AGENDA CAPTION:
Title
Consider approval of Resolution 2025-05R, approving a contract with Cannon Technologies, Inc., d/b/a Eaton for Yukon Software, to detect utility outages, generate timelier meter reads, and facilitate secure two-way meter communications for a term of one year, with up to four annual renewals, in the estimated annual amount of $79,960.00, plus a five percent cost increase for each yearly renewal, for a total estimated amount of $435,038.36; authorizing the City Manager, or her designee, to execute the contract on behalf of the city; and declaring an effective date.
Body
Meeting date: January 7, 2025
Department: Utilities - Tyler Hjorth, Director
Amount & Source of Funding
Funds Required: $79,960 Annual
Account Number: 21006322.52397, 22006335.52397
Funds Available: Yes
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Fiscal Note:
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Background Information:
Cannon Technologies, Inc., is the sole source provider of the Yukon software and radiofrequency (RF) equipment utilized by the City of San Marcos to detect utility outages, generate timelier meter reads, and facilitate secure two-way meter communications to produce more consistent meter readings than estimations. This includes gateways, nodes, and integrated electric and water meters.
This request is to award a contract to Cannon Technologies, Inc., for the provision of Yukon software in the estimated annual amount of $79,960 with four (4) anticipated automatic one-year renewals. The estimated total contract amount, including all anticipated renewals, is $441,829.48.
Renewals will be awarded administratively in the form of an Authorization of Change in Service and will be contingent upon mutual agreement between the vendor and the City.
The Local Government Code, Section 252.022(7), permits a limited exemption from the competitive bidding process if the items to be purchased are available from only one source. The City determined that this procurement from Cannon Technologies, Inc., qualifies as exempt under this statute, which includes captive replacement parts/components for equipment.
Council Committee, Board/Commission Action:
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Alternatives:
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Recommendation:
City staff recommends contract award.