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HomeMy WebLinkAbout2012/01/10 Item 04j CITY COUNCIL AGENDA STATEMENT ~~~~~ CITY OF CHULA VISTA Inona, Ire~,~ ITEM TITLE SUBMITTED BY: REVIEWED BY: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND NICHOLS CONSULTING ENGEVEE CHARTERED, FOR PAVEMENT TESTING AND MANGE T SERVICES DIRECTOR OF PUBLIC WORKS ASSISTANT DIltECT OF ENGIN CITY MANAGER ~ ASSISTANT CITY ANAGER~) 4/STHS VOTE: YES ^ NO SUMMARY The City entered into an agreement with Nichols Consulting Engineers on May 17, 2011 for pavement testing and management services. These services included advising the City on the inclusion of various pavement rehabilitation techniques in the City's Pavement Management System. The City has subsequently received funding from San Diego Gas and Electric (SDG&E) to perform a study investigating the use of cool paving techniques on City streets and parking lots. Staff recommends that this study be included as part of the Nichols agreement in order to expand on the resources available in the Pavement Management System. ENVIRONMENTAL REVIEW The Director of Development Services has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity falls under the statutory exemption pursuant for Feasibility and Planning Studies in accordance with Section 15262 of the State CEQA Guidelines because the action consists of an amendment to an agreement consisting of the preparation of a technical assessment report to be used for possible future actions that the City has not approved, adopted, or funded. Thus, no further environmental review is necessary. Although environmental review is not necessary at this time, once the scope of individual projects to be funded has been defined, environmental review will be required for each project and the appropriate environmental determination will be made. RECOMMENDATION Council adopt the resolution. 4-1 1/10/12, Item Page 2 of 4 BOARDS/COMMISSION RECOMMENDATION On October 24, 2011, a report was presented to the Resource Conservation Commission regarding the proposed Cool Paving Study. The Commission unanimously recommended that the Council approve expansion of the current pavement contract to include a Cool Paving study. DISCUSSION In 2006 the City implemented a new Pavement Management System, using the Streetsaver software program. On January 10, 2006 Nichols Engineering was awarded a contract for $254,900 to visually inspect and rate each segment of the City's street system, install and link the pavement management software to the City's Geographic Information System, provide City staff with field and computer training, provide technical support, and produce a budget analysis and multi-year work plan for the City. In 2009 Nichols subsequently re-inspected all of the City's collector and arterial streets and a selected collection of local streets. Nichols was subsequently awarded a second contract for pavement testing and management services by adoption of Resolution No. 2011-086 on May 17, 2011 (Attachment 1). This contract included the following tasks: • Reviewing and updating the City's street inventory • Visually inspecting and rating each street segment • Reviewing and advising the City on the use of pavement rehabilitation technologies • Providing field inspection and computer software training for City staff • Preparing a Quality Control/ Quality Assurance Plan for use by both Nichols personnel and City staff In the past, the City's pavement rehabilitation techniques were generally broken down into slurry/ chip seal programs and overlay programs, with occasional street reconstruction. More recently, City staff has been investigating other types of seals and rehabilitation techniques. Staff required that Nichols advise the City on the inclusion of various proven maintenance, rehabilitation and reconstruction techniques for use in the Pavement Management System, including "Cool Pavement" methodologies appropriate for use as maintenance/ rehabilitation methods for public streets. Cool Paving On October 20, 2009, staff presented Council with the 2008 Greenhouse Gas Emissions Report and a plan For a development of a Climate Adaptation Strategy. Council authorized the formation of a Climate Change Working Group, which would formulate recommendations for Council approval prior to November 2011. These recommendations were presented to Council on May 3, 2011 (Attachment 2). Over a 12-month period and several public meetings and forums, eleven strategies were chosen that relate to energy and water supply, wildfires, coastal resources, and the local economy. Cool Paving was included as Strategy #1. This generally refers to paving surfaces that reflect a greater amount of solar radiation, increase the ability of pavement to cool at night, and/ or allow pavement to cool through evaporation. The original proposal recommended that the City perform a pilot project to evaluate multiple cool pavement strategies. The project was intended to evaluate the use of cool paving techniques on both residential and collector/ arterial streets and 4-2 1/10/12, Item Page 3 of 4 both public and private parking lots. At the conclusion, staff was to develop recommendations for incorporating reflective pavement into municipal and private parking lot projects over a certain size for consideration by Council. The cost was estimated as $115,000. After further investigation, it was determined that the best initial step to take on the use of cool paving techniques would be prepazation of a feasibility study. Most cool paving techniques are still in the experimental stage. There are different techniques that are appropriate for different uses, such as parking lots vs. new streets vs. streets that require pavement rehabilitation. Most pilot projects are performed by specific contractors/ suppliers who are willing to perform services for reduced costs, such as materials only, in order to demonstrate the effectiveness of a specific product or technique. A study would give the City the necessary information to determine which methods the City should test, the best locations for such a trial, and the next steps that should be taken towards implementing such technologies within the City. Since the current Nichols Engineering contract includes the investigation of various pavement methodologies, it would be appropriate to have Nichols work on the Cool Paving contract. The information and conclusions from the Cool Paving study would effectively inform the work on evaluating pavement strategies for use in our pavement management system and our pavement rehabilitation program. Based on the revised scope of work, it was decided that the funding for the study would be reduced to $85,000, with a maximum of $50,000 in consultant costs. In August 2011, $85,000 was made available to the City subject to the SDG&E Partnership agreement for use on the Cool Paving study. As a condition of accepting this funding, both the City and the consultant are required to abide by the provisions of the Agreement to Jointly Deliver the 2010-2012 City of Chula Vista Energy Efficiency and Conservation Paztnership Program between the City and SDG&E, dated December 15, 2009. All work funded under this agreement must be completed by December 31, 2012. On October 24, 2011, City staff gave a presentation on the Cool Paving Study to the Resource Conservation Commission and distributed copies of the draft Scope of Work. The presentation included the purpose of cool pavement, project milestones, a discussion of the scope of work, and State legislation. The commission made a motion to recommend that Council approve expansion of the current pavement management contract to include a cool paving study. The motion passed unanimously (Attachment 3). Staff negotiated a contract amendment with Nichols Engineering to prepare the Cool Paving Study for $50,000 (Exhibit A). The main components of the study will include the following: • Reseazch and Investigation: This will include a discussion of available strategies, including pavements, coatings, vegetative surfaces, and porous/ pervious pavements, and the applicability for using these treatments on new and existing facilities; streets, walkways and parking lots • Availability and Feasibility: The consultant will identify and discuss projects in the southwestern United States and California and identify local and regional suppliers and contractors in order to determine the feasibility of constructing similaz projects in the San Diego area. 4-3 1/10l12,Item Page 4 of 4 Cost/Benefit Analysis: The estimated cost of cool paving methods will be compared to existing paving methods. Benefits of cool paving will be discussed. Recommendations: The consultant will provide recommendations on the best course of action for the City to take regarding cool pavement, including identification of sites for demonstration projects, potential funding sources for pilot programs, and potential outreach efforts. Staff plans to return to the Resource Conservation Commission and Council after completion of the study to report on the findings and propose actions to implement the recommendations of the study. DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently the 500 foot rule found in California Code of Regulations Section 18704.2(a)(1) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT This cost of this project will be covered by funds provided by SDG&E and funds included in this year's budget. Passage of this resolution will not have any current fiscal impact on the City. ONGOING FISCAL IMPACT There will be no direct fiscal impact on the City. ATTACHMENTS 1. Resolution No. 2011-086 2. May 3, 2011 Council Report on Adopting the Climate Adaptation Plans 3. Minutes of the October 24, 2011 Resource Conservation Commission meeting Exhibit A. First Amendment to Agreement between City and Nichols Consulting Engineers Prepared by: Elizabeth Chopp, Senior Civil Engineer, Public Works Engineering File #OP219, SDCEIOA J: IEngineerlAGENDAICAS20/2101-10-121Coo1 Paving Amendment.dac 4-4 ~TTAC#iMENT I RESOLUTION NO. 201 ]-086 RESOLUTION OF CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND NICHOLS CONSULTING ENGINEERS, CHARTERED, FOR PAVEMENT TESTING AND MANAGEMENT SERVICES WHEREAS, the City is required to have a pavement management system in order to qualify for State Pavement Funding; and WHEREAS, the last City-wide pavement inspection was conducted in 2006. Updated pavement information is needed in order to insure that pavement rehabilitation decisions are made based on up-to-date condition information; and WHEREAS, in the Fiscal Year 2010/2011 Capita] Improvement Program, $250,000 was approved for Fiscal Yeaz 2010/2011 for the Pavement Management System from the City's Trans-Net allocation. An additional $50,000 is proposed for Fiscal Year 2011/2012; and WHEREAS; staff issued a Request for Proposals to Provide Pavement Testing and Management Services on November 26, 2010. Six proposals were submitted; and WHEREAS, the Selection Committee interviewed all six firms on February 11 and 15, ZO11. Based on the proposals submitted and the interview process, the committee determined that Nichols Consulting Engineers, Chartered, is the best qualified firm to perform this work; and WHEREAS, the funding appropriated under OP219 is sufficient to cover the contract cost of $159,500. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve an agreement between the City of Chula Vista and Nichols Consulting Engineers, Chartered, for Pavement Testing and Management. Presented by ~~- ~~~~ -' _--- Richazd A. Hopl ' s Director of Pub c Works Approved as to form by ~ ~ -vt li len R. oogins omey 4-5 Resolution No. 2011-086 Page 2 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 17th day of May 2011 by the following vote: AYES: Councilmembers: Aguilar, Bensoussan, Castaneda, Ramirez and Cox NAYS: Councilmembers: None ABSENT: Councilmembers: None ~~ Cheryl Cox, ayor ATTEST: _ - C / I V ~ttltd Donna R. Norris, CMC, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF CHULA VISTA I, Donna R. Norris, City Clerk of Chula Vista, Califomia, do hereby certify that the foregoing Resolution No. 2011-086 was duly passed, approved, and adopted by the City Council at a regulaz meeting of the Chula Vista City Council held on the 17th day of May 2011. Executed this 17th day of May 2011. ~ `-'liV ~ ~ ~o/ r N Donna R. Norris, CMC, City Clerk 4- ATTACHMENT ~ CITY COUNCIL A STATEMENT ~~ CITY OF CHULAVISiA 5/03/11, Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA (1) ADOPTING THE CLIMATE ADAPTATION PLANS, (2) APPROVING PARTIAL IMPLEMENTATION OF THE STRATEGIES BASED ON CURRENT FUNDING LEVELS, (3) AUTHORIZING STAFF TO PURSUE ADDITIONAL FUNDING OPTIONS, AND (4) DIRECTING STAFF TO RETURN TO COUNCIL WITHIN 180 DAYS W AN IMPLEMENTATION UPDATE SUBMITTED BY: DIRECTOR OF PUBLIC WO ASSISTANT DIREC OF E IN REVIEWED BY: CITY MANAGER ~ ASSISTANT CIT ANAGER ~~ 4/STHS VOTE: YES ^ NO SUMMARY At City Council's direction, the Climate Change Working Group developed strategies through a 12- month public process to reduce future risks and costs from expected local climate change impacts (known as climate "adaptation"). Staff has since developed more detailed implementation plans for these Climate Adaptation Strategies which outline specific steps, costs, and timelines. If approved, staff will partially implement the strategies based on available funding and return to City Council with specific policies and ordinances for future consideration. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Enviromnental Quality Act (CEQA) and has determined that the action qualifies for a Class 8 categorical exemption pursuant to Section 15308 [Actions by Regulatory Agencies for Protection of the Environment] of the State CEQA Guidelines because, the contemplated action proposes adoption of climate protection polices and programs designed to reduce harmful greenhouse gas or "cazbon" emissions and their associated impacts. Thus, no further environmental review is necessazy. RECOMMENDATION Council adopt the resolution. 9-1 4-7 5/03/11, Item Page 2 of 3 BOARDS/COMMISSION RECOMMENDATION The Climate Adaptation Strategies' Implementation Plans were presented to the Resource Conservation Commission, the Planning Commission, and the Board of Appeals & Advisors to solicit feedback on their content and structure in February/Nlarch 2011. The Resource Conservation Commission and the Planning Commission formally recommended that City Council adopt the plans, while the Board of Appeals & Advisors just provided comments on the plans to staff due to the lack of a quorum at their meeting. Similarly, the Chula Vista Redevelopment Corporation was provided a copy of the plans for review and encouraged to provide comments to staff. DISCUSSION The Ci[y of Chula Vista has long understood the threats of climate change to its community and has established itself as a leader amongst municipalities in planning to reduce or "mitigate" citywide greenhouse gas emissions. However, despite efforts both locally and globally to mitigate emissions, some level of climate change will still occur and have noticeable impacts on the San Diego region. Expected impacts include hotter and drier weather, diminished imported water supplies, more poor air quality/heat wave days, more frequent wildfires, shifts in habitat and species distribution, and increased rates of sea level rise. In October 2009, the City Council directed the Chula Vista Climate Change Working Group (CCWG) -comprised of businesses, residents, and community representatives - to identify Chula Vista's vulnerability to expected local climate change impacts and to develop strategies to reduce future risks and costs from these impacts (known as climate "adaptation"). Through 13 public meetings and forums over a 12-month period, the CCWG ultimately chose 11 strategies related to energy and water supplies, public health, wildfires, biodiversity, coastal resources, and the local economy: Strategy #1 -Cool Paving Strategy #2 -Shade Trees Strategy #3 -Cool Roofs Strategy #4 -Local Water Supply & Reuse Strategy #5 -Storm Water Prevention & Reuse Strategy #6 -Education & Wildfires Strategy #7 -Extreme Heat Plans Strategy #8 -Open Space Management Strategy #9 -Wetlands Preservation Strategy #l0 -Sea Level Rise & Land Development Codes Strategy #11 -Green Economy In October 2010, the City Council accepted the CCWG's recommendations and directed City staff to develop implementation plans within 180 days. Pursuant to that direction, the Climate Adaptation Strategies' Implementation Plans (Attachment A) were developed by a multi- department team and provide a more detailed framework for each strategy's implementation components, timelines, and costs. The plans were designed to ensure that they complement (without being redundant) Chula Vista's current climate "mitigation" measures to reduce greenhouse gas emissions and to be flexible enough for future modifications as new climate change impacts data and modeling becomes available. They were also structured to build upon 9-2 4-8 existing municipal efforts (rather than create new stand-alone initiatives or programs) to improve their implementation feasibility considering the City's current staffing and funding limitations. Many of these existing efforts are supported through external grants and partnerships which can only be used for environmentally-related activities and programs. Finally, staff integrated the feedback from various City Commissions and other stakeholders in finalizing the plans (Attachment B). The proposed Climate Adaptation Strategies will help to reduce the City's future risks and costs from expected local climate change impacts. If the Climate Adaptation Strategies' Implementation Plans are approved by Council, staff will proceed with partially implementing the plans based on available funding and will develop the specific policy/ordinance language which would then be presented to the various City Commissions and, ultimately, the City Council for future review and consideration. Staff will also pursue additional external funding sources to support full, long-term implementation. DECISION MAKER CONFLICT Staff has reviewed the decisions contemplated by this action and has determined that, in each case, either: (i) the decision is not site specific and consequently the 500 foot rule found in California Code of Regulations section 18704.2(a)(1) is not applicable to this decision; or (ii) staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the property which is the subject of the action (i.e., Strategy No. 8 -the Otay Ranch Preserve boundary, and Strategy No. 9 -the Chula Vista Bayfront Master Plan and the Otay Valley River Park boundaries). CURRENT YEAR FISCAL IMPACT Initial implementation of all 11 strategies will be phased and will cost approximately $554,000. Of these initial costs, existing funding sources will allow at least 8 of 11 strategies to be fully or partially implemented. Because staff will only implement the measures based on available funding, approval of the Climate Adaptation Strategies' Implementation Plans will not create a new impact to the General Fund. ONGOING FISCAL IMPACT Ongoing implementation of the 11 strategies will cost approximately $337,000 annually and will be partially covered through existing funding sources as well. Because staff will only implement the measures based on available funding, approval of the Climate Adaptation Strategies' Implementation Plans will not create a new, ongoing impact to the General Fund. In some cases, the Climate Adaptation Strategies may generate utility cost savings for municipal operations (and the community) over time. Furthermore, the cost of "no action" could be significant in the long term through public and private infrastructure damages, public safety and health issues, and energy and water shortages. ATTACHMENTS Attachment A-Climate Adaptation Strategies' Implementation Plans Attachment B -Stakeholder Comments on Climate Adaptation Strategies' Draft Plans Prepared by: Brendan Reed, Environmental Resource Manager, Public Works X:IPUBLIC WORKS',1GENDAICAS20l1IOJ-03-!/IC/imateAdaptation Plans_CAS_DRAFT!!l.doc 9-3 4-9 ~~l/~ ~4~" CTTACHMENT A CHULA VISTA CLIMATE ADAPTATION STRATEGIES Implementation Plans May 2011 SUMMARY The City of Chula Vista has long understood the threats of climate change to its community and has established itself as a leader amongst municipalities in planning to reduce or "mitigate" citywide greenhouse gas emissions. However, despite efforts both locally and globally to mitigate emissions, some level of climate change will still occur and have noticeable impacts on the San Diego region. In order to manage these likely climate change impacts and to reduce future risks and costs, the City of Chula Vista's Climate Change Working Group -comprised of residents, businesses, and community representatives -recommended 11 strategies to "adapt" the community to these impacts within energy and water supply, public health, wildfires, ecosystem management, coastal infrastructure, and the local economy sectors. List of Climate Adaptation Strategies 1 ., Cool Paving 7 Extreme Heat Plans z Shade Trees 8 Open Space Management 3 Cool Roofs 9 Wetlands Preservation 4 Local Water Supply & Reuse 10 Sea Level Rise & Land Development Codes 5 Storm Water Prevention & Reuse 11 Green Economy 6 Education & Wildfires At City Council's direction, staff has developed more detailed implementation plans for these Climate Adaptation Strategies. For each strategy, the plans outline specific implementation components, critical steps, costs, and timelines. In order to limit the necessary staffing and funding required to implement the strategies, the plans were also designed to build upon existing municipal efforts rather than create new, stand-alone policies or programs. Initial implementation of all 11 strategies will be phased in over the next 3 years and will cost approximately $554,000. Of these initial costs, existing funding sources will allow at least 8 of I 1 strategies to be fully or partially implemented. Ongoing implementation of the I 1 strategies will cost approximately $337,000 annually and will be partially covered through existing funding sources as well. If the Climate Adaptation Strategies' plans are approved by City Council, staff will partially implement the measures based on available funding and pursue additional external funding sources to support fidl, long-term implementation. Therefore, approval of the Climate Adaptation Strategies will not create a new impact to the General Fund. Climate Adaptation Strategies Final Implementation Plans 1 of 42 9-4 4-10 O VERVIE W Since the eazly 1990s, Chula Vista has been engaged in multiple climate change forums including the United Nations Framework Convention on Climate Change, the ICLEI Cities for Climate Protection campaign, the California Climate Action Registry, and the U.S. Conference of Mayor's Climate Protection Agreement and has committed to reduce its greenhouse gas (GHG) emissions 20% below 1990 levels. To accomplish this GHG reduction or climate "mitigation" goal, the City adopted a Cazbon Dioxide (CO2) Reduction Plan in 2000 which outlined steps for Chula Vista to reduce energy and fuel use at municipal facilities and throughout the community. In 2008, seven new climate mitigation measures were adopted by City Council to augment past efforts by improving energy and water efficiency, expanding renewable energy systems, converting to more fuel efficient and alternative fuel vehicles, and designing transit-friendly, walkable communities. Overall, the City's climate protection programs and policies have helped Chula Vista reduce GHG emissions from municipal operations by 47% and community per capita emissions by 27% compazed to 1990 levels. As a result, the City has been recognized for its climate-related accomplishments by multiple external organizations such as the US Environmental Protection Agency, ICLEI-Local Governments far Sustainability, California Sustainability Alliance, California Center for Sustainable Energy, San Diego Gas & Electric, Siena Club, and Earthworks San Diego. To complement these climate mitigation efforts, City Council directed staff in October 2009 to reconvene a Climate Change Working Group (CCWG) -comprised of residents, businesses, and community representatives - to develop a list of recommended strategies to reduce Chula Vista's vulnerability to expected local climate change impacts (known as climate "adaptation"). Expected impacts include hotter and drier weather, diminished imported water supplies, more poor air quality/heat wave days, more frequent wildfires, shifts in habitat and species distribution, and increased rates of sea level rise. These impacts were identified in the San Diego Foundation's Focus 2050 Study which synthesized the most recent, science-based information pertaining to climate change trends and the resulting vulnerabilities