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HomeMy WebLinkAboutApprove Sole Source Procurement Request with Hadronex Inc., (2) 2000 Main Street, ,6 fiNG7of Huntington Beach,CA r i#1.*rfi 92648 ty ; City of Huntington Beach YN - �z APPROVED 7-0 �sro ".—CoONTY Cad\„, File#: 25-624 MEETING DATE: 8/19/2025 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Travis Hopkins, City Manager VIA: Chau Vu, Director of Public Works PREPARED BY: Chris Davis, Senior Management Analyst Subiect: Approve Sole Source Procurement Request with Hadronex Inc., dba SmartCover Systems, for Sanitary Sewer System Manhole SmartCovers (SmartCovers) Statement of Issue: The City Public Works Utility Division uses manhole covers that transmit information on sewage levels beneath the covers. The city has purchased and are currently using Hadronex Inc., dba SmartCover Systems to provide the advanced manholes and maintenance services for the manholes. The City Council is requested to approve a Sole Source Procurement with Hadronex Inc., in the amount of$100,000 per year for four years, for the purchase of SmartCover sanitary sewer system manhole covers and related maintenance services. Financial Impact: No additional funding is requested. Sufficient funds for servicing SmartCovers are budgeted in the FY 2025/26 Sewer Service Fund account 51185201.64620. Recommended Action: Approve Sole Source Procurement Request with Hadronex, Inc., dba SmartCover Systems, for the servicing of SmartCovers. Alternative Action(s): Do not approve the Sole Source Procurement Request and direct staff accordingly. Analysis: SmartCovers are advanced manhole covers that help the City more effectively manage its sanitary sewer system. These devices transmit real-time data on sewage levels via an antenna mounted beneath the manhole cover. Strategically placed throughout the City's sewer system, SmartCovers provide early warnings that help prevent or mitigate potential Sanitary Sewer Overflows (SSOs) before they occur. City of Huntington Beach Page 1 of 2 Printed on 8/14/2025 powered by LegistarT"" 1462 File#: 25-624 MEETING DATE: 8/19/2025 Previously, City staff could only respond to SSOs after they had already occurred, often resulting in extensive and costly cleanups. SSOs pose serious threats to public health and safety, can cost tens of thousands of dollars in staff time and City resources, and require detailed reporting to the State. They can also negatively impact nearby homes and businesses and may lead to beach closures. By enabling early detection, SmartCovers allow the City to implement proactive emergency responses. Since their deployment in 2016, SmartCovers have helped prevent 20 potential SSOs. This sole source procurement request complies with Chapter 3.02 of the Huntington Beach Municipal Code, as there is no alternative vendor. The City first purchased SmartCovers in 2016 and currently has 37 units in service. This request is for the continued servicing of the existing inventory and the purchase of any necessary replacement parts. Although new technologies may enter the market, any alternative system would require compatibility testing with the City's infrastructure. Not approving this sole source request would prevent the vendor from servicing existing SmartCovers, thereby reducing staffs ability to respond promptly to SSOs. Such delays could endanger public health, disrupt local businesses, and, if near the coastline, result in beach closures. Furthermore, the City could face fines between $50,000 and $250,000 from the Regional Water Quality Control Board for failing to comply with Section 4: Operations and Maintenance of the Sanitary Sewer Management Plan (SSMP). Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Non Applicable -Administrative Item Attachment(s): -- 1. Sole Source Justification 2. Power Point Presentation City of Huntington Beach Page 2 of 2 Printed on 8/14/2025 powered by Leg istarTm 1463 ��t1TIF7C7 '' 40- �'a' CITY OF HUNTINGTON BEACH 4 Sole-Source Justification _`; 'e• : i` (For use on all goods and services acquisitions.) This Justification document consists of two(2)pages. All information must be provided and all questions must be answered. The"Required Approvals"section must Include a date for each signature,as appropriate for the transaction. Requesting Department information Date: June 3,2025 Requestor Name: Chris Davis Division Manager: John Poehler (Type names. Do not sign.) Department: Public Works Department Head: Chau Vu (Type names, Do not sign. Must be same as signature below.) Department Contact Information - • Contact Name: Mark Birchfield Street Address: 19001 Huntington Street • Telephone: 714-375-5041 ' • Fax: 714-847-1087 Shipping Address: 19001 Huntington Street Cellular phone: 714-329-2885 Required Contact information • Contractor/Supplier Name: Hadronex Inc.,dba SmartCover®Systems) • Contractor/Supplier Address: 2007 Wlnerldge Place,Suite E Escondido,CA Contractor/Supplier City/State/Zip: 92029 - OrIginal Contract Amount:* Amendment Amount:*(If applicable) New Contract Amount:* $100,000 $ $100,000 (*includes original contract and previously ('Includes original contract and all amendments, approved amendments) ("Current amendment only) Including current amendment) Provide a brief description of the acquisition,including all goods and/or services the contractor will provide: Contract Type and Term Contract Type: Contract Term: What account number will be used to purchase? Select One: ® Goods Begin: 08/01/2025 Business Unit: 61186201 [J Service 0 Goods&Services End: 08/01/2029 Object Code: 64620 Required Approvals 1 Department Head Fine eb Manager-Budget Chief Financial Officer Assistant City Manager iirlirApproved Denied q A prov d El Denied .„0 Ap roved ❑Denied p Approved p Denied Signature u I Signet re St nature _ .4 5I gv I.J) 2//• f `. "'Z Signature f0 Date t(/ID7ate Date 4j/L/1‘ _ Date (Transactions exceeding$50,000 must be approved by City Council) 1 1464 `,���t�flfA CITY OF HUNTINGTON BEACH ' Sole Source Justification 7°F `' (For use on all goods and services acquisitions.) -,e,�Ull�Y��i�� Complete responses must be provided for all of the following items. A. THE GOOD/SERVICE REQUESTED IS RESTRICTED TO ONE SUPPLIER FOR THE REASONS STATED BELOW: 1, Why Is the acquisition restricted to this goods/services/supplier? (Explain why the acquisition cannot be competitively bid.) Hadronex is the only supplier of manhole covers that provide remote data collection on the wastewater system via manhole cover hatch antenna. The smartcovers can be located at strategic points throughout the system and can mitigate potention Sanitary Sewer Overflows(SSOs) by providing warnings before system overflows. 2. Provide the background of events leading to this acquisition. The City has 31 smartcovers in the system. These have provided warnings of 20 potential SSOs. 3. Describe the uniqueness of the acquisition(why was the good/service/supplier chosen?). As noted above,this is a unique and specialized tool in the wastewater industry that no other company Is providing. Smartcovers provide warning of potential SSO to allow City staff to proactively correct a problem before It can Impact the public health and safety. 4. What are the consequences of not purchasing the goods/services or contracting with the proposed supplier? Hadronex Is the only supplier of smartcovers and the City already has 31 in the system. Without smartcovers,staff would not be aware of a potential SSO until after it has occurred. SSOs pose a significant threat to public health and safety,can costs tens of thousands of dollars in staff time and city resources for clean up and state reporting'requirements,incur fines from the state and county health departments, and have major economic impacts to neighboring businesses and potential citywide economic impacts If an SSO causes a beach closure. 