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           CITY OF
           ---:~~
                                                                               City of Des Plaines
       ~   18 ...   J5U                                                        Public Works Department
       \~ \ .        J.fl
         ~~.~                                                                 1111 Joseph Schwab Road
   DES PLAINES                                                                        Des Plaines, IL 60016
         ILLINOIS                                                                        Tel: 847-391-5464
                                                                                         Fax: 847-297-6801

                                                    .MEMORANDUM

 Date:                  October 10, 2008            ~
                        Jason Bajor, City Manager
 From:                  John Laux, Assistant PW Dir tor
Subject:                Accept State Bid Award - Purchase of Rock Salt



Issue: The 2007-2008 one-year contract for the City's supply of sodium chloride (rock salt)
expired June 2008. Des Plaines and Chicago area communities as \vell as fourteen (14) Ivlidwest
states continue to face a rock salt shortage. If approved by City Council, the 2008-2009 Central
Management Services (CMS) contracts \vill furnish 3,085 tons of solar halite at substantially
higher prices.

Analysis: Des Plaines became a eMS joint purchaser two years ago to benefit from multiple-
agency joint purchasing. In accordance with eMS purchasing guidelines, the City of Des Plaines
responded in kind to their request for rock salt purchase for the 2008-2009 rock salt season. In
April 2008, the City of Des Plaines signed the joint purchasing requisition L 1430-1430
requesting 6,000 tons of AASI-ITO specification M 143 road salt. CMS had two bid lettings for
rock salt this past summer. The first bid in June 2008 did not receive any responses. eMS
rewrote the bid specifications to include an approved substitute, and in August they received a
response to supply Solar Salt (Halite) at $105.00 per ton in place of traditional rock salt (sodium
chloride). CMS has accepted the substitute salt for their needs, and has asked any joint
purchasers if they wish to accept the Halite substitute as well. The supplier is only able to meet
approximately 48~/o of the bid quantities. CMS continued to explore other supply options to
satisfy the remainder of the quantities.

At a Northwest Municipal Conference Public Works Director's meeting on 8/28/08, the issue
was discussed and the following was revealed:

   •       Public bodies in Lake and ~1cHenry Counties \vere not included in the response rec.eived
           through the CMS bid. CMS feels that it is a transportation issue with vendors not \villing
           to haul salt further a\vay from stockpiles given the current cost of fuel.

   •       Public bodies not under the eMS joint purchasing program have not been successful
           receiving bid responses either. \\!hen they inquire about the availability of salt, they are
           told it is either not available, or they are quoted prices from $140.00 - $170.00 per ton.
           As a con1parison, last year, Des Plaines paid $38.00 per ton through the C~1S bid.
 Accept State Bid A",'ard - Purchase of Rock Salt
 October 10, 2008
 Page 2

     •   Some public bodies contacted the vendors directly to inquire why they had not bid on the
         State contract. The response was that with the eMS requirement of a 1300/0 maximum
         supply guarantee, they were taking significant risk by stockpiling enough salt to meet
         everyone's needs at 130%, while on the other hand, there is only a 700/0 minimum
         purchase requirement. Because of last winter's salt shortage, most public bodies
         increased their supply requests for 2008-2009.

    •    Suppliers blame heavy spring rains and high Mississippi river levels with barge traffic
         delays to the Chicago area.

    •    Finally, the vendors stated that they had multi-year contract obligations they must meet
         with public bodies in other states such as Wisconsin and Michigan, whereas Illinois bids
         a new contract each year.

Staff has contacted salt suppliers and others in Michigan, Wisconsin, Minnesota, Georgia,
Tennessee and Illinois in an attempt to locate lower cost rock salt. The lowest price quoted is
$135 per ton with a minimum purchase of 6,000 tons prepaid.

Des Plaines typically uses approximately 4,200 - 4,600 tons during a winter season. Using a
figure of 4,200 as the 70% minimum purchase, PW had requested 6,000 tons for the upcoming
season. As mentioned earlier, other public bodies also increased their requests due to the
shortage last winter. eMS has found an additional source, but the total amount allocated to Des
Plaines from both sources is 3,085 tons. This amounts to approximately 67% of the typical
annual usage. Therefore, Public Works will need to implement conservation measures.

Staff will instruct personnel to conserve salt usage. The snow routes will be salted conservatively
and the secondary streets will only receive salt at the intersections. METRA commuter lots will
be salted sparingly as well. Personnel will further be instructed to mix the existing salt with sand
and liquid chloride when needed; which in theory should double the quantity. Staff will get the
word out through the media in order to inform the residents of the issue and measures that the
City will be taking.

In addition, Staff is exploring other ice control techniques such as using a liquid brine solution.
The solution is basically rock salt and water mixed into brine and applied to roadways through a
spray or drip system. The brine solution is more cost effective to utilize, but requires an upfront
investment in new equipment and storage tanks. Public Works has purchased basic equipment
and plans to implement a pilot program this winter. (See attached memo: Liquid Deicing
Options.)

Please note that both contracts listed below are all or nothing contracts. If Public Works is to
receive deicing salt (solar halite) from the State, the City of Des Plaines must purchase 1000/0 of
either contract #1 or contract #2.
Accept State Bid Award - Purchase of Rock Salt
October 10, 2008
Page 3

In summary there are four options for consideration, offering varying service levels:
    1. Accept the State bid contracts as presented below;
    2. Accept the State bid contracts as presented below and launch a liquid deicing program;
    3. Purchase contract #1 only and launch a liquid deicing program;
    4. Purchase contract #1 only, drastically limiting service levels.

Staff is recommending the City Council accept the State bid contracts as presented.

Recommendation: With your concurrence, Staff recommends the City Council accept the rock
salt bid award through two State of Illinois contracts:
     • PSD 4015389, at a cost of $104.25 per ton (1,585 tons allotted), payable to Morton
         International Inc. Morton Salt Division, 123 N. Wacker Drive, Chicago, IL 60606;
     • PSD 4015394, at a cost of $137.47 per ton (1,500 tons allotted), payable to
         International Salt Company LLC, 655 Northern Boulevard, Clarks Summit, PA 18411.

Total cost for this purchase is detailed in the chart below:
         Com an                Tons Allocated            Cost Per Ton             Total
    Morton International
                                     1,585                     $104.25         $165,236.25
    (Contract #1)
    International Salt
                                     1,500                     $137.47         $206,205.00
    (Contract #2)
    Grand Total                                                                $371,441.25

Budgeted 2008 MFT funds for the purchase of rock salt is $150,000. Rock salt purchases typically
expend funds from two budget years because purchases are made during November/December and
January/February of the following year. Therefore the costs will be spread over the 2008 and 2009
budgets. Staff feels this purchase is warranted for the safety of the residents and motoring public.
Additional funding has been proposed in the 2009 MFT budget for rock salt purchases.

I would like this item placed on the October 20, 2008 regular City Council Committee of the
Whole agenda for Council consideration.

