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The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6008044 with Detroit Salt Company, LLC for the purchase of bulk road salt through the State of Michigan MiDeal cooperative contract #260000000712, for a total not-to-exceed amount of $200,820.00 and a term of 1 year. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
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Agenda of September 16, 2026
Item No. 2026-189
Contract No. 6008044
Contractor: Detroit Salt Company, L.L.C., 12841 Sanders Street, Detroit, MI 48217
Contract Amount: $200,820.00
Contract Term: 9/21/26 - 8/31/27
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed DWSD Contract 6008044
Purchase of Rock Salt per the MiDeal Cooperative Contract #260000000712
Detroit Salt Company, LLC
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6008044 with Detroit Salt Company, LLC for the purchase of bulk road salt through the State of Michigan MiDeal cooperative contract #260000000712, for a total not-to-exceed amount of $200,820.00 and a term of 1 year. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
Bulk rock salt is used by DWSD on parking lots, roadways, worksites and sidewalks during the winter months to accelerate the melting of snow and ice, thereby reducing injuries to the public and employees. The DWSD Central Warehouse (WCW) store and provide road salt to most DWSD locations. DWSD is requesting to utilize the State of Michigan MiDeal cooperative contract #260000000712 for the purchase of bulk rock salt. The pricing for the 2026/2027 season is $66.94 per ton for the purchase of 3000 tons. This is an increase of $6.09 per ton from last year’s pricing. DWSD does not have a lot left over from last season due to many emergencies that occurred, so we did increase the amount for this season. Over 200 agencies in the State of Michigan utilize the MiDeal cooperative for the purchase of salt, which provides a volume discount to participants. DWSD anticipates using the following quantities of salt for the upcoming snow season:
Central Warehouse - 3000 Tons at $66.94 per ton for a total of $200,820.00
This utilizes the State of Michigan MiDeal cooperative pricing for bulk rock salt in order to replenish and maintain DWSD’s inventory of salt to melt snow and ice in the winter months. The State of Michigan obtains annual pricing on salt from its pre-qualified vendors, providing the lowest possible price to participating public agencies. The State of Michigan awarded Contract It is efficient and cost effective to procure bulk road salt using this cooperative purchase arrangement. Use of cooperative purchase arrangements enable DWSD to obtain the benefits of competitive solicitation and discount pricing through economies of scale, while using minimal DWSD resources.
PROCUREMENT METHOD
The price of salt has a high volatility rate and can fluctuate greatly in price from year to year, so the State of Michigan MiDeal pre-qualifies suppliers to submit pricing annually to ensure participating agencies receive the benefit of price decreases, should they occur. The initial MiDeal contract established two pre-qualified road salt suppliers for a term of 9/1/26 - 8/31/31, with five 1-year renewal options exercisable by the State of Michigan. Only the two suppliers are allowed to submit pricing over the next six years. DWSD will continue to seek annual approval for salt based on the awarded vendor for that season as indicated in the MiDeal cooperative contract #260000000712.
DWSD requisition #521124 was submitted and approved by Budget on 8/13/26. Detroit Salt’s clearance application expires on 10/1/26. A formal contract is not required.
SUMMARY
A. Contract No.: 6008044
B. Contractor: Detroit Salt Company, L.L.C.
C. Contract Term: 9/21/26 - 8/31/27
D. Contract Amount: $200,820.00 (3000 tons at $66.94 per ton)
E. Funding Source: O&M Funds
F. Anticipated FY Spend: FY 26-27: $200,820.00
G. GL String:
5720-00000-000000-150100-000000-00000-0000-000000 - 100% Water
This proposed contract was presented to the BWOC Finance Committee on September 2, 2026. Per the DWSD Procurement Policy, no additional approvals are required.