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INDIAN RIVER COUNTY, FLORIDA <br />DEPARTMENT OF UTILITY SERVICES <br />Date: <br />February 2, 2018 <br />To: <br />Jason Brown, County Administrator <br />From: <br />Vincent Burke, P.E., Director` of Utility Services <br />Through: <br />Cindy Corrente, Finance Manager, Utility Services <br />Prepared By: <br />Terry Southard, Operations Manager, Utility Services <br />Subject: <br />Purchase Order Increase for Caustic Soda (Sodium Hydroxide) <br />BACKGROUND/ANALYSIS: <br />Indian River County Department of Utility Services (IRCDUS) has two (2) water production facilities, that <br />use caustic soda for the treatment of water. Production costs, and therefore vendor pricing, for caustic <br />soda fluctuates monthly so IRCDUS compares the costs every quarter to receive the lowest cost <br />available. Allied Universal was the lowest cost of three (3) vendors last quarter and was issued a <br />purchase order (PO) for $50,000.00. Due to an error, staff exceeded the PO limit by $9,135.06. <br />Precautionary procedures have been put into place to avoid similar issues in the future between <br />Operations and accounting staff. <br />FUNDING: <br />Funds for the caustic soda purchase are available in the Chemicals account within the Utilities Operating <br />Fund. Operating funds are derived from water and sewer sales. <br />Description <br />Account Number <br />Amount <br />219 Water Treatment - Chemicals <br />1 47121936-035230 <br />$9,135.06 <br />RECOMMENDATION: <br />Staff recommends that the Board of County Commissioners (BCC) approve the additional $9,135.06 to <br />Allied Universal and that the BCC authorize the Purchasing Manager to increase the existing purchase <br />order by $9,135.06. <br />C:\Users\legistar\AppData\Local\Temp\BCL Tech nologies\easyPDF 8\@BCL@540DB1E8\@BCL@54ODBlE8.doc Page 1 of11,' <br />