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HomeMy WebLinkAbout160-23 RESOLUTION113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 160-23 File Number: 2023-919 HENARD UTILITY PRODUCTS, INC. (PURCHASE AGREEMENT): A RESOLUTION TO APPROVE THE PURCHASE OF 1,780 CELLULAR ADVANCED METERING INFRASTRUCTURE WATER METERS FROM HENARD UTILITY PRODUCTS, INC. IN THE AMOUNT OF $455,413.00, PLUS APPLICABLE TAXES AND FREIGHT CHARGES, FOR USE BY THE UTILITIES DEPARTMENT, AND TO APPROVE A BUDGET ADJUSTMENT WHEREAS, on January 3, 2023, the City Council passed Ordinance 6634 which waived the requirement of fonnal competitive bidding for water meters and other equipment needed by the Utilities Department; and WHEREAS, the Utilities Department is requesting approval to purchase an additional 1,780 meters which will allow the City to continue deploying meters that can be read remotely and that can assist in leak detection and water loss reduction. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the purchase of 1,780 cellular advanced metering infrastructure water meters from Henard Utility Products, Inc. in the amount of $455,413.00, 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. PASSED and APPROVED on August 1, 2023 Page 1 Attest: ° RKtli Tl.,i�4i U: FAYETTC'.;f.f.;, Kara Paxton, City rk Treasurer % • 9 ; ' ••�.v 'N14 CITY OF FAYETTEVILLE ARKANSAS MEETING OF AUGUST 1, 2023 CITY COUNCIL MEMO TO: Mayor Jordan and City Council THRU: Susan Norton, Chief of Staff FROM: Tim Nyander, Utilities Director DATE: SUBJECT: Henard Utility Products, Inc. - Purchase of Badger Cellular Water Meters RECOMMENDATION: 2023-919 Staff recommends approval of the purchase of 1,780 Badger Cellular Water Meters for the Water & Sewer Division from Henard Utility Products, Inc. in the amount of $455,413.00 plus applicable taxes, and approval of a budget adjustment in the amount of $500,000.00. Per Ordinance 6634, water meters are waived from competitive bidding. BACKGROUND: Over the past few years, the Utilities Department has been installing AMI meters, or "smart" meters in the City's water distribution system. Smart meters can be read through the cloud and reduces truck rolls. Eventually, the customer will be able to monitor their individual water meter. Smart meters can also assist in leak detection and water loss reduction. DISCUSSION: Due to the increasing growth of the City, the Utilities Department is utilizing the biggest part of the current meter budget on new services. This leaves an extremely small inventory remaining to address the failing meters. This additional order will increase the number of smart meters available for installation. Additional funding may be requested toward the end of 2023. BUDGET/STAFF IMPACT: Funds are available in the Lake Sequoyah Sediment Removal account to transfer into the Water Meters account. ATTACHMENTS: SRF Henard Utility Products, 2023-919 BA Water Meters, Quote from Henard Utility Products, Ordinance 6634 Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 == City of Fayetteville, Arkansas Y 113 West Mountain Street Fayetteville, AR 72701 (479)575-8323 - Legislation Text File #: 2023-919 Henard Utility Products, Inc. - Purchase of Badger Cellular Water Meters A RESOLUTION TO APPROVE THE PURCHASE OF 1,780 CELLULAR ADVANCED METERING INFRASTRUCTURE WATER METERS FROM HENARD UTILITY PRODUCTS, INC. IN THE AMOUNT OF $455,413.00, PLUS APPLICABLE TAXES AND FREIGHT CHARGES, FOR USE BY THE UTILITIES DEPARTMENT, AND TO APPROVE A BUDGET ADJUSTMENT WHEREAS, on January 3, 2023, the City Council passed Ordinance 6634 which waived the requirement of formal competitive bidding for water meters and other equipment needed by the Utilities Department; and WHEREAS, the Utilities Department is requesting approval to purchase an additional 1,780 meters which will allow the City to continue deploying meters that can be read remotely and that can assist in leak detection and water loss reduction. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the purchase of 1,780 cellular advanced metering infrastructure water meters from Henard Utility Products, Inc. in the amount of $455,413.00, 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. Page 1 Tim Nyander Submitted By City of Fayetteville Staff Review Form 2023-919 Item ID 8/1/2023 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 7/13/2023 WATER SEWER (720) Submitted Date Division / Department Action Recommendation: Staff recommends approval of the purchase of 1,780 Badger Cellular Water Meters for the Water & Sewer Division from Henard Utility Products, Inc. in the amount of $455,413.00 plus applicable taxes, and approval of a budget adjustment in the amount of $500,000.00. 