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HomeMy WebLinkAbout _ 9.5(b)--Residential Electrification Assistance Program � � �' � � � � � � ' � �' � � ' � ` CITY OF REDDING REPORT TO THE CITY COUNCIL MEETING DATE: June 18,2024 FROM: Nick Zettel, Director of ITEIVI NO. 9.5(b) Redding Electric I7tility ***APPROVED BY*** � �� .� �� , � �1c ct c, �yrectc� �ii' e in� tri�ttt32ity t�,(�;?t�2� te�r� , ;� � ' �:rr 6,'1'1'�C}? nzettel@cityofredding.org btippin@cityofredding.org SUBJECT: 9.5(b)--Consider Professional Services Agreement with Self Help Home Improvement Project, Tnc. (SHHIP) for Administration of Redding Electric Utility's Residential Electrification Assistance Program. Recommendation Authorize and approve the following: (1) Authorize the Mayor to execute a contract in an amount not to exceed $L2 million with the Self Help Home Improvement Project, Inc. for a three-year term with two, one-year extension options to implement and administer the City of Redding Electric Utility's Residential Electrification Assistance Program; and (2) Authorize the City Manager to approve contract amendments or extensions in accordance with the Agreement. Fiscal Impact Funding for this program will be sourced from the Public Benefits Program and Low Carbon Fuel Standards funds for building electrification and transportation electrification measure installations, respectively. Both funds are sufficiently resourced to fund $400,000 annually, or $1.2 million for the three-year program. Alte�native Action The City Council (Council) may chaase na� to approve the contract and provide alternate direction to staff. Backg�ound/AnaZysis On September 21, 2021, Council approved Redding Electric Utility's (REU) Demand-Side Management Integrated Resource Plan (DSM-IRP), transitioning the current Customer Program Portfolio from energy efficiency to electrification programs effective July 1, 2022. Current electrification programs offered include: Report to Redding City Council June 12,2024 Re: 9.5(b)--Residential Electrification Assistance Program Page 2 • Residential Programs: o Building Electrification Rebates: Heat Pump Water Heaters and Heat Pump Clothes Dryers; o Single-Family New Construction Rebate: Heat Pump Equipment (Space and Water Heating); and o Transportation Electrification Retail Vouchers (point-of-sale incentives): Income- Qualified Electric Vehicles and Income-Qualified E-Bikes. • Commercial Programs: o Building Electrification Rebates: Heat Pump Water Heaters; and o Transportation Electrification Rebates: DC Fast Charging Stations and Demand Fee Credit. Staff regularly reviews the Customer Programs Portfolio to ensure the programs continue to provide value to the community while meeting the objectives of the DSM-IRP. During the last review period, staff identified a need to deliver programs that help remove barriers for eustomers with affordability concerns. Many custoiners typically cannot afford to take advantage of new technologies, leaving them with aging gas infrastructure and less efficient appliances. As a result, when natural gas prices continue to climb, these customers will be faced with a higher energy burden. As California moves toward grid decarbonization, it is incumbent upon utilities to equitably promote utility bill savings and overall emission reductions to ensure that those vulnerable communities are not disproportionately impacted by the energy transition. The California Air Resources Board's Priority Populations Map identifies Redding as a low- income coinmunity. Additionally, the federal Climate and Economic Justice Screening Tool designates 12 census tracts in Redding as disadvantaged communities, qualifying the City for federal program support. This underscores the importance of creating equity programs for the most underserved community members as the state continues its push to decarbonize the grid. In response, REU staff developed the Residential Electrification Assistance Program, an income- eligible, direct install program. This program removes gas appliances and replaces them with efficient electric measures (fuel-switching or electrification) at no eost to the customer, reducing barriers for our most vulnerable community members. Furthermore, this program fits within the spending requirements of the Public Benefits funds. Per Public Utilities Code § 385(a)(4), one of the four categories that funding can be spent includes "Services provided for low-income electricity customers, including, but not limited to, energy efficiency services, education, weatherization, and rate discounts." Due to its unique qualifications, REU pursued a contract with Self Help Home Improvement, Inc. (SI�I-IIP), a 501(e)(3) non-profit organization, that specializes in administering low-income weatherization programs for federal, state, and locally funded programs. SHHIP holds all contractor licenses and certifications to perform the specified scope of work. Furthermore, SHHIP previously implemented REU's Low Income Energy Efficiency Program (LIEEP) from 2017-2022. LIEEP provided weatherization and energy efficiency upgrades to income-qualified customers at no cost. By partnering with SHHIP, REU was able to help over 2,200 customers through the LIEEP Program from 2017-2022, saving an estimated lifetime energy savings of 21,000,000 kWh and reducing carbon emissions by 4,600 metric tons of carbon dioxide- equivalent. Report to Redding City Council June 12,2024 Re: 9.5(b)--Residential Electrification Assistance Program Page 3 Staff submitted a Request for Proposal Bypass to the City's Purchasing Officer, who has reviewed REU's justification and affirmed that SHHIP is uniquely trained and qualified to administer public funds for low-income electrification programs. Staff has worked with SHHIP to develop a contract for the Residential Electrification Assistance Program targeting a three-year term not to exceed $450,000 per year, with the option to extend the Contract in successive one-year increments until all funds are expended. The Program is expected to last four years with an average expenditure of$400,000 per year. Key components of the Residential Electrification Assistance Program are as follows: • Leverages other funding sources from other qualifying state and federal programs; • Removes fossil-fuel appliances and replaces them with efficient electric equipment, including heat pump water heaters, heat pump space heating