DATE: April 8, 2026
TO: Honorable Mayor and City Councilmembers
FROM: Water Utilities Department
TITLE: PURCHASE ORDER FOR HEAT EXCHANGER REPLACEMENT AT SAN LUIS REY WATER RECLAMATION FACILITY
RECOMMENDATION
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Staff recommend that the City Council approve a purchase order with Alfa Laval Inc. in the amount of $96,162 for one Spiral Heat Exchanger; approve the procurement as a sole source purchase; and authorize the Financial Services Director, or designee, to execute the purchase order.
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BACKGROUND AND ANALYSIS
The Water Utilities Department San Luis Rey Water Reclamation Facility currently has one heat exchanger at the end of its useful life. Heat exchangers are critical in order keep digester biosolids at optimum temperature to meet compliance requirements. Repair costs and subsequent downtime now dictate replacement.
Staff secured a quote for one new spiral heat exchanger from Alfa Laval, Inc. for $96,162, which includes tax ($7,062) and estimated freight ($3,500). Because the Department has spent over $100,000 with Alfa Laval in the past 12 months, this purchase requires Council approval. Alfa Laval is the exclusive distributor of the spiral heat exchanger; therefore, staff requests that the City Council approve this procurement as a sole source purchase per City Code Chapter 28A.
FISCAL IMPACT
The cost for one spiral heat exchanger including taxes and shipping is $96,162, and will be charged to the SLR Major Plant Improvements account 909197025722.5704.10600, which has an available balance of $544,296; therefore, sufficient funds are available.
Description
Account Number
Amount
Available Balance
Alfa Laval Purchase Order
SLR Capital Operations 909197025722.5704.10600
$96,162
$544,296
Sewer Service and Flow Fees, in the Sewer Fixed Asset Replacement Fund (712) are the funding sources for this purchase.
COMMISSION OR COMMITTEE REPORT
The Utilities Commission approved staff's recommendation at its regularly scheduled meeting on Marc...
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