16-1101_UTILITY COST MANAGEMENT LLC_Professional Service AgreementCITY OF SAN JUAN CAPISTRANO
PROFESSIONAL SERVICES AGREEMENT
FOR
CONSULTING SERVICES TO PERFORM UTILITY BILL AUDIT
This Agreement is made and entered into as of ,��V 11. r i
2QIL by and
between the City of San Juan Capistrano, a municipal corporation organized and operating
under the laws of the State of California with its principal place of business at 32400 Paseo
Adelanto, San Juan Capistrano, CA 92675 ("City"), and Utility Cost Management LLC, a single
member LLC, with its principal place of business at 1100 W. Shaw Avenue, Suite 126, Fresno,
CA 93711 (hereinafter referred to as "Consultant"). City and Consultant are sometimes
individually referred to as "Party" and collectively as "Parties" in this Agreement.
RECITALS
A. City is a public agency of the State of California and is in need of professional
services for the following project;
Consultina Services to Perform Utility Audit for the C(ty of San Juan Capistrano
(hereinafter referred to as "the Project").
B. Consultant is duly licensed and has the necessary qualifications to provide such
services.
C. The Parties desire by this Agreement to establish the terms for City to retain
Consultant to provide the services described herein.
AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:
Services.
Consultant shall provide the City with the services described in the Scope of Services
attached hereto as Exhibit "A".
2. Compensation.
a. Subject to paragraph 2(b) below, the City shall pay for such services in
accordance with the Schedule of Charges set forth in Exhibit "B",
b. In no event shall the total amount paid for services rendered by
Consultant under this Agreement exceed the sum of $300,000.00. This amount is to cover all
printing and related costs, and the City will not pay any additional fees for printing expenses.
Periodic payments shall be made within 30 days of receipt of an invoice which includes a
detailed description of the work performed. Payments to Consultant for work performed will be
made on a monthly billing basis.
3. Additional Work.
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If changes in the work seem merited by Consultant or the City, and Informal
consultations with the other party indicate that a change is warranted, it shall be processed in
the following manner_ a letter outlining the changes shall be forwarded to the City by Consultant
with a statement of estimated changes in fee or time schedule. An amendment to this
Agreement shall be prepared by the City and executed by both Parties before performance of
such services, or the City will not be required to pay for the changes in the scope of work. Such
amendment shall not render ineffective or invalidate unaffected portions of this Agreement.
4. Maintenance of Records.
Books, documents, papers, accounting records, and other evidence pertaining to costs
incurred shall be maintained by Consultant and made available at all reasonable times during
the contract period and for four (4) years from the date of final payment under the contract for
inspection by City.
5. Time of Performance.
Consultant shall perform its services in a prompt and timely manner and shall
commence performance upon receipt of written notice from the City to proceed ("Notice to
Proceed"). Consultant shall complete the services required hereunder within "Activity
Schedule" as Exhibit C. The Notice to Proceed shall set forth the date of commencement of
work.
6. Dela s in Performance.
a. Neither City nor Consultant shall be considered in default of this Agreement for
delays in performance caused by circumstances beyond the reasonable control of the non-
performing party. For purposes of this Agreement, such circumstances include but are not
limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; war; riots and
other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances;
sabotage or judicial restraint.
b. Should such circumstances occur, the non-performing party shall, within a
reasonable time of being prevented from performing, give written notice to the other party
describing the circumstances preventing continued performance and the efforts being made to
resume performance of this Agreement.
7. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and
regulations of the federal, state and local government, including Cal/OSHA requirements.
b. If required, Consultant shall assist the City, as requested, in obtaining and
maintaining all permits required of Consultant by federal, state and local regulatory agencies.
C. If applicable, Consultant is responsible for all costs of clean up and/ or removal of
hazardous and toxic substances spilled as a result of his or her services or operations
performed under this Agreement.
8. Standard of Care
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Consultant's services will be performed in accordance with generally accepted
professional practices and principles and in a manner consistent with the level of care and skill
ordinarily exercised by members of the profession currently practicing under similar conditions.
9. Assignment and Subconsultant
Consultant shall not assign, sublet, or transfer this Agreement or any rights under or
interest in this Agreement without the written consent of the City, which may be withheld for any
reason. Any attempt to so assign or so transfer without such consent shall be void and without
legal effect and shall constitute grounds for termination. Subcontracts, if any, shall contain a
provision making them subject to all provisions stipulated in this Agreement. Nothing contained
herein shall prevent Consultant from employing independent associates, and subconsultants as
Consultant may deem appropriate to assist in the performance of services hereunder.
