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HomeMy WebLinkAbout4.7 Change Order 1 for Amended Restarted Energy Services Contract - Engie Services, IncSTAFF REPORT CITY COUNCIL Page 1 of 2 Agenda Item 4.7 DATE:April 5, 2022 TO:Honorable Mayor and City Councilmembers FROM:Linda Smith, City Manager SUBJECT:Change Order No. 1 for Amended and Restated Energy Services Contract Between the City of Dublin and Engie Services, Inc. (formerly OpTerra Energy Services, Inc.)Prepared by:Jordan Foss,Management Analyst II EXECUTIVE SUMMARY:The City Council will consider approval of a change order to the contract with Engie Services, Inc. (formerly OpTerra Energy Services, Inc.) for operation and maintenance of City solar panels to add the Public Safety Complex into the scope of work. STAFF RECOMMENDATION:Adopt the Resolution Approving Change Order No. 1 to the Amended and Restated Energy Services Contract for Operation and Maintenance between the City of Dublin and Engie Services, Inc. (formerly OpTerra Energy Services, Inc.)to add the Public Safety Complex into the scope of work. FINANCIAL IMPACT:The cost of the additional services at the Public Safety Complex is $12,414.00 over the remaining two years of the contract.The costs will be paid from the maintenance operating budget, which is funded by the General Fund. DESCRIPTION:In May 2011, the City Council approved an agreement with Chevron Energy Solutions to conduct an energy audit of all City facilities.In August 2011, based on the findings of the audit, the City entered into an Energy Service Contract and an associated financing contract with Chevron Energy Solutions for the implementation and funding of certain energy related improvements to city facilities. On May 2, 2017, the City Council adopted Resolution 41-17, approving an Amended and Restated Agreement with OpTerra Energy Services, Inc.(as successor-in-interest to Chevron Energy Solutions)to remove the Annual Performance Guarantee Fee of $35,000.The fee was 112 Page 2 of 2 determined to be unnecessary because the constructed energy improvements were consistently outperforming the original performance projections.Engie Services, Inc. purchased Opterra Energy Services, Inc. and its subsidiaries, and in July 2018, Engie Services, Inc. began providing services to the City as outlined in the Amended and Restated Agreement.In February 2020, the Public Safety Complex (PSC) project was completed. As part of this project, solar canopies were installed in the secured parking lot. The PSC solar panels have been receiving complimentary monitoring services from the installer (Fronius) as part of the solar package, however the PSC panels do not have an annual maintenance plan. Staff recommends the PSC solar panels be added to the existing annual maintenance plan that covers the solar panels at other City facilities, which is provided by Engie Services, Inc. The maintenance plan includes monthly reporting on historical and comparative photovoltaic production, comprehensive monitoring services, quarterly maintenance of the panels (visual washing of solar panel surfaces), and preventative maintenance of solar panel and grid connectivity. The addition of these services at the PSC will increase the agreement fee by $12,414.00. STRATEGIC PLAN INITIATIVE:None. NOTICING REQUIREMENTS/PUBLIC OUTREACH:The City Council Agenda was posted. ATTACHMENTS:1) Resolution Approving Change Order #1 to the Amended and Restated Agreement between the City of Dublin and Engie Services, Inc. (formerly OpTerra Energy Services, Inc.)2) Exhibit A to the Resolution – Change Order No.1 to the Amended and Restated Agreement 113 Attachment 1 Reso. No. XX-22, Item X.X, Adopted 04/05/2022 Page 1 of 2 RESOLUTION NO. XX – 22 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN APPROVING CHANGE ORDER NO. 1 FOR AMENDED AND RESTATED ENERGY SERVICES CONTRACT BETWEEN THE CITY OF DUBLIN AND ENGIE SERVICES, INC. (FORMERLY OPTERRA ENGERY SERVICES) WHEREAS,on August 1, 2011, the City Council approved an Energy Service Contract and an associated financing contract with Chevron Energy Solutions Company for the implementation and funding of certain energy related improvements to City of Dublin Facilities; and