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AMENDMENT NO. FIVE TO CONTRACT NO. K-0708-42: BY AND BETWEEN THE NORMAN UTILITIES AUTHORITY AND RJN GROUP, INC., IN AN AMOUNT NOT-TO-EXCEED $161,780 TO PROVIDE PERMANENT WASTEWATER FLOW METERING SERVICES AND EXTENDING THE CONTRACT UNTIL AUGUST 27, 2014.
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BACKGROUND: In March 2002, the Norman Utilities Authority (NUA) approved Contract K-0102-50 with RJN Group, Inc. (RJN) which began a program to measure wastewater flows from satellite collection systems. Satellite systems are privately-owned wastewater collection systems that discharge into the NUA system. The scope of services included metering equipment selection, installation, calibration, software for data collection and reporting, and a one-year maintenance contract which ended March 31, 2003. The program began with the installation of 10 flow meters at discharge points serving the University of Oklahoma (OU). The wastewater metering program results in approximately $600,000 in revenues annually. The contract was amended several times to authorize continued maintenance, data collection, and reporting. Historically, RJN has been the only interested firm and they continue to provide a competitive price due to familiarity with the equipment, software and metering locations.
After five years, a Request for Proposal (RFP) was forwarded to interested engineering firms. On August 28, 2007, Contract K-0708-42 for Permanent Wastewater Flow Metering services was awarded to RJN in an annual amount not to exceed $150,000. Under Contract K-0708-42, additional unit prices were provided to perform meter maintenance, if necessary, and to install a total of 19 meters. Additional meters were installed at discharge points from several satellite systems such as mobile home parks and apartment complexes, to determine if permanent meters were justified at these locations. Additional meters also were installed to determine existing wastewater flows prior to improvements under the Sewer Maintenance Program (SMP). Post-construction flows in these areas are also measured to determine the effectiveness of the sewer main replacements.
On August 28, 2008, the NUA approved Amendment 1 to the RJN contract extending the unit prices in the original contract through August 28, 2009. On August 25, 2009, the NUA approved Amendment 2 extending the contract through August 28, 2010 and allowing a price increase from $390 to $405 per meter per month. On August 28, 2010, the NUA approved Amendment 3 extending the contract through August 28, 2011 and allowing a 2% price increase from $405 to $412 per meter per month. Amendment 4 extended the contract for a two-year period through August 27, 2013 and allowed a 3% price increase from $412 to $424 per meter per month.
DISCUSSION: For proposed Amendment 5, staff requested that RJN provide costs for a one-year period ending August 27, 2014. The new unit price for data collection and reporting will increase 3% from $424 to $437 per meter per month. The proposed “not to exceed” contract amount of $161,780 is based on a total of 20 meters and a contract duration of 12 months, and provides funding for initial installations and meter repairs.
The Fiscal Year Ending (FYE) 2014 budget includes an appropriation of $150,000 for wastewater flow metering. Combining these funds with encumbered funds carried forward from FYE13 provides a current balance of $244,592 in the Sewer Maintenance Fund, Professional Services (account 321-5552-432.40-99).
RECOMMENDATION: Staff recommends approval of Amendment 5 to Contract K-0708-42 with RJN Group, Inc. to perform extended wastewater flow monitoring services through August 27, 2014, in an amount not to exceed $161,780.
Funds are available in Sewer Maintenance Fund - Professional Services (account 321-5552-432.40-99)