HomeMy WebLinkAbout1999-01-19 City Council (14)TO:
City of Palo Alto
C ty Manager’s Report
HONORABLE CITY COUNCIL
FROM: CITY MANAGER DEPARTTMENT: UTILITIES
DATE:
SUBJECT:
JANUARY 19, 1999 CMR: 121:9~
APPROVAL OF A CONSULTING CONTRACT WITH POWER
RESOURCE MANAGERS, LLP TO PROVIDE SERVICES RELATING
TO ELECTRIC DEREGULATION
RECOMMENDATIONS
Staff recommends that the Council authorize the Mayor to execute the attached consultant
contract with Power Resources Managers, LLP (Attachment 1)’ for a not-to-exceed amount
of $160,000 for FY 1998-99, and contingent on Council approval of the budget, not to
exceed $210,000 for FY 1999-00 and $210,000 for FY 2000-01.
The consultants will provide consulting services to the Utilities Department in the areas of
retail energy services, demand side management programs, development of products and
services, and energy risk management.
DISCUSSION
Consultant Service Description
The Utilities Department has identified the need for consulting services to augment staff
resources and provide specialized knowledge, analysis and program development assistance.
A major focus of these services is continuing to prepare and implement actions related to
¯ electric and gas industry restructuring.
Services to be provided by the consultant include: assistance with design, development and
implementation of demand side management programs; conducting engineering studies for
industrial and large commercial customers; assessing markets and competitors; segmenting
CMR: 121:98 Page 1 of 3
and analyzing customer needs for distribution and commodity products and services;
assistance with new product development for products and services to meet customer needs;
assisting, as needed, in developing an appropriate risk management program; and assistance
with developing our retail sales effort (both inside and outside of Palo Alto territory).
Selection Process
On June 11, 1998 a Request for Proposals (# 107176) was sent to 22 consulting firms which
were known to offer relevant services. Firms were given 30 days to respond to the request.
The scope of work was divided into several sections and consultants were allowed to respond
to any or all sections.
A selection committee was composed of the Assistant Director Resource Management
Division (Tom Habashi), Public Relations Manager (Linda Clerkson), Manager of
Competetive Assessment (Blake Heitzman), Manager of Supply Resources (Girish
Balchandran), Manager of Utility Marketing Services (Tom Auzenne), and a Resource
Planner (Kirk Miller)
A total of six firms provided responsive proposalsl The selection committee reviewed the
proposals and selected four firms based on the evaluation criteria contained in the request for
proposals. The evaluation criteria included: the ability to enhance City’s capabilities; overall
approach and responsiveness; identified corporate resources and tools; personnel experience
and capability; and cost and/or pricing flexibility.
Oral presentations were conducted with the fmai four firms and Power Resource Managers,
LLP was selected to assist Palo Alto in several specific areas (listed above). PRM was
particularly strong in their background with working with municipal utilities in the electric
marketplace. The team was unanimous in choosing PRM.
RESOURCE IMPACT
The required funds ($160,000) for this consulting work are already included in the FY 1998-
99 budget. Continued work under this contract for the FY 1999-2000 and FY 2000-2001 will
be subject to satisfactory performance by the Consultant and appropriation of required funds
in these fiscal years. The contract can be terminated by the City with thirty days’ notice with
or without cause.
CMR:121:98 Page 2 of 3
POLICY IMPLICATIONS
The award of this contract is consistent with existing City policy.
ENVIRONMENTAL ASSESSMENT
These services do not constitute a project for th~ purposes of the California Environmental
Quality Act.
ATTACHMENTS
Attachment 1: Consulting Contract with Power Resource Managers, LLP
PREPARED BY:Girish Balachandran, Manager, Supply Resources
Blake Heitzman, Manager, Competitive Assessment
Tom Auzenne, Manager, Utility Marketing Services
Linda Clerkson, Public Relations Manager
Kirk Miller, Resource Planner
DEPARTMENT HEAD APPROVAL:
Director of Utilities
CITY MANAGER APPROVAL:
EMILY HARRISON
Assistant City Manager
CMR: 121:98 Page 3 of 3
CONTRACT NO.
