That the Utility Authority:
A.  Waive formal bid requirements per La Habra Municipal Code, Section 4.20.070(B); and,

B.  Authorize the Executive Director to execute an agreement with Gold Bell Products, Inc., of Orange, California, for an amount not to exceed $61,050 to treat 2,200 sewer manholes with pesticide for cockroach control.

The City's sewer system consists of a network of approximately 125 miles of sanitary sewer mains with 2,200 manholes uniformly constructed throughout the entirety of the network.  Manholes serve as access points to allow staff to conduct routine maintenance, inspections, and for the ventilation of sewer gasses.  Sewer systems are generally warm, dark, moist environments and can become a food supply for insects, especially cockroaches, that can thrive in that type of environment. While not always the primary cause of a disease, cockroaches play a significant role in spreading pathogens collected from contaminated sources such as sewage, garbage, and decaying matter. Diseases associated with cockroaches include food poisoning, allergies, asthma, dysentery, cholera, typhoid fever and salmonella. Their presence in California sewers is year-round with increased activity during warmer periods, which promotes an accelerated life cycle and faster reproduction. Young cockroaches (nymphs) will often migrate out of the sewer system during the fall months due to overpopulation and will exit sewer systems through the ventilation holes in manhole covers, searching for new food sources.

A proven method for the control and elimination of cockroaches in sewer systems is the application of a pesticide known as INSECTA. The pesticide is a spray-on insecticidal latex coating that is applied to the top seven feet of the interior wall of a sewer manhole shaft.  When cockroaches and nymphs come into contact with INSECTA, they will die within approximately 48 hours.  INSECTA is an Environmental Protection Agency-approved chemical manufactured by JABco, and is the only spray-on insecticidal latex coating product registered for use in sewer systems.

JABco has granted sole distribution and application rights within California to Golden Bell Products, Inc. Golden Bell has used INSECTA throughout California since 1998, and has provided effective cockroach control services to the La Habra Utility Authority since 2014.  Golden Bell provides similar services to more than 60 agencies throughout California.  Product application carries an 18-month warranty against cockroach infestation.

Staff recommends waiving formal bid requirements per LHMC, Section 4.20.070(B), since the goods and services can be obtained through only one authorized vendor, and award a contract to Golden Bell to apply INSECTA to all sewer manholes owned by the Utility Authority.

There is no impact to the General Fund.  The Utility Authority's Fiscal Year 2025-2026 Sewer Operations Budget has sufficient funds to support the expenditure of $61,050 for the scope of this project.