WHEREAS,on October 24, 2015, the City Council approved an amendment to the Energy Services Contract; and WHEREAS,on May 2, 2017, the City Council approved an Amended and Restated Contract between the City of Dublin and OpTerra Energy Services, Inc. (successor-in-interest to Chevron Energy Solutions Company, a division of Chevron U.S.A. Inc.) clarifying the operation and maintenance services to the City of Dublin; and WHEREAS,Engie Services, Inc. purchased Opterra Energy Services, Inc., and in July 2018, began providing services to the City as outlined in the Amended and Restated Agreement; and WHEREAS,on February 22, 2020, the City of Dublin Public Safety Complex was dedicated and opened, and the Public Safety Complex parking lot includes solar panels that require routine annual maintenance; and WHEREAS,the City Council desires to approve a Change Order No.1 to the Amended and Restated Agreement Amendment between the City of Dublin and Engie Services Inc. (formerly OpTerra Energy Services, Inc.), to provide for the routine annual maintenance of the Public Safety Complex solar panels. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby approve Change Order No. 1 to the Amended and Restated Energy Services Contract for Operation and Maintenance attached hereto as Exhibit A. BE IT FURTHER RESOLVED that that upon the effective date of Change Order No. 1 to the Amended and Restate Energy Services Contract for Operations and Maintenance, the Public Safety Complex is added as a location to the agreement scope of work. BE IT FURTHER RESOLVED that the City Manager or designee is authorized to execute the Change Order No. 1 to the Amended and Restated Energy Services Contract for Operation and Maintenance and make any necessary, non-substantive changes to carry out the intent of this Resolution. 114 Reso. No. XX-22, Item X.X, Adopted 04/05/2022 Page 2 of 2 PASSED, APPROVED AND ADOPTED this 5th day of April 2022, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ______________________________ Mayor ATTEST: _________________________________ City Clerk 115 ENGIE Services Project #: CN-000692 ENGIE Services Contract # CU1286 Page 1 of 1 Change Order to ESC V 12/5/15 Change Order No. 01 Customer Contract Title: Operation and Maintenance Agreement Customer Contract No. CU1286 Customer Contract Effective Date: 3/29/2017 Change Order Effective Date: 2/1/2022 Customer Name: City of Dublin Customer Address: 100 Civic Plaza Dublin, CA 94568 Contact: Dean McDonald, Public Works Maintenance Superintendent Job Location: Public Safety Complex Description of Change Order: The Scope of Work set forth in Attachment A to the Operation and Maintenance Agreement referenced above is hereby amended to add the following scope and cost revisions in this Change Order. Further explanation is as follows: PCO #1: 1. Project Location to add the existing PV System services at the Public Safety Complex. 2. Article 1. “Annual Maintenance and Monitoring Fee”. Start the O&M and monitoring services in year nine 2/1/2022, and year ten, 2/2/2023 of the O&M term. Change from: Year Period M&V Services Monitoring Services PV O&M Services Total Fee 9 2022 $ - $ 12,238 $ 19,926 $ 32,164 10 2023 $ - $ 12,238 $ 20,524 $ 32,762 Change to: Year Period M&V Services Monitoring Services PV O&M Services Total Fee 9 2022 $ - $ 13,419 $ 24,679 $ 38,099 10 2023 $ - $ 13,822 $ 25,420 $ 39,241 Original Contract Amount for year 9 & 10: $64,926.00 Prior Amendment(s) Added (+): $.00 This Amendment Will Add (+): $12,414.00 Revised Contract Amount: $77,340.00 The changes within are hereby authorized, subject to the terms and conditions of that certain Customer Contract referenced above by and between ENGIE Services U.S. Inc., and City of Dublin. Except as set forth herein, the Customer Contract is not amended, modified, impaired or otherwise affected, and is hereby confirmed in full force and effect. CITY OF DUBLIN ENGIE SERVICES U.S. INC. By: By: Print Name: Print Name: Title: Title: RETURN EXECUTED COPY TO: ENGIE Services U.S. Inc., 500 Twelfth Street, Suite 300, Oakland, CA 94607, Attn.: Contract Administrator Director, Service Management Jamal Aboueljoud Attachment 2 116 117 118 119 120 121 122 123 124 125 126