to the region. The State of California also analyzed future statewide climate change impacts through its Climate Adaptation Strategy (2009) and has directed local governments to begin assessing their community's vulnerability to climate change impacts and to begin integrating these impacts into land use decisions. By minimizing the risks associated with climate impacts now, future costs and public health concerns can be avoided and/or minimized. The reconvened CCWG, which was established as a subcommittee of the City's Resource Conservation Commission, included some members from the previous working group augmented with additional members to reflect the group's new climate adaptation-related focus areas. Stakeholders participating on the CCWG included representatives from development companies, business associations, energy and water utilities, environmental organizations, and education institutions. The group held 11 public-noticed meetings between December 2009 through August 2010 to review potential impacts and identify over 180 opportunities to reduce these risks. In addition, the CCWG hosted 2 public workshops on climate adaptation planning to solicit additional feedback which attracted over 30 community participants. The CCWG was further supported by regional experts, climate scientists, and staff from multiple municipal departments. Climate Adaptation Strategies Final Implementation Plans 2 of 42 9-5 4-11 In October 2010, the Climate Change Working Group presented their 11 recommended Climate Adaptation Strategies (Appendix A) to City Council to address climate change vulnerabilities and solutions related to energy and water supplies, public health, wildfires, biodiversity, coastal resources, and the local economy. As a result, City Council directed staff to develop more detailed implementation plans for the 11 recommendations which would outline implementation steps, timelines, and costs. These detailed plans, which would be created by amulti-department team and reviewed by applicable City Commissions, would be presented to City Council for future consideration within 180 days. This document outlines staff s general approach for implementing the 11 recommended Climate Adaptation Strategies. For each strategy, a specific implementation plan has been created which includes the following sections: Overview - A review of potential climate change impacts, the original CCWG recommendation to address these impacts, and how it relates to the proposed program policy Program Strategy - An in-depth description of the programmatic approach for implementing the proposed program policy to reduce future risks and costs from climate change impacts including outreach activities and required municipal regulatory steps Performance Metrics -The metrics which will be tracked and reported to quantify the performance of the program/policy Timeline - A general timeline of important milestones as the program policy is implemented Budget & Financing -The required funding to implement the prograrn/policy as proposed by City staff .As proposed, initial implementation of all 11 strategies will be phased in over the next 3 yeazs and will cost approximately $54,000. Of these initial costs, approximately $273,500 or 49% will be supported by existing funding sources and will allow at least 8 of 11 strategies to be fully or partially implemented. Ongoing implementation of the 11 strategies will cost approximately $337,000 annually and will be partially covered (49%) through existing funding sources as well. If the Climate Adaptation Strategies' plans are approved by City Council, staff will partially implement the measures based on available funding and will pursue additional external funding sources to support full, long-term implementation. Therefore, approval of the plans will not create a new impact to the General Fund and in some cases may generate utility cost savings for municipal operations (and the community) over time. Furthermore, the cost of "no action' could be significant in the long term through public and private infrastructure damages (due to wildfires and sea level rise), public safety and health issues (due to extreme heat, wildfires, and poor air quality), and energy and water shortages (due to higher local demand). Potential Climate Adaptation Strategies Final Implementation Plans 3 of 42 9-6 4-12 external funding sources include federal and state grants, utility public -goods charges, and greenhouse gas offseUmitigation fees. A City Council-approved implementation plan will potentially make Chula Vista more competitive in soliciting these funding sources because the plans provide a broader framework and an explicit commitment which many funding agencies seek in applicants. In addition, City staff will continue to identify new opportunities to leverage existing municipal efforts and work plans to cost-effectively implement the Climate Adaptation Strategies. Climate Adaptation Strategies Final Implementation Plans 4 of 42 9-7 4-13 STRATEGY #1: COOL PAVING OVERVIEW By 200, annual average temperatures in the San Diego region aze expected to increase up to 4.5 degrees Fahrenheit with summer temperatures increasing even higher.) This temperature shift will likely amplify the "urban heat island effect" and its negative community impacts. The urban heat island effect, which was first recognized in the 19th century by climatologists who measured differences in cities where natural vegetation and trees had been removed, is a phenomena in which the air in urban areas can be 4-5°F hotter than in surrounding undeveloped areas.Z As natural landscapes are replaced with buildings, rooftops, and pavement that absorb, store, and then radiate heat, the amount of energy used for cooling purposes, the concentration of smog, and the general discomfort of residents and visitors within the community increases. In areas with tall buildings and narrow streets, heat can be trapped and airflow reduced between structures. In addition, waste heat from air conditioning, vehicles, and industrial processes contributes further to an urban community's heat load. As such, the Climate Change Working Group recommended that the City should develop an ordinance incorporating reflective (or "cool paving") into all municipal projects (parking lots and streets) and new private pazking lot projects over a specific size. Cool pavements refer [o a range of established and emerging paving materials which store less heat and have lower surface temperatures compared with conventional products. To address these climate change impacts related to the urban heat island effect, Ciry staff will (1) perform a comprehensive study to evaluate and test multiple reflective pavement technologies and (2) develop options, based on the study's results, for incorporating cool pavement technologies into municipal capital improvement and development parking lot standards. PROGRAM STRATEGY The following specific actions will be pursued by City staff over the next 24 months: 1. Cool Paving Study & Test Area -The Public Works Department (Operations & Engineering), with the assistance of outside technical consultants and the US Environmental Protection Agency, will perform a pilot project to evaluate multiple reflective or "cool" pavement strategies to help inform creation of new policies for municipal paving capital improvement projects and private parking lot projects. In siting a potential test area, the City will explore opportunities to focus on areas which already need pavement repair or replacement. The pilot project will consider: a. The current and future technologies and their applications -possible use of test sites with long term performance measurement b. Costs associated with reflective paving (for both municipal operations & developers) c. Thorough understanding of the benefits/drawbacks of cool paving techniques d. Installation techniques and reflective paving standards e. Short and long term performance and comparison with current practices ~ San Diego Foundation. "Focus 2050 Study: San Diego's Changing Climate." 2008 ~ US Environmental Protection Agency. www.epa.~ov,~heatisland Climate Adaptation Strategies 5 of 42 Final Implementation Plans 9-S 4-14 f. Streets -residential vs. arterial and private vs. public facilities g. Pazking lots -private vs. public facilities h. Maintenance of existing public and private facilities i. Incentive opportunities (such as reduced minimum parking requirements) for private owners to use reflective paving j. Benefits of street and parking lot landscaping (shade trees) Cool Paving Sta~dy Results & Standards Options -Based on the study results, staff will develop options for incorporating reflective pavement into all municipal projects and private parking lot projects over a specific size. The options will be presented to City Council for review and consideration. PERFORMANCE METRICS Although the development of specific performance metrics would be informed by the proposed cool pavement study, below aze some potential metrics that could be tracked and reported on an ongoing basis to quantify the performance of the "Cool Pavement" strategy: • Temperature reduction of cool versus traditional paving materials in test areas • Total squaze feet of paved surfaces incorporating cool paving technologies TIMELINE The initial implementation of this strategy will occur over a 24-month period (summarized in figure below). City staff will develop and release a Request for Qualifications (RFQ) for consultants to assist in designing and implementing a cool pavement study between May and July 2011. By the end of 2011, the study will begin and last 12-36 months (estimated). With the results of the study and field tests, staff will prepaze policy options for cool pavements which will be vetted through the various City commission and presented to City Council for final rnnsideratinn. CLIMATE ADAPTATION STRATEGY #1: Cool Pavement Implementation Plan Timeline o~t.t t JWy•ti .Aware crntact for • AtlveAS9 RFQ sutly April ' 11 Apnl ' 12 Apnl '13 May 91 Jan '12 (or lale~ Jan'13 (or lateh • Beyn tlewlopmmt of - Fi nallie 9utly • Present Yutly fMings antl RFp policy oplons to Giy Cauntil PROGRAM MILESTONES Climate Adaptation Strategies 6 Final Implementation Plans 9-9 ~f 42 4-15 BUDGET & FINANCING The proposed components' initial implementation costs are estimated to be approximately $115,000 for staffing and consultant fees to further evaluate cool paving opportunities and policy options (summarized in table below). Potential ongoing annual expenses are estimated at $5,000. These costs may be covered partially through existing external founding sources, but additional funding will be required for full implementation. Any cool pavement policy presented to the City Council for future consideration would include a more robust cost analysis on municipal operations for ongoing implementation of the strategy. This analysis will also identify costs to any particular stakeholder group (such as residents, businesses, and developers). Adaptation Strategy #1 -Cool Pavement City Staff $ 20,000 $ 5,000 ------- Cool Pavement Supplies $ $ ----- & Testing Stud y Consultant Fees $ 85,000 $ - ------ Cool Pavement City Staff $ 5,000 $ - ------- Policy Options Report Consultant Fees $ 5,000 $ ----- TOTAL $ 115,000 $ 5,000 UNFUNDED PORTION $ 115,000 $ 5,000 Climate Adaptation Strategies 7 of 42 Final Implementation Plans 9-10 4-1 6 ATTACHIdiENT MINUTES OF A REGULAR MEETING OF THE RESOURCE CONSERVATION COMMISSION October 24, 2011 City of Chula Vista, Executive Conference Room 103 276 Fourth Avenue MEETING CALLED TO ORDER: By Chair Stillman at 4:00 p.m. ROLL CALL: MEMBERS PRESENT: Chair Stillman, Commissioners Coleman, Davis, Kappes, Rahimzadeh, Vargas, and Romo MEMBERS ABSENT: None MOTION TO EXCUSE: None STAFF PRESENT: Engineering Assistant Director Quilantan, Environmental Resource Manager Reed, Environmental Resource Program Manager France, Sr. Project Coordinator Kurz, Building Official/Code Enforcement Manager EI-Khazen, Sr. Civil Engineer Chopp, Principal Economic Development Specialist Ruiz, and Sr. Secretary Fields OTHERS PRESENT: APPROVAL OF MINUTES: ORAL COMMUNICATIONS: INFORMATION ITEMS None The Minutes of September 26, 2011 were approved. None 1. Sustainable Energy Showcase Home Senior Project Coordinator Stacey Kurz gave the presentation. She discussed Housing Marketing & Funding and spoke on Federal Grant Sources programs and first-time home buyers. She stated -that the Housing Division and the Conservation Division were both working on the project, and that the first-time homeowner selection process for the showcase property would be by lottery. Environmental Resource Manager Brendan Reed described the energy efficiency features that would be installed in the home. He also spoke on other Broader Energy Retrofit programs, and Project Coordinator Kurz continued with the timeline of the process. Kurz and Reed then addressed questions from the board. RCC Minutes, 10/24111, Page 1 of 3 4-17 2. Beautify Chula Vista Results Environmental Services Program Manager Lynn France stated that the Beautify Chula Vista event was a huge success this year. She said that approximately 900 volunteers attended, and that that was the most people they had ever had in the eight years of the program. She added that over 3000 pounds of trash was collected during this event. ACTION ITEMS: 1. Progress Report for Climate Action Plan Environmental Resource Manager Brendan Reed gave the presentation. He gave a background on the program and talked about the overall implementation status. He also discussed awards and recognition that the City had won and went over municipal Energy Upgrade Financing. Reed, along with Building Official/Code Enforcement Manager Lou EI-Khazen, then gave an update on the 18 strategies of the program, after which and he and Principal Economic Development Specialist Craig Ruiz responded to questions from the board. Action: Commissioner Davis made a motion that the RCC recommend that City Council accept the progress report and authorize staff to secure an additional $10 million in energy upgrade financing for City facilities. Commissioner Kappes seconded the motion. The motion passed unanimously. 2. Cool Paving SOW Senior Civil Engineer Beth Chopp presented the Rem. She described what cool pavement does and went over the strategies of the program. She talked about project milestones, the proposed scope of work, research and investigation, and some of the legislation involved in the project. Other topics she covered were availability & feasibility, and cost/benefit analysis. Lastly, she went over program recommendations. The board discussed the project and staff addressed questions. Action: Commissioner Romo made a motion that the RCC recommend that City Council approve expansion of current pavement contract to include a "cool" paving study. Commissioner Rahimzadeh seconded the motion. The motion passed unanimously. 3. Park-It-Green Grant Proposal Environmental Resource Manager Brendan Reed introduced the project. He stated that they want this to be a test bed for cool paving, for porous pavement, for our new shade tree policy for our low impact development, etc. He added that all of those things with a project like this can help us inform and help us develop the policy. Reed then discussed specifics of some of the design features of the park. The board followed with a discussion on the project. Action: Commissioner Romo made a motion that the RCC recommend that City Council approve submittal of a grant proposal for the Park-It-Green Demonstration Project. Commissioner Davis seconded the motion. The motion passed unanimously. RCC Minutes, 10/24/11, Page 2 of 3 4-18 DIRECTOR COMMENTS Engineering Assistant Director Quitantan called the board's attention to the list of future items, highlighting the upcoming "Day without a Bag" event on December 15th. Environmental Resource Program Manager France went aver details of the event. CHAIR COMMENTS None COMMISSIONER COMMENTS Commissioner Coleman said that at the next meeting he'd like to give an update on the Master Composting class he recently attended. Commissioner Romo made a recommendation to discuss the carbon footprint calculator. Commissioner Vargas recommended a future discussion with Southwestern College, ool District eetwater Unified School District and/or Chula Vista Elementary Sch Sw , regarding Prop O and environmental workshops in the area. Assistant Director Quitantan mentioned that the November 14'" RCC meeting would be held in CounciV Chambers. She also stated that Council had taken the first reading last Tuesday night on the amendment to the Charters for commissions, and that they would be bringing the final charter to the next meeting for the RCC's review. ADJOURNMENT: The meeting was adjourned at 6:18 p.m. to a special meeting on Monday, November 14, 2011, at 4:00 pm in Council Chambers at 276 Fourth Avenue, Chula Vista CA 91910. Prepared by: Sheryl `' Sr. Secretary RCC Minutes, 10/24/11, Page 3 of 3 4-19 RESOLUTION NO. 2012- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND NICHOLS CONSULTING ENGINEERS, CHARTERED, FOR PAVEMENT TESTING AND MANAGEMENT SERVICES WHEREAS, on May 17, 2011, Council adopted Resolution No. 2011-086 approving an agreement between the City and Nichols Consulting Engineers, Chartered for Pavement Testing and Management Services. The agreement included a section requiring that the consultant advise the City on the inclusion of various pavement rehabilitation techniques, including the evaluation of Cool Pavement methodologies; and WHEREAS, the City subsequently received funding of $85,000 through the San Diego Gas and Electric Local Partnership for preparation of a Cool Paving Study. This study would investigate the use of cool paving techniques on both new and existing streets and parking lots and provide recommendations for the best course of action for the City in pursuing the Cool Pavement option; and WHEREAS, the preparation of the Cool Paving Study, in conjunction with the Pavement Testing and Management contract, would provide staff with the additional information needed to make decisions regazding the use of Cool Paving Techniques in pavement rehabilitation; and WHEREAS, on October 24, 2011; the Resource Conservation Commission passed a resolution supporting the draft Scope of Work for the Cool Paving Study; and WHEREAS, Consultant warrants and represents that it is experienced and staffed in a manner such that it can deliver the services required of Consultant to City in accordance with the time frames and the terms and conditions of this Agreement. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the first amendment to the agreement between the City of Chula Vista and Nichols Consulting Engineers, Chartered, for pavement testing and management services (Exhibit A). Presented by Richard A. Hopkins Director of Public Works Exhibit A Approved as to form by Glen R. Googins .~4-,, '~~~ 6'{1~"`^ 1 City Attorney 4-20 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROV~.L BY ilen R. Googins City Attorney Dated: {2. ZZ i FIRST AMENDMENT TO AGREEMENT BETWEEN THE CITY OF CHULA VISTA, AND NICHOLS CONSULTING ENGINEERS, CHTD. TO PROVIDE PAVEMENT TESTING AND MANAGEMENT SERVICES 4-21 First Amendment to Agreement behveen City of Chula Vista and Nichols Consulting Engineers, Chtd. To Provide Pavement Testing and Management Services This First Amendment ("First Amendment") is entered into effective as of 2012 by and between the City of Chula Vista ("City") and Nichols Consulting Engineers, Chtd. ("Nichols"}, with reference to the following facts: RECITALS WHEREAS, on May 17, 2011, Council adopted Resolution No. 201 ]-086 approving an agreement between the City and Nichols Consulting Engineers, Chtd. For Pavement Testing and Management Services (Exhibit A). The agreement included a section requiring that the consultant advise the City on the inclusion of various pavement rehabilitation techniques, including the evaluation of Cool Pavement methodologies; and WHEREAS, the City subsequently received funding through [he San Diego Gas and Electric Local Partnership for preparation of a Cool Paving Study. This study would investigate the use of cool paving techniques on both new and existing streets and parking lots and provide recommendations for the best course of action for the City in pursuing the Cool Pavement option; and WHEREAS, the preparation of the Cool Paving Study, in conjunction with the Pavement Testing and Management contract, would provide staff with the additional information needed to make decisions regarding the use of Cool Paving Techniques in pavement rehabilitation; and WHEREAS, on October 24, 2011 the Resource Conservation Commission passed a resolution supporting the draft Scope of Work for the Cool Paving Study; and WHEREAS, Consultant warrants and represents that it is experienced and staffed in a manner such that it can deliver the services required of Consultant to City in accordance with the time frames and the terms and conditions of this Agreement. NOW, THEREFORE BE IT RESOLVED, that the patties do hereby mutually agree that the agreement is hereby amended as follows: Exhibit A, Section 7, is hereby amended to add the following paragraph to the General Duties: A Cool Paving Study will be added to the work performed under this agreement. This study will be funded through the City of Chula Vista's Local Government Partnership with San Diego Gas & Electric (SDG&E), under the auspices of the California Public Utilities Commission, and will be designed to highlight energy-saving opportunities with FicnAnrendiiren//o Tirv Po~N./grerarea/drnrern CiNn1C/rn/n /him nudrl'idrotr Caiuid/iap£nriime<r, Cbii( m Cbirdiir///ir'Pnremrnl Trr/in,PmidA/n mgruieu/Jendrdr" Page I 4-22 reflective or "cool" pavements. Consultant shall abide by each and every term and condition of the "Agreement to Jointly Deliver the 2010-2012 City of Chula Vista Energy Efficiency and Conservation Partnership Program" between the City of Chula Vista and San Diego Gas and Electric Company, dated December I5, 2009, a copy of which is attached hereto as Exhibit B to this Agreement. Exhibit A, Section 8, is hereby amended to add the following: A. Detailed Scope of Work 7. Cool Pavement Shidv As part of fhe City's efforts to promote innovative energy efficiency opportunities at municipal facilities and throughout the community, reflective or "cool" paving has been identified as a potential tool to mitigate the urban heat island effect and to lower cooling demand in conditioned buildings. Based on current pavement technology, there are three primary ways to reduce pavement's contribution to the urban heat island effect: (I) by providing a surface that reflects a greater amount of solar radiation; (2) by increasing the ability of the pavement to cool at night; or, (3) by allowing a pavement to cool through evaporation (including preventing radiation from reaching pavements -- i.e. shade trees, etc). The cool pavement study shall: investigate and discuss current cool pavement methods; determine their applicability for existing and new pavements, including both streets and parking areas; discuss the feasibility of using these methods; identify current and ongoing costs and benefits in comparison with existing paving methods; and, provide recommendations, including feuding strategies and pursuing pilot programs. a. Research and Investigation: The consultant shall identify and discuss available cool paving strategies, including pavements and coatings with high solar reflectance (albedo), vegetative surfaces and porous/ pervious pavements. Discuss heat retention (absorption) for each option. Include specific information on materials and installation procedures. Provide all sources and links. Discuss the applicability of these strategies with respect to the following situations: i. Streets and pedestrian ways: residential vs. collectors and arterials, public and private ii. Parking lots: public and private iii. New streets and parking lots vs. existing facilities iv. Landscaping: benefits of landscaping (shade trees) to existing pavement and/or cool paving strategies b. Availability and feasibility: i. Identify and discuss cool paving projects (only those that involve paving materials} in [he southwestern U.S. and California. Include maintenance issues and durability. /'PS/~L~nmdinru//a 7Ln Pni9•AgrmmrniBrN~ren Ci[p njCOu/n /'i~mnnNA'rcbaU Corm/ii iq Eiigiueecr, CD/2 /u Cbndur!