and cooling systems, induction cooktops, and heat pump clothes dryers; • Includes eligible efficiency upgrades (for example, upgrading electric resistance equipment with heat pumps or induction technologies) to reduce energy consumption of existing electric equipment; • Supports electric vehicle ownership by providing cost-effective charging solutions (for example, installing circuit splitters, etc.); • Includes a11 income-qualified REU customers, including owners and renters residing in single-family and multi-family dwellings; and • Income requirements align with other programs currently being offered by REU. SHI-�IP is prepared to launch the Residential Electrification Assistance Program on July 1, 2024. Envi�onmental Review This is not a project defined under the California Environmental Quality Act, and no further action is required. Council Prior�ity/City ManageN Goals • Government for the 21St Century— `Be relevant and proactive to the opportunities and challenges of today's residents and workforce. Anticipate the future to make better decisions today." Attachments Professional Services Agreement- SHHIP CITY OF REDDING CONSULTING AND PROFESSIONAL SERVICES CONTRACT THIS CONTRACT ("Contract") is made at Redding, California, by and between the City of Redding ("City"), a municipal corporation, and Self Help Home Improvement, Inc. ("Consultant" or "SHHIP") for the purpose of developing and implementing a low-income direct install electrification program, Consultant and City are hereinafter referred to individually as a"Party" and collectively as the "Parties." RECITALS WHEREAS, City does not have sufficient personnel to perform the services required herein thereby necessitating this Contract for personal services. WHEREAS, California Government Code sections 37103 and 53060 generally provide that a municipality may contract with any specially trained corporation for special services relating to administration if such corporation is specially trained, experienced and competent to perform the special services required. WHEREAS, pursuant to Redding Municipal Code ("RMC") § 4.20.120, bidding is unnecessary because the services acquired herein require a peculiar or specialized skill. WHEREAS, Consultant is a 501(c)(3) which, amongst other offerings,provides specialized energy efficiency services to income qualified customers on behalf of utilities. WHEREAS, in light of its experience,training and capabilities, Consultant is uniquely qualified to provide weatherization program administration services to the City of Redding. WHEREAS, Consultant is designated entity by the State of California to provide alike services and has obtained and may access other funding sources, enabling Consultant efficiently administer Consultant's duties under this Contract. NOW, THEREFORE, the Parties covenant and agree, for good consideration hereby acknowledged, as follows: SECTION 1. CONSULTANT SERVICES Subject to the terms and conditions set forth in this Contract, Consultant shall provide to City the services described in Exhibit A,attached and incorporated herein. Consultant shall provide the services at the time,place and in the manner specified in E�chibit A SECTION 2. COMPENSATION AND REIMBURSEMENT OF COSTS A. City shall pay Consultant for services rendered pursuant to this Contract,at the times and in the manner set forth in Exhibit B, attached and incorporated herein, in a total Consulting and Professional Services Agreement Page 1 Rev. 8/23 amount not to exceed one million two-hundred thousand dollars ($1,200,000) over the initial contract term ("Initial Term"). Subsequently, should the City and Consultant agree to extend the contract term, City shall pay Consultant an additional total amount not to exceed four hundred fifty thousand dollars ($450,000) per Renewal Term. This sum includes all out-of-pocket travel, lodging and incidental expenses incurred by Consultant that are reasonably associated with the provision of services under this Contract. The payments specified herein shall be the only payments to be made to Consultant for services rendered pursuant to this Contract. B. Consultant shall submit monthly invoices to City for work completed to the date of the invoice. All invoices shall be itemized to reflect the employees performing the requested tasks, the billing rate for each employee and the hours worked. C. All correct,complete and undisputed invoices sent by Consultant to City shall be paid within thirty (30) calendar days of receipt. SECTION 3. TERM AND TERMINATION A. The City and Consultant agree to the term of the contract for three (3)years from the Effective Date of the contract. Consultant shall commence work as of the Effective Date and complete said work no later than three years from the Effective Date,unless terminated earlier in accordance with this Agreement or otherwise amended by agreement of both Parties. The Agreement may be renewed for two (2) successive one (1) year renewal terms (each, a "Renewal Term") by mutual agreement of the Parties in writing at least one hundred twenty(120)days prior to the expiration of the Initial Term or any Renewal Term, as applicable. Parties shall mutually agree to any additional terms and conditions or fee changes applicable to each such Renewal Term. B. If Consultant fails to perform its duties to the satisfaction of City, or if consultant fails to fulfill in a timely and professional manner its obligations under this Contract, then City shall have the right to terminate this Contract effective immediately upon City giving written notice thereof to Consultant. C. Either Party may terminate this Contract without cause on thirty (30) calendar days' written notice. Notwithstanding the preceding, if the term set forth in Section 3.A. of this Contract exceeds ninety(90)calendar days in duration,Consultant's sole right to terminate shall be limited to termination for cause. D. Consultant hereby acknowledges and agrees that the obligation of City to pay under this Contract is contingent upon the availability of City's funds which are appropriated or allocated by the City Council. Should the funding for the project and/or work set forth herein not be appropriated or allocated by the City Council, City may terminate this Agreement by furnishing at least thirty (30) calendar days' written notice of its intention to terminate. In the event of a termination pursuant to Consulting