Request for Proposals September Review and Evaluate the Azusa Light & Water Meter Replacement Project RFP

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1 CITY OF AZUSA AZUSA LIGHT & WATER Request for Proposals September 2012 Review and Evaluate the Azusa Light & Water Meter Replacement Project RFP The City of Azusa owns and operates a municipal electric & water utility hereinafter referred to as Azusa Light & Water ( AL&W ). AL&W provides electric utility services to Azusa residents and businesses, serving 15,000+ electric accounts within its electric service area. AL&W also provides water utility services to its own residents including customers outside City limits, serving a combined 22,000+ water metered accounts. AL&W has been following the changes in the public power industry as it relates to metering, reading & billing of municipal utility services. In view of completed meter replacement (AMI) projects deployed by other utility companies, both public power and investor owned utilities AL&W is now considering replacement of its own utility metering equipment. As a start, AL&W prepared a draft Request-for-Proposal (RFP) to solicit for outside services that will completely replace its existing utility meters with advanced metering, reading & processing equipments. AL&W envisions the advanced metering project RFP to include the following: a) New electric & water metering devices b) Communication network to remotely read the new meters c) Meter data management system to process meter reads d) Network operations equipment hosted on premises or off site facility for secure storage and management of data e) Integration with existing utility billing system or file transfer capability f) Provision of various programs for enhanced services g) Sample pilot project for testing new business processes h) Project financing and implementation options Through this Request for Proposal, AL&W will retain the services of a qualified consulting company utilizing AL&W standard Professional Services Agreement (PSA). Consultants and any of its affiliates who are participating in this review of the draft RFP and evaluation of proposals will be precluded or barred from submitting their own proposal in response to the RFP, to avoid potential conflict of interest. The consulting services will be arranged in three (3) parts as follows: AL&W Meter Replacement Project - RFP Page 1

2 Part A: Review the draft RFP prior to AL&W issuance and solicitation Under Part A, the consultant will refine draft RFP document prior to issuance to outside vendors. In general, the consulting work involves reviewing the contents, provisions and or requirements contained in the draft RFP. Consultant will be retained for the sole purpose of ensuring that AL&W adequately addressed and requested the essential services in each of the elements needed to accomplish the meter replacement project, including terms for an optional demonstration project. Financing arrangements may include, but not limited to, any combination of government assisted grant funds, private capital funding, bond issuance, upfront cash outlay, installment repayments or leasing arrangements. Part B: Assist AL&W in evaluating submitted proposals Under Part B, the consultant will assist AL&W in reviewing all the proposals submitted later by vendors in response to the RFP. Consultant will help AL&W narrow down to a short list of most qualified vendors and most beneficial proposals to AL&W. Consultant will assist AL&W in scrutinizing each submitted proposal, rank the proposals after illustrating the vendor comparative strengths, values and deficiencies in their scope of work, and provide an objective evaluation on their capacity and capability to perform what they have proposed. Overall, consultant will provide a subjective assessment on vendor s overall competence and experience to undertake the seamless integration of new meters to existing AL&W utility billing system. Part C: Assist AL&W in developing contract with selected company Under Part C, the consultant will assist the utility to develop/negotiate appropriate contract terms to ensure that the advanced meter replacement project is implemented successfully, in a timely and competent manner. The consultant s scope of work, schedule of performance, deliverables and the specifics for submitting proposals are outlined in the foregoing paragraphs. SCOPE OF WORK: 1. Review, evaluate, and provide necessary revisions to the draft RFP for Meter Replacement Project; 2. Review AL&W proposed pilot project requirements as described in the RFP and recommend strategies to implement the pilot phase. 3. Evaluate AL&W requirement on financing the meter replacement project and provide recommendations for other creative financing methods. AL&W Meter Replacement Project - RFP Page 2

