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<br />Options: <br /> <br />We have looked at options for updating the existing technology or converting to the new <br />system. We have obtained prices for both technologies. The current meters are $100 <br />each and the radio read with transmitter is $230. There would be a one time software <br />charge of$50,000 if a radio read tec1mology is selected. The options are: A - replace old <br />meters with new models using the existing reading system and B - replace old meters <br />with the radio read system. <br /> <br />A. Replace Old Meters with Current Technology <br /> <br />Replace all meters> 15 years old 680 meters <br />Replace all meters> 10 years old 1574 meters <br /> <br />$140,000 <br />$ 320,000 <br /> <br />An annual program will be required to continue replacing meters as they reach 10 years <br />in service. Replacing 250 meters a year would be $40,000 and would take 12 years after <br />replacing all the meters over 15 years old and 9 years if all meters over 10 years old were <br />replaced in the first round. The total expenditure for replacing all meters starting with <br />those over 10 years old is $680,000. The change from installation of ARB 5 to ProRead <br />meters was required quickly due to discontinuation of the ARB 5 model by the <br />manufacturer. It is conceivable that the same thing could happen with the ProRead <br />system in the future. <br /> <br />B. Replace Meters with Radio Technology <br />One Year Program <br /> <br />Capital Outlay <br /> <br />Change out of all meters older than 15 years to radio <br />system <br />Change out of all meters older than 10 years to radio <br />system Cost est. $200,000 <br />Complete change out to radio system <br /> <br />$ 250,000 <br /> <br />$ 600,000 <br /> <br />$ 1,350,000 <br /> <br />Fifteen Year Program <br />Replacement of all meters with radio read @ 250 <br />meters/ year <br />Total Program Cost <br /> <br />$90,000 <br /> <br />1,350,000 <br /> <br />An annual program will also be required to continue replacing meters as they reach 10 <br />years in service. Replacing 250 meters a year would be $90,000 and would take 12 years <br />after replacing all the meters over 15 years old and 9 years if all meters over 10 years old <br />were replaced in the first round. The total expenditure for replacing all meters starting <br />with those over 10 years old is $1,410,000. <br /> <br />8 <br />