Water_SCADA_System_Upgrade_Project_for_the_City_of_Gallup_NM.pdf

SOLE SOURCE PROCUREMENT

2026-SSP-001

WATER SCADA SYSTEM UPGRADE PROJECT FOR THE CITY OF

GALLUP NM

City of Gallup

110 W Aztec Ave.

Gallup, NM 87305

RELEASE DATE: January 30, 2025

RESPONSE DEADLINE: March 1, 2025, 5:00 pm

RESPONSES MUST BE SUBMITTED ELECTRONICALLY TO:

https://procurement.opengov.com/portal/gallupnm https://procurement.opengov.com/portal/gallupnm

City of Gallup

SOLE SOURCE PROCUREMENT

Water SCADA System Upgrade Project for the City of Gallup NM

I. Summary II. Scope of Work

III. Vendor Protest Submission

Attachments:

A - Sole Source Request Form Water Department SCADA System Upgrade

B - SKM 2024-08-19 Gallup Water SCADA System Upgrade Proposal REV3

Sole Source Procurement #2026-SSP-001 Title: Water SCADA System Upgrade Project for the City of Gallup NM

1. Summary

THIS IS NOT A COMPETITIVE BID

The proposed contract action is for products or services for which the City of Gallup intends to negotiate and award with only one source under the authority of the City of Gallup Procurement Code Ordinance

Section 1-9-17 Sole Source Procurement. Any responses received as a result of this Notice of Intent shall be considered solely for the purpose of determining whether to conduct a competitive procurement in the future. Responses will not be considered as proposals, bids, or quotes.

The Procurement Services Division has received a request to make the following sole-source procurement:

Requesting Department/Office: Water Department

Product and/or services to be purchased: Water SCADA System, includes all Materials, Plant, Equipment and Labor to Upgrade Existing System

Prospective Vendor/Contractor Information Name: SKM Engineering

Prospective Vendor/Contractor Address: 533 W. 2600 S, Suite 25

Prospective Vendor/Contractor Contact Name, Telephone Number, Email Address: (801)677-0011

Anticipated Cost: $1,287,841.14

Term: One (1) Year or Twelve (12) Months

Note: Term may not exceed one (1) year

2. Scope of Work

2.1. Sole Source Procurement

A sole source determination is not effective until the sole source request for determination has been posted for thirty (30) calendar days without challenge, and subsequently approved in writing by the the

Certified Procurement Officer. The foregoing requirement is regardless of whether the sole source request for determination has been signed by the Agency and/or the Contractor.

Contact Information:

Name of Agency: City of Gallup

Agency Chief Procurement Officer: Frances Rodriguez

Telephone Number: 505-863-1334

Email: frodriguez@gallupnm.gov

SKM Engineering

533 W. 2600 S, Suite 25

Bountiful, UT 84010

(801)677-0011

Amount before tax: $1,191,755.83

Estimated tax amount: $96,085.31

The Water SCADA System Upgrade project for the City of Gallup includes all materials, plant. equipment and labor required to upgrade the City of Gallup's existing water supervisory control and data acquisition (SCADA) system. The SCADA system functions as the hub of the NGWSP Gallup Regional

Water System by controlling and relaying information on water system parameters including pump control, pressure monitoring, flow monitoring, and valve status. The contractor shall design, build, install, program, start-up, and commission the Water SCADA System Upgrades. Additionally, the contractor shall provide 12-months of trouble shooting and support. The SCADA upgrades shall include the following:

• Provide a new server, workstation s, tablet s. networking hardware, and radios.

• Replace all obsolete PLCs and hardware in the system.

• Replace the existing IFIX and Historian Software with In ductive Automations Ignition - SCADA software.

• Function with VLAN fiber optic backbone with cellular redundancy.

• Improve communication speeds and reliability between system facilities

• Allow remote control of system via workstations, tablets, and authorized City personal computers via secure VLAN and wireless network.

• Enhanced security with dual factor login and authentication.

SKM Engineering has installed, programmed, and provided service on the existing City of Gallup SCADA system since May of 2007. SKM Engineering is familiar with all the SCADA components and programming in all forty-one (41) of the existing water facilities with SCADA components. SKM is also familiar with the location and communication paths and requirements to transmit data to and from the forty-one (41) sites. The 17-years of experience SKM Engineering has working with and installing the existing SCADA provides unique benefits to the City of Gallup and the SCADA System Upgrades. The benefits include but are not limited to the following:

• Eliminate the need and cost for a radio and communication path study.

• Eliminate the need and costs for visiting and performing site assessments at the forty-one (41) water facilities.

• Streamlined transition from existing SCADA system to new SCADA system requiring fewer disruptions of SCADA communication and functionality.

• The design, installation, programming, start-up and commissioning time for the upgraded

SCADA System is significantly shorter.

• Expertise with programing language and requirements of both the existing and proposed SCADA software and PLCs.

Other reason, please explain in full.

See Justifications above and below

The costs for the system upgrade are in-line with SCADA work performed at other locations on the

NGWSP and other projects in northwest New Mexico and the Navajo Reservation. The scope has been revised with input from DePauli Engineering and the City of Gallup. The price has been compared against similar work in the area, however, there has been no negotiation. There may be time for price negotiations, however, costs may increase during negotiations due to material cost increases anticipated in March 2025.

SKM Engineering familiarity with City's existing SCADA system provides benefits to the project. SKM

Engineering's familiarity eliminates the need for a radio and communication path study. The need for a formal site assessment report for the forty-one (41) water system location is also eliminated. The time for design, programming, start-up and commissioning is also shorted. Finally, the time that the water system is operated with a SCADA during transition from the existing SCADA system to new Scada system is potentially shorter.

A competitive bid process or other contractors/vendors cannot provide the time and cost benefits of not requiring the radio and communication path study and the site assessment reports.

The determination was based on industry knowledge and familiarity with similar SCADA work on water facilities on the NGWSP, within the City of Gallup, and NTUA water projects on the Navajo Reservation.

The cost and operational advantages with the shorter design, installation, programming, startup, and commissioning time is very significant. Additionally, the time and cost savings in not having to perform and incur costs to assess the forty-one (41) sites and complete a radio and communication path study provide additional value.

BASED ON THE ABOVE FACTS, THE PURCHASING OFFICE HAS MADE THE DETERMINTION THAT THE

JUSTIFICATION FOR THE SOLE SOURCE PROCUREMENT IS IN ACCORDANCE WITH SECTION 13-1-126

NMSA 1978 AND WILL BE POSTED FOR A 30-DAY PERIOD PRIOR TO AWARD AND PURCHASE.

3. Vendor Protest Submission

3.1. Sole Source - Vendor Response*

If your firm feels it can provide this type of goods/service, please explain in this field.

*Response required

3.2. Sole Source - File Upload*

Upload any and all documentation that firm demonstrates it can provide this type of goods/service.

Example: Quotes, Literature, Specs, Qualification Statement, etc...

*Response required