Submitted By: Rusella Bowes-Johnson
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Presentation By: Sean Lanier
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Department: Water & Sewer
FORMAL TITLE:
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Second amendment for the renewal of the contract with Carmeuse Lime & Stone for supply and delivery of quicklime for Water Treatment Plant No. 1 in an amount not to exceed $1,650,000
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OCALA’S RELEVANT STRATEGIC GOALS:
Operational Excellence
PROOF OF PUBLICATION:
N/A
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BACKGROUND:
Quicklime is required for the conventional lime-softening process used at Water Treatment Plant No. 1 (WTP #1). More than 3,000 tons are needed annually.
After a competitive solicitation, City Council awarded a contract for quicklime supply and delivery services to Carmeuse Lime & Stone (Contract No. WRS/230166) on March 21, 2023. The contract was for an initial term of two years, through April 18, 2025, and offered two one-year renewal options.
On March 18, 2025, City Council approved the First Amendment to the contract which increased expenditure authority for the remainder of the initial term by $250,000 and approved the exercising of the first renewal option through April 18, 2026 at a value of $1,883,000.
FINDINGS AND CONCLUSIONS:
The Water Resources Department (WRS) now desires to exercise the second and final renewal term available under the agreement and extend the contract through April 18, 2027. Carmeuse Lime & Stone, Inc., has requested a 6 percent pricing increase (an increase of $28.78 per ton) based on the Producer Price Index (PPI) for lime manufacturing.
On February 3, 2026, the Procurement and Contracting Officer approved WRS’s exception request. The United States Bureau of Labor Statistics ended its calculation and publication of the PPI for lime manufacturing on August 14, 2025. The most recently available PPI for lime manufacturing was 7.3 percent.
Staff recommends approval.
FISCAL IMPACT:
The Water Resources Department has budgeted sufficient funds in the Fiscal Years 2025-26 and 2026-27 budgets for quicklime supply and delivery under the following account string: 455-030-301-533-53-52010, in the amount of $1,650,000.
PROCUREMENT REVIEW:
These services were procured in compliance with the City’s Procurement Policy.
LEGAL REVIEW:
This amendment will be reviewed and approved for form and legality by City Attorney, William E. Sexton.
ALTERNATIVE:
• Approve with Changes
• Table
• Deny
ATTACHMENTS:
Original Agreement (pdf)
First Amendment (pdf)
Second Amendment (pdf)
Policy Exception (pdf)