//m 'Tmnurni Try/iiignadl/nnngenirn/Srrrirrr" Page 2 4-23 ii. Identify local or regional suppliers and contractors with experience in constructing paving projects that employ the paving materials that may pertain to cool pavements. iii. Discuss feasibility of constructing similar projects in the San Diego area. c. Cost/ Benefit Analysis: [t is understood that material prices are volatile and that cost estimates are dependent on several variables, e.g. hauling costs depend on distance to nearest plant, quarry or supplier of the materials used, so that a calculated value today may be completely different in 2014. Therefore, an approach shall be presented which would enable City staff to recalculate the costs as these variables change in the future. The following factors shall be included: i. Installation cost (per square foot, if possible) ii. Service life, including change in albedo and absorption with age. Where actual performance data is not available because the material is relatively new, estimates may be used. iii. Description, frequency and cost of maintenance. It is understood that actual performance data may not be available with respect to some materials. Comparison to existing AC/ PCC pavement methods, including options that provide environmental benefits, such as lower energy usage (i.e. warm mix asphalt) or recycling (i.e. RAC), will be included. Costs will be based on data provided by the City. iv. Benefits of cool paving methodologies with respect to energy conservation, water quality, noise reduction, safety, etc. Since the quantification of these benefits is currently the subject of numerous on-going research studies and there are no definitive answers, these factors may be discussed qualitatively with respect to specific treannents. d. Recommendations: This shall include recommendations on the following issues: i. The best course of action for the City on pursuing the cool pavement option ii. ht cooperation with City staff, identification of locations for test sites/ demonstration projects iii. Potential funding sources for pilot programs/ demonstration projects iv. Identify and discuss potential public education and outreach efforts that could be conducted by the City v. Methods for measuring the effectiveness of coo( pavement options. e. Meetings: There will be hvo meetings held in conjunction with this contract. The initial meeting will be the kickoff meeting with City staff and Firo9Anxndnrc+n/ro Tiim /'n/b~~e°rermrivBrrorrn Cip• njCOum % inn nndil'idm/r Cnnrn//ing Eiigineerr C~n1. /o Coadiir//Ar "Pm~esirn/Ter/iuq nni/A/mmgramii/S'rndoer" Page 3 4-24 stakeholders. The second meeting will be associated with the final draft or final report and may be held on the same day or in conjunction with a presentation to stakeholders or commissioners, at the City's option. C. Dates or Time Limits for Delivery of Deliverables Deliverable No. 6: Provide a memorandum to City summarizing the results of the kickoff meeting for the Coo! Paving Study within 14 calendar days of the meeting date. This memorandum may be in electronic form. Deliverable No. 7: Provide an electronic copy of the draft report in pdf format. Deliverable No. 8: Provide five copies of [he final version of the Cool Paving Study, with one copy being unbound and clipped together to facilitate copying. The Consultant shall also provide a copy, broken down by chapters, in pdf format on CD-ROM. ll. Date for completion of al( services included in Section 8A. Item #7 and Deliverables #6 through #8: December 31, 2012. Exhibit A, Section 10, is hereby amended to add the following: B. (X)Phased Fixed Fee Arrangement. For the performance of each phase or portion of the Defined Services by Consultant for the Cool Paving Study as are separately identified below, City shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones or Deliverables set forth. Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless City shall have issued a notice to proceed to Consultant as to said Phase. Phase I. Kickoff meeting and summary memorandum 2. Invesfigation and feasibility study 3. Cost-benefit analysis 4. Complete draft report 5. Final meeting/ final report and completion of all work Signature Page Fee for Said Phase $ 2,200 $ 19,161 $ 18.025 $ 5.389 $ 5 225 /in/./urruiGirrm/u 7krr Par~•Agrrrurrn/Brnraai Cin•nlC/rrdn 1%r/n rmdAir/ro/r Couvd/inB Ea,~+iarerr, C/uil /o Cnndiir//hr 'Tnrrrrxnr TCr/iiig nedd/nnngemen/S'erri~eY' Page 4 4-25 to First Amenchnent to Agreement bchveen City of Chula Vista and Nichols Consulting Engineers, Chid. "Co Provide Pavement Testing and Management Services IN WI`fNESS WHEREOF, City and Consultant have executed this Agreement, indicating that they have read and understood same, and indicate their full and complete consent to its terms: Dated: City of Chula Vista By: Suzanne Brooks Sr. Procurement Specialist Attest: Donna Norris, City Clerk Approved as to form: Glen R. Googins, City Attorney Dated: Nichols Consulting Engineers, Chtd. By: ~~Ci_~~~---- Margot Yapp. P.E. Vice-President Exhibit List to Agreement (X) Exhibit A.; Exhibit B Pin/ Jmeiu/curio/n rrr %niry~: /grennui/lfenrnnn Ci/rnjC%ia/n /9r/n rvN.1'ia~brrU Cbiurdiinr E'n,; inee/t C%i/( m Gmdiie//Ge "Pm~rnren/7ni9iu~nud.l/oimgomm~/.5'envari"' Page 5 4-26 EXHIBIT Agreement between City of Chula Vista and Nichols Consulfing Engineers, Chtd. To Provide Pavement Testing and Management Services This agreement (Agreement), dated J ~ l ~ for the purposes of reference only, and effective as of the date last executed nless another date is otherwise specified in Exhibit A to this Agreement (Exhibit A), Paragraph 1, is between the City-related entity whose name and business form is indicated on Exhibit A, Pazagraph 2, (City), and the entity whose name, business form, place of business and telephone numbers are indicated on Exhibit A, Paragraphs 4 through 6, (Consultant), and is made with reference to the following facts: RECITALS WHEREAS, City staff issued a Request for Proposals (RFP) for Pavement Testing and Management Services on November 26, 2010. Proposals were to be submitted by January 6, 2011; and WHEREAS, six Consultants submitted proposals and were determined to meet the minimum qualifications stated in the RFP. These Consultants were scheduled for interviews on February 11 and February 15, 201 I; and WHEREAS, based on the firm's qualifications and specialized experience, the experience of the Project Manager and other key staff, and responsiveness to the work specified under the RFP, staff recommends that this contract be awarded to Nichols Consulting Engineers, Chtd.; and WHEREAS, this contract shall include reviewing and updating the City's public street inventory, visually inspecting and rating each public street segment using Streetsaver software, providing field inspection and sofware training for City staff, and preparing a Quality Control/ Quality Assurance Plan; and WHEREAS, Consultant warrants and represents that it is experienced and staffed in a manner such that it can deliver the services required of Consultant to City in accordance with the time frames and the terms and conditions of this Agreement. [End of Recitals. Next Page Starts Obligatory Provisions.] Tian PorryAgreemrn/Belweea Cy~ojGra/n f9tloandNichoCr CanrvGirg+6nBrneeic C•S/d m Candurl/he Pavemrn/TaiYin~andMarme emrnlScrvires" Page 1 4-27 OBLIGATORY PROVISIONS PAGES NOW, THEREFORE, for valuable consideration the City and Consultant do hereby mutually agee as follows: All of the Recitals above are incorporated into this Agreement by this reference. A. General ARTICLE I. CONSULTANT'S OBLIGATIONS I. General Duties. Consultant shall perform all of the services described on Exhibit A, Pazagaph 7 (General Duties). 2. Scooe of Work and Schedule. In performing and delivering the General Duties, Consultant shall also perform the services, and deliver to City the "Deliverables" described in Exhibit A, Paragaph 8, entitled "Scope of Work and Schedule," according to, and within the time frames set forth in Exhibit A, Paragraph 8, time being of the essence of this agreement. The General Duties and the work and Deliverables required in the Scope of Work and Schedule shall be referred to as the "Defined Services." Failure to complete the Defined Services by the times indicated does not, except at the option of the City, terminate this Agreement. a. lleduclions rn Scope of Work City may independently, or upon request from Consultant, from time to time, reduce the Defined Services to be performed by the Consultant under this Ageement. Upon doing so, City and Consultant agee to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with the reduction. b. Additional Services In addition to performing the Defined Services, City may require Consultant to perform additional consulting services related to the Defined Services (Additional Services), and upon doing so in writing, if they are within [he scope of services offered by Consultant, Consultant shall perform same on a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 10(C), unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed. 3. Standard of Care. The Consultant expressly warrants that the work to be performed pursuant to this Ageement, whether Defined Services or Additional Services, shall be performed in accordance with the standard of care ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. a. No Waiver ofSlondardofCare. Where approval by City is required, it is understood to be conceptual approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry standards, or the willful misconduct of the Consultant or its subcontractors. TwoPOryAgrermrnlBe/wrep City ojChalnl~moondNichaU Canru/limgEngineerr, Cbld ro Cn.~ductr/e'PovemrmTrrrwgandManoBenn/Servicer° Page 2 4-28 B. Application of Laws. Should a federal or state law pre-empt a local law, or regulation, the Consultant must comply with the federal or state law and implementing regulations. No provision of this Agreement requires the Consultant to observe or enforce compliance with any provision, perform any other act, or do any other thing in contravention of federal, state, territorial, or local law, regulation, or ordinance. If compliance with any provision of this Agreement violates or would require the Consultant to violate any law, the Consultant agrees to notify City immediately in writing. Should this occur, the City and the Consultant agree that they will make appropriate arrangements to proceed with or, if necessary, amend or terminate this Agreement, or portions of it, expeditiously. Subcontractors. Consultant agrees to take appropriate measures necessary to ensure that all participants utilized by the Consultant to complete its obligations under this Agreement, such as subcontractors, comply with all applicable laws, regulations, ordinances, and policies, whether .federal, state, or local, affecting Project implementation. In addition, if a subcontractor is expected to fulfil] any responsibilities of the Consultant under this Agreement, the Consultant shall ensure that the subcontractor carries out the Consultant's responsibilities as set forth in this Agreement. C. Insurance General. Consultant must procure and maintain, during the period of performance of this Ageement, and for twelve months after completion, policies of insurance from insurance companies to protect against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under this Agreement and the results of that work by the Consultant, his agents, representatives, employees or subcontractors, and provide documentation of same prior to commencement of work. 2. Minimum Scope of Insurance. Coverage must be at least as broad as: a. CGl. Insurance Services Office Commercial General Liability coverage (occurrence Form CG0001). b. Auta. Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto). c. ~!'C. Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. d. ~'&O. Professional Liability or Errors & Omissions Liability insurance appropriate to the Consultant's profession. Architects' and Engineers' coverage is to be endorsed to include contractual liability. 3. Minimum Limits of Insurance. Consultant must maintain limits no less than those included in the table below: TwvPalryAgJremrnlBelwem CiNajChu/a l~GmandNic6otr CoarvllingEngluee~F Ch/d Po CoadmeJlbe PavemenlTevingandManagemenlServicer„ Page 3 4-29 i. General Liability: $1,000,000 per occurrence for bodily injury, personal injury, (Including (including death), and property damage. If Commercial General operations, Liability insurance with a general aggregate limit is used, either products and the general aggregate limit must apply separately to this completed Project/location or the genera] aggegate limit must be twice the operations, as required occurrence limit. a licable ii. Automobile $1,000,000 per accident for bodily injury, including death, and Liability: property damage. iii. Workers' Statutory Compensation $1,000,000 each accident Employer's $1,000,000 disease-policy limit Liabilit $1,000,000 disease-each em to ee iv. Professional $1,000,000 each occurrence Liability or Errors & Omissions Liabilit 4. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer will reduce or eliminate such deductibles orself-insured retentions as they pertain to the City, its officers, officials, employees and volunteers; or the Consultant will provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. 5. Other Insurance Provisions. The general liability, automobile liability, and where appropriate, the worker's compensation policies aze to contain, or be endorsed to contain, the following provisions: a. AddifionalJ~zrureds. City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds with respect to all policies of insurance, including those with respect to liability arising out of automobiles owned, leased, hired or bon•owed by or on behalf of the Consultant, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Consultant, including providing materials, parts or equipment furnished in connection with such work or operations. The general liability additional insured coverage must be provided in the form of an endorsement to the Consultant's insurance using ISO CG 2010 (11/85) or its equivalent. Specifically, the endorsement must not exclude Products/Completed Operations coverage. b. PrimoryJnsurance The Consultant's General Liability insurance coverage must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers; officials, employees, or volunteers is wholly separate from the insurance of the Twa Party Agree~rralBerxeea City ojChala lruiaandN!<bo(r Corzra/liaBEagiae<r.5 Chf6 w Coadadlhe'TavemenrTepingaadManaBmvenrSmices^ Page 4 4-30 Consultant and in no way relieves the Consultant from its responsibility to provide insurance. c. Cancellation. The insurance policies required by this Agreement shall not be canceled by either party, except after thirty days' prior written notice to the City by certified mail, return receipt requested. The words "will endeavor" and "but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents, or representatives" shall be deleted From all certificates. d. Active Negligence. Coverage shall not extend to any indemnity coverage for the active negligence of the additional insureds in any case where an agreement to indemnify the additional insured would be invalid under Subdivision (b) of Section 2782 of the Civil Code. e. Waiver ojSubrogation. Consultant's insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage for the term required by this Agreement. 6. Claims Forms. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are written on a claims-made form: a. Reba Date. The "Retro Date" must be shown, and must be before the date of the Agreement or the beginning of the work required by the Agreement. b. rGlainlenanceandEvidence. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the work required by the Agreement. c. Cancellation. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a "Retro Date" prior to the effective date of the Agreement, the Consultant must purchase "extended reporting" coverage for a minimum of five years after completion of the work required by the Agreement. d. Copier. A copy of the claims reporting requirements must be submitted to the City for review. 7. Acceptabiliri of Insurers. Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best's rating of no less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of Califomia List of Eligible Surplus Lines Insurers (LESLI) with a current A.M. Best's rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated. 8. Verification of Covern¢e. Consultant shall furnish the City with original certificates and amendatory endorsements effecting covernge required by Section I.C. of this Agreement. The endorsements should be on insurance industry forms, provided those endorsements 75vaParry.lgreexnfBeMeen Ci/rojlhu/a /~GloandNieFoLr Conru/lingEngineen; Ch/6 !o Conduc!!/rc'PaveixalTcrlingaadManagrnxulServicer" Page 5 4-31 or policies conform to the requirements of this Agreement. All certificates and endorsements aze to be received and approved by the City before work commences. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications. 9. Subcontractors. Consultant must include all subconsultants as insureds under its policies or furnish separate certificates and endorsements for each subconsultant. All coverage for subconsultants is subject to all ofthe requirements included in these specifications. 10. Not a Limitation of Other Oblieations. Insurance provisions under this Article shall not be construed to limit the Consultant's obligations under this Agreement, including Indemnity. D. Security for Performance 1. Performance Bond. In the event that Exhibit A, at Paragraph 18, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shall provide to the City a performance bond, in the amount indicated at Exhibit A, Paragaph 18, in the form prescribed by the City and by such sureties which are authorized to transact such business in the State of California, listed as approved by the United States Department of Treasury Circular 570, htto://www.fms.treas.eov/c570, and whose underwriting limitation is sufficient to issue bonds in the amount required by the Agreement, and which also satisfy the requirements stated in Section 995.660 of the Code of Civil Procedure, except as provided otherwise by laws or regulations. All bonds signed by an agent must be accompanied by a certified copy of such agent's authority to act. Surety companies must be duly licensed or authorized in the jurisdiction in which the Project is located to issue bonds for the limits so required. Form must be satisfactory to the Risk Manager or City. 2. Letter of Credit. In the event that Exhibit A, at Paragraph 18, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit"), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at its unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The letter of credit shall be issued by a bank, and be in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Letter of Credit," in Exhibit A, Paragraph 18. 3. Other Security. In the event that Exhibit A, at Paragraph 18, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such Page 6 TxnPartyAg~eearnldenveen Ci(yojChula fulaandNiabatr ConruGinBEagluee~.r, C6/d to CondudlRe'PavemeatTmiagundManagemnlServieu" 4-32 other security therein listed in a form and amount satisfactory to the Risk Manager or City Attorney. E. Business License. Consultant agrees to obtain a business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code. ARTICLE II. CITY OBLIGATIONS A. Consultation and Cooperation. City shall regularly consult the Consultant for the purpose of reviewing the progress of the Defined Services and Schedule, and to provide direction and guidance to achieve the objectives of this Agreement. The City shall allow Consultant access to its office facilities, files and records, as deemed necessary and appropriate by the City, throughout the term of this Agreement. In addition, City agrees to provide the materials identified at Exhibit A, Paragraph 9, with the understanding that delay in the provision of those materials beyond thirty days after authorization to proceed, shall constitute a basis for the justifiable delay in the Consultant's performance. B. Compensation. Followine Receipt of Billine. Upon receipt of a properly prepared bill from Consultant, submitted to the City as indicated in Exhibit A, Paragraph 17, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 17, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth in Exhibit A, Paragraph 10, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in Paragraph 18 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Pazagraph 11. 2. Suoaortine Information. Any billing submitted by Consultant shall contain sufficient information as to the propriety of the billing, including properly executed payrolls, time records, invoices, contracts, or vouchers describing in detail the nature of the charges to the Project in order to permit the City to evaluate that the amount due and payable is proper, and such billing shall specifically contain the City's account number indicated on Exhibit A, Paragraph 17(C) to be chazged upon making such payment. 3. Exclusions. In determining the amount of the compensation City will exclude any cost: 1) incurred prior to the effective date of this Ageement; or 2) arising out of or related to the errors, omissions, negligence or acts of willful misconduct of the Consultant, its agents, employees, or subcontractors. a. Errors and Omirsions. In the event that the City Administrator determines that the Consultant's negligence, errors, or omissions in the performance of work under this Agreement has resulted in expense to City greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City. Nothing in this TxroPartyAgceemru/BeMrex Ciq~ojChu/n /Z'MaudNlcAoLr Caarvaui~Eagineo; Gild. m ConGuci/He'Pauenral7eaiaquadAfaaaPemealSavicer" Page 7 4-33 paragraph is intended to limit City's rights under other provisions of this Agreement. 4. Payment Not Final Approval. The Consultant understands and agrees that payment to the Consultant for any Project cost does not constitute a City final decision about whether that cost is allowable and eligible for payment under the Project and does not constitute a waiver of any violation of Consultant of the terms of the Agreement. The Consultant acknowledges-that City will not make a final determination about the eligibility of any cost until the final payment has been made on the Project or the results of an audit of the Project requested by the City has been completed, whichever occurs latest. If City determines that the Consultant is not entitled to receive any portion of the compensation due or paid, City will notify the Consultant in writing, stating its reasons. The Consultant agrees that Project closeout will not alter the Consultant's responsibility to return any funds due City as a result of later refunds, corrections, or other similar transactions; nor will Project closeout alter the right of City to disallow costs and recover funds provided for the Project on the basis of a later audit or other review. a. Consultants Obligation to Pay. Upon notification to the Consultant that specific amounts are owed to City, whether for excess payments or disallowed costs, the Consultant agrees to remit to City promptly the amounts owed, including applicable interest. ARTICLE III. ETHICS A. Financial Interests of Consultant Consultant is Designated as an FPPC Filer. If Consultant is designated on Exhibit A, Pazagraph 14, as an "FPPC filer," Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 14 of Exhibit A, or if none are specified, then as determined by the City Attorney. 2. No Participation in Decision. Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. Search to Determine Economic Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant wan•ants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the tens is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this Agreement. TwnPartyAgirerxalBemrea City afChalalumaadNchatr Cansa/riaq£agineerr, Cb/d /a CandacrUit Pav~mrn/TerfuegendMaaaBemralSmicet" Page 8 4-34 4. Promise Not to Acouire Conflictine Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Prnctices Act. 5. Dutv to Advise of Conflictine Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney if Consultant learns of an economic interest of Consultant's that may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder. 6. Specific Wazranties Aeainst Economic Interests. Consultant warrants, represents and agrees that: a. Neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents (Consultant Associates) presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defined Services, (Prohibited Interest), other than as listed in Exhibit A, Paragraph 14. b. No promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for twelve months thereafter. c. Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for twelve months after the expiration of this Agreement, except with the written permission of City. d. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party that may be in conflict with Consultant's responsibilities under this Agreement, except with the written permission of City. IV. LIQUIDATED DAMAGES A. Application of Section. The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 13. 