Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Cassey Ogden
DATE: March 21, 2023
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the City Manager to execute a Professional Services Agreement with Black & Veatch
Corporation, for Advanced Metering Infrastructure Deployment Program Management – Proof of Concept
for the Water Metering Department; providing for the expenditure of funds therefor; and providing an
effective date (RFQ 7574-023 – Professional Services Agreement for planning services awarded to Black
& Veatch Corporation, in the not-to-exceed amount of $185,687.00). The Public Utilities Board
recommends approval (7 - 0).
INFORMATION/BACKGROUND
Water Utilities manages approximately 42,000 water meters in order to manage and record the volume of
water that reaches our many customers. Currently, Denton’s water meters are manually read by workers,
which costs approximately $1.05 per meter per month. Manual meter reads are presented with physical
obstacles, such as standing water, pests, and fences, and they can result in human error, which requires a
more costly re-read to correct and validate the erroneous or missing meter read.
A 2021 Feasibility Study completed by Jacobs Engineering Group highlighted the many cost savings
opportunities of switching to an Advanced Metering Infrastructure (AMI) system, including significantly
reduced cost of reading meters, increased accuracy of reads, reduced vehicle cost, and improved meter
reading accuracy (if static meters are selected). When compared to the cost of implementing an AMI system,
including the cost of replacing all of our water meters, Jacobs calculated an estimated 8.9 percent to 11.0
percent Return on Investment (ROI) and indicated that the investment pays for itself in 11 to 13 years,
compared to a 20-year life cycle of the water meters.
In addition to the tangible benefits, the Feasibility Study identified many intangible benefits of the proposal,
in the form of improved customer service, environmental impacts, planning, and operations. Customers will
experience improved transparency in their water use data, which will help them identify and mitigate their
water leaks and better manage their water-consuming habits. This will in turn have an environmental impact
of improving water conservation and reducing waste. Staff will be able to plan for water capacity needs
more effectively by better understanding daily and hourly customer demand. Operations will be streamlined
by reducing erroneous or missing meter reads, and safety hazards will be reduced by limiting the obstacles
and hazards often faced when accessing a water meter.
DME previously implemented an AMI system starting in 2010. Staff deployed the AMI meters using City
staff and completed the project in 2015. DME continues to manage the meter reading program for both
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
Electric and Water. The AMI options for Water have been slower to develop, due to the meter residing in
an in-ground lidded pit. The Feasibility Study with Jacobs showed that the technology has now advanced
sufficiently, and there are metering manufacturers with a proven track record of cost-effective AMI systems.
The proposed scope of work is a Proof of Concept for Water AMI meters, to include an evaluation of
technologies, an implementation plan, and both an alpha and beta testing phase, and training. The
anticipated project completion is January 1, 2024, according to the proposal provided by the consultant. By
the conclusion of this project, staff expects to have identified a best-fit solution for Denton Water Utilities
and to be prepared for a full-scale AMI rollout to include all Denton water meters, a project which will be
refined and submitted under a separate heading after the conclusion of the Proof of Concept project.
Request for Qualifications for professional engineering services for Water and Wastewater was solicited
using the City’s formal solicitation process. City Council approved a pre-qualified list of engineering firms
on March 23, 2021 (Ordinance 21-546).
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On March 23, 2021, Council approved RFQ 7574 for a prequalified list of professional engineering firms
for Water and Wastewater (Ordinance 21-546).
On March 13, 2023, the Public Utilities Board (PUB) recommended this item to the City Council for
consideration.
RECOMMENDATION
Award a contract with Black & Veatch Corporation, for Advanced Metering Infrastructure Deployment
Program Management – Proof of Concept for the Water Metering Department, in a not-to-exceed amount
of $ 185,687.
PRINCIPAL PLACE OF BUSINESS
Black & Veatch
Fort Worth, TX
SUSTAINABILITY MEASURES
This project is anticipated to improve water conservation and reduce waste through customer data
transparency, and fossil fuel pollution will be mitigated by reduced reliance on vehicles to read and maintain
meters.
Relationship to Sustainability Framework
Focus Area:
Water
Greenhouse Gasses
What are some of the goals the department will be setting up to ensure that the sustainability measures
are met?
Goal 1: Improved water conservation through customer data transparency
Goal 2: Reduced vehicle hours through remote meter reading and reduced re-reads
ESTIMATED SCHEDULE OF PROJECT
This project will be started upon approval with a completion date of January 1, 2024.
FISCAL INFORMATION
These services will be funded from Water Metering account 630465517.1365.40100 Requisition #159120
has been entered into the Purchasing software system in the amount of $185,687. The budgeted amount for
this item is $185,687.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Ordinance and Contract
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Tiffany Sherrane, 940-349-7331.
Legal point of contact: Marcella Lunn at 940-349-8333.