HomeMy WebLinkAbout2012-06-05; Municipal Water District; 753; Award Contract Purchases of Water MetersCARLSBAD MUNICIPAL WATER DISTRICT - AGENDA B
AB#
MTG.
DEPT.
753
6/5/12
UTIL
AWARD OF CONTRACT FOR
PURCHASES OF WATER METERS
DEPT. DIRECTOR
GEN COUNSEL
EXEC DIR.
RECOMMENDED ACTION:
Adopt Resolution No. 1443 accepting the bid and awarding a contract to Badger
Meter Inc., for purchases of Domestic Service Cold Water Meters, Bid No. 12-08A (Rebid).
ITEM EXPLANATION:
In FY 2009/10, to ensure accurate water accounting and revenue collection, the Carlsbad
Municipal Water District (CMWD) implemented a water meter replacement program and
installation of automatic meter reading (AMR) components. Purchase and installation of the
meters and AMR components was contracted to a third party and by 2011, 5,842 meter
assemblies were installed. After considerable research, staff determined that the cost of the
water meters would be reduced if purchased direct from the manufacturer or distributor. Staff
believed that a competitive bid process would provide the lowest possible cost and overall best
value, and on March 13, 2012, the contract with the third party meter installer was rescinded.
On April 25, 2012, the Purchasing Department published a Notice Requesting Bids for
approximate quantities of several sizes of Domestic Service Cold Water Meters. Three bids
were received, opened, witnessed and recorded on May 17, 2012. The companies submitting
bids were; Mueller Systems, Elster/AMCO LLC and Badger Meter Inc. The bids were reviewed
by the Meter Services Division of the Utilities Department and in accordance with the Municipal
Code, a best value evaluation was completed. Each supplier's bid was evaluated against the
following criteria:
• Cost
• Responsiveness to specifications
• References
• Unspecified value added offerings
• Delivery wait time
Based on the approximate quantities of water meters requested. Badger Meter Inc. received
the highest best value score for all meter sizes. Based upon the results of the best value
evaluation, staff recommends that the Board accept the bid and award a contract to Badger
Meter Inc. for all water meter sizes.
DEPARTMENT CONTACT: Mario Remillard, 760-438-2722 mario.remillard@carlsbadca.gov
FOR SECRETARY'S USE ONLY.
BOARD ACTION: APPROVED CONTINUED TO DATE SPECIFIC •
DENIED a CONTINUED TO DATE UNKNOWN •
WITHDRAWN • RETURNED TO STAFF •
AMENDED • BOARD RECEIVED THE •
REPORT/PRESENTATION
OTHER-SEE MINUTES •
Page Two
FISCAL IMPACT:
The cost to purchase meters for the remainder of FY 2011-2012 is $241,860. Sufficient funds
have previously been appropriated for this purchase. Staff is requesting approval to purchase
meters in FY 2012-2013 when funds are appropriated in July 2013 as part of the regular annual
operating budget. The cost to purchase meters in FY 2012-2013 is approximately $698,950.
The maximum annual amount is $1.5 million that will vary by year but will not exceed that
amount. Pursuant to the meter contract, the District is not required to purchase meters if funds
are not available.
FY 2011/2012 FY 2012/2013 Total
Meters $241,860 $698,090 $939,950
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code Section 21065, this action does not constitute a "project"
within the meaning of CEQA in that it has no potential to cause either a direct physical
change in the environment, or a reasonably foreseeable indirect physical change in the
environment, and therefore does not require environmental review.
EXHIBITS:
1. Resolution No. 1443 . accepting the bid and awarding a contract to
Badger Meter Inc. for purchases of Domestic Service Cold Water Meters, Bid No. 12-
08A (Rebid).
