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AGENDA ITEM REVIEW FORM |
7.B.
Regular City Council Meeting
- Meeting Date:
- 06/28/2023
- Department Head:
- Edgar Esparza
- Submitted By:
- Edgar Esparza, Billing & Collections Manager, Finance Department, Billing & Collections
Action Requested:
Motion
ITEM:
Discussion and possible action on any and all matters regarding the ratification of the purchase of residential water meters, MXU's (antennas), and commercial meters from Dana Kepner. (Manuel Hernandez, Acting Assistant Director of Public Works)
SUMMARY:
As we are all aware, many manufacturers are still facing long supplier lead times. Sensus, our water meter supplier, was not an exception to these circumstances. Before the beginning of this current fiscal year, Sensus notified us that the current lead time for water meters and other products including MXU's (antennas) was around a year.
As result, we contacted our assigned Sensus distributor, Dana Kepner Company, regarding the lead time for the supply of water meters. During the conversation, our best approach to prevent running out of water meters was to place a large order of residential water meters, MXU's (antennas), and commercial meters that would last about a year, based on our monthly average water meter installation rate. With the acknowledgment of the lead time, we went ahead and placed our order as soon as the quote was provided to not delay any longer the delivery time of the water meters.
Staff would like to ask City Council to ratify purchase order number 2023-00000517 for the purchase of residential & commercial water meters and MXU's (antennas) in the amount of $224,019.02. Purchase was made from Dana Kepner, our sole source vendor for Sensus products. Staff also recommends that the formal bidding process be waived for this purchase as allowed under the San Luis City Code § 3.05.010 (F). Any future large water meters orders will abide by the procurement code.
As result, we contacted our assigned Sensus distributor, Dana Kepner Company, regarding the lead time for the supply of water meters. During the conversation, our best approach to prevent running out of water meters was to place a large order of residential water meters, MXU's (antennas), and commercial meters that would last about a year, based on our monthly average water meter installation rate. With the acknowledgment of the lead time, we went ahead and placed our order as soon as the quote was provided to not delay any longer the delivery time of the water meters.
Staff would like to ask City Council to ratify purchase order number 2023-00000517 for the purchase of residential & commercial water meters and MXU's (antennas) in the amount of $224,019.02. Purchase was made from Dana Kepner, our sole source vendor for Sensus products. Staff also recommends that the formal bidding process be waived for this purchase as allowed under the San Luis City Code § 3.05.010 (F). Any future large water meters orders will abide by the procurement code.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE AND RATIFY PURCHASE ORDER 2023-00000517 FOR RESIDENTIAL AND COMMERCIAL WATER METERS AND ANTENNAS (MXU) FOR THE REMAINDER OF FISCAL YEAR 2022-2023 AND TO WAIVE FORMAL PURCHASE PROCEDURES FOR THE REASONS PRESENTED.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- YES
- CITY/STATE/FEDERAL FUNDS:
- CITY
- TOTAL:
- $224,019.02
- BUDGETED AMOUNT:
- $282,410.00
- AVAILABLE AMOUNT TO TRANSFER:
- N/A
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- Minor Tools 300-302-60035 - $282,410.00
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
N/A