Item Coversheet

CITY OF HOUSTON - CITY COUNCIL

Meeting Date: 12/12/2023
ALL
Item Creation Date: 11/2/2023

S28801.A1 - Chemical, Sodium Hypochlorite (DXI Industries, Inc.) - MOTION

Agenda Item#: 17.


 
                               
Summary:

AMEND MOTION 2020-00642/12/2020TO EXTEND contract term and increase the spending authority for purchase of Sodium Hypochlorite Chemical for Houston Public Works, awarded to DXI INDUSTRIES, INC

Background:

P39-S28801.A1 – Amend Council Motion 2020-0064, passed on February 12, 2020, to extend the award from February 18, 2025 to February 18, 2026 and increase the spending authority from $29,317,104.47 to $36,317,104.47 for the purchase of Sodium Hypochlorite chemical awarded to DXI Industries, Inc., for Houston Public Works.

 

Specific Explanation:

The Director of Houston Public Works (HPW) and the Chief Procurement Officer recommend that City Council amend Council Motion No. 2020-0064 to extend the award from February 18, 2025 to February 18, 2026 and increase the spending authority from $29,317,104.47 to $36,317,104.47 for the purchase of Sodium Hypochlorite chemical awarded to DXI Industries, Inc., for Houston Public Works.

 

This award began February 18, 2020, for a 60-month period, in the amount not to exceed $29,317,104.47. Expenditures as of November 2, 2023, totaled $29,315,634.00.

 

The use of Sodium Hypochlorite is essential for maintaining the safety and well-being of Houston’s residents. This product is needed for daily use to disinfect and treat wastewater and drinking water at the HPW's Wastewater Operations and Drinking Water Operations facilities. Approximately 110,000 gallons are used per week; however, due to the addition of various facilities, including Kingwood Central, Kingwood West, Cedar Bayou, Forest Cove, Westlake Houston, and the Northeast Water Purification Plant Expansion, HPW's usage has significantly increased to approximately 174,666 gallons per week, causing a rapid depletion of this contract budget.  HPW requires an extension of time and additional funding to continue providing water and wastewater services while the department works on securing a new contract.

 

MWBE Participation:

This project was awarded with a 3.0% M/WBE participation goal. DXI Industries, Inc., is currently meeting goal credit of 3.21%.

 

Fiscal Note:

Funding for this item is included in the FY2024 Adopted Budget. Therefore, no Fiscal Note is required as stated in the Financial Policies.

 

 

 

_____________________________________                ______________________________

Jedediah Greenfield, Chief Procurement Officer              Carol Ellinger Haddock, P.E., Director

Finance/Strategic Procurement Division                           Houston Public Works

 

 

Estimated Spending Authority

Department

FY2024

Out Years

Total

Houston Public Works

$7,000,000.00

$0.00

$7,000,000.00

 

Prior Council Action:
Council Motion No. 2020-0064 – Approved by City Council on February 12, 2020. 
Amount and Source of Funding:

$7,000,000.00

Water & Sewer System Operating Fund No.

Fund 8300

Contact Information:

Erika Lawton, Division Manager                                 HPW/PFW      (832) 395-2833

Brian Blum, Assistant Director                                    HPW/PFW      (832) 395-2717

Carolyn Hanahan, Assistant Chief Policy Officer        Finance/SPD  (832) 393-9127

Jedediah Greenfield, Chief Procurement Officer        Finance/SPD  (832) 393-9126

ATTACHMENTS:
DescriptionType
Signed coversheet - revisedSigned Cover sheet