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CITY OF GLENDALE, CALIFORNIA
REPORT TO THE CITY COUNCIL
AGENDA ITEM
Report: Amendments to Existing Four Owner’s Engineer (OE) Professional Services Agreements (PSA).
1. Motion authorizing the City Manager, or his designee, to execute Amendment No. 1 to the City’s existing PSA, Contract No. 8001332, with Electric Power Engineers, Inc. (EPE), for two years and increase the not-to- exceed amount of the PSA by $500,000 to a new not-to-exceed amount of $1,400,000, and authorizing a subsequent one-year term extension option if there are remaining funds.
2. Motion authorizing the City Manager, or his designee, to execute Amendment No. 1 to the City’s existing PSA, Contract No. 8001356, with SEL Engineering Services, Inc. (SEL), for two years and increase the not-to exceed amount of the PSA by $300,000 to a new not-to-exceed amount of $1,200,000, and authorizing a subsequent one-year term extension option if there are remaining funds.
3. Motion authorizing the City Manager, or his designee, to execute Amendment No. 1 to the City’s existing PSA, Contract No. 8001327, with TRC Engineers, Inc. (TRC), for two years and increase the not-to-exceed amount of the PSA by $600,000 to a new not-to-exceed amount of $1,500,000, and authorizing a subsequent one-year term extension option if there are remaining funds.
4. Motion authorizing the City Manager, or his designee, to execute Amendment No. 3 to the City’s existing PSA, Contract No. 8001391, with the Worley Group, Inc. (Worley), for two years and increase the not-to- exceed amount of the PSA by $2,000,000 for a new not-to-exceed amount of $4,000,000, and authorizing a subsequent one-year term extension option if there are remaining funds.
COUNCIL ACTION
Item Type: Consent Item
Approved for July 16, 2024 calendar
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EXECUTIVE SUMMARY
The Electrical Engineering Division of GWP has been using OE personnel and expertise to help with capital improvement programs, as well as supporting electric operations and maintenance activities since 2017. In 2021, after a comprehensive Request for Proposals (RFP) process and evaluating twelve proposals, GWP executed three-year PSAs with four OE firms of EPE, SEL, TRC and Worley.
Since 2021, GWP has issued about twenty task orders to EPE, ten task orders to TRC, five task orders to SEL and two task orders to Worley. The PSAs with the four firms expire between the end of July and the middle of September of 2024. However, some of the tasks assigned to the OE consultants will not be completed before the contractual deadlines. Starting a new RFP process and hiring a new set of OE teams would be detrimental to the schedule of the projects already in progress. Extending the PSAs will ensure continuity and stability in operations, and the projects handled by each OE.
RECOMMENDATION
Authorize the City Manager to extend the exiting PSAs with EPE, SEL, TRC and Worley for two years, and to add $500,000, $300,000, $600,000, and $2,000,000 to each PSA respectively and authorize a subsequent one-year term extension option for each PSA through 2027 if there are remaining funds.
ANALYSIS
GWP Electrical Engineering Division plans, designs, and manages the construction of capital projects. Additionally, the Division provides planning and support services to the Electrical Operations Section, the Electrical Substations Section, and the Electrical Transmission and Distribution Section. The Section also provides customer, and developer assistance for power service planning activities, budgeted as “customer paid” projects.
The volume of engineering work for capital projects and operation and maintenance (“O&M”) support activities require additional labor hours to complete the work, which exceeds the current engineering staffing level. In addition, special expertise is required for certain projects.
In 2021, GWP staff engaged in a robust RFP process and solicited proposals from engineering firms. After evaluating twelve proposals, the City Council awarded four three-year PSAs to EPE, SEL, TRC, and Worley, each for a not-to- exceed amount of $900,000. In January of 2023, City Council approved an Amendment to Worley’s PSA to add $1,100,000 to help with project management, engineering and other tasks associated with Scholl Canyon Biogas Renewable generation (Scholl Biogas) project.
