1998 05 20 BAWA Minutes•
MINUTES OF THE REGULAR MEETING
OF THE BOARD OF DIRECTORS
OF THE BAYTOWN AREA WATER AUTHORITY
May 20, 1998
The Board of Directors of the Baytown Area Water Authority, Harris County,
Texas, met in regular session on Wednesday, May 20, 1998, at 8:00 a.m., 7425
Thompson Road, in the BAWA Conference Room with the following in attendance:
Robert L. Gillette, President
Dan Mundinger, Vice President
Peter R. Buenz, Secretary
Roy L. Fuller, Board Member
Absent: Knox Beavers, Board Member
The meeting opened with a quorum present, and the following business was
conducted.
Consider Approval of Minutes for the Regular Meeting on April 15, 1998.
Board Member Buenz moved for approval of the minutes for the regular meeting
held on April 15, 1998. Board Member Fuller seconded the motion. The vote follows:
Ayes: Board Members, Fuller, Gillette, Mundinger, and Buenz
Nays: None
Consider Award of Annual Sodium Hydroxide Contract
Plant Superintendent Tony Brown said that seven bid packages were sent out
and two were returned. The administration recommended that the Annual Sodium
Hydroxide Contract be awarded to the low bidder, DX Distributors, in the amount of
$50,926.50 for 393,000 pounds.
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Minutes of the BAWA Meeting —May 20, 1998
Board Member Buenz moved to award the contract to DX Distributors; Board
Member Mundinger seconded the motion. The vote follows:
Ayes: Board Members, Fuller, Gillette, Mundinger, and Buenz
Nays: None
For bid tabulation, see Attachment "A."
Consider Award of Contract for High Service Motor Control Cabinets
Four bid packages were distributed and four responses were received. The
administration recommended the High Service Pump Station Switchgear Replacement
Contract be awarded to the low bidder, Vossier Electrical Services, Inc., in the amount
of $205.880.
Board Member Buenz moved to award the contract to Vossier Electrical
Services, Inc. Board Member Fuller seconded the motion. The vote follows:
Ayes: Board Members, Fuller, Gillette, Mundinger, and Buenz
Nays: None
For bid tabulation, see Attachment "B."
Consider Authorization to Advertise for Oil, Gas, and Mineral Lease on the Property at
7425 Thompson
The proposed lease grants the right to drill for oil, gas, and sulfur on the BAWA
property 7425 Thompson Road. The term is three years to be extended as long as oil,
gas, and/or sulfur is produced on the property. BAWA will receive an initial lump sum
payment, a 1/5 royalty on oil and gas produced, and One Dollar per long ton of sulfur
produced. A pooling provision allows the successful bidder to pool BAWA's property
with other properties. The lease provides for protection from negligence and requires
insurance. In response to inquiry from the Board, Ms. Horner said that the successful
bidder could not place a structure on BAWA's property without the consent of the Board
so it would not be possible to drill without permission.
Board Member Fuller stated that it would be best to so state in the lease to avoid
arguments in the future.
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Minutes of the BAWA Meeting —May 20, 1998
Board Member Mundinger moved to authorize advertisement for bids for an oil,
gas, and mineral lease for the property at 7425 Thompson Road with the stipulation
that the lease state that structures could not be erected nor wells drilled on BAWA's
property. Board Member Fuller seconded the motion. The vote follows:
Ayes: Board Members, Fuller, Gillette, Mundinger, and Buenz
Nays: None
Manager's Report
Distribution
The BAWA budget is based on an average flow of 11 mgd. Year to date is 10.6
mgd while the average for May is 12.6 mgd. On May 15, the plant produced 16 million
gallons. This production is excellent for May.
BAWA Budget
The staff has developed the proposed 1998/99 budget based on no rate
increase, because it does not appear that the City of Houston will increase its rates for
raw water purchases.
Growth
The mayor and city staff members flew to New York on Monday for a
presentation to Moody's, and Standard and Poor's is visiting Baytown today. The City
of Baytown plans to issue Certificates of Obligation to fund the new jail and municipal
court, the conference center, and utilities to take care of expected growth. For the past
six months, there has been tremendous interest from developers of residential units.
Bayer, Exxon, and Chevron expansions have been the drivers in this surge of
residential development. The 1,000 acres of Ashbel Smith property along Tri-Cities
Beach Road has been sold for residential development along Evergreen Golf Course
and off Spur 55. The market analysis of this area indicates that with the move by the
City of Houston further out, commuters are looking east. The city is planning projects to
accommodate this new development as well as take care of rehabilitation in existing
neighborhoods. A large transmission line will be constructed from the Tri-Cities Beach
Road area to the East District Sewage Treatment Plant. The sewage currently moving
from 1-10 down Garth Road will be taken directly to the West District Plant to free up all
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Minutes of the BAWA Meeting —May 20, 1998
the territory along Garth Road for development as well as 1-10. This will open 1-10 from
North Main to Thompson Road. Also, the plan is to construct a new sewage treatment
plant on the northeast side of Baytown to accommodate growth along Highway 146
across Cedar Bayou along Sjolander.
By the year 2000, plans are to construct another module at BAWA along with
elevated storage on the north side of the city. The anticipated growth will warrant this
expansion plus a look at increasing water purchases from the City of Houston. The
existing contract provides a five percent penalty for any usage above 11.9 mgd.
Houston seems very amicable to increasing the contract.
Adjourn
There being no further business to be transacted, the meeting was adjourned.
P
Secretary
•
eter R. Buenz
Attachment "A"
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BID RESULTS
Annual Sodium Hydroxide Contract
Bid Number 98-B0598-09
Bid 5/18/98 at 2 p.m.
1
COMPANY NAME
Regular
DX Distributors Low Freeze
TOTAL
UNIT PRICE
$0.1605
$0.1065
TOTAL PRICE
$26,964.00
$23.962.50
$50,926.50
2
Regular
Coastal Products & Chemicals Low Freeze
Total
$0.1349
No Bid
$22,663.20
$0
Incomplete
3
Bates Chemical
No Bid
4
Van Waters & Rogers
No Bid
5
Harcross Chemical
No Bid
6
Skyhawk Chemical
No Bid
7
Old World Industries
No Bid
8
9
10
11
12
13
14
Attachment "B"
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BID RESULTS
High Service Pump Station Switchgear Replacement Project
Project Number 94A07
Bid 5/18/98 at 2:30 p.m.
COMPANY NAME
UNIT PRICE
TOTAL PRICE
1
Gulf Coast Electric
NO BID
2
Baytown Electric
$ 249,000.00
3
Pfeiffer & Son
$ 219,968.00
4
Vossler Electrical Services, Inc.
$ 205,880.00
5
6
7
8
9
10
11
12
13
14
