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RIVERSIDE PUBLIC UTILITIES <br />P U B L I C U T I L I T I E S Board Memorandum <br />BOARD OF PUBLIC UTILITIES DATE: NOVEMBER 14, 2022 <br />SUBJECT: REQUEST FOR BID NO. 7900 - THREE-YEAR SUPPLY OF 19% AQUEOUS <br />AMMONIA FOR RIVERSIDE ENERGY RESOURCE CENTER, CLEARWATER, <br />AND SPRINGS POWER PLANTS WITH AIRGAS SPECIALTY PRODUCTS, <br />INC. OF LAWRENCEVILLE, GEORGIA FOR TERM ENDING ON JULY 1, 2025, <br />REVISE EXPENDITURE IN THE AMOUNT OF $33,100 PER YEAR FOR A <br />REVISED ANNUAL AMOUNT OF $66,200 AND REVISED THREE-YEAR <br />TOTAL EXPENDITURE AMOUNT OF $198,600 <br />ISSUE: <br />Consider approving an additional expenditure for annual costs associated with the three-year <br />supply of 19% aqueous ammonia award by Request for Bid 7900 for Riverside Energy Resource <br />Center, Clearwater and Springs Power Plants to Airgas Specialty Products, Inc. of Lawrenceville, <br />Georgia for term ending on July 1, 2025, originally for $99,300 over three years; revise <br />expenditure in the amount of $33,100 per year for a revised annual amount of $66,200, and a <br />revised three year total expenditure of $198,600. <br />RECOMMENDATION: <br />That the Board of Public Utilities approve an additional expenditure for annual costs associated <br />with the three-year supply of 19% aqueous ammonia award by Request for Bid 7900 for Riverside <br />Energy Resource Center, Clearwater and Springs Power Plants to Airgas Specialty Products, Inc. <br />of Lawrenceville, Georgia for term ending on July 1, 2025, originally for $99,300 over three years; <br />revise expenditure in the amount of $33,100 per year for a revised annual amount of $66,200, <br />and a revised three year total expenditure of $198,600. <br />BACKGROUND: <br />The City of Riverside owns and operates the Riverside Energy Resource Center (RERC), Springs, <br />and Clearwater Power Plants. Collectively, these facilities provide electricity to Riverside <br />customers and serve as a critical role during hot summer peak months. An unprecedented <br />heatwave throughout the state of California occurred during September 2022. The excessive <br />heat over nine consecutive days pushed the Statewide power usage and increased the operations <br />of the City's three power plants — RERC, Springs and Clearwater. <br />The higher than expected need to generate power consumed the estimated ammonia budgeted <br />for the current 2022-23 Fiscal Year. Aqueous ammonia is an essential component for the <br />