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Home My WebLink AboutR-2023-166 Resolution authorizing the Sole Source Purchase of water meter products from Badger Meter Inc RESOLUTION NO. R-2023-166 A RESOLUTION authorizing the Sole Source purchase of water meter products from Badger Meter Inc. for the City of Yakima's existing automated water metering system. WHEREAS, in 2012, the City of Yakima (City) solicited competitive bids for the Water Utility Advanced Metering Infrastructure System, Project No. 2261 (project) for the replacement of all water system meters and provide an automated reading and reporting system; and WHEREAS, on March 5, 2013, the City entered into an agreement with Badger Meter Inc. for the project, which was completed in 2015; and WHEREAS, a sole source was approved in 2015 for the continued purchase and use of Badger Meter Inc. water metering system software and components for new installations and replacements; and WHEREAS, the City determined another sole source was necessary for the purchase of Badger Meter Inc. Orion Endpoints and associated components in order to replace all existing Galaxy Endpoints and Gateway Collectors due to technology upgrades; and WHEREAS, project AC2774 Automated Metering Infrastructure (AMI) System is budgeted and to be equally shared between the Water (477) and Wastewater (478) Capital funds; and WHEREAS, the City Council finds that it is in the best interest of the City of Yakima and its residents to approve the purchase of the Badger Meter Inc. Orion Endpoints and associated components to replace the existing Galaxy Endpoints and Gateway Collectors; now, therefore BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Council of the City of Yakima hereby approves the purchase of Badger Meter Inc. Orion Endpoints and associated components to replace all existing Galaxy Endpoints and Gateway Collectors in the amount of Three Million Seven Hundred Eighty-One Thousand Six Hundred Thirty-Seven Dollars and Seventy Cents ($3,781,637.70) including tax. ADOPTED BY THE CITY COUNCIL this 5th day of December, 2023 C--, -----) t! � '- , - 'yl LL Janice Deccio, Mayor ATTEST: —"` Iy� t 14h ;,' SE*_ t Ro alinda lbarra, CityClerk ; A L 1: I1 C' '1\\\`, G-G- 1 a, ____,) BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 7.C. For Meeting of: December 5, 2023 ITEM TITLE: Resolution authorizing the Sole Source Purchase of water meter products from Badger Meter Inc SUBMITTED BY: Scott Schafer, Director of Public Works *Mike Shane, Water/Irrigation Manager, 509-576-6480 Susan Knotts, Buyer I I, Purchasing Division SUMMARY EXPLANATION: In 2013, the City of Yakima (City) solicited competitive bids for Water Utility Advanced Metering Infrastructure System, City Project No. 2261 and selected Badger Meter Inc. as the sole manufacturer for the City's water metering system. The project replaced approx. 19,000 water meters, and installed a complete Badger Meter Inc.Advance Metering Infrastructure (AMI) system. Since completion of the original project, the City has only used compatible Badger Meter Inc. products for the AMI system.AMI systems are proprietary and components of the system are not interchangeable with other manufacturers. Advances in technology have driven the need to upgrade/replace a specific communication component of the AMI system. The current technology is becoming obsolete and requiring on-going troubleshooting and maintenance. The new component, called an "Orion" cellular endpoint, will need to be installed at each water meter throughout the system. The Orion endpoint's cellular technology will communicate directly with the Badger Meter servers, increasing the accuracy and accounting of the City's customers water consumption. A sole source was determined necessary for the purchase of the Badger Meter Inc. Orion endpoints in the amount of$3,781,638 (Including Tax), with the costs shared equally between the Water(477) and Wastewater(478) Capital Funds. City crews will complete all work required to install the new Orion endpoints. ITEM BUDGETED: Yes STRATEGIC PRIORITY: Public Trust and Accountability APPROVED FOR SUBMITTAL BY THE CITY MANAGER 2 RECOMMENDATION: Adopt Resolution. ATTACHMENTS: Description Upload Date Type ❑ Resolution Badger Meter Orion Sole Source 11/20/2023 Resolution ❑ Badger Meter Orion Sole Source 11/20/2023 Backup Material ❑ Badger Meter Orion Proposal 11/16/2023 Backup Material 3 RESOLUTION NO. R-2023- A RESOLUTION authorizing the Sole Source purchase of water meter products from Badger Meter Inc. for the City of Yakima's existing automated water metering system. WHEREAS, in 2012, the City of Yakima (City) solicited competitive bids for the Water Utility Advanced Metering Infrastructure System, Project No. 2261 (project) for the replacement of all water system meters and provide an automated reading and reporting system; and WHEREAS, on March 5, 2013, the City entered into an agreement with Badger Meter Inc. for the project, which was completed in 2015; and