HomeMy WebLinkAbout25N - AGMT - STREET LIGHT SYSREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
AUGUST 4, 2015
TITLE:
AGREEMENT WITH TANKO LIGHTING,
INC., FOR FEASIBILITY STUDY AND
ACQUISITION SUPPORT TO PURCHASE
THE STREET LIGHT SYSTEM FROM
SOUTHERN CALIFORNIA EDISON
(RFP NO. 15063) (GENERAL FUND)
(STRATEGIC PLAN NO. 6, 1C)
CITY MANAGER
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑ As Amended
❑ Ordinance on 1" Reading
❑ Ordinance on 2nd Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
FILE NUMBER
Authorize the City Manager and Clerk of the Council to execute an agreement with Tanko
Lighting, Inc., the lowest responsible bidder, subject to nonsubstantive changes approved by the
City Manager and City Attorney, to conduct a feasibility study and provide acquisition support to
purchase the Citywide street light system from Southern California Edison, for a two -year term
expiring on August 4, 2017, with a provision for one, one -year extension exercisable by written
authorization of the City Manager and City Attorney, for a maximum term of three years, in a total
amount not to exceed $267,313.
In recent years, Southern California Edison (SCE) altered its long- standing corporate policy and
established a Street Light Acquisition Program to allow local governments the opportunity to
purchase SCE -awned street lights (LS -1) within their jurisdictions. SCE currently owns
approximately 11,500 outdated LS -1 High - Pressure Sodium (HPS) street lights throughout the
City, of which over 90 percent are available for purchase. Staff researched the feasibility of this
acquisition and has concluded that City ownership of the street light system would result in
substantial savings In operations and energy costs, yield more responsive maintenance and
timely repairs, and allow for modernization of the entire system using the cost savings. SCE will
be closing Its Street Light Acquisition Program in August 2015; however, they will complete their
review of all applications, including Santa Ana's, that have been received before the deadline.
Acquiring the street lights would allow the City to update the system with energy - efficient Light -
Emitting Diode (LED) fixtures which have superior illumination compared to conventional HPS
fixtures. In addition, LEDs have a 15 -year lifespan compared to the 3- to 5 -year lifespan for HPS,
yielding significant savings in maintenance costs. As a result of conversion, the City's street light
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Agreement with Tanko Lighting, Inc.,
for Street Light Purchase Feasibility Study
August 4, 2015
Page 2
energy rate will change from LS -1 to a lower LS -2 rate, which translates to a savings of
approximately $8 per month in utility charges for each street light. The utility charge savings
would be leveraged to cover the capital cost of system conversion and modernizations through a
separate contract. Projects under consideration include state -of- the -art solar technology that
would facilitate further reductions in energy consumption, a robust citywide Wi -Fi system utilizing
the street light infrastructure, and added emergency response features for Fire and Police
operations. In addition, the City would be able to maintain prudent and sufficient reserves for
ongoing street light replacement, and establish performance standards to improve and expand
continuous nighttime street lighting for the community.
To purchase the street light system, the parties involved must follow procedures established by
SCE and the California Public Utilities Commission (CPUC). Essentially, a detailed appraisal of
the existing SCE -owned street light system is necessary to establish an equitable value using the
Replacement- Cost - New - Less - Depreciation ( RCNLD) method. Should the City decide to move
forward with the street light acquisition, the ownership transfer must be processed and approved
by the CPUC.
On May 19, 2015, the Public Works Agency issued a Request for Proposals (RFP) seeking
qualified firms with expertise in municipal street lighting to evaluate the feasibility of
acquiring the citywide street lighting system from SCE. The scope of services sought included
the following:
Phase 1: Initial Valuation and Street Light Assessment
oAssist the City during SCE initial evaluation and assessment of street lights.
o Develop an independent RCNLD evaluation.
Phase 2: Final Valuation and Street Light Acquisition
o Perform a detailed audit of the entire street light system.
o Perform a GPS /GIS survey of the entire street light system.
o Perform data analyses to reconcile survey /audit with SCE invoicing to identify billing
discrepancies.
oAssess street lighting enhancements to attain an improved distribution of nighttime
illumination levels.
Phase 3: Street Light Financial Analysis
o Evaluate and recommend purchase alternatives, including financing options for the
acquisition, construction, and maintenance of the street light system.
oDetermine current and future costs of street lights, including tariffs, energy, distribution,
etc.
o Assist the City with the purchase negotiations and SCE formal appraisal.
c Develop comparison analysis identifying positive cash flow savings and system efficiency.
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Agreement with Tanko Lighting, Inc.,
for Street Light Purchase Feasibility Study
August 4, 2015
Page 3
If the financial analysis supports the street light acquisition and the City elects to continue with the
project, the following phases would occur:
Phase 4: Street Light Acquisition
•Assist the City with the acquisition approval filing with the CPLIC.
• Provide technical support to identify appropriate energy efficiency technology to retrofit
existing street lights.
• Provide recommendations and technical support to identify relevant control technology to
incorporate into the street light program, including identifying potential revenue sources.