10. Independent Consultant
Consultant is retained as an independent contractor and is not an employee of City. No
employee or agent of Consultant shall become an employee of City. The work to be performed
shall be in accordance with the work described in this Agreement, subject to such directions and
amendments from City as herein provided.
11. Insurance. Consultant shall not commence work for the City until it has provided
evidence satisfactory to the City it has secured all insurance required under this section. In
addition, Consultant shall not allow any subcontractor to commence work on any subcontract
until it has secured all insurance required under this section.
a. Commercial General Liability_
(i) The Consultant shall take out and maintain, during the
performance of all work under this Agreement, in amounts not less than specified herein,
Commercial General Liability Insurance, in a form and with insurance companies acceptable to
the City.
(ii) Coverage for Commercial General Liability insurance shall be at
least as broad as the following:
(1) Insurance Services Office Commercial General Liability
coverage (Occurrence Form CG 00 01) or exact equivalent.
(iii) Commercial General Liability Insurance must include coverage
for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion
deleted
(7) Contractual Liability with respect to this Contract
(8) Broad Form Property Damage
(9) Independent Consultants Coverage
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(iv) The policy shall contain no endorsements or provisions limiting
coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one
insured against another; (3) products/completed operations liability; or (4) contain any other
exclusion contrary to the Agreement.
(v) The policy shall give City, its officials, officers, employees,
agents and City designated volunteers additional insured status using ISO endorsement forms
CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage.
(vi) The general liability program may utilize either deductibles or
provide coverage excess of a self -Insured retention, subject to written approval by the City, and
provided that such deductibles shall not apply to the City as an additional insured.
b. Automobile Liability
(i) At all times during the performance of the work under this
Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and
property damage including coverage for owned, non -owned and hired vehicles, in a form and
with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as
broad as Insurance Services Office Form Number CA 00 01 covering automobile liability
(Coverage Symbol 1, any auto.).
(iii) The policy shall give City, its officials, officers, employees, agents
and City designated volunteers additional insured status.
(iv) Subject to written approval by the City, the automobile liability
program may utilize deductibles, provided that such deductibles shall not apply to the City as an
additional insured, but not a self-insured retention.
C. Workers' Com ensetion/Em io er's Liability
(i) Consultant certifies that he/she is aware of the provisions of
Section 3700 of the California Labor Code which requires every employer to be insured against
liability for workers' compensation or to undertake self-insurance in accordance with the
provisions of that code, and he/she will comply with such provisions before commencing work
under this Agreement.
(ii) To the extent Consultant has employees at any time during the
term of this Agreement, at all times during the performance of the work under this Agreement,
the Consultant shall maintain full compensation insurance for all persons employed directly by
him/her to carry out the work contemplated under this Agreement, all in accordance with the
"Workers' Compensation and Insurance Act," Division IV of the Labor Code of the State of
California and any acts amendatory thereof, and Employer's Liability Coverage in amounts
indicated herein, Consultant shall require all subconsultants to obtain and maintain, for the
period required by this Agreement, workers' compensation coverage of the same type and limits
as specified in this section.
Professional Liability (Errors and Omissions
At all times during the performance of the work under this Agreement the Consultant
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shall maintain professional liability or Errors and Omissions insurance appropriate to its
profession, in a form and with insurance companies acceptable to the City and in an amount
indicated herein. This insurance shall be endorsed to include contractual liability applicable to
this Agreement and shall be written on a policy form coverage specifically designed to protect
against acts, errors or omissions of the Consultant. "Covered professional Services" as
designated In the policy must specifically include work performed under this Agreement. The
policy must "pay on behalf of"the insured and must include a provision establishing the insurer's
duty to defend.
e. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:
Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate
for bodily injury, personal injury, and property
damage
Automobile Liability $1,000,000 per occurrence for bodily injury and
property damage
Employer's Liability $1,000,000 per occurrence
Professional Liability $1,000,000 per claim and aggregate (errors and
omissions)
(ii) Defense costs shall be payable in addition to the limits.
(iii) Requirements of specific coverage or limits contained in this
section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of
any coverage normally provided by any insurance. Any available coverage shall be provided to
the parties required to be named as Additional Insured pursuant to this Agreement.
Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City
evidence of insurance from an insurer or insurers certifying to the coverage of all insurance
required herein. Such evidence shall Include original copies of the ISO CG 00 01 (or insurer's
equivalent) signed by the insurer's representative and Certificate of Insurance (Acord Form 25-
8 or equivalent), together with required endorsements. All evidence of insurance shall be
signed by a properly authorized officer, agent, or qualified representative of the insurer and
shall certify the names of the insured, any additional insureds, where appropriate, the type and
amount of the insurance, the location and operations to which the insurance applies, and the
expiration date of such insurance.
g. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior
written notice of cancellation of any policy required by this Agreement, except that the
Consultant shall provide at least ten (10) days prior written notice of cancellation of any such
policy due to non-payment of premium. If any of the required coverage is cancelled or expires
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during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including
the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to
the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy
shall each contain a provision stating that Consultant's policy is primary insurance and that any
insurance, self-insurance or other coverage maintained by the City or any named insureds
shall not be called upon to contribute to any loss.
(Iii) The retroactive date (if any) of each policy is to be no later than
the effective date of this Agreement. Consultant shall maintain such coverage continuously for
a period of at least three years after the completion of the work under this Agreement.
Consultant shall purchase a one (1) year extended reporting period A) if the retroactive date is
advanced past the effective date of this Agreement; B) if the policy is cancelled or not renewed;
or C) if the policy is replaced by another claims -made policy with a retroactive date subsequent
to the effective date of this Agreement.
(iv) All required insurance coverages, except for the professional
liability coverage, shall contain or be endorsed to waiver of subrogation in favor of the City, its
officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or
others providing insurance evidence in compliance with these specifications to waive their right
of recovery prior to a loss. Consultant hereby waives Its own right of recovery against City, and
shall require similar written express waivers and Insurance clauses from each of its
subconsultants.
(v) The limits set forth herein shall apply separately to each insured
against whom claims are made or suits are brought, except with respect to the limits of liability.
Further the limits set forth herein shall not be construed to relieve the Consultant from liability in
excess of such coverage, nor shall it limit the Consultant's indemnification obligations to the
City and shall not preclude the City from taking such other actions available to the City under
other provisions of the Agreement or law.
h. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance
companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies
with a current A.M. Best's rating of no less than A:VII and admitted to transact in the
business of insurance in the State of California, or otherwise allowed to place insurance
through surplus line brokers under applicable provisions of the California Insurance
Code or any federal law.
Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance
coverage to be maintained by Consultant, and any approval of said insurance by the City, is
not intended to and shall not in any manner limit or qualify the liabilities and obligations
otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to,
the provisions concerning indemnification.
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(ii) If at any time during the life of the Agreement, any policy of
insurance required under this Agreement does not comply with these specifications or is
canceled and not replaced, City has the right but not the duty to obtain the insurance it deems
necessary and any premium paid by City will be promptly reimbursed by Consultant or City will
withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City
may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of
all insurance policies in effect for the duration of the Project.
(iv) Neither the City nor any of its officials, officers, employees, agents
or volunteers shall be personally responsible for any liability arising under or by virtue of this
Agreement.
j. Subconsultant Insurance Requirements. Consultant shall not allow any
subcontractors or subconsultants to commence work on any subcontract until they have
provided evidence satisfactory to the City that they have secured all insurance required under
this section. Policies of commercial general liability insurance provided by such subcontractors
or subconsultants shall be endorsed to name the City as an additional insured using ISO form
CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by
Consultant, City may approve different scopes or minimum limits of insurance for particular
subcontractors or subconsultants.
12. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with
counsel reasonably approved by the City), indemnify and hold the City, its officials, officers,
employees, agents and volunteers free and harmless from any and all claims, demands, causes
of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees,
settlements, loss, damage or injury of any kind, in law or equity, to property or persons,
including wrongful death, (collectively, "Claims') in any manner arising out of, pertaining to, or
incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials,
officers, employees, subcontractors, consultants or agents in connection with the performance
of the Consultant's services, the Project or this Agreement, including without limitation the
payment of all consequential damages, expert witness fees and attorneys' fees and other
related costs and expenses. Notwithstanding the foregoing, to the extent Consultant's services
are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent
required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the
negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to
indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials,
officers, employees, agents or volunteers.