WHEREAS, a sole source was approved in 2015 for the continued purchase and use of Badger Meter Inc. water metering system software and components for new installations and replacements; and WHEREAS, the City determined another sole source was necessary for the purchase of Badger Meter Inc. Orion Endpoints and associated components in order to replace all existing Galaxy Endpoints and Gateway Collectors due to technology upgrades; and WHEREAS, project AC2774 Automated Metering Infrastructure (AMI) System is budgeted and to be equally shared between the Water (477) and Wastewater (478) Capital funds; and WHEREAS, the City Council finds that it is in the best interest of the City of Yakima and its residents to approve the purchase of the Badger Meter Inc. Orion Endpoints and associated components to replace the existing Galaxy Endpoints and Gateway Collectors; now, therefore BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Council of the City of Yakima hereby approves the purchase of Badger Meter Inc. Orion Endpoints and associated components to replace all existing Galaxy Endpoints and Gateway Collectors in the amount of Three Million Seven Hundred Eighty-One Thousand Six Hundred Thirty-Seven Dollars and Seventy Cents ($3,781,637.70) including tax. ADOPTED BY THE CITY COUNCIL this 5th day of December, 2023. Janice Deccio, Mayor ATTEST: Rosalinda Ibarra, City Clerk ----77-,,,,, Reset Form =-' �'' ' .• : City of Yakima , .� ` rM SOLE/SINGLE SOURCE '.I JUSTIFICATION `'N.. ........ Revised February 2023 Your Name Your Department/Division Mike Shane Water/Irrigation Your Phone Requisition Number 509-576-6480 N/A at this time Requested Vendor Cost Estimate (Including TAX) Badger Meter Inc. 3,781,638 Vendor's Address City, State &Zip Vendor e-mail &Website 4545 W Brown Deer Road Milwaukee WI 53223 PO Box 245036 Milwaukee WI 53224-9536 twhipple@badgermeter.corn /www.badgermeter.com Vendor Contact Name Vendor Phone Tim Whipple 1-425-766-3034 1. ARE FEDERAL FUNDS BEING USED? OYES Q NO If Federal Funds are being used, a Cost Price Analysis, prior to requesting Sole Source, MUST also be attached. (See City Purchasing Manual for form)and a SAM check must be performed before purchase is made. 2. What are you purchasing? Describe product,service or system. Attach all information (Quotes,etc.). We are purchasing Badger Meter Inc. "Orion" cellular endpoints,including all required accessories,to be installed by City crews on all water meters throughout our water system. See attached quote. *** Below are eligible reasons for sole source. Check all boxes below that apply to your sole source situation and attach any useful documents to justify the sole source. List who you contacted, what they said and how you verified their accuracy. piCompatibility/Standardization to existing City standard or to existing equipment, inventory, I systems, data, programs or service. Describe. List efforts to find other sources (attach documentation, e.g. Internet Screenshots, etc.). nPatented Product. Attach documentation to confirm propriety(patent letter, etc.) and describe why the patented features are critical to your operation. pi Only Authorized Service Provider, Repair and/or Warranty Services.Attach proof in writing from the MANUFACTURER(not the vendor) confirming there is only one dealer authorized to sell/service in our area. riI I Unique design: Requires unique features that are essential, aesthetic requirements, or not possible to I I match to existing design or equipment. Document the unique specifications that are needed which drove the research in finding a product that fits the specific needs of your department. Explain why these features are critical to your operation. Is written certification attached? 0 0 Version 12/2022 Page 1 of 3 I I Special Market conditions: Can be used to purchase items at auction (RCW 39.30.045) or other items that are offered at a very favorable price and will be sold before and entity will have a chance to complete the bidding process (e.g. a flood is coming and you must obtain sandbags immediately), or only one supplier can meet required delivery date (describe why the delivery date is critical and list efforts to find other suppliers to meet the delivery date). Other Please Describe The City currently has a sole source on file for Badger Meters that was approved in 2015 but with a NIL of$24,999. 3. Is this product/service available only through one vendor? O YES 0 NO If yes,attach documentation that supports the screening process you performed to confirm. (e.g.Internet Screenshots,etc.) 4. Is this a one-time purchase? O YES O NO If NO, explain. 5. Why is this a sole source vendor? (tell the story). In 2013 the City went through a competitive procurement process and chose Badger Meter as the Vendor for the water metering system upgrade replacing all meters,registers,and communication system.With water metering systems,different manufacturer components are not interchangeable. 