BETWEEN THE CITY OF PALO ALTO AND
POWER RESOURCE MANAGERS, LLP
FOR CONSULTING SERVICES
This Contract No.is entered into ,
by and between the CITY OF PALO ALTO, a chartered city and a
municipal corporation of the State of California ("CITY"), and
POWER RESOURCE MANAGERS, LLP, a Washington limited liability
partnership, located at 2100 ll2th Ave., N.E., Suite i00, Bellevue,
WA 98004 (~CONTRACTOR").
RECITALS:
WHEREAS, CITY desires certain consulting services
(~Services"), as more fully described in Exhibit ~A"; and
WHEREAS, CITY desires to engage CONTRACTOR, including its
employees, if any, in providing the Services by reason of its
qualifications and experience in performing such Services, and
CONTRACTOR has offered to provide the Services on the terms and in
the manner set forth herein;
NOW, THEREFORE, in consideration of the covenants, terms,
conditions, and provisions of this Contract, the parties agree:
SECTION i. TERM
I.i This Contract will commence on the date of its
execution by CITY. CONTRACTOR will commence work on tasks as
directed by the CITY’s project manager. In the event that the
Services are not completed within the specified time schedule on
account of CONTRACTOR’s default, CITY’s city manager will have the
option of extending the time schedule for any period of time. This
provision will not preclude the recovery of damages for delay
caused by CONTRACTOR.
SECTION 2,
CONTRACTOR
QUALIFICATIONS.STATUS,AND DUTIES OF
2.1 CONTRACTOR represents and warrants that it has the
expertise and professional qualifications to furnish or cause to be
furnished the Services. CONTRACTOR further represents and warrants
that the project director and every individual charged with the
performance of the Services under this Contract are duly licensed
or certified by the State of California, to the extent such
981217 syn 0071553
licensing or certification is required by law to perform the
Services.
2.2 In reliance on the representation and warranty set
forth in Section 2.1, CITY hires CONTRACTOR to perform, and
CONTRACTOR covenants and agrees that it will furnish or cause to be
furnished, the Services.
2.3 CONTRACTOR will assign GEOFF CARR as the project
director to have supervisory responsibility for the performance,
progress, and execution of the Services. If circumstances or
conditions subsequent to the execution of this Contract cause the
substitution of the project director for any reason, the
appointment of a substitute project director will be subject to the
prior written approval of the project manager.
2.4 CONTRACTOR represents and warrants that it will:
2.4.1 Procure all permits and licenses, pay all
charges and fees, and give all notices which may be necessary and
incident to the due and lawful prosecution of the Services;
2.4.2 Keep itself fully informed of all existing and
future Federal, State of California, and local laws, ordinances,
regulations, orders, and decrees which may affect those engaged or
employed under this Contract, any materials used in CONTRACTOR’s
performance under this Contract, or the performance of the
Services;
2.4.3 At all times observe and comply with, and cause
its employees and contractors (and consultants), if any, who are
assigned to the performance of this Contract to observe and comply
with, the laws, ordinances, regulations, orders and decrees
mentioned above; and
2.4.4 Will report immediately to the project manager,
in writing, any discrepancy or inconsistency it discovers in the
laws, ordinances, regulations, orders, and decrees mentioned above
in relation to any plans, drawings, specifications or provisions of
this Contract.
2.5 .Any reports, information, data or other material
given to, or prepared or assembled by,~ CONTRACTOR or its
contractors, if any, under this Contract will become the property
of CITY and will not be made available to any individual or
organization by CONTRACTOR or its contractors, if any, without the
prior written approval of the city manager.
2.6 CONTRACTOR will provide CITY with five (5), copies
of any documents which are part of the deliverables upon their
completion and acceptance by CITY.
981217 Syn 0071555 2
2.7 If CITY requests additional copies of reports,
drawings, specifications or any other material which CONTRACTOR is
required to furnish in limited quantities in the performance of
the Services, CONTRACTOR will provide such additional copies and
CITY will compensate CONTRACTOR for its duplication costs.
