Explanation
This ordinance is to modify and extend 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 primary user. In 1987, Ordinance 2886-87 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 2014, Ordinance 1347-2014 was passed to modify the contract to allow for the addition of 100W Itron Electronic transmitters to the contract and to allow for two additional 1 yr. contract extensions through September 30, 2017. 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. In 2017 Ordinance 1995-2017 was passed to modify and extend the contract to September 30, 2018 and 4 additional 1 year extensions.
The Division of Water is currently continuing its Automated Meter Infrastructure (AMI) system planning efforts. Until a system is procured and implemented, the City must continue using our present Itron meter reading system to efficiently and effectively collect customer water consumption information in order to maintain accurate and timely billing. In addition to the maintenance and repair services, this modification will also add additional Itron equipment. This contract will allow for 4 additional 1 year contract extensions beyond September 28, 2023 on contract # FL003623 to allow the Division of Water time to implement a future AMI system.
Itron, Inc., CC# 010740, Expires 09/1/2023
Estimated Annual Expenditure: $600,000.00, Department of Public Utilities
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.
Emergency Designation: The Finance and Management Department respectfully requests this legislation be considered an emergency ordinance to ensure that there is no interruption in the data capturing system.
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.
Title
To authorize the Finance and Management Director 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 is necessary to purchase upgraded equipment and additional 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, it is necessary to modify the contract to add upgraded equipment; and
WHEREAS, it is also necessary to modify the contract to extend until September 30, 2023 and to allow for the four (4) additional one year extensions; 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 authorize the Finance and Management Director to modify FL003623 with Itron, Inc. to maintain an uninterrupted supply of products and 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 contract FL003623 with Itron, Inc., to add and/or upgrade equipment, software and maintenance and to extend the contract to expire September 30, 2023 with four (4) additional one-year extensions in accordance with the modification agreed to by both Itron, Inc. and the City.
SECTION 2. That this modification is in accordance with relevant provisions of Chapter 329 of the Columbus City Code.
SECTION 3. That for the reason 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.