TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to a execute contract and any amendments with Eclipse Inc., of Nebraska City, NE, without advertising for bids, to furnish and deliver gas meters and other services and parts, in an annual amount not to exceed $115,000, for a period of two years, with the option to renew for two additional one-year periods, at the discretion of the City Manager, and
DISCUSSION
City Council approval is requested to enter into contracts with Eclipse, Inc. (Eclipse), Meter, Valve & Control (MVC), and Dresser, LLC (Dresser), to furnish and deliver gas meters and other services and parts.
Energy Resources Department (ER) has installed Dresser, Elster American, and Itron natural gas meters for many of its large commercial and industrial customers in Long Beach and Signal Hill. ER's staff is fully trained on the operation, maintenance, and repair of these types of gas meters and parts as these meters have proven reliable and durable. Eclipse is the sole manufacturer and distributor of Elster American meters and regulators used for commercial customers; MVC is the sole distributor of Itron meter equipment used for light-duty commercial and residential customers; and, Dresser is the sole direct source and manufacturer of the Dresser meters and instruments product line. ER requests authorization to execute contracts with Dresser, Eclipse, and MVC to purchase meters, regulators, and miscellaneous parts to be used during the course of business.
City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process if accompanied by a Resolution adopted by the City Council. Each requested contract is the sole source supplier of the associated meter types; therefore, City Council approval is requested to adopt the necessary Resolutions to enter into contracts with Eclipse, MVC, and Dresser.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on May 21, 2018 and by Revenue Management Officer Geraldine Alejo on May 24, 2018.
TIMING CONSIDERATIONS
City Council action is requested on June 12, 2018, to adopt the attached Resolutions and execute contracts concurrently to ensure the contracts are in place expeditiously.
FISCAL IMPACT
The aggregate annual contract amount will not exceed $515,000, and is budgeted in the Gas Fund (EF 301) in the Energy Resources Department (ER). There is no local job impact associated with this recommendation.
BODY
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Respectfully Submitted,
ROBERT M. DOWELL
DIRECTOR OF ENERGY RESOURCES
APPROVED:
PATRICK H. WEST
CITY MANAGER