and Professional Services Agreement Page 2 Rev. 8/23 this subdivision, Consultant shall not be entitled to a remedy of acceleration of payments due over the term of this Agreement. The Parties acknowledge and agree that the power to terminate described herein is required by Article 16, Section 18, of the California Constitution, and that constitutional provision supersedes any law, rule,regulation or statute which conflicts with the provisions of this Section. E. In the event that City gives notice of termination, Consultant shall promptly provide to City any and all finished and unfinished reports, data, studies, photographs, charts or other work product prepared by Consultant pursuant to this Contract. City shall have full ownership, including, but not limited to, intellectual property rights, and control of all such finished and unfinished reports, data, studies, photographs, charts or other work product. F. In the event that City terminates the Contract, City shall pay Consultant the reasonable value of services rendered by Consultant pursuant to this Contract; provided, however, that City shall not in any manner be liable for lost profits which might have been made by Consultant had Consultant completed the services required by this Contract. Consultant shall, not later than ten (10) calendar days after termination of this Contract by City, furnish to City such financial information as in the judgment of the City's representative is necessary to determine the reasonable value of the services rendered by Consultant. G. In no event shall the termination or expiration of this Contract be construed as a waiver of any right to seek remedies in law, equity or otherwise for a Party's failure to perform each obligation required by this Contract. SECTION 4. MISCELLANEOUS TERMS AND CONDITIONS OF CONTRACT A. City shall make its facilities accessible to Consultant as required for Consultant's performance of its services under this Contract, and, upon request of Consultant, provide labor and safety equipment as required by Consultant for such access. � B. Pursuant to the City's business license ordinance, Consultant shall obtain a City business license prior to commencing work. C. Consultant represents and warrants to City that it has all licenses, permits, qualifications and approvals of any nature whatsoever that are legally required for Consultant to practice its profession. Consultant represents and warrants to City that Consultant shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Contract any licenses, permits and approvals that are legally required for Consultant to practice its profession. D. Consultant shall, during the entire term of this Contract, be construed to be an independent contractor and nothing in this Contract is intended, nor shall it be construed, to create an employer/employee relationship, association, joint venture Consulting and Professional Services Agreement Page 3 Rev. 8/23 relationship,trust or partnership or to allow City to exercise discretion or control over the professional rnanner in which Consultant performs under this Contract. Any and all taxes imposed on Consultant's income, imposed or assessed by reason of this Contract or its performance, including but not limited to sales or use taxes, shall be paid by Consultant. Consultant shall be responsible for any taxes or penalties assessed by reason of any claims that Consultant is an employee of City. Consultant shall not be eligible for coverage under City's workers' compensation insurance plan, benefits under the Public Employee Retirement System or be eligible for any other City benefit. E. No provision of this Contract is intended to,or shall be for the benefit of,or construed to create rights in, or grant remedies to, any person or entity not a party hereto. F. No portion of the work or services to be performed under this Contract shall be assigned, transferred, conveyed or subcontracted without the prior written approval of City. Consultant may use the services of independent contractors and subcontractors to perform a portion of its obligations under this Contract with the prior written approval of City. Independent contractors and subcontractors shall be provided with a copy of this Contract and Consultant shall have an affirmative duty to assure that said independent contractors and subcontractors comply with the same and agree to be bound by its terms. Consultant shall be the responsible party with respect to all actions of its independent contractors and subcontractors, and shall obtain such insurance and indemnity provisions from its contractors and subcontractors as City's Risk Manager shall determine to be necessary. G. Consultant, at such times and in such form as City may require, shall furnish City with such periodic reports as it may request pertaining to the work or services undertaken pursuant to this Contract, the costs or obligations incurred or to be incurred in connection therewith, and any other matters covered by this Contract. H. Consultant shall maintain accounts and records, including personnel, property and financial records, adequate to identify and account for all costs pertaining to this Contract and such other records as may be deemed necessary by City to assure proper accounting for all project funds. These records shall be made available for audit purposes to state and federal authorities, or any authorized representative of City. Consultant shall retain such records for three {3) years after the expiration of this Contract, unless prior permission to destroy them is granted by City. I. Consultant shall perform all services required pursuant to this Contract in the manner and according to the standards observed by a competent practitioner of Consultant's profession. All products of whatsoever nature which Consultant delivers to City pursuant to this Contract shall be prepared in a professional manner and conform to the standards of quality normally observed by a person practicing the profession of Consultant and its agents, employees and subcontractors assigned to perform the services contemplated by this Contract. Consulting and Professional Services Agreement Page 4 Rev. 8/23 J. All completed reports and other data or documents, or computer media including diskettes, and other materials provided or prepared by Consultant in accordance with this Contract are the property of City, and may be used by