The Administration recommends approving the Resolution, in accordance with Section 2-367(d) and 2-391(a) of the Miami Beach Code, for the sole source purchase of Badger water meters and Orion cellular endpoints, and related products, software and services from Badger Meter, Inc. These items are necessary to maintain the City's automated water meter system. 

On January 15, 2020, via Resolution No. 2020-31141, the City Commission waived, by 5/7ths vote, the formal competitive bidding requirements, in accordance with Section 2-367 of the City Code, and approved a contract to replace the City’s existing analog water meter system with Badger Meter’s Advanced Metering System, a digital system which communicates via cellular service.

Prior to this, the City utilized manual analog meters that were no longer efficient and did not allow the department to provide residents with the most accurate responses to address water issues. The Badger Advanced Meter system is a highly efficient system implemented across the country which provides more accurate and efficient consumption and billing data and an enhanced level of customer service. Some of the benefits of the new system include:

• Improved accuracy due to meter upgrade

• Significant reduction in manual labor

• Near real-time read data

• Customer access to data (through a portal)

• Alerts and alarms

• Expandable network functionality

At that time, the Badger contract included approximately 14,000 meters, cellular components and other system components. Recently, the Public Works Department has identified a need to purchase additional meters due to new construction and a need to replace existing meters not covered under warranty.

Badger Meter, Inc., the manufacturer of the Badger system, which includes meters, Orion cellular units and related products, software and services, has notified staff that it continues to be the sole source for the products, software and services needed to maintain the current system and expand it as new construction comes online. 

Pursuant to Section 2-367(d)(2) for sole source purchases, the Procurement Department publicly released Intent to Sole Source (ITS) No. 2023-383-NA on April 25, 2023.  The ITS provides an opportunity to any vendor that believes it can provide the City with the necessary items to submit written notification for the City’s consideration. Responses to the ITS were due on May 1, 2023. The City did not receive any responses from vendors stating that they are able to supply the required items.

Therefore, based on the notification from the Badger Meter, Inc. that it is the sole source for its products, software and services, and the results of ITS 2023-383-NA, this item seeks the approval of the Mayor and City Commission to continue to purchase, in accordance with Section 2-367(d)(2), badger water meters and orion cellular endpoints, and related products, software and services, from Badger Meter, Inc.

Results from the 2022 Resident Survey related to the City's perception and satisfaction show an overall approval of 67.4%, and rated the City as a good place to live.

The standardization of Badger meters, Badger hydrant meters and Orion cellular endpoints from Badger Meter Inc. will be funded from account number 425-0410-000680 (for water meter and hydrant meter purchases) in the estimated yearly amount of $400,000 or as approved through the City's budgeting process.

Based on the foregoing, pursuant to Section 2-367(d) and 2-391(a), of the City Code, it is recommended that the Mayor and City Commission of the City of Miami Beach approve the Resolution accepting the recommendation of the City Manager and approving, in accordance with Section 2-367(d) of the Miami Beach Code, the sole source purchase of Badger water meters and Orion cellular endpoints, and related products, software and services, from Badger Meter, Inc., in an amount not to exceed the amount appropiated annually for these products through the City’s budgeting process.