1. Estimative Damages. It is acknowledged by both parties that time is of the essence in the completion of this Agreement. It is difficult to estimate the amount of damages resulting from delay in performance. The parties have used theirjudgment to arrive at a reasonable amount to compensate for delay. 7k~ ParryABreemrn/Bebveen City ajChu/a f~/e ondNrehnlr CansnGin~E'agineerr, Chld m COnduRlhe ^Pove~nl TerrinBandA~anngrns^nlServicer" Page 9 4-35 2. Amount of Penalty. Failure to complete the Defined Services within the allotted time period specified in this Ageement shall result in the following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the Consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragaph 13 (Liquidated Damages Rate). Request for Extension of Time. If the performance of any act required of Consultant is directly prevented or delayed by reason of strikes, lockouts, labor disputes, unusual governmental delays, acts of God, fire, floods, epidemics, freight embargoes, or other causes beyond the reasonable control of the Consultant, as determined by the City, Consultant shall be excused from performing that act for the period of time equal to the period of time of the prevention or delay. In the event Consultant claims the existence of such a delay, the Consultant shall notify the City's Contract AdminisVator, or designee, in writing of that fact within ten calendar days after the beginning of any such claimed delay. Extensions of time will not be ganted for delays to minor portions of work unless it can be shown that such delays did or will delay the progess of the work. ARTICLE V. INDEMNIFICATION A. Defense, Indemnity, and Hold Harmless. General Requirement. Except for liability for Design Professional Services covered under Article V., Section A.2., Consultant shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers, agents and employees, from and against any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts, omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and contractors, azising out of or in connection with the performance of the Defined Services or this Ageement. This indemnity provision does not include any claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence, active negligence or willful misconduct of the City, its officers, employees. Also covered is liability azising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party. 2. Design Professional Services. If Consultant provides design professional services, as defined by California Civil Code section 2782.5, as may be amended from time to time, Consultant shall defend, indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or relating to the negligence, recklessness, or willful misconduct of Consultant, its officials, officers, employees, agents, consultants, and contractors azising out of or in connection with the Page 10 TwvPa~ryAgreeirenlBenveen C!y ofGrulo /2rleandN%ebob Conrn/lln~Englner~; CbM. !a CondaciHie 'POremrnl Teeing aadd6lanademenlServlcer" 4-36 performance of Consultant's services. Consultant's duty to defend, indemnify, and hold harmless shall not include any claims or liabilities arising from the sole negligence, active negligence or willful misconduct of the City, its agents, officers or employees. This section in no way alters, affects or modifies the Consultant's obligations and duties under this Agreement. 3. Costs of Defense and Awazd. Included in the obligations in Sections A.1 and A.2, above, is the Consultant's obligation to defend, at Consultant's own cost, expense and risk, any and all suits, actions or other legal proceedings, that may be brought or instituted against the City, its directors, officials, officers, employees, agents and/or volunteers, subject to the limitations in Sections A.1. and A.2. Consultant shall pay and satisfy any judgment, awazd or decree that may be rendered against City or its directors, officials, officers, employees, agents and/or volunteers, for any acid all related legal expenses and costs incurred by each of them in proportion to the Consultant's actual determined negligence, subject to the limitations in Sections A.1. and A.2. 4. Insurance Proceeds. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials, officers, employees, agents, and/or volunteers. 5. Declarations. Consultant's obligations under Article V shall not be limited by any prior or subsequent declaration by the Consultant. 6. Enforcement Costs. Consultant agrees to pay any and alt costs City incurs enforcing the indemnity and defense provisions set forth in Article V. 7. Survival. Consultant's obligations under Article V shall survive the termination of this Agreement. ARTICLE VI. TERMINATION OF AGREEMENT A. Termination for Cause. [f, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consultant's obligations under this Agreement, or if Consultant shall violate any of the covenants, agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all finished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepazed by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation, in an amount not to exceed that payable under this Agreement and less any damages caused City by Consultant's breach, for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination,. B. Termination of Agreement for Convenience of City. City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the TiwPortyAgreemrelBelween Cfry ajCka/a !'lrmaiMNirAoLr Conra/lingEngrneert5 Ch/d /a Conda<!!be Pave~nlTerlingaadAla~BemrnlSuvlco" Page 11 4-37 effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreement is terminated by City as provided in this paragraph, Consultant shall be entitled to receive just and equitable compensation, in an amount not to exceed that payable under this Agreement, for any satisfactory work completed on such documents and other materials to the effective date of such termination. Consultant hereby expressly waives any and al] claims for damages or compensation arising under this Agreement except as set forth in this section. ARTICLE VII. RECORD RETENTION AND ACCESS A. Record Retention. During the course of the Project and for three (3) yeazs following completion, the Consultant agrees and to maintain, intact and readily accessible, all data, documents, reports, records, contracts, and supporting materials relating to the Project as City may require. B. Access to Records of Consultant and Subcontractors. The Consultant agrees to permit, and require its subcontractors to permit City or its authorized representatives, upon request, to inspect all Project work, materials, payrolls, and other data, and to audit the books, records, and accounts of the Contractor and its subcontractors pertaining to the Project. C. Project Closeout. The Consultant agrees that Project closeout does not alter the reporting and record retention requirements of this Agreement. ARTICLE VIII. PROJECT COMPLETION, AUDIT, AND CLOSEOUT A. Project Completion. Within ninety (90) calendar days following Project completion or termination by City, Consultant agrees to submit a final certification of Project expenses and audit reports, as applicable. B. Audit of Consultants. Consultant agrees to perform financial and compliance audits the City may require. The Consultant also agrees to obtain any other audits required by City. Consultant agrees that Project closeout will not alter Consultant's audit responsibilities. Audit costs are allowable Project costs. C. Project Closeout. Project closeout occurs when City notifies the Consultant that City has closed the Project, and either forwards the final payment or acknowledges that the Consultant has remitted the proper refund. The Consultant agrees that Project closeout by City does not invalidate any continuing requirements imposed by the Agreement or any unmet requirements set forth in a written notification from City ARTICLE IX. MISCELLANEOUS PROVISIONS A. Assignability. The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or notation), without prior written consent of City. Page 12 Two PaityAgrcemenlBelween Ciry njCbu/n lQrm ouANieboLr Cnarul2vB EA~ineer; ChH ro CaududtAe'Farearn/Terdn~endMnnaBemenlServicu" 4-38 1. Limited Consent. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 16 to the subconsultants identified as "Permitted Subconsultants." B. Ownership, Publication, Reproduction and Use of Material. All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials of properties produced under this Agreement shall be the sole and exclusive property of City. No such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City. City shall have unrestricted authority to publish, disclose (except as may be Limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such reports, studies, data, statistics, forms or other materials or properties produced under this Agreement C. Independent Contractor. City is interested only in the results obtained and Consultant shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products. Consultant and any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, independent contractors and shall not be deemed to be employees of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Therefore, City will not withhold state or federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regazd to them. 1. Actions on Behalf of Ciri. Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever, as an agent or otherwise. Consultant shall have no authority, express or implied, to bind City or its members, agents, or employees, to any obligation whatsoever, unless expressly provided in this Agreement. 2. No Obligations to Third Parties. In connection with the Project, Consultant agrees and shall require that it's agents, employees, subcontractors agree that City shall not be responsible for any obligations or liabilities to any third party, including its agents, employees, subcontractors, or other person or entity that is not a party to this Agreement. Notwithstanding that City may have concurred in or approved any solicitation, subagreement, or third party contract at any tier, City shall have no obligation or liability to any person or entity not a party to this Ageement. D. Administrative Claims Requirements and Procedures. No suit or azbitration shall be brought arising out of this Agreement, against City unless a claim has first been presented in writing and filed with City and acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be TivoPar/yABreenrnlBearea Crry ofCYro/a!2'niandNJCboU Canra/lindEnginreit, Chld to Conducldre PavemealTe~YinEnndMa~gexnlServkrs" Page 13 4-39 amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by City in the implementation of same. Upon request by City, Consultant shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement. E. Administration of Contract. Each party designates the individuals (Contract Administrators) indicated on Exhibit A, Paragraph 12, as that party's contract administrator who is authorized by the party to represent it in the routine administration of this Agreement. F. Term. This Agreement shall terminate when the parties have complied with all executory provisions hereof. G. Attorney's Fees. Should a dispute azising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorneys' fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. H. Statement of Costs. In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in the report or document, a statement of the numbers and cost in dollar amounts of all contracts and subcontracts relating to the preparation of the report or document. I. Consultant is Real Estate Broker and/or Salesman. If the box on Exhibit A, Paragaph 15 is mazked, the Consultant and/or is principals is/are licensed with the State of California or some other state as a real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor its principals are licensed real estate brokers or salespersons. J. Notices. All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified in this Agreement as the places of business for each of the designated parties. K. Integration. This Agreement, together with any other written document referred to or contemplated in it, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision of it may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. L. Capacity of Parties. Each signatory and party to this Ageement warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all necessary resolutions or other actions have been taken so as to enable it to enter into this Agreement. Page 14 TiiaPartyA~eenniBeMren C-tyajCbu/a l4rMandNichod Canrn/linBEnBineu; Cbtd /a Candac//he TavemrnlTeAwgandAfonagemrnl9mvicet° 4-40 M. Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance under it, shall be the City of Chula Vista. (End of page. Next page is signature page.) Two Parry ABieeiren/6eMeen City ojCJu/a NU/aa~Mebolr Canm!/ingEnB/veer; C.f/d /a Caadao!!he Tavemen/Terringaadtla~uirn/Seroicer" Page 15 4-41 Signature Page to Agreement between Ciry of Chula Vista and Nichols Consulting Engineers, Chtd. To Provide Pavement Testing and Management Services IN WITNESS WHEREOF, City and Consultant have executed this Agreement, indicating that they have read and understood same, and indicate their full and complete consent to its temts: Dated: 5"`Q~~ ~ City of Chula Vista By: _ Suza Brooks Sr. Procurement Specialist Attest: ~~-~-- o Donna Norris, Ci y Clerk Mazgot Yapp, P.E. Vice-President Exhibit List to Agreement (X) Exhibit A. TivoPn~lyAgree~nlBeMren CityajGSn/a lii/aandNi<6otr ConruGingEngineee% Chld /o Condn</tbe'Fovenrnl TerlingnndAfairogennlSen~icer° Page 16 4-42 Exhibit A to Agreement between City of Chula Vista and Nichols Consulting Engineers, Chtd. 1. Effective Date of Agreement: Date last executed by parties 2. City-Related Entity: (X)City of Chula Vista, a municipal chartered corporation of the State of California ()Redevelopment Agency of the City of Chula Vista, a political subdivision of the State of California ()Industrial Development Authority of the City of Chula Vista, a ()Other: , a [insert business form] (City) 3. Place of Business for City: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 4. Consultant: Nichols Consulting Engineers, Chtd. 5. Business Forrn of Consultant: ( )Sole Proprietorship ( )Partnership ( X) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 501 Canal Blvd., Suite `I' Richmond, CA 94804 Phone: (510)215-3620 FAX: (510) 215-2898 7. General Duties: TiroParlyAgreernrn/BeMren City ojCha/a luYaandNieho4 Coara/riadEnBlneerF Ch/d /o Condac!/k< TavemenlTettin~aadMana~emrnl9erviccr" Page 17 4-43 The Consultant shall provide Pavement Testing and Management Services. This shall include reviewing and updating the City's public street network, visually inspecting and rating each public street segment using Streetsaver softwaze, providing field inspection and sofrware training for City staff, and preparing a Quality Control/ Quality Assurance Plan. 8. Scope of Work and Schedule: A. Detailed Scope of Work: The Consultant shall furnish all services as required to collect the pavement condition data for the City's Pavement Management System. Such services shall, at a minimum, include the following: 1. Data Collection and Field Services Review and update the inventory of the entire public street system, where necessary. The existing inventory was created in 2006. There is a current total of 2843 street segments in the database. The inventory must include the street name, street segment limits, lengths, widths, areas, surface types, functional classification, and date of construction. The segment attributes shall be identical with those of the StreetSaver database. This inventory will be based on available information provided by the City. The surface condition/distress must be visually inspected and rated for each segment for both asphalt concrete and Portland cement concrete pavements. Segment boundaries shall be defined by the City and shall be identical with the City's GIS system's segments. The City shall have the right to approve or reject the field survey personnel assigtted by the Consultant to perform the visual data collection. All surveys shall be walking visual surveys and must collect as a minimum, but not limited to, the following distresses: for asphalt concrete pavement: ^ alligator cracking ^ block cracking ^ longitudinal and transverse cracking ^ distortions ^ rutting & depressions ^ patching and utility trenches ^ weathering ^ raveling for Portland cement concrete pavement: ^ comer breaks ^ shattered/divided slabs ^ faulting ^ linear cracking ^ patching & utility trenches Page l8 TwPoctyABieexnlBdwren City ojGu/n l~ermonCNiehoU CaurvdingBnginee~ Ch/d m Canducldie PavemrnlTeiringa~Mvmr~emrn/Servicer"' 4-44 ^ scaling/map cracking ^ spalling 2. Review of Treatment Methodologies In the past, the City's street rehabilitation progams have been generally broken down into slurry/chip sealing progams and overlay/reconstruction progams. The City is currently implementing and/or considering the implementation of several additional treatments, including fog seals, double seals and various reclamation techniques. The Consultant shall advise the City on the inclusion of these treatments, as well as other proven maintenance and reconstruction methods, in the Pavement Management System (PMS), including "Cool Pavement" methodologies appropriate for use as maintenance/ rehabilitation methods for public streets. Each segment that might benefit from rehabilitation during afive- yeaz period shall include a recommendation on the best methodology based on a list of methodologies accepted by the City with the input of Consultant. 3. Pavement Management Software The Consultant shall utilize the City's existing pavement management system software, which is the on-line version of StreetSaver. The curzent version of the software used by the City is Version 9.0. If an updated version of the software is available prior to completion of the inspection process, the updated version shall be used. The Consultant shall input results of the inspections into the StreetSaver database using existing street segment parameters. The geogaphic pazameters of each existing segment shall match exactly. 4. Trainin A total of three days of formal training shall be provided. a. A two-day training course shall be provided this summer for City staff that will include both field and of£ce training in the visual collection of data and interpretation of pavement distress and condition. This is expected to include pavement distress chazacterization, determining degree of distress severity, selection of sample sections and field training in the use of handheld data collection devices. The course shall be conducted by an instructor of the City's choice. Additionally, during the inspection process, up to six City staff members participating in this training process will go into the field to perform inspections parallel to the Consultant's inspectors. Consultant may be asked to do a quality control check on the City stafYs inspections. b. The Consultant shall also provide aone-day on-site training session for City staff in the operation of the most recent available version of StreetSaver software. The City will provide a training facility with sufficient computers for all participants. Training shall be hands-on, using actual pavement data for the City. It shall include, but not be limited to, TwaParN,AgreearalBeluren Ciry~ojCha/a !Z'rocxdMc6oLr ConmkiagEngiaeem. CNld !o Condac!!he'Pm~emealTeALrg ondNaaagemalServicer" Page 19 4-45 entering and editing data, sorting, copying, exporting, importing, manipulating and querying data, and generating various reports. c. The Consultant shall also provide two functional handheld data collection devices equivalent to those used by Consultant to record and then download all information and data collected on pavement distresses and condition ratings to the StreetSaver database. All softwaze and data required for operation shall be preloaded. 5. Oualiri Control/Ouality Assurance Plan Consultant shall prepare a Quality Control/Quality Assurance Plan to insure the consistency and accuracy of the pavement inspection process. This plan shall be appropriate for use by both Nichols personnel and City staff. This shall include: a. Description of condition survey procedures, including selection of sample units and unique conditions. b. How data will be collected c. Accuracy required for data collection or acceptability criteria d. Description of how data will be checked for accuracy. The selected sections shall be representative of the City's network, including: ^ All functional classes ^ All surface types ^ Entire range of pavement conditions ^ All significant changes in PCI ^ All inspectors ^ Different geographical areas e. Field data collection safety procedures f. Schedule for when data will be submitted g. Experience of inspectors, including past training on condition surveys or calibration procedures. 6. Additional Services At the City's option, Consultant shall perform other services to be defined by the City. This may include a re-inspection of selected streets two to three years aRer completion of the Citywide inspection, quality control/ assurance on inspection work performed by City staff or other work related to pavement management. B. Date for Commencement of Consultant Services: (X)Same as Effective Date of Agreement ( )Other: C. Dates or Time Limits for Delivery of Deliverables: Deliverable No. 1: Provide Memorandum to City summarizing the results of the kickoff meeting within 14 calendar days of the meeting date. Page 20 TirmPortyA~rerixn/BeMrea Clry o/Cbu/a /~@lnaadNlchab Conrvdi~6aglaeer; Chl6 !a Coadanlbe 'ParemalTeAingandManogarxalServleu" 4-46 Deliverable No. 2: Provide a draft Quality Control! Quality Assurance Plan to the City within 30 calendaz days from Effective Date of Agreement. Deliverable No. 3: Provide Memorandum to City on evaluation, recommendation and selection of maintenance and rehabilitation strategies within 45 calendar days from Effective Date of Agreement. Deliverable No. 4: Provide two (2) copies of the Inspection Units Report and two (2) preloaded handheld computers, either Data Wrangler or Mobile Rater at the City's option Deliverable No. 5: Six copies of the StreetSaver training manual and six Distress Identification Manuals D. Date for completion of all Consultant services included in Section 8 A. Items #1 thrdugh #5: Fifty two (52) weeks from commencement of Consultant Services. This does not pertain to additional services discussed in Section SA6. Such additional services shall be completed by June 30, 2015. 9. Materials Required to be Supplied by City to Consultant: 10. Compensation: A. (X) Single Fixed Fee Arrangement For performance of all of the Defined Services by Consultant as herein required, City shall pay a single fixed fee in the amounts and at the times or milestones or for the Deliverables set forth below: Single Fixed Fee Amount $159.500 ,payable as follows: Milestone or Event or Deliverable Amount or Percent of Fixed Fee Task A: Kickoff Meeting $2,200 Task B: QC/QA Plan $3,000 Task C: Condition Surveys $131,400 Task D: M&R Treatments $4,400 Task E: Training $12,000 Task F: inspection Units Report and Handheld Computers $6,500 (X)1. Interim Monthly Advances. The City shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at the end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans that must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive credit against the compensation due for that phase. The retention amount or percentage set Two Party AgrceixnlBe/uxrn City ofChu/a!'trroandArchoLr Co2rv/irngEnBimrr, Chld /o Condur!!he ' ~e vem rn! Te. ainy and Afoaagernen19ervice. r " Page 21 4-47 forth in Paragraph 19 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase. Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the Contracts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Consultant shall have represented in writing that said percentage of completion of the phase has been performed by the Consultant. The practice of making interim monthly advances shall not convert this agreement to a time and materials basis of payment. B. ()Phased Fixed Fee Arrangement. For the performance of each phase or portion ofthe Defined Services by Consultant as are separately identified below, City shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones or Deliverables set forth. Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless City shall have issued a notice to proceed to Consultant as to said Phase. Phase 1. 2. 3. Fee for Said Phase 1. Interim Monthly Advances. The City shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at the end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans that must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive credit against the compensation due for that phase. The retention amount or percentage set forth in Paragraph 18 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase. Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the Contracts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Consultant shall have represented in writing that said percentage of completion of the phase has been performed by the Consultant. The practice of making interim monthly advances shall not convert this agreement to a time and materials basis of payment. C. (X) Hourly Rate Arrangement Page 22 Twv ParryAgreexnlBenaren Ctry~ajCbu/olZla nndNirhob Canrv/2igEnBineer; ChN /a Canduef/Ae'Pavemrn/TudnBandA/anngmrn~Servicer" 4-48 Far performance of Additional Services not included in the Defined Services by Consultant as requested in writing by the City, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule herein below according to the following temps and conditions. Said Additional Services are at the option of the City and shall be limited to a maximum of $50,000. (1) ()Not-to-Exceed Limitation on Time and Materials Arrangement Notwithstanding the expenditure by Consultant of time and materials in excess of said Maximum Compensation amount, Consultant agrees that Consultant will perform all of the Defined Services herein required of Consultant for $ including all Materials, and other "reimbursables" (Maximum Compensation). (2) (X)Limitation without Further Authorization on Time and Materials Arrangement At such time as Consultant shall have incurred time and materials equal to $ 50.000 (Authorization Limit), Consultant shall not be entitled to any additional compensation without further authorization issued in writing and approved by the City. Nothing herein shall preclude Consultant from providing additional Services at Consultants own cost and expense. See below for rate schedule per calendar year. Rate Schedule Category of Employee of Consultant Name Hourly Rate 2011 2012 2013 2014 2015 Project Manaeer Mar¢ot Yapp X210 $214 $218 $223 $227 Technician Various $75 $76 50 $78 $80 $81 Clerical Various 65 66.30 $67.60 69 70.35 ( )Hourly rates may increase by 6% for services rendered afrer [month], 20~ if delay in providing services is caused by City. 11. Materials Reimbursement An•angement For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: ( X) None, the compensation includes all costs, excepting Travel Costs incurred in the course of providing additional services. Such expenditures shall be reimbursed at cost. Cost or Rate () Reports, not to exceed $ $ () Copies, not to exceed $ $ Page 23 TirroPe~yilBreemr~/Be/xre~Gy ojC,frula F"u/aoxdNiehab CoarvhLrgEnBinm~.5 C.Y/d !o Condue!!6e 'Pm emrmlTenrnq andAfaiagmieal.Servleu" 4-49 () Travel, not to exceed $ $ () Printing, not to exceed $ $ () Postage, not to exceed $ $ () Delivery, not to exceed $ $ O Outside Services: $ O Other Actual Identifiable Direct Costs: $ . ,not to exceed $ $ ,not to exceed $ $ 12. Contract Administrators: City: Elizabeth Chopp, P.E. Senior Civil Engineer Consultant: Margot Yapp, P.E. Vice President Nichols Consulting Engineers 13. Liquidated Damages Rate: N/A () $- ()Other: per day. 14. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code (Chula Vista Municipal Code chapter 2.02): (X)Not Applicable. Not an FPPC Filer. O FPPC Filer ()Category No. 1. Investments, sources of income and business interests ()Category No. 2. Interests in real property. ()Category No. 3. Investments, business positions, interests in real property, and sources of income subject to the regulatory, permit or licensing authority of the department administering this Agreement. OCategory No. 4. Investments and business positions in business entities and sources of income that engage in land development, construction or the acquisition or sale of real property. ()Category No. 5. Investments and business positions in business entities and sources of income that, within the past two yeazs, have contracted with the City of Chula Page 24 TwoPaeryAgrrexnlBemun City ojCFuia YalnnndNlcho/r Co2rnld~Enginm; Chid A~Condnc!!be "PavemrnlTeAingandManagexnlServieer" 4-50 Vista or the City's Redevelopment Agency to provide services, supplies, materials, machinery or equipment. ()Category No. 6. Investments and business positions in business entities and sources of income that, within the past two years, have contracted with the department administering this Agreement to provide services, supplies, materials, machinery or equipment. ()List Consultant Associates interests in real property within 2 radial miles of Project Property, if any: 15. ()Consultant is Real Estate Broker and/or Salesman 16. Permitted Subconsultants: Dr. Roger Smith 17. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly ( )Quarterly ( )Other: B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month () 15th Day of each Month (X) End of the Month ()Other: C. City's Account Number: To be assigned 18. Security for Performance ()Performance Bond, $ Page 25 TivoPorlyAgrerrrrnlBetaren City ajCbula !<danndNieba6 ConraGingEnBrneer; C/rld m Candac!!he'TavememTerYirrgam'ManagcmenlServicer" 4-51 () Letter of Credit, $ OOther Security: Type: Amount: $ ( X) Retention. If this space is checked, then notwithstanding other provisions to the contrary requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option, either the following "Retention Percentage" or "Retention Amount" untit the City determines that the Retention Release Event, listed below, has occurred: (X) Retention Percentage: 10 ( )Retention Amount: $ Retention Release Event: ( X) Completion of All Consultant Services (excepting Section 8 A Item #6) ( )Other: Page 26 Txo PaetyAg<e«a eniBenvren Ciy nfClru/a /4rm cndNicbo6 Coicrv/linTEnginre<; CbK ro Conduelshe "PavemenlTeVwq andAJnaagemrnlS<rvic<r" 4-52 ~XFil~l'T,_,L® AGREEMENT TO JOINTLY DELIVER THE 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY. AND CONSERVATION PARTNERSHH' PROGRAM BETWEEN CITY OF CHULA VISTA and SAN DIEGO GAS & ELECTRIC COMPANY Dated: December 15, 2009 This program is fended by California utility customers under the auspices of the California Public Utilities Commission. 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-53 THIS AGREEMENT TO JOINTLY DELIVER THE 2010-2012 CITY OF CHUI,A VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP PROGRAM (the "Agreement") is effective as of 7anuary 1, 2010 ("Effective Date") by and among SAN DIEGO GA5 & ELECTRIC COMPANY ("SDG&E"), and THE CITY OF CHULA VISTA ("City"). SDG&E and City may be referred to herein individually as a "Party" and collectively as the "Parties." RECITALS WHEREAS, on October 1, 2009 the California Public Utilifies Commission (the "Commission's in 09-09-047 in A.08-07-021 et al authorized certain energy efficiency programs to be delivered to California utility customers for the yeazs ZO10 through 2012 and the continuation of programs where local governmental entities partnered with utilities to deliver energy efficiency information and education to utility customers; WHEREAS, SDG&E submitted applications for the implementation of energy efficiency programs which included the 2010-2012 City of Chula Vista Energy Efficiency and Conservation Partnership Program (hereinafter referred to as the "Program"), involving the delivery of energy efficiency funding, incentives, information, training and materials to City, its residents, developers, and South Bay cities in SDG&E's service territory; WHEREAS, the Parties desire to enter into an agreement that supersedes all previous agreements, if any, and sets forth the terms and conditions under which the Program for the 2010 through 2012 program yeazs shall be implemented; NOW THEREFORE, for valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows: 1. DEFINITIONS 1.1. Agreement: This document and all exhibits attached hereto and incorporated herein, and as amended from time to time. L2. ALJ: The Administrative Law Judge assigned to the Commission's Energy Efficiency Rulemaking (R.O1-08-028) or its successor proceeding. 1.3. Amendment: A future document executed by the authorized representatives of all Parties which changes or modifres the terms of this Agreement. 1.4. Authorized Budget: The Commission-approved total for performance of the Authorized Work is $4,088,991 as set forth in the Scope of Work. L5. Business Day: The period from one midnight to the following midnight, excluding Saturdays, Sundays, and holidays. 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-54 1.6. Calendar Day: The period from one midnight to the following midnight, including Saturdays, Sundays, and holidays. Unless otherwise specified, all days in this Agreement are Calendar Days. 1.7. Scope of Work: The Parties' Scope of Work for implementing the Program in SDG&E's service temtory is attached hereto and incorporated herein as Exhibit A. 1.8. Contractor: An entity contracting directly or indirectly with a Party, or any subcontractor thereof subcontracting with such Contractor, to furnish services or materials as part of or directly related to such Party's Authorized Work obligations. City's Contractors shall be selected from SDG&E's approved list, where applicable, and shall not include City's contract staff labor for the Program. 1.9. Cost Categories: Items defined by the Commission's Reporting Requirements Manual. The cost categories relevant to this Program are noted in the Scope of Work. 1.10. Eligible Customers or Customers: Customers eligible for Program services are SDG&E customers. 1.11. Energy Efficiency Measure (or Measure): As used in the Commission's Energy Efficiency Policy Manual, Version 3, August 2005. 1.12. EM&V: Evaluation, Measurement and Verification of the Program pursuant to Commission requirements. 1.13. Gas Surchazge: The funds collected from gas utility ratepayers pursuant to Section 890 et al. of the California Public Utilities Code for public purposes programs, including energy efficiency programs approved by the Commission. 1.14. Program Expenditures: Actual (i.e., no mark-up for profit, administrative or other indirect costs), reasonable expenditures that aze duectly identifiable to and required for the Authorized Work, up to the amounts budgeted in the Concept Paper's budget worksheets for such Authorized Work. 1.15. Public Goods Charge (PGC): The funds collected from electric utility ratepayers pursuant to Section 381 of the California Public Utilities Code for public purposes programs, including energy efficiency programs approved by the Commission. In addition, all terms used in the singular will be deemed to include the plural, and vice versa. The words "herein," "hereto," and "hereunder" and words of similar import refer to this Agreement as a whole, including all exhibits or other attachments to this Agreement, as the same may from time to time be amended or supplemented, and not to any particular subdivision contained in this Agreement, except as the context cleazly requires otherwise. "includes" or 3 2010-2012 CITY OF CHUI.A VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-55 "including" when used herein is not intended to be exclusive, or to limit the generality of the preceding words, and means "including without limitation." The word "or" is not exclusive. 2. PURPOSE The Program is funded by California utility ratepayers and is administered by SDG&E under the auspices of the Commission. The purpose of this Agreement is to set forth the terms and conditions under which the Parties will jointly implement the Program. The work authorized pursuant to this Agreement is not to be performed for profit. This Agreement is not intended to and does not form any "partnership" within the meaning of the California Uniform Partnership Act of 1994 or otherwise. 3. PROGRAM DESCRIPTION The 2010-2012 SDG&E/China Vista Energy Efficiency Partnership's goat is to create innovafive approaches to improving community and municipal energy efficiency and achieving both direct and indirect energy savings. The Partnership will combine and leverage the resources of four City departments to deliver cost-effective, holistic opportunities for promoting energy efficiency within the community. The program components include municipal facility efficiency improvements, strengthened building energy codes and inspections, energy-saving redevelopment planning and design and community-based energy conservation educaflon and facility assessments. The program will mainly serve City of Chula Vista residents and businesses estimated at 225,000 and 13,000, respectively. It is also anficipated that the SDG&E/China Vista Partnership may partially serve neighboring communities and further act as a program model for other South Bay cities' future involvement in SDG&E Energy Efficiency Partnerships. 4. AUTHORIZED WORK 4.1. Sco e. The work authorized by the Commission for the Program ("Authorized Work") is set forth in this Agreement and in the Scope of Work for the service territory of SDG&E and shall be performed by the Parties pursuant to the terms of this Agreement. 4.2. Objectives. Major objectives for the Program are as follows: Community Energy Eff ciency The Conservation & Environmental Services Department will continue to promote energy efficiency and conservation in the community through its business/residential energy evaluaflon program and participation in community outreach events. Staff will use the on-site evaluations and events to distribute energy-saving devices such as Compact Fluorescent Lamps, LED holiday lights, indoor water savings kits, and "smart" power strips to help the community reduce their energy use and utility costs. Staff will also integrate the new Home 4 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-56 Upgrade, Carbon Downgrade program, which provides streamlined permitting contracting, and financing for energy efficiency retrofits, into Partnership activities. Finally, the Conservation & Environmental Services Department will assist neighboring South Bay communities in developing their own energy and climate-related programs helping to reduce regional energy demand and improve local air quality. Sustainable Communities The Sustainable Communities Program, which is administered by the Development Services Department, will work to further integrate energy efficiency into the planning, pemutting, and inspection process. Program staff will provide technical support to permit applicants, contractors, and developers on energy efficiency measures and will train permit counter technicians, plans examiners, and building inspectors on advanced energy technologies. Finally, the program will verify compliance with Chula Vista's new green building standazds (including enhanced energy efficiency requirements) and may develop a voluntary, incenfivized option for project proponents interested in efficiency levels beyond the new State codes and related City ordinances. Energy-Efficient Economic Developmentlnitiative The City's Economic Development Division will demonstrate how energy- efficient and renewable energy technologies and energy conservation can be cost- effectively integrated into lazge-scale development projects to reduce energy consumpflon and greenhouse gas emissions. The initiative will expand upon and leverage current work by the National Energy Center for Sustainable Communities through additional reseazch, demonstration, and technical assistance projects that will enable developers and builders to design and construct high- efficiency and zero-net-energy projects at "Greenfield" and "Brownfield" sites throughout the City. Municipal Energy Efficiency Improvements The program, which is administered by Public Works with assistance from the Conservatlon & Environmental Services Department, will support staff time to expand the City's energy management efforts by identifying and implemenflng energy efficiency and demand response strategies which lower municipal energy consumption and produce cost savings. 5. OBLIGATIONS OF THE PARTIES 5.1. Generally. Each Party shall perform its Authorized Work obligations within the Authorized Budget in conformance with the deliverables, schedules (including the Milestone Schedule) and the budgets associated with such Authorized Work as set forth in this Agreement and the Concept Paper, and shall furnish the required labor, equipment 5 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-57 and material with the degree of skill and care that is required by current professional standards. 5.2. Additional Obligations of City. 5.2.1. City shall obtain the approval of SDG&E when developing Program mazketing materials prior to any distribution, publication, circulation or dissemination in any way to the public. In addition, all advertising, marketing or otherwise printed or reproduced material used to implement, refer to or is in any way related to the Program must contain the following language: "This program is funded by California utility ratepayers and administered by San Diego Gas & Electric Company, under the auspices of the California Public Utilities Commission." 5.2.2. City will communicate regulazly with the program representative of SDG&E, and shall advise SDG&E of any problems or delay associated with City's Authorized Work obligations. 5.3. Additional Obligations of SDG&E. 5.3.1. SDG&E will be actively involved in all aspects of Program delivery. SDG&E will use its best efforts to add value to the Program by dedicating the human resources necessary to implement the Program successfully and providing in-kind services support for the Program's mazketing and outreach activities. 5.3.2. SDG&E shall provide, at no cost to the Program, informational and educational materials on SDG&E's statewide and local energy efficiency programs to City to enable City to implement the Program. 5.3.3. SDG&E shall provide a program representative on a part-time basis, who will be the point of contact between City and SDG&E for the Program. 5.4. EM&V. Once the Commission has approved and issued an evaluation, measurement and verification (`BM&V") plan for the Program, such EM&V plan shall be attached to this Agreement as Exhibit B and shall be incorporated herein by this reference. Any subsequent changes or modifications to such EM&V plan by the Commission shall be automatically incorporated into Exhibit B. 6. ADMINISTRATION OF PROGRAM 6.1. Decision-making and Approval. 6.1.1. The following actions and tasks require unanimous consent of the Parties: 6 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-58 a. Any action that materially deviates from the Scope of Work. b. Any action that materially impacts the Scope of Work's schedule or the Program. c. Any action that materially impacts the Program's budget set forth in the Scope of Work. d. Selection of any Contractor not previously approved by SDG&E. 6.1.2. Unless otherwise specified in this Agreement, the Parties shall document all material Program decisions, including, without limitation, all actions specified in Section 6.1.1 above, in meefing minutes or if taken outside a meeting, through written communication, which shall be maintained in hazd copy form on file by the Parties for a period of no less than ten (10) years after the expiration or termination of this Agreement. 6.2. ReQUIaz Meetings. During the Term of this Agreement, the Parties shall meet on a regular basis, which shall occur no less than quarterly, at a location reasonably agreed upon by the Parties, and shall engage in routine weekly communication to review the status of the Program's deliverables, schedules and the budgets, and plan for upcoming Program implementation activities. Any decision-making shall be reached and documented in accordance with the requirements of Section 6.1.2 above. 6.3. Coordinating the Program Acfivities. Each Party shall be responsible for (i) coordinating the implementation of its Authorized Work obligations with the other Party, and (ii) monitoring the overall progress of the Authorized Work, to ensure that the Program remains on target, (including achieving the Program's energy savings and demand reduction goals), on schedule (including pursuant to the milestone schedule set forth in Exhibit D ("Milestone Schedule"), and meets all reporting and other filing requirements. 6.4. Regular Communication. The Parties agree to communicate regulazly with the other Parties and to advise the other Parties of any problems associated with successful implementation of the Program. 6.5. Coordinating with Other Energy Efficiency Pro rams. As applicable, SDG&E shall coordinate with other existing or selected programs (including programs targeting low-income customers) to enhance consistency in incentives and other Program details, minimize duplicative administrative costs and enhance the possibility that programs can be marketed together to avoid duplicative mazketing expenditures. All Parties will coordinate with other energy programs to maximize customer satisfaction and energy savings. 6.6. Non-Responsibility for Other Parties. Notwithstanding anything contained in this Agreement in the contrary, a Party shall not be responsible for the performance or non- 7 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-59 performance hereunder of any other Party, nor be obligated to remedy any other Party's defaults or defective performance. 7. DOUBLE DIPPING PROHIBITED. In performing its respective Authorized Work obligations, a Party shall implement the following mechanism and shall take other practicable steps to minimize double-dipping: 7.1. Prior to providing incentives or services to an Eligible Customer, City shall obtain a signed form from such Eligible Customer stating that: 7.1.1. Such Eligible Customer has not received incentives or services for the same measure from any other SDG&E program or from another utility, state, or local program; and 7.1.2. Such Eligible Customer agrees not to apply for or receive incentives or services for the same measure from another utility, state, or local program. City shall keep its Eligible Customer-signed forms for at least 5 years after the expiration or termination of this Agreement. 7.2. City shall not knowingly provide an incentive to an Eligible Customer, or make payment to a Contractor, who is receiving compensation for the same product or service either through another ratepayer funded program, or through any other funding source. 7.3. City represents and warrants that it has not received, and will not apply for or accept incentives or services for any measure provided for herein or offered pursuant to this Agreement or the Program from any other utility, state or local program. 7.4. The Parties shall take reasonable steps to minimize or avoid the provision of incentives or services for the same measures provided under this Program from another program or other funding source ("double-dipping"). 8. REPORTING 8.1. Reporting Requirements. The Parties shall implement those reporting requirements set forth in Exhibit C attached hereto and incorporated herein by this reference, as approved by the Commission and as the same may be amended from time to time, or until the Commission otherwise requires or issues different or updated reporting requirements for the Program, in which case and at which time such Commission- approved reporting requirements shall replace the requirements set forth in Exhibit C in their entirety. 8 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-60 8.2. Commission Reporting Requirements Manual. All reports shall be submitted in accordance with the requirements of the latest version of the Commission's Reporting Requirements Manual (currently Version 3, Revised Apri12005) and any other reporting protocol established by Commission staff. The Parties shall use their best efforts to provide any additional information as requested by SDG&E or by Commission staff. 9. PAYMENTS 9.1. Authorized Budget. The total Authorized Budget for performance of the Authorized Work is $4,088,991. No Party shall be entitled to compensation in excess of the Authorized Budget for such Party's Authorized Work obligations. However, if 5DG&E executes any fund shift in accordance with Section 9.4 below, then each Party shall be entitled to compensation up to, but not exceeding, the Authorized Budget, as revised to reflect such fund shift, for such Party's Authorized Work obligations. 9.2. Program Expenditures. Each Party shalt be entitled to spend PGC or Gas Surcharge Program Funds on Program Expenditures incurred by such Party. 9.3. Payment to City. In order for City to be entitled to PGC or Gas Surcharge funds for Program Expenditures: 9.3.1. City shall submit quarterly reports to SDG&E, in a format reasonably acceptable to SDG&E and containing such information as may be required for the reporting requirements set forth in Section 8 above ("Quarterly City Reports"}, by the tenth (10`h) Calendaz Day of the calendar month following performance, setting forth all Program Expenditures. 