HomeMy WebLinkAboutOrdinance 5440 ORDINANCE NO. 5440
AN ORDINANCE AMENDING SECTION 34.25: SALES OF ARTICLE II:
PURCHASE AND SALE OF CITY PROPERTY; CONTRACTS OF CHAPTER
34: FINANCE AND REVENUE OF THE CODE OF FAYETTEVILLE TO
PROVIDE AUTHORITY AND PROCEDURES FOR THE SALE OF
BIOSOLIDS
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE,ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby amends
Section 34.25: Sales of Article II: Purchase and Sale of City Property of Chapter 34: Finance
and Revenue of the Code of Fayetteville, so that after amendment it shall read as provided in
Exhibit"A"which is incorporated herein.
PASSED and APPROVED this day of 201h day of September, 2011.
APPROVED: ATTEST:
By: By: � C �
OtIONELD J RD , Mayor SONDRA E. SMITH, City Clerk/Treasurer
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Page No. 2
Ordinance No. 5440
EXHIBIT "A"
34.25 Sales for damage the hay may have received
during the harvest.
(A)The purchasing agent may sell or
exchange any city-owned supplies, (D) In regard to the marketing and sale of
equipment, or materials if such have a dried biosolids produced by the City of
fair market value of less than $2,500.00 Fayetteville Wastewater Utility:
through a quote process. Vehicles and
heavy equipment are excluded from this (1) Bulk quantities of dried
process. biosolids (defined as amounts greater than
500 pounds not in a bag or other container)
(B)Such supplies, equipment, or materials shall be advertised for sale as an organic
which have a fair market value of based fertilizer product at a pre-determined
$2,500.00 or more may be sold by the base price twice each year, normally on or
purchasing agent by public auction or by about March 1St and September 1St of a given
contract sale after formal competitive year. Bulk quantities, if available, shall be
bids for the purchase therefore have been pre-committed for each marketing period on
solicited by advertisement and by other a first call, first commit basis, up to 60% of
means and such bids have been received the projected available amount. Any
and opened. remaining amount shall be marketed during
the marketing period at the same base price
(C)In regard to the marketing and sale of on a first call, first commit basis.
hay produced by the City of Fayetteville:
(1) The current year's hay crop shall (2) A base or standard price for
be advertised for sale, at a pre-established bulk quantities of dried biosolids shall be
base price on or about April 1St of a given established for each marketing period based
year. The hay shall be pre-committed, on a on the best information available from fair
first call, first commit basis, up to 60% of market value of similar products or from the
the projected crop. Any remaining hay shall cooperative extension service. Adjustments
be marketed during the harvest season at the as determined by operating personnel may
same base price on a first call, first served be made based on current costs of
basis. production; method of delivery; quality of
product available; quantities purchased; or
(2) A base or standard price shall be other market-driven conditions.
established based on average fair market
value for square baled Bermuda grass hay, (3) Quantities of dried biosolids less
behind the baler, in Northwest Arkansas, or than 500 pounds and placed in a bag or other
based on the best available information from container may be made available to the
the cooperative extension service. public via various reputable retail outlets at
any given time, according to reasonable
(3) Prior to buyer's removal of the terms and conditions as approved by the
hay from the site, adjustments as determined City Purchasing Manager. The price
by site operating personnel, will be made to charged for less than bulk quantities may be
the base price for quantity purchases; adjusted by operating personnel based on
according to the type of bale purchased; and current costs of production; method of
the relative quality of the harvested hay; and delivery; quality of product available;
Page No. 3
Ordinance No. 5440
quantities purchased; or other market-driven
conditions.
(E)The City Council may waive the
requirements for public auction or
formal competitive bids for sales of
personal property in exceptional
situations where such procedures are
deemed not feasible nor practical.
City of Fayetteville Staff Review Form
City Council Agenda Items
and
Contracts, Leases or Agreements
20-Sep-11
City Council Meeting Date
Agenda Items Only
David Jurgens Utilities Director Utilities
Submitted By Division Department
Action Required:
Approval of an ordinance changing Section 34.25, Sales, specifically adding language to allow for and establish
procedures for the sale of biosolids produced by the Wastewater Utility.
N/A Biosolids Sales
Cost of this request Category/Project Budget Program Category/Project Name
Water and Sewer Revenue
Account Number Funds Used to Date Program/Project Category Name
Water/Sewer
Project Number Remaining Balance Fund Name
Budgeted Item Budget Adjustment Attached
l7 Previous Ordinance or Resolution#
Depart -Di ector Date
Original Contract Date:
�i q— Original Contract Number:
Attorney Date
Finance and Internal Services Director Date Received in City
Clerk's Office
ofw�,
q-,A-//
Chief of Staff Date ENReceived in /
% Mayor's Office /
M or Date
Comments:
Revised January 15,2009
CITY COUNCIL AGENDA MEMO
a e evl e MEETING DATE OF SEPTEMBER 20,2011
THE CITY OF FAYETTEVILLE,ARKANSAS
ARKANSAS
• .
