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CC_04282026_STAFF REPORT_10a

Glendale City Council
April 28, 2026

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CC_04282026_STAFF REPORT_10a
Meeting
April 28, 2026
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Glendale City Council
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10a

CITY OF GLENDALE, CALIFORNIA

REPORT TO THE CITY COUNCIL

AGENDA ITEM
Report: Award of Contracts to Ferguson Enterprises, LLC and Willdan Engineering Inc. for Glendale Water and Power’s (GWP) Water Advanced Meter Infrastructure (AMI) System Replacement Project.

1. Motion authorizing the City Manager, or his designee, to enter into an agreement with Ferguson Enterprises, LLC, for the City’s Water AMI System Replacement Project, RFP No. 4017 in the not-to-exceed amount of $24,073,982, plus a ten (10%) contingency in the amount of $2,407,398 for the design and implementation of the Water AMI System and software maintenance and support for the first year. The City Manager, or his designee, is further authorized to enter into and execute an amendment with Ferguson Enterprises, LLC for four additional years of software support and maintenance, at the not-to-exceed amount of $199,075 to provide continued software support and maintenance for the Water AMI System. Any subsequent software support and maintenance with Ferguson Enterprises, LLC beyond the first five years shall be approved as part of the annual city-wide budget process.

2. Motion authorizing the City Manager, or his designee, to enter and execute a Professional Service Agreement (PSA) with Willdan Engineering Inc., California for construction inspection services related to the City’s Water AMI System Replacement Project, in the amount of $462,400.

COUNCIL ACTION
Item Type: Action Item
Approved for April 28, 2026 calendar

EXECUTIVE SUMMARY
GWP respectfully recommends that the City Council authorize the City Manager, or his designee, to enter into and execute a contract with Ferguson Enterprises, LLC for the replacement of the City’s Water AMI system, and a Professional Services Agreement (PSA) with Willdan Engineering Inc. for inspection services related to the project. The project will replace approximately 36,000 water meters and communication endpoints and will implement a modern AMI software platform. The new system will improve operational efficiency, enhance leak detection, and provide customers with access to detailed water usage data to support conservation efforts. 210a
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RECOMMENDATION
Authorize the City Manager, or designee, to execute a contract with Ferguson for the Water AMI System Replacement Project in an amount not to exceed $24,073,982, a contingency of $2,407,398, and $199,075 for four additional years of continued software support and maintenance.

It is further recommended to execute a PSA with Willdan for construction inspection services in the amount of $462,400 related to GWP’s Water AMI System Replacement Project.

ANALYSIS
GWP’s existing water AMI system has reached its end-of-life and no longer meets the reliability, performance, and data requirements needed to support modern utility operations and customer service expectations. It is critical that GWP replace the existing AMI system, as the current system’s communication failure rate of approximately 40% is placing a significant burden on Field Services to perform manual meter reads, increasing the number of estimated usage, and preventing customers from monitoring and managing their usage. In addition, several application systems are no longer supported. Further delays may result in annual cost increases of 9% - 10% due to an increase in labor and materials.

To address these challenges, on May 6, 2025, via Resolution No. 25-55, the City Council authorized the General Manager of GWP to utilize the alternative project delivery method and issue a Request for Proposals (RFP) No. 4017 to solicit proposals for the full replacement of GWP’s water AMI system, including meters, communication modules (endpoints), software, and associated services. RFP No. 4017 also includes an optional component for meter box lid replacement to ensure compatibility with the new AMI equipment and to address aging infrastructure.

RFP No. 4017 was released on May 8, 2025 on the City’s website, and attracted four proposals from qualified vendors with experience in large-scale municipal water AMI deployments. An evaluation committee comprised of GWP Business Systems Support Administrator, NV5 consultant, Assistant General Manager - Water, and Water Superintendent, reviewed and scored proposals based on the criteria outlined in the RFP, including:
Professional Qualifications, Technical Capabilities, and Experience of Contractor (30%)
Cost and Budget Control (30%)
Completeness of Proposal and Schedule (5%)
Approach and Methodology (35%)
Proposals were evaluated based on a weighted scoring methodology, with each evaluation category rated from 1 to 10 points, resulting in a maximum possible weighted score of 40 points.
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Scorer Ferguson Aquametric Core and Main Itron
1 8.7 7.65 6.95 5.95
2 8.95 8.45 7.8 5.85
3 8.25 7.65 8.15 4.35
4 8.35 7.65 6.75 6.4
Total 34.25 31.4 29.65 22.55
Following the evaluation process, Ferguson Enterprises, LLC was identified as the highest-ranked proposer and the vendor providing the best overall value. Staff subsequently entered into negotiations to finalize scope, pricing, and contract terms.

The Water AMI System Replacement Project includes the following major components:
Replacement of approximately 36,000 water meters
Installation of new AMI communication endpoints
Replacement of meter box lids
Deployment and configuration of AMI head-end software
Integration with GWP’s Customer Information System (CIS) and operational systems
Customer notification and coordination during installation Training, testing, system acceptance, and post-installation support Ferguson Enterprises, LLC will provide a solution and will be responsible for all project logistics, including procurement, storage, disposal of removed equipment, and installation.

Ferguson Enterprises, LLC will utilize subcontractors for key components of the project, including Professional Meters, Inc. (PMI) for the installation of meters, endpoints, and lids; JM Electrical Services for the installation of AMI network gateways, and Neptune Technology Group for the provision of the head-end software and cloud hosting solution.