5. What market research was conducted to substantiate no competition,including evaluation of other items considered? (Provide a narrative of your efforts to identify other similar or appropriate goods/services,including a summary of how the department concluded that such alternatives are either inappropriate or unavailable. The names and addresses of suppliers contacted and the reasons for not considering them must be Included 0 an explanation of why the survey or effort to identify other goods/services was not performed.) Wastewater section staff keep abreast of industry standards and emerging technologies via networking with peers, Industry conferences and journals. There currently is no similar technology available that performs this service. E. PRICE ANALYSIS 1. How was the price offered determined to be fair and reasonable? (Explain what the basis was for comparison and Include cost analyses as applicable.) 2 1465 1 As noted,there is no comparable technology. However,the cost of the sinartcovers is far less than the potential costs of an SSO. 2. Describe any cost savings realized or costs avoided by acquiring the goods/services from this supplier. Avoids costly clean up, mitigation and reputation damage by preventing SSOs. Protects the public and the environment by avoiding SSOs. Reduces employee risk by avoiding sending personnel to sites when not necessary. Protection collection system asset life byavoidingunnecessaryrepairs. Y p Remit completed form to: City of Huntington Beach—Purchasing Division 2000 Mein Street,Huntington Beach,CA 92640.2702 • 1466 oqe Si AARTCOVER° Budget Quote Hadronex, Inc. Due Date Period Covered Quote Number DBA SmartCover Systems 2110 Enterprise Street 08/31/2025 09/01/2025-08/31/2026 00003551 Escondido, CA 92029 USA P: 760-291-1980 Remit PO to orders(osmartcoversystems.cont or return this quote signed with PO number. F: 760-291-1982 Scan of PO Is preferred. Bill To: Ship To: Date I 07/29/2025 Huntington Beach Waste Water Huntington Beach Waste Water Huntington Beach Waste Water Huntington Beach Waste Water 2000 Main Street 19001 Huntington St HuntIn.ton Beach, CA 92648, USA Huntington Beach, CA 92648/ USA .. ..�/ ����-n �� z .. +:;mac ,: Iyr�c "+;�"; y ", -"i'" =�+. o 1,,,.. 10, �;4, ..a^ cerf ;;,;,.,. „ , �.��.++ ��hW�'s7�n'-'S`x����t�^i,+��Cflr'�V� � �aC �N.x-.xx,� n ,.t �..j w5'�", rr Q ('��? lot,"?4`3� �k�..�i.�.��2ry�`k� ���5�?��y����f�, ��e+ ��al�".��7TC 1 PW-5C1R Renewal:Power Warranty: PARTS ONLY: 1 year rate. 6 13 $263.25 $1,579.50 Date Covered:8/9/2025-8/31/2026 12213 RO 337#15 19913 PCHBIuff Top S/O Seapoint 12214 R0 348#14 20211 PCHBIuff Top N/O Goldenwest 12215 RD 359#10 913 PCH/9th street 12216 RD 359#11 1315 PCH/13th street 12217 RO 348#13 2205 PCH/22nd street 12218 RO 349#12 1717 PCH/17th street 2 ASM-SC1R Renewal:SmartLevel—REQUIRED for system to 37 12 $430.00 $15,910.00 function. 1 Year rate. Date covered:9/1/2025-8/31/2026 SIN Slte • 2495 RD 443 Adams E/O Beach MH 10756 2496 RD 174 Edgewater/Courtney MH 4355 2497 RD 164 Hell/Algonquin MH 2885 • 2498 RD 435 Pioneer W/O Wardlow MH 7974 2499 RD 423 Yorktown/Newhaven MH 7341 2500 RD 163 Humboldt/Ensign MH 3006 2622 RD 293 Ellis/Chalk MH 5859 2623 RD 443 Southport/S.New Britain MH 8752 2624 RD 163 Coral Cay/Marinabay MH 3904 3042 RD 446 Olympic/Big Bend MH 8391 3043 RD 151 Mariner/PCH MH 2200 3438 RD 163 BoleroBaruna MH 3244 3439 RD 173 Harbour Pacific Apts./PCH MH 12846 3440 RD 152 Walrus/Aquarius MH 2353 3441 RD 154 Saybrook S/O Humboldt MH 13290 3442 RD 282 Reynolds Circle MH 5014 3891 RD 164 Morning Star/Edgewater MH 3147 3892 RD 176 Greenleaf/Kenilworth MH 4372 3893 RD 433 Flaxman/Cato MH 8094 3894 RD 167 Greenview/Franmar MH 3413 3895 RD 436 Warburton W/O Havenhurst MH 7703 4547 RD 162 Maiden/Peale MH 2875 4548 RD 437 Cutty Sark W/0 Ranger MH 7879 4549 RD 453 Sunset Circle MH 9431 4550 RD 319 Ellis E/O Quarterhorse MH 12451 4551 RD 281 Central Park East MH 5206 7891 RD 152 Peters Landing/PCH MH 2743 7892 RD 149 Dawson/Gas Light MH 1664 Page 1 of 5 1468 • o•• I � SIVIARTCOVER' Budget Quote •.