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VICTOR VALLEY WASTEWATER RECLAMATION AUTHORITY Board Of Commissioners Staff Report |
| TO: | VVWRA Board of Commissioners |
| FROM: | Darron Poulsen, General Manager |
| SUBMITTED BY: | Kalin Westover, Director of Operations & Maintenance |
| DATE: | 07/16/2026 |
| SUBJECT: | Recommendation to authorize the General Manager to approve the sole-source procurement of the Veolia Anita™ Mox Sidestream Ammonia Treatment System, for an amount not to exceed $2,500,000, including applicable taxes, tariffs, freight, and contingency. |
| Fiscal Impact | Yes |
| Account Code: | 01-02-000-9000-9999 R175 |
| Funds Budgeted/ Approved: | Yes |
STAFF RECOMMENDATION
It is recommended that the Board of Commissioners authorize the General Manager, or his designee, to negotiate, finalize, and execute the necessary purchase agreement, purchase order, and related documents with Veolia Water Technologies, Inc. for the sole-source procurement of the ANITA™ Mox Moving Bed Biofilm Reactor sidestream ammonia treatment system, in an amount not to exceed $2,500,000, including applicable taxes, tariffs, freight, and contingency, subject to final review and approval by General Counsel.
PREVIOUS ACTION(S)
N/A
BACKGROUND INFORMATION
VVWRA currently treats high-ammonium sidestream filtrate generated from the thickening of anaerobically digested solids. Black & Veatch determined that this sidestream filtrate contributes approximately 30% of the total nitrogen load to the facility, placing additional stress on the mainstream biological nutrient removal process and increasing the risk of effluent nitrogen compliance challenges. Black & Veatch also identified the existing ammonia stripping process as energy- and chemical-intensive and recommended that VVWRA evaluate alternative sidestream nitrogen removal technologies to improve treatment reliability and reduce operational costs. See Exhibit 2.
Black & Veatch evaluated several technologies, including conventional nitrification-denitrification, post-aerobic digestion, ammonia stripping, and anammox-based biological deammonification. The evaluation concluded that anammox-based sidestream treatment best aligned with VVWRA’s project goals because it can reduce chemical use, reduce energy demand, utilize existing tankage, and provide reliable nitrogen removal within the existing facility footprint. See Exhibit 2. Black & Veatch evaluation shortlisted two anammox technologies for further consideration: World Water Works’ DEMON® system and Veolia’s ANITA™ Mox system. Both technologies were found capable of meeting VVWRA’s sidestream treatment goals; however, the evaluation identified important operational differences. DEMON® has lower aeration demand but is more sensitive to influent solids and shock loading, while ANITA™ Mox has higher aeration demand but is more resilient to solids, feed variability, and process fluctuations. See Exhibit 2.
Anaergia’s follow-up vendor proposal evaluation refined the design basis and further evaluated the available proposals. Anaergia noted that Veolia’s ANITA™ Mox proposal included key design and implementation details, including media fill volume, operating philosophy, references, and phased implementation considerations. Anaergia also noted that Veolia’s experience and market position in MBBR anammox technology would be an asset for VVWRA’s first installation of this type of system. See Exhibit 3.
Veolia’s revised proposal, dated July 7, 2026, provides a single-train ANITA™ Mox system for Phases 1 and 2, with a second train/reactor required for Phase 3. Veolia’s scope includes process engineering, design support, field services, startup support, training, AnoxKaldnes media, media retention screens, aeration system, blowers, mixers, caustic dosing equipment, ammonia analyzers, nitrate probes, pH and dissolved oxygen instrumentation, PLC control panel, and related system components. See Exhibit 1.
Staff is recommending that the Board authorize this procurement at this stage due to anticipated lead times for Veolia’s proprietary process equipment, media, instrumentation, controls, vendor engineering support, startup services, and related system components. Authorizing the procurement now allows VVWRA to begin the vendor procurement and coordination process while the balance of the sidestream treatment system is being designed. This approach will help reduce schedule risk, allow Veolia’s equipment and process requirements to be incorporated into the final design, and better position the project for timely implementation once the remaining civil, structural, electrical, piping, and ancillary improvements are ready to proceed.
