HomeMy WebLinkAboutItem 06.dDate: 2 July 2012 Item No.
APPROVAL OF CONTRACT ADDENDUM WITH RMR SERVICES, LLC EXTENDING
THE CONTRACT FOR WATER METER READING SERVICES FOR 2012 - 2013
Proposed Action
Staff recommends adoption of the following motion: Move to approve the contract
addendum with RMR Services, LLC extending contract meter reading services for
2012 - 2013.
Passage of this motion allows the Finance Department to continue the current practice
of using contract meter readers to read residential water meters.
Overview
In 2001, the department solicited proposals from two local companies to read meters for
the City. At that time, RMR Services, LLC returned the lowest cost proposal. The initial
contract term ran from 1 January 2002 to 31 December 2003. In 2004, 2005, 2006, and
2010 the contract was extended by mutual agreement of both parties, to include a 2.5
percent cost increase in 2005.
This contract addendum represents the fifth extension to the initial contract with RMR
Services, LLC. RMR Services has been reading residential water meters for the City
since 1998. Currently there are approximately 16,954 residential water meters divided
into two meter reading cycles. RMR Services, LLC does not propose any increase to
the current per meter reading cost of $.451 for 2012 - 2013.
Staff has reviewed the contract addendum and recommends its approval.
Primary Issues to Consider
• Is contract meter reading cost effective? The City is not staffed to read water meters
and alternatives require a significant investment in a meter change out program.
Based on alternatives contract meter reading remains cost effective.
Supporting Information
• A copy of the proposed contract addendum is attached.
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Director
Financial Impact: $33,884.00
Related Documents (CIP, ERP, etc.):
Notes:
Budgeted: Yes Source: 7608 Meter Reading
CONTRACT ADDENDUM
CONTRACT ADDENDUM made this 2nd day of July 2012, by and between the CITY
OF LAKEVILLE, a Minnesota municipal corporation ( "City "). and the undersigned provider of
services RMR SERVICES, LLC ( "Provider ").
Recitals
The parties have previously entered into a contract dated December 2001 (the "initial
contract ") for meter reading services.
NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL
COVENANTS, THE PARTIES AGREE AS FOLLOWS:
1. INCORPORATION BY REFERENCE. Except as modified herein, the terms of
the initial contract are incorporated herein.
2. TERM. The term of this agreement shall begin on July 2, 2012, and end on July 1,
2013, both dates inclusive, unless sooner terminated as otherwise provided.
3. COMPENSATION. The City agrees to pay the Provider $.451 per meter read under
this agreement.
IN WITNESS WHEREOF, the parties have entered into this Agreement on the day and
year first above written.
BY:
AND
BY:
CITY OF LAKEVILLE
Mark Bellows, Mayor
Charlene Friedges, Clerk
PROVIDER:
RMR SERVICES, LLC
Its