City. City shall have all intellectual property rights including, but not limited to, copyright and patent rights, in said documents,computer media,and other materials provided by Consultant. City shall release, defend, indemnify and hold harmless Consultant from all claims,costs, expenses, damage or liability arising out of or resulting from City's use or modification of any reports, data, documents, drawings, specifications or other work product prepared by Consultant,except for use by City on those portions of the City's project for which such items were prepared. K. Consultant, including its employees, agents, and subconsultants, shall not maintain or acquire any direct or indirect interest that conflicts with the performance of this Contract. Consultant shall comply with all requirements of the Political Reform Act (Government Code § 8100 et seq.) and other laws relating to conflicts of interest, including the following: 1) Consultant shall not make or participate in a decision made by City if it is reasonably foreseeable that the decision may have a material effect on Consultant's economic interest, and 2) if required by the City Attorney, Consultant shall file financial disclosure forms with the City Clerk. I. Incorporation of Recitals. The rnatters recited above are hereby incorporated into and made part of this Contract. SECTION 5. INSURANCE A. Unless modified in writing by City's Risk Manager, Consultant shall maintain the following noted insurance during the duration of the Contract: Covera�e Required Not Repuired Commercial General Liability X Comprehensive Vehicle Liability X Workers' Compensation and Employers' Liability X Professional Liability(Errors and Omissions) �{ (Place an"x"in the appropriate box) B. Coverage shall be at least as broad as: l. Insurance Services Office form number CG-0001, Commercial General Liability Insurance,in an amount not less than$1,000,000 per occurrence and $2,000,000 general aggregate for bodily injury, personal injury and property damage; Consulting and Professional Services Agreement Page 5 Rev. 8/23 2. Insurance Services Office form number CA-0001 (Ed. 1/87), Comprehensive Automobile Liability Insurance, which provides for total limits of not less than $1,000,000 combined single limits per accident applicable to all owned, non-owned and hired vehicles; 3. Statutory Workers' Compensation required by the Labor Code of the State of California and Employers' Liability Insurance in an amount not less than $1,000,000 per occurrence. Both the Workers' Compensation and Employers'Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents and volunteers; 4. Professional Liability (Errors and Omissions) Insurance, appropriate to Consultant's profession, against loss due to error or omission or malpractice in an amount not less than$1,000,000. 5. The City does not accept insurance certificates or endorsements with the wording "but only in the event of a named insured's sole negligence" or any other verbiage limiting the insured's insurance responsibility. C. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of the City,either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its elected officials, officers, employees, agents and volunteers; or the Consultant shall procure a bond guaranteeing payment of losses and related investigations, claims administration and defense expenses. D. The General Liability shall contain or be endorsed to contain the following provisions: 1. City, its elected officials, officers, employees,and agents are to be covered as additional insured as respects liability arising out of work or operations performed by or on behalf of Consultant; premises owned, leased or used by Consultant; or automobiles owned, leased, hired or borrowed by Consultant. The coverage shall contain no special limitations on the scope of protection afforded to City, its elected officials, officers, employees, agents and volunteers. 2. The insurance coverage of Consultant shall be primary insurance as respects City, its elected officials, officers, employees, agents and volunteers. Any insurance or self-insurance maintained by City, its elected officials, officers, employees, agents and volunteers, shall be in excess of Consultant's insurance and shall not contribute with it. Consulting and Professional Services Agreement Page 6 Rev. 8/23 3. Coverage shall state that the insurance of Consultant shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 4. Each insurance policy required by this Contract shall be endorsed to state that coverage shall not be canceled except after thirty (30) calendar days' prior written notice has been given to City. In addition, Consultant agrees that it shall not reduce its coverage or limits on any such policy except after thirty (30) calendar days' prior written notice has been given to City. E. Insurance is to be placed with insurers with a current A.M.Best's rating of no less than A-VII. F. Consultant shall designate the City of Redding, 777 Cypress Avenue, Redding, CA 96001 as a Certificate Holder of the insurance. Consultant shall furnish City with certificates of insurance and original endorsements effecting the coverages required by this clause. Certificates and endorsements shall be submitted electronically via the PINS Advantage system. A link will be provided for the Consultant, or their insurance agent, to enter and upload dacuments directly to PINS Advantage. The certificates and endorsements for each insurance policy are to be signed by a person authorized by the insurer to bind coverage on its behalf. All endorsements are to be received and approved in PINS Advantage by the City's Risk Manager prior to the commencement of contracted services. City may withhold payments to Consultant if adequate certificates of insurance and endorsements required have not been submitted as described above or provided in a timely manner. G. The requirements as to the types and limits of insurance coverage to be maintained by Consultant as required by Section 5 of this Contract, and any approval of said insurance by City, are not intended to and will not in any manner limit or qualify the liabilities and obligations otherwise assumed by Consultant pursuant to this Contract, including, without limitation,provisions concerning indemnification. H. If any policy of insurance required by this Section is a"claims made"policy,pursuant to Code of Civil Procedure § 342 