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HomeMy WebLinkAboutItem 11o - Purchase of AMI Water Meters STAFF REPORT PUBLIC WORKS SERVICES DEPARTMENT DATE: July 21, 2026 TO: Honorable Mayor and City Council FROM: Paul Cranmer, Assistant City Manager/Public Works Services Director By: John Corona, Utilities Manager SUBJECT: PURCHASE ORDER WITH HYDROPRO SOLUTIONS FOR THE PURCHASE OF DATA LOG RADIO READ WATER METERS FOR THE CITY’S WATER DISTRIBUTION SYSTEM IN THE AMOUNT OF $150,000 CEQA: Exempt Recommendation: Approve SUMMARY The Public Works Services Department (“PWSD”) is entering the final year of the Water Meter Replacement Program, which replaces Automated Meter Reading (“AMR”) technology with new Advanced Metering Infrastructure (“AMI”) technology. The final year of this conversion involves the replacement of the remaining larger water meters that range in size from 3 to 8 inches. The replacement of these larger water meters will support the City's ongoing conversion of commercial, industrial, and high-demand water customers to AMI technology. It is recommended that the City Council approve a sole source Purchase Order with HydroPro Solutions for the purchase of data log radio read water meters for the City’s water distribution system, in the amount of $150,000. 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. The City’s radio read water meters utilized AMR technology, which automatically collected consumption, diagnostic, and status data from the water meter. The data was collected from mobile devices by City staff and was then uploaded to a central Purchase Order with HydroPro Solutions for AMI Water Meters July 21, 2026 Page 2 of 3 database for utility purposes. In 2019, the PWSD Utilities Section began replacing the first-generation AMR radio read water meters with AMI radio read water meters. The new AMI meters provide real time data to consumers and are read remotely through the AMI meter infrastructure and base station hubs. AMI radio read water meters have the capability of capturing the precise measurements and readings of a customer’s water usage. They also provide leak detection and data logging functions. To date, the City has successfully converted 85% of its water meter inventory to AMI technology. While the majority of residential meters have been upgraded, a number of larger commercial and industrial meters have not been upgraded with the new AMI technology. These large meters are critical components of the water distribution system and serve customers with substantial water demands. The acquisition of these meters will allow the City to finalize its expansion and become a complete AMI system. The proposed purchase will also include replacement inventory for aging meters that have reached the end of their useful service life. DISCUSSION Since 2019, the City has updated all AMR technology with Master Meter’s AMI meters. On May 11, 2022, the PWSD received a letter from Master Meter, Inc., stating that HydroPro Solutions is the exclusive distributor of Master Meter products in the State of California. Since the PWSD utilizes Master Meter’s AMI meters for the Water Meter Replacement Program, the same manufacturer will need to be used to ensure overall infrastructure compatibility and function. Master Meter has confirmed that HydroPro Solutions is still the exclusive distributor of Master Meter products in the State of California, making HydroPro Solutions a sole source provider. The proposed purchase will provide a variety of large meter sizes, ranging from 3 to 8 inches, to accommodate the City's current and anticipated replacement needs. The purchase of these meters will allow staff to complete the conversion of the remaining large customer accounts to AMI technology. This conversion will also enhance the system-wide monitoring and data collection capabilities, reducing manual meter reading requirements and associated operational costs. As such, customer service will be improved through the provision of timely and accurate usage information. The requested Purchase Order amount of $150,000 is expected to provide sufficient inventory to address planned AMI conversions and emergency meter replacement Purchase Order with HydroPro Solutions for AMI Water Meters July 21, 2026 Page 3 of 3 needs for Fiscal Year 2026-27. Procuring these meters in advance will help minimize service interruptions, reduce lead-time delays, and ensure the continued success of the City's AMI deployment program. ENVIRONMENTAL ANALYSIS This project involves the replacement and minor alteration of an existing utility system, with no expansion of the system, and therefore, qualifies as a Class 2 categorical exemption per Section 15302(2) of the California Environmental Quality Act (“CEQA”). FISCAL IMPACT Funding for this project is available through the Fiscal Year 2026–27 Capital Improvement Program (“CIP”) Annual Meter Replacement Program and the Fiscal Year 2026–27 Operations and Maintenance budget for meter repairs. These funding sources will be used to complete the upgrade of the remaining large meters to AMI technology, as well as to repair or exchange existing AMI-equipped meters that require replacement due to operational wear or failure. The total cost is expected to be $150,000, which is within the combined budgets for this effort. 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 HydroPro Solutions for the purchase of data log radio read water meters for the City’s water distribution system, in the amount of $150,000.