HomeMy WebLinkAboutC2008-472 - 12/16/2008 - ApprovedAmendment No. 5
Agreement for Consultant Services
Utility Rate Analysis
The City of Corpus Christi, Texas, hereinafter called "City", and HDR Engineering, Inc.,
Inc. hereinafter called "Consultant", hereby agree to the amend the contract approved May 31, ~
2005 by Motion No. 2005-179 and administratively amended May 1, 2006 and administratively
amended August 30, 2006 and administratively amended September 14, 2006, and
administratively amended September 27, 2007 as follows:
Section II. Scope of Services is amended to have Subsection L. Task 12 read:
II. SCOPE OF SERVICES
N. Task 14 - On Call Services
The Consultant will provide on call services for utility financial planning, assistance in rate
determination, wholesale customer mediation, expert testimony, and other utility related matters
dealing with planning, finance and growth management. Examples of anticipated services that
may be required are attached as Exhibit A-5. Additional services will be undertaken upon
request, but any service requiring an increase in fees will be evidenced in writing as an
additional amendment to this contract.
Section III. Fees Authorized is amended to read as follows.
III. FEES AUTHORIZED
The City will pay the Consultant a total not to exceed fee of $484,690.00. The fee consists of an
original contract fee of $255,790.00, an Amendment No. 1 fee of $24,500.00, an Amendment
No. 2 fee of $24,000.00 and an Amendment No. 3 fee of $36,000.00 and an Amendment No. 4
fee of $44,400.00 and an Amendment No. 5 fee of $100,000.00. This fee will be full and total
compensation for all services provided and authorized expenses incurred in performing the
tasks specified. Authorized expenses include out of town travel, lodging, and meal. Mileage will
be reimbursed at the IRS authorized rate. Other authorized expenses will be reimbursed upon
submission photocopies of receipts. The City will reimburse the Consultant for authorized
expenses in an amount not to exceed $8,060.00. The Consultant will not be reimbursed for
mileage while traveling within the City of Corpus Christi.
The table "Summary of Fees" shall be used when calculating the fee due for the proportion of
services completed. The City shall make prompt payments in response to Consultant's
statements for Professional Services.
Billing for services provided will be based on the Consultant's estimate of the percent of
services complete at the time gf_b_illing. However, in no case will the billing exceed 90% until the
delivery of any documents has been reviewed and accepted by the City.
Billing for services provided as part of Amendment No. 4 will be based on the actual number of
hours worked times the billing rate for the employee. Amendment No. 4 includes payment for
authorized expenses in an amount not to exceed $3,867.00.
HDR Engineering
2008-472
12/16/08
M2008-335
Page 1 of 3
Billing for services provided as part of Amendment No. 5 will be based on the actual number of
hours worked times the billing rate for the employee. The Amendment No. 5 fee is inclusive of
all fees and authorized expenses.
Consultant will submit monthly statements for work authorized by the Assistant Director of
Engineering Services and performed by the Consultant. The statement will be based upon
Consultant's record of actual hours worked times the hourly billing rate for the City of the
proportion of the total services actually completed at the time of billing. The hourly rate is set
forth by Table 1 attached to this amendment. The City will make prompt monthly payments in
response to Consultant's monthly invoices.
All invoices shall be accompanied by a cover letter summarizing the fee in accordance with the
Summary Schedule of Fees. Invoices will be sequentially numbered for each project and state
the project name. The letter shall state the number of the current invoice, the contract fee for
each task, the amount previously invoiced for each task, and the current amount due. Invoices
will be organized to accommodate funding sources.
