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HomeMy WebLinkAboutItem 2f - Extension to Purchase Order for Radio-Read Water Metersqty of DATE: August 18, 2015 TO: Honorable Mayor and City Council STAFF REPORT Public Works Services Department FROM: Tom Tait, Public Works Services Director By: Craig Clark, Utilities Superintendent SUBJECT: EXTENSION TO THE PURCHASE ORDER WITH HD SUPPLY WATERWORKS FOR THE PURCHASE OF DATA LOG RADIO -READ WATER METERS FOR THE CITY'S WATER DISTRIBUTION SYSTEM IN THE AMOUNT OF $500,000 Recommendation: Approve SUMMARY On August 7, 2012, the City Council approved a purchase order with HD Supply Waterworks for the purchase of data log radio -read water meters. HD Supply Waterworks is reaching the end of their second extension and has agreed to hold their prices for an additional year. This will be the third and final contract extension for HD Supply Waterworks. All remaining terms and conditions of the original purchase order will remain in effect. It is recommended that the City Council approve a one year extension to the purchase order with HD Supply Waterworks for the purchase of data log radio -read water meters for the City's water distribution system in the amount of $500,000. DISCUSSION In 2006, the Public Works Services Department began replacing water meters with data log radio -read meters. The goal of the Annual Meter Replacement Program is to replace the City's approximately 13,000 manually -read water meters with new meters that are capable of being read via radio frequency. In addition, the new data log radio -read meters have the capability of storing water consumption over a specified period of time that can be accessed by Public Works Services personnel. Since the program's inception, approximately 9,100, or 70 %, of meters Citywide have been converted to radio -read meters. The Annual Meter Replacement Program is expected to be completed by 2019. Once the conversion is complete, meter readers will be able to read the entire system in less time and more efficiently. Purchase Order Extension with HD Supply Waterworks August 18, 2015 Page 2 of 2 In addition to the increased efficiency and savings in staff time required to read and record water meters, the data log radio -read water meters are capable of recording precise measurements of a customer's water usage, including time of use. This enhancement allows City staff to review accounts that are showing unusually high use and pass this information on to the customer. This information can be downloaded by staff and reviewed with the customer to help identify leaks and provide the customer with a history of usage on an hourly or daily basis. Additionally, water meter register accuracy is important in calculating and forecasting water demands, providing precise billing data, and aiding in conservation efforts. Once the data log meters are installed throughout the system, Meter Readers can be used for more technical water related maintenance assignments. The Public Works Services Department's Warehouse is responsible for distributing all water meters to the Utilities Section for meter replacement and new installations. The Warehouse maintains an on -hand inventory to prevent an interruption of this service and orders replacement meters to keep the inventory at acceptable levels. On August 7, 2012, the City Council approved a purchase order with HD Supply Waterworks with optional annual extensions. HD Supply Waterworks is reaching the end of their second extension and has agreed to hold their prices for an additional year. This will be the third and final contract extension for HD Supply Waterworks. All remaining terms and conditions of the original purchase order will remain in effect. FISCAL IMPACT Funds in the amount of $500,000 have been budgeted in the Capital Improvement Plan in Fiscal Year 2015 -16 for the Annual Meter Replacement Program. RECOMMENDATION It is recommended that the City Council approve a one year extension to the Purchase Order with HD Supply Waterworks for the purchase of data log radio -read water meters for the City's water distribution system in the amount of $500,000. Approved: Dominic Lazza City Manager