File #: 18-624    Version: 1
Type: BID, RFP, RFQ, COOP, SOLE SOURCE, OPTION YEAR Status: Agenda Ready
File created: 7/19/2018 In control: City Council
On agenda: 8/21/2018 Final action:
Title: Approve the award of Option Year One to Contract 16-260, Contract Meter Reading Services for Water, to Alexander's Inc. for an amount not to exceed $421,200
Attachments: 1. Prior Award
Related files: 19-292, 20-1175
CITY COUNCIL AGENDA ITEM

ACTION REQUESTED:
title
Approve the award of Option Year One to Contract 16-260, Contract Meter Reading Services for Water, to Alexander's Inc. for an amount not to exceed $421,200
body

DEPARTMENT: Finance Department

SUBMITTED BY: Rachel Mayer, Director

BOARD/COMMISSION REVIEW:
N/A

BACKGROUND:
In August 2016, City Council approved the award of RFP 18-260 to Alexander's Inc. for contract meter reading services for the Water Utilities. The award was for two years from September 1, 2016 through August 30, 2018, with three one-year options to extend.

The City has approximately 52,000 meters throughout the Water Utility system, the majority requiring physical reads. Recently, reads have become challenging for Alexander due to staffing needs and location of meters. Through Alexander, the City stabilized the reading process, but challenges are expected to increase if physical reads continue to be necessary.

At the time of the original award, staff was evaluating alternative reading technologies, specially logistics of converting to an AMR (automated meter reading) or AMI (advanced metering infrastructure) system. Over the past two years, staff slowly expanded use of the AMR Itron system to allow remote reads for some customers. The Itron system is used to read unincorporated, water-only accounts.

The City will continue to explore available technologies to ease reading needs of the Water Utility. This option year will allow time for the City to further evaluate options. Alexander is aware of the City's research and supports the effort, as the company is evaluating logistics of maintaining the contract with the City beyond this recommended option year.

DISCUSSION:
Alexander has agreed to extend this agreement through the first option year with no increase to their rates. The option was agreed under the same structure of the original award, which ensures six reads over 12 months to all customers and payments to Alexander contingent on ...

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