Attachments: Resolution
             Request for City Council Purchase Approval
             Purchase Orders (Morton Int'l & International Salt)
             Illinois Central Management Services Bid Award Documents
             Memo Regarding Liquid Deicing Options
                                                                   City of Des Plaines
                                                                   Public Works Department
                                                                   1111 Joseph Schwab Road
                                                                           Des Plaines, IL 60016
                                                                             Tel: 847-391-5464
                                                                             Fax: 847-297-6801




 Date:      October 10, 2008
 To:        Jason Bajor, City Manager
 From:      John Laux, Assistant Public
 Subject:   Liquid Deicing Options



Issue: The high cost and a limited supply of rock salt has influenced Public Works staff
to seek cost effective deicing alternatives. With the recent escalation in the cost of rock
salt, formerly more expensive liquid deicing methodologies have suddenly become a cost
effective deicing tool.

Analysis: The high cost of rock salt has made liquid deicing a cost effective compliment
to rock-salt-only deicing. The following educational information is provided for your
reVIew:

Most ice storms and snowstorms occur between 20° F and 32° F. Often after the storm
breaks, high pressure systems move in and temperatures plummet, sometimes to well
below freezing. So, it is important to apply salt early during the storm when salt will be
most effective as a melting agent and will prevent ice and hard pack from bonding to the
pavement. The melting action of salt forms brine at the ice pavement interface. Brine
prevents water from freezing into ice and bonding to the pavement and destroys the bond
between ice and pavement. Once bonded to the pavement, ice cannot be removed by
plowing without damaging the road surface or plovt'ing equipment. Salt is used because it
lowers the freezing point of water. If not applied before the storm as an anti-icing
treatment to prevent a bond between ice and pavement, salt is usually applied as a deicer
in conjunction with plowing because it will penetrate snow and ice left on the pavement.
Salt must sometimes be used alone when there is insufficient snow accumulation to
permit plowing. Often, salt is applied with liquid salt brine or pre-wet with other melting
agents both to prevent the salt from bouncing off the roadway surface and to speed its
melting effectiveness. The action of vehicle tires, combined with salt, will break up hard
snow and ice, and gradually move it toward the pavement's edge.

Highway Salt And Our Environment
Highlvay agencies report that deicing salt is most effective at temps above 12 0 F (-11 0 C)
but it continues to melt ice and snOlV, although at a slower rate, to temperatures
approaching the eutectic temperature of_6 0 F (-21 0 C). Calcium chloride and magnesium
 Liquid Deicing Options for Pilot Program
 October 9, 2008
 Page 2

chloride, which melt ice better at much lower temperatures, can be added to deicing salt
for more rapid and effective melting when the temperature really dips. Why not use
calcium chloride or magnesium chloride all the time? Because they are far more
expensive than sodium chloride.

 Other Materials (Should) Have Limited Application
Abrasives
 The problem with use of sand or other abrasives is attempting to avoid perceived
environmental effects of salt. However, abrasives are inert substances that provide
limited traction. Abrasives are not melting agents. They must be used in large quantities
and applied frequently, making abrasives more expensive than salt in terms of material
and manpower. Salt is frequently added to abrasives to prevent freezing. After years of
experience, for example, the City of Milwaukee, WI concluded: (( ... Although the use of
abrasives like sand instead of salt can be effective in rural areas and smaller
communities, heavy traffic volumes in urban areas quickly pound down and bond
untreated snow into hardpack that is extremely difficult to remove. It takes four to seven
truckloads of abrasives to treat the same number of lane miles as one truckload of salt,
and abrasives must be reapplied frequently. Sand builds up in catch basins and sewers,
necessitating expensive cleanup. "

After natural melting has occurred, abrasives create after-the-storm hazards. On a dry
surface, abrasive materials can become a spinning-skidding hazard until road crews
remove it. Windshield damage from airborne particulates is 365% higher in areas using
sand and abrasives instead of salt. A build up of abrasives can create problems such as
unhealthy dust, smothered roadside vegetation, silted waterways, plugged storm drains,
and costly Spring clean-up costs. This led an environmental advocacy group to conclude:
 "The main disadvantage associated rvith abrasives is their lack of staying power. When
applied to heavily traveled areas, sand tends to be kicked offthe roads. Therefore, it must
be reapplied more frequently than road salt. Sedimentation caused by sand run-off into
lake and riverbeds and roadside drainage ditches can create environmental problems,
which require occasional dredging. ... "

Another study by the Marquette University research group determined a safety benefit
cost ratio 15 times greater when using salt than using salt/abrasive mixtures for winter
highway maintenance. [jsing salt to restore safe driving conditions pays for itselfat least
10 times faster than using a salt/abrasive mixture. On 2-lane roads, salt paidfor itself in
the first 25 minutes after achieving bare pavement, lvhile using salt/abrasive mixtures did
not pay for itself in the 12 hours after the period studied,' for freeways, the payback
required only 35 minutes for salt compared to six hours for salt/abrasive mixtures.

Other chloride deicers
The most popular "alternatives" to common salt (sodium chloride) are the other chloride
salts. Calcium chloride and magnesium chloride are used to melt snow and ice more
Liquid Deicing Options for Pilot Program
October 9, 2008
Page 3

quickly at lower temperatures. They are often con1bined with salt to lnake a more
effective deicing mixture.

Some organic chemicals have also been used to melt snow and ice.
Organics melt ice more slowly and at a higher working temperature range. They are
chosen to avoid using the chloride ion although many "alternatives" are designed to be
mixed with chlorides, enhancing their melting effectiveness. Organics also impose
(different) environmental stresses and cost significantly more than salt.

                                                              Cost
        Deicing          Eutectic      Concentration at   Comparison     Cost per
        Chemical        Temp. (F)       Eutectic (%)      vs rock salt    gallon



                            -28




       70-20-10*            -5              N/A              lOx          1.40


    *70-20-10 is a mixture of sodium chloride, calcium chloride and corn by-product.

Application temperature ranges in laymen's terms:

   ~   32° - 18° Sodium chloride and salt or sand blend.
   ~   18° - 12° Magnesium Calcium Chloride with salt or sand blend
   ~   12° - -5° 70-20-10 Blend (this product has corn by products in it, which reduces
       the impact on the environment) with salt or sand blend.

The above chart compares liquid use to rock salt. With current salt prices above $100.00
per ton, use of liquids would reduce the dependence on salt, but wouldn't eliminate the
use of salt and or sand as a solid abrasive.

The chart below assumes 100% application and/or coverage of all 280-lane miles. The
amount of product used is dictated by mother-nature, therefore there is no safe way to
predict how much liquid only application we could "get by with" and how many times
we would have to use rock salt and or sand blend.
Liquid Deicing Options for Pilot Program
October 9, 2008
Page 4

Application rates:

                                  Amount
                  Amount         consumed
                 consumed       per deicing                Estimated
                per deicing       event in                  product
                  event in      Gallons/ton                 quantity
 Deicing         Tonsllane        per lane                 times cost
 Chemical           mile            mile                     er unit



Magnesium
Chloride




70-20-10




Deicing equipment upgrades for three, six wheeled dump trucks and a supply of liquid
deicing material is projected to cost:

       1) Liquid Deicing upgrade per vehicle (budget number) is expected to be no
          greater than $11,500.00 per truck.
       2) A beginning budget of $50,000.00 is recommended for the purchase of
          liquid deicing, calcium, brine and 70-20-10.