To: Fayetteville City Council
Thru: Mayor Lioneld Jordan
Don Marr, Chief of Staff
From: David Jurgens, PE,Utilities Director 9 1/\l
9
Water, Sewer, Solid Waste Committee
Date: August 31, 2011
Subject: Approval of an Ordinance Changing Section 34.25, Sales, specifically adding language to allow for
and establish procedures for the sale of biosolids produced by the Wastewater Utility
RECOMMENDATION
City Administration recommends approval of changing section 34.25, Sales, specifically adding language to
allow for and establish procedures for the sale of biosolids produced by the Wastewater Utility.
BACKGROUND
The biosolids drying projects are nearing completion. The solar houses are complete and in operation. This
summer, these units have been able to dry the material to 85-90% solids, although normal operations expect to
produce a range of 40 - 70% solids. Thermal dryer construction, including the required gas line, will be
complete in late October or early November. This dryer will dry the biosolids to over 90% solids,producing a
class A biosolids product which is marketable as an organic based fertilizer product. We will then be able to
dry all biosolids in house, preventing hauling to landfills, and allow for virtually unrestricted and unlimited use
of the product. Prior to these installations, the City hauled an average of 15 tractor trailer loads of biosolids
weekly to landfills in Lamar or Russellville.
DISCUSSION
This ordinance revision follows a similar format but expands the existing ordinance for selling hay produced at
Wastewater Utility facilities. It allows for competitive sales based on quality and quantity of product sold. It
also limits the amount any one purchaser can buy, which is essential to protect the City from a circumstance
whereby one buyer is no longer able to purchase the product. We have essentially no storage for our product,
requiring that we have significant flexibility in moving it when required. This ordinance allows sufficient
flexibility to do so.
All biosolids product sold will meet Class A certification per EPA and 40 CFR 503 regulations. The product
can be used as an organic based fertilizer product, land applied without any restrictions, and/or bagged and
marketed to the public for application to lawns and gardens without restrictions.
BUDGET IMPACTS
Like hay sales, biosolids sales is a revenue generator. Based on similar product sales in other parts of the
country, we expect revenues to start small and increase with time as the product becomes more widely known
and used.
Biosolids Sale CCMemo Augl l
ORDINANCE NO.
AN ORDINANCE AMENDING SECTION 34.25: SALES OF ARTICLE II:
PURCHASE AND SALE OF CITY PROPERTY;CONTRACTS OF CHAPTER
34: FINANCE AND REVENUE OF THE CODE OF FAYETTEVILLE TO
PROVIDE AUTHORITY AND PROCEDURES FOR THE SALE OF
BIOSOLIDS
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE,ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby amends
Section 34.25: Sales of Article II: Purchase and Sale of City Property of Chapter 34: Finance
and Revenue of the Code of Fayetteville, so that after amendment it shall read as provided in
Exhibit"A"which is incorporated herein.
PASSED and APPROVED this day of 20th day of September, 2011.
APPROVED: ATTEST:
By: By:
LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer
34.25 Sales each marketing period based on the best information
available from fair market value of similar products or
(A) The purchasing agent may sell or exchange any from the cooperative extension service. Adjustments
city-owned supplies, equipment, or materials if as determined by operating personnel may be made
such have a fair market value of less than based on current costs of production; method of
$2,500.00 through a quote process.Vehicles and delivery; quality of product available; quantities
heavy equipment are excluded from this process. purchased;or other market-driven conditions.
(B) Such supplies, equipment, or materials which (3) Quantities of dried biosolids less than 500
have a fair market value of $2,500.00 or more pounds and placed in a bag or other container may be
may be sold by the purchasing agent by public made available to the public via various reputable
auction or by contract sale after formal retail outlets at any given time, according to
competitive bids for the purchase therefore have reasonable terms and conditions as approved by the
been solicited by advertisement and by other City Purchasing Manager. The price charged for less
means and such bids have been received and than bulk quantities may be adjusted by operating
opened. personnel based on current costs of production;
method of delivery; quality of product available;
(C) In regard to the marketing and sale of hay quantities purchased; or other market-driven
produced by the City of Fayetteville: conditions.
(1) The current year's hay crop shall be (E) The City Council may waive the requirements for
advertised for sale,at a pre-established base price on public auction or formal competitive bids for sales
or about April 1St of a given year. The hay shall be of personal property in exceptional situations
pre-committed, on a first call,first commit basis, up to where such procedures are deemed not feasible
60% of the projected crop. Any remaining hay shall nor practical.
be marketed during the harvest season at the same
base price on a first call,first served basis.