b. Additional Indemnity Obligations. Consultant shall defend, with counsel
of City's choosing and at Consultant's own cost, expense and risk, any and all Claims covered
by this section that may be brought or instituted against the City, its officials, officers,
employees, agents or volunteers. Consultant shall pay and satisfy any judgment, award or
decree that may be rendered against the City, its officials, officers, employees, agents or
volunteers as part of any such claim, suit, action or other proceeding. Consultant shall also
reimburse City for the cost of any settlement paid by the City, its officials, officers, employees,
agents or volunteers as part of any such claim, suit, action or other proceeding. Such
reimbursement shall include payment for the City's attorney's fees and costs, including expert
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witness fees. Consultant shall reimburse the City, its officials, officers, employees, agents and
volunteers, for any and all legal expenses and costs incurred by each of them in connection
therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify
shall not be restricted to insurance proceeds, if any, received by the City, its officials, officers,
employees, agents and volunteers.
13. California Labor Code Requirements.
a. Consultant is aware of the requirements of California Labor Code
Sections 1720 et seq, and 1770 et seq., which require the payment of prevailing wage rates and
the performance of other requirements on certain "public works" and "maintenance" projects. If
the services are being performed as part of an applicable "public works" or "maintenance"
project, as defined by the Prevailing Wage laws, and if the total compensation is $1,000 or
more, Consultant agrees to fully comply with such Prevailing Wage Laws, if applicable.
Consultant shall defend, indemnify and hold the City, its officials, officers, employees and
agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of
any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory
upon the Consultant and all subconsultants to comply with all California Labor Code provisions,
which include but are not limited to prevailing wages, employment of apprentices, hours of labor
and debarment of contractors and subcontractors.
b. If the services are being performed as part of an applicable "public works"
or "maintenance" project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the
Consultant and all subconsultants performing such Services must be registered with the
Department of Industrial Relations. Consultant shall maintain registration for the duration of the
Project and require the same of any subconsultants, as applicable. This Project may also be
subject to compliance monitoring and enforcement by the Department of Industrial Relations. It
shall be Consultant's sole responsibility to comply with all applicable registration and labor
compliance requirements.
14. Verification of Employment Eligibility.
By executing this Agreement, Consultant verifies that it fully complies with all
requirements and restrictions of state and federal law respecting the employment of
undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of
1986, as may be amended from time to time, and shall require all subconsultants and sub-
subconsultants to comply with the same.
15. Reserved.
16. Laws and Venue.
This Agreement shall be interpreted in accordance with the laws of the State of
California. If any action is brought to interpret or enforce any term of this Agreement, the action
shall be brought in a state or federal court situated in the County of Orange, State of California.
17 Term nation or Abandonment
a. City has the right to terminate or abandon any portion or all of the work
under this Agreement by giving ten (10) calendar days written notice to Consultant. In such
event, City shall be immediately given title and possession to all original field notes, drawings
and specifications, written reports and other documents produced or developed for that portion
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of the work completed and/or being abandoned. Payment upon termination shall be in
accordance with the terms of Exhibit "B". Consultant shall not be entitled to payment for
unperformed services, and shall not be entitled to damages or compensation for termination of
work.
b. Consultant may terminate its obligation to provide further services under
this Agreement upon thirty (30) calendar days' written notice to City only in the event of
substantial failure by City to perform in accordance with the terms of this Agreement through no
fault of Consultant.
18 documents. Except as otherwise provided in "Termination or Abandonment,"
above, all original field notes, written reports, Drawings and Specifications and other
documents, produced or developed for the Project shall, upon payment in full for the services
described in this Agreement, be furnished to and become the property of the City.
19. organization
Consultant shall assign Chris Wiehl as Project Manager. The Project Manager shall not
be removed from the Project or reassigned without the prior written consent of the City.
above.
20. Limitation of Agreement.
This Agreement is limited to and includes only the work included in the Project described
21. Notice
Any notice or instrument required to be given or delivered by this Agreement may be
given or delivered by depositing the same in any United States Post Office, certified mail, return
receipt requested, postage prepaid, addressed to:
CITY:
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
CONSULTANT:
Utility Cost Management LLC
110 W. Shaw Avenue, Suite 126
Fresno, CA 92711
Attn: Tom Toman, Public Works & Utilities Attn: Chris Wiehl
Department
and shall be effective upon receipt thereof.
22. Third Party Right
Nothing in this Agreement shall be construed to give any rights or benefits to anyone
other than the City and the Consultant.
