HomeMy WebLinkAbout135-20 RESOLUTIONriumeRN
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4RKANS PS
113 West Mountain Street
Fayetteville. AR 72701
(479) 575-8323
Resolution: 135-20
File Number: 2020-0321
HENARD UTILITY PRODUCTS, INC.:
A RESOLUTION TO APPROVE THE PURCHASE OF 1,000 CELLULAR ADVANCED METERING
INFRASTRUCTURE WATER METERS FROM HENARD UTILITY PRODUCTS, INC. IN THE
AMOUNT OF $196,960.00, PLUS APPLICABLE TAXES AND FREIGHT CHARGES, FOR USE BY
THE UTILITIES DEPARTMENT, AND TO APPROVE A BUDGET ADJUSTMENT
WHEREAS, on April 6. 1993, the City Council passed Ordinance 3696 which waived the requirement
of formal competitive bidding for water meters; and
WHEREAS, on September 3, 2019, the City Council approved Resolution 192-19 approving a one year
master service agreement with Badger Meters, Inc. for the purchase of cellular water meters through its
supplier, Henard Utility Products, Inc.; and
WHEREAS, the Utilities Department is requesting approval to purchase an additional 1.000 meters which
will allow the City to complete installation at Chestnut Apartments, Red Bud Apartments, Park Lake
Apartments, and Wood Way Apartments.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section l: That the City Council of the City of Fayetteville, Arkansas hereby approves the purchase of
1,000 cellular advanced metering infrastructure water meters from Henard Utility Products, Inc. in the
amount of $196,960.00, plus applicable taxes and freight charges, for use by the Utilities Department.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget
Page 1 Printed on 516120
File Number: 2020-0321
Resolution 135-20
adjustment, a copy of which is attached to this Resolution.
PASSED and APPROVED on 5/5/2020
Attest: .�`N ?K—/ I T RF����,
FAYETTEVILLE
Kara Paxton, City Clerk Treasurer
Page 2 Printed on 516120
-City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Text File
File Number: 2020-0321
Agenda Date: 5/5/2020 Version: 1 Status: Passed
In Control: City Council Meeting File Type: Resolution
Agenda Number: A. 10
HENARD UTILITY PRODUCTS, INC.:
A RESOLUTION TO APPROVE THE PURCHASE OF 1,000 CELLULAR ADVANCED METERING
INFRASTRUCTURE WATER METERS FROM HENARD UTILITY PRODUCTS, INC. IN THE
AMOUNT OF $196,960.00, PLUS APPLICABLE TAXES AND FREIGHT CHARGES, FOR USE BY
THE UTILITIES DEPARTMENT, AND TO APPROVE A BUDGET ADJUSTMENT
WHEREAS, on April 6, 1993, the City Council passed Ordinance 3696 which waived the requirement of
formal competitive bidding for water meters; and
WHEREAS, on September 3, 2019, the City Council approved Resolution 192-19 approving a one year
master service agreement with Badger Meters, Inc. for the purchase of cellular water meters through its
supplier, Henard Utility Products, Inc.; and
WHEREAS, the Utilities Department is requesting approval to purchase an additional 1,000 meters which will
allow the City to complete installation at Chestnut Apartments, Red Bud Apartments, Park Lake Apartments,
and Wood Way Apartments.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAVETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville. Arkansas hereby approves the purchase of 1,000
cellular advanced metering infrastructure water meters from Henard Utility Products, Inc. in the amount of
$196,960.00, plus applicable taxes and freight charges, for use by the Utilities Department. ,
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a
copy of which is attached to this Resolution.
City of Fayetteville, Arkansas Page 1 Printed on 51612020
Tim Nyander
Submitted By
City of Fayetteville Staff Review Form
2020-0321
Legistar File ID
5/5/2020
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
4/16/2020
Submitted Date
Action Recommendation:
WATER SEWER (720)
Division / Department
The Utilities Department is requesting authorization to purchase 1,000 cellular (Advanced Metering Infrastructure
or AMI) meters from Henard Utility Products, Inc. in the amount of $196,960.00 plus applicable taxes and
requesting approval of a budget adjustment.
