1-SS-26-00302 Sole Source Letter.pdf

This is a Sole Source Letter from Neptune Technology Group LLC's Senior Territory Manager, Terry Gullett, addressed to Makaela Cominsky, Buyer in the Procurement Services Department of Hillsborough County, Florida. The letter establishes Neptune Technology Group LLC as the sole manufacturer and exclusive representative for the provision of AMI meters, OEM repair parts, meter repairs, and Neptune 360 Meter reading software within Florida's Gulf Coast region. Hillsborough County currently operates Neptune T-10 and Mach 10 Water Meters supported by Neptune 360 AMI Software for water usage tracking and billing. The County intends to enter into a three-year sole source procurement agreement with Neptune Technology Group LLC for continued AMI water meter supply, with Terry Gullett identified as the primary contact for procurement matters at 407-493-5385 or tgullett@neptunetg.com, located at 1600 Alabama Highway 229, Tallassee, Alabama 36078.

The estimated contract value is $58,367,998.00 over the three-year period, with Hillsborough County receiving a 35% discount off manufacturer's suggested retail price, resulting in documented savings of $31,428,922.00. This procurement qualifies as a sole source under Section 3-205(2)(b) of the County's Procurement Policy, as Neptune's proprietary Neptune 360 AMI Software is incompatible with non-Neptune meters, and software from competing manufacturers cannot effectively capture and transmit data from existing Neptune meters. The sole source award is justified on grounds of system compatibility and the unavailability of comparable products through alternative sources. Ferguson Water Works serves as Neptune's Sole Source Distributor for the State of Florida; however, Hillsborough County qualifies as a direct customer, enabling access to preferential pricing. The County reserves discretionary authority to extend the contract term, adjust scope of services, and increase the award value in response to changing operational requirements.