Agenda 05/09/2017 Item #16C 105/09/2017
EXECUTIVE SUMMARY
Recommendation to purchase Flygt wastewater pumps, warranty repair, parts and related
materials from Xylem Water Solutions USA, Inc.
OBJECTIVE: To purchase new and replacement pumps, warrant y-related repair, and other parts and
materials directly from Xylem Water Solutions USA, Inc., for a period of one year.
CONSIDERATIONS: The Collier County Wastewater Division operates more than 800 pump stations
with more than 1,700 installed Flygt pumps. Since 2001, the Co llier Count y Utilities Standards
Ordinance (currently No. 2004-31) and the Utilities Standards Manual specify one approved brand of
wastewater pump, Flygt. Widespread use of Flygt pumps in the County occurred as early as 1987. Flygt
pumps are used extensively throughout the wastewater industry and many utilities worldwide have
standardized on Flygt based upon their reliability and energy efficiency.
Standardizing equipment reduces spare parts inventory, training costs and repair time for approximately
1,700 pumps installed in the field. The average life expectancy of a Flygt pump is 20 years, with the
larger pumps typically lasting longer.
Xylem Water Solutions USA, Inc., is the only authorized Flygt vendor in Florida (east of the
Apalachicola River). Additional vendors are able to provide pumps and parts, but the vendor would buy
the parts from Xylem and include a significant third-party markup to the county.
Pursuant to SECTION ELEVEN, sub-paragraph 11 of the Collier County Procurement Ordinance 2017-
08, staff requests that the Board of County Commissioners (Board) find that it is in the best interest of the
county to standardize to Flygt pumps, and exclusively purchase pumps and parts, warranty repairs and
related items from Xylem Water Solutions USA, Inc., as a single source vendor for new and replacement
pumps, warrant y-related repair, and other parts and materials not available through an after-market
source at best value (reference Attachments 1, 2 and 3, Xylem award letter, Xylem/Flygt waiver request,
and Flygt business case).
Staff will concurrently perform an assessment of the submersible pump standard to determine if there is
better-value option in terms of performance, reliability, and life-cycle cost over the installed base of over
1,700 pumps (reference Attachment 4, Wastewater Submersible Pumps).
FISCAL IMPACT: Funds are available in the Collier County Water-Sewer District Operating Fund
(408) and the Wastewater User Fee Fund (414). As the wastewater system ages, the number o f
pumps, parts and materials purchased will vary depending on the actual repair/replacement needs. Annual
expenditures should be assumed to be in excess of $50,000, and will be controlled by the Board-approved
fiscal year budget.
GROWTH MANAGEMENT IMPACT: This project meets current Growth Management Plan
standards to ensure the adequacy and availability of viable public facilities.
LEGAL CONSIDERATIONS: This item is approved as to form and legality, and requires majority
vote for Board approval. -SRT
RECOMMENDATION: To approve the purchase of Flygt wastewater pumps, warranty repair, parts
and related materials from Xylem Water Solutions USA, Inc., for a period of one year.
Prepared By: Tom Chmelik, Director, Engineering and Project Management
16.C.1
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05/09/2017
ATTACHMENT(S)
1. 01-Xylem_AwardLetter (PDF)
2. 03-Business Case - Flygt Pump (PDF)
3. 04- Wastewater Submersible Pumps (PDF)
4. Waiver Request 121 - Flygt (PDF)
16.C.1
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05/09/2017
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.C.1
Doc ID: 3021
Item Summary: Recommendation to purchase Flygt wastewater pumps, warranty repair, parts and
related materials from Xylem Water Solutions USA, Inc.
