For Water Subcommittee Meeting October 23, 2024
TO: Honorable Water Subcommittee Members
APPROVAL: John Rossi, Interim Utilities Director
FROM: Toyasha Sebbag, Assistant to the City Manager
...Title
Advanced Metering Infrastructure (AMI) Project Bidding Issues (ACTION)
RECOMMENDATION
Staff recommends that the Water Subcommittee provide feedback on RWS-Veolia Recommendation and Approaches 1 and 2:
1. RWS-Veolia Recommendation: Award a contract to USG Water for a total amount of $8,730,796.75.
2. RUA Approach 1: Direct RWS-Veolia to prepare a Final Construction Work Authorization (FCWA) with USG and award a contract to USG for a total amount of $7,734,339.
3. RUA Approach 2: RWS-Veolia's bidding preparation for the AMI project does not appear to have met prudent industry standards. Their approach has made it challenging for direct comparison of all three vendors. After staff discussion with the City/RUA legal counsel, this could pose grant compliance challenges. Provide feedback that staff negotiate a City/RUA-initiated project with Aqua-Metrics who appeared to be the original lowest and responsive bidder.
4. Provide alternative feedback.
...Body
BACKGROUND
On March 27, 2012, the City Council and Rialto Utility Authority (RUA) took several actions related to the approval of a Concession Agreement (CA) with Rialto Water Services, LP, (RWS), as operated by Veolia West Operating Services, Inc. (Veolia). This public-private partnership assigned the operation and maintenance of the City's water and sewer/wastewater utilities to RWS. Pursuant to Article XII "Water Facility Improvements and Capital Projects" of the CA, certain capital projects were identified by the CA for implementation by RWS. Implementation of the utility capital projects identified in the CA is carried out pursuant to the process outlined in Article XII of the CA.
ANALYSIS/DISCUSSION
The City of Rialto (City) and Rialto Utility Authority (RUA) have secured $8 million in grant funds to imple...
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