Explanation
BACKGROUND: This legislation authorizes the Director of Finance and Management to establish a Universal Term Contract (UTC) with New River Group dba Scioto Energy LLC for Electric Energy Consultant services. The Department of Finance and Management is the primary user. This contract will be used to obtain bids from certified energy suppliers for deregulated electric supply for City-owned facilities currently on the AEP Ohio distribution system, for bill management services including auditing and tracking of utility data, and for additional services relating to energy issues such as demand response procurement and Energy Star Portfolio management. The term of the proposed option contract would be approximately two years, with the option to renew for three (3) additional one (1) year contract extensions.
BID INFORMATION: Request for Proposal RFQ004842 was advertised and proposals were opened April 13, 2017. Six (6) responses were received.
An evaluation committee consisting of three representatives from the Department of Finance and Management, one from Department of Public Utilities and one from the Office of Diversity and Inclusion scored and ranked written proposals submitted by the offerors. Three finalists were invited to make oral presentations and to submit pricing. After evaluating all offers and viewing presentations, in compliance with the application sections of Columbus City Code Chapter 329, the committee submitted final rankings. After review of the committee members' work, the Director of Finance and Management authorized final negotiations and recommends the acceptance of the proposal submitted by New River Group dba Scioto Energy. Under the terms of the contract, compensation for the services outlined in the Scope of Work will be based on a per kWh paid directly by the energy supplier to Scioto Energy for the term of the executed supply agreements. Compensation for any Demand Response Procurement will be paid directly from the Curtailment Service Providers to Scioto Energy and all other related services will be paid on a per hour basis. Estimated annual expenditure is $81,000.
In accordance with the Committee recommendations, the Purchasing Office recommends the award to New River Group dba Scioto Energy LLC, CC#019438 expires 10/7/2018, negotiated contract $1.00.
The company is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
FISCAL IMPACT: Funding to establish this option contract is from the General Fund. City Agencies will be required to obtain approval to expend from their own appropriations for their estimated annual expenditures.
Title
To authorize the Finance and Management Director to enter into a contract for the option to obtain an Electric Energy Consultant UTC with New River Group, dba Scioto Energy LLC; and to authorize the expenditure of $1.00 from the General Fund. ($1.00).
Body
WHEREAS, the Electric Energy Consultant UTC will provide for consulting and management services to obtain bids from certified energy suppliers for City owned facilities, for bill management services including auditing and tracking of utility data, and for additional services relating to energy issues; and,
WHEREAS, a formal request for proposal (RFP) for a multi-year Universal Term Contract (UTC) was solicited and evaluated by a multi-departmental committee via Request for Quotation RFQ004842 resulting in the recommendation of an award to New River Group dba Scioto Energy LLC; and
WHEREAS, this ordinance addresses Purchasing objective of 1) maximizing the use of City resources by obtaining optimal products/services at low prices and 2) encouraging economic development by improving access to City bid opportunities and 3) providing effective option contracts for City agencies to efficiently maintain their supply chain and service to the public; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Finance and Management to authorize the Finance and Management Director to enter into contract with New River Group, dba Scioto Energy LLC, for the option to obtain Electric Energy Consultant services; now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director is hereby authorized to enter into the following contract for the option to purchase Electric Energy Consultant services in accordance with Request for Quotation RFQ004842 for a term of approximately two years, with the option to renew for three (3) additional one (1) year period, as follows:
New River Group, dba Scioto Energy LLC, Negotiated contract $1.00
SECTION 2. That the expenditure of $1.00 is hereby authorized in Fund 1000 General Fund in Object Class 03 Services, Materials and Supplies per the account codes in the attachment of this ordinance to pay the cost thereof.
SECTION 3. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 4. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.