Recommendation: Staff asks that serious consideration be given to the purchase of
equipment and liquid supplies and implementation of a deicing program.
                                                                                                       City of Des Plaines
                                                                                                              1420 Miner Street
                                                                                                          Des Plaines, IL 60016
                                                                                                                  847/391-5300




DATE: October 7,2008

DEPARTMENT: Public Works

DEPARTMENT CODE: 203F - MFT                ACCOUNT CODE: 970120

 ITEM ·OR SERVICE TO BE PURCHASED
 Purchase of rock salt through Illinois State Bid
 SUMMARY OF BIDS OR QUOTES
 State Bid - Morton International - $1 04.25/ton       State Bid - International Salt - $137.47 Iton


TOTAL COST OF PRODUCT OR SERVICE $371,441.25

TOTAL AMOUNT BUDGETED: $150,000.00 (2008 Budget) $200,000 (2009 budget proposed)

OTHER PROJECT COSTS                                                                             (if applicable)



THIS PURCHASE AND OTHER PROJECT COSTS ARE EXPECTED TO REMAIN WITHIN THE BUDGET: Yes

 CITY COUNCIL ACTION REQUESTED

     D         Approval of Lowest Responsible Bidder

     WAIVE FORMAL BID PROCEDURES - SELECT ALL THAT APPLY

     D         Emergency Purchase                            D       Equipment Standardization

     rg]      Joint Government Purchasing Program            D       Sole Supplier

     D        Professional Services Consulting               D       Technical Nature of Item Makes Competition Impossible

     D        Other

 SUMMARY
 Staff recommends City Council approve the purchase of rock salt through the Illinois State bid


                                                         CITY MANAGER - - - - - - - - - - - - -


APPROVED     ---,,~--I:7't-¥-----+---+---+-------
                                                          CITY OF DES PLA,INES
                                                                  1420 MINER STREET
                                                              DES PLAINES, ILLINOIS 60016
                                                               TELEPHONE: 847/391-5300

                                                                PURCHASE ORDER
 ORGAN. NO.          ACCOUNT NO.   DEPARTMENT      DIVISION                       VENDOR NO.        PURCHASE ORDER NO.




         203F             970120        PW                       MFT                                  Pw-                 12071

        VENDOR NAME       Morton Internationsl Inc.                           S
                                                                              H
           ATIENTION:     Morton Salt Division                                I
              ADDRESS     123 North Wacker Drive                              P


       CITY! STATE, ZIP   Chicago, IL 60606
                                                                              T - - - - - - - - - - - -_- - -
                                                                              0



       QUANTITY                                 ITEM I DESCRIPTION                             UNIT COST                 EXTENDED


                     Rock salt bid award through State of Illinois contract

    1,585/tons       at a cost of$104.25 per ton                                                                   $      165,236.25




                             Presented at the October 20, 2008 council meeting




                                                                            SUB-TOTA                              $       165,236.25
                                                                         IPPING IOTHE
                                                                                  TOTAL~000000~~                  $       165,236.25
DATE                REQUESTED BY                                            FINANCE APPROVAL

       10/7/2008    John Laux
                                                          CITY OF DES PL IN S
                                                                  1420 r'lINER STREET
                                                              DES PLAINES, ILLINOIS 60016
                                                               TELEPHONE: 847/391-5300

                                                                PURCHASE ORDER
 ORGAN. NO.          ACCOUNT NO.   DEPARTMENT      DIVISION                       VENDOR NO.        PURCHASE ORDER NO.




         203F             970120        PW                       MFT                                  PW-                 12072

        VENDOR NAME       International Salt Company LLC                      S
                                                                              H
           ATIENTION:
              ADDRESS
                              --------
                          - -Northern Boulevard - - - - - - -
                          655
                                                                              I
                                                                              P


       CITY, STATE, ZIP   Clarks Summit, PA 18411
                                                                              T---------------
                                                                              0              _




       QUANTITY                                 ITEM I DESCRIPTION                             UNIT COST                 EXTENDED


                     Rock salt bid award through State of Illinois contract

       1,500/tons    at a cost of$137.47 per ton                                                                   $      206,205.00




                             Presented at the October 20, 2008 council meeting




                                                                                                                  $       206,205.00

                                                                                                                  $       206,205.00
DATE                REQUESTED BY

       10/7/2008    John Laux
                                                                                      PLEASE RETU~~ TO:


                       ILLINOIS
                       JOINT PURCHASING REQUISITION
                                                                                     Illinois Department of
                                                                                     Central Management Services
                                                                                     801 Wm. G. Stratton Building
                                                                                     401 S. Spring Street
                                                                                     Springfield, IL 62706
                                                                                     Fax: (217) 782...S187

Joint Purchasing #:                                                           Date:        4/28/08

Government Unit:         City of Des Plaines                                             Delivery Point
                                                                                Public Works Yard
Mailing Address:        1420 Miner Street                                      1111 Joseph Schwab Road
City / State / Zip:      Des Plaines, IL. 60016                                 Des Plaines,          IL. 60016

Coun~:

Contact Person:
                        --------------
                         Cook

                        Bob Przanowski

Telephone Num~er:
                        --------------
Fax Number:
                        --------------
                         847 - 3 91- 5470

                         847-297-6801



       ITEM DESCRIPTION                  QUANTITY           UNIT MEASURE                AMOUNT BUDGETED
 AASHTO Specification M143 Road Salt    ( Total Tonnage)    ( 20 - 22 Ton / Truck)       ( Local Governmental Use )


Rock Salt, Bulk                          6000                     Tons                   $200,000




I certify that funds are available for the-purchase of the items on this Requisition and that such items are
for the sole use of this government unit and not for the personal use of any official or individual.

In addition, I agree to abide by the Joint Purchasing Procedure established by the Department of Central
Management Services.
     ~. t~~                                                                 Director of Public Works
 SIGNATURE OF AUTHORIZED OFFICIAL OR AGENT                                                   TITLE

                                            Printed on Recycled Paper
                                                               ._
                                                         ..'.' _._ __"_
                                    .r.. !.~ . LJ.li~! . r~  J\Qg.)~ .. ~.3..19:g9j_~,!~j c 1.~.Lg_2.y.~r})~>..l:.
                                    IJEPAf<.rrMENT OF CENTRAL MANACJEMEN1~ SERVIC:ES
                                    Maureen T'. O'Donnell, Acting Director



                          JOINT PURCHASING PROGRAM


August 15, 2008




Dear Joint Purchasing Program participant,

The State of Illinois recently included your requirements for rock salt in a joint purchasing
effort that we regret to inform have not yet yielded any bids for your community.

We recognize that this is an area of concern for you, and we continue to aggressively
seek alternatives. We are hopeful that some progress will be made in trying to resolve
this matter. We will provide you an updated status within one week.

Your community·s requirements were included in both the initial bid offering of June 20th,
and in a subsequent bid performed for those areas where no vendor bids were received.
Responses to the second bid were received on August 12th . Some of the locations
across the State for which no vendor bids were received on the initial bid did receive bids
in this second effort, but your community unfortunately did not.