5400.720.1840-5811.00
Account Number
02065.1
Project Number
Budgeted Item? Yes
Does item have a cost? Yes
Budget Adjustment Attached? Yes
Budget Impact:
Current Budget
Funds Obligated
Current Balance
Item Cost
Budget Adjustment
Remaining Budget
Water and Sewer
Fund
Water Meters
Project Title
$ 718,380.00
$ 597,378.50
$ 121,001.50
$ 216,163.60
$ 216,164.00
$ 121,001.90
V20180321
Purchase Order Number: Previous Ordinance or Resolution #
Change Order Number:
Original Contract Number:
Approval Date:
Comments: Taxes are estimated at $19,203.60 for a total estimated cost of $216,163.60.
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF MAY 5, 2020
TO: Mayor and City Council
THRU: Susan Norton, Chief of Staff
FROM: Tim Nyander, Utilities Director
DATE: April 16, 2020
Ceit�i�t�•1T1�[ uT•:
SUBJECT: Henard Utility Products, Inc. - Purchase of Cellular Water Meters
RECOMMENDATION:
The Utilities Department is requesting authorization to purchase 1,000 cellular (Advanced
Metering Infrastructure or AMI) meters from Henard Utility Products, Inc. in the amount of
$196,960.00 plus applicable taxes, and approval of a budget adjustment.
BACKGROUND:
The City of Fayetteville currently utilizes approximately 19,000 drive -by radio -read water meters
and 25,000 manual read meters for a total of approximately 44,000 meters. A radio -read meter
sends its reading whenever it is pinged once per month by a computer that is in a city truck
which is in the vicinity of the meters and can collect hundreds of readings per second. When a
radio -read meter fails, it does not send a read and must be read manually. Radio read meters
are especially difficult for meter readers to read because they have plastic registers and were
not designed for manual reading.
DISCUSSION:
The read rate began to severely decline around 2016 at a rate of a few hundred per year until
2018, where the no -read rate dramatically increased and was in the thousands. By 2019 there
were over 5,000 meters not reading, placing a heavy strain on our meter readers. A majority of
these were in Cycle 5 which has many student apartments with a high turnover rate. Because of
this the department chose to install cellular meters (AMI) in apartments. A cellular meter can
send reads directly to the business office through the cloud and can be viewed 24/7. It can be
used for move -ins and move outs without the need for rolling a truck. Additionally, there is a
portal for the customer to interface with.
The decision was made to replace these faulty meters with cellular meters rather than with a
conventional meter with radio read capabilities. This was because the Department will soon be
selecting a vendor to provide smart metering for the entire service area. Purchasing
conventional meters and then trading them out with AMI before their life cycle is complete would
not be a good investment of public money. We have chosen areas that are causing difficulties
for our meter readers as well as areas that Utility Financial Services (UFS) can utilize and
reduce meter department service orders. These areas are locations where the several meters
are clustered together in one spot, such as apartment complexes.
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
To date we have purchased 3,500 cellular meters and 500 cellular endpoints. All of these are
installed except for the last 1,000. Some (500) of these have arrived and are being tested and
the remaining 500 are being shipped. This has allowed us to install cellular meters at the Cliffs,
the Links, the Appleby Apartments, Valley Lake Apartments, and the first portion of the Greens.
With this last order of 1,000 meters we plan to complete the Greens, Paradise View, Oakshire I
& II Apartments and the Stearns Street Apartments. making the total cellular project 5,000
meters.
The department is requesting to purchase an additional 1,000 cellular meters (for $196,960)
which would allow us to complete Chestnut Apartments, Red Bud Apartments, Park Lake
Apartments, and Wood Way Apartments. This project has relieved the stress from our meter
readers by solving the no read issue for thousands of meters.
On April 6, 1993, the City Council passed Ordinance 3696, which waived the requirements of
formal competitive bidding for water meters.
BUDGET/STAFF IMPACT:
Funds are being moved from the Water System Rehabilitation account to the Water Meters
account to cover the costs of the new cellular meters. Taxes are estimated at $19,203.60 for a
total estimated cost of $216,163.60.
Attachments:
Quote from Henard Utility Products
Ordinance 3696
Budget Adjustment
QUOTATION
FROM
HENARD UTILITY PRODUCTS, INC.