2. Agreement for Domestic Service Cold Water Meter Purchases with Badger Meter, Inc.
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EXHIBIT 1
1 RESOLUTION NO. 1443
2 A RESOLUTION OF THE CARLSBAD MUNICIPAL WATER
DISTRICT BOARD OF DIRECTORS OF CARLSBAD,
3 CALIFORNIA, TO AWARD CONTRACT FOR PURCHASES OF
WATER METERS
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5 II
^ WHEREAS, in FY 2009/10 the CMWD implemented a water meter replacement
^ program and installation of automatic meter reading (AMR) components; and
Q WHEREAS, purchase and installation of the meters and AMR components was
9 contracted to a third party and by 2011, 5,842 meter assemblies were installed; and
10 WHEREAS, staff determined that the cost of the water meters and AMR
1 components would be reduced if purchased direct from a manufacturer or distributor;
and
WHEREAS, on March 13, 2012 the contract with the third party meter installer
was rescinded; and
WHEREAS, on April 25, 2012 the Purchasing Department published a Notice
Requesting Bids for approximate quantities of several sizes of Domestic Service Cold
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^ g Water Meters; and
19 WHEREAS, three bids were received, opened, witnessed and recorded on May
20 17, 2012; and
21 WHEREAS, Badger Meter, Inc. received the highest best value score for all
22 meter sizes; and
WHEREAS, it is recommended that the Board accept the bid and award a
contract to Badger Meter, Inc. for all water meter sizes.
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NOW, THEREFORE, BE IT RESOLVED by the Carlsbad Municipal Water
District Board of Directors of the City of Carlsbad, California, as follows:
1. That the above recitations are true and correct.
2. That the Carlsbad Municipal Water District Board of Directors awards
contract for purchases of domestic service cold water meters to Badger Meter, Inc.
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PASSED, APPROVED AND ADOPTED at a Special Meeting of the Board of
Directors of the Carlsbad Municipal Water District of the City of Carlsbad on the 5^^ day
of June, 2012, by the following vote to wit:
AYES: Board Members Hall, Kulchin, Blackburn, Douglas and Packard.
NOES: None.
ABSENT: None.
•MM-MATT HALL, President
ATTEST:
UTIL864
AGREEMENT FOR DOMESTIC SERVICE COLD WATER METER PURCHASES
(BADGER METER INC.)
THIS AGREEMENT is made and entered into as of the 6^ day of
^C/Ag. , 2012, by and between the CARLSBAD MUNICIPAL WATER
DISTRICT, a Public Agency organized under the Municipal Water Act of 1911, and a Subsidiary
District of the City of Carlsbad, ("CMWD"), and BADGER METER INC., a Wisconsin
corporation, ("Contractor").
RECITALS
A. CMWD requires the services of a domestic service cold water meter
manufacturer and/or supplier that is experienced in providing domestic positive displacement
cold water meters sizes 5/8, 3/4 1,1 Vi and 2 inch. And turbo type cold water meters sizes 1 Vz
and 2 inch.
B. Contractor has the necessary experience in providing professional services and
advice related to domestic positive displacement cold water meters sizes 5/8, 3/4 1, 1 S4 and 2
inch. And turbo type cold water meters sizes 1 14 and 2 inch.
C. Contractor has submitted a proposal to CMWD and has affirmed its willingness
and ability to supply the water meters.
NOW, THEREFORE, in consideration of these recitals and the mutual covenants
contained herein, CMWD and Contractor agree as follows:
1. SCOPE OF WORK
CMWD retains Contractor to perform, and Contractor agrees to render, those services (the
"Services") that are defined in attached Exhibit "A", which is incorporated by this reference in
accordance with this Agreement's terms and conditions.
2. STANDARD OF PERFORMANCE
While performing the Services, Contractor will exercise the reasonable professional care and
skill customarily exercised by reputable members of Contractor's profession practicing in the
Metropolitan Southern California Area, and will use reasonable diligence and best judgment
while exercising its professional skill and expertise.
3. TERM
The term of this Agreement will be effective for a period of one (1) year from the date first above
written. The Executive Manager may amend the Agreement to extend it for four (4) (additional
one (1) year periods or parts thereof in an amount not to exceed one million five hundred
seventy three thousand one hundred twenty three dollars ($1,573,123) per Agreement year.
Extensions will be based upon a satisfactory review of Contractor's performance, CMWD needs,
and appropriation of funds by the CMWD Board of Directors. The parties will prepare a written
amendment indicating the effective date and length of the extended Agreement.
