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HomeMy WebLinkAboutResolution No. 2026-32KENAI CITY OF KENAI RESOLUTION NO. 2026-32 Sponsored by: Administration A RESOLUTION AUTHORIZING EXTENSION OF A CONTRACT FOR PURCHASE OF WATER AND WASTEWATER CHEMICALS. WHEREAS, the City previously bid a one-year contract for purchase of water and wastewater chemicals; and, WHEREAS, Brenntag Pacific was the low bidder with a cost of $87,400.36; and, WHEREAS, the Public Works Department is concerned about bidding an annual supply contract with variable logistic and fuel costs currently existing; and, WHEREAS, KMC 7.15.070 (b)(6) allows the City to make a purchase by direct negotiation; and, WHEREAS, extending the pricing for one-year is fair and reasonable; and, WHEREAS, the contract supplies chemicals used for water and wastewater treatment at both of our treatment plants; and, WHEREAS, it is in the best interest of the City to complete a one-year extension with Brenntag Pacific. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1. That the City Manager is authorized to extend a contract with Brenntag Pacific in the amount of $87,400.36 for the purchase of water and wastewater chemicals for the period of July1, 2026 through June 30, 2027. �z Section 2. That this Resolution takes effect immediately upon passage ,� PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS T" AY OF ry 0. KnacXs�6dt Mayor ATTEST: La an P rks, Deputy City Clerk Approved by Finance: "IX-2 New Text Underlined; [DELETED TEXT BRACKETED] KENA-1 City d Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.75351 www Lenai.city MEMORANDUM TO: Mayor Knackstedt and Council Members THROUGH: Terry Eubank, City Manager FROM: Lee Frey, Public Works Director DATE: April 28, 2026 SUBJECT: Resolution No. 2026-32 - Authorizing Extension of a Contract for Purchase of Water and Wastewater Chemicals. This memo requests Council's approval to complete a one-year extension of a contract to purchase water and wastewater chemicals with Brenntag Pacific. Last year the City completed a bid for water and wastewater chemicals and Brenntag Pacific was the low bidder and awarded the contract. The City has concerns about bidding annual supply contracts with associated impacts to logistics and fuel prices that exist. We reached out to Brenntag Pacific and asked if it would be possible to extend the current contract. KMC 7.15.070 (b)(6) allows the City to make purchases by direct negotiation if found to be in the best interest of the City and sufficient information is available to ensure a fair and reasonable price. The price was competitively bid a year ago and determined to be fair and reasonable. Extending the price an additional year is acceptable and we have allowed for fuel surcharge increases as negotiated. The Public Works Department recommends a one-year contract extension with Brenntag Pacific in the amount of $87,400.36. Award of this agreement is in the best interest of the City. Council's approval is respectfully requested.