and Government Code § 945.6, Consultant shall keep said insurance in effect for a period of eighteen(18)months after the termination of this Contract. I. If any damage, including death, personal injury or property damage, occurs in connection with the performance of this Contract, Consultant shall immediately notify City's Risk Manager by telephone at (530) 225-4068. No later than three (3) calendar days after the event, Consultant shall submit a written report to City's Risk Manager containing the following information,as applicable: 1)name and address of injured or deceased person(s);2)name and address of witnesses; 3)name and address of Consultant's insurance company; and 4} a detailed description of the damage and whether any City property was involved. Consulting and Professional Services Agreement Page 7 Rev. 8/23 SECTION 6. INDEMNIFICATION AND HOLD HARMLESS A. Consistent with California Civil Code § 2782.8, when the services to be provided under this Contract are design professional services to be performed by a design professional, as that term is defined under Section 2782.8, Consultant shall, to the fullest extent permitted by law, indemnify protect, defend and hold harmless, City, its elected officials,officers,employees,and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses, penalties and expenses (including, but not limited to, reasonable attorney's fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of, or resulting from, directly or indirectly, the negligence, recklessness, or willful misconduct of Consultant, its officers, employees or agents in the performance ofprofessional services under this Contract,except when liability arises due to the sole negligence, active negligence or misconduct of the City. B. Other than in the performance of professional services by a design professional, which is addressed solely by subdivision(A)of this Section, and to the fullest extent permitted by law, Consultant shall indemnify protect, defend and hold harmless, City, its elected officials, officers, employees, and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses,penalties and expenses (including, but not limited to, reasonable attorney's fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of the performance of the services required under this Contract by Consultant its officers, employees or agents in the performance of professional services under this Contract, except when liability arises due to the sole negligence, active negligence or misconduct of the City. C. The Consultant's obligation to defend, indemnify and hold harmless shall not be excused because of the Consultant's inability to evaluate liability. The Consultant shall respond within thirty (30} calendar days to the tender of any claim for defense and indemnity by the City, unless this time has been extended in writing by the City. If the Consultant fails to accept or reject a tender of defense and indemnity in writing delivered to City within thirty (30) calendar days, in addition to any other remedy authorized by law, the City may withhold such funds the City reasonably considers necessary for its defense and indemnity until disposition has been made of the claim or until the Consultant accepts or rejects the tender of defense in writing delivered to the City, whichever occurs first. This subdivision shall not be construed to excuse the prompt and continued performance of the duties required of Consultant herein. D. The obligation to indemnify, protect, defend, and hold harmless set forth in this Section applies to all claims and liability regardless of whether any insurance policies are applicable. The policy limits of said insurance policies do not act as a limitation upon the amount of indemnification to be provided by Consultant. Consulting and Professional Services Agreement Page 8 Rev. 8/23 E. City shall have the right to approve or disapprove the legal counsel retained by Consultant pursuant to this Section to represent City's interests. City shall be reimbursed for all costs and attorney's fees incurred by City in enforcing the obligations set forth in this Section. SECTION 7. CONTRACT INTERPRETATION,VENUE AND ATTORNEY FEES A. This Contract shall be deemed to have been entered into in Redding, California. All questions regarding the validity, interpretation or performance of any of its terms or of any rights or obligations of the parties to this Contract shall be governed by California law. If any claim, at law or otherwise, is made by either party to this . Contract, the prevailing party shall be entitled to its costs and reasonable attorneys' fees. B. This document, including all exhibits, contains the entire agreement between the parties and supersedes whatever oral or written understanding each may have had prior to the execution of this Contract. This Contract shall not be altered, amended or modified except by a writing signed by City and Consultant. No verbal agreement or conversation with any official, officer, agent or employee of City, either before, during or after the execution of this Contract, shall affect or modify any of the terms or conditions contained in this Contract, nor shall any such verbal agreement or conversation entitle Consultant to any additional payment whatsoever under the terms of this Contract. C. No covenant or condition to be performed by Consultant under this Contract can be waived except by the written consent of City. Forbearance or indulgence by City in any regard whatsoever shall not constitute a waiver of the covenant or condition in question. Until performance by Consultant of said covenant or condition is complete, City shall be entitled to invoke any remedy available to City under this Contract or by law or in equity despite said forbearance or indulgence. D. If any portion of this Contract or the application thereof to any person or circumstance shall be invalid or unenforceable to any extent, the remainder of this Contract shall not be affected thereby and shall be enforced to the greatest extent permitted by law. E. The headings in this Contract are inserted for convenience only and shall not constitute a part hereof. A waiver of any party of any provision or a breach of this Contract must be provided in writing, and shall not be construed as a waiver of any other provision or any succeeding breach of the same or any other provisions herein. F. Each Party hereto declares and represents