Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to secure three contracts, each for four years, with the following vendors, in an amount not to exceed a total of $4,731,818.31 to:
-EJ Prescott, Inc. (contract #6002097, $264,860.00),
-Badger Meter, Inc. (contract #6002095, $3,744,868.00),
-Wesco Distribution, Inc. (contract #6002131, $722,090.31)
for various sizes of water meters and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of May 15, 2019
Item No. 19-00136
Amount: $4,731,818.31
DWSD Contract Term: 4 Years (June/July 2019 - June/July 2023)
Suppliers:
EJ Prescott, Inc.,
32 Prescott St., Gardiner, Maine 04345
Badger Meters, Inc.,
4545 W. Brown Deer Rd., Milwaukee, WI 53223
Wesco Distribution, Inc.
33162 Sterling Ponds Blvd., Sterling Heights, MI 48312
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Contracts for Purchase of Long-Term (4 Years) Water Meter Supply (Competitively Solicited)
MOTION
Upon recommendation of Mamata Burgi, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to secure three contracts, each for four years, with the following vendors, in an amount not to exceed a total of $4,731,818.31 to:
four (4) year contracts in an amount not to exceed $4,731,818.31 to:
-EJ Prescott, Inc. (contract #6002097, $264,860.00),
-Badger Meter, Inc. (contract #6002095, $3,744,868.00),
-Wesco Distribution, Inc. (contract #6002131, $722,090.31)
for various sizes of water meters and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
DWSD is committed to providing our customers with correct and appropriate billing for water & sewer usage. This focus includes addressing under registering water meters that are on average over 10 years old and significantly beyond their operational life.
In 2018, DWSD’s Meter Operations Division replaced 8,463 cold water meters of various sizes, to provide customers with the most accurate and efficient water usage meter reading as necessary for their respective service need. Each make and model, based on meter size, facility, and service type has qualities that fit certain service applications and must meet American Water Works Association standards and be compatible with the latest automatic meter-reading technology. For optimal solicitation, the meters were divided based on size and quantity needed into three groups: Groups A, Positive Displacement Meters range in sizes 5/8” to 2”; Group B, Electronic Type Meters in sizes 1.5” to 10”; and Group C, Mechanical Meters in sizes 1.5” to 6”.
JUSTIFICATION
DWSD's concentrated efforts to replace aging meters has left stock levels nearly depleted. Meter Operations division is requesting approval to enter into the contracts listed below for a term of four (4) years for the continued replacement of water meters throughout the City of Detroit.
Please see attached document for quantity, pricing, and award information by meter size.
PROCUREMENT METHOD
On March 4, 2019, RFB 468596 was published on MITN (Michigan Intergovernmental Trade Network). The solicitation closed on March 21, 2019 at 3 p.m. Notified of this solicitation through MITN were 122 companies, resulting in five bids: Badger Meter, Inc., EJ Prescott, Inc., Metron-Farnier, Wesco Distribution, and Zenner Performance Meters, Inc.
The solicitation contained 20 water meter sizes. The Procurement Department awarded this solicitation by meter size based on the lowest responsible and responsive bid price.
Note: On May 1, 2019, the Board of Water Commissioners’ Finance Committee recommended award of multiple meter sizes under Group A and Group B to Zenner Performance Meters. However, through subsequent testing, the DWSD Meter Operations discovered it was unable to establish consistent and reliable communications between Zenner Performance Meters’ meter register and DWSD’s meter reading system. As a result, DWSD Meter Operations requested the Procurement Department award to the next responsible and responsive bidders for each meter size: Badger Meter, Inc. and Wesco Distribution, Inc. The planned meter purchases under these competitively solicited contracts remains well below the engineers estimate.
DETAILS
Funding Source: Capital Improvement Projects (CIP) - Water
GL String(s): 5721 20244 487711 645210 003461 30129
Contract Start Date: upon BOWC approval, tentatively, June/July 2019
Contract End Date: June/July 2023
Total Contract Amounts: $4,731,818.31 ($1,182,954.58/FY)