Item Coversheet
City of Independence
AGENDA ITEM COVER SHEET
BILL NO. 17-114Postponed Indefinitely

Agenda Title:

17-114 - 2R. An ordinance authorizing execution of a contract with west Monroe Partners, LLC in an amount not to exceed $2,620,550.00, for project management services to assist the city during the Advanced Metering Infrastructure (AMI) implementation; and authorizing future minor change orders for an amount not to exceed $262,055.00 and/or time extensions. [Motion made to Postpone Indefinitely.]
Recommendations:

Staff recommends approval of ordinance.
Background:

West Monroe Partners, Inc. was selected from the City’s list of pre-qualified A/E vendors in September of 2015 to perform the initial Advanced Metering Infrastructure (AMI) feasibility study. This study was requested by City Council through Resolution 6013 on June 1, 2015. On October 3, 2016, City Council approved a contract with West Monroe Partners for the development of blueprint methodology and the creation of a Project Blueprint that would further define and de-risk the AMI Deployment Project. The results of the blueprint process were presented to City Council on March 13, 2017 and approval was given to proceed with a Request for Proposal for Advanced Metering Infrastructure. West Monroe Partners, Inc. developed, with collaboration from staff, a Request For Proposal document that defined the scope of project equipment and services, along with nearly 1,000 compliance requirements. On April 3, 2017, a Request for Proposal for Advanced Metering Infrastructure was issued and the proposals were opened on May 31, 2017. West Monroe Partners assisted staff in evaluating vendor proposals and staff is concurrently requesting the approval of a contract with Core & Main LP (f.k.a HD Supply) for AMI Implementation.

Staff is seeking approval to enter into a contract with West Monroe Partners, Inc. for project management contract services to assist the City during the AMI implementation. Staff is proposing that an on-site project manager be provided by West Monroe Partners that would be dedicated to the City’s AMI implementation. This individual will be a certified Project Manager who has had experience working in the utility industry on similar advanced metering initiatives. As this project is large and will require additional resources from time to time, West Monroe’s proposal includes an allocation of funds that will allow additional resources to be called upon as needed over the course of the implementation. The additional resources from West Monroe would be weighted more heavily in the first year, as the AMI Pilot Program is implemented, less heavily in the second year as more meters are rolled out, and even less heavily in the remaining fiscal years as the final meters are installed and the final applications go-live.

 

Timeline:

 

The Services pursuant to this Agreement are estimated to be performed over an elapsed period of three years (spread over four fiscal years) as shown in the table below. Since this proposed engagement with West Monroe Partners, Inc. is on a not-to-exceed basis, staff will be continuously seeking opportunities to scale back this engagement and/or utilize in-house resources in an effort to save money. Furthermore, the proposed Agreement will allow the City to terminate the Agreement upon completion of either Phase 1 or Phase 2 with a 30-day written notice.

 




Fiscal Impact:

The Service fees and expenses pursuant to this engagement will not exceed $2,620,550. The table below reflects the budget by fiscal year. The fixed billing costs are fees and expenses associated with the on-site Project Manager. The Variable Budget includes the fees and expenses for the use of the Subject Matter Specialists which would be only utilized on an as-needed basis.

 

Fiscal Year

Fixed Billing

Variable Budget

Total Budget

2017/2018

$588,578

$157,394

$745,972

2018/2019

$755,967

$99,539

$855,506

2019/2020

$772,969

$39,928

$812,897

2020/2021

$197,955

$8,221

$206,175

Total:

$2,315,468

$305,082

$2,620,550



The costs of this contract will be allocated among the utilities as follows:

IPL   Project No. 70201512    $1,310,275

Water Project No. 70401705  $1,179,248

WPC  Project No.  70301708 $   131,028

TOTAL                                     $2,620,550


A request to appropriate additional funds in the Utilities’ Capital Improvement Program for the overall Automated Metering Infrastructure project is being included in the accompanying ordinance authorizing the Core and Main contract.




Department:          Power & LightContact Person:          Andrew Boatright


REVIEWERS:
DepartmentAction
City Clerk DepartmentApproved

Council Action:          Council Action:          Accepted

ATTACHMENTS:
DescriptionType
West Monroe OrdinanceOrdinance
West Monroe ContractContract
West Monroe AMI Staffing ProposalBackup Material
Management Analyst Review AMI Project ManagementBackup Material