HomeMy WebLinkAbout07 - Water Meter ReplacementSTAFF REPORT
DATE: 7-18-2017
CONSENT
ITEM #:
MOTION
TO: City Council
FROM: Rob Weldon, Public Works Director
AGENDA ITEM: Water Meter Replacement
REVIEWED BY: Kristina Handt, City Administrator
Amy LaBelle, Accountant
BACKGROUND: The City of Lake Elmo provides water to nearly 4,000 residents through 1,300
metered connections, (2016 numbers as reported to MN-DNR). Of the 1,300 metered connections, it has
been discovered that 185 have water meters which have failed and are not recording reads that are
required to create accurate quarterly billing. These accounts and quarterly water usage bills are estimated
and not accurate. Many of the accounts with malfunctioning meters have been estimated for years, if not
decades. Implications from estimated water consumption for a large amount of meters results in improper
billing and inaccurate reporting to MN-DNR for annual water usage, which could result in; loss of
revenue and fines levied to the city.
ISSUE BEFORE COUNCIL: Based on the recommendation of the Finance Committee, should the City
Council approve the purchase of 250 water meters and recommend hiring of an independent contractor to
conduct replacement of failed water meters?
PROPOSAL DETAILS/ANALYSIS: If approved by City Council, a licensed and insured independent
contractor would be hired by the city to change out up to 200 water meters, (185 failed, 15 additional
ageing) that exist in the city’s distribution system. The hired contractor would be responsible for
scheduling, replacement and data entry of the new meters. All of the new meters would be purchased and
inventoried by the city, while failed meters that are removed will be returned to the city. New meters
purchased will also be compatible with the city’s current radio read system.
By hiring and utilizing, an independent contractor to conduct this meter change out it is achievable to
complete the replacement of the failed meters prior to 4th Quarter 2017 utility billing. An undertaking of
this size, is not practical with the current staff size and work load of the Public Works and Finance/Utility
Billing Departments of the city. This will also help simplify utility billing in 2017 and produce more
accurate numbers required for billing and annual reporting.
FISCAL IMPACT: $56,250 meters (250)
$12,800 contractor
$1,000 data entry
Total $70,050
OPTIONS: Approve purchase of meters and contracting out replacement.
Deny purchase of meters and contracting out replacement.
Table for further discussion.
7
RECOMMENDATION:
“Motion to recommend the purchase of 250 water meters and authorize hiring of an independent
contractor to conduct scheduling, replacement and data entry of new water meters.”
ATTACHMENTS:
- Price Quote/Cost Breakdown worksheet
Meter cost for Sensus iPERL meter and radio = $235.00 each Total $47,000
note - this cost would be the same for Public Works or Contractor installation.
Meters would be purchased by the city and stored at Public Works
There is a price brake at 250 meters.$225.00 each Total $56,250
Installation Cost: (includes scheduling)
Midwest Testing = $12,800 plus meters = $59,800
Hydro Corp = $14,980 plus meters = $61,980
Utiliuse = $16,800 plus meters = $63,800
note = Data Entry can be provided by HD Supply for $5/meter, add $1,000 to total price.
Water Meter Replacement Quotes
Prices based on 200 meters