Water Meter Audit
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PROJECT DEVELOPMENT AGREEMENT
Siemens Industry Inc., a Delaware corporation with its principal place of business located at 1000 Deerfield
Parkway, Buffalo Grove, Illinois ("Siemens") and the City of Salina, a municipal corporation of the State of Kansas
with its principal place of business located at, 300 West Ash, Salina, Kansas ("City") (collectively the "Parties"),
enter into this Project Development Agreement ("PDA") this /~ day~, 2010 and agree as follows:
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RECITALS
WHEREAS, Siemens responded to "the Request for Qualifications for a Guaranteed Automatic Meter Reading
(AMR) Water Meter Performance Contract, October 2009" issued by the City.
WHEREAS, the City has requested that Siemens perform work for the City;
WHEREAS, the Parties agree that Siemens will perform work under this PDA with the intention that Siemens will
prepare a draft Performance Contracting Agreement (PCA) in compliance with Kansas Statutes Chapter 75
Article 37,125 wherein Siemens will guarantee the water meter accuracy and operational savings of the installed
Automatic Meter Infrastructure (AMI) system.
WHEREAS, Siemens must perform a detailed evaluation of the City's meter infrastructure known as the Technical
Audit Service. This will determine the existing water meter accuracy, operational savings and capital cost
avoidance to be guaranteed.
AGREEMENT
Upon the date hereof, or upon such later date as agreed upon by the Parties (the "Effective Date"), Siemens shall
commence performing the Technical Audit Services. The term for performing the Technical Audit Services shall
conclude upon the submission of the results of the Technical Audit Service to the City by Siemens. Siemens shall
use reasonable efforts to deliver the Technical Audit Services results no later than forty-five (45) days from the
Effective Date.
Siemens will provide the City with a list of the residential meters to be replaced during this detailed audit.
Approximately 169 meters will be tested, as recommended by the American Water Works Guidelines (A WW A) for
meter testing programs. In addition to the above selected meters, there will be a list of alternate meters that can be
utilized in the case where one of the sample meters cannot be changed due to conditions. Meters will be sent to a
qualified third party testing service for required third party testing in accordance with American Water Works
Association (A WW A) C700 and C708.
Siemens will provide the City with a list of all large commercial meters to be tested during this detailed audit. A
test list will be developed to include approximately 10% of the meters as recommended by A WW A guidelines.
Line breaks or leaks that occur due to the installation of new meters will be repaired at Siemens' expense.
Siemens agrees to perform the Technical Service Audit for the City of Salina. If the result of the audit delivers a
cash positive project for the City, the expectation is to enter into good faith negotiations toward a Performance
Contract Agreement. If, however, either (a) good faith negotiations are unsuccessful in developing a Performance
Contract Agreement deemed by the governing body of the City to be in the public interest or (b) the City elects to
defer (whether for a specific term or an indefinite term) entering into a Performance Contract Agreement, Siemens
agrees it will not charge the City for the engineering, meter testing, new meters installed and any other services
performed under the Technical Service Audit.
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Any information concerning Siemens or the City that is designated as proprietary and disclosed in confidence to the
other party during the term of this PDA is disclosed in confidence. The party that receives such confidential
information shall not publish or disclose the same to any other entity or person without the prior written approval of
the disclosing party.
IN WITNESS WHEREOF, the Parties hereto have caused this Project Development Agreement to be duly
executed by their respective authorized officers or authorized signatories as of the date first above written.
CITY
By:
ATTEST:
~Bx: C1x'YA' lLJ;Y'k-
:, Shandi Wicks, Deputy City Clerk ~ J
APPROVED AS TO FORM:
By:
SIEMENS INDUSTRY, INe.
By: ~~ ~#""~
NamelfitltJ.... ~ J t!&e4.- /';I )~~...
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