City Council Meeting - FINAL


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  6.C.       
Meeting Date: 07/06/2021  

Information
TITLE:
Consideration and Approval of Contract:  Water Loading Station Installation and Maintenance Contract with Flowpoint Environmental Systems, Inc.
STAFF RECOMMENDED ACTION:
  1. Approve the Water Loading Station Installation and Maintenance Contract with Flowpoint Environmental Systems, Inc., in the amount of $73,528.97, plus applicable tax, $6,000.00 annually for software maintenance, and time and materials for hardware maintenance; and
  2. Authorize the City Manager to execute the necessary documents.
Executive Summary:
Staff is seeking Council approval of a Water Loading Station Installation and Maintenance Contract with Flowpoint Environmental Systems, Inc. (Flowpoint) for replacement of water load out station equipment and annual maintenance.  The City currently operates seven water load out stations in five locations, four are potable water and three are reclaimed water.  Existing equipment has become obsolete and is very difficult to find replacement parts.  The upgraded system will include the functions previously offered to our customer plus the added ability to make purchases through a website 24 hours a day.  Flowpoint provided the lowest cost solution which includes a three-year warranty.  

On December 16, 2020, Procurement issued a Request for Proposals for Water Load Stations which closed to bids on January 14, 2021. Three firms made proposal submissions. Proposals were evaluated and scored and the two top scoring firms tied. Interviews were conducted and scored with the top two firms. Procurement began discussions with the top scoring firm (AquaFlow) and requested a 'Best and Final Offer' (BAFO). The BAFO was not in the best interest of the City and an agreement was not successful. Purchasing then began discussions with the 2nd firm (Flowpoint) and requested a BAFO. The offer was in the best interest of the City and an agreement was accepted. See scoring tables below:

Written Evaluation Scores
Aquaflow          596
EleMech           566
Flowpoint         596

Interview Evaluation Scores
Aquaflow        1105
Flowpoint       1078
Financial Impact:
Funding for the equipment replacement is funded by Water Services Funds.  The equipment budget has $60,000 that will be carried forward to the FY 2021-2022 budget and the remaining amount will utilize reserve funds.  The annual maintenance is budgeted in the Revenue Section of the General Fund.  
Policy Impact:
None
Connection to PBB Key Community Priorities/Objectives & Regional Plan:
High Performing Governance: Enhance the organization’s fiscal stability and increase efficiency and effectiveness.

Sustainable, Innovative Infrastructure: Deliver outstanding services to residents through a healthy, well maintained infrastructure system.
 
Has There Been Previous Council Decision on This:
No.
Options and Alternatives:
  • Approve the Water Installation and Maintenance Contract with Flowpoint Environmental Systems, Inc.
  • Do not approve the contract with Flowpoint Environmental Systems, Inc., and provide staff direction.  Not approving the contract will allow the loading stations to operate with outdated equipment which may cause extended outages at water hauling locations. 
Background/History:
The City of Flagstaff has five water hauling locations which include for four potable water and three reclaimed water points around the City.  The water is for personal and commercial use. The City serves approximately 1,230 customers: 1,100 potable and 130 reclaimed.
 
To obtain access to water from a water loading station, customers must apply for an account with City of Flagstaff Customer Service. Reclaimed accounts require additional approval from Water Services. Once processed, the customer is given an account number and pin for access to the station. Customers can make payments via an automated phone system, online, mail, or in person at City Hall. Payments are currently manually posted to the customer’s account by staff. Customers may view their current balance at the pin pad at each station.
 
City staff oversees the operations of the loading stations, serving as the first responder for operational problems, pin pad issues, and customer complaints. Maintenance services are provided by City staff.
 
Existing technology was installed in 2012, and warrantied for five years. Since then, parts have been replaced and installed as needed by staff. An update to the software was completed in 2014 to add additional customer capacity. Pin pad replacements are no longer manufactured or supported and have become increasingly difficult to locate.

A total of three proposals were received and evaluated by a committee comprised of City staff from Information Technology, Water Services, Management Services and Customer Service.  Two companies received identical scoring totals from the review committee and moved forward to the interview process.  After completing interviews, AquaFlow Int'l, Inc. (AquaFlow) received a slightly higher score from the review committee.  Purchasing staff reached out to AquaFlow for discussions and for a best and final offer to reduce the equipment costs and extend the warranty period from one year to three years.  AquaFlow was not willing to change their proposal in these areas.  Due to the cost difference and the amount budgeted for this equipment replacement, staff requested to move forward discussions with Flowpoint.  The cost of the Flowpoint equipment was approximately $66,000 less than AquaFlow and has a three-year warranty included.  Due to budgetary constraints and an improved warranty, staff selected Flowpoint for the contract to upgrade of the water load out station.  
Community Benefits and Considerations:
Water load station customers will benefit from the following:
  • Overall improvement to current system
  • Ability to view account balance online
  • Ability to make payments online with nearly instant access to water at station (current system payments only post during business hours)
  • Current pin and account numbers will transfer into new system with no action needed from customer
  • Improved overall efficiency of account set up
Community Involvement:
Prior to drafting Request for Proposals, staff engaged water hauler customers with a survey. Over 100 haulers responded. Most expressed current technology meets their needs, however ability to view account balances and make after hours payments were noted as top requested features of a future system.  The new system will provide this service to customers. 
Attachments
Flowpoint Contract
Scope of Work
Potable Water Station Map
Reclaimed Water Station Map


    

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