The proposed Agreement with Ferguson Enterprises, LLC provides for a five-year term of maintenance and support for the hosted head-end software, Neptune 360. The first year is included in the initial implementation cost, while funding for years two through five will be addressed through the City’s annual budget process.

Service Description Total Price
Year 2 - NEPTUNE 360 Subscription $ 48,660.00
Year 3 - NEPTUNE 360 Subscription $ 48,660.00
Year 4 - NEPTUNE 360 Subscription $ 50,125.00
Year 5 - NEPTUNE 360 Subscription $ 51,630.00
Total $199,075.00
Ferguson Enterprises, LLC has been selected and is being recommended, to the City 410a
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Council based on its demonstrated experience, technical solution, competitive pricing, and ability to deliver a comprehensive AMI replacement with minimal impact to GWP operations and customers. The proposed system will improve meter read reliability, provide near real-time usage data, enhance leak detection capabilities, and support water conservation initiatives.

Subsequent to the AMI replacement project RFP, an separate RFP for construction inspection services was released on January 29, 2026, on the City’s Website and BidNet Direct. Five proposals were received and scored as outlined below:
Project Understanding and Approach (25%)
Experience/Qualifications of Project Inspector (50%)
Budget (25%)
Rank Proposal Location Proposal Amount
1 Willdan Industry, CA $462,400
2 NV5 Irvine, CA $421,700
3 LAE Associates Placentia, CA $421,600
4 MKN Irvine, CA $571,200
5 JMD Industry, CA $389,177.60
Upon review of the five proposals, GWP staff determined that Willdan Engineering Inc. is the most qualified consultant to perform construction inspection services. Although NV5, Inc. submitted a lower bid, the firm’s prior involvement in the project design and participation on the evaluation committee presents a conflict of interest; therefore, it was not considered for this role. While JMDiaz submitted the lowest responsive bid, Willdan was selected based on its relevant experience with similar projects and its ability to provide independent and qualified inspection services.

Willdan Engineering’s proposal was reviewed for completeness and found to be in compliance with the RFP requirements set forth in GWP Water’s AMI System Replacement Project.

Willdan Engineering’s inspector shall be responsible for daily construction observation for this project, including project closeout.

STAKEHOLDERS/OUTREACH
Not Applicable.

FISCAL IMPACT
The cost for Ferguson Enterprises, LLC for the Water AMI System Replacement Project is $24,073,982, plus a ten percent (10%) contingency of $2,407,398. This amount covers the design, implementation, and first-year software maintenance and support of the Water AMI System.

Willdan Engineering Inc.’s inspection services for the project will cost $462,400. 510a
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The total project cost is $24,073,982, of which $11,644,556 is available in the FY 2025- 26 budget. The remaining $12,429,426 will be requested through the FY 2026-27 annual proposed budget. Future obligations for the annual maintenance contract with Ferguson Enterprises, LLC, will be included in the annual budget process for subsequent years.

The City Council approved and proposed funding is outlined below:

Existing Appropriation
Amount Account String Funding Source
$11,644,556 GL: 51200-5930-GWP-0020-P0000-
PL: W14712
Water Depreciation Fund
Department Cost Center Program
Glendale Water
and Power
Projects
Proposed Appropriation
Amount Account String Funding Source
$12,429,426 GL: 51200-5930-GWP-0020-P0000-
PL: W14712
Water Depreciation Fund
Department Cost Center Program
Glendale Water
and Power
Projects

ENVIRONMENTAL REVIEW (CEQA/NEPA)
The project is Categorically Exempt under the provisions of the California Environmental Quality Act (CEQA) pursuant to the California Code of Regulations, Title 14, Section 15302, repair, maintenance, or minor alterations of existing utility facilities, and replacement or reconstruction of existing utility systems or facilities.

CAMPAIGN DISCLOSURE
The names and business addresses of the members of the board of directors, the chairperson, CEO, COO, CFO, Subcontractors and any person or entity with more than 10% interest in the company are attached as Exhibit A for Ferguson; Exhibit B for Willdan; Exhibit C for Professional Meters, Inc. (PMI); Exhibit D for JM Electrical Services, and Exhibit E for Neptune Technology Group in accordance with the City Campaign Finance Ordinance No. 5744.

ALTERNATIVES TO STAFF RECOMMENDATION
Alternative 1: Not to approve the proposed action and, instead, direct the General Manager of GWP, or his designee, to abandon the Water AMI System Replacement Project and return to manual meter reading. This will result in an increase to GWP Customer Service staffing levels by ten meter reader positions, and will require posting and filling the positions, training staff, and the procurement of the needed hand-held meter reading devices for these new positions.
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Alternative 2: Consider any other alternative not proposed by staff. 610a
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ADMINISTRATIVE ACTION
Submitted by:

Scott K. Mellon, P.E., General Manager - Glendale Water and Power Prepared by:

Chisom Obegolu, P.E., Assistant General Manager - Water Yancarlo Alcantara, Utility Business System Support Administrator Approved by:

Roubik R. Golanian, P.E., City Manager

EXHIBITS/ATTACHMENTS
Exhibit A: Campaign Finance Disclosure for Ferguson Enterprises, LLC Exhibit B: Campaign Finance Disclosure for Willdan Engineering Inc.

Exhibit C: Campaign Finance Disclosure for Professional Meters, Inc. (PMI) Exhibit D: Campaign Finance Disclosure for JM Electrical Services Exhibit E: Campaign Finance Disclosure for Neptune Technology Group

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