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HomeMy WebLinkAboutReso 94-212 - Authorize entering into Letters of Agreement with the NCPA for Demand-Side Mgmt related serviecs from Energy Masters Corp of Overland Park, KS RESOLUTION NO. 94-2-12— A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING AUTHORIZING ENTERING INTO LETTERS OF AGREEMENT WITH THE NORTHERN CALIFORNIA POWER AGENCY (NCPA) FOR DEMAND-SIDE MANAGEMENT RELATED SERVICES FROM ENERGY MASTERS CORPORATION OF OVERLAND PARK, KANSAS, THE PREFERRED ENERGY SERVICE COMPANY FOR NCPA MEMBERS; AND THE EXECUTION THEREOF BY THE INTERIM CITY MANAGER. WHEREAS, the City of Redding is in need of expanding its demand- side management (DSM) services to meet the demands of increased public emphasis on DSM, and regulatory mandates under the 1992 Federal Power Act may expose the City to significant economic penalties; and WHEREAS, it also makes good business sense, given the unique qualities of DSM (environmental attributes, shorter lead times, etc. ) , to consider DSM as a viable alternative to supply-side resources; and WHEREAS, from, time-to-time specialized expertise not readily available from staff may be required from energy service companies for this increased expansion; and WHEREAS, the Northern California Power Agency (NCPA) , of which the City of Redding is a member, issued a nationwide request for proposal from energy service companies; conducted intensive competitive negotiations with the finalists; and selected Energy Masters Corporation (EMC) of Overland Park, Kansas, as the preferred energy service company for NCPA members; and WHEREAS, the City of Redding can avail itself of the specialized expertise and services from EMC, as needed, through Letters of Agreement with NCPA, thereby taking advantage of NCPA' s thorough and complete procurement process; and WHEREAS, NCPA, as the EMC contract administrator, is responsible for ensuring that EMC meets the needs of all participating members; and WHEREAS, staff has advised Council that the cost of any one Letter �X X of Agreement will not exceed the current authorized purchase order i limit flf 2;,001; staff expects that -the majority of agreements will -cost approximately $3 ,000 to $5,000 , and that total expenditures for any one year will not exceed the budget authorization for demand-side management activities; and WHEREAS, staff believes that entering into Letters of Agreement with NCPA for the DSM-related services from Energy Masters Corporation would be beneficial to the Electric Utility ratepayers; IT IS HEREBY RESOLVED that the City Council of the City of Redding hereby authorizes entering into Letters of Agreement with the Northern California Power Agency (NCPA) for demand-side management related services from Energy Masters Corporation of Overland Park, Kansas, the preferred energy services company for NCPA Members, with each Letter of Agreement not to exceed $25,000. IT IS FURTHER RESOLVED that the Interim City Manager is authorized to execute said Letters of Agreement on behalf of the City; and the City Clerk to attest the signature of the Interim City Manager and to impress the official seal of the City of Redding thereto. I HEREBY CERTIFY that the foregoing Resolution was introduced, read, and adopted at a regular meeting of the City Council on the 19th day of July , 1994, by the following vote: AYES: COUNCIL MEMBERS: P. Anderson, Kehoe, McGeorge, Murray and R. Anderson NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None OBERT C. ANDERSON, Mayor City of Redding AT�EST: FORM APPROVED: CONNIE STROH AYER, Yity Clercs RANDALL A. R"AY , City Attorney