Under all the subject PSAs, work is being performed by the consultants on a per project/task basis. For each project, GWP staff issues a task order to one of the four firms depending on the availability of each consultant, suitability and experience with the work involved, and the work approach proposed by the consultant. 3{{section.number}}c
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The following list includes some projects for which the Electrical Engineering Division has been using the services of the OEs:
•Scholl Biogas Project
•Broken Conductor Detection (Part of Wildfire Mitigation Plan) •Integrated Communications Optical Network (ICON)
•Feasibility Study and Design for Upgrading Existing Substations or Adding New Substations
•Various Power System Studies
•Fiber Extension
•Mobile Substation Specification and Procurement
•Electric Services Master Plan
•GWP staff training
The current PSA values and corresponding expiration dates are as follows:
2020-2023 PSAsOE Original Expended Open PO Available Expiration EPE $ 900,000.00 $ 835,704.50 $ 53,010.00 $ 64,295.00 8/3/2024 SEL $ 900,000.00 $ 213,694.34 $166,542.85 $519,762.81 8/22/2024 TRC $ 900,000.00 $ 457,311.53 $245,993.52 $196,694.95 7/28/2024 Worley $2,000,000.00 $1,292,663.11 $707,336.40 $ 0.49 9/19/2024 The Open POs (Purchase Order) correspond to the task orders that have been issued to the OEs, but the tasks have not yet been completed. The completion date for most of these tasks falls after the PSA expiration date. The following is a list of some the tasks assigned to OEs which would not be completed before the PSA expiration. •GWP assigned Worley as OE to manage the Scholl Biogas project as well as monitor project design, provide equipment procurement supervision, permits, some environmental compliance activities, and assist with the project commissioning. GWP is also using TRC to provide biological construction monitoring for Scholl Biogas project. The services of Worley and TRC would be needed through summer of 2025.
•GWP used TRC to prepare specifications for a 15MVA mobile substation which is being used currently in a bid package to solicit proposals. The bids are due on July 30, 2024. TRC’s services would be required to evaluate the bidders’ proposals beyond July 28, 2024 (contract expiration date). •GWP system protection standards based on SEL products was last updated in 2008-09. SEL will be working with GWP to update the standards and train GWP engineers and test technicians. SEL services would be needed through end of 2024.
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•EPE has prepared conceptual design and cost estimate to modify Tropico Substation to make room for installation of an existing 5/6.2 MVA transformer which was removed from Glendale rack during demolition of the Grayson Power Plant. This transformer will be primarily used to support load growth in south Glendale due to Bus electrification project. EPE’s services would be needed through 2025 to prepare specifications and evaluation of bids.
These OEs have consistently demonstrated their commitment to excellence and have proven to be invaluable partners with GWP in various City’s projects and utility services.
Therefore, it is respectfully requested and recommended that the City Council extend the four PSAs and the necessary funds.
STAKEHOLDERS/OUTREACH
Not applicable.
FISCAL IMPACT
The amendments to the PSA with the four OEs will cost $3,400,000 over the course of two contractual years. The estimated cost for the fiscal year 2024-25 is $2,000,000 which is available in the following Project appropriations:
Existing Appropriation
Amount Account String Funding Source
$48,793,450 GL: 43110-5830-GWP-0020
PL: 31005 (Scholl Biogas)
Electric Depreciation Fund
$ 3,250,000 GL: 51800-5830-GWP-0020
PL: GWP00460AN (Mobile Sub.)
Electric Depreciation Fund
$ 200,000 GL: 43110-5830-GWP-0020
PL: GWP01062AA (Fleet/Bus
Electrification)
Electric Depreciation Fund
$ 700,000 GL: 43110-5830-GWP-0020
PL: GWP00634AA (Substation
Improvement Program)
Electric Depreciation Fund
$ 100,000 GL: 43110-5830-GWP-0020
PL: GWP00636AA (Substation
Relay and Comm. Upgrade)
Electric Depreciation Fund
ENVIRONMENTAL REVIEW (CEQA/NEPA)
Not Applicable. The action herein is not a project as defined under the California Environmental Quality Act (CEQA) and as such not subject to CEQA.
CAMPAIGN DISCLOSURE
In accordance with the City Campaign Finance Ordinance No. 5744, the following are the names and business addresses of the members of the board of directors, the 5{{section.number}}c
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chairperson, CEO, COO, CFO, Subcontractors and any person or entity with more than ten percent interest in the company proposed for contract in this agenda item report:
Officers of Electric Power Engineers, Inc.
Full Name Title Business
Address City State Zip
Hala N.
Ballouz, P.E.
CEO (Board
Member)
5301 Southwest
Parkway, Suite
150
Austin TX 78735
Stephanie Badr COO (Board
Member)
5301 Southwest
Parkway, Suite
150
Austin TX 78735
Hugo Mena,
P.E.
