SR-03-12-2013-3BCity Council Meeting: March 12, 2013
Agenda Item: --
To: Mayor and City Council
From: Martin Pastucha, Director of Public Works
Subject: Purchase of Water Meters and Repair Parts
Recommended Action
Staff recommends that City Council award a sole- source bid to Badger Meter, Inc., a repair parts in the
company,
amou t of $60,000 peryear, for a total amount o df $180,000 over three-year term, w th
future year funding contingent on Council budget approval.
Executive Summary
The City owns and maintains approximately 17,000 water meters, of which 37% are
manufactured by Badger Meter, Inc. Staff recommends a sole- source contract with
Badger Meter, Inc. to provide water meters and repair parts in the amount of $60,000
per year, for a total not to exceed amount of $180,000 over a three -year term.
Discussion
Water meters installed throughout the City are critical to determining water consumption
and generating revenue from water and wastewater sales. This major revenue source
funds the operating and maintenance costs of the water and wastewater utilities as self-
supporting City enterprises.
The City owns and maintains approximately 17,000 meters throughout its water
distribution system. In order to maintain flexibility in the supply of meters and
encourage competitiveness in pricing, the majority of the water meters in the City are
supplied by three different manufacturers. Badger meters currently comprise about
6,300 (37 %) of the total active meters in the distribution system. The purchase of
various sizes of replacement meters, miscellaneous parts, and meter registers is
necessary to rebuild /refurbish existing Badger meters.
1
Vendor Selection
On December 3, 2012, the City received a quote from Badger Meter, Inc. for the
purchase of water meters and repair parts. Badger Meter, Inc. is a well - established
manufacturer and supplier of meters throughout the industry, and the Water Resources
Division has been utilizing Badger meters in the City's water distribution system for
more than 30 years. Badger Meter Inc. is the sole manufacturer and distributor of
Badger meters in California. Accordingly, this sole source purchase is necessary in
order to maintain the portion of the water system served by Badger meters.
Financial Impacts & Budget Actions
The purchase order to be awarded to Badger Meter, Inc. is for an amount not to exceed
$180,000. Funds in the amount of $60,000 are available in the FY 2012 -13 budget in
division 25671. The contract will be charged to account 25671.544010. Budget
authority for subsequent years will be requested in each budget cycle for Council
approval. Future funding is contingent upon Council approval.
Prepared by: Gil Borboa, Water Resources Manager
Approved: Forwarded to Council:
Martin Pastucha Rod Gould
Director of Public Works City Manager
I•a