▪ .' • 7893 RD 446 Hot Springs/Running Springs MH 9059 7894 RD 177 Nordina/Almelo MH 4702 7895 RD 441 Farquhar Park/Main MH 8742 12213 RD 337#15 19913 PCH/Bluff Top S/O Seapoint 12214 RD 348#14 20211 PCHIBIuff Top N/O Goldenwest 12215 RD 359#10 913 PCHl9th street 12216 RD 359#11 1315 PCH/13th street 12217 RD 348#13 2205 PCH/22nd street 12218 RD 349#12 1717 PCH/17th street 3 PW-5C1 R Renewal:Power Warranty: PARTS ONLY. 1 year rate. 31 12 $243.00 $7,533.00 Date covered:9/1/2025-8/31/2026 SIN Site 2495 RD 443 Adams E/O Beach MH 10756 2496 RD 174 Edgewater/Courtney MH 4355 2497 RD 164 Heil/Algonquin MH 2885 2498 RD 435 Pioneer W/O Wardlow MH 7974 2499 RD 423 Yorktown/Newhaven MH 7341 2500 RD 163 Humboldt/Ensign MH 3006 2622 RD 293 Ellis/Chalk MH 5859 2623 RD 443 Southport/S.New Britain MH 8752 2624 RD 163 Coral Cay/Marinabay MH 3904 3042 RD 446 Olympic/Big Bend MH 8391 3043 RD 151 Mariner/PCH MH 2200 3438 RD 163 Bolero/Baruna MH 3244 3439 RD 173 Harbour Pacific Apts./PCH MH 12846 3440 RD 152 Walrus/Aquarius MH 2353 3441 RD 154 Saybrook S/O Humboldt MH 13290 3442 RD 282 Reynolds Circle MH 5014 3891 RD 164 Morning Star/Edgewater MH 3147 3892 RD 176 Greenleaf/Kenilworth MH 4372 3893 RD 433 Flaxman/Cato MH 8094 3894 RD 167 Greenview/Franmar MH 3413 3895 RD 436 Warburton W/O Havenhurst MH 7703 4547 RD 162 Malden/Peale MH 2875 4548 RD 437 Cutty Sark W/O Ranger MH 7879 4549 RD 453 Sunset Circle MH 9431 4550 RD 319 Ellis E/O Quarterhorse MH 12451 4551 RD 281 Central Park East MH 5206 7891 RD 152 Peters Landing/PCH MH 2743 7892 RD 149 Dawson/Gas Light MH 1664 7893 RD 446 Hot Springs/Running Springs MH 9059 7894 RD 177 Nordlna/Almelo MH 4702 7895 RD 441 Farquhar Park/Main MI-I 8742 12213 RD 337#15 19913 PCH/Bluff Top S/O Seapoint 12214 RD 348#14 20211 PCH/Bluff Top N/O Goldenwest 12215 RD 359#10 913 PCH/9th street 12216 RD 359#11 1315 PCH/13th street 12217 RD 348#13 2205 PCH/22nd street 12218 RD 349#12 1717 PCH/17th street 4 EW--SC1 R Renewal:System Warranty-Covers all systems parts 37 12 $488,00 $18,056.00 except PowerPack-PARTS ONLY, 1 year rate. Date covered:9/1/2025-8/31/2026 Page 2 of 5 1469 ' • e9 V q •• SMARTCOVER Budget Quote tiL • p! SIN Site 2495 RD 443 Adams E/O Beach MH 10756 2496 RD 174 Edgewater/Courtney MH 4355 2497 RD 164 Heil/Algonquin MH 2885 2498 RD 435 Pioneer W/O Wardlow MH 7974 2499 RD 423 Yorktown/Newhaven MH 7341 2500 RD 163 Humboldt/Ensign MH 3006 2622 RD 293 Ellis/Chalk MH 5859 2623 RD 443 Southport/S.New Britain MH 8752 2624 RD 163 Coral Cay/Marinabay MH 3904 3042 RD 446 Olympic/Big Bend MH 8391 3043 RD 151 Mariner/PCH MH 2200 3438 RD 163 Bolero/Baruna MH 3244 3439 RD 173 Harbour Pacific Apts./PCH MH 12846 3440 RD 152 Walrus/Aquarius MH 2353 3441 RD 154 Saybrook S/O Humboldt MH 13290 3442 RD 282 Reynolds Circle MH 5014 3891 RD 164 Morning Star/Edgewater MH 3147 3892 RD 176 Greenleaf/Kenilworth MH 4372 3893 RD 433 Flaxman/Cato MH 8094 3894 RD 167 Greenview/Franmar MH 3413 3895 RD 436 Warburton W/O Havenhurst MH 7703 4547 RD 162 Malden/Peale MH 2875 4548 RD 437 Cutty Sark W/O Ranger MH 7879 4549 RD 453 Sunset Circle MH 9431 4550 RD 319 Ellis E/O Quarterhorse MH 12451 4551 RD 281 Central Park East MH 5206 7891 RD 152 Peters Landing/PCH MH 2743 7892 RD 149 Dawson/Gas Light MH 1664 7893 RD 446 Hot Springs/Running Springs MH 9059 7894 RD 177 NordIna/Almelo MH 4702 7895 RD 441 Farquhar Park/Main MH 8742 12213 RD 337#15 19913 PCH/Bluff Top S/O Seapoint 12214 RD 348#14 20211 PCH/Bluff Top WO Goidenwest 12215 RD 359#10 913 PCH/9th street 12216 RD 359#11 1315 PCH/13th street 12217 RD 348#13 2205 PCH/22nd street 12218 RD 349#12 1717 PCH/17th street 5 Extended Labor services for onsite visits during coverage period. 