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HomeMy WebLinkAboutItem 11c - Purchase of Water MetersAward Purchase Order for Water Meters August 3, 2021 Page 1 of 3 DATE: August 3, 2021 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 AMI RADIO READ WATER METERS AND RELATED INFRASTRUCTURE FOR THE CITY’S WATER DISTRIBUTION SYSTEM IN THE AMOUNT OF $800,000. 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 Advanced Metering Infrastructure (“AMI”) 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 AMI radio read water meters and related infrastructure for the City’s water distribution system in the amount of $800,000, with the option of three one-year extensions. BACKGROUND The Annual Meter Replacement Program was created to replace manually-read water meters with new meters that are capable of being read via radio frequency. Currently, the City’s radio read water meters utilize Automatic Meter Reading (“AMR”) technology, which automatically collects consumption, diagnostic, and status data from the water meter. The data collected is then uploaded to a central database for utility billing purposes. In 2019, the PWSD Utilities Section began replacing the first-generation AMR radio read water meters with Advanced Metering Infrastructure (“AMI”) radio read water meters. The new AMI meters provide real time data to the consumer and will be read remotely through the AMI meter infrastructure and base station hubs. Award Purchase Order for Water Meters August 3, 2021 Page 2 of 3 AMI radio read water meters have the capability of capturing the precise measurements and readings of a customer’s water usage; it also includes leak detection and data logging functions. AMI meters will also enable residents to monitor and be alerted for possible leaks on their property, as well as assist them with historical water usage. Water meter register accuracy is important in calculating water demands, forecasting customer demands, and aids in conservation efforts. Once the AMI data log meters are installed throughout the City’s water system, the meter reading staff can be used for other water related maintenance assignments. However, as the system continues to be converted over to AMI radio read, meter reading staff will complete other tasks such as meter change outs, leaks, rereads, and other related maintenance to water meters and boxes. The meter sizes that are being changed range from 5/8” to 2”. This work will also include installing 2 base stations, 3 repeater stations, and 1 main data collection hub. It is expected that it will take approximately 3 years to convert the water system over to AMI meters. DISCUSSION The PWSD 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. Typical meters in the City’s system are replaced once every 15 years to ensure accurate water measurements. The American Water Works Association (“AWWA”) standard for 5/8” to 2” water meters recommends this replacement schedule to ensure water meter accuracy. 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 AMI radio read water meters. On July 20, 2021, the City Clerk received three bids with the following results: BIDDER LOCATION BID AMOUNT Master Meter Inc. Mansfield, TX $880,427.84 The B.E.S.T Meter Co., Inc. Covina, CA $1,003,316.90 Core & Main Valencia, CA $815,208.35 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 estimate given according Award Purchase Order for Water Meters August 3, 2021 Page 3 of 3 to the needs and requirements of the City at the unit prices quoted in the bid. In order to ensure that there are acceptable quantities of water meters available in the City’s warehouse, the purchase order amount will be for $800,000, which is the total amount budgeted for radio read water meters; however, the City will only purchase the amount necessary to ensure sufficient quantities are on hand. ENVIRONMENTAL IMPACT The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”), and 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 $800,000 have been budgeted in the Capital Improvement Program in Fiscal Year 2021-22 for the Annual Meter Replacement Program. RECOMMENDATION It is recommended that the City Council determine that this action does not constitute a project and is, therefore, exempt under the California Environmental Quality Act (“CEQA”); and approve a Purchase Order with Core & Main for the purchase of AMI radio read water meters and all related infrastructure for the City’s water distribution system in the amount of $800,000, with the option of three one-year extensions.