5400.720.1840-5811.00 Account Number 02065.1 Project Number Budgeted Item? Yes Does item have a direct cost? Yes Is a Budget Adjustment attached? Yes Purchase Order Number: Change Order Number: Original Contract Number: Budget Impact: Total Amended Budget Expenses (Actual+Encum) Available Budget Item Cost Budget Adjustment Remaining Budget Water and Sewer Fund Water Meters Project Title $ 1,123,937.00 $ 927,585.03 196,351.97 $ 499,815.77 $ 500,000.00 196,536.20 Previous Ordinance or Resolution # Approval Date: V20221130 Comments: Freight is included with the quoted pricing. Taxes are estimated at $44,402.77 for an estimated total of $499,815.77. City of Fayetteville, Arkansas - Budget Adjustment (Agenda) Budget Year Division Adjustment Number WATER SEWER (720) /Org2 2023 Requestor: Shea Fankhouser BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: A budget adjustment is needed in the Water & Sewer Meter Project to fund additional water meter purchases from Henard Utility Products in 2023. The new cellular "AMI" meters will replace failing water meters in the City's water distribution system. Due to reduced expenditures and cost savings, budgeted funds will be transferred from the Lake Sequoyah Sediment Removal/Dredging project to cover the cost of this purchase. COUNCIL DATE: ITEM ID#: 8/1/2023 2023-919 Holly Black 717g12023 0:30 6M RESOLUTION/ORDINANCE Budget Division Date TYPE: D - (City Council) JOURNAL#: GLDATE: CHKD/POSTED: TOTAL Account Number - - Increase / (Decrease) Expense Revenue Project.Sub# Project Sub.Detl AT v.2023424 Account Name 5400.720.1840-5811.00 500,000 - 02065 1 EX Water Meters 5400.720.5600-5808.00 (500,000) - 17004 1 EX Improvements - Water Line I of 1 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 and Sewer Harlan Henson Email: hhenson@fayetteville-ar.gov WE ARE PLEASED TO QUOTE AS FOLLOWS: iial INQUIRY NO: 06292023-1 29 June 2023 DATE TERMS Net 30 Days DELIVERY TBD PRICES ARE QUOTED F.O.B. Fayetteville, AR QTY. DESCRIPTION PRICE EA. AMOUNT 1,780 Badger Model M25 — 5/8x3/4 Low Lead Bronze Positive $255.85 $455,413.00 Displacement Meter — Plastic Bottom — HR-E 8 Dial Encoder — LTE-M Beacon Cellular Endpoint - US Gallons — Twist Tight Connector — Serial Numbers to be Embossed on Outside of the Lid. Sales tax @ 9.75% $44,402.77 Total $499,815.77 Proposed shipping schedule of- 432 ea. by the end of August 432 ea. by the end of September 432 ea. by the end of October 484 ea. by the end of November QUOTED BY: George Clayton geor2ecAhenardutility.com 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Ordinance: 6634 File Number: 2022-269 REPEAL ORDINANCE 3696: AN ORDINANCE TO REPEAL ORDINANCE NO. 3696 AND TO AUTHORIZE THE CITY TO WAIVE ANY REQUIREMENT FOR COMPETITIVE BIDDING OR MORE THAN ONE QUOTE TO PURCHASE PLUMBING PIPES, FITTINGS, WATER METERS, FIRE HYDRANTS, MANHOLES AND THEIR COVERS, COATINGS, AND HARDWARE NEEDED BY THE WATER AND SEWER DEPARTMENT THROUGH 2O26 WHEREAS, the Water and Sewer Department must quickly react to the unforeseen need for many types and sizes of plumbing repair fittings, hardware and pipes in order to immediately repair water and sewer mains throughout Fayetteville, Farmington, Greenland, Johnson, and certain areas of the county; and WHEREAS, suppliers for these emergency repair items will not agree to long term pricing so competitive bidding is not feasible and some parts might be available only from a single source so obtaining more than one quote might be impossible; and WHEREAS, supplies of these items in storage can be exhausted by large repair projects such that their replenishment must be accomplished quickly to be ready for the next required repair project; and WHEREAS, the Water and Sewer Department has been operating pursuant to Ordinance No. 3696 passed in 1993 which waived competitive bidding for such pipes, fittings and hardware because suppliers would not provide a reasonable price for such items on an annual basis; and WHEREAS, Ordinance No. 3696 did not cover all of the different pipes, pipe fittings, hardware made from numerous materials now needed by the Water and Sewer Department and should be repealed and replaced with this ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby repeals Ordinance No. 3696. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that an exceptional situation exists for the emergency purchase of repair products by the Water and Sewer Department for which competitive bidding and/or obtaining multiple quotes are deemed not feasible or practical and therefore waives the requirements for formal competitive bidding and/or obtaining multiple quotes for pipes, pipe fittings, hardware, coating, water meters, fire hydrants, manholes and their covers and fittings through December 31, 2026. Page 1 Ordinance: 6634 File Number. 