9.3.2. City shall submit to SDG&E, together with its Quarterly City Report, a quarterly invoice for reimbursement of reported Program Expenditures, in a format acceptable to SDG&E, attaching all documentation reasonably necessary to substantiate the Program Expenditures, including, without limitation, the following: a. Incentives: Subject to the provisions of Section 7, for each incentive paid to Eligible Customers or Contractors (other than point of purchase programs): (i) Eligible Customer or Contractor name, address and telephone number; (ii) the type and quantity of each measure installed or received; (iii) the amount of each incentive paid, and (iv) the date each payment was provided or each measure was installed or received. 9 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-61 b. Labor: For each of the Program's budget categories applicable to City (e.g. Direct Implementation), alist of individuals and total hours worked and labor rate(s) for each person during the month in each budget category. c. Overhead items other than travelltraining/conferences: Supporting documentation for overhead items such as rent, computer equipment, facility chazges, is required and shall be provided in accordance with the provisions of Exhibit C. However, such information must be provided upon request by either SDG&E or the Commission. d. Travel/Training/Conference: Supporting documentation for all travel-related expenditures. While original receipts need not be submitted, a detailed expense report for all travel expenses should be provided, which includes airfaze, mileage, meals, lodging, pazking, etc, in the format approved by SDG&E. A detailed travel exgense report should include the following information: name of person incurring expense, reason for expense, date(s) incurred and type of expense (e.g. Airfare, Airport Pazking, Rental Car, Qther Parking, Mileage, Meals, Hotel, Other costs, if any). e. Contractor Costs: Copies of all Contractor invoices. If only a portion of the Contractor costs applies to the Program, City shall clearly indicate the line items or percentage of the invoice amount that should be applied to the Program, as provided in Exhibit C. f. Marketing: A copy of each distinct mazketing material produced, with quantity of a given marketing material produced and the method of distribution. 9.3.3. SDG&E reserves the right to reject any City invoiced amount for any of the following reasons: a. The invoiced amount, when aggregated with previous Program Expenditures, exceeds the amount budgeted therefore in the Authorized Budget for such Authorized Work. b. There is a reasonable basis for concluding that such invoiced amount is unreasonable or is not directly identifiable to or required for the Authorized Work, the Scope of Work or the Program. c. Such invoiced amount, in SDG&E's sole discretion, contains charges for any item not authorized under this Agreement or by the to 2010-2012 CITY OF CHULtl VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-62 Commission, or is deemed untimely, unsubstantiated or lacking proper documentation. 9.3.4. Should SDG&E disapprove of any Program Expenditure of City, City invoice or Quarterly City Report, SDG&E may request such additional performance required from City, modification required to City's invoice or such other action as may be required of City, and any continuing dispute there from shall be resolved in accordance with the procedures set forth in Section 14. 4.3.5. City shall maintain for a period of not less than five (5) years all documentation reasonably necessary to substantiate the Program Expenditures, including, without limitation, the documentation set forth in Section 9.3.2(a) through (g) above. City shall promptly provide, upon the reasonable request by SDG&E, any documentation, records or information in connection with the Program or its Authorized Work. 9.4. Shifting Funds Across Budeet Cate og ries. SDG&E may shift Program funds among budget categories (e.g. Administrative and Direct Implementation) as set forth in the Scope of Work to the maximum extent permitted under, and in accordance with, Commission decisions and rulings to which this Program relates. 9.5. Reasonableness of Expenditures. Each Party shall beaz the burden of ensuring that its Program Expenditures are objectively reasonable. The Commission has the authority to review all Program Expenditures for reasonableness. Should the Commission, at any time, issue a finding of unreasonableness as to any Program Expenditure, and require a refund or return of the PGC or Gas Surchazge funds paid in the reimbursement of such Program Expenditure, the Party who incurred such Program Expenditure and received reimbursement under this Agreement shall be solely and severally liable for such refund or return. 9.6. Refund of PGC or Gas Surcharge Funds. With respect to any amount subject to refund to the Commission pursuant to any subsequent Commission decision or ruling, should the Commission determine that a refund is due and seeks to recover such refund, the amount due shall be returned as duected by the Commission, within 30 days of receipt of written notice that payment is owed, as follows: (1) if the refund is attributable to an overpayment of Program funds to a Party, then that Party shall be solely liable for such refund; (2) if the refund is attributable to an unreasonable expenditure, then the Party who (i) incurred such Program Expenditure and received reimbursement under this Agreement, or (ii) was otherwise entitled to receive reimbursement under this Agreement but did not actually receive reimbursement due to receipt of an equivalent offset, shall be solely liable for such refund; (3) for any other refund, each Party shall be solely liable for its pro-rata share, determined by calculating the percentage of the total overall Program Expenditures represented by each Party's reimbursements of Program Expenditures (both 11 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-63 actual reimbursements and those to which the Party was otherwise entitled but did not receive due to receipt of an equivalent offset). Nothing in this provision is intended to limit a Party's right to pursue administrative or other remedies available with respect to a Commission decision or ruling. A Party's approval of any action which is the responsibility of another Party under this Agreement shall not shift the corresponding responsibility with respect to any overpayment or unreasonable Program Expenditure. Notwithstanding the foregoing, any overpayment of Program funds to a Party (the "Receiving Party") shall be immediately due and payable by the Receiving Party, upon demand therefore; to the Party who made the overpayment, and the Party who made the overpayment shall have the right to set the overpayment off from any other Program funds payable to the Receiving Patty, if possible, or otherwise pursue any available remedies for the recovery of the overpayment. 0. END DATE FOR PROGRAM AND ADMINISTRATIVE ACTIVITIES. Unless this Agreement is terminated pursuant to Section 24 below, or otherwise by the mutual agreement of the Parties or so ordered by the Commission, the Parties shall complete all Program Administrative activities (as defined by the Scope of Work) and reporting requirements by no later than March 31, 2013. 11. FINAL INVOICES All Parties must submit final invoices no later than Mazch 31, 2013. 12. INDEMNITY 12.1. Indemnity by City. City shall indemnify, defend and hold harmless SDG&E, and its successors, assigns, affiliates, subsidiaries, current and future parent companies, officers, directors, agents, and employees, from and against any and all expenses, claims, losses, damages, liabilities or actions in respect thereof (including reasonable attorneys' fees) to the extent azising from (a) City's negligence or willful misconduct in City's activities under the Program or performance of its obligations hereunder, or (b) City's breach of this Agreement or of any representation or warranty of City contained in this Agreement. 12 ?. Indemnity by SDG&E. SDG&E shall indemnify, defend and hold harmless City and its successors, assigns, affiliates, subsidiaries, current and future pazent companies, officers, directors, agents, and employees, from and against any and all expenses, claims, losses, damages, liabilities or actions in respect thereof (including reasonable attorneys' fees) to the extent arising from (a) SDG&E's negligence or willful misconduct in SDG&E's activi6es under the Program or performance of its obligations hereunder or (b) SDG&E's breach of this Agreement or any representation or warranty of SDG&E contained in this Agreement. tz 2610-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-64 12.3. LIMITATION OF LIABILITY. NO PARTY SHALL BE LIABLE TO ANY OTHER PARTY FOR ANY INDIl2ECT, INCIDENTAL OR CONSEQUENTIAL DAMAGES WHATSOEVER WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE) OR STRICT LIABILITY INCLUDING, BUT NOT LIMITED To, LOSS OF USE OF OR UNDER-UTILIZATION OF LABOR OR FACILITIES, LOSS OF REVENUE OR ANTICIPATED PROFITS, COST OF REPLACEMENT POWER OR CLAIMS FROM CUSTOMERS, RESULTING FROM A PARTY'S PERFORMANCE OR NONPERFORMANCE OF THE OBLIGATIONS HEREUNDER, OR IN THE EVENT OF SUSPENSION OF THE AUTHORIZED WORK OR TERMINATION OF THIS AGREEMENT. 13. OWNERSHIP OF DEVELOPMENTS The Parties acknowledge and agree that SDG&E, on behalf of its ratepayers, shall own all data, reports, information, manuals, computer programs, works of authorship, designs or improvements of equipment, tools or processes (collectively "Developments") or other written, recorded, photographic or visual materials, or other deliverables produced in the performance of this Agreement; provided, however, that Developments do not include equipment or infrastructure purchased for reseazch, development, educafion or demonstration related to energy efficiency. Although City shall retain no ownership, interest or title in the Developments except as may otherwise be provided in the Scope of Work, it will have a permanent, royalty free, non- exclusive license to use such Developments. 14. DISPUTE RESOLUTION 14.1. Dispute Resolution. Except as may otherwise be set forth expressly herein, all disputes arising under this Agreement shall be resolved as set forth in this Section 14. 14.2. Ne¢otiation and Mediation. The Parties shall attempt in good faith to resolve any dispute arising out of or relating to this Agreement promptly by negotiations between the Parties' authorized representatives. The disputing Party shall give the other Parties written notice of any dispute. Within twenty (20) days after delivery of such notice, the authorized representatives shall meet at a mutually acceptable time and place, and thereafter as often as they reasonably deem necessary to exchange information and to attempt to resolve the dispute. If the matter has not been resolved within thirty (30) days of the first meeting, any Party may initiate a mediation of the dispute. The mediation shall be facilitated by a mediator that is acceptable to all Parties and shall conclude within sixty (60) days of its commencement, unless the Parties agree to extend the mediation process beyond such deadline. Upon agreeing on a mediator, the Parties shall enter into a written agreement for the mediation services with each Party paying a pro rate shaze of the mediator's fee, if any. The mediation shall be conducted in accordance with the Commercial Mediation Rules of the American Arbitration Association; provided, however, that no consequential damages shall be awarded in any such proceeding and each Party shall bear its own legal fees and expenses. 13 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-65 14.3. Confidenfiality. All negotiafions and any mediation conducted pursuant to Section 14.2 shall be confidential and shall be treated as compromise and settlement negotiations, to which Section 1152 of the California Evidence Code shall apply, which Secfion is incorporated in this Agreement by reference. 14.4. Injunctive Relief. Notwithstanding the foregoing provisions, a Party may seek a preliminary injunction or other provisional judicial remedy if in its judgment such action is necessary to avoid irreparable damage or to preserve the status quo. 14.5. Continuing Oblieation. Each Party shall continue to perform its obligations under this Agreement pending final resolution of any dispute arising out of or relating to this Agreement. 14.6. Failure of Mediation. If, after good faith efforts to mediate a dispute under the terms of this Agreement as provided in Section 14.2 above, the Parties cannot agree to a resolution of the dispute, any Party may pursue whatever legal remedies may be available to it at law or in equity, before a court of competent jurisdiction and with venue as provided in Section 14.2. 15. REPRESENTATIONS AND WARRANTIES City represents and warrants, as of the Effective Date and thereafter during the Term of this Agreement that: 15.1. The Authorized Work performed by City and its Contractors shall comply with the applicable requirements of all statutes, acts, ordinances, regulations, codes, and standards of federal, state,-local and foreign governments, and all agencies thereof. 15.2. The Authorized Work performed by City and its Contractors shall be free of any claim of trade secret, trade mark, trade name, copyright, or patent infringement or other violations of any proprietary rights of any person. 15.3. City shall conform to the applicable employment practices requirements of (Presidential) Executive Order 11246 of September 24, 1965, as amended, and applicable regulations promulgated thereunder. 15.4. City shall contractually require each Contractor it hires to perform the Authorized Work to indemnify SDG&E to the same extent City has indemnified SDG&E under the terms and condifions of this Agreement. 15.5. City shall retain, and shall cause its Contractors to retain, all records and documents pertaining to its Authorized Work obligations for a period of not less than five (5) years beyond the termination or expiration of this Agreement. 14 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-66 15.6. City shall contractually require all of its Contractors to provide the other Parties reasonable access to relevant records and staff of Contractors concerning the Authorized Work. 15.7. City will take all reasonable measures, and shall require its Contractors to take all reasonable measures, to ensure that the Program funds in its possession aze used solely for Authorized Work, which measures shall include the highest degree of caze that City uses to control its own funds, but in no event less than a reasonable degree of care. 15.8. City will maintain, and may require its Contractors to maintain, the following insurance coverage or self insurance coverage, at all times during the Term of this Agreement: a. Workers' Compensation and Employers' Liability: statutory minimum. b. Commercial General Liability: $1 million minimum. c. Commercial or Business Auto (if applicable): $ I million minimum. d. Professional Liability (if applicable): $1 million minimum. 16. PROOF OF INSURANCE 16.1. Evidence of Insurance. Upon request at any time during the Term of this Agreement, City shall provide evidence that its insurance policies (and the insurance policies of any Contractor, as provided in Section 15.8) aze in full force and effect, and provide the coverage and limits of insurance that City has represented and warranted herein to maintain at all times during the Term of this Agreement. 16.2. Self-Insurance. If City is self-insured, City shall upon request forward documentation to SDG&E that demonstrates to SDG&E's satisfaction that City self- insures as amatter of normal business practice before commencing the Authorized Work. SDG&E will accept reasonable proof of self-insurance comparable to the above requirements. 17. CUSTOMER CONFIDENTIALITY REQUIREMENTS 17.1. Non-Disclosure. City, its employees, agents and Contractors shall not disclose any Confidential Customer Information (defined below) to any third parry during the Term of this Agreement or after its completion, without City having obtained the grior written consent of SDG&E, except as provided by law, lawful court order or subpoena and provided City gives SDG&E advance written notice of such order or subpoena. 17.2. Confidential Customer Information. "Confidential Customer Information" includes, but is not limited to, a SDG&E customer's name, address, telephone number, account number and all billing and usage information, as well as any SDG&E customer's information that is marked confidential. If City is uncertain whether any information 15 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-67 should be considered Confidential Customer Information, City shall contact SDG&E prior to disclosing the customer information. 17.3. Non-Disclosure A reg ement. Prior to any approved disclosure of Confidenflal Customer Information, SDG&E may require City to enter into a nondisclosure agreement. 17.4. Commission Proceedines. This provision does not prohibit City from disclosing non-confidential information concerning the Authorized Work to the Commission in any Commission proceeding, or any Commission-sanctioned meeting or proceeding or other public forum. 17.5. Return of Confidential Information. Confidential Customer Information (including all copies, backups and abstracts thereof) provided to City by SDG&E, and any and all documents and materials containing such Confidential Customer Information or produced by City based on such Confidential Customer Information (including all copies, backups and abstracts thereof), during the performance of this Agreement shall be returned upon written request by SDG&E. i7.6. Remedies. The Parties acknowledge that Confidential Customer Information is valuable and unique, and that damages would be an inadequate remedy for breach of this Section 17 and the obligations of City aze specifically enforceable. Accordingly, the Parties agree that in the event of a breach or threatened breach of this Section 17 by City, SDG&E shall be entitled to seek and obtain an injunction preventing such breach, without the necessity of proving damages or posting any bond. Any such relief shall be in addition to, and not in lieu of, money damages or any other available legal or equitable remedy. 17.7 Public Records Act. Notwithstanding the foregoing, SDG&E understands that all information provided to the City may be subject to public review pursuant to the California Public Records Act (California Govemment Code Section 6250 et seq.), which provides that records in the custody of a public entity might be disclosed unless the information being sought falls into one or more of the exemptions to disclosure set out in Govemment Code Sections 6254 through 6255. As a result, City may be obligated to disclose any information provided to the City to any patty that requests it to the extent permitted under the California Public Records Act. 18. TIME IS OF THE ESSENCE The Parties hereby acknowledge that time is of the essence in performing their obligations under the Agreement. Failure to comply with deadlines stated in this Agreement may result in termination of this Agreement, payments being withheld or other Program modifications as directed by the Commission. 19. CUSTOMER COMPLAINT RESOLUTION PROCESS 16 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-68 City shall develop and implement a process for the management and resolution of Customer complaints in an expedited manner including, but not limited to: (a) ensuring adequate tevels of professional Customer service staff; (b} direct access of Customer complaints to supervisory and/or management personnel; (c) documenting each Customer complaint upon receipt; and (d) elevating any complaint that is not resolved within five (5) days of receipt by City. 20. RESTRICTIONS ON MARKETING 20.1. Use of Commission's Name. No Party may use the name of the Commission on marketing materials for the Program without prior written approval from the Commission staff. In order to obtain this written approval, SDG&E must send a copy of the planned materials to the Commission requesting approval to use the Commission name and/or logo. Notwithstanding the foregoing, the Parties shall disclose their source of funding for the Program by stating prominently on mazketing materials that the Program is "funded by Califomia ratepayers under the auspices of the California Public Utilities Commission." 20.2. Use of SDG&E's Names. City must receive prior review and written approval from SDG&E for the use of SDG&E's name or logo on any marketing or other Program materials. City shall allow twenty (20) days for SDG&E review and approval. 20.3. Use of Citv Name. SDG&E must receive prior written approval from City for use of City's name or logo on any marketing or other Program materials. SDG&E shall allow twenty (20) days for such City review and approval. 21. RIGH"I' TO AUDIT City agrees that SDG&E and/or the Commission, or their respective designated representatives, shall have the right to review and to copy any records or supporting documentation pertaining to City's performance of this Agreement or the Authorized Work, during normal business hours, and to allow reasonable access in order to interview any employees of City who might reasonably have information related to such records. Further, City agrees to include a similar right of SDG&E and/or the Commission to audit records and interview staff in any subcontract related to performance of City's Authorized Work or this Agreement. 22. STOP WORK PROCEDURES SDG&E may suspend City's Authorized Work being for good cause, such as safety concerns, fraud, or excessive Customer complaints, by notifying City in writing to suspend its Authorized Work being performed in its service territory. City shall stop work immediately, and may resume its Authorized Work only upon receiving written nofice from SDG&E that it may resume its Authorized Work. t7 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-69 23. MODIFICATIONS Changes to this Agreement shall only be made by mutual agreement of all Parties through a written amendment to this Agreement signed by all Par[ies. 24. TERM AND TERMINATION 24.1. Term. This Agreement shall be effective as of January 1, 2010. The Agreement shall continue in effect until December 31, 2012 ("Term") unless otherwise terminated in accordance with the provisions of Section 24.2 below. 24.2. Termination for Breach, Any Party may terminate this Agreement in the event of a material breach by the other Parry of any of the material terms or conditions of this Agreement, provided such breach is not remedied within sixty (60) days notice to the breaching Party thereof from the non-breaching Party or otherwise cured pursuant to the dispute resolution provisions set forth in Section 14 herein. 24.3. Termination for Convenience. SDG&E andlor the City of Chula Vista shall have the right to terminate this Agreement, at their sole convenience and without first obtaining the other Party's prior consent, by providing at least thirty (30) days' prior written notice to the other Party setting forth the effective date of such termination. 24.4. Effect of Termination. 24.4.1. In the event of termination of this Agreement, the Parties shall be entitled to PGC and/or Gas Surcharge Funds for all Program Expenditures incurred or accrued pursuant to coniractual or other legal obligations for Authorized Work up to the effective date of termination of this Agreement, provided that any Quarterly City Reports or other reports, invoices, documents or informaflon required under this Agreement or by the Commission are submitted in accordance with the terms and conditions of this Agreement. The provisions of this Section 24.4.1 shall be a Patty's sole compensation resulting from any termination of this Agreement. 24.4.2. In the event of termination of this Agreement, City shall stop any Authorized Work in progress and take action as directed by SDG&E to bring the Authorized Work to an orderly conclusion, and the Parties shall work cooperatively to facilitate the termination of operations and any applicable contracts for Authorized Work. I8 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-70 25. WRITTEN NOTICES Any written notice, demand or request required or authorized in connecfion with this Agreement, shall be deemed properly given if delivered in person or sent by facsimile, nationally recognized overnight courier, or first class mail, postage prepaid, to the address specified below, or to another address specified in writing by a Party as follows: City: The City of Chula Vista " Michael Meacham 276 Fourth Avenue Chula Vista, CA 91910 619-409-5870 telephone 619-476-5310 facsimile SDG&E: San Diego Gas & Electric Company Julie Ricks 8326 Century Park Court, CP62E San Diego, CA 92123-1530 858-654-8302 telephone 858-654-0311 facsimile Notices shall be deemed received (a) if personally or hand-delivered, upon the date of delivery to the address of the person to receive such notice if delivered before 5:00 p.m., or otherwise on the Business Day following personal delivery; (b) if mailed, three (3) Business Days after the date the notice is postmarked; (c) if by facsimile, upon electronic confirmation of transmission, followed by telephone notification of transmission by the noticing Party; or (d) if by overnight courier, on the Business Day following delivery to the overnight courier within the time limits set by that courier for next-day delivery. 