Item Coversheet


City Council Agenda Request
October 16, 2018


AGENDA REQUEST NO: IV.G.

AGENDA OF: City Council Meeting

INITIATED BY: Brian J. Butscher, Assistant Director of Public Works

PRESENTED BY: Brian Butscher, Assistant Director of Public Works

RESPONSIBLE DEPARTMENT: Public Works

AGENDA CAPTION:
Consideration of and action on authorizing execution of a one-year Contract with Southern Flowmeter, Inc., in the amount of $47,000.00, for water meter testing and repairs. This contract will automatically renew for four additional one-year terms, for a total contract amount of $235,000.00.
RECOMMENDED ACTION:
Approval of a one-year contract in the amount of $47,000 to Southern Flowmeter, Inc. for the testing and repairs for water meters that are 3" in diameter and above and authorizing the option to exercise four additional one-year terms for a total contract amount of $235,000.
EXECUTIVE SUMMARY:

In 2016, the Public Works Department completed an Intelligent Meter Conversion Feasibility Study (AMI feasibility study) and a Water Loss Audit (audit).  The audit identified a number of ways the City can improve accountability.  One of the recommendations was to expand the current Large Meter Testing program.  The audit estimates the City is losing 117 million gallons of water each year because of meter inaccuracies.  This water loss translates to approximately $684,000 in potential revenue lost due to non-metered water.

 

Large meter testing is a crucial component in maintaining the city's water accountability.  The City has 146 Water Meters that are 3" in diameter and above. Large Meters represent 0.4% of the total number of meters, but are responsible for measuring 12.2% of total water consumption.

 

The City advertised and awarded a contract for large meter testing to Taylor Water Technologies on April 9, 2018. Taylor completed the testing of 72 meters but refused to meet the requirements of the contract. On August 13, 2018, City staff informed Taylor Water Technologies, the City would not be renewing for the additional 4 years.

 

An Invitation to Bid (ITB 2018-30) was advertised on September 5 and 12, 2018, for the testing of 146 meters and costs for City approved repairs with the ability to renew the contract for four (4) additional terms if the City so desires.

 

On September 20, 2018, the City received three bids. After reviewing the bids it was determined that Southern Flowmeter Inc. was the lowest responsive bidder. The details of the bids are included below.

 

Item

Qty

Southern Flowmeter

Accurate Meter

VUS Inc.

3” Meter Testing

71

$140

$9,940

$159

$11,289

$185

$13,135

4” Meter Testing

53

$150

$7,950

$159

$8,427

$185

$9,805

6” Meter Testing

16

$225

$3,600

$159

$2,544

$225

$3,600

8 “ Meter Testing

6

$275

$1,650

$159

$954

$225

$1,350

Total

146

 

$23,140

 

$23,214

 

$27,890

 

Funding for this contract is available through the Public Works Utilities Operations budget. The contract is structured as a unit price contract which enables the Public Works Department to only pay for the specific quantities needed for meter testing and repair. Should the future year funding not be approved for any reason, the contract will terminate on the first day of the new fiscal year.

 

Staff recommends the authorization of a one-year contract in the amount of $47,000 to Southern Flowmeter for the testing and repairs for water meters that are 3" in diameter and above and authorizing the option to exercise four additional one-year terms for a total contract amount of $235,000.


BUDGET

EXPENDITURE REQUIRED:  $47,000

CURRENT BUDGET: $47,000

ADDITIONAL FUNDING: N/A

FUNDING SOURCE:Utilities Operating Budget

ATTACHMENTS:
DescriptionType
Signed ContractContracts
HB 89Contracts