6. What efforts were made to assure the City is receiving the lowest or best price possible? Describe and attach a document showing due diligence. Pricing is provided directly from the manufacturer with no 3rd party vendor as the material supplier or service provider. STATEMENT OF NEED/CONFLICT OF INTEREST My division's recommendation for sole source is based upon an objective review of the good/service being required and appears to be in the best interest of the City. I know of no conflict of interest on my part or personal involvement in any way with this request. No gratuities, favor, or compromising action have taken place. Neither has my personal familiarity with particular brands, types of equipment, materials or firms been a deciding influence on my request to sole source this purchase when there are other known suppliers to exist. Digitally signed by Mike Shane Mike Shane Signature of Requester: Date:0' 11 3.1033:29:11 10/31/23 Date Signature of Division Manger: Mike Shane DigitallysignedbyMikeShane 11/1/23 Date:2023.11.01 10:14:01-07'00' Date Signature of Department Head: Scott Schafer oaie 2Y071;osy,s°,`:6°hgl. Date 11/6/23 Signature of PurchasingManager: Knotts, Susan pa9iea'ZOZ3.;;o6y1522533_uosa g g Date 11/6/23 Signature of Director of Finance Rosylen Oglesby Digitally signed byRosylenOglesby 11/7/23 and Budget: Date:2023.11.0715:07:57-08'00' Date Signature of City Manager: Bob Harrison Datle7'2023.1108y12 52:55f108'00. 11/8/23 Date Please complete entire form and forward to Purchasing. Version 2/2023 Page 2 of 3 6 Additional Information 4. The City's Advance Metering Infrastructure(AMI)water metering system requires on-going and regular maintenance/replacements. Each year,Badger Meter Inc.water meters and accessories will be required to be purchased to maintain the City's AMI system. Due to the number of items that are included in the attached quote,partial orders will be made on a regular basis,based on employees abilities to complete the installations. 5. In 2012,the City solicited competitive bids for Water Utility Advanced Metering Infrastructure System, City Project No. 2261. Through that bidding process,Badger Meter Inc.was awarded the project and chosen as the manufacturer that the City would use for their domestic water system metering. The project included replacement of approx. 19,000 water meters,Badger Meter"Galaxy"units to electronically send meter reads to Badger Meter"Gateway" collector units, servers to collect and store the meter reads,Badger Meter"Beacon" software for downloading and viewing meter reads and utility billing,and Badger Meter"Eye on Water"customer portal software to allow customers to view water consumption. Since completion of the original project in 2014,the City of Yakima has used only Badger Meter Inc.products for their Advanced Metering Infrastructure(AMI) system,including new and replacement meters and all associated components. AMI systems are proprietary and components of the system are not interchangeable with other manufacturers. With advances in technologies,it has become apparent that we were needing to upgrade/replace a specific component of the AMI system. The line of sight communication technology between the water meter's"Galaxy"endpoints and the various "Gateway" collector units throughout the city was becoming obsolete and requiring on-going troubleshooting and maintenance. Current technology provides for the upgrade and installation of a Badger Meter"Orion" cellular endpoint at each water meter. The Orion endpoint's cellular technology will communicate directly with the Badger Meter servers,which will eliminate the need for the "Gateway"units throughout the system. (See attached schematic). Orion endpoints require no "line of sight"to communicate meter reads,increasing the on-going accuracy and accounting of the city's water consumption. They are also designed to work through future upgrades in cellular technologies(ie. 6G). City crews will complete all work required to install the new Orion endpoints and eventually the removal of all Gateway units. Badger Meter Inc.will continue to be the City's choice for AMI into the foreseeable future. *Buyer II signed in lieu of Purchasing Manager Page 3 of 3 7 Badger Meter Domestic Quotation g Quotation No. 3525848 Badger Meter Inc. 4545 W Brown Deer Road Milwaukee WI 53223 PO Box 245036 Milwaukee WI 53224-9536 Revised Date To Customer ID 00460523 CITY OF YAKIMA 2301 FRUITVALE BLVD YAKIMA Washington 989021225 Effective Dates 08-08-2023- 12-31-2024 Salesperson Proposal Subject Shipping Terms/INCO Terms Payment Terms 006265 TIM WHIPPLE Proposal_3525848_08-15-2023 PREPAY/NO CHARGE NET 30 DAYS FCA FACTORY Line# Description Qty Unit Net Price Line Totals USD USD 1 894 122.85 109,827.90 BMI Part No.: 103-6671 Cat String: E4-4E-AM-AG-TAAA-BOA Description: EP Only, For Enc, ORION CELL C, Thru Ld Instl Kit, TT-8in, Grnd/Ocean- Pause, BMI STD, 2 830 189.00 156,870.00 BMI Part No.: 111-3195 Cat String: R4-FA1-M1AM-2B1-8GD-NN-AG-TH-AA-BOA Description: REG 