HomeMy WebLinkAboutR-2017-065 Washington State Department of Enterprise Services Agreement, Amendment 1RESOLUTION NO. R-2017-065
A RESOLUTION authorizing an Amendment to the Interagency Agreement K1411,
(Resolution No. R-2013-047) with the Department of Enterprise Services,
not to exceed $60,000, for project management services on the Citywide
Streetlight Upgrade project.
WHEREAS, the City of Yakima desires to upgrade streetlights throughout the City to
improve public safety and to reduce energy costs; and
WHEREAS, the streetlight upgrade program is identified within the City's adopted 2017
budget; and
WHEREAS, the City does not have the staffing resources or expertise to fully manage a
project of this scope and technicality; and
WHEREAS, under this agreement, the Department of Enterprise Services (DES) will
provide Project Management Services to oversee the lighting upgrades as outlined in Attachment
"A-1" of the amended agreement; and
WHEREAS, the Scope of Work and Budget included in this supplement meet the needs
and requirements of the City of Yakima for this project, now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized to execute the Amendment to Interagency
Agreement K1411 with the Department of Enterprise Services, attached hereto and incorporated
herein by this reference, not to exceed Sixty Thousand Dollars ($60,000) to provide the Project
Management Services for the Citywide Streetlight Upgrade Project, as described in the
Agreement
ADOPTED BY THE CITY COUNCIL this 16th day of May, 2017.
ATTEST:
Sonya Claar \ee, City Clerk`
INTERAGENCY Amendment Department of Enterprise Services
Date: April 11, 2017
Agreement No: K1411
Project No.: 2017-142
Amendment No: 1
Interagency Agreement Between the
State of Washington
Department of Enterprise Services
and
City of Yakima
The parties to this Agreement, the Department of Enterprise Services, Engineering &
Architectural Services, hereinafter referred to as "DES", and City of Yakima, hereinafter referred
to as the "CLIENT AGENCY", hereby amend the Agreement as follows:
1. Statement of Work
DES shall furnish the necessary personnel and services and otherwise do all things necessary
for or incidental to the performance of the work set forth in Attachment "A-1" and
Attachment "C-1", attached hereto and incorporated herein by reference. Unless otherwise
specified, DES shall be responsible for performing all fiscal and program responsibilities as
set forth in Attachment "A-1" and Attachment "C-1".
Energy/Utility Conservation projects shall be authorized by Amendment to this Agreement.
1.1 City of Yakima — Street Lighting outlined in the Ameresco Energy Services
Proposal dated March 8, 2017.
Attachment "A" Scope of Work Energy/Utility Conservation Projects Management Services
is revised to Attachment "A-1" and Attachment "C" Scope of Work Energy/Utility
Conservation Projects Monitoring Services is revised to Attachment "C-1" to update the
Statewide Energy Performance Contracting Program Master Energy Services Agreement
number from Agreement No. 2011469 to Agreement No. 2015-181, attached hereto and
incorporated herein by reference.
3. Period of Performance
Subject to its other provisions, the period of performance of this Agreement shall commence
on April 17, 2013, and be completed on December 31, 2021, unless altered or amended as
provided herein.
Interagency Agreement No. K1411 Page 1 of 3
4. Consideration
Compensation under this Agreement shall be by Amendment to this Agreement for each
authorized project. Each Amendment will include a payment schedule for the specific
project.
For Project Management Services provided by DES under Attachment "A-1" of this
Agreement, the CLIENT AGENCY will pay DES a Project Management Fee for services
based on the total project value per Project Management Fees Schedule set forth in
Attachment "B-1".
If the CLIENT AGENCY decides not to proceed with an Energy/Utility Conservation project
that meets the CLIENT AGENCY's cost effective criteria, then the CLIENT AGENCY will
be charged a Termination Fee per Attachment "B-1". The Termination Fee will be based on
the estimated Total Project Value outlined in the Energy Audit and Energy Services Proposal
prepared by the Energy Services Company (ESCO).
If measurement and verification services are requested by the CLIENT AGENCY and
provided by DES under Attachment "C-1" of this Agreement, the CLIENT AGENCY will
pay DES $2,000.00 annually for each year of monitoring and verification services requested.
Compensation for services provided by the ESCO shall be paid directly to the ESCO by the
CLIENT AGENCY, after DES has reviewed, approved and sent the invoices to the CLIENT
AGENCY for payment.