Meeting Date: 05/09/2017
Prepared by:
Title: Division Director - Public Utilities Eng – Public Utilities Planning and Project Management
Name: Tom Chmelik
04/05/2017 12:24 PM
Submitted by:
Title: Division Director - Public Utilities Eng – Public Utilities Planning and Project Management
Name: Tom Chmelik
04/05/2017 12:24 PM
Approved By:
Review:
Procurement Services Lissett DeLaRosa Level 1 Purchasing Gatekeeper Completed 04/06/2017 8:21 AM
Wastewater Beth Johnssen Additional Reviewer Completed 04/06/2017 10:04 AM
Public Utilities Department Margie Hapke Additional Reviewer Completed 04/06/2017 11:27 AM
Public Utilities Operations Support Joseph Bellone Additional Reviewer Completed 04/13/2017 7:41 AM
Procurement Services Adam Northrup Additional Reviewer Completed 04/13/2017 2:21 PM
Public Utilities Department Heather Bustos Level 1 Division Reviewer Completed 04/13/2017 2:34 PM
Procurement Services Swainson Hall Additional Reviewer Completed 04/13/2017 2:52 PM
Procurement Services Swainson Hall Additional Reviewer Completed 04/16/2017 10:07 PM
Public Utilities Department George Yilmaz Level 2 Division Administrator Review Completed 04/17/2017 6:19 PM
County Attorney's Office Scott Teach Level 2 Attorney Review Completed 04/18/2017 10:52 AM
County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 04/18/2017 11:23 AM
Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 04/19/2017 8:00 AM
Office of Management and Budget Susan Usher Additional Reviewer Completed 04/27/2017 2:16 PM
Budget and Management Office Ed Finn Additional Reviewer Completed 05/02/2017 10:31 AM
County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 05/02/2017 12:22 PM
Board of County Commissioners MaryJo Brock Meeting Pending 05/09/2017 9:00 AM
16.C.1
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c'&ff"t c-ovmry
Adm i nistrative SeMes DeParffnent
Procurement Services Division
NOTICE OF AWARD
October 13,2015
Ms. Barbara Westerdale
Xylem Water Solutions USA, Inc.
5771 Country Lakes Drive
Ft. Myers, FL 33905
Fax: 693-1485
RE: Contract # 15-6493 "single Source Purchase of Pumps, Warranty-Related
Repair, and Other Parts and Materials Not Avaitable Through an Aftermarket Source
for Approved Wastewater PumPs"
Dear Ms. Westerdale:
This letter serves as notification that you have been awarded a Purchase Order for Bid # 15'
64g3 ,,Single Source Purchase of Pumps, Warranty-Related Repair, and Other Parts and
Materials Not Available Through an Aftermarket Source for Approved Wastewater
pumps" furnishing service, materiils, and equipment in accordance with the terms, conditions
and the specifications of the solicitation.
A formal contract for this service will not be necessary. The Collier County department will
forward a purchase order which will serve as the County's agreement to your proposal.
Thank you for your interest in Collier County, and congratulations on the award of this
solicitation. lf there are any questions, please do not hesitate to contact me at 239-252-8935.
Craig Pajer, Project Manager
Roctrrement sarvices Dirrision, 3327 Tamiami Trail East . Naples, Florid; 34112-4901 . 23$S23407 . vu|w.colliergov.net/procurementservices
16.C.1.a
Packet Pg. 562 Attachment: 01-Xylem_AwardLetter (3021 : Flygt Pump Standardization)
Business Case
Xylem Flygt Submersible Pumps
1. What would the impact be to change to a different product (include: training, inventory
parts, maintenance, project (or staff time) to replace the item?
Inventory Impact
There are currently 121 Flygt pumps of various horsepower in inventory, occupying
approximately 1,650 square feet of warehouse space. An overhead crane is utilized to store and
maneuver these large inventory items. In addition, inventory for over 300 spare parts for these
pumps occupy an additional 220 square feet of warehouse space in an already overcrowded
warehouse and pump shop facility. If the Wastewater Division were to add additional
pumps/parts to its inventory, these items would need to be stored offsite from the Wastewater
Collections Shirley Street facility, adding to station downtime and labor costs.
Maintenance Impact
Flygt pumps incorporate a patented non-clogging technology, cutting down on maintenance
time associated with “de-ragging” pumps that have faulted out due to impediments.
Wastewater Collections has an inventory of back-up pumps on hand for easy swap out should a
pump failure occur. The quality design and manufacturing of the Flygt pump reduces
operational noise and vibration, abating neighborhood complaints. Not only does this reduce
the pump station downtime, but it optimizes labor hours.
Safety/Training
The training and safety concern to switch to other pumps becomes much more apparent when
dealing with catastrophic events, emergency situations or routine outages. Uncommon parts
and equipment, in conjunction with varying electrical panels, may contribute to delayed repair
time and possibly unsafe conditions.
2. If the product requested is one-of-a-kind item, provide background information on how this
was determined and backup resources utilized.
