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File #: 1643-2021    Version: 1
Type: Ordinance Status: Passed
File created: 6/15/2021 In control: Public Utilities Committee
On agenda: 7/19/2021 Final action: 7/22/2021
Title: To authorize the Director of Public Utilities to enter into a planned modification for professional services with Utility Revenue Management Company, Inc. in the amount of $500,000.00 for the continuation of billing system and metering audit services; to authorize the expenditure of $124,400.00 from the Power Operating Fund, $155,200.00 from the Water Operating Fund, $174,000.00 from the Sewer Operating Fund, and $46,400.00 from the Stormwater Operating Fund. ($500,000.00)
Attachments: 1. Ord 1643 -2021 Financials URM.pdf, 2. Ord 1643 2021 Sub Mod #6.pdf, 3. Ord 1643-2021 Addl Info URM.pdf
Explanation

This legislation authorizes the Director of Public Utilities to enter into a planned modification (Mod #6) for professional services with Utility Revenue Management Company, Inc. (URM) in the amount of $500,000.00 for continuation of the billing system and meter audit services for the Division of Water, Division of Sewerage and Drainage, and Division of Power.

The scope of work for this modification will provide for the ongoing billing system and metering audit services for the Division of Water, the Division of Sewerage and Drainage, and the Division of Power, in addition to other tasks outlined in the original scope of services. The consultant will continue evaluating the Department’s billing records and metering operations to identify billing issues and meter system field conditions that need corrected. The consultant will continue to evaluate the Department’s billing database and investigate any situation which appears to be the result of improper rate coding, billing, consumption, quantification, etc. The firm’s findings so far have been presented to the Department on a regular basis; the department has reviewed and validated the findings. To date findings from the audit have discovered meter off situations, meter malfunctions, incorrect service types recorded, no sewer being billed, and meter by-passes open. Utility Revenue Management Company, Inc. will only be compensated based on validated cases of increased revenue realized to the City. Under this arrangement, Utility Revenue Management Company, Inc. will receive 50% of the new revenue realized and the City will receive 50%, for a period of 48 months. After 48 months the City will receive 100% of the new revenues.

The Department of Public Utilities advertised Request for Proposals (RFP’s) for the subject services in the City Bulletin in accordance with the relevant provisions of City Code, Chapter 329 and (1) proposal was received on November 11, 2016 from Utility Revenue Management Compa...

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