REPORT TO COUNCIL
SUBJECT
Title
Receive a Report of an Emergency Procurement to Provide Polymer to Meet Compliance Requirements at the Water Pollution Control Plant (WPCP) and Find that the Project is of Urgent Necessity for the Preservation of Life, Health, or Property. (F22-145)
Report
REPORT IN BRIEF
Staff is presenting this report to Council to describe the completed emergency procurements for polymer that were needed to meet compliance requirements at the Water Pollution Control Plant (WPCP). The Plant has been impacted by a persistent, problematic, difficult-to-treat algae/cyanobacteria .The recently identified cyanobacteria has established itself in the WPCP secondary treatment system (oxidation ponds) and is dramatically impacting the Plant’s ability to meet two of its effluent limits. This potentially subjects the City to minimum mandatory penalties, administrative orders, third party litigation, cease and desist orders, and other consequences.
A type of chemical compound called a polymer is used to reduce turbidity. The formulation of the current polymer has become ineffective due to the changes in the algae/cyanobacteria in the oxidation ponds. Fortunately, cationic polymers from two different manufacturers, Kemira Chemicals, Inc. (Kemira) and Solenis, LLS (Solenis) have proven to be more effective than the current polymer. Emergency purchase orders with these two suppliers were necessary to bring the WPCP into compliance.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, the City Manager, the Purchasing Officer or a department head may make or authorize others to make emergency procurements, regardless of cost, if there is an urgent necessity to do so for the preservation of life, health, or property. Such emergency procurements shall be made with such competition as is practical under the circumstances and shall be limited to those goods and services necessary to satisfy the emergency need. In the event that such emergency action is necessary, and the procurement cost is greater than two hundred fifty thousand dollars in any one transaction, the city manager shall make a full and complete report to the city council at its next regularly scheduled meeting
ENVIRONMENTAL REVIEW
Receipt of the report does not constitute a “project” within the meaning of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonable foreseeable indirect physical change in the environment.
BACKGROUND AND DISCUSSION
The WPCP uses many bulk chemicals to effectively treat wastewater to meet strict discharge requirements: Sodium Hypochlorite for disinfection, Sodium Bisulfite for dichlorination/neutralization, Caustic and Ammonium Sulfate for predation control in the Plant’s Fixed Growth Reactors (FGRs), and Polymers to remove Total Suspended Solids (TSS) and lower Turbidities (NTU) in the Dissolved Air Flotation and Dual Media Filter processes.
The WPCP has been unable to reliably meet the effluent limits with respect to TSS and Turbidity using the current polymer. The WPCP has been using the same brand of polymer for over a decade with satisfactory results. Over the last year, the predominant algal species in the Plant’s oxidation ponds has changed from a multi-cell organism to a single-celled algae/ cyanobacteria. The algae in the oxidation ponds is vital for wastewater treatment and is then removed at a subsequent step in the Dissolved Air Flotation tanks using the polymer. The current polymer has been ineffective in removing the cyanobacteria, which then impacted the two effluent limits, as outlined in the WPCP’s National Pollution Discharge Elimination System (NPDES) permit, ORDER No. R2-2020-0002, NPDES No. CA0037621 (Attachment 1). Exceeding these limits potentially subjects the City to minimum mandatory penalties, administrative orders, third party litigation and cease and desist orders. In addition, the cyanobacteria can produce a liver toxin called Microcystin, which can be harmful to human and aquatic health if released into the Bay. Fortunately, testing of the cyanobacteria to date has revealed no toxins but pond biology can change quickly.
The WPCP staff invited a half dozen polymer manufacturers to perform laboratory (benchtop) testing of the pond effluent onsite. During this testing, it was determined that solutions from Kemira and Solenis met the required limits for TSS and turbidity. It was urgently necessary to issue a contract to Solenis in the amount of $240,000, under City Manager authority, in April 2022 so that this solution could be implemented immediately. In June 2022, it also became necessary to issue a contract to Kemira in the amount of $700,000 as an alternative solution.
The WPCP staff is also looking at new types of treatment technology including sonic algae treatment systems in the ponds, algaecide, new types of solids removal systems such as Herron - Suspended Air Floatation (SAF), etc. The evaluations of these treatment options will take time. In addition, the City has begun developing a competitive procurement process for selecting a long-term treatment solution to procure a chemical that is effective in meeting the required effluent limits. It will incorporate testing to validate the solution meets ongoing effluent requirements and support to evaluate treatment methods as the chemical makeup may change over time. The current vendor, those that have been issued emergency contracts and other vendors nation-wide will be invited to participate in that solicitation. The procurement process is expected to be complete by the end of the calendar year. The emergency procurements will likely provide us with enough chemicals until the competitive procurement process is complete; however, additional emergency procurements may be necessary if the competitive procurement takes longer than anticipated or the pond biology continues to change requiring more polymer,
FISCAL IMPACT
Chemical usage of cationic polymers fluctuates each year seasonally. This past fiscal year; however, the polymer usage increased substantially, to nearly twice as much as past years due to the algae issues. Two emergency purchase agreements (aka purchase orders) were issued: one for $700,000 to Kemira to procure Superfloc C-1599 and one for $240,000 to Solenis to procure Zetag 8819 to aid with the compliance requirements. Both polymers will be used until a long-term contract is established with one or more vendors through the competitive procurement process. There are available funds in the current WPCP Operating budget to absorb the cost increase for purchases.
The purchased amounts for both chemicals discussed above were based on the current usage data associated with the operating conditions related to this problematic monoculture of cyanobacteria. These contracts are expected to provide sufficient chemicals until the City completes the competitive procurement process. A budget modification, if needed, will be requested at the time a long-term contract for a new polymer and/or suite of chemicals is recommended for award.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Public Library, Senior Center, Community Center and in the Department of Public Safety Lobby. In addition, the agenda and report are available at the Sunnyvale Public Library, Office of the City Clerk, and on the City's website.
RECOMMENDATION
Recommendation
Receive the Report of an Emergency Procurements to provide Polymer to Meet Compliance Requirements at the Water Pollution Control Plant (WPCP) and Find that the Project is of Urgent Necessity for the Preservation of Life, Health, or Property.
Staff
Prepared by: Tim Kirby, Director of Finance
Reviewed by: Ramana Chinnakotla, Director of Environmental Services
Reviewed by: Jaqui Guzmán, Deputy City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. National Pollution Discharge Elimination System (NPDES) permit, ORDER No. R2-2020-0002, NPDES No. CA0037621