2.8 CONTRACTOR will be responsible for employing or
engaging all persons necessary to perform the Services. All
contractors of CONTRACTOR will be deemed to be directly controlled
and supervised by CONTRACTOR, which will be responsible for their
performance. If any employee or contractor of CONTRACTOR fails or
refuses to carry out the provisions of this Contract or ap.pears to
be incompetent or to act in a disorderly or improper manner, the
employee or contractor will be discharged immediately from further
performance under this Contract on demand of the project manager.
2.9 In the execution of Services, CONTRACTOR and its
consultants, if any, will at all times be considered independent
contractors and not agents or employees of CITY.
SECTION 3. DUTIES OF CITY
3.1 CITY will furnish or cause to be furnished the
specified services, if any, set forth in Exhibit ~A" and such
other information regarding its requirements as may be reasonably
requested by CONTRACTOR.
3.2 The city manager will represent CITY for all
purposes under this Contract. GIRISH BALACHANDRAN, Manager, Supply
Resources, is designated as the project manager for the city
manager. The project manager will supervise the performance,
progress, and execution of the Services, and will be assisted by
KIRK MILLER, Resource Planner.
3.3 If.’ CITY observes or otherwise becomes aware of any
default in the performance of CONTRACTOR, CITY will use reasonable
efforts to give written notice thereof to CONTRACTOR in a timely
manner.
SECTION 4 - COMPENSATION
4.1 In consideration of the full performance of the
Services by CONTRACTOR, CITY will pay CONTRACTOR within thirty
(30) days of submission by CONTRACTOR of its itemized billings, in
triplicate, in accordance with the following fee schedule set forth
in Exhibit ~B".
981217 syn 0071553 3
SECTION 5. AUDITS
~5.1 CONTRACTOR will permit CITY to audit, at any
reasonable time during the term of this Contract and for three (3)
years thereafter, CONTRACTOR’s records pertaining to matters
covered by this Contract. CONTRACTOR further agrees to maintain
and retain such records for at least three (3) years after the
expiration or earlier termination of this Contract.
SECTION 6. INDEMNITY
6.1 CONTRACTOR agrees to protect, indemnify, defend and
hold harmless CITY, its Council members, officers, employees and
agents from any and all demands, claims, or liability of any
nature, including death~ or injury to any person, property damage or
any other loss, caused by or arising out of CONTRACTOR’s, its
officers’, agents’, subcontractors’ or employees’ negligent acts,
errors, or omissions, or willful misconduct, or conduct for which
applicable law may impose strict liability on CONTRACTOR in the
performance of or failure to perform its obligations under this
Contract.
SECTION 7. WAIVERS
7.1 The waiver by either party of any breach or
.violation of any covenant, term, condition or provision of this
Contract, or of the provisions of any ordinance or law, will not be
deemed to be a waiver of any other term, covenant, condition,
provisions, ordinance or law, or of any subsequent breach or
violation of the same or of any other term, covenant, condition,
provision, ordinance or law. The subsequent acceptance by either
party of any fee or other money which may become due hereunder will
not be deemed to be a waiver of any preceding breach or violation
by the other party of any term, covenant, condition or provision of
this Contract or of any applicable law or ordinance.
7.2 No payment, partial payment, acceptance, or partial
acceptance by CITY will operate as a waiver on the part of CITY of
any of its rights under this Contract.
SECTION 8.INSURANCE
8.1 CONTRACTOR, at its sole cost and expense, will
obtain and maintain, in full force and effect during~the term of
this Contract, the insurance coverage described in Exhibit "C",
insuring not only CONTRACTOR and its contractors, if any, but also,
with the exception of workers’ compensation, employer’s liability,
and professional liability insurance, naming CITY as an additional
insured concerning CONTRACTOR’s performance under this Contract.
9g1217 syn 0071553 4
8.2 All insurance coverage required hereunder will be
provided through carriers with Best’s Key Rating Guid~ ratings of
A:VII or higher which are admitted to transact insurance business
in the State of California. Any and all contractors of CONTRACTOR
retained to perform Services under this Contract will obtain and
maintain, in full force and effect during the term of this
Contract, identical insurance coverage, naming CITY as an
additional insured under such policies as required above.
