Consideration and Approval of Cooperative Contract:  For water meter exchange out and repair services for the Water Meter Replacement Program with Water Metering Services, Inc. through a cooperative purchase contract with the City of Tempe, AZ for a sum not to exceed $250,000 per fiscal year.

1. Approve the cooperative purchase contract with Metering Services, Inc. for water meter exchange out and repair services for the Water Meter Replacement Program through the City of Tempe Contract No. WUD14-I51-01 in a sum not to exceed $250,000 per fiscal year; and
2. Authorize the City Manager to execute the necessary documents

The Water Meter Replacement Program replaces older meters that have met their life expectancy per American Water Works Association (AWWA) Standards M6 Meters. As meters age, they will tend to slow down and record less water that flows through the meter.  The City of Flagstaff Water Services is targeting to replace meters older than 12 years with new up to date ultrasonic meters. Currently, water distribution crews replace approximately 200 water meters per year of the approximately 8,694 older meters.  This cooperative purchase contract will help with the implementation of the replacement program and increase water meter replacements between 2,500 to 3,000 meters per year.

The Water Meter Replacement Program is funded annually through the Water Services operational budget as well as project funding:  Radio Read Meter Replacement  202-08-370-3170-0-4461, FY 2019 Budget $1,501,707.

No negative impact

 No previous decision by Council.

1.  Approve the cooperative purchase contract; or
2.  Reject the cooperative purchase contract and seek a new separate contract; or
3.  Reject the cooperative purchase contract and fund additional staff to perform the water meter replacements.

Flagstaff Water Services initiated a Radio Read Meter Replacement Program to handle the upgrade of the residential water meters. Over time, mechanical type meters slow down and under report water consumption. In following AWWA  standard M6 Water Meters, Flagstaff Water Services is working to replace mechanical style meters after 12 years of use. The new meters will be a Neptune Mach 10 Ultrasonic meter with a life expectancy of 20 years. In June 2018, City Council approved the purchase contract with Core & Main for the new Neptune water meters.

Based on existing workloads, Water Services staff changes out an average of 200 meters per year. A 2017 review of existing meters showed that over showed that forty- three (43) percent of residential meters (8,694 meters) met the 12 year or older criteria for replacement. To increase the number of meters replaced on an annual basis, it is recommended to utilize a meter service company. It is anticipated with this contract the number of water meters replaced can be increased between 2,500-3,000 water meters each year.  The City of Tempe, Arizona had initiated a similar program in 2014 and continues with the same program today. Flagstaff Water Services is hoping to utilize the cooperative purchase contract to increase the number of meters replaced annually.

Moving forward with an accelerated meter replacement program will improve the accuracy of the Water Services billing and more accurately help in identifying lost and unaccounted water in our system.

Accurate meter reads are necessary when billing for services provided. Over time as mechanical meters slow down and under report usage, revenues are lost. Accurate and efficient meters will improve the billing, better inform customers as to their real water consumption and promote water conservation.

Provide accurate water consumption data.