The 2008...2009 rock salt season contract procurements have incurred unprecedented
issues throughout the Midwest. High rates of usage left little or no carryover or stockpile
from the previous season. Low availability of supply within the vendor community is not
meeting the demand for the 2008..2009 season.

If you are in receipt of this notice, and are not directly involved in the rock salt
procurement, please forward it to the appropriate people within your municipality.

                                             Sincerely,

                                             Roger Nandarf

                                             Portfolio Manager - Equipment & Commodities
                                             Bureau of Strategic Sourcing and Procurement




            801 Stratton Office Building) 401 South Spring Street, Springfield, IL 6270()

                                         Primed 011 Recyded PflfJ(,J'
 From:          "MarkFowler" <MFowler@NWMC-COG.ORG>
 To:            "Managers" <Managers@NWMC-COG.ORG>! "Assistant Managers"
 <AssistantManagers@NWMC-COG.ORG>, "Public Works Directors" <PublicWorksDirectors@NWMC-
 COG.ORG>
Date:             8/19/2008 11: 12: 17 AM
Subject:          FW: Rock salt

Hello Everyone:

Pardon the blanket email, but I wanted to get consistent information out
to everyone regarding rock salt supplies for this winter. If your
municipality has been informed by CMS that you will receive rock salt
this winter, please disregard.

For everyone else, please read the message below for a status report
based on our work over the past two days. I have also attached the memo
that was sent by CMS in case you have not seen it. Please note that we
are also convening a meeting of the NWMC Public Works Directors
Committee for Thursday, August 28 at 1:30 p.m., and are attempting to
have representatives from eMS attend the meeting. We will forward the
meeting location once it's secured. I have also alerted Dave Bennett of
the Metropolitan Mayors Caucus about this as he was involved in some
stop gap measures with alternative vendors last winter.

Please do not hesitate to contact me with any questions or other
information you would like me to forward to the group.

Mark

Mark L. Fowler
Executive Director
Northwest Municipal Conference
1616 E. Golf Road
Des Plaines, IL 60016
PH: 847-296-9200, ext. 25
FAX: 847-296-9207
www.nwmc-cog.org

-----Original Message-----
From: MarkFowler
Sent: Monday, August 18, 2008 4:53 PM
To: 'gboysen@vbg.org'
Cc: Brimm, William; Larry Widmer; Lerisa Wilkins;
'invernesshall@comcast.net'; 'Ed Paesel'; Fleming! Bud
Subject: RE: Rock salt

Hi Greg & Bill - Curt Carver brought this to my attention on Friday and
this is a significant issue for our members - at least 25 are on the
list of towns that will not receive salt through the state bid. I also
heard from the South Suburban Mayors and Managers Conference whose towns
have been similarly impacted. Larry Widmer spoke to Dennis Smith at CMS
this afternoon and roughly 160 municipalities in Cook, Lake and McHenry
counties are impacted. According to Dennis! lOOT District 1 is also
included and they are scrambling for options.

Dennis said that CMS is working on alternatives and hopes to have
additional information available by the end of the week. Simply stated,
CMS is saying the salt is not available. This is a Midwest regional
problem and is simply a supply and demand issue. Options that we have
heard so far include contacting suppliers directly, using a broker or
ordering overseas (suppliers in Germany and Chile are said to have
salt), but expect to pay handsomely (roughly $150-160/ton). Vve will
continue to research alternatives, including putting together a smaller
contract through the Suburban Purchasing Cooperative and would
appreciate any suggestions you may have as well.

Thanks,

Mark

Mark L. Fowler
Executive Director
Northwest Municipal Conference
1616 E. Golf Road
Des Plaines, IL 60016
PH: 847-296-9200, ext. 25
FAX: 847~296-9207
www.nwmc-cog.org

-----Original Message-----
From: gboysen@vbg.org [mailto:gboysen@vbg.org]
Sent: Monday, August 18, 2008 1:23 PM
To: MarkFowler
Cc: Brimm, William
Subject: Fw: Rock salt

Mark - Buffalo Grove received a somewhat alarming notice from the state
that they have not been able to contract for salt for Buffalo Grove for
the next winter season (see 8/15/08 email forwarded below).

Can NWMC determine how widespread this type of problem is within the
conference members and if there is any best alternative NWMC might
recommend? - Greg

Gregory P. Boysen, PE
Director of Public Works
Village of Buffalo Grove, IL
51 Raupp BlVd.
Buffalo Grove, IL 60089
Phone: (847) 459-2547
Fax: (847) 537-5845
Email: gboysen@vbg.org
----- Forwarded by Gregory P BoysenNOBG on 08/18/2008 01: 17 PM -----
"Smith, Dennis" <Dennis.Smith@lllinois.gov>
08/15/2008 04:22 PM

To

<GBoysen@vbg.org> ,

cc
Subject

Rock salt




Please read the attached message reaggarding rock salt availability.
«JP Rock Salt 20GB.pdf»
Dennis Smith, Coordinator
Joint Purchasing Program
Illinois Department of Central Management Services
8G1 Stratton Office Building
Springfield, IL 62706
217-785-6935 Office
217-782-5187 Fax
dennis.smith@illinois.gov <mailto:Dennis.smith@illinois.gov> (See
attached file: JP Rock Salt 20GB.pdf)


cc:            "Larry Widmer" <lwidmer@NWMC-COG.ORG>, "Lerisa Wilkins" <lwilkins@NWMC-
COG.ORG>, "Dave Bennett" <dbennett@mayorscaucus.org>, "Ed Paesel" <paesel@ssmma.org>, "Chris
Gentes" <Icml@sbcglobal.net>, "Bud Fleming" <bud.fleming@ssmma.org> .
                                                                                                         Al·l'A.(~I-IMENl' (~


                                        I.~_~.J_~   QI §_.. _-_.
                                                     .              ,.____._ " _ __!\.od.J3::_..!?l~ggj.~:{.~sh2- Goy~rn2.~_
                                                                       .
                                        DEPARI~MEN~r           OF CEN1'I<AL MANAGEMENT' SERVICES
                                        Maureen 'r. O'Donnell, Acting Director

                                         MEMORANDUM
'ro:              Local GovernlllcntaJ Units Authorized to Palticipate in Joint Purchasing

FROM:             !{oger Nondorf, POJ'tfolioManager, Cotnlnodities & Equipnlent

DA'Tl~;           August 19, 2008

SUBJ.ECT;         Calendar Year 2008 - 2009 H"ock Salt Urgent Clarification Request


As you know, despite two efforts to bid rock salt requirelnents for your cotnJnunitYt 'issues surrounding
Jow availability of salt within the velldor estabfish.nent have not yielded a vendor bid to meet your
requirements,

We continue to aggressively exp.1ore avenues to try and secure salt to tneet your requirenlents, and in
order to do so, we need clarification froul you.

This clarification is necessary as our efforts 011 your behalf are indicating tllat present market
conditions arc resulting ill prices (01' sUPllIy that arc potentially ill the $145-$165 per ton range.

We recognize that your requireJnents for salt Inay change as a result of this pricing level, and we need to
understand your requireJnents iInlnediateJy. Available voluJne is fluctuating day-ta-day as vendors are
sourcing salt to sell and c01111nitting salt as palt of their nOfrnal business operation.