This recommendation is based on Veolia’s revised budgetary proposal, attached as Exhibit 1; Black & Veatch’s Sidestream Treatment Evaluation Technical Memorandum, attached as Exhibit 2; Anaergia’s vendor proposal evaluation and technical recommendation, attached as Exhibit 3; and Veolia’s sole-source justification letter, attached as Exhibit 4.
The recommended procurement is not a standard commodity equipment purchase. The ANITA™ Mox system is a proprietary biological sidestream deammonification process. Veolia’s sole-source letter confirms that Veolia Water Technologies is the sole manufacturer and exclusive provider of the ANITA™ Mox process. See Exhibit 4.
Veolia’s sole-source justification identifies three key features that support the sole-source procurement. First, the ANITA™ Mox system has demonstrated high solids tolerance without upstream pretreatment and can withstand significant TSS swings. Second, the media-based system provides fail-safe biomass retention and eliminates the risk of anammox washout associated with suspended-growth systems. Third, the system is designed to retrofit directly into VVWRA’s existing 55-foot diameter circular clarifiers without requiring new tank construction, while allowing phased expansion from Phases 1 and 2 to Phase 3. See Exhibit 4.
Veolia also identifies more than 35 full-scale ANITA™ Mox projects worldwide, including 10 successful United States installations since 2013, with retrofit examples at Howard County, Maryland; South Durham, North Carolina; and Denver, Colorado. This experience is directly relevant because VVWRA’s proposed project similarly relies on retrofitting existing tankage rather than constructing new sidestream treatment basins. See Exhibit 4.
Based on the technical evaluations completed to date, the system’s compatibility with existing VVWRA infrastructure, phased implementation capability, tolerance of variable sidestream conditions, available U.S. installation experience, and Veolia’s exclusive control of the ANITA™ Mox process, staff recommends sole-source procurement of the Veolia ANITA™ Mox system.
This authorization is limited to Veolia’s proprietary treatment system equipment and related vendor services. Civil construction, structural modifications, installation, electrical work, interconnecting piping, ancillary facilities, and other construction-related improvements not included in Veolia’s proposal will continue through design and will be addressed separately, as needed, through future procurement and Board authorization. This sequencing allows VVWRA to move forward with long-lead proprietary equipment while maintaining separate review and approval of the remaining project components.
FISCAL IMPACT
The recommended authorization is for an amount not to exceed $2,500,000, including applicable taxes, tariffs, freight, and contingency. Veolia’s revised budgetary proposal is attached as Exhibit 1. The final funding source and account code should be confirmed by Finance prior to agenda finalization.
Black & Veatch evaluated several technologies, including conventional nitrification-denitrification, post-aerobic digestion, ammonia stripping, and anammox-based biological deammonification. The evaluation concluded that anammox-based sidestream treatment best aligned with VVWRA’s project goals because it can reduce chemical use, reduce energy demand, utilize existing tankage, and provide reliable nitrogen removal within the existing facility footprint. See Exhibit 2. Black & Veatch evaluation shortlisted two anammox technologies for further consideration: World Water Works’ DEMON® system and Veolia’s ANITA™ Mox system. Both technologies were found capable of meeting VVWRA’s sidestream treatment goals; however, the evaluation identified important operational differences. DEMON® has lower aeration demand but is more sensitive to influent solids and shock loading, while ANITA™ Mox has higher aeration demand but is more resilient to solids, feed variability, and process fluctuations. See Exhibit 2.
Anaergia’s follow-up vendor proposal evaluation refined the design basis and further evaluated the available proposals. Anaergia noted that Veolia’s ANITA™ Mox proposal included key design and implementation details, including media fill volume, operating philosophy, references, and phased implementation considerations. Anaergia also noted that Veolia’s experience and market position in MBBR anammox technology would be an asset for VVWRA’s first installation of this type of system. See Exhibit 3.
