Discussion and possible action to (a) authorize the Water Services Department to accept the Water Conservation Grant Fund Agreement with the Water Infrastructure Finance Authority of Arizona in the amount of $3,000,000; (b) approve $750,000 in city matching funding; and (c) approve a corresponding budget amendment from contingency.

On 12/20/2023, the Board of Directors for Water Infrastructure Finance Authority of Arizona ("WIFA") awarded the city a Water Conservation Grant Fund Agreement ("WCGF") award.  The American Rescue Plan Act (“ARPA”) provided the funding for the WCGF award.

In February 2023, a contract was approved and awarded to GHD Inc. to provide consulting services for a feasibility study related to the use of Advanced Metering Infrastructure (“AMI”).  This study has been ongoing and is nearly completed.  The WCGF award will reimburse the city for the cost of this study, approximately $110,000. The WCGF award will also provide funding to implement a pilot program.

The proposed activity for this grant is to fund an ongoing study to determine the feasibility, cost, and benefit to implementing AMI technology in the city of Peoria.  In addition, funding will be used to roll out a pilot program that would setup an AMI network in a section of our city to track the success and cost of this technology.

AMI technology seeks to provide an integrated system of ‘smart’ customer billing meters, communication networks, and data management systems that enable two-way, real-time communication between utilities and customers.  Benefits include tools to assist with water conservation, including providing for remote collection of water use data, the ability to send alerts to customers should they potentially have a leak, and the ability for customers to track their water use and billing in more detail.  In addition, AMI technology can result in the reduction of operating costs associated with utility customer billing.

Authorize the City Manager to accept $3,000,000 from the Water Infrastructure Finance Authority of Arizona and approve the grant agreement.