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<br />.. <br /> <br />e <br /> <br />e <br /> <br />e <br /> <br />Memorandum, Residential Water Meter Replacement <br />Page Three <br />April 20, 1999 <br /> <br />Cost Justification for Radio Read <br />The installed cost to the City for radio read meters versus the remote read meters currently used <br />by the City, would be approximately $100 more per meter, or $235,000. Staff would point out <br />some of the anticipated benefits of the radio read technology: <br /> <br />I. Currently, it costs the City an average of 240 man hours at $25.82 per hour <br />(including overhead and benefits), or $6,200 per quarter to read the residential <br />water meters. Staff estimates this time would be reduced to 16 man hours at <br />$25.82 per hour, or $415 per quarter, resulting in a savings of $5,800 per quarter. <br /> <br />This would also provide an estimated 224 man-hours per quarter for Public Works <br />employees to perform higher-skilled jobs that the City needs to accomplish, and is <br />not currently able to perform due to time and man power constraints. <br /> <br />2. <br /> <br />Currently, during each quarterly reading process, approximately forty (40) meters <br />(1.5%) are identified for accuracy problems. These could consist of misreads <br />(obvious readings registering too high or too low); no readings or meters stopped; <br />damage to remote reader, etc. In each case, a return visit is required and, in many <br />cases, appointments need to be made to access the actual meter and verify the <br />accuracy of the remote reader. This often results in another 40 man-hours per <br />quarter for this effort. <br /> <br />3. The radio read system interrogates the meter directly, and does not go through a <br />remote mounted system. Thus, if the meter is operating, accuracy is not an issue. <br /> <br />4. The City performs an average of twelve (12) final reads per month. (Finals are <br />required when property ownership is transferred on or close to the closing date). <br />At the time of a final read, an appointment is also needed to enter the residence <br />and read the actual meter, as often the meter and the remote reader are not in sync. <br />If this is the case, the meter itself, the remote reader or both may need <br />replacement. <br /> <br />Installation <br />With the older meters typically on the south end oftown, the City would replace those meters <br />first. With approximately fifty percent (50%) of the City residences on each side of the <br />Minneapolis/St. Paul Sault Saint Marie Railroad, this would be the natural dividing line. <br />