2022-269 PASSED and APPROVED on January 3, 2023 A nnrnvoA- Attest: ERK �'rR /''�i Kara Paxton, City Clerk frcasurer c : FAYETTEV1LLi.. �= i-Yi•9'Q � �� Itti �N1t0e�`�. Page 2 CITY OF FAYETTEVILLE ARKANSAS MEETING OF JANUARY 3, 2023 TO: Mayor Jordan and City Council ���r����1�1►r _ 11 Il �� 2022-269 THRU: Susan Norton, Chief of Staff FROM: Timothy Nyander, Utilities Director DATE: December 16, 2022 SUBJECT: REPEAL ORD 3696/WAIVE COMPETITIVE BIDDING FOR UTILITIES DEPARTMENT PURCHASES RECOMMENDATION: AN ORDINANCE TO REPEAL ORDINANCE NO. 3696 AND TO AUTHORIZE THE CITY TO WAIVE ANY REQUIREMENT FOR COMPETITIVE BIDDING OR MORE THAN ONE QUOTE TO PURCHASE PLUMBING PIPES, FITTINGS, WATER METERS, FIRE HYDRANTS, MANHOLES AND THEIR COVERS, COATINGS, AND HARDWARE NEEDED BY THE WATER AND SEWER DEPARTMENT THROUGH 2O26 BACKGROUND: The Water & Sewer Department must quickly react to the unforeseen need for many types and sizes of plumbing repair fittings, hardware, and pipes in order to immediately repair water and sewer mains throughout Fayetteville, Farmington, Greenland, Johnson, and certain areas of the county. The Water & Sewer Department has been operating pursuant to Ordinance No. 3696 passed in 1993 which waived competitive bidding for such pipes, fittings, and hardware because suppliers would not provide a reasonable price for such items on an annual basis. DISCUSSION: Ordinance No. 3696 did not cover all of the different pipes, pipe fittings, hardware made from numerous materials now needed by the Water & Sewer Department and the original Ordinance should be repealed and replaced with this proposed ordinance. Suppliers for these emergency repair items will not agree to long term pricing, so competitive bidding is not feasible and some parts might be available only from a single source so obtaining more than one quote might be impossible. Supplies of these items in storage can be exhausted by large repair projects such that their replenishment must be accomplished quickly to be ready for the next required repair project. Staff recommends approving an ordinance to repeal Ordinance No. 3696 and to waive formal competitive bidding and the requirement to obtain three quotes for pipes, pipe fittings, hardware, coating, water meters, fire hydrants, manholes and their covers and fittings through December 31,2026. I--111Kei:111&1r_1aa1 dJdS15 Staff recommends an ordinance to repeal Ordinance No. 3696 and to authorize the City to waive any requirement for competitive bidding or more than one quote to purchase plumbing pipes, fittings, water meters, Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 and hardware needed by the Water and Sewer Department through 2026. ATTACHMENTS: ORD - REPEAL ORDINANCE NO. 3696 Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 ORDINANCE NO. AN ORDINANCE TO REPEAL ORDINANCE NO. 3696 AND TO AUTHORIZE THE CITY TO WAIVE ANY REQUIREMENT FOR COMPETITIVE BIDDING OR MORE THAN ONE QUOTE TO PURCHASE PLUMBING PIPES, FITTINGS, WATER METERS, FIRE HYDRANTS, MANHOLES AND THEIR COVERS, COATINGS, AND HARDWARE NEEDED BY THE WATER AND SEWER DEPARTMENT THROUGH 2O26 WHEREAS, the Water and Sewer Department must quickly react to the unforeseen need for many types and sizes of plumbing repair fittings, hardware and pipes in order to immediately repair water and sewer mains throughout Fayetteville, Farmington, Greenland, Johnson, and certain areas of the county; and WHEREAS, suppliers for these emergency repair items will not agree to long term pricing so competitive bidding is not feasible and some parts might be available only from a single source so obtaining more than one quote might be impossible; and WHEREAS, supplies of these items in storage can be exhausted by large repair projects such that their replenishment must be accomplished quickly to be ready for the next required repair project; and WHEREAS, the Water and Sewer Department has been operating pursuant to Ordinance No. 3696 passed in 1993 which waived competitive bidding for such pipes, fittings and hardware because suppliers would not provide a reasonable price for such items on an annual basis; and WHEREAS, Ordinance No. 3696 did not cover all of the different pipes, pipe fittings, hardware made from numerous materials now needed by the Water and Sewer Department and should be repealed and replaced with this ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby repeals Ordinance No. 3696. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that an exceptional situation exists for the emergency purchase of repair products by the Water and Sewer Department for which competitive bidding and/or obtaining multiple quotes are deemed not feasible or practical and therefore waives the requirements for formal competitive bidding and/or obtaining multiple quotes for pipes, pipe fittings, hardware, coating, water meters, fire hydrants, manholes and their covers and fittings through December 31, 2026.