(2) A base or standard price shall be
established based on average fair market value for
square baled Bermuda grass hay, behind the baler, in
Northwest Arkansas, or based on the best available
information from the cooperative extension service.
(3) Prior to buyer's removal of the hay from
the site, adjustments as determined by site operating
personnel,will be made to the base price for quantity
purchases; according to the type of bale purchased;
and the relative quality of the harvested hay; and for
damage the hay may have received during the
harvest.
(D) In regard to the marketing and sale of dried
biosolids produced by the City of Fayetteville
Wastewater Utility:
(1) Bulk quantities of dried biosolids
(defined as amounts greater than 500 pounds not in a
bag or other container)shall be advertised for sale as
an organic based fertilizer product at a pre-
determined base price twice each year, normally on
or about March 15 and September 1St of a given year.
Bulk quantities,if available,shall be pre-committed for
each marketing period on a first call, first commit
basis, up to 60% of the projected available amount.
Any remaining amount shall be marketed during the
marketing period at the same base price on a first
call,first commit basis.
(2) A base or standard price for bulk EXHIBIT
quantities of dried biosolids shall be established for
a
Existing ordinance:
(C) In regard to the marketing and sale of hay produced at the sludge management site at the
pollution control plant:
(1) The current year's sludge management site hay crop shall be advertised for sale, at a pre-
established base price on or about April 1st of a given year. The hay shall be pre-committed, on
a first call, first commit basis, up to 60% of the projected crop. Any remaining hay shall be
marketed during the harvest season at the same base price on a first come, first served basis.
(2) A base or standard price shall be established based on average fair market value for square
baled Bermuda grass hay, behind the baler, in Northwest Arkansas, as established by
cooperative extension service recommendations.
(3) Prior to buyer's removal of the hay from the sludge management site, adjustments as
determined by Operations management International, Inc. (OMI) personnel, will be made to
the base price for quantity purchases; according to the type of bale purchased; and the relative
quality of the harvested hay; and for damage the hay may have received during the harvest.
NORTHWEST ARKANSAS DEMOCRAT-GAZETTE
NORTHWESTARKANSAS THE MORNING NEWS OF SPRINGDALE
THE MORNING NEWS OF ROGERS
NEWS—P-M—
� NORTHWEST ARKANSAS TIMES
LLC BENTON COUNTY DAILY RECORD
212 NORTH EAST AVENUE,FAYETTEVILLE,ARKANSAS 72701 1 P.O.BOX 1607,72702 1479-442-1700 1 WWW.NWANEWS.COM
AFFIDAVIT OF PUBLICATION
I, Cathy Wiles, do solemnly swear that I am the Legal Clerk of the
Northwest Arkansas Newspapers, LLC, printed and published in
Washington and Benton County, Arkansas, bona fide circulation, RECEIVED
that from my own personal knowledge and reference to the files
of said publication, the advertisement of: OCT 0 7 2011
CITY OF FAYETTEVILLE
CITY CLERK'S OFFICE
City of Fayetteville
Ordinance 5440
tZ-
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Was inserted in the Regular Editions on: oi�pwo,Nc Ivo sago
�� OF�DINANGE AMENDING SECTION 34 2,b
September 29, 2011 SALEOF ARiCLE II FURCHA$ gND SALE lea'
OF;C(T�,PRO�ERTY� CONTI3gCTS�p�CHAPTER' � P �
34 'FINAiVCE AN�MENUE OF E CODE OFw H �/��
FAYETTEVILLE'70�P�ODEUTFi0131TYND naKaHSns-�
PROCEDURES FORTH OF BIOSOLIDS
BE 17 ORDAINI D BY T 51
Publication es:Charg $51.88 ); CITY COUNCIL OF THE CITY OF FAYETTEV�CLE
Se�Gon 1?hat thha Cl<yCounciiof the C ty of fay tte la Arkans hereby amentls Section
34 25 Sales of Articl Purchase and Sale df Gf�Prt�petty ofOfaa ter 34 Rnance and
Revenue of the Co a of Fayettevle so tha�af)era tl raj iYshaiead'as provded m
Exhib(t A whichJs)ncorporatedheCein
PASSEp and gPPROVED this 20 h da o
,r APPROVED�, ATTEST "° " ���
('/k-Jl LIONELD JO�"qT1 Mayors 5O
s � �JdDRp���Sf�y11TH� Cl�rk/T7easurer
Exhibttsfor�this o7dtpance may be u�ewed in the office of 1fie�Ci _Cie �reasurer
Cat y Wiles
Subscribed ands rn t before me
This&� day of 6. 76� , 2011.
1 '
4otary Public
My Commission Expires:
SANDRA E SCHACHERMLIER
8ENTON000NTY
NOTARY PUBLIC-ARKANSAS
ANY C-VnWM EVIM APM 1S,2017
COexebeion No.12960121
**NOTE**
Please do not pay from Affidavit. Invoice will be sent.