We therefore u.·gently request your response to this SUI"VCY docl1lnent.

You lnust respond prior to 5:00 PM on Friday August 22, 2008 for acceptance or withdrawal as follows:

                We ARE interested in the State of lllinois continuing efforts to contract for salt and
                obligate Iny governtncnta) body at a range of$145-$165 per tOll. We are interested in
                the State contracting up to __.___                 total tons on our behalf.

                We are N01~ interested in the State oflllinois continuing efforts to contract for salt on our
                behalf at the range of $145-$165 per ton, and wish to withdraw frolll the joint purchasing
                initiative for rock salt for the 2008-2009 season.

Respond via Fax to:               JOINT PURCI~IAS.lNG SALT INrrlA TIVE FOI~ 2008-2009
Fax number:                       217-782-5187
Signature of authorized party:                     __Governlnental Body:       _
Printed naJl1eand title of signator:
Telephone:                           _     E.nail:

We also encourage you to source alternatives on your own, so that the best decision for your cOJntllunity
Inay be Jnade. We continue to work to identify an alternative to tncet your requirelTIcnts; and for us to
continue to do so) we do need your response to this clarification.

Thank you for your pronlpt attention.



              801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                            Printed on Recycled Paper
a8/2e/2~~ti    17:01         2177825187                              eMS aOSSAP PROCUREME                           PAGE    01/a3
                 I


                                                                                 .... t · ..



                                               ,I L LIN 0 IS.. · ....,....   J                 Rod' R~ Bla o' evich Governor
                                               DE                Em OF CENTRAL MANAGEMENT SERVICES
                                                                                                             ft'{~ >M~ ?~
                       ~.                                                                                    ~   tr ~~I\t
               ',.,,~
                                CONFIDENTIAL                          MEMORANDUM
       TO:                  Local Govemmental Units in Cook County Authorized to Participate in Joint               )   ~/
                            P~hasing                                       :

       FROM:                Roger Nondorf, P-ortfolio Manager_ Conunodities & Equipment

       DATE:                August 20. 2008

       SUBJECT;             Calendar Year 2008 - 2009 Rock Salt Urgent Clarification R~uest


      TI-IIS IS A CONFIDENTIAL COMMUNICATION RELATED TO AN OPEN BID·fHE STATE OF
      ILLINOiS HAS ENTBRED INTO WITH YOUR COMMUNITY AS PART OF A JOINT
      P~CHASING EFFORT. AS Tl-IIS IS' AN ACTIVE 'SOLIClTATION. nuS MATEIUAL SHOULD
      BE KEPT COMPLETELY CONFIDENTIAL', AND MAY ONLY .BE SHARED WITHIN YOUR
      COMMUNITY ON AN AS NEEDED BASIS TO FACILITATE'A RESPONSE TO                                       'Illis ....
      CLARJFICATION RBQUEST.

      We have received an alternale ~tfer .from ~ low.. bidder-ror 'your county to include approximately 48.0/0: ~f
      your original quantity requirements. Pricing for this is at approx.imately $1 OS per ton.

      lbis price is cOJ)siderably lower than present nlllrkct prices.

      TIlis aJternate offer included a rock salt product~ 'Bulk Solar Safe-T..Salt Halite.. A Product Data Sheet is
      attached for your consideration of ul.is product

      We need to understand your willingness to. accept this product undel the ttJrmS of the rebid tl:u1t allowed
      (()r an Uacceptable aJrematjve)' to the previously stated specification in the original solicitation, The
      Illinois De:partmont of Transportation has agreed to accept this product as an "acceptable altemative tt for
      its location(s) where this product was the low bid..

      As this lower cost alternative- is only available for a very limited time, you are asked to 'respond prior to
      5:00 PM on Monday August 25, 2008 for acceptance or rejection os is detailecJ below.

      Addilionall.y. \ve continue to explore avenues to try and secure salt to meet 1000/b of your original
      requirements.

      Present market conditions are resulting in prices for supply that are potentially in the $145..$165 per ton
      range. We recognize tJlat your requiremen1s for salt may change as 8 result of this pricing level, and we
      need to understand your rcquirell1Gllts iou:ncdiatcly. .




                     801 Stratton Office Building, 401 South Spring Street, Springfield It 62706    l

                                                    printed   0" fUcycled Paper
~81                        :l111l:f:Z5181                                                                         PAGE        02/03




                                       RESPOND PRIOR TO 5:00 PM ON MONDAY t AUGUST 2.-5, 200~. A:CCEPIIN'O ]'HE
         ~d\ir.,~r'A",.,."T''Y'''T'YY:''C'' AND PlUCING\\-'E ARE MLE TO SECURe OR \VITHDRl\WINO FROM
                             AS FOLLO\\IS:

                         We ARE interested in the State qf Illinois contracting for the alternate offer described
                         above, which we deem an "acceptable alternative", "'rVe recogWze that rougllly 48%of
                         our ~tial targeted volume will be supplied through tl't.is alternative. We T~res.ent this to
                         meet OUT total requirement for the 2008..2009 seaSOD.

                         We AREinteIesfed in the State ofn1in~is contracting for the alternate offer d~scribed
                        above, \vhicb we deem an ,lacceptable alternative)'. Wr; fPCognize that roughly 48% of
                        our initial tarset~d volume will be supplied through this alternative. Addj~ionalIy ~e
                        'Yish for tho State to continue efforts to contract for salt and obligate my governmental
                        body up to $].65 per ton for an additional .                    tons (this tonnage is in
                        addition to the 48% of your original comnlii"ment desc.n"bed above)". .

                        We are NOr interested io the State of DUnois contr8~g for the alternate offer (Iescribed
                        above, which \ve deem to not be an ~'accCptable alternative". We do Wi9h for the State to
                        continue efforts to contnict for salt and. obligate my gO'vemmenial body up to· S165 per
                        ton for                  tons.

                        We are NOT interested 'in 'the ,St'ate .~f nlinoj~ continuing efforts to 'coqtract for salt ott our
                        behalf, and wish to \vithdraw from the jQLnt purchasing initia1ive for rock salt for the
                        2008.. 2009 season.         .                                              '       .

      . Available volume is .fluctuating day-to-day as venqars are sourcing salt to sen and committing salt as part
        of their nonnal business operatioo) S9 a timely ~espottge is reqtiited.                      .

       Respond via Fax to:                      JOINT PURCHASING SALT INlTIATNE FOR 2008-2009
       Fax number:·-                            217-782-5181

       Governmental Body:       Ci ty of De.s Plaines                         -     ,
       Signature of authorized pllIty:      .   ~ a.~
       Printodnameandtitlc:        Director of Public Works
       Telephone: 847-391-5460                      EmDil: ,MD~scket@desplaines .org


      We also encourage you to source alternatives 011 your' own, s'o that the best decision for your community
      maybe made.

      nlank you for your prompt attention.
                                         I L LIN 0 I S         Rod R. Blagojevich, Governor
                                         DEPARTMENT OF CENTRAL 1'v1ANAGEMENT SERVICES
                                         James P. Sledge, Director

                           CONFIDENTIAL                      MEMORANDUM

TO:                City of Des Plaines

FROM:              Roger Nondorf) Portfolio Manager, Commodities & Equipment

DATE:             September 2) 2008

SUBJECT:          YOUR ACTION NEEDED: Rock Salt Update

We wanted to provide a status update to all participating governmental entities who continue to indicate a
desire for the State of Illinois to seek to secure salt to meet their community's needs.

