HomeMy WebLinkAbout#12 SaaS E agreement AGENDA ITEM #12
Public Utility District m
MEETING DATE: October 2, 2024
TO: Board of Directors
FROM: Steven Keates, Special Projects Administrator
SUBJECT: Consideration of Authorizing a 3-year Contract with SaaS E
Solutions in an Amount Not to Exceed $237,600.
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Authorize the General Manager to execute a 3-year contract with SaaS E Solutions for
energy efficiency rebate program management software services, for a total not to
exceed amount of$237,600.
BACKGROUND:
In 2021, the District migrated its energy efficiency rebate processing database from Energy
Orbit to the Energy Efficiency Collaboration Platform (EECP). Since 2021, District staff
have used EECP to streamline internal workflows and process almost 1,000 rebate
applications for District customers. Furthermore, District staff have used the add-on
software (Vimotely) to perform numerous remote Residential Energy Surveys for District
customers. The District is contracted with Launch Consulting Group for two specific
services:
• Energy Efficiency Collaboration Platform - Database used to manage rebate
processing workflow and reporting.
• Vimotely - Remote video & data capture software used to facilitate the District's
current residential energy survey program.
ANALYSIS AND BODY:
The vendor we have been using to license and support EECP, Launch Consulting, has
notified us that they will cease support of their SaaS product as of December 1 It 2024 (end
of this year). This notice surprised staff, as the District recently signed a re-newel contract
with Launch in March of this year (2024), with the contract set to expire 12/31/2026. While
the original vendor and creator of EECP, Direct Technology, was recently acquired by
Launch Consulting; Launch Consulting did not provide any indication that they planned to
discontinue support for the product.
In order to maintain uninterrupted continuity of our customer programs, the District has until
12/01/2024 to implement a replacement solution. Staff have identified a replacement SaaS
vendor for this critical component of our program implementation, who is uniquely qualified
Page 1 of 3
Page 30 of 231
to provide these services as the company, SaaS E Solutions, was established by several
previous employees of Direct Technology who were the original software developers. SaaS
E Solutions has indicated to District staff that it will take over development & support for the
EECP product. They have also indicated they can stand up to a production environment,
which will copy all existing data before the December deadline — allowing a seamless
transition for our programs.
GOALS AND OBJECTIVES:
District Code 1 .05.020 Objectives:
1. Responsibly serve the public.
2. Provide a healthy and safe work environment for all District employees.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
4. Provide reliable and high quality electric supply and distribution system to meet
current and future needs.
5. Manage the District in an environmentally sound manner.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1 .05.030 Goals:
1. Manage for Financial Stability and Resiliency
2. Environmental Stewardship: Create a sustainable resilient environment for all our
communities.
3. Engage with our customers and communities in a welcoming and transparent way to
identify opportunities.
4. Take the best of private sector thinking to modernize the utility and add value to our
communities.
FISCAL IMPACT:
Transitioning to SaaS E Solutions will incur additional costs to the District for these services
compared to the current contract, for which the Conservation Department originally
budgeted. The current contract is priced at $4,377.78 per month for the 3-year period (2024
through 2026), with a total contract value of$173,360 (which includes a 10% change order
authorization). SaaS e Solutions has quoted the District a one-time cost of$36,000 to set
up new servers and transition our database/set-up to their hosting solution. Continued
licensing and support will be $5,000 per month with SaaS e Solutions. The total proposed
new contract value for SaaS E Solutions is $237,600. The following table shows the cost
breakdown and comparison described above.
Proposed
ContractContract (Ending)
One-
Time
Setup $36,000.00 $0.00
Monthly
Licensing $5,000.00 $4,377.78
Total
Cost $216,000.00 $157,600.00
Page 2 of 3
Page 31 of 231
With 10%
change
order $237,600.00 $173,360.00
The total cost difference between the two services is $64,240 over the 3-year contract
duration. It should be noted that $36,000 is incurred due to the set-up of new servers and
would be required by any new vendor. It is therefore helpful to compare the ongoing
licensing fees, which resulted in a total increase of$22,400 for the 3-year contract period.
While the proposed contract exceeds the amount originally expected during the budget
planning process, there are sufficient funds within the Department 4 budget to absorb these
costs. Staff have explored the cost of developing a similar solution in-house, and concluded
it would be significantly more expensive than outsourcing. Furthermore, the cost of
transitioning to an alternate but similar product would exceed the costs quoted by SaaS E
Solutions for continued use of the existing product with the new vendor.
ATTACHMENTS:
None
Page 3 of 3
Page 32 of 231