that in entering into this Contract, it has relied and is relying solely upon its own judgment, belief and knowledge of the nature, extent, effect and consequence relating thereto. Each Party further declares and represents that this Contract is made without reliance upon any statement or Consulting and Professional Services Agreement Page 9 Rev. 8/23 representation not contained herein of any other Party or any representative,agent or attorney of the other Party. The Parties agree that they are aware that they have the right to be advised by counsel with respect to the negotiations, terms, and conditions of this Contract and that the decision of whether or not to seek the advice of counsel with respect to this Contract is a decision which is the sole responsibility of each of the Parties. Accordingly, no party shall be deemed to have been the drafter hereof, and the principle of law set forth in Civil Code § 1654 that contracts are construed against the drafter shall not apply. G. Each of the Parties hereto hereby irrevocably waives any and all right to trial by jury in any action, proceeding, claim or counterclaim, whether in contract or tort, at law or in equity,arising out of or in any way related to this Agreement or the transactions contemplated hereby. Each Party further waives any right to consolidate any action which a jury trial has been waived with any other action in which a jury trial cannot be or has not been waived. H. In the event of a conflict between the term and conditions ofthe body of this Contract and those of any exhibit or attachment hereto, the terms and conditions set forth in the body of this Contract proper shall prevail. In the event of a conflict between the terms and conditions of any two or more exhibits or attachments hereto, those prepared by City shall prevail over those prepared by Consultant. SECTION 8. SURVIVAL The provisions set forth in Sections 3 through 7, inclusive, of this Contract shall survive termination of the Contract. SECTION 9. COMPLIANCE WITH LAWS -NONDISCRIMINATION A. Consultant shall comply with all applicable laws, ordinances and codes of federal, state and local governments. B. In the performance of this Contract, Consultant shall not discriminate against any employee or applicant for employment because of race, color, ancestry, national origin,religious creed, sex, sexual orientation,disability,age,marital status,political affiliation, or membership or nonmembership in any organization. Consultant shall take affirmative action to ensure applicants are employed and that employees are treated during their employment without regard to their race,color,ancestry,national origin,religious creed, sex, sexual orientation,disability,age,marital status,political affiliation,or membership or nonmembership in any organization. Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training. Consutting and Professional Services Agreement Page 10 Rev. 8/23 SECTION 10. REPRESENTATIVES A. City's representative for this Contract is Kamryn Hutson, telephone number (530) 339-7266. All of Consultant's questions pertaining to this Contract shall be referred to the above-named person, or to the representative's designee. B. Consultant's representative for this Contract is Scott Berg, telephone number (530) 378-6905. All of City's questions pertaining to this Contract shall be referred to the above-named person. C. The representatives set forth herein shall have authority to give all notices required herein. SECTION 11. NOTICES A. All notices,requests, demands and other communications hereunder shall be deemed given only if in writing signed by an authorized representative of the sender(may be other than the representatives referred to in Section 10) and delivered by facsimile, with a hard copy mailed first class, postage prepaid; or when sent by a courier or an express service guaranteeing overnight delivery to the receiving party, addressed to the respective parties as follows: To City: To Consultant: Redding Electric Utility Self Help Home Improvement Program, Inc. Attn:Nicholas Zettel Attn: Scott Berg 3611 Avtech Parkway 3777 Meadow View Dr. #100 Redding, CA 96002 Redding, CA 96002 B. Either party may change its address for the purposes of this paragraph by giving written notice of such change to the other party in the manner provided in this Section. C. Notice shall be deemed effective upon: 1)personal service;2)two calendar days after mailing or transmission by facsimile, whichever is earlier. SECTION 12. AUTHORITY TO CONTRACT A. Each of the undersigned signatories hereby represents and warrants that they are authorized to execute this Contract on behalf of the respective parties to this Contract; that they have full right, power and lawful authority to undertake all obligations as provided in this Contract; and that the execution, performance and delivery of this Contract by said signatories has been fully authorized by all requisite actions on the part of the respective parties to this Contract. Consulting and Professional Services Agreement Page 11 Rev. 8/23 B. When the Mayor is signatory to this Contract, the City Manager and/or the Department Director having direct responsibility for managing the services provided herein shall have authority to execute any amendment to this Contract which does not increase the amount of compensation allowable to Consultant or otherwise substantially change the scope of the services provided herein. SECTION 13. EFFECTIVE DATE OF CONTRACT The effective date (the "Effective Date") of this Contract shall be the date it is signed by City. Consulting and Professional Services Agreement Page 12 Rev. 8/23 IN WITNESS WI�E OF,City and Consultant have executed this Contract on the days and year set forth below: CTTY OF DDING, A Municipal Cor�oration Dated: ,20 By: ATTEST: APPROVED AS TO FORM: CHRISTIAN CURTIS City Attorney SHARLENE TIPTON, City Clerk By; CONSULTANT Dated: ,20�E� By: SCOT BERG Tax ID No.: �"'�" �;�t�,��"�' Consulting and Professionai Services Agreement Page 13 Rev. 8/23 Exhibit A - Scope of Work The tasks under this Exhibit A will consist of implementing the City of Redding's (COR) Electrification Assistance Program in accordance with the Program Guidelines as set forth herein and defined below. Self Help Home Improvement Project (SHHIP) will provide the Services set forth in this Exhibit A for the applicable charges and rates specified in Exhibit B. The following tasks consist of the major elements described in this Exhibit: 1) Project Management 2) Program Guidelines 3) Customer Enrollment 4) Dwelling Assessment 5) Energy Audit 6) Measure Installation 7) Program Marketing 8) Reporting and Record Retention SHHIP shall offer and provide services as described in the tasks 3)to 6)to the City of Redding Electric Utility eligible customers upon the customers' request. The eligibility of the City of Redding Electric Utility customers for these services shall be determined based on the Program Guidelines. 