The shortages in salt availability and the resulting pricing have posed a challenging scenario that leaves
us unable to secure your tonnage request of the lower priced solar salt product. The original survey
seeking to identify your needs included greater quantities desired than the available supply of the
alternate solar salt product. Current market supply of salt in general has not increased in recent weeks
but rather has constricted as other states and communities have begun their own bid processes.

Therefore) as we seek to protect the State's and local entities' roadways in this difficult situation, we have
committed on behalf of your local governmental body 1,585 tons of the total requested tonnage of the
solar salt product. That is what was available out of the supply requested out of our previous survey
process. This salt is being procured at a price of $104.25 per ton.

We are in position to supplement this amount with additional salt at a price of $137.47 per ton. This
acceptable-supplemental salt is available and meets the specifications within the current bid process of
the original bid. Please indicate your desired tonnage of this additional salt:
- - - - - - tons.
This supply likewise is being held for a very limited time) so we unfortunately do require a prompt
response. We will procure this additional salt on the behalf of your local governmental body, if we receive
an unqualified commitment on behalf of your governmental body prior to 4:00 p.m. on September 3,
2008.

Please return this form via fax, signed by an individual authorized to encumber your governmental body.

Respond via Fax to:               JOINT PURCHASING SALT INITIATIVE FOR 2008-2009
Fax number:                       217-782-5187

Governmental Body:                                                             _

Signature of authorized party:

Printed name and title:

Telephone:                               Email:                                 _

We appreciate your cooperation through this effort.

THIS IS A CONFIDENTIAL COMMUNICATION RELATED TO AN OPEN PROCUREMENT THE STATE
OF ILLINOIS HAS ENTERED INTO WITH RESPECT TO YOUR COMMUNITY. AS THIS IS AN ACTIVE
PROCUREMENT, THIS MATERIAL SHOULD BE KEPT COMPLETELY CONFIDENTIAL, AND MAY
ONLY BE SHARED WITHIN YOUR COMMUNITY ON AN AS NEEDED BASIS.




              801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                             Printed on Recycled Paper
                                                                                                            PLEASE RETUll.l\i TOi


                                 ILLINOIS                                                              , IlIiIIoIs Department of
                                                                                                         CeJltnl Management ServiCe!
                                                                                                         861 Will. G. Stratton Building
                                                                                                         401 S.. Spring Street
                                 JOINT PURCHASING REQyrSITION                                              SpriDgfidd, IL 6Z706
                                                                                                           Fax: (217) 78U187

          Joint Purchasing #:    vC1L.! 30 .- lif'30
                                                 srq
                                                                                                    Date~        4/28/0,8

          Govermnent Unit:          City of Des Plaines                                                        Delivery Point
                                                                                                      Public ~orks Yard
          Mailing Address:         1420 Miner Street                                                 1111 Joseph Schwab Road
          City / State / Zip:      Des Plaines           I     IL. 60016'                             Des Plaines/ IL. 60016
          , 1
          County;                   Cool\:

          ConmctP~on:                Przanoweki
                                   Bob

          Telephone Nurn~er:
                                  ------------------....-
                                   a      54?
                                    4 7 - 3 91- 0
                                  ---_-....---...0---...... . . . . -
          Fax Number:              847-297-6B01
                                  --.....----.-..-..-----------.....
              . ITEM DESCRIP110N                        QU~                       UNIT MEASURE                AMOUNT BUDGETED
           MSHTO SpeQiORo M143        Rom SAl!         c· TntBi "rmlUl~   ,   (   20 - 22 Ton.! 1nic); )      ( 14eil OoymJmenta1 Use)


          Rock Salt, Bulk                                                              Tons                    $200,000




    ,r"


?;;e;




          I certify that funds are available for the purchase of the items on this Requisition and that such items 'ar.e
          for the sole use of this government unit and not for the personal use of any official or individual.

          In additio~ I agree to abide by the Joint Purchasing Procedure established by the Department of Central
          M~ement S.ertc:s'
                ~ .IJ.~.                                                                          Direqtor of Public Worka
           SIGNATURE OF AUTIIORlZED OFFICIAL OR AGENT                                                             TITLE
                                                             PrlnJed all Recycled Paper
                                 ILL I N 0 I S                         Rod R. Blagojevich, Govern.or
                                 DEPARTMENT OF CENTRAL MANAGEMENT SERVICES
                                 Janles P. Sledge, Director


                                                                    September 15, 2008


 Dear Joint Purchasing Participant:

 Subject: 2008-2009 Rock Salt Re-Bid Contract Infonnation


The 2008 - 2009 Rock Salt season contract procurement incurred unprecedented issues
that significantly impact many areas of the State. Supply, demand, and logistical facto:fs
have adversely affected the resultant availability and price offering for certain locations
throughout the. State of Illinois, as well as other surrounding states. We have made every
effort to secure Road Salt at the best available price for participants in our contract re-
procurement, but some responses were not as we hoped. Some price offerings are higher
than desired but ·must be accepted to ensure product availability as they were the best or
only offer received. Therefore we recommend that participating agencies examine their
application rate~ and .roadway priorities in .order to reduce next season's cost while also
ensuring the safety of the public.

Enclosed is a copy of the requisition you submitted to us for the purchase of rock salt.
The infonnation from the requisition can be used to submit your requirements to this
year's contract vendor:

        Contract: PSD 4015389
        FEIN:      36-4140798
        Morton International Inc.,
        Morton Salt Division
        123 N. Wacker Drive
        Chicago, IL 60606
        Order Phone (888) 800-8905

The contract price per ton, F.O.R destination, is $ /        Or-. M Emergency pickup of salt
option at vendor's warehouse is not being made available under this season's contract.

The additional price per ton to have rock salt delivered in trucks equipped with coal/grain
option at vendor's warehouse is not being made available under this season's contract.

You are responsible for issuing your own purchase order document to the vendor. Orders
may be placed with the vendor via telephone, with a written or fax confinnation to follow
immediately. You are strongly encouraged to order early and to store as much salt as
possible in order to help prevent potential salt shortages this winter. Also, you need to
make every effort to place orders in full truckload lots (22-25 tons).



                                          Page 1 of3
         801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                      Printed on Recycled Paper
                                  ILL I N 0 I S                      Rod R. Blagojevich, Go\'emor
                                  DEPARTMENT OF CENTRAL MANAGEMENT' SERVICES
                                  James P. Sledge, Director




 The state guarantees to purchase no less than 100% of the contracted quantity prior to
 contract expiration date ( June 30, 2009 ) unless otherwise altered by s vendor written
 mutual agreement with requester. Your governmental unit is responsible for processing
 of vendor invoices in a timely manner.