8.3 Certificates of such insurance, preferably on the
forms provided by CITY, will be filed with CITY concurrently with
the execution of this Contract. The certificates will be subject
to the approval of CITY’s risk manager and will contain an
endorsement stating that the insurance is primary coverage and will
not be canceled or altered by the insurer except after filing with
CITY’s city clerk thirty (30) days’ prior written notice of such
cancellation or alteration, and that the City of Palo Alto is named
as an additional insured except in policies of workers’
compensation, employer’s liability, and professional liability
insurance. Current certificates of such insurance will be kept on
file at all times during the term of this Contract with the ~city
clerk.
8.4 CITY and CONTRACTOR agree to limit CONTRACTOR’s
professional liability, including any subcontractor’s liability,
arising from this contract to an aggregate amount of $I,000,000.
SECTION 9. WORKERS’ COMPENSATION
9.1 CONTRACTOR, by executing this Contract, certifies
that it is aware of the provisions of the Labor Code of the State
of California which require every employer to be insured against
liability for workers’ compensation or to undertake self-insurance
in accordance with the provisions of that Code, and certifies that
it will comply with such provisions, as applicable, before
commencing the performance of the Services.
SECTION i0,
SERVICES
TERMINATION OR SUSPENSION,,,,, OF CONTRACT OR
I0.I The city manager may suspend the performance of the
Services, in whole or in part, or terminate this Contract, with or
without cause, by giving thirty (30) days’ prior written notice
thereof to CONTRACTOR. Upon receipt of such notice, CONTRACTOR
will immediately discontinue its performance of the Services.,
10.2 CONTRACTOR may terminate this Contract or suspend
its performance of the Services by giving thirty (30) days’ prior
written notice thereof to CITY, but only in the event of a
substantial failure of performance by CITY or in the event CITY
981217 syn 0071553 5
indefinitely withholds or withdraws its request for the initiation
or continuation of the Services to be performed.
~i0.3 Upon such suspension or termination by CITY,
CONTRACTOR will be paid for the Services, including expenses
incurred, actually rendered to CITY on or before the effective date
of suspension or termination; provided, however, if this Contract
is suspended or terminated on account of a default by CONTRACTOR,
CITY will be obligated to compensate CONTRACTOR only for that
portion of the Services which are of direct and immediate benefit
to CITY, as such determination may be made by the city manager
acting in the reasonable exercise of her discretion.
10.4 Upon such suspension or termination, CONTRACTOR will
deliver to the city manager immediately any and all copies of
studies, sketches, drawings, computations, and other data, whether
or not completed, prepared by CONTRACTOR or its contractors, if
any, or given to CONTRACTOR or its contractors, if any, in
connection with this Contract. Such materials will become the
property of CITY.
10.5 The failure of CITY to agree with CONTRACTOR’s
independent findings, conclusions, or recommendations, if the same
are called for under this Contract, on the basis of differences in
matters of judgment, will not be construed as a failure on the~part
of CONTRACTOR to fulfill its obligations under this Contract.
SECTION II. ASSIGNMENT
ii.i This Contract is for the personal services of
CONTRACTOR, ~therefore, CONTRACTOR will not assign, transfer,
convey, or otherwise dispose of this Contract or any right, title
or interest in or to the same or any part thereof without the prior
written consent of CITY. A consent to one assignment will not be
deemed to be a consent to any subsequent assignment. Any
assignment made without the approval of the city manager will be
void and, at the option of the city manager, this Contract may be
terminated. This Contract will not be assignable by operation of
law.