1. Proiect Mana�ement Overview Project Management is the function of managing the program in a manner that that will achieve the COR program goals within the program budget. Task Activities Project Management task activities consist of the following: # Task Name SHHIP Tasks COR Tasks Residential Electrification Assistance Program 1 1) Identify points of contact 1) Assign project manager for and project manager(s) implementation 2) Participate in program kick- 2) Initiate program kick-off off ineeting meeting within S business 3) Support and facilitate days of Contract execution Quality Assurance Ride- 3) Develop a Quality Along and Post-Inspections Assurance processes in the Project per the Program Guidelines Program Guidelines for Task 1 Management 4) Deliver customer survey at Customer Enrollment, conclusion of jobs Dwelling Assessment, 5) Participate in quarterly Energy Audit, and Measure meetings Installation task activities 4) Prepare quarterly reports 5) Initiate quarterly meetings Develop Customer Survey for tracking feedback 2. Program Guidelines Overview Program Guidelines define programmatic aspects of the Program, including customer eligibility criteria, material specifications, reporting criteria, forms, and other elements that define the nature of the program. The Program Guidelines are written with the understanding that elements of a program can change based on future regulatory development, a change in community needs,technology changes, and other factors. The Program Guidelines may be updated with mutual consent of the COR and SHHIP, as long as the changes do not require modification to the pricing schedule. Task Activities Program Guidelines task activities consist of the following: # Task Name SHHIP Tasks COR Tasks Program 1) Collaborate on 1} Develop and Approve Task 2 develo ment of Pro ram Pro ram Guidelines b Jul Guidelines p g g Y Y Guidelines, including 1, 2024 Residential Electrification Assistance Program 2 identifying measure 2) Collaborate on changes to installation guidelines Program Guidelines based 2) Implement the Program on customer, admin, & Guidelines within 5 contractor feedback business days of Approval 3) Implement updates to the Program Guidelines within 5 business days of revisions agreed 3. Customer Enrollment Overview SHHIP will enroll customers in the Program by completing the customer application per the requirements of the Guidelines. SHHIP currently performs enrollment for other low-income programs and will utilize qualified staff to interact with customers and identify feasible measures. Task Activities Customer Enrollment task activities consist of the following: # Task Name SHHIP Tasks COR Tasks 1) Provide qualified staff to 1) Conduct Quality Assurance enter customers' homes Ride-Along and Post- and identify feasible Inspections (notification to measures SHHIP within 5 business 2) Verify that the customer is days) Customer the COR customer of record 2) Issue COR Badges within 15 Task 3 3 Verif Enrollment l y that the customer days of contract execution meets all eligibility requirements listed in the Program Guidelines 4) Maintain database of enrolled customers and project information Residential Electrification Assistance Program 3 5) Record the estimated quantity of feasible measures, where measure feasibility criteria are defined by the standards referenced in the Program Guidelines 6) Obtain required signatures from homeowners,their agent, and tenants as applicable 7) Provide a list of qualified staff requiring badges 4. Dwelling Assessment Overview SHHIP will assess dwelling to identify safe, feasible electrification and energy saving measures that will provide energy saving benefits to participating customers. SHHIP is experienced reviewing the feasibility requirements of the various program measures and requires no additional training. Multiple assessments may be appropriate or required for each project, and may occur during one or multiple visits. Task Activities # Task Name SHHIP Tasks COR Tasks 1) Determine if ineasures are 1) 1) Verify dwelling feasible in each home per information in reports Program Guidelines 2) Conduct Quality Assurance 2) Ensure measures installed Ride-Along and Post- Dwelling Task 4 in accordance with state Inspections (notification to Assessment and local building codes SHHIP within 5 business 3) Facilitate Quality Assurance days) Ride-Along and Post- Inspections upon COR request Residential Electrification Assistance Program 4 5. Ener�y Audit Overview SHHIP will conduct energy audits to determine if certain measures are feasible in a home. SHHIP is experienced in conducting energy audits per the guidelines defined in the program handbook. SHHIP currently conducts audits in other programs, and these audits may be used by the COR so as not to duplicate efforts. Energy savings will be evaluated using (but not limited to) the Savings Investment Ratio (SIRj or other calculations approved in the Program Guidelines. Task Activities # Task Name SHHIP Tasks COR Tasks 1) Perform on-site data 1) Develop electrification collection and diagnostic savings calculation information 2) Identify SIR calculation � 2) Develop detailed measure required for energy cost estimates efficiency measures 3) Perform computer analysis 3) Review and approve of Task 5 Energy Audit per the program energy audit prior to 4) Submit energy audit and measure installation w/in 5 supporting documentation business days to the COR per program guidelines 5) Conduct Energy Audits based on Program Guidelines 6. Measure Installation Overview SHHIP will install electrification and supportive energy-efficient measures in customers' homes. SHHIP currently has all required licenses to conduct business and perform the work required by this contract and is trained in proper installations of program measures. SHHIP will ensure that feasible measures are installed in a safe and effective manner. Upon Residential Electrification Assistance Pragram S project completion, SHHIP wiil inform customers of the work that was performed and educate them on the proper use of newly installed equipment. Task activities Measure Installation task activities consist of the following: # Task Name SHHIP Tasks COR Tasks 1) 1) Perform measure 1) Verify measure install installation in accordance through Quality Assurance with local, state, and process federal requirements and 2) Conduct EM&V study within Program Guidelines. two years of Program 2) Educate the customer implementation regarding work that was 3) Conduct Quality Assurance performed and proper use Ride-Along and Post- Measure of newly installed Inspections (notification to Task 6 Installation equipment. SHHIP within 5 business 3) Clean up and dispose of days) trash. 