…title
ITEM: AUTHORIZATION TO 1) AWARD A SOLE SOURCE CONTRACT TO BADGER METER, INC. FOR THE PURCHASE OF METERS AND COMPONENTS AND 2) AWARD A SOLE SOURCE CONTRACT TO BADGER METER, INC. FOR THE LARGE METER EQUIPMENT REPLACEMENT PROJECT
REQUEST: Authorization to 1) Award a Sole Source Contract to Badger Meter, Inc. for the purchase of meters and components at an annual cost of approximately $150,000.00 and 2) Award a Sole Source Contract to Badger Meter, Inc. for the Large Meter Equipment Replacement Project at an annual cost of approximately $105,208.00.
…body
EXPLANATION: Staff is seeking authorization to:
1) Award a Sole Source Contract to Badger Meter, Inc. for Badger meters, endpoints, and associated equipment at an annual cost of approximately $150,000.00, through the end of Fiscal Year 2024.
In June 2008, the Village selected water metering products and technology manufactured by Badger Meter, Inc. for use in its utility metering operations. Badger Meter, Inc. (formerly National Meter & Automation) is the only manufacturer’s authorized dealer, and sole provider for Badger Meter products.
The contract is governed by Wellington’s standard purchase order terms. A majority of planned expenditures will be for replacing existing meter endpoints. The endpoints are what send a meter’s monthly usage electronically to our mobile meter reading unit. Unit prices shall not exceed those listed within the provided revised annual price list. The cost for meters serving new accounts are paid for by the customer.
2) Award a sole source contract to Badger Meter, Inc. for the Large Meter Equipment Replacement Project at an annual cost of approximately $105,208.00 for Fiscal Year 2024.
The Village has approximately 20,700 water meters used to record consumption and generate customer water bills. Of these, approximately 46 meters are classified as large meters, 3-inch and larger, typically used for commercial or multi-family/master meter residential applications. The large meters currently proposed to be replaced are reaching the end of their useful life (13 - 15 years) and are mostly compound type mechanical meters which are being phased out. These meter types are particularly prone to mechanical degradation and under-registration accuracy issues over time. Due to current long lead times for meter purchases (6 - 9 months) and potential revenue impacts, and the custom installation required for each of these meters, Utilities is proposing to accelerate purchase and installation now in advance of the planned AMI (Advanced Metering Infrastructure) Meter Replacement Project. Equipment purchased will be compatible with the upcoming AMI project. The contract is governed by Wellington’s standard purchase order terms.
Staff recommends that the Village 1) Award a Sole Source Contract to Badger Meter, Inc. for Badger meters, endpoints, and associated equipment at an annual cost of approximately $150,000.00, through the end of Fiscal Year 2024 and 2) Award a sole source contract to Badger Meter, Inc. for the Large Meter Equipment Replacement Project at an annual cost of approximately $105,208.00 for Fiscal Year 2024.
BUDGET AMENDMENT REQUIRED: NO
PUBLIC HEARING: NO QUASI-JUDICIAL:
FIRST READING: SECOND READING:
LEGAL SUFFICIENCY: YES
FISCAL IMPACT: Funds are budgeted in the FY 24 Utility Operating Budget and the Utility capital budget.
WELLINGTON FUNDAMENTAL: Protecting our Investment
RECOMMENDATION: Authorization to 1) Award a Sole Source Contract to Badger Meter, Inc. for the purchase of meters and components at an annual cost of approximately $150,000.00 and 2) Award a Sole Source Contract to Badger Meter, Inc. for the Large Meter Equipment Replacement Project at an annual cost of approximately $105,208.00.