Page 24 - Yucaipa Valley Water District

Workshop Memorandum No. 17-011 Page 5 of 10

The proposal outlined herein mentions a possible 3% annual increase for services provided. The
ongoing services required would amount to $26,225 (Software Annual Fee) + $9,000 (Base
Station Maintenance Fee) =$35,225 x 3% = $1,056.75. District staff recommends negotiating an
alternative fee structure. The below are options that are available with the Flex Net system.

Customer Portal Option

Customer Portal Core 1 $6,250.00 6,250.00
Users Fee (Annual)
Customer Portal Overage 0 $2.40 Per User 0
Fee (Annual)
Customer Portal System 1 $12,500.00 12,500.00
Integration Fee
Customer Portal System 1 $6,250.00 6,250
Setup
Total Portal Option with 1,260 Users 25,000

Hand-Held Programming Device Option

Trimble T41-XGS 1 $2,899.00 2,899.00
Trimble Cable 1 $45.00 45.00
Sensus Command Link 1 $496.00 496.00
Total Portal Option with 1,260 Users 3,440.35

Funding Options

• Water Depreciation Reserves GL #02-10310 with a current balance of $1,182,696
• Water Infrastructure Reserves GL #02-10311 with a current balance of $3,379,625
• Possible grant funding from the Bureau of Reclamation up to $1,000,000

Future Planning

A meter replacement program will assure funding for the future as we continue to rely on the data
that is gathered by our system. A monthly flat fee of $0.25 per meter is proposed to cover the
replacement cost of 10% of the Endpoints in the system after ten years. The graph below shows
the growth of the meter replacement fund over ten years from $37,911 in year one, to $379,110
in year ten. The formula used to gather the figures below is as follows: 12,637 meters x $0.25 x
12 months = $37,911 per year. It is important to make sure this program is sustainable for the
future.

Yucaipa Valley Water District - January 31, 2017 - Page 24 of 68