4) Provide labor warranty for one year from date of installation. 5) Facilitate Quality Assurance Ride-Along and Post- Inspections upon COR request 7. Program Marketin� Overview In coordination with the COR, SHHIP will assist with marketing the program to prospective income-eligible customers for enrolling customers in the Program. SHHIP currently performs outreach for various low-income programs, including a call center,front counter, and website. Outreach for the Program will be delivered in alignment with the COR's current outreach processes, including (but not limited to) a call center, a front counter, and a website. Residentia) Electrification Assistance Program 6 The Marketing Plan will include details including targeted customers, marketing campaigns, co-branding opportunities, and marketing materials. Marketing materials may include digital graphics, social media, videos, copy, and printed media that will be shared by the COR and SHHIP. SHHIP will add a dedicated webpage about the Program on its website (www.shipp.or�), including (at minimum) a brief description of the program, contact information for interested parties, and program eligibility guidelines. The COR must review and approve of all Program marketing materials utilized by SHHIP before they are publicly released. The COR may also recommend changes to previously approved marketing materials. Task Activities Program Marketing task activities consist of the following: # Task Name SHHIP Tasks COR Tasks 1) Assist with Marketing plan 1) Develop Marketing plan 2) Develop Program and materials information page on SHHIP 2) Provide digital and physica) website copies of approved 3) Provide preferred phone marketing materials number, email, and physical 3) Provide list of potential address,for customer targeted customers referrals Program 4) Distribute Program Task 7 Marketin marketing materials g provided by COR 5) Identify customers and conduct outreach to promote Program participation 6) As requested, attend education and outreach events to support and promote the Program 8. Reportin�and Records Retention Residential Electrification Assistance Program 7 Overview SHIPP will provide various reports on program progress to the COR on a monthly and annual basis. In addition, project-level data shall be reported for every home treated in the program. Project records shall be maintained for a minimum of three years from the completion date of the project. Reports will be shared electronically.The COR will not have access to customer records other than those specifically required by this agreement. Task Activities Reporting and Records Retention task activities consist of the following: # Task Name SHHIP Tasks COR Tasks 1) Develop monthly reporting 1) Identify reporting template that meets the requirements for requirements of the compliance accounting Program Guidelines. 2) Review all reports and 2) Develop dwelling level accept or deny acceptance template that meets the by the 25th business day of requirements of the the month. Guidelines. Required 3) Deliver monthly report to Task 8 Reporting City of Redding by the 20th business day of the month. 4) Deliver dwelling level report to the City of Redding by the 20th business day of the month. 5) Retain project records for minimum of three years after completion of contract Residential Electrification Assistance Program 8 Exhibit B - Fee Schedule Bud�et Schedule The following budget schedule provides the estimated annual budget throughout the Program life. SHHIP may exceed the annual average budget, but is limited to the total Program budget for the remainder of the Contract Term. Program Year Year 1 Year 2 Year 3 Tota) Estimated Annual Budget $400,000 $400,000 $400,000 $1,200,000 Fees 1) For each calendar month, SHHIP shall invoice, and the COR shall pay to SHHIP the Fees set forth in Exhibit B according to the payment criteria and other provisions of this Agreement. 2) Unless otherwise specifically agreed, beginning on the first anniversary of the Effective Date, SHHIP will increase the Fees by three percent on an annual basis from each anniversary of the Effective Date. Fee Schedule # Measure Description Measure Type Units Fee per Unit Assessment Fee - Redding 1 Admin Home $285.00 Program 2 Ceiling Insulation, R-49 Efficiency Square Foot $2.50 Heat Pump Water Heater- 3 Efficiency Water Heater $3,600.00 Replacing Electric Heat Pump Clothes Dryer- 4 Efficiency Dryer $1,100.00 Replacing Electric Induction Range - Replacing 5 Efficiency Range $1,050.00 Electric Ceiling Insulation when any 6 Efficiency Square Foot $1.85 already exists Residential Electrification Assistance Program 9 # Measure Description Measure Type Units Fee per Unit 7 NEOCharger Circuit Splitter Electrification Circuit $550.00 8 Neo Charger and Splitter Electrification Circuit $850.00 9 Simple Switch Circuit Splitter Electrification Circuit $1,400.00 10 Install Circuit Electrification Circuit $700.00 11 Wi-Fi Enabled Smart Thermostat Electrification Thermostat $260.00 Heat Pump Water Heater- 12 Electrification Water Heater $4,200.00 Replacing Gas Package Heat Pump HVAC- 13 Electrification System Actual cost+8.5% Replacing Gas 14 Minisplit HVAC- Replacing Gas Electrification System Actual cost+8.5% 15 Level 2 EV Charger Electrification EV Charger $1,000.00 16 Panel Upgrade Electrification Panel $2,500.00 17 HP Dryer- Replacing Gas Electrification Dryer $1,700.00 18 Induction Range- Replacing Gas Electrification Range $1,650.00 Residential Electrification Assistance Program 10