3 4. Review the current utility billing system integration requirements into the new meter data management system component. 5. Review all the submitted proposals and rank each vendor using AL&W evaluation criteria. Prepare a short list of top three vendors for further consideration by AL&W. 6. Participate either in person or telephone conference during the oral evaluation of vendor proposals and provide AL&W with insights as to the desirability of a selected vendor/proposal. 7. Assist AL&W to develop contract terms & conditions, following the selection of a company s proposal and prior to awarding contract project to the successful company or project bidder. 8. Any other related tasks that the Consultant may believe to be necessary or prudent based on their own experience in assisting a public power utility in selecting a vendor to undertake the meter replacement project. Qualifications of Proposers PROPOSAL PREPARATION AL&W will require information, to be submitted in their proposals, which will demonstrate professional capabilities and experience of the consultant to undertake the review of AL&W draft RFP and/or evaluation of submitted proposals involving advanced metering projects. Qualifications may include, but not be limited to a prior relevant experience in public power advanced meter infrastructure projects, familiarity with utility meter equipment/vendors for both electric and water, experience in reviewing and evaluating proposals for meter data management systems, network communication infrastructure and remotely hosted or on-site network operations center; experience in assisting clients with developing a contract terms and conditions appropriate for a meter replacement project. Proposal Presentation and Format Consulting companies or individual firms submitting their proposal should arrange and present proposal contents using the following sequence or format to help facilitate evaluation: Cover letter Company and qualifications Work plan Data Request AL&W Meter Replacement Project - RFP Page 3

4 Scope exclusions/addenda Deliverables Schedule of completion Consultants who are assigned to perform the work Principal & staff hourly rate schedule Cover Letter The one page cover letter should include the proposal not-to-exceed amount for compensation/expenses separated for both Part A and Part B, the expected completion date for scope of work, and the principal consultant who will be assigned as lead/project manager. Company and Qualifications This section should contain the following: a) Name of firm and mailing address, phone, address or website and fax number of the company s principal place of business. b) Mailing address, staffing and degree of participation by any other firm or subcontractor. c) Overall company relevant experience. d) 2-3 references from recent clients, for which similar services have been provided in the last five years, preferably to municipal utilities, by the principal consultant. e) Estimate of the man-hours to be expended in relation to each specific portion of the scope of work that will be performed. f) Brief resumes and relevant experience of key staff assigned to do the work, clearly indicating the qualifications to perform required tasks. Work Plan This section should give an introduction and overview of the approach, document a work plan by breaking down scope into specific tasks or work elements clearly associated with the scope of work, and explain the methodology to be used in completing each task. AL&W Meter Replacement Project - RFP Page 4

5 Data Request This section of the proposal shall itemize all data the consultant expects AL&W to provide in carrying out the scope of work as proposed. Consultant will be provided a copy of the draft RFP marked confidential upon signing of the PSA. Scope Exclusions/Addenda In reviewing this RFP, the Consultant may encounter tasks, which in the opinion of the Consultant, may be unnecessary, or may have been omitted by AL&W. At the consultant s discretion, they may identify these unnecessary tasks and may include other tasks that are deemed prudent by the Consultant, but are not required by this RFP. Deliverables Deliverables are consultant-client work products such as evaluation reports, study/recommendations, spreadsheet models, and other materials expected to be submitted by consultant at the conclusion of their work. Schedule of Completion AL&W prefers that Part A - should be completed within two weeks (14 calendar days) following issuance of a Notice to Proceed. Part B should be completed within three weeks (21 calendar days) upon receipt from AL&W of the submitted proposals and a Notice to Proceed with Part B. Part C work will be performed in accordance with AL&W timetable to be developed at a later date. Not-To-Exceed Fee Consultant shall provide in a table format, the cost for each task or Part, including a listing of the personnel assigned to each task, and a total not-to-exceed cost. Reimbursement will be based on actual cost up to the not-to-exceed amount. A schedule of hourly rates shall be included for all personnel classifications that will be utilized in this study. Other Client Commitments Consultant shall list other clients that are currently being served by the consultant, including pending or anticipated clients that will be served, which may adversely impact the timely completion of the work as proposed or wherein consultant may have conflict of interest. AL&W Meter Replacement Project - RFP Page 5