Chief Growth
Officer
5301 Southwest
Parkway, Suite
150
Austin TX 78735
David Edelman Board of Directors 5301 Southwest
Parkway, Suite
150
Austin TX 78735
Mark Lewis Board of Directors 5301 Southwest
Parkway, Suite
150
Austin TX 78735
Mike Howard Board of Directors 5301 Southwest
Parkway, Suite
150
Austin TX 78735
Officers of SEL Engineering Services, Inc.
Full Name Title Business
Address City State Zip
Dave E.
Whitehead
President and
Chief Executive
Officer
2350 NE Hopkins
Court
Pullman WA 99163
Joesph
Nestegard
Treasurer and
Secretary
2350 NE Hopkins
Court
Pullman WA 99163
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Nicholas
Seeley
Senior VP of
Engineering
Services &
Assistant
Secretary
2350 NE Hopkins
Court
Pullman WA 99163
Officers of TRC Engineers, Inc.
Full Name Title Business
Address City State Zip
Christopher P.
Vincze
Chairman and
CEO
21 Griffin Road
North
Windsor CT 06095
Jason S.
Greenlaw
Chief Financial
Officer
21 Griffin Road
North
Windsor CT 06095
Laura Ramey Chief People
Officer
21 Griffin Road
North
Windsor CT 06095
Nik
Krishnamurthy
Chief Growth
Officer
21 Griffin Road
North
Windsor CT 06095
Marc Faecher Chief Risk Officer 21 Griffin Road
North
Windsor CT 06095
Rajeev
Gollarahalli
Chief Information
& Digital Officer
21 Griffin Road
North
Windsor CT 06095
James Mayer Executive Vice
President,
Business
Operations
21 Griffin Road
North
Windsor CT 06095
Ed Myszka President, Power
Sector
21 Griffin Road
North
Windsor CT 06095
Ryan Renner President, Digital
Solutions
21 Griffin Road
North
Windsor CT 06095
Mark Robbins President,
Environmental
Sector
21 Griffin Road
North
Windsor CT 06095
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Todd Wager President,
Infrastructure
21 Griffin Road
North
Windsor CT 06095
Officers of Worley Group, Inc.
Full Name Title Business
Address City State Zip
John Grill AO Chairman & Non-
Executive Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Chris Ashton Chief Executive
Officer &
Managing Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Andrew Liveris
AO
Deputy Chairman
& Lead
Independent
Director & Non-
Executive Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Tom Honan Chief Financial
Officer
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Mark Trueman Executive Group
Director, Growth
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Geeta
Thakorlal
President, Energy
Transition & Digital
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Karen Sobel Group President,
Americas
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
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Vinayak Pai Group President,
EMEA and APAC
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Andrew
Berryman
Group President,
Project Delivery
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Marian McLean Executive Group
Director, Health
Safety &
Sustainability
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Vikki Pink Group Managing
Director, People
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Larry Kalban Group General
Counsel
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Nuala O’Leary Group Company
Secretary
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Wang Xiao Bin Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
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Juan Suárez
Coppel
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Sharon
Warburton
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Anne
Templeman-
Jones
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Christopher
Haynes OBE
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Thomas
Gorman
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Roger Higgins Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Martin
Parkinson AC
Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
Emma Stein Non-Executive
Director
Suite 100, Energy
Center II, 575
North Dairy
Ashford Road
Houston TX 77079
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ALTERNATIVES TO STAFF RECOMMENDATION
Alternative 1: Not approve amending the existing PSAs with the four OE firms, and direct staff to consider other OE firms. This would require staff to prepare a new RFP with a new scope of work and solicit proposals, evaluate, and recommend the award of new PSAs. The process would normally take four to six months, which will be a significant delay in the projects and GWP’s electrical operations, will result in change orders to adjust the schedule of the Biogas Project contractors, and increase the contractual amounts due to City-caused delays. Additionally, the delays would require City to purchase power from outside resources during the time that project is not available.
Alternative 2: Consider any other alternative not proposed by staff.
ADMINISTRATIVE ACTION
Submitted by:
Mark Young, General Manager - Glendale Water and Power
Prepared by:
Daneil Scorza, Assistant General Manager - Electric
Approved by:
Roubik R. Golanian, P.E., City Manager
EXHIBITS/ATTACHMENTS
None.