4. TIME IS OF THE ESSENCE
Time is of the essence for each and every provision of this Agreement.
5. COMPENSATION
Contract shall provide domestic positive displacement cold water meters sizes 5/8, 3/4, 1, 1 14
and 2 inch and turbo type cold water meters sizes 1 V2 and 2 inch. Per the unit prices not to
exceed one million five hundred seventy three thousand one hundred twenty three dollars
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($1,573,123) per Agreement year as contained on the Bid Proposal page of Exhibit "A". No
other compensation for the Services will be allowed except for items covered by subsequent
amendments to this Agreement. CMWD reserves the right to withhold a ten percent (10%)
retention until CMWD has accepted the work and/or Services specified in Exhibit "A".
6. STATUS OF CONTRACTOR
Contractor will perform the Services in Contractor's own way as an independent contractor and
in pursuit of Contractor's independent calling, and not as an employee of CMWD. Contractor will
be under control of CMWD only as to the result to be accomplished, but will consult with CMWD
as necessary. The persons used by Contractor to provide services under this Agreement will not
be considered employees of CMWD for any purposes.
The payment made to Contractor pursuant to the Agreement will be the full and complete
compensation to which Contractor is entitled. CMWD will not make any federal or state tax
withholdings on behalf of Contractor or its agents, employees or subcontractors. CMWD will not
be required to pay any workers' compensation insurance or unemployment contributions on
behalf of Contractor or its employees or subcontractors. Contractor agrees to indemnify CMWD
and the City of Carlsbad within thirty (30) days for any tax, retirement contribution, social
security, overtime payment, unemployment payment or workers' compensation payment which
CMWD may be required to make on behalf of Contractor or any agent, employee, or
subcontractor of Contractor for work done under this Agreement. At CMWD's election, CMWD
may deduct the indemnification amount from any balance owing to Contractor.
7. SUBCONTRACTING
Contractor will not subcontract any portion of the Services without prior written approval of
CMWD. If Contractor subcontracts any of the Services, Contractor will be fully responsible to
CMWD for the acts and omissions of Contractor's subcontractor and of the persons either
directly or indirectly employed by the subcontractor, as Contractor is for the acts and omissions
of persons directly employed by Contractor. Nothing contained in this Agreement will create any
contractual relationship between any subcontractor of Contractor and CMWD. Contractor will be
responsible for payment of subcontractors. Contractor will bind every subcontractor and every
subcontractor of a subcontractor by the terms of this Agreement applicable to Contractor's work
unless specifically noted to the contrary in the subcontract and approved in writing by CMWD.
8. OTHER CONTRACTORS
CMWD reserves the right to employ other Contractors in connection with the Services.
9. INDEMNIFICATION
Contractor agrees to indemnify and hold harmless CMWD, and the City, and its officers,
officials, employees and volunteers from and against all claims, damages, losses and expenses
including attorney's fees arising out of the performance of the work described herein caused by
any negligence, recklessness, or willful misconduct of the Contractor, any subcontractor,
anyone directly or indirectly employed by any of them or anyone for whose acts any of them
may be liable.
The parties expressly agree that any payment, attorney's fee, costs or expense CMWD and the
City incurs or makes to or on behalf of an injured employee under the City's self-administered
workers' compensation is included as a loss, expense or cost for the purposes of this section,
and that this section will survive the expiration or early termination of this Agreement.
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10. INSURANCE
Contractor will obtain and maintain for the duration of the Agreement and any and all
amendments, insurance against claims for injuries to persons or damage to property which may
arise out of or in connection with performance of the services by Contractor or Contractor's
agents, representatives, employees or subcontractors. The insurance will be obtained from an
insurance carrier admitted and authorized to do business in the State of California. The
insurance carrier is required to have a current Best's Key Rating of not less than "A-:VII", OR
with a surplus line insurer on the State of California's List of Eligible Surplus Line Insurers
(LESLI) with a rating in the latest Best's Key Rating Guide of at least "A:X".
