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ITEM  35 City Council Memorandum      Public Works & Utilities  Memo No. UA24-035         Date: November 9, 2023 To: Mayor and Council Thru: Joshua H. Wright, City Manager Andy Bass, Deputy City Manager John Knudson, Public Works and Utilities Director From: Cristabel Dykstra, Utilities Administrative Support Manager Subject: Purchase of Water Meter Repair and Replacement Services

Proposed Motion:

Move City Council approve the purchase of water meter repair and replacement services, from Metering Services, Inc., utilizing City of Tempe Contract No. WUD21-015-01, in an amount not to exceed $400,000.

Background/Discussion:

The City maintains approximately 86,500 water meters. These meters record water use from residential, landscape, multi-family, commercial, government, school, medical, and industrial water users. The life expectancy of a water meter based on industry standards is 15 years. Meters greater than 15 years old have a higher tendency to read inaccurately, resulting in incorrect billing or equipment failure. Staff routinely replace or repair failed meters to ensure customers are billed accurately and to prevent water loss. Due to the number of meters that have reached replacement age this fiscal year, contractor assistance is required for meter installation. There are approximately 9,000 meters that have exceeded their life expectancy. As part of this agreement, the contractor will remove 5,000 meters (ranging in size from 5/8-inch to 2-inch) and replace them with meters compatible with the existing meter reading system and inventory. Meter Services staff will remove and replace the remaining 4,000 meters as part of daily operations. In fiscal year 2022-23, Meter Services staff replaced over 3,000 meters, responded to 17,100 service orders, and successfully completed the equivalent of one million monthly reads.

Evaluation:

The City of Tempe competitively solicited and awarded a contract for water meter repair and replacement services. The city has a current agreement with the City of Tempe allowing for cooperative use of its contracts. Staff recommends use of this cooperative contract because Metering Services, Inc., has previous experience performing similar repairs for the city and pricing is competitive. This agreement is valid through November 16, 2024.

Fiscal Impact

Account No. Fund Name Program Name Dollar Amount CIP Funded Y/N 605.3880.5330.0.0.0 Water Operating Meters & Meter Related Parts $400,000 N

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