Agenda Item: 12
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
CITY MANAGER APPROVAL:
DATE: May 13, 2025
SUBJECT: HYDROPOINT DATA SYSTEMS LMD SUBSCRIPTION
AGREEMENT RENEWAL
DEPARTMENT: Administrative Services
PRESENTER: Andrew Adams
RECOMMENDED ACTION
City Council:
1. Award a seven-year service agreement to HydroPoint Data Systems, Inc., in an amount not to exceed $2,294,349 for wireless, data management, and warranty services to support the existing weather-based irrigation controller system.
2. Appropriate funds in the amount of $1,897,548 from the Landscape Maintenance District Fund Balance (Fund 357), $381,361 from Areawide Fund Balance (Fund 367), and $15,440 from Transit Fund Balance (Fund 700), for a total of $2,294,349, to the operational accounts identified in Attachment 1, effective July 1, 2025.
3. Authorize the City Manager or designee to execute all contracts and associated documents, subject to City Attorney approval.
BACKGROUND
In 2009, the City of Santa Clarita (City) initiated efforts to replace outdated irrigation controllers in the Landscape Maintenance Districts (LMD) with state-of-the-art, weather-based irrigation controllers (WBICs) to support its high standards for water conservation. In Fiscal Year 2009-10, the City conducted a competitive procurement process that resulted in the award of a contract to HydroPoint Data Systems, Inc., (HPDS) for the purchase and installation of the WeatherTRAK system.
The WeatherTRAK system centralizes irrigation management and provides real-time diagnostics and automated rain pause functionality through wireless connectivity across the City’s WBIC network. This system has eliminated the need for the City to maintain standalone weather
devices, communication networks, or customer service systems necessary to support irrigation services to manage over 2,700 acres of irrigated landscaped areas. The City Council previously renewed the contract with HPDS in 2013 and 2018.
WeatherTRAK has since become the standardized irrigation controller for the City’s LMD operations. Over the past five years, through new development and annexations, the system has expanded to include a total of 743 individual controllers deployed throughout the City. Since integrating this technology, the City has achieved substantial water savings and operational efficiencies across its irrigated landscape areas. Santa Clarita was also the first municipality in the United States to implement the largest single deployment of WBICs at the time, helping establish the City as a recognized leader in water conservation and sustainable landscape management practices.
The subscription renewal includes real-time weather data access, advanced reporting tools for monitoring and benchmarking water performance, and integration with meter-based billing systems. These tools allow staff to evaluate irrigation efficiency at the individual controller level and provide access to dedicated technical support and training resources.
A wireless and data management platform is required to operate the WBICs and enable real-time data access that drives the City’s water savings. In 2019, the City Council approved an upgrade from legacy 2G cellular controllers to an LTE platform, which extended cellular service and replacement warranties through June 30, 2025.
Earlier this year, staff engaged HPDS to explore pricing for various multi-year subscription options, including associated warranty coverage for all existing smart controllers. Multiple term lengths were considered to evaluate overall value and potential cost savings. The table below outlines the proposed multi-year subscription options, including discounted pricing for longer- term agreements and inclusive of all communication and warranty services for 743 controllers:
Term
(Years)
Multi-Year
Discount
Annual
Cost/
Controller
Monthly
Cost/
Controller
Daily
Cost/
Controller
Common
End Date
Proposed
Renewal
Amount
1 00.00% $572.43 $47.70 $1.57 6/30/2026 $425,316
3 10.00% $507.28 $42.27 $1.39 6/30/2028 $1,130,725
5 20.00% $469.79 $39.15 $1.29 6/30/2030 $1,745,252
7 23.00% $441.14 $36.76 $1.21 6/30/2032 $2,294,349
Due to the savings associated with the seven-year agreement, staff recommends approval of a seven-year agreement with HPDS, in the amount of $2,294,349, to continue providing wireless and data management services for the City’s WeatherTRAK WBIC system. The proposed agreement secures a favorable rate for any new controllers added during the term and includes an extended seven-year parts warranty on all existing controllers - regardless of age - through June 30, 2032. Unlike prior renewals, where warranties came standard due to the newer age of equipment, this renewal includes the proactive purchase of an extended warranty. Staff evaluated the historical cost of repairs previously covered under warranty and determined that purchasing extended coverage is a cost-effective strategy. Notably, HPDS initially declined to offer a
warranty term beyond five years, but staff successfully negotiated a seven-year warranty at the cost of a five-year term. The value of this extended warranty is approximately $764,803 of the total $2,294,349 agreement amount.
The proposed pricing reflects a 23 percent multi-year discount offered by HPDS for long-term commitments as part of its standard subscription model. The agreement includes prepayment for the seven-year subscription service, extended warranty, and performance management services.
While the annual per-controller subscription cost reflects an approximate 16 percent increase over the previous renewal, this amount was negotiated down from HPDS’s original proposal and accounts for broader cost escalations in technology, labor, and wireless communications over the past five years. The inclusion of extended warranty protection and pricing stability over the seven-year term ensures continued operational efficiencies and safeguards the City’s investment in water-saving technology.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
Upon approval of the recommended actions, appropriations from the Landscape Maintenance District Fund (Fund 357), the Areawide Fund (Fund 367), and the Transit Fund (Fund 700) will be made available to the expenditure accounts identified in Attachment 1; appropriations effective Fiscal Year 2025-26.
ATTACHMENTS
Attachment I: Appropriations
HydroPoint Service Renewal Proposal (available in the City Clerk's Reading File)