Category: Commodities

Washington, DC Metro Area Sanitation Commission Partners with BidBridge to Purchase Wastewater and Water Treatment Chemicals

Kentucky city Purchases Water Treatment Chemicals through Reverse Auction Process

A Kentucky city engaged BidBridge for the purchase of eight chemicals, 7 being used to treat the city’s drinking water and one for sewer treatment.

The eight line items included:

Hydrofluosilicic Acid (price per drum)

Potassium Permanganate (price per drum)

Liquid Alum (price per dry ton)

Alum (per 50 lb bag)

Mississippi Rotary Lime (price per 50 lb bag)

Powdered Activated Carbon (price per 50 lb bag)

Bulk Powder Activated Carbon (price per pound)

Sodium Aluminates Solution (price per pound)

A total of seven suppliers competed in the event, with participation ranging from three to five suppliers on each element.  The most competitive element was the bulk powder activated carbon.  A total of 55 bids were placed, resulting in 29 first place turnovers and 89 time extensions.  At the conclusion of the two hour, three minute event, first and second place were separated by only .10%, indicating true market value was achieved.

Nearly every line item on the event produced less than 2% between first and second place.  At the conclusion, the buyer felt confident she received true market value for the chemicals the city intended to purchase.

BidBridge & Fort Smith, AR Successfully Host First Reverse Auction Event to Acquire Water Treatment Chemicals

City Obtains Liquid Ferric Sulfate, Aluminum Chloride at Market Value, Posting .28 and .31 Percent Spreads Respectively between First and Second Place

FORT SMITH, Ark., Aug. 18- In light of a highly volatile chemical market, the city of Fort Smith, AR decided to partner with Louisville-based BidBridge this July to host a reverse auction for acquiring water treatment chemicals. The city chose to work with BidBridge because its bidding process promotes close competition, leaving the city feeling confident that they achieved true market value for their purchases.

In the end, Fort Smith was able to obtain a number of chemicals including liquid ferric sulfate and aluminum chloride at market value, posting .28 and .31 percent differences respectively between first and second place.

BidBridge facilitates a secure, real-time electronic sealed bid platform that allows suppliers to place multiple bids, providing an alternative to the public sector’s traditional process of a one price per supplier response. The July 22 bid saw nineteen suppliers competing to supply 14 different chemicals for the city.

“Our partnership with BidBridge was a success, right from the start. They were exceptional in assisting us with this bid and enabled us to tap into a vendor market that was not available to us in the past,” said Alie Bahsoon, Purchasing Manager for the City of Fort Smith. “Not only did we realize the benefits of true market value with this bid but it also enabled us to have a team of experts on our side that assured success, from beginning to end, and at no cost to the city.”

By the time the 49-minute bid was finished, the bid had logged 122 times extensions. The most competitive line items, liquid ferric sulfate and aluminum chloride, logged 107 bids with 16 first place turnovers and 16 bids with 6 first place turnovers, respectively.

“The BidBridge platform was created for robust, dynamic electronic procurement, fostering competition in an environment based on the most efficient technology available,” remarked BidBridge CEO Jim Headlee. “Our team is there for cities like Fort Smith to help make the process as seamless and painless as possible.”