SECTION 12.NQTICE$
12.1 All notices hereunder will be given in writing and
mailed, postage prepaid, by certified mail, addressed as follows:
To CITY:Office of the City Clerk
City of Palo Alto
Post Office Box 10250
Palo Alto, CA 94303
981217 syn 0071553 6
Copy to:Department of Utilities
City of Palo Alto
Post Office Box 10250
Palo Alto, CA 94303
Attn:’ Girish Balachandran
To CONTRACTOR: Power Resource Managers, LLP
2100 - ll2th Ave., N.E., Suite i00
Bellevue, WA 98004-2911
Attn: Project Director
SECTION 13.CQNFLICT OF INTEREST
13.1 In accepting this Contract, CONTRACTOR covenants
that it presently has no interest, and will not acquire any
interest, direct or indirect, financial or otherwise, which would
conflict in any manner or degree with the performance of the
Services. CONTRACTOR further agrees that it will not engage in any
activity which constitutes a conflict of interest as described in
Exhibit
13.2 CONTRACTOR further covenants that, in the
performance of this Contract, it will not employ any contractor or
person having such an interest. CONTRACTOR certifies that no
person who has or will have any financial interest under this
Contract is an officer or employee of CITY; this provision will be
interpreted in accordance with the applicable provisions of the
Palo Alto Municipal Code and the Government Code of the State of
California.
SECTION 14.NONDISCRIMINATION
14.1 As set forth in the Palo Alto Municipal Code, no
discrimination will be made in the employment of any person under
this Contract because of the age, race, color, national origin,
ancestry, religion, disability, sexual preference or gender of that
person. If the value ’of this Contract is, or may be, five thousand
dollars ($5,000) or more, CONTRACTOR agrees to meet all
requirements of the Palo Alto Municipal Code pertaining to
nondiscrimination in employment, including completing the requisite
form furnished by CITY and set forth in Exhibit "D".
14.2 CONTRACTOR agrees that each contract for services
with an independent provider will contain a provision substantially
as follows:
"[Name of Provider] will provide CONTRACTOR
with a certificate stating that [Name of
Provider] is currently in compliance with all
Federal and State of California laws covering
981217 syn 0071553 7
nondiscrimination in employment; that [Name of
Provider] will pursue an affirmative course of
action as required by the Affirmative Action
Guidelines of the City of Palo Alto; and that
[Name of Provider] will not discriminate in
the employment of any person under this
contract because of the age, race, color,
national origin, ancestry, religion,
disability, sexual preference or gender of
such person."
14.3 If CONTRACTOR is found in violation of the
nondiscrimination provisions of the State of California Fair
Employment Practices Act or similar provisions of Federal law or
executive order in the performance of this Contract, it will be in
default of this Contract. Thereupon, CITY will have the power to
cancel or suspend this Contract, in whole or in part, or to deduct
the sum of twenty-five dollars ($25) for each person for each
calendar day during which such person was subjected to acts of
discrimination, as damages for breach of contract, or both. Only
a finding of the State of California Fair Employment Practices
Commission or the ~equivalent federal agency or officer will
constitute evidence of a breach of this Contract.
14.4 If CONTRACTOR is in default of the nondiscrimination
provisions of this Contract or the Affirmative Action Guidelines
pertaining to this Contract, CONTRACTOR will be found in material
breach of this Contract. Thereupon, CITY will have the power to
cancel or suspend this Contract, in whole or in part, or to deduct
from the amount payable to CONTRACTOR the sum of two hundred fifty
dollars ($250) for each calendar day during which CONTRACTOR is not
in compliance with this provision as damages for breach of
contract, or both.
SECTION 15.MISCELLANEOUS PROVISIONS
15.1 CONTRACTOR represents and warrants that it has
knowledge of the requirements of the Americans with Disabilities
Act of 1990, and the Government Code and the Health and Safety Code
of the State of California, relating to access to public buildings
-and accommodations for disabled persons, and relating to facilities
for disabled persons. CONTRACTOR will comply with or ensure by its
advice that compliance with such provisions will be effected in the
performance of this Contract.
15.2 This Contract will be governed by the laws of the
State of California, excluding its conflicts of law.
15.3 In the event that an action is brought, the parties
agree that trial of such action will be vested exclusively in the
state courts of California or in the United States District Court
981217 syn 0071553 8
for the Northern District.of California in the County of Santa
Clara, State of California.
15.4 The prevailing party in any action brought to
enforce the provisions of this Contract may recover its reasonable
costs and attorneys’ fees expended in connection with that action.
15.5 This document represents the entire and integrated
agreement between the parties and supersedes all prior negotia-
tions, representations, and contracts, either written or oral.
This document may be amended only by a written instrument, which is
signed by the parties.
