REPORT TO THE CITY COUNCIL FROM: BROCK D. BUCHE, PE, PLS, Director Department of Public Utilities BY: RICK STAGGS, Assistant Director Department of Public Utilities - Wastewater Management Division CORY ASHER, Wastewater Manager - Certified Department of Public Utilities - Wastewater Management Division SUBJECT ..Title Approve a second amendment to a requirements contract with SNF Polydyne, Inc., to increase the not-to-exceed Contract amount for the purchase of Cationic Polymer by $1,106,000.00, for a total Contract value of $9,145,364.56 (Council District 3) ..Body RECOMMENDATIONS Staff recommends that Council approve an increase to a Requirements Contract (RC) with SNF Polydyne, Inc., for the purchase of Cationic Polymer in the amount of $1,106,000.00, for a total contract value of $9,145,364.56; and authorize the Director of Public Utilities or designee, to sign amendment on behalf of the City of Fresno (City). EXECUTIVE SUMMARY On September 19, 2019, the Council authorized a cooperative purchase agreement with SNF Polydyne, Inc., for Cationic Polymer under a Piggyback Contract Proposal with the City of Livermore, California. Later, on September 30, 2021, the first amendment was approved by the Council, extending the Contract's end date to June 30, 2023, and raising the Not-to-Exceed sum from $3,754,200.00 to $8,039,364.56. Currently, the Department of Public Utilities, Wastewater Management Division, seeks approval for an amendment to the cooperative purchase agreement that would increase the Contract's not-to-exceed amount from $8,039,364.56 to $9,145,364.56, to ensure payment of final deliveries through the remainder of the contract. Cationic Polymer is a chemical needed in the wastewater treatment process. BACKGROUND The City of Fresno's (City) Fresno-Clovis Regional Wastewater Reclamation Facility (Facility) is a 24 hours per day, 7 days per week operation reclaiming wastewater for beneficial use for the City and the surrounding areas. The Facility currently receives and processes approximately 58 million gallons of wastewater daily. Cationic Polymer is a thickening chemical used in the processing of wastewater biosolids. It decreases the percentage of liquid in the biosolids, which in turn, makes the disposal of the biosolids less costly to the City. The Department of Public Utilities, Wastewater Management Division, entered into a contract for the purchase of Cationic Polymer from SNF Polydyne, Inc., using a cooperative purchase RC that originated from the City of Livermore. The initial contract included the possibility for two one-year extensions. The Wastewater Management Division extended the Agreement until June 30, 2022, with one one-year option remaining. The initial not-to-exceed contract sum of $3,660,000.00 was for the first two years only, without considering the potential extensions within the City of Livermore's contract. Later, on September 30, 2021, Council authorized the first amendment that extended the Contract's end date to June 30, 2023, and increased the not-to-exceed amount from $3,754,200.00 to $8,039,364.56. The Wastewater Management Division is now requesting Council approve an additional allocation of $1,106,000.00 to increase the Contract value to $9,145,364.56. This will ensure sufficient funding for the remaining Cationic Polymer required to process the solids until the contract expires. City Attorney has reviewed and approved to form. Upon Council approval the Director of Public Utilities, or designee, will sign the amendment on behalf of the City. ENVIRONMENTAL FINDINGS This is not a project for the purposes of CEQA pursuant to CEQA guidelines section 15378, as it is an administrative action that will not result in direct or indirect changes to the environment. LOCAL PREFERENCE Local preference was not implemented, as this is an amendment to an existing contract. FISCAL IMPACT There is no impact to the General Fund. The project is located in Council District 3. Appropriations for this project are included in the Fiscal Year 2023 Wastewater Management Division's Operating Budget. Attachments: Attachment 1 - SNF Polydyne Livermore Piggyback Amendment 2 Attachment 2 - SNF Polydyne Livermore Piggyback Amendment 1 Attachment 3 - City of Livermore RC Cationic Polymer contract titled Agreement for Services Attachment 4 - Piggyback Contract Proposal for the Purchase of Liquid Cationic Polymer RE: City of Livermore - Request for Bid #4214.