10.1 Coverages and Limits.
Contractor will maintain the types of coverages and minimum limits indicated below, unless the
Risk Manager or Executive Manager approves a lower amount. These minimum amounts of
coverage will not constitute any limitations or cap on Contractor's indemnification obligations
under this Agreement. CMWD, its officers, agents and employees make no representation that
the limits of the insurance specified to be carried by Contractor pursuant to this Agreement are
adequate to protect Contractor. If Contractor believes that any required insurance coverage is
inadequate. Contractor will obtain such additional insurance coverage, as Contractor deems
adequate, at Contractor's sole expense.
10.1.1 Commercial General Liability Insurance. $1,000,000 combined single-limit
per occurrence for bodily injury, personal injury and property damage. If the submitted policies
contain aggregate limits, general aggregate limits will apply separately to the work under this
Agreement or the general aggregate will be twice the required per occurrence limit.
10.1.2 Automobile Liabilitv (if the use of an automobile is involved for Contractor's
work for CMWD). $1,000,000 combined single-limit per accident for bodily injury and property
damage.
10.1.3 Workers' Compensation and Employer's Liabilitv. Workers' Compensation
limits as required by the California Labor Code. Workers' Compensation will not be required if
Contractor has no employees and provides, to CMWD's satisfaction, a declaration stating this.
10.1.4 Professional Liabilitv. Errors and omissions liability appropriate to
Contractor's profession with limits of not less than $1,000,000 per claim. Coverage must be
maintained for a period of five years following the date of completion of the work.
If box is checked. Professional Liability
CMWD's Initials Contractor's Initials I 1 Insurance requirement is waived.
10.2. Additional Provisions. Contractor will ensure that the policies of insurance required under
this Agreement contain, or are endorsed to contain, the following provisions:
10.2.1 CMWD will be named as an additional insured on Commercial General
Liability which shall provide primary coverage to CMWD.
10.2.2 Contractor will obtain occurrence coverage, excluding Professional Liability,
which will be written as claims-made coverage.
10.2.3 This insurance will be in force during the life of the Agreement and any
extensions of it and will not be canceled without thirty (30) days prior written notice to CMWD
sent by certified mail pursuant to the Notice provisions of this Agreement.
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10.3 Providing Certificates of Insurance and Endorsements. Prior to CMWD's execution of
this Agreement, Contractor will furnish certificates of insurance and endorsements to CMWD.
10.4 Failure to Maintain Coverage. If Contractor fails to maintain any of these insurance
coverages, then CMWD will have the option to declare Contractor in breach, or may purchase
replacement insurance or pay the premiums that are due on existing policies in order to
maintain the required coverages. Contractor is responsible for any payments made by CMWD
to obtain or maintain insurance and CMWD may collect these payments from Contractor or
deduct the amount paid from any sums due Contractor under this Agreement.
10.5 Submission of Insurance Policies. CMWD reserves the right to require, at any time,
complete and certified copies of any or all required insurance policies and endorsements.
''I- BUSINESS LICENSE
Contractor will obtain and maintain a City of Carlsbad Business License for the term of the
Agreement, as may be amended from time-to-time.
12. ACCOUNTING RECORDS
Contractor will maintain complete and accurate records with respect to costs incurred under this
Agreement. All records will be clearly identifiable. Contractor will allow a representative of
CMWD during normal business hours to examine, audit, and make transcripts or copies of
records and any other documents created pursuant to this Agreement. Contractor will allow
inspection of all work, data, documents, proceedings, and activities related to the Agreement for
a period of three (3) years from the date of final payment under this Agreement.
13. OWNERSHIP OF DOCUMENTS
All work product produced by Contractor or its agents, employees, and subcontractors pursuant
to this Agreement is the property of CMWD. In the event this Agreement is terminated, all work
product produced by Contractor or its agents, employees and subcontractors pursuant to this
Agreement will be delivered at once to CMWD. Contractor will have the right to make one (1)
copy of the work product for Contractor's records.
14. COPYRIGHTS
Contractor agrees that all copyrights that arise from the services will be vested in CMWD and
Contractor relinquishes all claims to the copyrights in favor of CMWD.