Flygt pumps are proprietary and are of a specific design to fit with an existing installation. The
vendor is a sole provider of factory authorized warranty service and also a sole provider of
goods and services for which the County has an established standard.
3. Provide information on why a particular product and/or vendor was chosen.
Flygt submersible pumps were selected because of recognition for quality and longevity
throughout the wastewater industry. Flygt has become Collier County’s standard because of
proven, consistent, long-term performance and less downtime resulting in the overall lowest
cost of ownership.
16.C.1.b
Packet Pg. 563 Attachment: 03-Business Case - Flygt Pump (3021 : Flygt Pump Standardization)
The City of Vancouver, WA has run submersible pump comparisons and has fo und that Flygt
pumps run on approximately 45% less energy than other pumps of similar type. Additionally,
Flygt employs a patented, non-clogging volute and impeller design that is better suited for
domestic wastewater, saving on labor costs associated with maintenance “de-ragging.”
A cursory scan of utility standards on the internet will reveal that many utilities either
specifically indicate Flygt pumps and products or include the Flygt pump specification without
calling out the Flygt name. Examples include: Vancouver, WA, Anacortes, WA, James Island, SC,
Fraser Valley, BC. Local utilities specifying Flygt include Bonita Springs Utilities, Lee County
Utilities and the City of Naples.
4. If unique features are required to successfully perform the required function, identify what
those features are any why they are required. (Be specific)
Accepting a different pump manufacturer will require modifications at all pump stations. The
modifications include, but are not limited to, rewiring of current electrical systems from pump
to panel, pump stand modifications and slide rail modifications. These modifications are
estimated to be approximately $25,000 per station.
5. Provide information on other models available and why they were rejected. Provide brand
name, model, vendor name, date and name of each resource contacted.
There is not sufficient data to ensure that any other submersible pump brands can properly
perform the intended function without potentially impacting current levels of performance,
reliability, and life-cycle cost over the installed base of over 1,700 pumps. Potential brands
researched are ABS and Homa.
6. Provide product listing of sole/single sourced items you are purchasing.
Single source purchase of pumps, warranty related repair, and other parts and materials not
available through an aftermarket source.
7. To “exactly match existing equipment” or to “inter-member (connect) with existing
equipment” is not normally an acceptable justification for sole brand. When you determine
this is a justified factor that should be considered; the quantity, manufacturer, brand,
model, property number of the existing equipment, and necessity for “interfacing” must be
provided.
Flygt pumps are sold exclusively through Xylem Inc. and purchasing these Flygt products from
another vendor or contractor would only add a markup to the Xylem direct pricing. Other
suppliers of Flyght pumps actually purchase the products from Xylem, Inc. and then resell them
at a higher price. Single-source integrated systems make engineering and service simpler. They
also lower cost of ownership, enhance reliability and maintain continued compliance.
16.C.1.b
Packet Pg. 564 Attachment: 03-Business Case - Flygt Pump (3021 : Flygt Pump Standardization)
March 23, 2017
Wastewater Submersible Pumps
Agreements in Place
On November 28, 2006, under Agenda Item 16C7, the Board of County Commissioners initially approved
the sole source purchase of Flygt pumps for the County’s wastewater system. On October 13, 2015,
under Agenda Item 16.C.1, the Board approved Contract # 15-6493 “Single Source Purchase of Pumps,
Warranty-Related Repair, and Other Parts and Materials Not Available through an Aftermarket Source
for Approved Wastewater Pumps” with Xylem Water Solutions, USA, Inc. for period of one year.
The Executive Summary accompanying the October 2015 Board action, stated that:
Staff requests that the Board waive the competitive procurement process and authorize
for a period of one year the single source purchases under the same conditions as the previous
Board action. Division staff is currently working to compile specifications to issue a solicitation
to various wastewater pump manufacturers in order for staff to conduct a qualitative evaluation of
additional pump brands.
Contract #15-6493, purchase order # 4500163502 dated October 23, 2016 serves as the County’s
agreement for these services. The purchase order was valid through October 12, 2016. Currently, there
is no procurement tool to purchase Flygt pumps and associated parts.
Utility Standards Manual Specifications
Collier County Ordinance No. 2004-31, the current Utilities Standards Ordinance, as amended,
incorporates, by reference, the Utility Standards Manual. The earliest record available describing Flygt
pumps as standard was included in an 8/15/2001 revision of the Collier County Public Utilities Technical
Standards Manual.