Phase 5: Coordination of Commissioning & Conversion
• Provide public outreach coordination and support.
• Provide logistics support for commissioning of lights and installation of conversions.
• Provide support for utility rebate documentation and filing.
• Provide GIS -based mapping of retrofitted systems.
Three proposals were received and evaluated based on each firm's technical experience in
performing work of a similar nature; qualifications of project staff; depth of understanding of the
scope of work and the City's requirements; quality of work plan; ability to meet the project
deadline; and practicality and affordability of the proposed costs compared with other offers
received. The results of the selection committee evaluation are as follows:
Rank
Firm
Score
1
Tanko Lighting, Inc.
98
2
Southern Contracting
94
3
P &E Automation
51
Based on the evaluation, it is recommended that Tanko Lighting, Inc., be awarded the contract for
Phases 1, 2, and 3, in an amount not to exceed $267,313. Approval of this recommended action
will allow the City to obtain a full cost - benefit analysis of the street lighting system acquisition from
SCE, including full physical and financial audit and evaluation. Should the City elect to continue
with the project, Phases 4 and 5 would be awarded by future Council action.
STRATEGIC PLAN ALIGNMENT
Approval of this item supports the City's efforts to meet Goal #6 Community Facilities &
Infrastructure, Objective #1 (establish and maintain a Community Investment Plan for all City
assets), Strategy C (invest resources and technology to extend the service life of existing
infrastructure to protect the City's investment and support a high quality of life standard).
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Agreement with Tanko Lighting, Inc.,
for Street Light Purchase Feasibility Study
August 4, 2015
Page 4
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funds in the amount of $267,313 are budgeted and available for expenditure in Fiscal Year 2015-
16 Street Light Maintenance Fund (Account No. 01117630 - 62300).
Executive Director
Public Works Agency
FM /EWG /kw
Exhibits: 1. Agreement
APPROVED AS TO FUNDS & ACCOUNTS:
Francisco Gu ierrez U k
Executive Director
Finance & Management Services Agency
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AGREEMENT FOR CITYWIDE STREETLIGHT ACQUISITION,
FEASIBILITY STUDY & ENERGY EFFICIENCY ANYLSES PROJECT
RFP #14 -020
THIS AGREEMENT, made and entered into this 5th day of August, 2015 by and
between Tanko Streetlighting, Inc. dba Tanko Lighting (hereinafter "Consultant'), and the
City of Santa Ana, a charter City and municipal corporation organized and existing under
the Constitution and laws of the State of California (hereinafter "City ").
RECITALS
A. The City desires to retain a Consultant having special skill and knowledge in the field
of Street light acquisition and retrofit.
B. Consultant represents that Consultant is able and willing to provide such services to
the City and is licensed by the State of California to provide streetlight consultation
services.
C. In undertaking the performance of this Agreement, Consultant represents that it is
knowledgeable in its field and that any services performed by Consultant under this
Agreement will be performed in compliance with such standards as may reasonably
be expected from a professional firm.
NOW THEREFORE, in consideration of the mutual and respective promises, and
subject to the terms and conditions hereinafter set forth, the parties agree as follows:
SCOPE OF SERVICES
Consultant shall perform those services identified as Phase 1. 2. and 3 as set forth in
Exhibit A to this Agreement.
2. COMPENSATION
a. City agrees to pay, and Consultant agrees to accept as total payment for
Phase 1 2 and 3 services, the rates and charges identified in Exhibit B.
The total sum to be expended under this Agreement shall not exceed
$267,313 during the term of this Agreement.
b. Payment by City shall be made within forty -five (45) days following receipt
of proper invoice evidencing work performed, subject to City accounting
procedures. Payment need not be made for work which fails to meet the
standards of performance set forth in the Recitals which may reasonably
be expected by City.
3. TERM
This Agreement shall commence on the date first written above and terminate on August
4, 2017, unless terminated earlier in accordance with Section 15, below. The term of this
Agreement may be extended for a one year period upon a writing executed by the City Manager
and the City Attorney.
Exhibit 1
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4. INDEPENDENT CONTRACTOR
Consultant shall, during the entire term of this Agreement, be construed to be an
independent contractor and not an employee of the City. This Agreement is not intended nor
shall it be construed to create an employer - employee relationship, a joint venture relationship,
or to allow the City to exercise discretion or control over the professional manner in which
Consultant performs the services which are the subject matter of this Agreement; however, the
services to be provided by Consultant shall be provided in a manner consistent with all
applicable standards and regulations governing such services. Consultant shall pay all salaries
and wages, employer's social security taxes, unemployment insurance and similar taxes relating
to employees and shall be responsible for all applicable withholding taxes.
5. OWNERSHIP OF MATERIALS
Upon completion of all work under this Agreement, ownership and title to all reports,
documents, tracings, plans, specifications, estimates and maps prepared or obtained under the
terms of this Agreement shall be delivered to, and become the property of City. Basic survey
notes and sketches, charts, computations, and other data prepared or obtained pursuant to this
Agreement shall be made available upon request of the City without restriction or limitation on
their use. Contractor shall furnish the City all necessary copies of data needed to complete the
review and approval process.
