HomeMy WebLinkAboutAgenda Report - August 7, 2002 E-12AGENDA TITLE: Adopt resolution authorizing the City Manager to extend the consulting services agreement
with Borismetrics to provide professional services to the Electric Utility Department in the
amount of $50,000 at a reduced billing rate (EUD)
MEETING DATE: August 7, 2002
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: That the City Council adopt a resolution authorizing the City Manager to
extend the consulting services agreement with Borismetrics to provide
professional services to the Electric Utility Department in the amount of
$50,000 at a reduced billing rate.
BACKGROUND INFORMATION: The Electric Utility Department faces a number of issues related to the fast
paced and volatile energy industry, which require professional assistance in
order to efficiently, manage and position the utility through this transition
period.
The Electric Utility Department has hired Boris Prokop thru a consulting agreement with Borismetrics, to perform the
management and higher analysis duties of the former Business Planning and Marketing Manager and the former
Rates and Resources Manager. BORISMETRICS is uniquely qualified to provide the needed expertise by virtue of its
direct experience and familiarity with the issues facing the City of Lodi and other California electric utilities.
The services that Mr. Prokop has provided under the current contract have proved to be very beneficial to the Electric
Utility Department. The need and value of the services are even more necessary during this environment of California
electric industry uncertainty. At present he is assisting in the renegotiation and implementation of key power contracts
with NCPA (MSSO related) and power marketers. Also, he is assisting with the implementation of the Home Comfort
Discount and other rate projects. In order to preserve the continuity of his knowledge in the areas of rates and power
supply for the City of Lodi and given the rapid change in the electric utility industry, there is a need to maintain the
services by increasing the contract budget by an additional $50,000.
Mr. Prokop has agreed to reduce his billing rate by 15%, which is highly competitive. This budget change would carry
his work thru September 2002. At the discretion of the Utility Director, this full budget extension amount may not be
utilized. The budget extension involves work from June 2002. The budget for the two positions, which Boris Prokop is
replacing, is on the order of $260,000 at a minimum.
FUNDING: 160603
Funding Approval: 0-1 t o&- .. m * (.L--r(L L L
Vicky McAthie, Finance Director
Alan N. allow
Electric Utility Director
ANV/Ist
C: City Attorney Finance Director
APPROVED:
n - City Manager —00
CONSULTING SERVICES AGREEMENT EXTENSION
BORISMETRICS
Billing Address
PO Box 2746
Lodi, CA 95241
(425) 922-2853
This Current Consulting Services Agreement between BORISMETRICS, (hereinafter
"BORISMETRICS") and City of Lodi, Electric Utility, whose place of business is located at 1331 S. Ham Lane,
Lodi, CA 95242 (hereinafter "CLIENT') for the Project generally described as Rates, Cost of Service and
Power Supply Assistance is extended by Lodi City Council Resolution. Number ***** dated August, 2002.
This extension has a increased budget of $50,000 above the original contract budget. All other contract
provisions are unchanged except that the hourly billing rate for Principal is reduced form $120/hour to
$100/hour.
BORISMETRICS, INC. CITY OF LODI
By:Boris Prokop By
Title: Principal Title: CITY MANAGER
Date: -Date.-
APPROVED
ate:
APPROVED AS TO FORM:
By:
Randall A. Hays, City
Attorney
ATTEST:
By:
Susan Blackston, City Clerk
RESOLUTION NO. 2002-168
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY
MANAGER TO EXTEND THE CONSULTING SERVICES AGREEMENT WITH
BORISMETRICS TO PROVIDE PROFESSIONAL SERVICES IN THE AREAS OF
POWER SUPPLY AND RATES TO THE ELECTRIC UTILITY DEPARTMENT
WHEREAS, the Electric Utility Department faces a number of issues related to the fast -
paced and volatile energy industry, which require professional assistance in order to efficiently
manage and position the utility through this transition period; and
WHEREAS, Boris Prokop was hired through a consulting agreement with his company,
Borismetrics, to perform the management and higher analysis duties of the former Business
Planning and Marketing Manager and the former Rates and Resources Manager; and
WHEREAS, Borismetrics is uniquely qualified to provide the needed expertise by virtue
of its direct experience and familiarity with the issues facing the City of Lodi and other California
electric utilities; and
WHEREAS, the services that Mr. Prokop has provided under the current contract have
proved to be very beneficial to the Electric Utility Department. The need and value of the
services are even more necessary during this environment of California electric industry
uncertainty. At the present time, Mr. Prokop is assisting in the renegotiation and
implementation of key power contracts with NCPA (MSSO related) and power marketers. He
is also assisting with the implementation of the Home Comfort Discount and other related
projects; and
WHEREAS, in order to preserve the continuity of his knowledge in the areas of rates
and power supply for the City of Lodi, and given the rapid change in the electric utility industry,
there is a need to maintain the services by increasing the contract budget by an additional
$50,000.00.
NOW, THEREFORE, BE IT RESOLVED, that the Lodi City Council does hereby
authorize the City Manager to extend the consulting services agreement with Borismetrics to
provide professional services in the areas of power supply and rates to the Electric Utility
Department at a cost not to exceed $50,000.00.
Dated: August 7, 2002
------------------------------------------------------------------------
------------------------------------------------------------------------
I hereby certify that Resolution No. 2002-168 was passed and adopted by the Lodi City
Council in a regular meeting held August 7, 2002 by the following vote:
AYES: COUNCIL MEMBERS — Hitchcock, Howard, Land, Nakanishi, and Mayor
Pennino
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKSTON
City Clerk
2002-168