P.O. Box 9238
SEARCY, ARKANSAS 72145
PHONE (501)268-1987 FAX (501)268-7437
www.henardutility.com
TO Fayetteville Water & Sewer
Attn: Harlan Henson
Email: hhenson@fayetteville-ar.gov
WE ARE PLEASED TO QUOTE AS FOLLOWS:
INQUIRY NO: 04102020-1
DATE 10 April 2020
TERMS Net 30 Days
DELIVERY TBD
PRICES ARE QUOTED F.O.B.
Fayetteville, AR
QTY.
DESCRIPTION
PRICE EA.
AMOUNT
1,000
Badger Model M25 — 5/8x3/4 Low Lead Bronze Positive
$196.96
$196,960.00
Displacement Meter — Plastic Bottom — HR-E LCD 9
Dial Encoder — LTE-M Beacon Cellular Endpoint - US
Gallons — Twist Tight Connector — Serial Numbers to be
Embossed on Outside of the Lid — Visual Read of 100
Gallons.
Sales Tax @ 9.75%
$19,203.60
Total
$216,163.60
*Quote Valid until 7/26/2020*
*NOTE: Sale tax and freight must be added to your
invoice when applicable.
QUOTED BY: George Clayton geor2ec(albenardutility.com
ORDINANCE NO. -if; c)r,
AN ORDINANCE AN ORDINANCE WAIVING THE
REQUIREMENTS OF COMPETITIVE BIDDING FOR THE
PURCHASE OF CAST IRON PIPE AND FITTINGS, DUCTILE
IRON PIPE, SOIL PIPE, WATER METERS, CLAY PIPE AND
FITTINGS, BRASS WATER AND SEWER ITEMS, COPPER
PIPE AND FITTINGS, PLASTIC PIPE AND FITTINGS AND
STRONG SEAL MS2A FOR THE WATER AND SEWER
DEPARTMENT.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section _ 1. That the Council hereby waives the requirements of competitive bidding
for the purchase of cast iron pipe and fittings, ductile iron pipe, soil pipe, water meters, clay
pipe and fittings, brass water and sewer items, copper pipe and fittings, and plastic pipe and
fittings for the Water and Sewer Department for the reason that said requirements are not feasible
because manufacturers and suppliers will not confirm contract prices for a one year period and
the aforesaid items are priced on very short term.
Section . If possible, competitive quotations shall be taken before any of the
aforesaid materials are purchased.
Section 3. The Council hereby determines that the Water and Sewer Department of
the City of Fayetteville is in immediate need of the materials enumerated in Section 1 above and
will continue to need said materials on a periodic basis; that the requirements of competitive
bidding for the purchase of said materisla is not feasible for the reasons stated in Section 1
above; and that the passage of this ordinance is necessary to enable the immediate and continuing
purchase of said materials without undue cost to the City. Therefore, an emergency is hereby
declared to exist and this ordinance being necessary for the public welfare shall be in full force
and effect from and after its passage and approval.
PASSED AND APPROVED this �1 day of April , 1993.
APPROVED:
By: 1440�
Fred Hanna, Mayor
ATTEST:
By:
Sherry L. Thomas, City Clerk
City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar)
Budget Year Division WATER SEWER (720) Adjustment Number
2020 /Org2
Requestor: Cheryl Partain
BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION:
A Budget Adjustments is needed in the Water Meters project to move budgeted funds to cover the purchase of 1,000
Cellular (Advanced Metering Infrastructure or AM[) Meters from Henard Utilty Products. Budgeted funds are being
moved from the Water System Rehabilitation/Replacement project.
COUNCIL DATE: 5/5/2020
LEGISTAR FILE ID#: 2020-0321
Matthew Maddov
411612020 10:58 AM
Budget Director
TYPE:
JOURNAL #:
Date
D - (City Council)
5/5/2020
GLDATE:
RESOLUTION/ORDINANCE
CHKD/POSTED:
TOTAL
- -
v.20200324
Increase / (Decrease)
Proiect.Sub#
Account Number
Expense Revenue
Project Sub.Detl AT
Account Name
54.00.720.1840-5811.00
216,164 -
02065 1 EX
Water Meters
5400.720.5600-5808.00
(216,164) -
12009 1 EX
Water Line Improvements
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