Title
Centrifuge Equipment Maintenance Contract - RFA-2425-WWT-700 Request for Award (Ordinance S-53175) - District 7
Description
Request to authorize the City Manager, or the City Manager's designee, to enter into a contract with GEA North America, Inc. to provide parts and maintenance services for Westfalia Centrifuges for the Water Services Department. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the contract will not exceed $12 million.
Report
Summary
This contract will provide ongoing maintenance services, inspections, and OEM replacement parts needed to support the centrifuges at the 91st Avenue and 23rd Avenue Wastewater Treatment Plants. These units are essential for separating solids and sludge during treatment, and maintaining their reliability is critical to uninterrupted plant operations.
The agreement provides for scheduled servicing, diagnostic evaluations, repair work, and emergency support performed by GEA technicians, along with pricing for required parts. Securing these services helps to prevent equipment failures, reduces downtime risk, and supports ongoing, compliant wastewater treatment at both facilities.
The Water Services Department also requests an exception permitting the inclusion in the contract of a limitation of liability and indemnity provisions otherwise prohibited under Section 42-18. The proposed clause would include an exclusion on special, punitive, indirect, incidental or consequential damages, and a cap on the contractor's liability at the greater of:
(i) the purchase order price for the equipment, goods, or services; or
(ii) the aggregate value of all purchases made under the Agreement over the past one year.
Procurement Information
In accordance with Administrative Regulation 3.10, standard competition was waived as a result of an approved Determination Memo based on the following reason: Sole Source. GEA North America, Inc. is the sole factory-authorized provider of maintenance services, repairs, and OEM parts for the centrifuges used at the City's wastewater treatment plants. No other vendors are certified to service this equipment, and using non-authorized providers would void warranties and jeopardize operational reliability.
Contract Term
The contract will begin on or about September 15, 2026, for a three-year term with two, two-year options to extend, for a possible total of seven years.
Financial Impact
The aggregate contract value will not exceed $12 million for the seven-year aggregate term.
Funding is available in the Water Services Department's operating budget.
Location
- 23rd Avenue Wastewater Treatment Plant, 2470 S. 22nd Avenue, Phoenix, AZ 85009
- 91st Avenue Wastewater Treatment Plant, 5615 S. 91st Avenue, Tolleson, AZ 85353
Council District: 7
Department
Responsible Department
This item is submitted by Assistant City Manager Ginger Spencer and the Water Services Department.