37 12 $650.00 $24,050.00 Warranty Level,FLOE,Vault per site Labor Date covered:9/1/2025-8/31/2026 SIN Site 2495 RD 443 Adams E/O Beach MH 10756 2496 RD 174 Edgewater/Courtney MH 4355 2497 RD 164 Heil/Algonquin MH 2885 2498 RD 435 Pioneer W/O Wardlow MH 7974 2499 RD 423 Yorktown/Newhaven MH 7341 2500 RD 163 Humboldt/Ensign MH 3006 • 2622 RD 293 Ellis/Chalk MR 5859 2623 RD 443 Southport/S.New Britain MH 8752 2624 RD 163 Coral Cay/Marinabay MH 3904 3042 RD 446 Olympic/Big Bend MH 8391 3043 RD 151 Mariner/PCH MH 2200 3438 RD 163 Boiero/Baruna MH 3244 3439 RD 173 Harbour Pacific Apts./PCH MR 12846 3440 RD 152 Walrus/Aquarius MH 2353 Page 3 of 5 1470 • ff• 1. : S$11ARTCOVER' Budget Quote •:•••• 3441 RD 154 Saybrook S/O Humboldt MH 13290 3442 RD 282 Reynolds Circle MH 5014 3891 RD 164 Morning Star/Edgewater MH 3147 3892 RD 176 Greenleaf/Kenilworth MH 4372 3893 RD 433 Flaxman/Cato MH 8094 3894 RD 167 Greenvlew/Franmar MH 3413 3895 RD 436 Warburton W/O Havenhurst MH 7703 4547 RD 162 Malden/Peale MH 2875 4548 RD 437 Cutty Sark W/O Ranger MH 7879 4549 RD 453 Sunset Circle MH 9431 4550 RD 319 Ellis E/O Quarterhorse MH 12451 4551 RD 281 Central Park East MH 5206 7891 RD 152 Peters Landing/PCH MH 2743 7892 RD 149 Dawson/Gas Light MH 1664 • 7893 RD 446 Hot Springs/Running Springs MH 9059 7894 RD 177 Nordina/Almelo MH 4702 7895 RD 441 Farquhar Park/Main MH 8742 12213 RD 337#15 19913 PCH/Bluff Top S/O Seapoint 12214 RD 348#14 20211 PCH/Bluff Top N/O Goidenwest 12215 RD 359#10 913 PCH/9th street 12216 RD 359#11 1315 PCHl13th street 12217 RD 348#13 2205 PCH/22nd street 12218 RD 349#12 1717 PCH/17th street Page 4 of 5 1471 rpa.L fV1ARTCOVER Budget Quote .4.. Terms and Conditions for this transaction: 1. Invoices shall be paid within thirty(30)days of the invoice date. 2. All applicable taxes must be added to prices offered. 3. Prices are FOB Factory,Shipping costs can be calculated and added to the offer. 4. All paid warranties and Active Site Management(ASM)services begin on the date of shipment. 5. Returns are accepted only with a valid Return Material Authorization(RMA)number.Please contact SmartCover Customer Service for an RMA number. 6. Loss of Communications:Customer acknowledges that SmartCover is not responsible for the loss of wireless communication, Internet communications,or any communications used in the operation of this system, 7. Advisory Only:SmartCover is an advisory service only.As such,SmartCover is not responsible for any damage of any kind or from any cause whatsoever that may result from, In relation to,in connection with,due to,or as a result of the installation or operation of the system,including without limitation,equipment failure,or any consequential damages caused by,or resulting from,the use or installation of the SmartCover system. 8. Traffic Control:SmartCover does not provide traffic control.The customer must provide traffic control for the installation and servicing of all units. 9. This offer is made subject to the terms and conditions that can be found here:https://smartcoversystems.com/wp- content/u ploads/2025/04/sma rtcover-terms-co nditi ons.p df Signature for Approval Subtotal $67,128.50 P.O. No. Tax $0.00 We appreciate your business! Tota I $67,128.50 • Page 5 of 5 1472 p V°O b ..ZETv1ARTCOVERe Real-Time Satellite Remote Infrastructure Monitoring Solutions SmartCover® Renewals What do you receive with your ongoing services? Active Site Management (ASM) — Required Active Site Management, a comprehensive service required for remote operation of the SmartCover system, Includes the following: • Two-way communication via Iridium satellite network (i.e. NOT cell based). • Technical support via phone (855-291-1980), live chat from 7:00 AM to 5:00 PM PT. • Secure password protected cloud-based software with unlimited data hosting. • Maintenance of all cloud-based software with regular feature updates and upgrades. • Automated