26. CONTRACTS Each Parry shall, at all times, be responsible for its Authorized Work obligations, and acts and omissions of Contractors and persons directly or indirectly employed by such Party for services in connection with the Authorized Work. 27. RELATIONSHIP OF THE PARTIES The Parties shall act in an independent capacity and not as officers or employees or agents of each other. This Agreement is not intended to and does not form any "partnership" within the meaning of the California Uniform Partnership Act of 1994 or otherwise. 28. NON-DISCRIMINATION CLAUSE No Party shall unlawfully discriminate, harass, or allow hazassment against any employee or applicant for employment because of sex, race, color, ancestry, religious creed, national origin, physical disability (including HIV and AIDS), mental disability, medical condifion (cancer), age (over 40), marital status, and denial of family caze leave. Each Party shall ensure that the evaluation and treatment of its employees and applicants for employment are free from such 19 2010-2012 CITY OF CHTJLA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-71 discrimination and harassment, and shall comply with the provisions of the Fair Employment and Housing Act (Government Code Section 12490 (a)-(f) et seq.) and the applicable regulations promulgated thereunder (California Code of Regulations, Title 2, Section 7285 et seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code Section 12990 (a)-(f), set forth in Chapter 5 of Division 4 of Title 2 of the California Code of Regulations, are incorporated into this Agreement by reference and made a part hereof as if set forth in full. Each Party represents and warrants that it shall include the substance of the nondiscrimination and compliance provisions of this clause in all subcontracts for its Authorized Work obligations. 24. COMMISSION AUTHORITY TO MODIFY This Agreement shall at all times be subject to the discretion of the Commission, including, but not limited to, review and modifications, excusing a Party's performance hereunder, or termination as the Commission may direct from time to time in the reasonable exercise of its jurisdiction. 30. NON-WAIVER None of the provisions of this Agreement shall be considered waived by any Party unless such waiver is specifically stated in writing. 31. ASSIGNMENT No Parly shall assign this Agreement or any part or interest thereof, without the prior written consent of the other Party, and any assignment without such consent shall be void and of no effect. Notwithstanding the foregoing, if SDG&E is requested or required by the Commission to assign its rights and/or delegate its duties hereunder, in whole or in part, such assignment or delegation shall not require City's consent, and SDG&E shall be released from all obligations hereunder arising after the effecfive date of such assignment, both as principal and as surety. 32. FORCE MAJEURE Failure of a Party to perform its obligations under this Agreement by reason of any of the following shall not constitute an event of default or breach of this Agreement: strikes, picket lines, boycott efforts, earthquakes, fires, floods, waz (whether or not declared), revolution, riots, insurrections, acts of God, acts of government (including, without limitation, any agency or departrnent of the United States of America), acts of terrorism, acts of the public enemy, scarcity or rationing of gasoline or other fuel or vital products, inability to obtain materials or labor, or other causes which aze reasonably beyond the control of such Party. 33. SEVERABILITY 20 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-72 In the event that any of the terms, covenants, or conditions of this Agreement, or the application of any such term, covenant or condition, shall be held invalid as to any person or circumstance by any court, regulatory agency, or other regulatory body having jurisdiction, all other terms, covenants, or conditions of this Agreement and their application shall not be affected thereby, but shall remain in full force and effect, unless a court, regulatory agency, or other regulatory body holds that the provisions are not sepazable from all other provisions of this Agreement. 34. GOVERNING LAW; VENUE This Agreement shall be interpreted, governed, and construed under the laws of the State of California as if executed and to be performed wholly within the State of California. Any action brought to enforce or interpret this Agreement shall be filed in San Diego County, California. 35. SECTION HEADINGS Section headings appearing in this Agreement aze for convenience only and shall not be construed as interpretations of text. 36. SURVIVAL Notwithstanding completion or of this Agreement, the Parties shall continue to be bound by the provisions of this Agreement which by their nature or terms survive such completion or terminafion. Such provisions shall include, but are not limited to, Sections 8, 9, 12, 13, 14, 17, 21, 24, 34 and 37 of this Agreement. 37. ATTORNEYS' FEES Except as otherwise provided herein, in the event of any legal action or other proceeding between the Parties arising out of this Agreement or the transactions contemplated herein, each Party in such legal action or proceeding shall beaz its own costs and expenses incurred therein, including reasonable attorneys' fees. 38. COOPERATION Each Party agrees to cooperate with the other Parties in whatever manner is reasonably required to facilitate the successful completion of this Agreement. 39. ENTIRE AGREEMENT This Agreement (including the Exhibits hereto) contains the entire agreement and understanding between the Parties and merges and supersedes all prior agreements, representations and discussions pertaining to the subject matter of this Agreement. 21 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-73 40. COUNTERPARTS This Agreement maybe executed in one or more counterparts, each of which shall be deemed to be an original, but all of which together shall be deemed to be one and the same instrument. (Signature page follows) 22 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCYAND CONSERVATION PARTNERSHIP AGREEMENT 4-74 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their duly authorized representatives. CITY: CITY: APPROVED AS TO FORM THE CITY OF CHDLA VISTA (~I,µm Ba esfeld i e. City Attorney SDG&E: SAN DIEGO GA5 & ELECTRIC COMPANY ~~~~~ Name: Hal Snyder Title: Vice President, Customer Solutions APPROVED AS TO FORM ~~ti~ 4-75 EXHIBTT A 2010-2012 SCOPE OF WORK (See following attached pages) 2006-2005 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION OUTREACH PROGRAM AGREEMENT 4-76 ~«r~ CITY OF CHULAVISTA 2010-2012 SDG&E LOCAL GOVERNMENT PARTNERSHIP SCOPE OF WORK PROGRAM OVERVIEW a) Program Title: City of Chula Vista/SDG&E Local Government Partnership b) Program Budget (3-Year): $4,088,991 c) Program Term: January 1, 2010 through December 31, 2012 d) Main Contactlnformation: Brendan Reed, Environmental Resource Manager Department of Conservation & Environmental Services 276 Fourth Avenue Chula Vista, CA 91910 619-409-5889 Office 619-476-5310 Fax PROGRAM COMPONENT Municipal Facilities Efficiency Improvements DESCRIPTION. The SDG&E/Chula Vista Energy Efficiency Partnership will expand the City's efforts to reduce municipal energy use through facility retrofits and upgrades. Chula Vista owns, leases, and/or operates over 90 buildings and structures totaling approximately 1.4 million square feet. Annually, the City's buildings consume an estimated 12 million kWh and 1 million therms. In addition, the program will help train municipal facility managers on better energy management practices and will complement Chula Vista's ongoing investments in renewable energy generation. GOALS, OBJECTIVES & DELIVERABLES 1. Develop integrated energy management strategies far major City buildings and facilities 2010-2012 CV(SDG&E Local GovemmentPartnership Final SOW 1of12 4-77 a. Objective - Coordinate with SDG&E and other third-party entifies to complete integrated energy facility audits to identify energy efficiency, demand response, and distributed generation opportunities. i. Deliverables -Complete integrated facility audits for major municipal sites. b. Obiective -Use the EPA Portfolio Manager to track and benchmark all major municipal buildings and facilities' energy consumption over time. i. Deliverables -Uploading of energy consumption data for major municipal facilities to the EPA Portfolio Manager. 2. Reduce energy consumption at City buildings, facilities, and related infrastructure a. Obiective -Coordinate the installation of energy efficient retrofit projects (such as HVAC, lighting, and VFDs) at City buildings, facilities, and related infrastructure. i. Deliverables - Reduce the City's building energy use by approximately 1,000,000 kWh and 20,000 therms. b. Obiective -Complete anenergy-efficient street lighting demonstration project to test the applicability of various lighting technologies for different roadway types. i. Deliverables -Produce a summary report which compazes and contrasts the feasibffity of using energy-saving lighting factures in municipal street lighting operations. c. Obiec6ve - Idenfify and pursue energy efficiency financing options to provide installation capital costs which are not covered under existing incentive programs. i. Deliverables -Secure retrofit project financing through California Energy Commission loan or SDG&E "On-Bill Financing" programs (exact value dependent on identified retrofit project list). TARGET AUDIENCE To include: City facility managers and support staff SCHEDULE • Jan -April `10: Begin integrated energy audits Identify retrofit projects at municipal facilities Obtain energy efficiency financing for retrofit projects • May ' 10 -Dec ' 12 Install energy efficiency retrofits and verify energy savings 2010-2012 CV/SDG&E Local Government Partnership Final SOW 2of12 4-78 BUDGET .Program Name: ManicipaLFacilities Efficiency Improvements Pro am $u et Item: $ Administrafive Costs - - Marketing/Outreach Costs - - Incentive/Rebate Costs - - Duect Implementation Costs $432,000 100% Total $332,000 100% PROGRAM COMPONENT Empower Chula Yuta Outreach Program DESCRIPTION The Empower Chula Vista program is designed to complement San Diego Gas & Electric's residential and commercial energy efficiency programs by providing trained City staff to engage and educate Chula Vista businesses, residents, and contractors about energy-saving opportunities. City staff are able to play a unique role in delivering energy efficiency programs to their community, both because their more proximate relationship with citizens, and because they aze able to leverage other municipal services/processes to maximize outreach effectiveness. For the 2010-2012 Energy Efficiency Partnership, the City of Chula Vista will build upon its successful Empower Chula Vista program -which distributed over 50,000 CFLs, 2,600 water-saving devices, and performed over 2,000 energy evaluatons in the community since 2006 - by broadening its targeted audience and its focus on whole-building energy performance retrofits, "plug-loads", and energy consumption behavior. GOALS, OBJECTIVES, & DELIVERABLES 1. Increase the community's awareness and access to energy-saving technologies & promote CPUC/SDG&E's involvement in delivering energy-saving opportunities a. Obiective -Trained City staff will perform free on-site energy evaluations for Chula Vista businesses and residents. The evaluations will include a review of past consumption data (using SDG&E's Energy Waves software) and an analysis of energy-saving opportunities (both technological and behavioral). City staff will provide participants with an overview of applicable SDG&E incentive programs and assistance completing incentive and/or On-Bill Financing applications. All referral information generated through the evaluations will be electronically sent to SDG&E program managers. 2010-2012 CV/SDG&E Local GovernmentParh7erslup Final SOW 3of12 4-79 Deliverables -Energy evaluations of local businesses and residences will be completed generating SDG&E program referrals. b. Objective - As part of the residential and business evaluations, City staff will demonstrate to participants the amount of electricity being drawn by various plug-load devices in their facility by using a Kill A WattTM device. Participants may also receive a power strip with timer to reduce wasteful "vampire" energy. i. Deliverables -Energy-saving power strips will be distributed (limit one per householdPousiness during three year cycle). Vampire energy can account for more than 8% of a typical home's electricity usage. c. Objective -Program participants will have an option of monitoring their home or business's energy consumption over atwo-week period using areal- time energy monitor (PowerCost Monitor TM or other similaz device). At the conclusion of the two week period, City staff will review with the participants their energy use and applicable behavioral and operational changes to reduce their consumption. i. Deliverables -Residents and/or businesses will participate in the energy monitoring program. Studies have shown that increased energy awazeness and simple consumption changes can deliver a 10% reduction in energy use. d. Objective - As part of the City's Home Upgrade, Carbon Downgrade program, residents and businesses interested in installing more energy- efficient or renewable energy technologies will be able to take advantage of streamlined contracting, permitting, and/or financing to facilitate retrofits. Special focus will be given to promoting cost-effective, whole-building performance upgrades (instead of single measures). i. Deliverables -Residents and/or businesses will enroll in the Home Upgrade, Carbon Downgrade program resulting in installed energy- efficiency and demand reduction equipment. 2. Promote the use and proper disposal of energy-efficient lighfing a. Objective - As an incentive for energy assessment program participation, residents and businesses will be offered energy-efficient Compact Fluorescent Lights (CFL) in exchange for traditional models. i. Deliverables - CFLs will be exchanged for incandescent or other traditional bulb types. b. Objective -Due to the recent market transformation from older incandescent lighting to energy-efficient Compact Fluorescent Lights (CFL), there is a growing community demand for opportunities to properly dispose of CFLs. City staff' will work to establish and promote convenient CFL disposal opportunities for the South Bay community. Deliverables -Disposal events will be organized in the South Bay azea, while permanent disposal sites will be promoted. 2010-2012 CV/SDG&E Local GovemmentPartnership Final SOW 4of12 4-80 c. Objective - As part of the annual Stazlight Parade, residents will be able to exchange up to three incandescent holiday light strands for energy-efficient LED holiday lights. i. Deliverables -LED holiday lights will be distributed annually during the three-year program cycle. LED lights can save up to 90% in holiday lighting costs and last 100 times longer than incandescent lights. 3. Expand energy-efficiency opportunities in underserved community sectors in which there is a high demand for energy efficiency services and considerable potential for energy savings a. Objective -Chula Vista is an ethnically diverse city with a lazge percentage of residents, business owners, and contractors who speak a foreign language as their primary language. To assist the program in successfully engaging these typically underserved sectors, the City will recruit staff members who are fluent in Spanish, Tagalog, Vietnamese, or another locally-spoken language. i. Deliverables -Outreach team will include foreign-speaking staff members who aze fluent in the aforementioned languages. All outreach materials will be translated into at least 1 foreign language and used to engage with non-English speaking ratepayers. b. Objective - In conjunction with the City's Redevelopment Agency and the Office of Economic Development, the program will place a lazge emghasis on penetrating new community sectors to deliver energy efficiency education, assessments, and SDG&E program referrals. i. Deliverables -Creation and distribution of customized promotional materials, sector workshops, and multi-department outreach efforts to new sectors which may include mobile homes, corporations, box/department stores, dry cleaners, auto repair, supermazkets, and healthcare offices. a Objective -The outreach program's "Peer-to-Peer" efforts will focus on providing technical and policy support to enable smaller South Bay municipalities to pursue energy efficiency regulations, facility retrofit projects and community outreach campaigns by organizing a series of workshops and meetings. The workshops will educate South Bay government employees and officials about all aspects of energy management and provide valuable `9essons learned" from Chula Vista's past experience implementing municipal and community energy efficiency programs. i. Deliverables -Organize workshops and meetings for South Bay municipal staff and officials. Workshop topics may include energy ordinances/codes, energy efficiency technology, retrofit financing, renewable energy integrafion, and greenhouse gas emission inventories. 2010-2012 CV/SDG&E Local Government Partnership 5 of 12 Final SOW 4-81 TARGET AUDIENCE To include: South Bay elected officials, city employees, non-English speaking ratepayers, residents and businesses (including mobile homes, corporations, box/department stores, dry cleaners, auto repair, supermarkets, and healthcare offices). In order to successfully implement the outreach program, the City will leverage an array of public marketing and media tools which aze unique to local governments: Ciry Calendaz/Website 4.5 ntillion monthly `hits' City Newsletter 1,100 subscrtbers Direct Mailer: 200,000 individuals Business License Renewal Process 8,000licensed businesses Solid Was[e/Recycling Billing 85,000 households Multi-Depattmental Outreach 300,000 individuals (incl. National City & Imperial Beach) South Bay Community Events 500,000 attendees Chula Vista Civic Organizations L00 community leaders SCHEDULE • Tan `10: Recruit & train staff Prepaze marketing plans & materials Create tracking database & forms • Feb `10: Begin community energy assessments & Home Upgrade, Carbon Downgrade program • April `09: Begin Peer-To-Peer workshop series • Dec '09: Host an LED holiday lighting exchange • Tan ' 10 -Dec ' 11: Continue program implementafion BUDGET Below is the program's 3-yeaz Partnership budget. In addition to Partnership funds, the program will leverage the City's Energy Efficiency & Conservation Block Crrant funds ($900,000), private financing (up to $10 million), and in-kind community and volunteer support. 2010-2012 CV/SDG&E Local Government Partnership Final SOW 6of12 4-82 Pro - am Name: Empower Ckula Vista Outreach Pro am <. Pr ram Bud et Item $) (% Administrative Costs $295,701 20% Mazketing/Outreach Costs $45,000 4% Incentive/Rebate Costs - - DirectImplementationCosts $1,101,718 76% Total $1,442,419 100% PROGRAM COMPONENT Sustainable Communities Program DESCRIPTION Building upon the current program, the Chula Vista "Sustainable Communifies Program" (SCP) will further City staff's expertise in energy conservation and green building principles, with the goal of infusing sustainable practices into every level of the planning and building process. Staff will promote these principles to customers engaged in the municipal permit and construction approval process through the City's Internet, on the phone, or in person at the Public Services Building. Under the SCP, the Development Services Department will also investigate and update their exisfing programs, guidelines, and regulations to reflect the advances that have been made in both the green building and energy conservation aspects of community and project-level site planning and to coordinate these activities with new energy-related programs. GOALS, OBJECTIVES & DELIVERABLES 1. Development, adoption, implementation, and modification of programs, policies, and ordinances to increase energy efficiency and sustainability Ievels over established baseline values. a. Obiective -Dedicate selected staff members to fulfill Local Government Partnership and program goals. Provide funds for a Building Inspector II (full Gme) and Associate Planner (half time) to develop and maintain expertise in energy efficiency and to initiate energy-saving building and land use measures, respectively. i. Deliverables - New and updated energy conservation and sustainability policies, guidelines, procedures, and ordinances for lazge-scale new developments, site plans, and new building construction as well as for remodels and additions to existing buildings. 2010-2012 CV/SDG&E Local Government Partnership Final SOW 7of12 4-83 ii. Deliverables -Encourage Plan Examiners (3) and the dedicated Building Inspector II (1) to obtain "Certified Energy Plans Examiner" credentials and other relevant certifications. b. Obiective - Investigate a voluntary and incentivized program to encourage development to be more energy efficient than new mandatory enhanced standards.. i. Deliverables - Reseazch and present a program feasibility summary that would offer an expedited enfitlement approval and permitting process for new development that meets an advanced tiered standazd of energy efficiency above the new enhanced mandatory values (15-20% over Title-24) and would be established by code and local ordinance. ii. Deliverables - Reseazch and present a program feasibility summary that would offer an expedited permit process to small additions, remodels, and tenant improvements that are more energy efficient than the 2008 Energy Code. These projects are currently exempt from the new "Above Title-24 Energy Efficiency Ordinance", expected to be in place in 2010. 2. Outreach, support, and education of City staff, the public, the development community, and peer groups on new energy efficiency and sustainability measures. a Obiective -Update and maintain print and website media content to guide staff and the public on the changes to SCP programs and policies. i. Deliverables -Produce revised hazdcopy and digital forms, handouts, brochures, process guides, and information links. ii. Deliverables -Update "Sustainability Center" website with new program materials and energy-focused information regulazly. iii. Deliverables -Develop articles about SCP activities to be distributed through news and City information outlets. iv. Deliverables -Regular E-Mail distribution list notifications to the development community on topics relating to the program. b. Objective -Provide technical support and educafion on the changes to the SCP programs and policies. i. Deliverables -Attend and participate in events for sharing "lessons learned", successes, and progress information at venues such as SDG&E Partnership Mixers, City staff meetings, and community events. Distribution of SCP and SDG&E materials at these events. ii. Deliverables -Provide regular in-house trainings to Development Services staff on the SCP program, Title 24, Energy Efficiency and Green Building ordinances. iii. Deliverables -Participate in pre-construction meetings on jobsites to explain and aid compliance with the new Green Building 2010-2012 CV/SDG&E Local Government Partnership Final SOW 8of12 4-84 Standards, Energy Code, and Energy Efficiency ordinances developed. Number of meetings and follow-ups will be dependent on a development project's scope of work and the needs of the applicant or contractor. iv. Deliverables -Staffing of "Sustainability Desk" with a Building Inspector II who will be on-call during public counter hours to answer questions, calls, and emails relating to the SCP and Title 24. Inspector will also provide research, guidance, and assistance with plan check of energy efficiency and green building practices at the Development Services counter. v. Deliverables -Maintain current informational materials, brochures, and handouts at the" Sustainability Desk". 