To: Members of the Public Works Commission
From: Daniel Lord, Street O&M Division Manager
Title
Resolution approving the purchase of 2500 tons of Ice Slicer
Body
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Executive Summary
The purpose of this memo is to request final approval for the expenditure of funds to purchase 2,900 tons of Ice Slicer from Envirotech Services Inc. This product is the granular salt product presently approved for use in the Town’s Snow and Ice control program. The community values safety on Town roadways and we use this material to assist with improving safety on Town roadways during snow and ice control operations in support of this community value. This material is used at certain locations, like bridges to name just one example, to lower the freezing point of water. This assists with minimizing icing and allows plows to remove more snow from the pavement. The community also values low impacts to the environment so our crews utilize this material as sparingly as possible.
One vendor (Envirotech) offers Ice Slicer, and another vendor (GMCO) offers Torch RT. Both products are proprietary but are very similar in chemical composition and capabilities. Public Works reached out to both for a quote to provide the requisite amount of deicing material. Envirotech responded with the quote attached, GMCO has not provided a quote for the material yet. Being that the early fill savings are a time sensitive one, the window for approval and purchase is small and for this reason, GMCO is being considered nonresponsive.
Approximately 3,500 tons of material is anticipated to be needed to ensure supply for a typical snow season between November and April. This amount continues to rise with added roadways within the Town. Presently 600 tons remain from the 2022/2023 season. The expenditure is a budgeted expenditure however current inflation and higher transportation costs have increased the price from last year by $11.42 per ton (9.1%). Early fill pricing has been re-established and applies to orders received before the 31st of July, 2023. The quoted price reflects that discount. The pricing for the product is from a competitive state bid which allows the Town to purchase the material at that pricing. The cost to complete this purchase is $374,100. The 2023 budget for this purchase is $367,000. The remaining $10,973 is due to higher than anticipated inflation. Cost savings from other areas will be utilized to cover this difference. If the order is not received by the 31st of July the price per ton increases to $130, resulting in a total need for $385,700.00. Total savings from the order prior to July 31, 2023 is $11,600.
This item will be included in the Town Council packet for June 6th, 2023.
Budget Impact
The funding source for the proposed expenditure is:
120-3110-431.61-20 $374,100.00
Staff Recommendation
Staff recommends Public Works Commission recommend that Town Council provide authorization to proceed with the purchase order request.
Proposed Motion
“I move to recommend Town Council approve the resolution as introduced by title”
Attachments
Attachment A: Resolution
Attachment B: Envirotech Quote
Attachment C: Early Fill Pricing