Section 333200 C of the Technical Specifications, which are part of the Utilities Standards Manual,
states, “Pumps: Sewage pumps (See County Approved Product List, Appendix F) shall be of the
submersible type …” The Approved Product List, Appendix F lists “Flygt” as the only approved
manufacturer of sewage pumps.
Inventory Impact
There are currently 121 Flygt pumps in inventory, occupying approximately 1,650 square feet of
warehouse space to store and maneuver these large inventory items. In addition, we inventory over
300 spare parts for these pumps, occupying an additional 220 square feet of warehouse
space. According to Real Estate Services, the average warehouse space in the sewer district service area
is $16.50 per square foot per month, or approximately $370,000 of carrying costs annually excluding the
cost of the inventory itself which is approximately $2.5 million (assuming an average cost of
$20,000/pump). If the Wastewater Division were to add additional pump manufacturer(s) to its
inventory, as well as spare parts, these operating costs would necessarily increase to accompany the
1
16.C.1.c
Packet Pg. 565 Attachment: 04- Wastewater Submersible Pumps (3021 : Flygt Pump Standardization)
March 23, 2017
necessity of stocking the other pumps. If a different pump source were added, two transitional options
exist:
1. During the years of transition from Flygt to another pump manufacturer, while Flygt pumps
were transitioning out and another pump was transitioning in, annual carrying costs would
increase approximately $300,000 to $400,000 each year of the transition*.
2. In an additional pump manufacturer were added as an alternate or replacement, and all parts
were interchangeable, then warehousing would be cost neutral.
*With an installed base of approximately 1,700 pumps, and an approximate replacement rate of 160
pumps per year, the turnover time is approximately 10-11 years. However, because almost all
replacements are rebuilt and not new, Flygt pumps and the need to service them will not go away.
It should be noted that any field testing, be it successful or unsuccessful, represents a carrying cost going
forward based on the quantity of pumps placed in the field.
Periodic solicitations create the potential for the pump manufacturer to change several times, making
the carrying costs continuous, and potentially multiplied.
Operational Impact
Key Collections staff members have been involved in this evaluation since January 2016 to assess the
impact of an additional pump source. Estimated impact is below:
• Number of Flygt pumps in operation: Approx. 1700
• Number of Flygt pumps in warehouses: Approx. 70 spares
• Number of discrete Flygt models: Approx. 10
• Number of Flygt pumps rebuilt annually: Approx: 160 pumps per year
• Number of new Flygt pumps installed as replacements: Collections hasn’t installed any new
Flygt Pumps in many years. The new pumps in the system are from CIP projects or new pump
stations that the county has accepted.
• Operational Impact of a new different vendor
o In a situation that an alternate brand pump being evaluated needed to be replaced, a
Flygt pump should be able to be installed in that slot with no modifications.
o There should be no operational change in emergency response.
o During the field testing period of the alternate pump brands, Collections Staff would
receive training on the operation, maintenance and rebuilding of the alternate pump
brands.
Evaluating the Issues
In FY16, EPMD and the Wastewater Collections staff had detailed discussions with representatives of
three submersible pump lines: ABS, Homa and Flygt. The purpose of these discussions was to (1) learn
more about the technical features of their products, (2) explore issues of training and parts supply and
(3) discuss issues of compatibility of the ABS and Homa pumps with our installed base of Flygt pumps.
2
16.C.1.c
Packet Pg. 566 Attachment: 04- Wastewater Submersible Pumps (3021 : Flygt Pump Standardization)
March 23, 2017
The team is also obtaining feedback from other comparable utilities regarding pump performance of
various manufacturers.
Recommended Approach
Staff recommends conducting an assessment of the current Standard that has been in place for over 16
years (since 2001) as pursuant to the Authority given by the Governing Board under the current [Utilities
Standards] Ordinance No. 2004-31 and the corresponding Utility Standards Manual. Parallel to the
assessment, a continuation of the sole/single source agreement should be pursued which will preserve
the existing performance, reliability, and life-cycle cost levels over the installed base of over 1,700 pumps.