Veolia’s revised proposal, dated July 7, 2026, provides a single-train ANITA™ Mox system for Phases 1 and 2, with a second train/reactor required for Phase 3. Veolia’s scope includes process engineering, design support, field services, startup support, training, AnoxKaldnes media, media retention screens, aeration system, blowers, mixers, caustic dosing equipment, ammonia analyzers, nitrate probes, pH and dissolved oxygen instrumentation, PLC control panel, and related system components. See Exhibit 1.
Staff is recommending that the Board authorize this procurement at this stage due to anticipated lead times for Veolia’s proprietary process equipment, media, instrumentation, controls, vendor engineering support, startup services, and related system components. Authorizing the procurement now allows VVWRA to begin the vendor procurement and coordination process while the balance of the sidestream treatment system is being designed. This approach will help reduce schedule risk, allow Veolia’s equipment and process requirements to be incorporated into the final design, and better position the project for timely implementation once the remaining civil, structural, electrical, piping, and ancillary improvements are ready to proceed.
This recommendation is based on Veolia’s revised budgetary proposal, attached as Exhibit 1; Black & Veatch’s Sidestream Treatment Evaluation Technical Memorandum, attached as Exhibit 2; Anaergia’s vendor proposal evaluation and technical recommendation, attached as Exhibit 3; and Veolia’s sole-source justification letter, attached as Exhibit 4.
The recommended procurement is not a standard commodity equipment purchase. The ANITA™ Mox system is a proprietary biological sidestream deammonification process. Veolia’s sole-source letter confirms that Veolia Water Technologies is the sole manufacturer and exclusive provider of the ANITA™ Mox process. See Exhibit 4.
Veolia’s sole-source justification identifies three key features that support the sole-source procurement. First, the ANITA™ Mox system has demonstrated high solids tolerance without upstream pretreatment and can withstand significant TSS swings. Second, the media-based system provides fail-safe biomass retention and eliminates the risk of anammox washout associated with suspended-growth systems. Third, the system is designed to retrofit directly into VVWRA’s existing 55-foot diameter circular clarifiers without requiring new tank construction, while allowing phased expansion from Phases 1 and 2 to Phase 3. See Exhibit 4.
Veolia also identifies more than 35 full-scale ANITA™ Mox projects worldwide, including 10 successful United States installations since 2013, with retrofit examples at Howard County, Maryland; South Durham, North Carolina; and Denver, Colorado. This experience is directly relevant because VVWRA’s proposed project similarly relies on retrofitting existing tankage rather than constructing new sidestream treatment basins. See Exhibit 4.
Based on the technical evaluations completed to date, the system’s compatibility with existing VVWRA infrastructure, phased implementation capability, tolerance of variable sidestream conditions, available U.S. installation experience, and Veolia’s exclusive control of the ANITA™ Mox process, staff recommends sole-source procurement of the Veolia ANITA™ Mox system.
This authorization is limited to Veolia’s proprietary treatment system equipment and related vendor services. Civil construction, structural modifications, installation, electrical work, interconnecting piping, ancillary facilities, and other construction-related improvements not included in Veolia’s proposal will continue through design and will be addressed separately, as needed, through future procurement and Board authorization. This sequencing allows VVWRA to move forward with long-lead proprietary equipment while maintaining separate review and approval of the remaining project components.
FISCAL IMPACT
The recommended authorization is for an amount not to exceed $2,500,000, including applicable taxes, tariffs, freight, and contingency. Veolia’s revised budgetary proposal is attached as Exhibit 1. The final funding source and account code should be confirmed by Finance prior to agenda finalization.
Attachments
- Victor Valley WWRA CA AMM_ Revised Budgetary Proposal 2026-07-07 Exhibit 1
- VVWRA_Sidestream_Evaluation_TM_rev1 Exhibit 2
- VVWRA Sidestream Ammonia Treatment Exhibit 3
- Victor Valley, CA AMM Sole Source Justification Exhibit 4
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