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The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department, authorizes the Director to approve DWSD Contract 6007106 with OW Investors, LLC dba MARS Company, for software licenses, maintenance, and support services, for DWSD’s Meter Test Benches, for a total contract not-to-exceed amount of $1,200,000.00 and a term of five (5) years. The BOWC also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
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Agenda of April 16, 2025
Item No.: 2025-77
Contract No: 6007106
Contractor: OW Investors, LLC dba MARS Company, 3925 SW 13th St., Ocala, FL 34474
Contract Amount: $1,200,000.00
Contract Term: 6/1/25 - 5/31/30 (5 years)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed DWSD Contract No. 6007106
Maintenance and Support Agreement for Meter Test Benches
OW Investors, LLC dba MARS Company
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6007106 with OW Investors, LLC dba MARS Company, for software licenses, maintenance, and support services, for DWSD’s Meter Test Benches, for a total contract not-to-exceed amount of $1,200,000.00 and a term of five (5) years. The BOWC also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
DWSD Meter Operations manages a deployment of over 220,000 meters and needs to maintain the functionality of the test benches to validate the accuracy of water meters deployed throughout the system. Meter Operations samples 5% of the new meter population and a majority of the meters removed or replaced to provide a documented history of how the meters performed in the field, that provide insight into reducing unaccounted water in the system. Meter Operations currently maintains 3 small test benches, for verifying the accuracy of meters up to 2 inches in size and 1 large test bench, for meters up to 10 inches in size.
These test bench systems are complex and require regular maintenance to validate that they are in compliance with AWWA M6 standard (AWWA M6 Water Meters - Selection, Installation, Testing and Maintenance) - M6 provides all the information needed to make sure customer meters are accurately capturing water use, thus protecting revenue: meter types, construction, and operation. The Mars Software Packages provides the department with the ability to capture valuable meter testing data based on their individual meter testing programs. Custom reporting, extensive data exporting features, and browser-based access allow multiple departments the power of data analytics to improve customer service, implement operational improvements and make informed purchasing decisions.
With optimally maintained test benches, DWSD can confirm that new meters purchased, or old meters returned from the field continue to read accurately and document the meter accuracy over time to determine the optimum replacement cycle. DWSD Information Technology began discussions with MARS in December 2024 in order to agree on a 5-year term agreement for the support and maintenance of the test bench hardware/software and the calibration of the associated test benches. The cost of the contract agreement includes the annual license and an allocation for mechanical parts that needs to be replaced as required.
PROCUREMENT METHOD - Sole Source
The contract was requested through Requisition #531006, which was approved 2/11/25. The contract was procured as a sole source exception to competitive solicitation due to OW Investors LLC dba MARS CO (MARS) being the only full-service vendor for Mars Company branded test benches and intellectual property. MARS has provided DWSD with a letter stating they are the only authorized representative to provide service and support for their meter test equipment and the MARS M3 Software.
DWSD’s Procurement Policy, Section 7.5, does not require competitive solicitation for sole source contracts. The Exception to Competitive Solicitation (ECS) Form was approved on 2/20/25 by Director Brown.
OW Investors has current approved clearances that expire 11/30/25, and a formal contract document is not required.
SUMMARY
A. Contract Number: 6007106
B. Contractor: OW Investors LLC, dba Mars Company
C. Contract Amount: $1,200,000.00
D. Contract Term: 6/1/25 - 5/31/30
E. Funding Source: O&M Funds
F. GL Strings:
5720-20168-483301-622302-000205-10790-0000-00000 - 38.2% Water
5820-20179-493301-622302-000226-15805-0000-00000 - 61.8% Sewer
G. Projected Fiscal Year (FY) Contract Expenditures:
FY 25: $240,000.00
FY 26: $240,000.00
FY 27: $240,000.00
FY 28: $240,000.00
FY 29: $240,000.00
This proposed contract was presented to the BOWC Finance Committee on April 2, 2025. Per DWSD procurement protocol, Mayoral review will also be obtained.