HEBER LIGHT & POWER COMPANY OPERATIONS DEPARTMENT REQUEST FOR PROPOSAL (RFP) Pole Testing and Pole Inventory

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HEBER LIGHT & POWER COMPANY OPERATIONS DEPARTMENT REQUEST FOR PROPOSAL (RFP) 2015-007 Pole Testing and Pole Inventory Submit proposals to: Heber Light & Power, Company Attn: Harold Wilson 31 South 100 West Heber City, UT 84032 Issue date: February 18, 2015

I. STATEMENT OF PURPOSE: Heber Light & Power Company is assessing whether it should test and inventory all of the power poles in our service territory. If the company determines to proceed, pole testing will begin on or before June 30, 2015 and must be completed within one hundred and eighty (180) days. As part of this assessment process, the Company is seeking proposals from competing companies that are able to perform these services. II. INSTRUCTIONS FOR SUBMITTING A PROPOSAL: A. General Requirements 1. The proposal must be received by 5:00 p.m. on March 5, 2015, Mountain Standard Time. Please place proposals in an envelope or box clearly labeled RFP 2015-007: Pole Testing and Pole Inventory. 2. Proposals should be sent to: Heber Light & Power Company Attn: Harold Wilson 31 South 100 West Heber City, UT 84032 3. All interested Respondents are required to register with Heber Light & Power by February 20, 2015 via email to Harold Wilson at hwilson@heberpower.com, in order to receive updates, addenda or any additional information required. The Company is not responsible for failure to register. 4. Inquiries to the Company requesting clarification regarding the Request for Proposal or content therein must be made via e-mail and must be received prior to the end of the business day on Wednesday, February 25, 2015. Harold Wilson hwilson@heberpower.com Phone: (435) 671-2565 5. Any questions regarding this RFP will be handled as promptly and as directly as possible. If a question requires only clarification of instructions or specifications, it will be handled verbally. All such verbal communications will be copied in writing to all registered respondents. If any question results in a change or addition to the RFP, the changes or additions will be forwarded to all registered Respondents as quickly as possible by addendum.

6. Respondents shall designate a contact person, with appropriate contact information, to address any questions concerning a proposal. The Respondents shall also state the name and title of individuals who will make final decisions regarding contractual commitments and have legal authority to execute the contract on the Respondent s behalf. B. General Notifications: 1. The Company hereby notifies all possible respondents that no person shall be excluded from participation in, denied any benefits of, or otherwise discriminated against in connection with the award and performance of any contact on the basis of race, religious creed, color, national origin, ancestry, physical disability, sex, age, ethnicity, or on any other basis prohibited by law. 2. The Company reserves the right to modify the proposal and final selection of work product requirements as needed. Respondents shall be accorded fair and equal treatment with respect to any opportunity for discussion and revisions of proposals, and revisions may be permitted after submissions and prior to award for the purpose of obtaining best and final offers. In conducting discussions, there shall be no disclosure of any information derived from proposals submitted by competing vendors. 3. The Request for Proposal does not commit the Company to pay any costs incurred in the submission of a proposal or the costs incurred in making necessary presentations of Respondents product and Respondent shall be solely responsible for such costs. 4. Proposals will be reviewed by a committee of Heber Light & Power staff members. The Company reserves the right to: C. RFP Schedule: i. Disqualify any respondent whose conduct and/or Bid Response fails to conform to the requirements of the RFP; ii. Seek clarifications or validations of bid proposals; iii. Reject any or all responses received in response to this RFP; iv. Make an award under this RFP in whole or in part; v. Negotiate with the successful Respondent within the Scope of this RFP, in the best interest of the Company. Issue RFP February 18, 2015 Last Day for Respondents to Submit Questions February 25, 2015