Delivery shall be made as soon as possible after vendor receipt of order by phone or mail.
The maximum time from receipt of order to the actual delivery for orders placed between
December 1, 2008 through April 1, 2009 shall not exceed seven working days, unless as
modified in the Order Guidelines herein..

For orders placed between December 1,2008 and April 1, 2009, if a vendor is unable to
make delivery within the order timeline, local governmental units shall have the right to
retain $.20 per ton per cale~dar day as liquidated damages on the undelivered portion of
the order. For an order placed prior to 9:00 a.m. on a given day, that day would be
considered as the first calendar d&~ of the seven-day delivery period. For order placed
after 9:00 a.m. on a given day, the following day would be.considered the first calendar
day of the seven day delivery period.

eMS reserves the right to mitigate application of liquidated damages imposed against
vendor, in the event of orders exceeding the maximum percentages outlined below:

An agency may order up to 20-% of their awarded contract tonnage in any given week
and vendor shall deliver within 7 working days after receipt of order. Quantity ordered
above the 20-% threshold shall have an extended deliver time of one-calendar-day for
each one-percentage-point above the 20-% guideline. For example, if an agency orders
25-% of their awarded total 100 ton, delivery of the first 20 ton (20-% ) shall be within
7 working days after receipt of order, the remaining 5 ton shall be delivered within 12
working days after receipt of order.

If after seven calendar days of liquidated damages assessment, the vendor has still failed
to deliver, local governmental units shall have the right to terminate the order and
purchase salt or abrasives from another source or take action consistent with public safety
as needed to continue daily business. Any and all additional costs may be collected from
the original vendor, in addition to any liquidated damages.

All deliveries shall·be covered with approved weatherproof materials. The vendor will
ensure that the delivery person inspects the inside of the trailer and that all salt is
removed from the trailer before leaving a delivery point. The vendor will ensure all
weights and measures shown on delivery tickets are correct. Local governmental units
reserve the right to require that delivery trucks occasionally be directed to a scale in the
vicinity of the delivery point as a check on delivered truckloads.



                                           Page 2 of3
          801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                      Printed on Recycled Paper
                                      ILL I N 0 I S                      Rod R. Blagojevich, Gov'emor
                                      DEPARTMEN'T OF CENTRAL MANAGEMENT SERVICES
                                      James P. Sledge, Director


 Deliveries of roc~ salt containing any foreign material such as mud, rocks, grader teeth,
 wood, tarpaulins, etc., may be rejected at the delivery site. In the event that any foreign
 material is discovered in dumped deliveries, the salt and foreign matter may be reloaded
 onto the cartage hauler's truck by the local governmental unit and returned for credit, or
 the vendor shall immediately ship a specification compliant load of replacement salt, or
 issue a refund to the governmental unit consistent with the contract price.

  In December 2008 the contract vendor shall have in place stockpile(s) located in or near
  Illinois covering 100% of the tonnage awarded for the northern regions of the State, and
  in January of 2009 the contract vendor shall have in place stockpile(s) located in or near
  Illinois covering 1OO~~ of the total tonnage a\varded for all regions of the State. At our
. discretion, we will·inspect the stockpiles to ensure that these stockpiles are in sufficient
  quantities, and that the c9mmitments to the stockpil~s are with the users of this contract.

The contract price shall remain finn for the entire. contract period for up to the 100 %
guaranteed limit, unless othenvise changed b~ mutual.agreement. The contract price for
purchases made in excess of the 100%. guaranteed limit is subject to increase if vendor's
costs for providing rock salt increase by more than 5% • The contract vendor must submit
to eMS documentation justifying the increase for acceptance for implementation.

Unless an emergency exists, those local governmental units under the 100% purchase
threshold will receive salt deliveries prior to those local governmental units over the
100 % purchase threshold. In the case of an emergenc~, efforts will be made to have the
vendor ship enough salt to aid affected local governmental units through the emergency_

The Department of Central Management Services requested pricing for an enhanced rock
salt option in the invitation for bid and an Enhanced Rock Salt 2008 - 2009 availability is
not provided for in this season's procurement process.

You are under contractual obligation to purchase 100% of the requested tonnage of rock
salt fi·om the vendor awarded your location. Purchase of an enhanced rock salt wili not
lessen this agreement, and would be in addition to your required purchase tonnage.

It is hoped that this infonnation will be beneficial to you in the utilization of this contract.
If you have any further questions concerning the rock salt contract, please feel free to
contact me at (217) 782-8091.

                                            Sincerely,

                                            Wayne IIsley, Buyer
                                            Bureau of Strategic Sourcing And Procurement

GovSalt.doc



                                               Page 3 of 3
              801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                          Printed on Recycled Paper
                                 ILL I N 0 I S                          Rod R. Blagojevich, Governor
                                 DEPARTME·NT OF CENTRAL                 M~t\NAGEMENTSERVICES

                                 James P. Sledge, Director



                                                                    September 15, 2008


 Dear Joint Purchasing Participant:

 Subject: 2008-2009 Rock Salt Re-Bid Contract Infonnation


The 2008 - 2009 Rock Salt season contract procurement incurred unprecedented issues
that significantly impact many areas of the State. Supply, demand, and logistical factors
have adversel)'T affected the resultant availability and price offering for certain locations
throughout the State of illinois, as well as other surrounding states. We have made every
effort to secure Road Salt at the best available price for participants in our contract re-
procurement, but some responses were not as we hoped. Some price offerings are higher
than desired but must be accepted to ensure product availability as they were the best or
only offer received. Therefore we recommend that participating agencies examine their
application rates and r<?adway priorities in order to reduce next season's cost while also
ensuring the saf~ty of the public.

Enclosed is a copy of the requisition you submitted to us for the purchase afrack salt.
The information from the requisition can be used to submit your requirements to this
year's contract vendor:

        Contract: PSD 4015394
        FEIN:      52-2034785
        International Salt Company LLC
        655 Northern Boulevard
        Clarks Summit, PA 18411
        Order Phone (888) 388-4726

The contract price per ton, F.G.B. destination, is $ /a7          .17
                                                              Emergency pickup of sait
option at vendor's warehouse is not being made available under this season's contract.

The additional price per ton to have rock salt delivered in trucks equipped with coal/grain
option at vendor's warehouse is not being made available under this season's contract.

You are responsible for issuing your own purchase order document to the vendor. Orders
may be placed with the vendor via telephone, with a written or fax confirmation to follow
immediately. You are strongly encouraged to order early and to store as much salt as
possible in order to help prevent potential salt shortages this winter. Also, you need to
lllake every effort to place orders in full truckload lots (22-25 tons).




                                          Page 1 0[3
         801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                      Printed on Recycled Paper
                                  ILL I N 0 I S                      Rod R. Blagojevrich, Governor
                                  DEPARTMENT OF CENTRA.L MANAGEMENT SERVICES
                                  James P. Sledge, Director



 The state guarantees to purchase no less than 100% of the contract quantity prior to
 contract expiration date ( June 30, 2009 ) unless otherwise altered by vendor's written
 mutual agreement with requester. Your governmental unit is responsible for processing
 of vendor invoices in a timely manner.

