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HomeMy WebLinkAbout7 NCPA Support Services Agreementenda Item # CONSENT To: Board of Directors From: Steven Poncelet ate. DNovember 02, 2016 Subject: Consideration of an agreement with NCPA for the Support Services Program Agreement (SSPA) 1. WHY THIS MATTER IS BEFORE THE BOARD This item is before the Board because the Northern California Power Agency (NCPA) Support Services Program Agreement (SPPA) requires board approval. 2. HISTORY The District has been a member of NCPA since the 1980's and NCPA has been a key partner in leveraging the benefits of joint -action in the electric utility industry amongst the 17 public -owned utilities in Northern California currently members of NCPA and signatories to the Joint Powers Agreement (JPA). The benefits to the District in participating in NCPA include NCPA's support of the District in Legislative & Regulatory (L&R) affairs, public benefit programs, and joint -procurements. In general, joint -action within the public power community leverages resources, promotes the sharing industry knowledge/technology, and increases the District's access and influence at the State and National level. As a member of NCPA, the District has the opportunity to participate in joint generationI transmission and other projects, as well as other supporting programs such as scheduling and dispatch services and legislative advocacy services. The District currently receives benefits from various projects and programs offered at NCPA. In particular, the District is active in the L&R committee and has taken advantage of joint -procurements conducted by NCPA with regards to energy conservation programs/measures along with professional services to assist with regulatory reporting requirements. These agreements tended to be specific to a given program or procurement and NCPA and its members are seeking ways to make joint - action more effective and efficient. 3. NEW INFORMATION NCPA is expanding service offerings to its members under the attached Support Services Program Agreement (SPPA) (included as Attachment 1) to provide additional economies of scale and savings through joint contracting among members. NCPA will provide certain support services to the District, including, but not limited to, joint purchasing, engineering services, transmission and distribution planning, power marketing and analysis, employee training, employment and human relations assistance, customer services and billing, metering and data management, power plant operations, and other forms of assistance and professional services relating to the operation of a publicly owned electric as outlined in the SSPA, all within the scope of the NCPA JPA. Services under the SSPA are voluntary, and each member is able to select and pay for such support services as needed for their particular organization. Under the SSPA, designated depresentatives are responsible for committing to individual service offerings on behalf of the member organization and such designative representatives are delegated authority by their governing board to bind the member to contractually receive and pay for such elected services. For the District, the designated representatives are proposed to be the General Manager and Board President depending on the level of procurement. Further, the Board delegates to the designated representatives under the SSPA the authority to execute confirmations as described in the SSPA for selected services desired by the District for amounts not to exceed a limit per confirmation established by the District's Board. Based on the District's enabling legislation regarding procurements, staff is recommending a not to exceed amount of $15,000 for the SPPA for approval by the District's General Manger. Staff is also recommending a not to exceed amount of $250,000 for approval by the District's General Manager and Board President. Any proposed District procurements using the SPPA in excess of $15,000 per confirmation would be brought to the Board for approval remaining consistent with District Code procurements. 4. FISCAL IMPACT There are no direct fiscal impacts associated with this Board action. The NCPA SPPA could improve the effectiveness and efficiency of District procurements within our current procurement policies and budgeting process. 5. RECOMMENDATION Approve District Resolution 2016-26, and authorize the General Manager to execute the NCPA Support Services Program Agreement (SSPA) and associated documents. Steven Poncelet Public Information &Conservation Manager Michael D. Holley General Manager