4, LP, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.01 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, 24 PACK, 3 118 194.25 22,921.50 BMI Part No.: 103-9648 Cat String: R4-BA1-M1AM-2B1-8GD-NN-AG-TH-AA-BOA Description: REG 4, M25, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.01 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, 4 14431 194.25 2,803,221.75 BMI Part No.: 103-8126 Cat String: R4-DB1-M1AM-2B1-8GD-NN-AG-TH-AA-BOA Description: REG 4, M35, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.01 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, 24 PACK, 5 1277 194.25 248,057.25 BMI Part No.: 103-8128 Cat String: R4-JC1-M1AM-2B1-8GD-NN-AG-TH-AA-BOA Description: REG 4, M55, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.01 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, Thank you for your business! Estimated ship dates subject to change based upon component availability,as a result of global supply chain constraints,or credit review. This acknowledgment is made subject to the terms&conditions found on our web-site: https://www.badgermeter.com/terms-and-conditions. Terms and conditions related to service units,training,and professional services can be found here: https://badgermeter.com/service-units-terms-and-conditions Page 1 of 3 8 Badger Meter Domestic Quotation g Quotation No. 3525848 Line# Description Qty Unit Net Price Line Totals USD USD 6 334 194.25 64,879.50 BMI Part No.: 104-2073 Cat String: R4-ND1-M1AM-2B1-8HD-NN-AG-TH-AA-BOA Description: REG 4, M120, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, 24 PACK, 7 268 194.25 52,059.00 BMI Part No.: 104-2074 Cat String: R4-RD1-M1AM-2B1-8HD-NN-AG-TH-AA-BOA Description: REG 4, M170-2", HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean- Pause, BMI STD, 24 PACK, 8 20 194.25 3,885.00 BMI Part No.: 111-4884 Cat String: R4-TD1-M1AM-2B1-8HD-NN-AG-TH-AA-BOA Description: REG 4, 1-1/2"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean- Pause, BMI STD, 24 PACK, 9 33 194.25 6,410.25 BMI Part No.: 111-4885 Cat String: R4-TE1-M1AM-2B1-8HD-NN-AG-TH-AA-BOA Description: REG 4, 2"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-10', Grnd/Ocean-Pause, BMI STD, 24 PACK, 10 33 194.25 6,410.25 BMI Part No.: 105-0017 Cat String: R4-TF1-M1AM-2B1-8HD-NN-AG-TJ-AA-BOA Description: REG 4, 3"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-25', Grnd/Ocean-Pause, BMI STD, 24 PACK, 11 19 194.25 3,690.75 BMI Part No.: 104-9886 Cat String: R4-TG1-M1AM-2B1-8HD-NN-AG-TJ-AA-BOA Description: REG 4, 4"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-0.1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-25', Grnd/Ocean-Pause, BMI STD, 24 PACK, 12 7 194.25 1,359.75 BMI Part No.: 104-9888 Cat String: R4-TH1-M1AM-2B1-8JD-NN-AG-TJ-AA-BOA Description: REG 4, 6"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-25', Grnd/Ocean-Pause, BMI STD, 24 PACK, Thank you for your business! Estimated ship dates subject to change based upon component availability,as a result of global supply chain constraints,or credit review. This acknowledgment is made subject to the terms&conditions found on our web-site: https://www.badgermeter.com/terms-and-conditions. Terms and conditions related to service units,training,and professional services can be found here: https://badgermeter.com/service-units-terms-and-conditions Page 2 of 3 9 Badger Meter Domestic Quotation g Quotation No. 3525848 Line# Description Qty Unit Net Price Line Totals USD USD 13 3 196.00 588.00 BMI Part No.: 104-9891 Cat String: R4-TJ1-M1AM-2B1-8JD-NN-AG-TJ-AA-BOA Description: REG 4, 8"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-25', Grnd/Ocean-Pause, BMI STD, 24 PACK, 14 1 196.00 196.00 BMI Part No.: 104-9894 Cat String: R4-TK1-M1AM-2B1-8JD-NN-AG-TJ-AA-BOA Description: REG 4, 10"TSM, HR-E, ORION CELL C, PL Lid/Shrd-GRY, Trx Scrw, 8D-1 FT3, SN YR 9D in &out, Thru Ld Instl Kit, TT-25', Grnd/Ocean-Pause, BMI STD, 24 PACK, 15 13000 0.880 11,440.00 BMI Part No.: 68886-104 Description: ORION CELLULAR LTE SERV UNIT Subtotal-USD 3,491,816.90 Total Price-USD 3,491,816.90 Notes and Assumptions If applicable, sales tax and freight, if included on the proposal, is an estimate and will be recalculated based on rates and tax status in effect at the time of invoicing. Actual lead time to be provided at time of order. To aid in processing your order, please include the Quote number on the PO that is submitted for this proposal. If you would like to place an order, please contact us at Utilitymke@badgermeter.com or by calling 1-800-876-3837 Option 1. Thank you for your business! Estimated ship dates subject to change based upon component availability,as a result of global supply chain constraints,or credit review. This acknowledgment is made subject to the terms&conditions found on our web-site: https://www.badgermeter.com/terms-and-conditions. Terms and conditions related to service units,training,and professional services can be found here: https://badgermeter.com/service-units-terms-and-conditions Page 3 of 3