15. NOTICES
The name of the persons who are authorized to give written notices or to receive written notice
on behalf of CMWD and on behalf of Contractor under this Agreement.
For CMWD
Name
Title
Address
Mario Remillard
Public Works Supervisor
Carlsbad Municipal Water District
5950 El Camino Real
Carlsbad CA 92008
Phone 760 438 2722 ext 7153
For Contractor
Name Theresa M. Szafranski
Title
Address
Phone
E-mail
Assistant Secretary
4545 W. Brown Deer Road
PO Box 245036
Milwaukee Wl 53224-9536
800 876 3837 ext 15896
bids@badgermeter.com
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Each party will notify the other immediately of any changes of address that would require any
notice or delivery to be directed to another address.
16. GENERAL COMPLIANCE WITH LAWS
Contractor will keep fully informed of federal, state and local laws and ordinances and
regulations which in any manner affect those employed by Contractor, or in any way affect the
performance of the Services by Contractor. Contractor will at all times observe and comply with
these laws, ordinances, and regulations and will be responsible for the compliance of
Contractor's services with all applicable laws, ordinances and regulations.
Contractor will be aware of the requirements of the Immigration Reform and Control Act of 1986
and will comply with those requirements, including, but not limited to, verifying the eligibility for
employment of all agents, employees, subcontractors and consultants that the services required
by this Agreement.
17. DISCRIMINATION AND HARASSMENT PROHIBITED
Contractor will comply with all applicable local, state and federal laws and regulations prohibiting
discrimination and harassment.
18. DISPUTE RESOLUTION
If a dispute should arise regarding the performance of the Services the following procedure will
be used to resolve any questions of fact or interpretation not othenA^ise settled by agreement
between the parties. Representatives of Contractor or CMWD will reduce such questions, and
their respective views, to writing. A copy of such documented dispute will be fon/varded to both
parties involved along with recommended methods of resolution, which would be of benefit to
both parties. The representative receiving the letter will reply to the letter along with a
recommended method of resolution within ten (10) business days. If the resolution thus
obtained is unsatisfactory to the aggrieved party, a letter outlining the disputes will be fonA/arded
to the Executive Manager. The Executive Manager will consider the facts and solutions
recommended by each party and may then opt to direct a solution to the problem. In such
cases, the action of the Executive Manager will be binding upon the parties involved, although
nothing in this procedure will prohibit the parties from seeking remedies available to them at law.
19. COVENANTS AGAINST CONTINGENT FEES
Contractor warrants that Contractor has not employed or retained any company or person, other
than a bona fide employee working for Contractor, to solicit or secure this Agreement, and that
Contractor has not paid or agreed to pay any company or person, other than a bona fide
employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration
contingent upon, or resulting from, the award or making of this Agreement. For breach or
violation of this warranty, CMWD will have the right to annul this Agreement without liability, or,
in its discretion, to deduct from the Agreement price or consideration, or othenA^ise recover, the
full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee.
20. CLAIMS AND LAWSUITS
By signing this Agreement, Contractor agrees that any agreement claim submitted to CMWD
must be asserted as part of the agreement process as set forth in this Agreement and not in
anticipation of litigation or in conjunction with litigation. Contractor acknowledges that if a false
claim is submitted to CMWD, it may be considered fraud and Contractor may be subject to
criminal prosecution. Contractor acknowledges that California Government Code sections
12650 et seg.. the False Claims Act applies to this Agreement and, provides for civil penalties
where a person knowingly submits a false claim to a public entity. These provisions include
false claims made with deliberate ignorance of the false information or in reckless disregard of
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the truth or falsity of information. If CMWD seeks to recover penalties pursuant to the False
Claims Act, it is entitled to recover its litigation costs, including attorney's fees. Contractor
acknowledges that the filing of a false claim may subject Contractor to an administrative
debarment proceeding as the result of which Contractor may be prevented to act as a
Contractor on any public work or improvement for a period of up to five (5) years. Contractor
acknowledges debarment by another jurisdiction is grounds for CMWD to terminate this
Agreement.