23. Equal Opportunity Employment.
Consultant represents that it is an equal opportunity employer and that it shall not
discriminate against any employee or applicant for employment because of race, religion, color,
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national origin, ancestry, sex, age or other interests protected by the State or Federal
Constitutions. Such non-discrimination shall include, but not be limited to, all activities related to
initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff
or termination.
24. Entire Agreement
This Agreement, with its exhibits, represents the entire understanding of City and
Consultant as to those matters contained herein, and supersedes and cancels any prior or
contemporaneous oral or written understanding, promises or representations with respect to
those matters covered hereunder. Each party acknowledges that no representations,
inducements, promises or agreements have been made by any person which are not
incorporated herein, and that any other agreements shall be void. This Agreement may not be
modified or altered except in writing signed by both Parties hereto. This is an integrated
Agreement.
25. Severabllity
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not
render the provisions unenforceable, invalid or illegal.
26. Successors and Assigns
This Agreement shall be binding upon and shall inure to the benefit of the successors in
interest, executors, administrators and assigns of each party to this Agreement. However,
Consultant shall not assign or transfer by operation of law or otherwise any or all of its rights,
burdens, duties or obligations without the prior written consent of City. Any attempted
assignment without such consent shall be invalid and void.
27. Non -Waiver
None of the provisions of this Agreement shall be considered waived by either party,
unless such waiver is specifically specified In writing.
28. Time of Essence
Time is of the essence for each and every provision of this Agreement.
28. City's Right to Emglov Other Consultants
City reserves its right to employ other consultants, including engineers, in connection
with this Project or other projects.
30. Prohibited Interests
Consultant maintains and warrants that it has not employed nor retained any company
or person, other than a bona fide employee working solely for Consultant, to solicit or secure
this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any
company or person, other than a bona fide employee working solely for Consultant, any fee,
commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting
from the award or making of this Agreement. For breach or violation of this warranty, City shall
have the right to rescind this Agreement without liability. For the term of this Agreement, no
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director, official, officer or employee of City, during the term of his or her service with City, shall
have any direct interest in this Agreement, or obtain any present or anticipated material benefit
arising therefrom.
[SIGNATURES ON FOLLOWING PAGE)
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91
SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF SAN JUAN CAPISTRANO
AND UTILITY COST MANAGEMENT LLC
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first
written above.
CITY OF SAN JUAN CAPISTRANO
ATTEST:
By:
CAL
erk
APPROVED AS TO FORM:
By.
ity Atto'7! �y�
61147.02100129494671.1
UTILITY COST M NAGEMENT LLC
By: COR
Its: V. Mar
Printed Name: C Wt
od
12
EXHIBIT "A"
SCOPE OF SERVICES
A. Required Product
The Consultant will perform a comprehensive analysis of the City's electricity accounts, including an
analysis of past errors and the effect of rate changes on future costs. The City is requesting a review
of the previous two (2) years utility bills. The following is a summary of the required product
requested:
Extensively review bills in light of tariffs, rates, regulations, ordinances or other rules governing
utility charges.
Determine whether erroneous charges have been imposed within the past two years.
Determine whether ongoing charges can be reduced by changing assigned rate schedules/rates
options or other bill determinants.
Provide a written report that identifies and describes basis for any refunds and ongoing reduction of
charges.
With City's approval, implement recommendations set forth in written report, including obtaining
identified refunds and implementing changes of rate schedules, rate options or other bill
determinants, all as identified and described in the written report. The City will not be obligated to
implement energy savings recommendations that would require equipment or facilities conversion or
reductions in service level.
Measure and report on the refunds obtained and ongoing savings actually realized by the City as a
result of implementation of recommendations. The report must specify all calculations, assumptions,
and inputs used to determine the ongoing savings actually realized by City.
Send invoices to City that are based on a percentage of the refunds obtained and ongoing savings
actually realized during the contract term. The invoices should specify all calculations, assumptions,
and inputs used to determine the ongoing savings actually realized during the contract term.
B. Services of the Consultant
The Consultant shall perform all necessary tasks to provide the City with the above stated "required
product."
C. City Responsibilities
1. Compensate the Consultant as provided in the contract agreement.
2. Provide a "City Project Manager" who will represent the City and who will work with the
Consultant in carrying out the provisions of the RFP. The Consultant shall communicate with
the Project Manager who will provide the following services:
a. Examine documents submitted to the City by the Consultant and render timely decisions
pertaining thereto.
b. Give reasonably prompt consideration to all mattes submitted by the Consultant for
approval to the end that there will be no substantial delays in the Consultant's program of
work.
c. Process invoices submitted by Consultant.
d. Provide Consultant with utility account and usage information as necessary for
completion of Consultant's work, to the extent available.
e. Act as coordinator between Consultant and other City representatives.