3. Increase compliance and enforcement of new "reach" energy efficiency and sustainability codes which were recently adopted by the Chula Vista City Council. a. Objective -Building Inspector II to provide verification that all mandatory enhanced energy efficiency and green building requirements aze being properly met. i. Deliverables -Perform field audits on all types of construction projects to confirm compliance with the enhanced energy efficiency requirements and to ensure proper installation and inspection procedures were performed. ii. Deliverables -Regularly review plans and documentation with the developers, contractors, owner builders, and Development Services staff. TARGET AUDIENCE To include: Building and Planning Department staff, Builders, Developers, Residents, businesses SCHEDULE • Jan -Mar 2010 Adoption of new enhanced energy efficiency codes Enforcement of new Title 24 2008 code • Apri12010 -Dec 2012 Implementation of SCP goals and deliverables 2010-2012 CV/SDG&E Local Goveznment Partnership Final SOW 9of12 4-85 BUDGET Pro ram Namei Sustainable Communities Pro am --: Pro rain Bud et Item $ `. (%) ; Administrative Costs $ 156,440 15% Marketing/Outreach Costs $73,631 7% Incentive/Rebate Costs - - Direct Implementation Costs $777,930 78% Total $1,008,000 100% PROGRAM COMPONENT Energy-Efficient Economic Development Initiative DESCRIPTION Through the current partnership with SDG&E, the City has begun to demonstrate how energy-efficient and renewable energy technologies and energy conservation (EERE & EC) can be cost-effectively integrated into large-scale development projects to reduce energy consumption and greenhouse gas emissions. The proposed program will expand upon and leverage this work through additional research, demonstration, and technical assistance initiatives that will enable developers and builders to design and construct high-efficiency and zero-net-energy projects at greenfield, grayfield, and brownfield sites throughout the City. Further, the program will support afull-time Subject Matter Expert (SME) to generate and manage these initiatives and to assist the Economic Development Division and Planning Division amact businesses and development projects that will enhance the City's energy-efficiency and emission reduction goals. GOALS, OBJECTIVES & DELIVERABLES 1. Generate New Knowledge & Methods & Strengthen Utility Efficiency Programs a. Objective - SME will plan, resource, and manage feasibility studies/projects to determine the cost-effective combinations of EERE&EC technologies and urban design features that deliver maximum energy efficiency and emission reducfion gains in representative residential, commercial, industrial, institufional, and mixed-use projects in Chula Vista. The City and the SME will work closely with SDG&E to ensure that these initiatives enhance the Savings by Design, Sustainable Communities, Emerging Technologies, and the Express Efficiency programs to produce greater energy savings and emission reductions. i. Deliverables -Translation of the research into practical resource guides for the development trades including recommended program enhancements for some of the SDG&E programs mentioned above or other general enhancement recommendations. 2010-2012 CV%SDG&E Local Government Partnership Final SOW 10 of 12 a-as 2. Demonstrate Value of EERE&EC Development Projects a Objective -SME will collaborate with development and building industry partners to demonstrate model EERE&EC technology applications in representative development projects across the City. SME will seek addifional State agency (California Energy Commission) support to conduct performance verification projects to demonstrate actual performance benefits of selected technology applications. i. Deliverables -Technology demonstration projects and case studies of successful EERE&EC development projects including a compelling business case for the development industry. Note: Demonstraflon projects dependent on SDG&E participation. 3. Retain & Expand Allied Businesses, Institutions & Development Projects a. Objective - SME will assist the Economic Development Office in communicating to existing businesses, and to those relocating to the City, the "business case" for EERE&EC technologies and their value in lowering operating costs. SME will participate in the planning and design of the City's new Eco-IndustriaUBusiness Park and will assist the Economic Development Office in recruiting new businesses specializing in clean energy technologies, products and services. SME will assist in recruiting clean energy technology research and development organizations to the University Pazk and Reseazch Center. SME will assist the Planning Division in incorporating related resources into their programs. The City and the SME will work with the aforementioned SDG&E programs to ensure that new business recmitment/development projects produce energy savings and emissions reductions. i. Deliverables -Targeted business/development project recruitment initiatives. These inifiatives will assist SDG&E in meeting their obligations under the Global Warming Solutions Act of 2006 (AB 32) and the requirements of SB 1368. TARGET AUDIENCES To include: clean technology companies, universities and related research insfitutes, the hospitality industry, and the real estate development community. SCHEDULE • Tan -May `10: Define the role of the SME & recruit the individual • June -Dec `10: Refine the SME role & develop detailed program plans • Jan `1l -Dec `12: Implement the program 2010-2012 CV/SDG&E Local GovemmentPartierslup Final SOW 11 of 12 4-87 BUDGET Program Name:. Energy-Efficient Community Development Initiative Pro ram Bud et Item ,: $ -` "/°) ,. Administrative Costs $15,000 2% Marketing/Outreach Costs $60,000 7% Iacenrive/Rebate Costs - - DirectImplementation Costs $729,000 9I% Total $804,000 100% PROGRAM COMPONENT Partnership Management & Administration DESCRIPTION The citywide Partnership program is coordinated and administered by a central staff member to improve efficiency, effectiveness, and communication between all parties. The staff member also serves as a direct contact for SDG&E program managers. BUDGET Program Names Partnership Management & Administration Pro am Bu -et Item '' $:. "/o Administrative Costs $402,572 100% Marketing/Outreach Costs - - Incentive/Rebate Costs - - Direct Implementation Costs - - Total $402,572 100% 2010-2012 CV/5DG&E Local Government Partnership Final SOW 12 of 12 4-88 EXHIBIT B EM&V PLAN EM&V Pian will be issued at a later date in 2010 by the California Public Utilities Commission and will be attached at that time. ] 2006-2008 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION OUTREACH PROGRAM AGREEMENT 4-89 EXHIBIT C REPORTINGING REQi7IItEMENTS (As Applicable) 1. Reporting 1.1 Chula Vista shall provide SDG&E with the requisite information, in accordance with Section 9.4 of the Agreement, on the prior month's activities, accomplishments and expenditures incurred in Unified Chula Vista accounting periods related to its respective Authorized Work obligations, for purposes of prepazing the Monthly, Quarterly and Annual Reporting. 1.2 SDG&E shall provide Chula Vista in accordance with the provisions of Secfion 25 of the Agreenent, or otherwise make available to Chula V ista on SDG&E's website, a copy of the filed Monthly Reporting within five (5) Business Days after filing. 2. Monthly Reporting 2.1 Program Data - A spreadsheet table or tables listing which includes the followng information: Program Costs_(cost reported cumulative-to-date (also referred to as inception-to-date)) a, Program identification number as provided by the Program Administrator b. Program name c. Total wmulaflve program authorized budget as adopted by the Comrrission d. Total cumulative program operating budget which includes any midcourse budget modifications (e.g., fund shifts) e. Total cumulative program expenditures f. Total program expenditures for the report month g. Total cumulative commitments (limited to incentive commitments) Program Impacts (cost reported cumulative-to-date (also referred to as inception-to-date)) a. Total cumulative net kW, kWh, and Therm savings projections b. Total cumulative achieved net k W, kWh and Therm savings c. Total achieved net kW, kWh and Therm savings for the report month d. Total committed (limited to incentive conmtitments) net kW, kWh and Therm savings 2.2 Program Changes/New Program Information If applicable, the following information should be reported in the Monthly report: a. Identification of program with operating budgets reduced during the report month b. Identification of program with operating budgets increased during the report month c. Identification of program terminated during the report month 3. Quarterly Report 3.1 Portfolio Benefit/Cost Metrics (Cumulative to Date a. Total cost to billpayers (TRC, administrative cost and incremental cost per the Standazd Practice Manual) b. Total savings to billpayers (TRC) c. Net benefits to billpayers (TRC) d. TRC Ratio e. PAC Ratio £ Cost per kWh saved (cents/kWh) (PAC) g. Cost per ffierm savings ($/therm) (PAC) 2006-2008 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION OUTREACH PROGRAM AGREEMENT 4-90 3.2 Measure List -A spreadsheet table for each program or program element containing each measure installed, service rendered, or measure/service committed during the report month for which the Program Implememer intends to claim savings. The Program Implementer should include any new measures as part of the quarterly report. The list should display each measure as it is tracked and recorded by the implementer and should include the following parameters at aminimum: a. Name of Measure or Service Rendered b. Measure or Service Description c. DEER Measure ID (where applicable) d. DEER Run ID (where applicable) e. Unit Defmition £ Unit gross kWh savings g. Unit gross Therms savings h. Unit gross kW demand reduction i. Incremental Measure Cost j. Net to Gross Ratio k. Effective Useful Life 1. Detailed end use classification (using classification scheme in section 6) m. Quantity Installed during report period n. Quantity Committed during report period o. Rebate amount paid p. Market Sector classification (using classification scheme in section ~ q. Mazket Segment classification (using classificafion scheme in section ~ 3.3 Expenditures for the program per cost reporting format below (Appendix to Attachment contains fist of allowable costs) a. Commission Authorized Budget b. Operating Budget c. Total Expenditures i. Administrative Cost ii. MarketinglAdvertising/Outreach Costs iii. Directlmplemantation 3.4 GBI Report-Progress towards achieving goals of the Green Building Initiative, if applicable (Cumulative results) a. Estimate of expenditures on program activities that contribute towards GBI goals (including both public and non-public commercial participants) b. Net cumulative achieved kW, kWh and Therm savings contributing towards GBI goals. a Net achieved kW, kWh and Therm savings contributing towazds GBI goals for the quarter. d. A description ofnon-resource program activities that support the Green Building Initiaflve, including marketing and outreach activities. e. Estimate of square footage affected by program activitis supporting the Green Building Initiative £ Items b, c and a above disaggregated by: i. 2-digit NAICS code ii. Aggregated end use classification (using classification scheme m section 5) 3.5 Program Narratives - Fot the program, a description of the program activities occurring during the quarter. a. Administrative activities b. Mazketing activities c. Direct Implementation activities d. Chula Vista's assessment of program performance and program status (is the program on target, exceeding expectations, or falling short of expectations, etc.) 27 2010-2012 CITY OF CHULA VI5TA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-91 e. For non-resource programs and program elements (programs or program elements that are not claiming direct energy impacts), a discussion of the status of program achievements. E Discussion of changes in program emphasis (new program elemens, less or more emphasis on a particular delivery strategy, program elements discontinued, measure discontinued, etc.) g. Discussion of near term plans for program over the coming months (e.g, marketing and outreach efforts that aze expected to significantly increase program participation, etc.) h. Changes to staffing and staff responsibilities, if any i. Changes to contacts, if any j. Changes to subcontractors and subcontractor responsibilities, if any k. Number of customer complaints received 1. Program Theory and Logic Model if not already provided in the program's implementation plan, or if revisions have been made. 3.6 Utility Quarterly Reports - SDG&E shall provide Chula Vista a copy of the filed Quarterly Report within two (2) Business Days after filing with theCommission in accordance with the provisions of the Agreement. 4. Annual Reports The format and content of the annual report is expected to be developed by the CPUC in fall. (to be verified) The Program Implementer will be requved to fulfill these reporting obligations for their program. 5. Reporting Terminology Definitions Adopted Program Budget- The program budget as it is adopted by the Commission. Inclusive of costs (+f) recovered from other sources. Operating Program Budget-The program budget as it is defined by the program administrators for internal program budgeting and management purposes. Inclusive of casts (+<) recovered from other sources. Direct Implementation Expenditures- Costs associated with acflvifies that are a dtrect interface with the customer or progam participant or recipient (e.g., contractor receiving training). (Note: This is still an open issue, the items included in this definition may be changed by the CPUC per:ding discussion on the application of [he State's Standard Practice Manual.) Invoice Month- Invoicing months shall be defined as the calendar month represented in largest part in the Unified Chula Vista's official accounting period schedule (Exhibit F). Data is available t5 days following the end dateof the accounting period. Invoices shall be prepared within t0 working days of the availability of Auditor expense reports. Report Month -The month for which a particular monthly report is providing data and information. For example, the report month for a report covering the month of July 2010, but prepared and delivered later than July 2010, would be July 2010. Program Strategy -The method deployed by a program in order to obtain program participation. Program Element- A subsection of a program, or body of program activities within which a single program strategy is employed. (Example: A body of program activities employing both an upstream rebate approach and a direct install approach is not a single program element.) 6. Measure Classification Measure End-Use Classification Each energy efficiency measure reported should be classified into one of the following enduse categories 28 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCYAND CONSERVATION PARTNERSHIP AGREEMENT 4-92 Residential End Uses Detailed End Use Aggregated End Use Clothes Dryer Appliances Clothes Washer Appliances Consumer Electronics Consumer Electronics Cooking Cooking Appliances Dishwasher Appliances Other Appliance Appliances Building Shell HVAC Space Cooling HVAC Space Heating HVAC Interior Lighting Lighting Exterior Lighting Lighting Pool Pump Pool Pump Freezers Refrigeration Refrigeration Refrigeration Water Heating Water Heating Other (User Entered Text String Description) Other Nonresidential End Uses Detailed End Use Aggregated End Use Building Shell HVAC Space Cooling HVAC Space Heating HVAC Ventilation HVAC Day lighting Lighting Interior Lighting Lighting Exterior Lighting Lighting Office Equipment Office Compressed Air Process Cooking Process Food Processing Process Motors Process Process Cooling Process Process Heat Process Process Steam Process Pumps Process Refrigeration Refrigeration Other (User Entered Text String Description) Other Measure Market Sector/Market Segment Classification Where reports require market sector or market segment classification, the folowing classification scheme should be used. Markef Secfor Market Segmenf Residential NA Single Family NA Multi Family NA Mobile Homes NA 29 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-93 Nonresidential Commercial Industrial Agricultural Unknown 7. Allowable Costs NAICS CODE (greater than 2 digit not required) NAICS CODE (greater than 2 digit not required) NAICS CODE (greater than 2 digit nat required) NAICS CODE (greater than 2 digit not required) NA Allowable Costs Table The cost items listed on the Allowable Costs sheet aze the ottky costs that can be c]aimed for ratepayer-funded energy efficiency work. The costs reported should be only for costs actuatly expended. Any financial commitments are to be categorized as cornmitments. If the reporting entity does not have a cost as listed on the cost reporting sheet, then no cost is to be reported for that item. These Allowable Cost elements aze to be used whenever costs aze invoiced or reported to the program administrator. If there is a desire to include additional Allowable Cost elements, the program administrator should be contacted is order for the administrator to seek a royal from the CPUC. Cost Cate ories Allowable Costs Administrative Cost Category Mana erlal and Clerical Labor IOU Labor -Clerical i IOU Labor -Pro ram Desi n IOU Labor -Pro ram Develo ment IOU Labor - Pr ram Plannin IOU Labor - Pr raMPro'ect Mana ement IOU Labor -Staff Mana ement IOU Labor -Staff Supervision Subcontractor Labor- Clerical Subcontractor Labor- Pro ram Desi n Subcontractor Labor -Pro ram Development Subcontractor Labor -Pro rem Plannin Subtontractor Labor -Pro ram/Pro'ect Mana ement Subcontractor Labor -Staff Mana ement Subcontractor Labor -Staff Su rvision Human Resource Su rt and Develo ment IOU Labor-Human Resources IOU Labor -Staff Development and Trainin IOU Benefits -Administrative Labor IOU Benefits -Direct Im lementation Labor IOU Benefits - Marketin /Advertisin !Outreach Labor IOU Pa roll Tax -Administrative Labor IOU Pa roll Tax-Administrative Labor IOU Pa roll Tax-Administrative Labor IOU Pension-Administrative Labor IOU Pension -Direct Im lementation Labor IOU Pension - Markefin /Advertisin /Outreach Labor Subcontractor Labor- Human Resources Subcontractor Labor -Staff Develo ment and Trainin Subcontractor Benefits -Administrative Labor Subcontractor Benefits -Direct Im lementation Labor Subcontractor Benefits - Marketin /Advertisin /Outreach Labor Subcontractor Pa roll Tax-Administrative Labor Subcontractor Payroll Tax -Direct Implementation Labor 30 2010-2012 CITY OF CHUI,A VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-94 Avowable Costs Table The cost items listed on the Allowable Costs sheet aze the only costs that can be claimed for ratepayer-fimded energy efficiency work. The costs reported should be only for costs actually expended. Any financial commitments aze to be categorized as commitments. If the rq~otting entity does not have a cost as listed on the cost reporting sheet, then no cost is to be reported for that item. These Allowable Cost elements are to be used whenever costs are invoiced or reported to the program administrator. If there is a desire to include additional Allowable Cost elements, the program administrator should be contacted in order for the administrator to seek a royal from the CPUC. Cost Cate ories Allowable Costs Subcontractor Pa roll Tax- Marketing/Advertisin !Outreach Labor Subcontractor Pension -Administrative Labor Subcontractor Pension -Direct Im lementation Labor Subcontractor Pension - Marketin Advertisin /Outreach Labor Travel and Conference Fees IOU Conference Fees IOU Labor -Conference Attendance IOU Travel -Airfare IOU Travel -Lod in IOU Trevel -Meals IOU Travel - Milea e IOU Travel -Parkin IOU Travel -Per Diem for Misc. Ex enses Subcontractor -Conference Fees Subcontractor Labor -Conference Attendance Subcontractor -Travel - Airaare Subcontractor -Travel -Lod in Subcontractor -Travel -Meals Subcontractor -Travel - Milea e Subcontractor- Travel -Parkin Subcontractor -Travel -Per Diem for Misc. Ex enses Overhead General and Administrative -Labor and Materials IOU E ui ment Communications IOU E ui ment Computin IOU E ui ment Document Re roduction IOU E ui ment General Office IOU E uipment Trans ortafion IOU Food Service IOU Office Su lies- IOU Posta e IOU Labor-ACCOUntin Su port IOU Labor -Accounts Pa able IOU Labor-Accounts Receivable IOU Labor-Administrative IOU Labor -Facilities Maintenance IOU Labor -Materials Management IOU Labor -Procurement IOU Labor - Sho Services IOU Labor -Trans ortation Services [OU Labor - Automated S stems IOU Labor -Communications IOU Labor- Information Technolo y IOU Labor -Telecommunications 31 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-95 Allowable Costs Table The cost items listed on the Allowable Costs sheet are the only costs that can be claimed for ratepayer-funded energy efficiency work. The costs reported should be only for costs actually expended. Any fmancial commitments are to be categorized as commitments. If the reporting entity does not have a cost as lister on the cost reporting sheet, then no cost is to be reported for that item. These Allowable Cost elements are to be used whenever costs aze invoiced or reported to the program admhstrator. If there is a desire to include additional Allowable Cost elements, the program administrator should be contacted in order for the administrator to seek a royal from the CPUC. Cost Cate ones Allowable Costs Subcontractor E ui ment Communications Subcontractor E ui ment Com utin Subcontractor E ui ment Document Re roduction Subcontractor E ui ment General Office Subcontractor E ui ment Trans ortation Subcontractor Food Service Subcontractor Office Su lies Subcontractor Posta e Subcontractor Labor - Accountin Su ort Subcontractor Labor -Accounts Pa able Subcontractor Labor- Accounts Receivable Subcontractor Labor -Facilities Maintenance Subcontractor Labor -Materials Mana ement Subcontractor Labor -Procurement Subcontractor Labor - Sho Services Subcontractor Labor -Administrative Subcontractor Labor- Transportation Services Subcontractor Labor - Automated S stems Subcontractor Labor -Communications Subcontractor Labor -Information Technofo Subcontractor Labor -Telecommunications Marketin /Advertisin /Outreach Cost Cate o IOU -Advertisements /Media Promotions IOU -Bill Inserts IOU -Brochures IOU -Door Han ers IOU -Print Advertisements IOU -Radio Spots IOU - Television S ots IOU -Website Develo ment IOU Labor -Marketin IOU Labor -Media Production ' IOU Labor -Business Outreach IOU Labor -Customer Outreach IOU Labor- Customer Relations Subcontractor -Bill Inserts Subcontractor -Brochures Subcontractor -Door Han ers Subcontractor -Print Advertisements Subcontractor -Radio Spots Subcontractor - Television S ots Subcontractor -Website Develo ment Subcontractor Labor -Marketin 32 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-96 Allowable Costs Table The cost items listed on the Allowable Costs sheet aze the only costs that can be claimed for ratepayer-funded energy efficiency work. The costs reported should be only for costs actually expended, Any fmancial commitments are to be categorized as commitments. If the reporting entity does not have a cost as listed on the cost reporting sheet, then no cost is m be reported for that item. These Allowable Cost elements are to be used whenever costs aze invoiced or reported to the program administrator. If there is a desire to include additional Allowable Cost elements, the program administrator should be contacted in order for the administrator to seek royal from the CPUC. Cost Cate ones Allowable Costs Subcontractor Labor -Media Production Subcontractor Labor- Business Outreach Subcontractor Labor -Customer Outreach Subcontractor Labor- Customer Relations Direct Im lementation Cost Cate o Financial Incentives to Customers Activi -Direct Labor IOU Labor - Curciculum Development IOU Labor -Customer Education and Trainin IOU Labor -Customer Equipment Testin and Dia nostics IOU Labor -Facilities Audits Subcontractor Labor -Facilities Audits Subcontractor Labor -Curriculum Develo ment Subconfractor Labor -Customer Education and Trainin Subcontractor Labor - Customer E ui ment Testin and Dia nostics ' Installation and Service -Labor IOU Labor- Customer E ui ment Re air and Servicin IOU Labor- Measure Installation Subcontractor Labor - Customer E ui ment Re air and Servicin Subcontractor Labor -Customer Equi ment Re air and Servicing Direct Im lementation Hardware and Materials IOU AuditA lications and Forms IOU Direct Im lementation Literature IOU Education Materials IOU Ener Measurement Tools IOU Installation Hardware Subcontractor -Direct Im lementation Literature Subcontractor -Education Materials Subcontractor -Ener Measurement Tools Subcontractor -Installation Hardware Subcontractor -Audit A lications and Forms Rebate Processin and Ins action -Labor and Materials IOU Labor -Field Verification IOU Labor -Site Ins actions IOU Labor -Rebate Processin IOU Rebate Ap lications Subcontractor Labor -Field Verification Subcontractor Labor -Rebate Processin Subcontractor -Rebate Ap lications 33 2010-2012 CITY OF CHULA VISTA ENERGY EFFICIENCY AND CONSERVATION PARTNERSHIP AGREEMENT 4-97