Delivery shall be made as soon as possible after vendor receipt of order by phone or mail.
The maximum time from receipt of order to the actual delivery for orders placed between
December 1, 2008 through April 1, 2009 shall not exceed seven working days, unless as
modified in the Order Guidelines herein..

For orders placed between December 1, 2008 and April 1, 2009, if a vendor is unable to
make delivery within the order timeline, local governmental units shall have the right to
retain $.. 20 per ton per calendar day as liquidated damages on the undelivered portion of
the order. For an ord~r placed prior to 9:00 a.m. on a given day, that day would be
considered as the first calendar day of the seven-day delivery period. For order placed
after 9:00a.m. on a given day, the following day would be considered the first calendar
day of the seven day delivery period. -

eMS reserves the right to mitigate application of liquidated ·damages imposed against
vendor, in the event of orders exceeding the maximum percentages outlined below:

An agency may order up to 20-% of their awarded contract tonnage in any given week
and vendor shall deliver within 7 working days after receipt of order. Quantity ordered
above the 20-0/0 threshold shall have an extended deliver time of one-calendar-day for
each one-percentage-point above the 20-% guideline. For example, if an agency orders
25-% of their awarded total 100 ton, delivery of the first 20 ton ( 20-0/0 ) shall be within
7 working days after receipt of order, the remaining 5 ton shall be delivered within 12
working days after receipt of order.

If after seven calendar days of liquidated damages assessment, the vendor has still failed
to deliver, local govermnental units shall have the light to tenninate the order and
purchase salt or abrasives from another source or take action consistent with public safety
as needed to continue daily business. Any and all additional costs may be collected from
the original vendor, in addition to any liquidated damages.

All deliveries shall be covered with approved weatherproof materials. The vendor will
ensure that the delivery person inspects the inside of the trailer and that all salt is
removed from the trailer before leaving a delivery point. The vendor will ensure all
weights and measures shown on delivery tickets are correct. Local governmental units
reserve the right to require that delivery trucks occasionally be directed to a scale in the
vicinity of the delivery point as a check on delivered truckloads.




                                           Page 2 of 3
          801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                      Printed on Recycled Paper
                                      ILL I N 0 I S                      Rod R. Blagoie\Ticl1, Governor
                                      DEPARTIv1ENT OF CENTRAL l\1ANAGEMENT SERVICES
                                      James P. Sledge, Director


 Deliveries of rock salt containing any foreign material such as mud, rocks, grader teeth,
 wood, tarpaulins, etc., may be rejected at the delivery site. In the event that any foreign
 material is discovered in dumped deliveries, the salt and foreign matter may be reloaded
 onto the cartage hauler's truck by the local governmental unit and returned for credit, or
 the vendor shall immediately ship a specification compliant load of replacement salt, or
 issue a refund to the governmental unit consistent with the contract price.

In December 2008 the contract vendor shall have in place stockpile(s) located in or near
Illinois covering 100% of the tonnage awarded for the northern regions of the State, and
in January of2009 the contract vendor shall have in place stockpile(s) located in or near
Illinois CO\Tering 100% of the total tonnage awarded for all regions of the State. At our
discretion, we will inspect the stockpiles to ensure that these stockpiles are in sufficient
quantities, and that the commitments to the stockpiles are with the users of this contract.

The contract price shall remain firm for the entire contract period for up to the 100 %
guaranteed limit, unless otherwise changed by mutual agreement. The contract price for
purchases made in excess of the .J 00°;10 guaranteed limit is subject to increase if vendor's
costs for providing rock salt increase by more than 5%. The contract vendor must submit
to eMS documentation justifying the increase for acceptance for implementation.

Unless an emergency exists, those local governmental units under the 100% purchase
threshold will receive salt deliveries prior to those local governmental units over the
100% purchase threshold. In the case of an emergency, efforts will be made to have the
vendor ship enough salt to aid affected local governmental units through the emergency.

The Department of Central Management Services requested pricing for an enhanced rock
salt option in the invitation for bid and an Enhanced Rock Salt 2008 - 2009 availability is
not provided for in this season's procurement .process.

Yau are under contractual obligation to purchase 100% of the requested tonnage of rock
salt from the vendor awarded your location. Purchase of an enhanced rock salt will not
lessen this agreement, and would be in addition to your required purchase tonnage.

It is hoped that this information will be beneficial to you in the utilization of this contract.
If you have any further questions concerning the rock salt contract, please feel free to
contact me at (217) 782-8091.

                                            Sincerely,

                                            Wayne IIsley, Buyer
                                            Bureau of Strategic Sourcing And Procurement

GovSalt.doc



                                               Page 3 of3
              801 Stratton Office Building, 401 South Spring Street, Springfield, IL 62706
                                          Printed on Recycled Paper
                                      CITY O.F DES PLAINES

                               IlliS()LUTION         R -    137    - 08

                A. I{ESOLUTI()N AlJTIIORIZING THE PUl{Cll:\SE OF
                }{OCK    SAl,l"'  THROUGI-I  ILLINOIS  CENTRAL
                l\1,\NAGEJ\fENT SERVICES.

        'Vllf~REAS, Article VII, Section] 0 of the 1970 Illinois Constitution authorizes the City to
contract \vith individuals, associations and corporations, in any manner not prohibited by 1a\"/ or
ordinance; and

         WI-IEREAS, the City of Des Plaines is allowed to purchase rock salt through the State of
Illinois, Central Management Services bid process; and

       WIIEREAS, .Illinois Central I'vtanagement Services (CMS) did not receive any responses for
two bid Icttings for rock salt this past summer; and

      \VHEREAS, eMS re\vrote the bid specifications to include an approved salt substitute and
eMS received a response in August; and

       WHEREAS. CI'v1S has accepted the substitute salt for their needs and has asked any joint
purchasers if'they \vish to accept the salt substitute as \vell; and

        \VlIEREAS, it is in the best interest of the City of Des Plaines to authorize the purchase of
substitute rock salt (Halite) through the Illinois Central I'v1anagement Services bid process fronl
M0110n International, Inc. at a cost of $1 04.25 per ton for 1,585 tons and from International Salt
Con1pany~ LLC at a cost of $137.47 per ton for 1,500 tons, in the cOlnbined total amount not to
exceed $37] ,441.25.00;

        NOW, TIIEREFORE BE IT RESOLVED, that the City Clerk is hereby authorized and

directed to send a copy of this Resolution to the Suburban Tree Consortium.

        SECTION 1: That the recitals set fOlih herein above are incorporated herein by reference as

the factual basis for this transaction.

        SECTION 2: That in the best interest of the City of Des Plaines, the City is hereby

authorized to purchase substitute rock salt (Halite) through the Illinois Central Management Services

bid process from Morton International, Inc. at a cost of $104.25 per ton for] ,585 tons and from

International Salt Company, LLC at a cost 0[$137.47 per ton for 1,500 tons, in the combined total

amount not to exceed $371,441.25.00

       SECTION 3: rrhat this Resolution shall be in full force and effect from and after its passage

and approval according to la\v.

                PASSED this _ _ day of                                    , 2008.

                APPROVED this _ _ day of                                      , 2008.

                VOTE:           AYES             NAYS               ABSENT              _


                                                                            IVIAYOR
A.TTEST:



CITY CLERK

				
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