Title:
Title
Agreement: Purchase of CUES Spider Manhole Tripod System (Two-Thirds Vote Required)
End
FileID
File ID: 2019-00790
Location
Location: Citywide
Recommendation:
Recommendation
Adopt a Resolution authorizing the City Manager or the City Manager’s designee to: 1) suspend competitive bidding as it is in the best interests of the City; and 2) execute an Agreement with WECO Industries for the purchase of a Spider Camera and Tripod, for an amount not-to-exceed $155,025.
Contact: Gary DeJesus, Division Manager (916) 808-5173; Stacy Larkin, Program Analyst (916) 808-6356; William Busath, Director, (916) 808-1434; Department of Utilities
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Resolution
3-Agreement
Description/Analysis
Issue Detail: Staff recommends Council approve an agreement with WECO Industries, for the purchase of CUES Spider ManholeTripod System.
This equipment will be used to inspect the approximately 20,000 sewer manholes in the City’s infrastructure. The inspections are necessary since the condition of the manholes are largely unknown, with many of them aged and deteriorating. Inspections need to take place in order to prioritize for rehabilitation before failure of the asset, which could cause significant potential safety hazards to the public, including overflows, sinkholes, sewer back-ups, and road collapse.
Spider inspection equipment makes inspection of manholes safer and more efficient than past methods. A multi-sensor camera is lowered into the manhole via tripod, eliminating the need for entry by personnel, which has the potential to expose them to an unsafe environment. Manhole entry also requires additional staff on site for monitoring and safety, whereas the camera set up requires a maximum of two people.
The camera’s technology builds a 3D model of the manhole and identifies all defects. The inspection would be coded back at the office by engineering and/or sewer personnel as opposed to the lengthier process of manually inspecting and coding in the field.
Policy Considerations: City Council approval is required for contracts of $100,000 or more.
Economic Impacts: None
Environmental Considerations: The Community Development Department, Environmental Services Manager has determined that the proposed activity is not a project pursuant to the California Environmental Quality Act (CEQA). CEQA Guidelines Section 15378(b). The activity is a continuing administrative or maintenance activity, such as the purchase of supplies, and is not subject to CEQA. CEQA Guidelines Section 15060(c)(3).
Sustainability: The proposed project is consistent with the following Department of Utilities (DOU) strategic goals. Reliability - by proactively monitoring and maintaining assets before failure and Sustainability - Future planning and prioritization of work needed to sustain a working sewer system.
Commission/Committee Action: Not applicable
Rationale for Recommendation: DOU explored the option to rent this equipment versus purchasing it. Engineering originally estimated the rental cost to be approximately $4.7 million over a 10-year period. This estimate does not include payroll costs or vehicle costs for the inspection crew.
Purchasing equipment would require a one-time cost of $155,025 resulting in a total savings of more than $4.5 million. Updates to the equipment are free and done via software updates.
City Code Section 3.56.230 allows the City Council to suspend competitive bidding when the City Council determines that it is in the best interest of the City to do so. Competitive bidding for this product is not possible, as the vendor is the only supplier of this technology which incorporates the software used by the City of Sacramento. Approving this purchase will allow DOU to perform routine and consistent monitoring of its sewer infrastructure.
Financial Considerations: Sufficient funds are available in Fiscal Year 2018/19 DOU Operating Budget (Fund 6006) to execute the agreement with WECO Industries for an amount not-to-exceed of $155,025.
There are no General Funds allocated or planned for this project.
Local Business Enterprise (LBE): WECO Industries is not an LBE. The minimum LBE participation requirement is waived as the City has suspended competitive bidding and utilized an alternate procurement method to select a vendor.
Background: Manholes represent a large part of the City’s sewer infrastructure that has not yet been fully inspected. It is unknown how many manholes are in immediate need of repair/rehabilitation. DOU Engineering has been looking into this project for approximately four years. Initially, staff pursued rental of the Spider inspection equipment at a cost of $10,000 per month. Once the equipment became available for purchase it was determined to be the more cost effective and safe option.