6 General Instructions to Proposers 1. AL&W s Point of Contact All communications concerning this process must be directed to AL&W s point of contact for this RFP: George F. Morrow Director of Utilities Azusa Light & Water 729 N. Azusa Ave. Azusa, CA Telephone: (626) Proposer Requests and Questions Specific Consultant requests and questions concerning this RFP shall be submitted in writing to the RFP Point of Contact prior to 5 p.m. PST on Wednesday September 12, AL&W will make every attempt to reply to questions submitted in writing. 3. Pre-Proposal Meeting Given the standard nature of this review/study, no pre-proposal meeting is scheduled for this RFP process, however, all parties submitting proposals shall be available for a telephone conference call interview or in-person interview if deemed necessary by AL&W. 4. RFP Amendments Should there be any necessary addendum or corrections to the RFP as originally released, AL&W will issue written amendments to all consultants of record who have requested and received this RFP solicitation. 5. Submittal Address and Deadline Two originals of the respondent s signed proposal in its entirety, plus an electronic version, must be received by Azusa Light & Water no later than 5:00 p.m. PST on Monday September 17, 2012, at the following address: AZUSA LIGHT & WATER 729 North Azusa Avenue Azusa, California Attention: Mr. F. Langit Jr. AL&W Meter Replacement Project - RFP Page 6

7 All proposals shall be firm and may not be withdrawn for a period of ninety (90) days following the deadline date for submission of proposals noted herein. 6. Disposition of Proposals All proposals submitted to AL&W in response to this RFP will become the property of AL&W and will not be returned. All expenses incurred in preparing and/or submitting proposals shall be at the sole cost and expense of the consultant. AL&W reserves the right to reject any and all proposals submitted in response to this RFP. Consultant Selection Process Selection of a consultant will be based on evaluation of consultants qualifications, work plan, not-to-exceed cost, and references. The follow criteria may be considered by AL&W in evaluating proposals: a) Organizational skills and knowledge necessary to guide AL&W through this review of RFP and evaluation of proposals b) Current and past experience in working with public utilities involving advanced metering replacement projects or arranging the integration of new meters to existing utility billing system. c) Knowledge of city government organization and the services that municipal public power provides. d) Creativity and experience in carrying out past review of RFP s and evaluation of proposals as submitted e) Clear and concise work plan, reasonable or least cost fee compensation schedule in relation to the proposed services. f) Adequate staffing to meet the schedule deadlines for deliverables to AL&W. While low cost proposals will be considered, AL&W will favor firms whose proposals best meet the interest of AL&W and appear to offer complete scope of work, which will not require change orders or scope changes later. Proposal Approval and Agreement Execution The successful consulting company or individual submitting their proposal will be required to enter into a standard Professional Services Agreement (PSA) or a simple Letter of Agreement with AL&W depending on the amount involved in the proposal. The agreement will incorporate by reference the negotiated Work Statement and its payment schedule. If the proposer has any required revisions with the PSA, these revisions must AL&W Meter Replacement Project - RFP Page 7

8 be disclosed to AL&W in conjunction with the bid response. The following summarizes the anticipated approval process and requirements for issuance of notice to proceed with the proposed work. a) City of Azusa Approval The approval of a contract will be made within 90 days after the opening of proposals by approval of the Professional Services Agreement. Azusa may reject any and all proposals or may waive informalities in any proposal if it is in the public s best interest. A Notice of Award will be sent to the consultant. b) Consultant to obtain Insurance The consultant shall provide to AL&W the worker s compensation, comprehensive general and automobile liability, and the professional liability insurance coverage s, endorsements and certifications. This insurance document shall also be obtained by any sub-consultant retained by the primary consultant. c) Consultant execute contract The contract agreement shall be signed by the consultant in triplicate and shall be returned together with the insurance documents within 15 calendar days from the date of receipt of Notice of Award. No contract shall be binding upon the City until completely executed by the consultant and the City and approved by the City Attorney. Failure to execute the contract agreement and file acceptable insurance within the time limit may be just cause for annulment of the award. d) Notice to Proceed Within 15 days after City signed the PSA, AL&W will issue a Notice to Proceed to the Consultant for Part A. The remaining Parts B and C are optional and separate Notices to Proceed with these portion on the scope of work will be released later as appropriate. End. AL&W Meter Replacement Project - RFP Page 8

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