Summary of Fees:
Ori final Contract
A Task 1 -Data Gatherin and Initial Polic Guidance 9,808
B. Task 2 -Evaluate Customer Use and Production Data 10,664
C. Task 3 - Existin /Pro'ected Cost of Service 25,358
D. Task 4 - Develo Im roved Model 34,348
E. Task 5 -Assess Miscellaneous Service Fees 12,071
F. Task 6 -Determine and Allocate Revenue Re uirements 15,835
G. Task 7 -Adequacy of Existing Rates and Alternative
Rate Desi ns 10,825
H. Task 8 -Model Trainin and Transfer 11,135
I. Task 9 - Re ortin 17,410
J. Task 10 -Coordination 80,276
Labor Subtotal 227,730
Travel, Per Diem, Printin & Re roduction 8,060
Subcontractor Ex ense Collier, Johnson & Woods 20,000
Ori final Contract Total $255,790
Amendment No. 1
K. Task 11 -Resolution of Customer Billin Data 24,500
Amendment No. 1 Total 24,500
Amendment No. 2
L. Task 12.1 -Gas Utilit Rate Stud /Model -Phase 1 24,000
Task 12.2 -Gas Utilit Rate Stud /Model -Phase 2 TBA
Task 12.3 - Im lementation of Gas Marketin Strate ies TBA
Amendment No,_2 Total __.__$24,000
Amendment No. 3
L. Task 12.1 -Gas Utilit Rate Stud /Model -Phase 1 Previous) Authorized
Task 12.2 -Gas Utilit Rate Stud /Model -Phase 2 26,000
Task 12.3 - Im lementation of Gas Marketin Strate ies 10,000
Amendment No. 3 Total $36,000
Amendment No. 4
M. Task 13 -Additional Coordination Meetin s 44,400
Page 2 of 3
Amendment No. 4 Total $44,400
N. Amendment No. 5
Task 14 - On Call Services $100,000
Amendment No. 5 Total $100,000
Amended Total $484,690
All other terms and conditions of the May 31, 2005 contract between the City and Consultant,
and of any amendments to that contract, which are not specifically addressed herein shall
remain in full force and effect.
CITY OF COR~/PyUS CHRISTI /117A' ENGINEE~/~G, I
Oscar Martinez Date Carl E. Crull, P.E. Date
Assistant City Manager Vice President
ATTEST
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A~ nam do C~1apa Date
City Secretary
RECOMMEt\~ ED: Bt' C9tlFCIL
! ! f 2- ~' "~---
Kevin R. S owers~, Date
~ z o , °gj
Gonzalez, Date
or Water S rvi s
AF~PfjOVED AS :O FORM:
~\V/ ~~-l -b y
Veronica Ocanas Date
Assistant City Attorney
AU iHORlZf D
Page 3 of 3
ANTICIPATED ON-CALL SERVICES
UPDATES OF THE CITY'S UTILITIES FINANCIAL PLANNING MODEL
As requested, HDR will assist the City annually or semi-annually in the update of its utilities
financial planning model. This would include updates of actual, estimated, and prospective
utility expenses and revenues; customer count and service use information; water diversion and
treatment volumes, wastewater treatment volumes, outstanding/pending debt, CIP data, inter-
fund transfers, and other information needed to define pending utility expenses, revenue
requirements, and desired rate design and pricing levels. There are four utilities to be
assessed, and many possible issues surrounding each utility. It is understood that this effort
may involve multiple iterations of data requests or model runs to address any data quality,
changed-conditions circumstances, or alternative scenario forecasts. The degree of needed
coordination may also vary from utility to utility and may involve additional coordination efforts
that may be needed to address special issues. It is also uncertain what degree of data
collection, model runs, and coordination efforts may be needed to accommodate possible
changes in the City's fiscal year and/or timing of CIP adoption. It is also understood that HDR
will periodically need to expend additional efforts obtaining and compiling a detailed download of
the City's customer billing information for purposes of updating customer consumption profiles
every several years. Exhibit A lists various responsibilities of City Staff and HDR in periodically
updating the model.
LAS BRISAS NEGOTIATION AND RATE DETERMINATION SUPPORT
As needed, HDR will provide support to the City in evaluation of the potential Las Brisas
agreements and determination of a blended raw water rate for water delivered to the port. This
would involve review of contract terms, development of appropriate cost center accounting, and
delineation of two new rates for raw water delivered to the port (with and without capital
charges), as well a determination of a source of revenue to pay for oversizing costs.
WHOLESALE CUSTOMER MEDIATION SUPPORT
As needed, HDR will provide technical, coordination, and negotiation support in the pending
mediation efforts with NCWCID #4. This could include the provision of data, developing
technical evaluations and arguments, and expert support during the mediation itself.
TCEQ EXPERT WITNESS SUPPORT
As needed, HDR will provide technical, coordination, and negotiation support in the pending
TCEQ complaint by NCWCID #4. This could include the provision of data, developing technical
evaluations, and expert support during the Commission proceedings and administrative hearing.
MISC. UTILITY PLANNING, FINANCE, AND GROWTH MANAGEMENT SUPPORT
As needed, HDR can provide the City will expert support on other utility funding and finance
issues, such as exactions and dedications policy, impact and service fees, water accounting
and metering issues, demand forecasting, water conservation, drought management, and other
+~lit~planning~nd~inance-issues-that affect funding and efficiencies, and. performance.