15.6 All provisions of this Contract, whether covenants
or conditions, will be deemed to be both covenants and conditions.
15.7 The covenants, terms, conditions and provisions of
this Contract will apply to, and will bind, the heirs, successors,
executors, administrators, assignees, and contractors, as the case
may be, of the parties.
15.8 If a court of competent jurisdiction finds or rules
that any provision of this Contract or any amendment thereto is
void or unenforceable, the unaffected provisions of this Contract
and any amendments thereto will remain in full force and effect.
15.9 All exhibits referred to in this Contract and any
addenda, appendices, attachments, and schedules which, from time
to time, may be referred to in any duly executed amendment hereto
are by such reference incorporated in this Contract and will be
deemed to be a part of this Contract.
15.10 This Contract may be executed in any number of
counterparts, each of which will be an original, but all of which
together will constitute one and the same instrument.
15.11 This Contract is subject to the fiscal provisions
of the Charter of the City of Palo Alto and the Palo Alto Municipal
Code. This Contract will terminate without any penalty (a) at the
end of any fiscal year in the event that funds are not appropriated
for the following fiscal year, or (b) at any time within a fiscal
year in the event that funds are only appropriated for a portion of
the fiscal year and funds for this Contract are no longer
available. CONTRACTOR shall be entitled to compensation due under
this contract for services performed and expenses incurred, prior
to notification by the CITY. This Section 15.11 shall take
precedence in the event of a conflict with any other covenant,
term, condition, or provision of this Contract.
981217 syn 0071553 9
IN WITNESS WHEREOF, the parties hereto have by their duly
authorized representatives executed this Contract on the date first
above written.
ATTEST:CITY OF PALO ALTO
City Clerk
APPROVED AS TO FORM:
Senior Asst. City Attorney
Assistant City Manager
Director of Utilities
Mayor
POWER RESOURCE
MANAGERS, LLP /
Name : Loren A. Baker
Title: senior Vice President
Director of Administrative
Services
Risk Manager
By
Name : Nancy J. Gil~
Title :Partnership Secretary
(Compliance with Corp. Code §
313 is required if the entity
on whose behalf this contract
is signed is a corporation. In
the alternative, a certified
corporate resolution attesting
to the signatory authority of
the individuals signing in
their respective capacities is
acceptable)
Attachments:
EXHIBIT "A":
EXHIBIT "B":
EXHIBIT "C":
EXHIBIT "D":
EXHIBIT "E":
SCOPE OF SERVICES AND TIME SCHEDULE
FEE SCHEDULE
INSURANCE
NONDISCRIMINATION COMPLIANCE FORM
CONFLICT OF INTEREST
981217 sya 0071553 10
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code ~ 1189)
{44/
k,,) ss.
COUNTY OF kq~//)
On ~I , before me,~,
a Notary Public in affd for _said Counhy and State,. personally
appeared ~/-~}~ ]~ ~2~//~/’~/7~,.-~ ~/// ,
personally known to me or proved to n~e on th~b~sis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the
within instrument and acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity(is), and that by
his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the person(s) acted, executed the
hand and official seal.
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code ~ 1189)
STATE OF )
) SS.
COUNTY OF-)
on , before me,.,
a Notary Public in and for said County and State, personally
appeared ,
personally known to me or proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the
within instrument and acknowledged to me that he/she/they executed
[he same in his/her/their authorized capacity(is), and that by
his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the person(s) acted, executed the
instrument.
WITNESS my hand and official seal.
Signature of Notary Public
981217 syn 0071553 11
EXHIBIT
SCOPE OF SERVICES AND TIME SCHEDULE
The Scope of Services for this contract is provided below.
The CONTRACTOR may be asked to perform services in one or more of
the following areas:
A.Retail Energy Services
Assist the CITY in the development of an overall approach to
marketing for retention of existing customers and attaining new
customers.Tasks may include, but are not limited to, the
following:
Develop an overall (integrated) retail marketing plan and
approach that incorporates both demand- and supply-side
solutions.