21. JURISDICTIONS AND VENUE
Any action at law or in equity brought by either of the parties for the purpose of enforcing a right
or rights provided for by this Agreement will be tried in a court of competent jurisdiction in the
County of San Diego, State of California, and the parties waive all provisions of law providing for
a change of venue in these proceedings to any other county.
22. SUCCESSORS AND ASSIGNS
It is mutually understood and agreed that this Agreement will be binding upon CMWD and
Contractor and their respective successors. Neither this Agreement or any part of it nor any
monies due or to become due under it may be assigned by Contractor without the prior consent
of CMWD, which shall not be unreasonably withheld.
23. ENTIRE AGREEMENT
This Agreement, together with any other written document referred to or contemplated by it,
along with the purchase order for this Agreement and its provisions, embody the entire
Agreement and understanding between the parties relating to the subject matter of it. In case of
conflict, the terms of the Agreement supersede the purchase order. Neither this Agreement nor
any of its provisions may be amended, modified, waived or discharged except in a writing
signed by both parties.
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25. AUTHORITY
The individuals executing this Agreement and the instruments referenced in it on behalf of
Contractor each represent and warrant that they have the legal power, right and actual authority
to bind Contractor to the terms and conditions of this Agreement.
CONTRACTOR
BADGER METER, INC., a Wisconsin
corporation
By:
here)
Bic^d g. Johnson
JL
(signMre)
Theresa M. Szafranski
fprmfname/
CARLSBAD MUNICIPAL WATER DISTRICT,
a Public Agency organized under the
Municipal Water Act of 1911, and a
Subsidiary District of the City of Carlsbad
By:
President
ATTEST:
JN
Secretary
If required by CMWD, proper notarial acknowledgment of execution by contractor must be
attached. If a corporation. Agreement must be signed by one corporate officer from each of the
following two groups.
Group A
Chairman,
President, or
Vice-President
Group B
Secretary,
Assistant Secretary,
CFO or Assistant Treasurer
Otherwise, the corporation must attach a resolution certified by the secretary or assistant
secretary under corporate seal empowering the officer(s) signing to bind the corporation.
APPROVED AS TO FORM:
RONALD R. BALL, General Counsel
By:
Assistant General Cbunsel
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CALIFORNIA NOTARY IN CORPORATE FORM
STATE OF WISCONSIN )
COUNTY OF MILWAUKEE) ss
On May 23, 2012, before me, Rebecca L. Loomans, Notary Public, personally appeared Richard
E. Johnson, Senior Vice President-Finance, CFO and Treasurer and Theresa M. Szafranski,
Assistant Secretary who proved to me on the basis of satisfactory evidence to be the persons
whose name is subscribed to the within instrument and acknowledged to me that they executed
the same in their authorized capacity, and that by their signature(s) on the instrument the person,
or the entity upon behalf of which the person acted, executed the instrument.
Witness my hand and official seal.
Notary Public in the State of Wisconsin v^'^V ^ \- • 0^'%
My Commission Expires: l^Jj///y
^ OF W\?'^^
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EXHIBIT "A"
BID PROPOSAL - DOMESTIC SERVICE COLD WATER METER PURCHASE
WATER METERS UNIT PRICE
5/8" x 3/4" x 7 1/2" Meter without connections $66.80
3/4" x 3/4" x 9" Meter without connections $97.25
3/4" x 3/4" x 7 1/2" Short meter without connections $97.25
1" x 10 3/4" Meter without connections $120.80
1 1/2" x 13" Flanged meter without connections $256.50
2" X 17" Flanged meter without connections $379.00
1 1/2" X 13" Turbine meter without connections $555.00
2" X 17" Turbine meter without connections $579.00
Bidder's Stated Delivery Time
32 days after receipt of order.
Specifications and General Provisions
Specifications and general provisions as published in the Request for Bid number 12-08A
(Rebid) dated April 2012 titled "Domestic Service Cold Water Meters", shall apply to this
agreement. The Contractor's bid response also applies.
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