notifications for Alarms, Advisories and Alerts via email and/or text message. • System operations and performance monitoring including battery voltage, radio signal strength, and two-way communication. • Access to analytical tools for evaluating data trends, inflow infiltration, detecting blockages, potential overflows, and areas with odor Issues, among others. • Free IOS and Android mobile app for all users. Warranty Services — Options SmartCover offers an evergreen option with comprehensive warranties covering system components, batteries and onsite labor, regardless of the age of your installed systems. This ensures ongoing operation throughout the year without additional orders, POs, taxes or freight costs. Components are replaced free of charge as determined by the Customer Service Team, with SmartCover covering ground freight. The customer is responsible for monitoring their alerts/alarms/advisories and contacting SmartCover for all warranties. SmartCover coordinates all parts replacements for each specific site upon contacting the Customer Service Team, 855-291- 1980 x1, customerservice@smartcoversystems.com. Extended System Parts Warranty (parts only) The standard Extended Warranty covers the following products: • SmartCover® E-Box (System Controller) • Sensor&Cable (e.g. SubSonic®, H2Scents®, etc.) • • Antenna (E-square, E-Dot or Helical) • Bracket (Complete) PowerPack Parts Warranty (parts only) The PowerPack extended warranty covers the replacement of the PowerPack, including ground freight charges. Disposal of used batteries is the customer's responsibility. Extended Labor Warranty (onsite labor) This covers onsite labor for routine maintenance for all sites. Scheduling service dates will be coordinated by our customer service group. Please call 855-291-1980 x1 or customerservice@smartcoversystems.com. We are happy to assist you with new installations or relocations with a separate quote. Cost and availability vary by client location. Exclusions may apply. Damage from acts of nature, misuse, lack of maintenance, vandalism, or unauthorized repair may not be covered under warranties. Warranties do not apply for relocations and modified Installations. All units in your fleet must be covered for all warranty coverage options, labor costs are not included with System Parts and PowerPack warranty replacement coverage. 2110 Enterprise Street I Escondido,CA 1 92029 SmartCoverSystems.com 1474 fi�,,,,•►•►.... T INinVb.0 ,,..sews •\, c .-- c4RP ORA �'F •.,• coSole Source .�-... lik • . _ _ • Procurement f__,..,... „ -- • � _ • = Qdba SmartCover -ram. , ___ , , ' .: `•� ;c . .T . .• V August 19, 2025 ? `•• Fe, g , to-:` N) y i•es��' 1 9��••- 00 ssss kl\e‘ 4 0 11110. °Ij 0ONTN ,,, ..,,..►, .0.- 1476 SmartCover Overview • Sensors attached to City Sewer Manholes to detect potential Sanitary System Overflows (SSO). • 37 SmartCovers in the City's sewer system located at potential overflow sites have prevented at least 20 SSOs. • Sole Source is for service of existing SmartCovers. • Proprietary software is only compatible with +,to�?:`� oaPORro�� SmartCover components. ;� �_; •t 1 its:?~ 'a,• First selected in 2016 , only supplier at the time. :.��F�.. J ;gt9P -• ,c��,+' 1477 Sole Source Justification • While new technologies are being developed , they need to be tested for compatibility and reliability. • Without SmartCovers, the City will lose the ability to proactively respond to SSOs before they happen . • SSOs pose serious health and safety risks to the community. They may lead to beach closures and fines from the Regional Water Quality Control Board ranging ,#ij,'\`\NTINGr from $50,000 to $250,000. � .t<p‘, 1478 , \ 4, ,,c4, 4 • 9 ,„,,:, , ,, ,.. , „ .._,_, , ,,,, , ,,, „.t. ‘ QuesLions • ...,. ,_ .,..... , . , ...,.., , 1 4,1- ..t..,„11., Z.1 ,., iiii illiilifL4,,_ ,...,... -7.7.----, 3 n:-77". 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