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EXHIBIT "B"
SCHEDULE OF CHARGES
1. UCM's Compensation.
UCM's compensation will consist of the amounts set forth in both (a) and (b) below.
(a) Refunds or Credits. Subject to subsection (d) below, if Client receives a refund or credit that
was identified in the Findings Letter, then Client will pay to UCM 42% of the amount refunded
or credited. The amount of the refund or credit for this purpose will include all amounts
refunded or credited (including any portion attributable to interest) for any overcharges that were
incurred by Client prior to the date that the overcharges no longer appeared on the Client's utility
bill. Payment of UCM's 42% compensation is due within 30 days of the date UCM mails an
invoice to Client.
(b) Future Savings. Subject to subsection (d) below, if Client obtains Future Savings that were
identified in the Findings Letter, then Client will pay UCM 42% of such Future Savings that
accrue during a Three -Year Savings Period. "Future Savings" is the amount by which Client's
charges on its Utility Accounts are reduced as a result of a change in the billing rate, calculation,
method or procedure. Future Savings will be calculated as the difference between the amount
Client was billed on its Utility Accounts during the Three -Year Savings Period, and the amount
that it would have been billed on its Utility Accounts during the Three -Year Savings Period if
there had been no change in its billing rate, calculation, method or procedure. The Three -Year
Savings Period begins on the date that the change in the billing rate, calculation, method or
procedure is first reflected on Client's utility bill, and ends three years thereafter. UCM will
submit invoices periodically to Client for payment based on the Future Savings as they accrue.
The invoices will verify (a) that Future Savings have actually been realized by Client, and (b) the
amount of such Future Savings. Payment of UCM's invoices is due within 30 days of the date
the invoices are mailed to Client. The compensation for Future Savings under this Exhibit "B"
will not include compensation for Future Savings that are: (a) the result of a reduction in the
amount of utility usage by Client, or (b) the result of Client's utilization of a different utility
supplier that provides lower cost utility service.
(c) Payment Upon Termination. Subject to subsection (d) below, if Client terminates the
Agreement and subsequently receives any refund, credit or Future Savings that were identified in
the Findings Letter, then Client will pay UCM (i) 42% of the amount refunded or credited and
(ii) 42% of such Future Savings that accrue during a Three -Year Savings Period. UCM may
continue to obtain and review Client's utility billing and other information following termination
in order to periodically verify whether Client has obtained a refund, credit or Future Savings that
was identified in the Findings Letter upon written request to Client.
(d) Client's Prior Knowledge of Basis For Refund, Credit, or Future Savings. Client is not
obligated to pay UCM for any refund, credit or Future Savings received by Client and identified
in the Findings Letter for which Client had submitted to the utility provider a written claim prior
to the date of Client's receipt of the Findings Letter. However, Client is obligated to pay UCM
whether or not Client knew of the basis for the refund, credit or Future Savings identified in the
Findings Letter and prior to Client's receipt thereof, and whether or not Client's receipt of the
refund, credit or Future Savings was the result of steps taken by UCM or others, unless Client
had submitted to the utility provider a written claim for the refund, credit or Future Savings prior
to the date of Client's receipt of the Findings Letter.
EXHIBIT C
ACTIVITY SCHEDULE
Time from contract r _ . .(
1 week 1. UCM obtains copies of one month's
electricity bills.
2 weeks
2. UCM conducts initial analysis of all bills.
... .... ....
3. UCM obtains historical billing records from
4 weeks
utility provider for those accounts that
require historical analysis.
6 weeks
4. Site visits, if any, are completed.
8 weeks
5. UCM sends Findings Report to City.
9 weeks
6. UCM obtains City's approval to pursue
recommend rate changes or refund requests.
12 weeks
7. UCM obtains utility provider's approval of
rate changes or refunds identified in the
Findings Report.
16 weeks
8. Utility rate changes are implemented and
reflected on City's utility bills.
30 weeks
9. UCM sends first invoice to City covering
prior three months of savings. Under the fee
proposal submitted herein, invoices would
continue to be sent every three months for
_ three years.
10. UCM works with utility and/or CPUC
Ongoing for duration of contract terms.
to implement any unresolved rate
changes, and continues to monitor
City's electricity bills for additional j
savings opportunities. l