Staff Responsibilities
Provide, within 30 days of the data request, a formatted download of HTE customer and
water use information that reconciles with monthly billing summaries +/- 5°/u
Provide, within 7 days of availability, a formatted download of water and wastewater
revenue and expense information, including 2 complete fiscal years of audited actuals,
the amended or estimated year-ending budget for the current fiscal year, and proposed
budget numbers for the pending fiscal year.
Exhibit A-5
Pa e 1 of 2
Provide within 7 days of availability, the proposed water and wastewater capital
improvements program including list of projects recommended to be funded, anticipated
year of funding, and anticipated cost.
Provide within 7 days of the data request, a download of water and wastewater utility
debt by type of debt, series number, principal and interest payments by date by series,
and percent water and wastewater funding of each bond series.
Conduct annual update of raw water charge.
Provide support, as needed, for HDR to:
o interpret and incorporate changes in the budget or capital improvements program
as it may affect the model structure or annual budgeted amounts.
o reconcile any quality issues associated with the HTE download or
correspondence with existing utility demand forecasts.
o Review and input to various allocation factors associated with the assignment of
common costs and other costs to various utilities, functional portions of the utility
system, or customer classes.
HDR Responsibilities
^ Annually import historical revenue and expense data from City's financial database.
^ Annually, update water production and wastewater treatment volumes, and customer
count and water use data from monthly billing summaries from Water Department.
^ Every three years, import customer count and water use data from HTE and update
customer profiles.
• Update Capital Improvements Plan project data at mid-year or beginning FY.
^ Reconcile model forecast with budget data.
^ Review water use and financial forecasts with City staff.
^ Develop rate proposal for staff review
^ Coordinate rate proposal with City Council
• Review RWCA calculation of City staff.
Exhibit A-5
Pa e2of2
Table 1
SUMMARY OF BILLING RATES
Labor Category 2008 Payroll Cost ($ per hour)
Senior Financial Analyst $102
Senior Civil Engineer $110
Civil Engineer $72
Financial Analyst $65
GIS Specialist/Senior Tech $36
Clerical/Admin. $28
Note: Payroll costs are adjusted on January 1 sc of each year for all employees.
COMPENSATION
Compensation for ENGINEER'S services under this Agreement shall be on the
basis of Per Diem with hourly rates based on Payroll Cost (as shown in Exhibit B)
times a factor of 2.2.
Reimbursable expenses incurred in connection with such services shall be in
addition to ENGINEER'S compensation.
Compensation terms are defined as follows:
Reimbursable Expense shall mean the actual expenses incurred directly or
indirectly in connection with the Project for transportation, travel, subconsultants,
subcontractors, computer usage, telephone, telex, shipping and express, and
other incurred expense.
CITY OF CORPUS CHRISTI
~ DISCLOSURE OF INTERESTS
City of Corpus Christi Ordinance 17112, as amended, requires all persons or firms seeking to do business with the City to
provide the following information. Every question must be answered. If the question is not applipble, answer with 'NA'.
FlRM NAME: ~~.~/~' ~.+x~: h ~r~ r~3 .dn, ii
STREET: ~•~Sit/, ~x.,.,~sd /,,. ~ .~ ~6So CITY: ~T-.YlGrr~/Ili S~ ~ ZIP: X1/78'
FlRM is: 1. Corporation ~C 2. Partnership ^ 3. Soie Owner ^ 4. Association n
5. Other ^
DISCLOSURE QUESTIONS
If additional space is necessary, please use the reverse side of this page or attach separate sheet
1. State the names of eactl "employee^ of the City of Corpus Christi having an "ownership interest" constituting 3°k
or more of the ownership in the above named "firm^.
NaAme~ Job Tine and City Depar6nent (d brown)
/ ~~
2. State the names of each "official" of the City of Corpus Christi having an "ownership interest' constituting 3% or
more of the ownership in the above named "firm".
Name `` Title
~/A
3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest' constituting
3% or more of the ownership in the above named "firm".
Name Board, Commission or CommiCee
~~
4. State the names of each employee or officer of a "consultant' for the City of Corpus•Christi who worked on any
matter related to the subject of this contract and has an "ownership interest' constituting 3% or more of the
ownership in the above named "firm".
Nam Consutlarrt
A
cERnFICATe
I certify that all information provided is true and correct as of the date of this statemerrt, that I have not knowingly
wafrheld dsdosure of arty urfornation requested; and that supptemental statemerris will be promptly submitted to the City
of Corpus Christi, Texas as changes occur. ' / /
Certifying Pelson: eGF ~t~ ~Yu/~ Tile: l~~~Pl ~~s: dE~
(type or Print)
Signature of Certiryirlg. Person: Date: yam. ~Z. ~~~