4.1 Energy Project Management Fee for the work described in Section 1.1 is
$60,000.00. Anticipated billing date for this Amendment is May 1, 2018.
The new total Agreement value is $60,000.00.
This Amendment also revises the Interagency Reimbursement Costs outlined in Attachment
"B" of the Agreement to reflect the current DES project management fees. A new
Attachment "B-1" is included with this Amendment.
5. Billing Procedure
DES shall submit a single invoice to the CLIENT AGENCY upon substantial completion of
each authorized project, unless a project specified a Special Billing Condition in the
Amendment. Substantial completion of the project will include the delivery and acceptance
of closeout documents and commencement of energy savings notification. Each invoice will
clearly indicate that it is for the services rendered in performance under this Agreement and
shall reflect this Agreement and Amendment number.
DES shall invoice the CLIENT AGENCY for any remaining services within 60 days of the
termination of this Agreement.
Interagency Agreement No. K1411 Page 2 of 3
All sections above have been fully amended and are shown in their entirety.
All other terms and conditions of this Agreement remain in full force and effect. The
requirements of RCW 39.34.030 are satisfied by the underlying Agreement and are incorporated
by reference herein.
Each party signatory hereto, having first had the opportunity to read this Amendment and discuss
the same with independent legal counsel, in execution of this document hereby mutually agree to
all terms and conditions contained herein, and as incorporated by reference in the original
Agreement.
City of Yakima
Department of Enterprise Services
Engineering & Architectural Services
Roger Wigfield, P
til l WM4M�%r- 5 f ( 'n0- Energy Program Manager 57-2_57/-7
Title / Date Title Date
K141 l IAAamdlcr
CITY CONTRACT NO: �nvis-o17 0irn,l,
RESOLUTION NO: P. -2017— 45—
Interagency Agreement No. K1411 Page 3 of 3
ATTACHMENT A-1
Scope of Work
Energy/Utility Conservation Projects
Management Services
Statewide Energy Performance Contracting Program
Master Energy Services Agreement No. 2015-181
DES will provide the following project management services for each specific project for the
CLIENT AGENCY. Each individual project shall be authorized by Amendment to this
Agreement.
1. Assist the CLIENT AGENCY in the selection of an Energy Service Company (ESCO)
consistent with the requirements of RCW 39.35A for local governments; or 39.35C for state
agencies and school districts.
2. Assist in identifying potential energy/utility conservation measures and estimated cost
savings.
3. Negotiate scope of work and fee for ESCO audit of the facility(s).
4. Assist in identifying appropriate project funding sources and assist with obtaining project
funding.
5. Assist in negotiating the technical, financial and legal issues associated with the ESCO's
Energy Services Proposal.
6. Review and recommend approval of ESCO energy/utility audits and Energy Services
Proposals.
7. Provide assistance during the design, construction and commissioning processes.
8. Review and approve the ESCO invoice vouchers for payment.
9. Assist with final project acceptance.
10. Provide other services as required to complete a successful energy performance contract.
Interagency Agreement No. K1411
ATTACHMENT B-1
Fee Schedule
2015-17 Interagency Reimbursement Costs
for Project Management Fees to Administer
Energy/Utility Conservation Projects
PROJECT
TOTAL PROJECT VALUE MANAGEMENT FEE TERMINATION
5,000,001 6,000,000 $66,000 25,700
4,000,001 ..5,000,000 65,000 25,400
3,000,001 4,000,000 64,000 25,000
2,000,001 3,000,000 60,000 23,400
1,500,001 2,000,000 56,000 21,800
1,000,001.......1,500,000 49,500 19,300
900,001 1,000,000 42,000 16,400
800,001 ..900,000 39,600 15,400
700,001 ..800,000 36,800 14,400
600,001 ..700,000 35,000 13,700
500,001 ..600,000 32,400 12,600
400,001 ..500,000 29,000 11,300
300,001 ..400,000 24,800 9,700
200,001 ..300,000 19,800 7,700
100,001 ..200,000 13,800 5,400
50,001 ..100,000 7,500 3,500
20,001 50,000 4,000 2,000
0 20,000 2,000 1,000
The project management fee on projects over $6,000,000 is 1.1% of the project cost. The
maximum DES termination fee is $25,700.
1. These fees cover project management services for energy/utility conservation projects managed
by DES's Energy Program.