Formation of teams and organizational processes to
implement a retail marketing program
B.New Product Development
Assist CITY in developing new energy products and/or services
for its existing internal customers and potential outside retail
customers. Tasks may include, but not be limited to, the following:
i.’Perform market research in several areas to determine:
a.products being offered to customers
b.mechanisms for product delivery
c.available pricing information and customer response
to product offerings
Analyze market data
Determine which products (or packages of products) the
CITY should undertake to market to various customer
classes as well as the market potential and pricing for
those products.
Prepare specifications for suppliers of the products
which the CITY determines that it wishes to offer to its
customers, and to interview and select suppliers for
these services.
Develop marketing plans and materials for various
products to be~offered.
981217 syn 0071553
Retail Outside Sales Program
Assist the CITY in developing and implementing its Retail
Outside Sales Program. Task may include, but not be limited to
assistance with the following:
Completion of business plan including review and feedback
on goals, objectives, strategies and competitor
assessment.
Financial modeling to support and/or evaluate business
plan objectives
Development of a marketing plan and materials
Implementation of a sales process
Implementation details for outside sales, including:
requirements for scheduling coordination, billing,
metering, and settlements in the ISO and PX systems
Review and/or development of contracts and associated
rules, regulations and fees
D.Engineering Studies for Industrial and L~rge Commercial
Customers
Assist CITY in a number of areas relating to industrial and
large commercial energy usage. Tasks may include, but not be
limited to, the following:
Steam trap maintenance and economizer additions to
existing boilers
Uninterrupted power supplies and power transfer schemes
Boiler blow-down heat recovery
Cooling tower evaluations aimed at improving efficiency
and minimizing water consumption and wastewater disposal
Compressed air system energy efficiency improvements
General evaluation of processes to conserve thermal and
electrical energy and conserve water and reduce
wastewater
E.Demand Sid@ Man~gem~nt
Assist the CITY in areas relating to design, development and
implementation of energy efficiency programs and other types of
Demand Side Management (DSM) Approaches. Tasks may include, but are
not limited to, the following:
Review of current and past CITY programs and services
opportunities for the target markets
Recommendations for programs comprehensive approaches and
delivery options
Program development including, detailed implementation
steps and timelines
981217 syn 0071553
Identification and selection of local trade allies and
contractors
Implement and evaluate energy efficiency programs on a
"pilot" or trial basis, and/or "turn-key" basis for
residential and business customers.Such programs may
include, but are not limited to:
Lighting retrofits
Small business resource efficiency improvements
Residential irrigation efficiency
Home improvement financing packages
Outdoor lighting
Appliance warranty programs
Window efficiency improvements
Implement and evaluate energy efficiency programs for
large commercial and industrial customers using a
comprehensive and integrated approach.
F.Risk Management
Assist CITY in the advancement of its energy commodity risk
management systems and procedures. Tasks may include, but are not
limited to, the following:
Review and/or develop risk management guidelines in the
following areas:
transaction limits
internal controls
Allowable financial instruments
Counter party credit limitations
Transaction procedures
Performance measurement
Record keeping
Identification and/or
management software
a.Front office
b.Middle office
c.Back office
development of required risk
4.
5.
6.
Development of asset management strategies
Development of appropriate management reporting process
including review of risk measures being utilized
Staff and management training in portfolio riskmanagement
Additional tasks as needed
981217 syn 0071553
Asset Management
Assist CITY in the optimal use of existing generation and
transmission .assets (including ’NCPA resources, WAPA resources,
contracts, market purchases). Tasks may include, but are not
limited to, the following:
Development of asset management strategies
Assistance with implementing market transactions
Evaluation of NCPA services and alternatives
TASK ASSIGNMENT PROCEDURE
The CONTRACTOR will be assigned various tasks during the
duration of this contract. The selected tasks will depend upon the
needs of the CITY, the scope of the task and the CONTRACTOR’s area
of expertise. The Task assignment procedure will be the following:
Each workgroup (e.g. UMS, COMPASS, SRG) will designate
one Project Manager to define and approve all task
assignments to be completed by CONTRACTOR for each
workgroup. The CITY will designate a Contract
Administrator to coordinate communication between the
Project Managers and CONTRACTOR.
