TITLE
Recommendation to adopt resolution authorizing City Manager to execute an agreement with Elster American Meter to provide residential and light industrial meter equipment and various parts in an amount up to $500,000. The term of the contract will be for one year with the option for two additional one-year extension periods, which will be executed at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is requested to enter into an agreement with Elster American Meter (Elster) for the purchase of residential and light industrial meter equipment and various parts to be utilized by the Long Beach Gas and Oil Department (LBGO) for the safe and efficient delivery of natural gas to LBGO customers in Long Beach and Signal Hill.
Elster is the sole manufacturer and distributor of this proprietary meter equipment, on which LBGO has standardized operations. In order to reduce stock requirements for multiple types of equipment, and avoid additional training requirements for staff, LBGO is requesting to purchase these items from Elster without advertising for bids.
This matter was reviewed by Deputy City Attorney Richard Anthony on December 4, 2007 and by Budget Management Officer Victoria Bell on December 6, 2007.
TIMING CONSIDERATIONS
City Council approval is requested on January 8, 2008 to authorize the purchase of necessary meter equipment for the repair and maintenance of the City’s gas supply system.
FISCAL IMPACT
The cost of this agreement, in the amount not to exceed $500,000, is included in the Gas Fund (EF 301) and in the Long Beach Gas and Oil Department (EN). LBGO customer charges compensate for the cost of equipment used to provide a safe gas supply system.
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LONG BEACH AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH ELSTER AMERICAN METER WITHOUT ADVERTISING FOR BIDS FOR
FURNISHING ELSTER AMERICAN GAS REGULAT...
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