2. Termination fees cover the selection and project management costs associated with managing
the ESCO's investment grade audit and proposal that identifies cost effective conservation
measures if the CLIENT AGENCY decides not to proceed with the project through DES.
3. If the project meets the CLIENT AGENCY's cost effectiveness criteria and the CLIENT
AGENCY decides not to move forward with a project, then the CLIENT AGENCY will be
invoiced per Attachment B Termination or $25,700.00 whichever is less. If the CLIENT
AGENCY decides to proceed with the project then the Agreement will be amended per
Attachment B for Project Management Fee.
4. If the audit fails to produce a project that meets the CLIENT AGENCY's established Cost
Effectiveness Criteria, then there is no cost to the CLIENT AGENCY and no further
obligation by the CLIENT AGENCY.
Interagency Agreement No. K1411 Rev. 3/12/2012
ATTACHMENT C-1
Scope of Work
Energy/Utility Conservation Projects
Monitoring Services
Statewide Energy Performance Contracting Program
Master Energy Services Agreement No. 2015-181
If requested DES will provide the following monitoring services for each specific project for the
CLIENT AGENCY.
1. Monitor actual energy use and dollar costs, compare with the ESCO's annual Measurement
and Verification (M&V) report and any ESCO guarantee, resolve differences, if needed, and
approve any vouchers for payment.
2. Monitor facility operations including any changes in operating hours, changes in square
footage, additional energy consuming equipment and negotiate changes in baseline energy
use which may impact energy savings.
3. Provide annual letter report describing the ESCO's performance, equipment performance and
operation, energy savings and additional opportunities, if any, to reduce energy costs.
Interagency Agreement No. K 141 1
ITEM TITLE:
SUBMITTED BY:
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
1
Item No. 14.
For Meeting of: May 16, 2017
Resolution authorizing an amendment to interagency agreement
with the Washington Department of Enterprise Services for Project
Management Services on the Citywide LED Streetlight Upgrade
Project
Joseph Rosenlund, Streets & Traffic Operations Manager, (509)
576-6430
Scott Schafer, Public Works Director
SUMMARY EXPLANATION:
A project to replace approximately 4,000 High Pressure Sodium (HPS) streetlights with LED
streetlights was approved as a Strategic Initiative in the 2017 City of Yakima Budget. The
purpose of this project is to reduce on-going energy and maintenance costs associated with the
City's streetlight system with the added benefit of improved lighting levels that will add to the
safety and security of our City residents.
The Interagency Agreement between the City of Yakima and Washington State Department of
Economic Services (DES) obtains expertise and project management resources that the City
does not have for such a project. As part of this Agreement, the DES will also assist the City in
management of the project as well as monitoring of the energy savings; ensuring that the City
receives the full value of its services from the Energy Services Consultant from project start to
the end of the warranty period.
The Energy Services Consultant selected through DES's contracting process has conducted an
audit of our existing streetlight system and developed a scope of work to implement the project.
They have assisted the City in selecting components for the streetlight upgrades, developed a
cost estimate for the project and funding strategy for implementation, and will assist in obtaining
grants, rebates and other outside funding sources.
The proposed amendment to the I nteragency Agreement is to reflect a cost savings of $4,000
due to a more refined scope of work and the reduction in material costs since the project was
originally proposed by DES back in 2013 (Attached). The cost for DES to provide project
management was reduced from $64,000 to $60,000. This fee was included in the estimated
project cost of $2.1 million as presented in the 2017 Strategic Budget Initiative approved by the
City Council. The actual total cost of this project to upgrade City-wide streetlights to LED is not
2
to exceed $2,886,118.
Attached for City Council review is the amendment to Interagency Agreement K1411.
with Exhibit "A-1 ", "B-1" and "C-1"). Exhibit "A-1" of the Agreement describes the Scope of Work
for Management Services in more detail. Exhibit "B-1" of the Agreement describes the Fee
Schedule in more detail. Exhibit "C-1" of the Agreement describes the Scope of Work for
Monitoring Services in more detail.
ITEM BUDGETED:
STRATEGIC PRIORITY:
APPROVED FOR
SUBMITTAL:
Yes
Public Safety
City Manager
STAFF RECOMMENDATION:
Adopt resolution
BOARD/COMMITTEE RECOMMENDATION:
ATTACHMENTS:
Description
Resolution - Interagency Agreement Streetlighting
Upgrade
C Original Interagency Agreement & Resolution
Upload Date
5;&/2017
5;412017
Type
Resolution
Backup Material