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HomeMy WebLinkAboutItem 11d - Purchase of Water MetersAward Purchase Order for Water Meters August 4, 2020 Page 1 of 3 DATE: August 4, 2020 TO: Honorable Mayor and City Council FROM: Tom Tait, Public Works Services Director By: John Corona, Utilities Superintendent SUBJECT: PURCHASE ORDER WITH CORE & MAIN FOR THE PURCHASE OF DATA LOG RADIO READ WATER METERS FOR THE CITY’S WATER DISTRIBUTION SYSTEM IN THE AMOUNT OF $250,000 Recommendation: Approve SUMMARY As part of the Annual Meter Replacement Program, the Public Works Services Department (“PWSD”) Warehouse maintains a supply of water meters for the Utilities Section. To ensure that the City is receiving the most competitive prices for data log radio read water meters, a formal bid process was conducted. Core & Main submitted the lowest responsive bid. It is recommended that the City Council approve a purchase order with Core & Main for the purchase of data log radio read water meters for the City’s water distribution system in the amount of $250,000, with the option of three one-year extensions. BACKGROUND The Annual Meter Replacement Program was created to replace manual read water meters with new meters that are capable of being read via radio frequency. In Fiscal Year 2020-21, $250,000 was budgeted for the purchase and replacement of approximately 1,000 water meters, ranging from 5/8” to 2” in size. Radio read water meters have the capability of capturing precise measurements of water flow and readings of customer water usage. These meters also include leak detection and data logging functions, which enable PWSD to alert customers for possible leaks and provide historical water usage data. Water meter register accuracy is critical in calculating and forecasting water demand, while also aiding in conservation efforts. Award Purchase Order for Water Meters August 4, 2020 Page 2 of 3 DISCUSSION The PWSD Warehouse is responsible for maintaining an inventory of water meters in various sizes for distribution to the Utilities Section, for meter replacement and new installations. The American Water Works Association (“AWWA”) recommends a standard replacement schedule for 5/8” to 2” water meters to ensure water meter accuracy. Water meters in the City’s system are typically replaced once every 15 years to ensure accurate flow measurements. In order to receive the best prices possible for water meters, the City conducted a formal bid. A notice inviting bids was published in the City’s adjudicated newspaper and bid packages were provided to vendors who provide radio read water meters. On July 16, 2020, the City Clerk received three bids with the following result: BIDDER LOCATION BID AMOUNT Core & Main Valencia, CA $275,928.68 The B.E.S.T Meter Co., Inc. Covina, CA $334,669.33 Master Meter Inc. Mansfield, TX $414,157.45 All bid documents were reviewed for content and the contractor’s background was investigated. Based on this review, it has been determined that Core & Main is the lowest responsive bidder. Core & Main has supplied the City with water meters in the past and has always provided excellent service. The quantities provided in the bid specifications are based on estimates. Bid documents state that the City may purchase an amount above or below the provided estimate according to the needs of the City at the unit prices quoted in the bid. In order to ensure sufficient inventory of water meters available in the PWSD Warehouse, the purchase order amount will be requested for $250,000, which is the amount budgeted for radio read water meters in Fiscal Year 2020-21. ENVIRONMENTAL ANALYSIS The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”) per Section 15061(b)(3) of the CEQA Guidelines as it can be seen with certainty that it will have no impact on the environment. Thus, this matter is exempt under CEQA. FISCAL IMPACT Funds in the amount of $250,000 have been budgeted in the Fiscal Year 2020-21 Capital Improvement Plan for the Annual Meter Replacement Program. Award Purchase Order for Water Meters August 4, 2020 Page 3 of 3 RECOMMENDATION It is recommended that the City Council determine that this project is exempt under the California Environmental Quality Act (“CEQA”); and approve a purchase order with Core & Main for the purchase of data log radio read water meters for the City’s water distribution system in the amount of $250,000, with the option of three one-year extensions.