Assessment
The assessment would be conducted by a third-party engineer with the following points for consideration:
a. Determine a field performance test plan to include statistically representative sample sizes of high-
volume pump models installed in a range of representative critical environments.
b. The field testing program will be designed and overseen by a third-party engineer and would last
three years in a minimum of two neighborhoods. At the conclusion of the field performance testing,
the results would be documented and evaluated.
c. Select several pump stations with serious operational challenges, for example: ragging, grease
buildup, frequent emergency call outs, etc. These would cover a range of flows.
d. Install competitor pumps alongside existing Flygt pumps in these pump stations and gather
comparative performance data. Data would include, but not be limited to: elapsed time of
operation, maintenance trips and amperage draws including in-rush current.
e. Evaluate impact on all interfacing electrical components including VFDs, DFS SCADA, DFS phase
monitors and electrical contactors.
f. On the basis of the field performance test results, the third-party engineer would determine
comparative performance (flow, pressure, power consumption, expected life, mean time to failure
and time to repair-considering interchangeability) and life-cycle costs (initial cost, maintenance
costs, retrofit costs, spare parts warehousing costs and training cost).
Conclusion
The addition or substitution of a submersible pump manufacturer to the Standard must be fully evaluated.
The risk of adding or changing suppliers without significant field testing was greater than any short-term
benefit that could be realized by a different source. The implications of changing or adding pump suppliers
could have serious consequences with respect to spare part inventory, warehousing, training,
performance, reliability, and life-cycle costs. Field testing will provide operational data to aid in objective
decision-making to ensure that any perceived benefits are sustainable long-term.
3
16.C.1.c
Packet Pg. 567 Attachment: 04- Wastewater Submersible Pumps (3021 : Flygt Pump Standardization)
Instructions
Completed waiver requests accompanied by the business case and backup documentation must be submitted to
the division’s Procurement Strategist for any amount above $3,000.
Purchases above $3,000 require three quotes or formal competition. The division must provide justification to the
Procurement Director to request consideration to waive the competitive purchasing process and purchase
from a single vendor. Waivers of greater than $50,000 will require approval by the Board of County
Commissioners. To qualify for a waiver: select a waiver category, provide the research conducted and the
supporting rationale and acquire the approval signature from your director. Send the waiver request, the business
case and contract materials to your Procurement Strategist.
Requester Name: Vendor Name:
Division: Item / Service:
Budget Year: Anticipated Cost:
Sole Source: Single Source: Standardization:
Emergency: Describe the public health or safety issues that requires the immediate product or service (i.e., The
supply of vaccination was completely depleted within hours of delivery to the employee health center; the current
vendor will not receive another shipment for 2 weeks).
Compatibility / Proprietary (One of a Kind or No Substitute Available): Describe the research completed to
determine that there is only one product or service capable of meeting the County’s existing conditions and that no
other vendor can provide a product, component, or replacement part that may be substituted.
Authorized Distributor: Describe the research completed to find similar features and operability, and a letter from
the manufacturer naming the single source authorized distributor(s) in the southwest Florida region.
It is a felony to knowingly circumvent a competitive process for commodities or services by
fraudulently specifying sole source. Florida Statute 838.22(2).
Requested by: Signature: Date:
Division Director: Signature: Date:
Procurement Strategist: Signature: Date:
Procurement Director: Signature: Date:
Attachments:Business Case,Sole/Single Source Letter, Executive Summary for Standardization
Collier County
Waiver Request
Lizabeth Johnssen Xylem Water Solutions USA, Inc.
Wastewater New and replacement pumps, warranty-related re
FY17 $ 300,000.00
Collier County Utilities Standards Ordinance No. 2004-31 and the Utilities Standards Manual specify one approved
brand of wastewater pump, Flygt.
Lizabeth Johnssen Lizabeth Johnssen 2/15/17
Lizabeth Johnssen Lizabeth Johnssen 2/15/17
Adam Northrup
Ted Coyman
cn=adamnorthrup@collier
gov.net
'00'05- 11:06:05 2017.03.02
tedcoyman@collierg
ov.net
Digitally signed by
tedcoyman@colliergov.net
DN: cn=tedcoyman@colliergov.net
Date: 2017.03.02 11:29:18 -05'00'
16.C.1.d
Packet Pg. 568 Attachment: Waiver Request 121 - Flygt [Revision 1] (3021 : Flygt Pump Standardization)
16.C.1.d
Packet Pg. 569 Attachment: Waiver Request 121 - Flygt [Revision 1] (3021 : Flygt Pump Standardization)