CITY COUNCIL REGLAR MEETING AGENDA PACKET 6-16-26

Page 1 of 4 Item #15 CITY COUNCIL AGENDA REPORT June 16, 2026 Public Works - Utilities Division TITLE: AUTHORIZE THE CITY MANAGER TO ENTER INTO AGREEMENTS WITH CORE & MAIN LP FOR THE WATER METER ADVANCED METERING INFRASTRUCTURE (AMI) CAPITAL EXPENDITURE PROJECT IN AN AMOUNT NOT TO EXCEED $10,262,257 AND THE AMI OPERATION EXPENDITURE SERVICES IN AN AMOUNT NOT TO EXCEED $2,514,096, AND AUTHORIZE A FIVE PERCENT AGGREGATE CONTINGENCY FOR THE WATER METER AND ADVANCED METERING INFRASTRUCTURE REPLACEMENT PROJECT, CIP NO. 26137 SUMMARY The City’s existing water meter and Advanced Metering Infrastructure (AMI) system has experienced widespread failures and has reached the end of its useful life. These failures have resulted in billing inaccuracies, increased water loss, higher maintenance demands, and rising operational costs. Public Works crews are currently replacing up to 300 failed meters per month, and approximately 4,000 meters have been replaced to date. Replacement of the existing water meter and AMI system was identified in the City Council- approved Water System Management Plan (WSMP) and Water Financial Plan as part of the Enhanced Delivery Option. To support the implementation of this effort, the City retained Diameter Services, Inc. in early 2025 to evaluate the existing system, assess replacement options, and assist in developing a procurement strategy for a comprehensive replacement program. In May 2025, the City Council approved a professional services agreement with Diameter Services, Inc. to prepare procurement documents and support the solicitation process for a new water meter and AMI system. Based on that work, the City issued a turnkey-style Request for Proposals (RFP) seeking a qualified firm to provide a reliable and integrated water meter and AMI replacement solution. The RFP was issued on November 19, 2025. Following review of the three proposals received, Core & Main LP was determined to be the most qualified proposer based on the evaluation criteria identified in the solicitation, including qualifications, relevant experience, technical approach, system capabilities, implementation plan, compatibility with the City’s operating and billing systems, and overall value to the City. Staff recommends that the City Council authorize the City Manager to execute an AMI Capital Expenditure Project (CPX) Agreement and an AMI Operations Expenditure (OPX) Agreement with Core & Main LP in amounts not to exceed $10,262,257 and $2,514,096, respectively, and authorize a five percent aggregate contingency for the project for fiscal year (FY) 2025/26 through FY 2029/30 for the CPX Agreement term and a twenty-year agreement term for the OPX Agreement. Page 192 of 443