Explanation
This ordinance is to modify an existing sole source option contract for the continued purchase of software, companion equipment and maintenance for an existing data capturing system for the Division of Water, the sole user. In 1988, Ordinance 0587-2005 was passed authorizing the purchase of equipment from Itron, Incorporated for a data capturing system against contract number CT-09367. In 2005, Ordinances 0587-2005 and 1019-2005 were passed authorizing the purchase of new equipment from Itron, Inc. and modifying the contract (CT-09367/PR029519), to identify Itron, Inc. as a sole source provider for maintenance of the data capturing system used by the Power & Water Division for meter reading and billing. In 2007, Ordinance 0739-2007 was passed to include Universal Term Contract language and allow for multi-year extensions available through September 30, 2015. In 2008 and 2012, Ordinances 0385-2008 and 1333-2012 were passed to allow for the purchase of software, companion equipment, and maintenance that Itron no longer supported.
The Division of Water is currently preparing to advertise an RFP for consulting services to guide the division toward the implementation of an automated metering system. Until the decision is made as to the future direction for the Division of Water's metering infrastructure it is extremely important that we continue utilizing our present system for data gathering. Our present hardware and software system is maintained by Itron, Inc. It is necessary to continue to purchase hardware for data gathering and have both the hardware and software maintained. The Division of Water is requesting an extension for an additional two years beyond September 30, 2015 on contract (FL003623). This modification will also provide for the addition of software, companion equipment, and maintenance that Itron no longer supports. This modification will allow for the addition of 100W Itron Electronic Transmitters to the contract and allow for two additional 1 yr. contract extensions beyond September 30, 2015 to allow the Division of Water time to establish a contract necessary to establish a plan for an automated metering system.
Itron, Inc., CC#911011792, Expires 04/11/2016
Estimated Annual Expenditure: $600,000.00
1. Amount of additional funds: No additional funds are necessary to modify the contract.
2. Reason additional needs were not foreseen: It is necessary to purchase upgraded equipment to replace existing obsolete equipment. The upgraded equipment is not currently listed on the contract. Additional software and maintenance is also needed to operate the meter reading system.
3. Reason other procurement processes not used: Itron is the sole source provider for the equipment, software and services. It is necessary to purchase Itron products only due to the water meter reading system currently in use.
4. How cost was determined: Prices for the new equipment and software was obtained through quotes from Itron. The software and maintenance is based on standard pricing.
FISCAL IMPACT: No additional monies are required to modify this option contract. The Public Utilities Department, Division of Water must set aside their own funding for their estimated expenditures.
In order to maintain an uninterrupted supply of services to the Water Division through this Universal Term Contract and open Purchase Orders, this ordinance is being submitted as an emergency.
Title
To modify and extend the Water Meter Reading Equipment, Software and Services Universal Term Contract with Itron, Inc. for the option to upgrade equipment, software and maintenance and to declare an emergency.
Body
WHEREAS, the Finance and Management/Purchasing Office established contract FL003623 with Itron, Inc. for the Department of Public Utilities in order to purchase water meter reading equipment, software and maintenance; and
WHEREAS, it was necessary to purchase upgraded equipment and additiional software and maintenance from Itron, Inc. through this contract in order to maintain the water meter reading services, and Itron, Inc. is the sole source provider for the equipment, software and maintenance; and
WHEREAS, FL003623 allows for the purchase of upgraded equipment and it is necessary to modify the contract to add 100W Itron Electronic Transmitters at $67.70 each to the contract; and
WHEREAS, it is also necessary to modify the contract to allow for two additional one year extensions beyond the September 30, 2015 date currently available under the contract; and
WHEREAS, an emergency exists in the usual daily operations of the Department of Public Utilities, Water Division, in that it is immediately necessary to modify FL003623 with Itron, Inc. to maintain an uninterrupted supply of services, thereby preserving the public health, peace, property, safety, and welfare, now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director is hereby authorized to modify the contract, FL003623, with Itron, Inc., to add equipment, upgrade equipment, software and maintenance and to extend the contract for two additional one-year extensions in accordance with the modification agreed to by both Itron, Inc. and the City.
SECTION 2. That Itron, Inc. is the sole source provider of meter reading equipment, software and maintenance for the Department of Public Utilities due to the meter reading system currently in use.
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.