day wastewater treatment facility that uses multiple treatment processes to treat wastewater and produces high quality effluent. As the wastewater goes through multiple treatment processes, a final product called “Biosolids” is produced. The City currently utilizes a proprietary lime stabilization process owned by Schwing Bioset, which produces the highest quality of Biosolids - Class AA Exception Quality (EQ) - that are marketed under the trade name “Revinu” and sold as fertilizer. This product is used on sod farms and eliminates tens of thousands of tons of Biosolids disposed in landfills. A portion of the Biosolids remain partially treated and are classified as Class B and are disposed of in a landfill. The current Bioset system was installed in 2004 and is in need of major rehabilitation and replacement.
The goal of the Department of Public Utilities is to perform a comprehensive rehabilitation and replacement of the original Bioset equipment and to continue providing environmental stewardship and reduce cost of disposal by eliminating the production of Class B Biosolids. The Department of Public Utilities is proposing to remove and replace lime stabilization equipment purchased in 2004 and cake pumping equipment installed in 2011. In addition, modification will be made under these improvements to eliminate the production of Class B Biosolids.
On March 12, 2020 The Department of Public Utilities received a quote from Schwing Bioset in the amount of $3,835,832.00. This cost includes the cost of purchase, installation and start-up of lime stabilization equipment in the amount of $2,944,300.00, maintenance services for five years in the amount of $541,532.00, and cost of replacement parts in the amount of $350,000.00.
On April 9, 2020, the Office of Procurement Services posted a Notice to Sole Source Number NTSS-022-20 for the replacement of lime stabilization equipment, issued an electronic notification to various vendors, and identified April 28, 2020, as the posting expiration date. The Office of Procurement Services did not receive any inquiries or comments on the Notice to Sole Source Number NTSS-022-20.
The Department of Public Utilities wants to acquire these services under Section 38.41(C)(2) of the City’s Purchasing Ordinance that exempts sole-source supplies and services, such as unique, patented, or franchised supplies or services, from the competitive bid requirements.
The Department of Public Utilities recommends that the City Commission approve a purchase order to Schwing Bioset Inc. for the purchase and installation of Lime Stabilization Equipment in the total amount or $3,835,832.00.
If the City Commission approves the purchase order, the project will be completed in 46 weeks from the date of Notice to Proceed (NTP).
Should this purchase order not be approved by the City Commission, the staff will continue to make the necessary repairs and continue operations as necessary and the SRWWTP will generate Class B Biosolids. There is a high likelihood of failure of the lime stabilization equipment due to its age and condition. Should the lime stabilization process fail, the City will need to haul and dispose of Biosolids under Class B that will significantly increase the cost of hauling and disposal.
The Department of Public Utilities staff will manage this project. No additional staff is needed as a result of this project.
Fiscal Impact:
Funding for this project requires amending the approved FY 2020 Capital Improvement Program as detailed in Exhibit A, subject to approval of this resolution.
Recommended for inclusion on the agenda by:
Vivek Galav, P.E., Director, Department of Public Utilities
Gus Zambrano, Assistant City Manager/Sustainable Development
Attachments:
01 Reso - Schwing Bioset Lime Stabilization and Maintenance agreement june 23.doc
02 Exhibit A Schwing Bioset.pdf
03 Schwing Bioset Scope.pdf
04 Schwing Bioset Schedule - Exhibit A.pdf
05 Schwing Bioset Maintenance Plan - Exhibit B.pdf
06 Sole Source Form and Letter Schwing Bioset.pdf
07 Draft BPO Schwing Bioset.pdf
08 Amendment to PO Schwing Bioset.pdf