CCP 05-29-2001 - Laserfiche WebLink

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CITY OF ARDEN HILLS MEMORANDUM DATE: May 24,2001 TO: Joe Lynch, City Administrator FROM: Terry Post, City Accountant t) SUBJECT: Consideration for Purchase of Unbudgeted Water Utility Capital Item Background When the City of Arden Hills began converting commercial/industrial accounts to radio read technology in 1997, the water utility obtained a used handheld Personal Interrogator(PI)unit from the supplier in order to radio read the new meters. PI's have a purchase cost of approximately $7,500. It was always anticipated that the PI unit would be replaced in the future. Product Development The Badger Water Meter Company has stopped manufacturing, and will only support in an emergency repair sense, the PI model the City is using. Badger is close to releasing a more powerful, and costly, PI. The release of this new product has been delayed. Equipment Alternative The reading alternative to the PI is a"Mini-Mobile Drive"interrogator. This is a powerful, GPS compatible, device that lists for$30,000. Staff has always felt that the mini-mobile is the right long-term reading hardware, but is overpriced. Staff has "borrowed" a corporate mini-mobile the last two utility billing cycles to quality check subcontractor installations. Purchasing Opportunity Badger has several cities coming on line with respect to radio read project installations and is plagued by the delayed release of the new PI model. In order to provide new customers with reading capability, they have discounted the mini-mobile unit 50%to $15,000. This price reduction(through May 31, 2001)has also been made available to the existing customer base. Recommendation Staff recommends that the Arden Hills City Council revise the Water Utility CIP to include an unbudgeted 2001 purchase of a new Badger Mini-Mobile Drive at a cost of$15,000; and further direct staff to place an order for such equipment before May 31, 2001.