Each Project Manager will provide a written task
description to both the Contract Administrator and
CONTRACTOR. Verbal task descriptions may be provided by
the Project Manager to the CONTRACTOR for small, clearly
defined tasks.
The CONTRACTOR. Shall .provide the responsible Project
Manager and the Contract Administrator with a written
.price quotation for services along with an estimated time
of completion, and names of assigned personnel.
Reasonable expenses may be included in the price
quotation. If a site visit or meeting with the CITY is
required to estimate the cost of the task, the CONTRACTOR
may charge a reasonable fee for his or her time required
for the visit. This may be added to the cost of the
project assignment or charged separately.
If the CONTRACTOR declines to perform the work on an
offered task, the CONTRACTOR shall notify Contract
Administrator within five working days¯
981217 sya 0071553
Based on the CONTRACTOR’s price quotation and other
factors (e.g. dates for deliverables, assigned personnel,
task methodology, etc), the Contract Administrator will
authorize the work with a written ~Notice to Proceed," or
redefine the tasks associated with the assignment, or
cancel the assignment request.
The consultant shall complete the work and provide CITY
with the deliverables.
TIME SCHEDULE
The term of this contract is from the date of execution through
June 30, 2001.
981217 syn 0071553
EXHIBIT ~B"
FEE SCHEDULE
The maximum compensation due and payable to CONTRACTOR,
whose hourly rates also are set forth in this Exhibit ~B", is
subject to CITY’s budget of $160,000 for FY 1998-99, and $210,000
for FY 1999-000 and $210,000 for FY 2000-01 pursuant to CITY’s
Request for Proposals No. 107176 and CITY’s appropriations for
these service contracts. No representation or warranty is made by
CITY that CONTRACTOR shall be entitled to a minimum amount of
compensation under this Contract.
The attached billing rates may be adjusted on an annual
basis to reflect the change in rates officially established by the
CONSULTANT’s Board of Directors.
Reproduction, printing, communications, computer
services, and other miscellaneous support services shall be billed
at 10% (ten percent) of the labor costs for the billing period.
This additional ~non-labor" cost will be included for each billing
period.
All travel, food, lodging and miscellaneous expenses,
except automobile mileage, associated with the provision of
services hereunder shall be billed at cost. Automobile mileage
will be billed at the rate approved by the Internal Revenue
Service.
99014 syn 0071553
PROJECT TEAM BILLING RATES
Loren Baker
Katrina Becker
Geoff Carr
Ann Donnelly
Mike Donnelly
Jeff Fuller
Jerry Garman
Bob McCorkle
Ray Nelson
Andy Wetz.
220
110
140
160
200
130
220
150
190
130
Glen Brisbine
Daniel Jones
John Martin
100
100
165
John Graham 105
J.L. (Jeff) Schuster 200
T.J. (Tom) Smolarek 200
Roger Spring 100
Jennifer Williamson 90
EXIIIB I.T D
PART II - CERTIFICATION OF NONDISCRIMINATION SECTION 410
Certification of Nondiscrimination:
As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below
certify that they do not discriminate in employment with regards to age, race, color, religion, sex,
national odgin, ancestry, disability, or sexual preference; that they are in compliance with all
Federal, State, and local directives and executive orders regarding nondiscrimination in
employment.
/Firm:.Power Resource Managers_z LLP /
Signature:
Title:£~nior Viqe President
Date:¯ July 13t 1998
CITY OF PALO ALTO RFP 107i76 PAGE i OF 1
EXHIBIT E
CONFLICT OF INTEREST
CONTRACTOR shall not knowingly undertake before the FERC
or CPUC representation of clients whose interests conflict with the
interests of Palo Alto in the proceeding, unless Palo Alto has
given its prior written consent to the conflicting representation.
In the event Palo Alto refuses such consent, CONTRACTOR shall not
undertake the conflicting representation unless and until each of
the following has occurred: (i) CONTRACTOR has arranged for
alternate representation for Palo Alto in the proceeding, and (2)
Palo Alto has agreed to accept such alternate representation.
Moreover, CONTRACTOR has agreed not to knowingly undertake
conflicting representation without prior consultation with the
City.
981217 syn 0071553