RFP Responses Due March 5, 2015 Shortlist Interviews March 16-20, 2015 Decision Made and Notifications Delivered March 27, 2015 D. Company Profile: Heber Light & Power Company was originally founded in 1909 when the cities of Heber City, Midway, and Charleston, combined forces to build and operate a power plant to serve their residents. These three member communities have continued to support the company and its mission since that time and as a result have enjoyed the benefits of reliable electrical service for their constituents. The company now has approximately 10,603 customers which is a 7% increase over the past five years. Through the years the company has used a number of suppliers to provide support on the various systems that are required to operate a growing electric utility such as Heber Light & Power. III. SCOPE OF WORK/EVALUATION FACTORS: A. Overview Respondent must demonstrate the ability and expertise to perform the following tasks for each of the approximately 5000 power poles within Heber Light & Power s Service Territory (158 Square Miles). It is the intention of the Heber Light & Power to contract the services of a firm that will provide a comprehensive utility pole inspection program using Resistograph boring instruments. Key tasks to be performed on all poles: 1. Visually inspect all poles for hazards and above ground defects; 2. Resistograph bore every pole for rot. This shall consist of two drillings starting at ground line, 90 degrees apart on the pole. Each drilling shall be at a 45 degree angle, traversing through the entire width of the pole; 3. Resistograph boring results shall calculate loss of strength percentage; Inventory the following items for every pole: 1. Pole number, height, class, type (wood, steel, etc.) manufacturer and year;

2. Attachment types (electric, cable, fiber, telephone, etc.); 3. Year placed (if possible to determine); 4. Place a coded tag on each pole tested; 5. GPS location (UTM NAD 83 coordinates); 6. Obvious NESC violations and/or hazards; 7. Pole switches; 8. Transformers; Photograph: 1. Digital photograph shall be a minimum of 5 megapixels; Reporting: 1. Accessible online database containing all inspection records; 2. Soft copy reports that will include all inspection criteria and results for each pole; 3. Violation location and description; 4. Grouped attachment and audit totals; 5. Resistograph report in the form of charts and graphs for each pole; Every topic and question listed in this request for proposal must be addressed. To be considered during the evaluation of proposals, Respondents are required to submit all requested information including pricing detail per pole. Pricing should include all costs related to the pole testing project. Key decision factors include but are not limited to: 1. Proven track record of pole testing and reporting; 2. Respondent understanding of the Company requirements and needs experience and qualification of key personnel;

3. Proven track record of customer service and support; 4. Award shall be made to the vendor whose proposal is determined, in writing, to be the most advantageous to the Company, taking into consideration price and the evaluation factors set forth in the request for proposals. No other factors or criteria shall be used in the evaluation. The contract shall contain the basis on which the award is made. Multiple criterions have been established for use by the company in the decision process. Although project cost is a major factor, it is not the only consideration. IV. PROPOSAL INSTRUCTIONS: A respondent must address all items listed in the detailed scope of work as well as identified in the appendices with its proposal. The contract will be awarded to the respondent submitting a proposal that best fits the needs of Heber Light & Power Company and its customers. Respondents are required to provide complete submittal information for all goods or services described in the RFP documents. Failure to complete required portions of the proposal may be cause for Heber Light & Power Company to deem the respondent s proposal nonresponsive and disqualified from consideration. Three (3) hard-copies and one (1) electronic copy of the Respondent s proposal documents should be submitted as identified in the general information section above. The following sections must be submitted. 1) Company/Pole Testing and Overview (limit 5 pages). 2) Proposal Form included as Appendix A in this document

Appendix A Proposal Form

Heber Light & Power Company HEBER LIGHT & POWER COMPANY INTEGRATED ACCOUNTING SOFTWARE REQUEST FOR PROPOSAL NUMBER: 2015-007 PROPOSAL FORM In accordance with your Request for Proposal, the undersigned hereby proposes to perform pole testing in strict accordance with the RFP documents for the consideration set forth below. Furthermore, the undersigned agrees, upon written notice of acceptance of its proposal, that it will execute the contract according to its proposal as accepted. It is understood that this proposal constitutes a firm offer which cannot be withdrawn for onehundred twenty (120) days after the date set for opening of proposals unless Heber Light & Power Company accepts a proposal by another party on the same RFP prior to the expiration of such onehundred twenty (120) day period. Total Project Price $ Prior to the contract award, Heber Light & Power Company reserves the right to conduct discussions and negotiations and seek clarifications for any information submitted in a respondent proposal. Payment terms offered other than Net 30 For payment within thirty (10) calendar days, Respondent authorizes Heber Light & Power Company to deduct percent off the total invoice amount. The undersigned hereby certifies that it has examined and is familiar with the RFP Packet covering this Proposal, has visited with Company management, informed itself fully as to all the conditions and circumstances that might affect the Proposal, and that it has taken all of such into consideration in preparing this Proposal and understands that Heber Light & Power Company will not be responsible for any errors or omissions on the undersigned's part in making up this Proposal. If a partnership or a partner is used, provide the full names of all partners below: PARTNERS RESPONDENT SIGNED NAME TITLE ADDRESS TELEPHONE