6. INSURANCE
Prior to undertaking performance of work under this Agreement, Consultant shall
maintain and shall require its subcontractors, if any, to obtain and maintain insurance as
described below:
a. Commercial General Liability Insurance. Consultant shall maintain commercial
general liability insurance naming the City, its officers, employees, agents, volunteers
and representatives as additional insured(s) and shall include, but not be limited to
protection against claims arising from bodily and personal injury, including death
resulting therefrom and damage to property, resulting from any act or occurrence
arising out of Consultant's operations in the performance of this Agreement,
including, without limitation, acts involving vehicles. The amounts of Insurance shall
be not less than the following: single limit coverage applying to bodily and personal
injury, including death resulting therefrom, and property damage, in the total amount
of $1,000,000 per occurrence, with $2,000,000 in the aggregate. Consultant shall
supply City with a fully executed additional insured endorsement in substantially the
form attached hereto as Exhibit C upon execution of this Agreement.
b. Business automobile liability insurance, or equivalent form, with a combined single
limit of not less than $1,000,000 per occurrence. Such insurance shall include
coverage for owned, hired and non -owned automobiles.
c. Worker's Compensation Insurance. In accordance with the provisions of Section
3700 of the Labor Code, Consultant, if Consultant has any employees, is required to
be insured against liability for worker's compensation or to undertake self- insurance.
Prior to commencing the performance of the work under this Agreement, Consultant
agrees to obtain and maintain any employer's liability insurance with limits not less
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than $1,000,000 per accident.
d. If Consultant is or employs a licensed professional such as an architect or engineer:
Professional liability (errors and omissions) insurance, with a combined single limit of
not less than $1,000,000 per claim with $2,000,000 in the aggregate.
e. The following requirements apply to the insurance to be provided by Consultant
pursuant to this section:
(i) Consultant shall maintain all insurance required above in full force
and effect for the entire period covered by this Agreement.
(ii) Certificates of insurance shall be furnished to the City upon
execution of this Agreement and shall be approved by the City.
(Iii) Certificates and policies shall state that the policies shall not be
canceled or reduced in coverage or changed in any other material
aspect by Consultant without thirty (30) days prior written notice to
the City.
If Consultant fails or refuses to produce or maintain the insurance required by
this section or fails or refuses to furnish the City with required proof that
insurance has been procured and is in force and paid for, the City shall have the
right, at the City's election, to forthwith terminate this Agreement. Such
termination shall not affect Consultant's right to be paid for its time and materials
expended prior to notification of termination. Consultant waives the right to
receive compensation and agrees to indemnify the City for any work performed
prior to approval of insurance by the City.
7. INOEMNIFICATION
Consultant agrees to and shall indemnify and hold harmless the City, its officers,
agents, employees, consultants, special counsel, and representatives from liability: (1) for
personal injury, damages, just compensation, restitution, judicial or equitable relief arising out of
claims for personal injury, including death, and claims for property damage, which may arise
from the negligent operations of the Consultant or its contractors, subcontractors, agents,
employees, or other persons acting on their behalf which relates to the services described in
section 1 of this Agreement; and (2) from any claim that personal injury, damages, just
compensation, restitution, judicial or equitable relief is due by reason of the terms of or effects
arising from this Agreement to the extent that such liability is caused by the negligence of the
Consultant. This indemnity and hold harmless agreement applies to all claims for damages, just
compensation, restitution, judicial or equitable relief suffered, or alleged to have been suffered,
by reason of the events referred to in this Section or by reason of the terms of, or effects, arising
from this Agreement. The Consultant further agrees to indemnify, hold harmless, and pay all
costs for the defense of the City, including fees and costs for special counsel to be selected by
the City, regarding any action by a third party challenging the validity of this Agreement, or
asserting that personal injury, damages, just compensation, restitution, judicial or equitable relief
due to personal or property rights arises by reason of the terms of, or effects arising from this
Agreement. City may make all reasonable decisions with respect to its representation in any
legal proceeding. In no case will Consultant be required to indemnify or hold harmless the City
from injury, damages, just compensation, restitution, judicial or equitable relief caused by
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negligence of the City.
8. INTELLECTUAL PROPERTY INDEMNIFICATION
Consultant shall defend and indemnify the City, its officers, agents, representatives, and
employees against any and all liability, including costs, for infringement of any United States'
letters patent, trademark, or copyright infringement, including costs, contained in the work
product or documents provided by Consultant to the City pursuant to this Agreement.
9. RECORDS
Consultant shall keep records and invoices in connection with the work to be performed
under this Agreement. Consultant shall maintain complete and accurate records with respect to
the costs incurred under this Agreement and any services, expenditures, and disbursements
charged to the City for a minimum period of three (3) years, or for any longer period required by
law, from the date of final payment to Consultant under this Agreement. All such records and
invoices shall be clearly identifiable. Consultant shall allow a representative of the City to
examine, audit, and make transcripts or copies of such records and any other documents
created pursuant to this Agreement during regular business hours. Consultant shall allow
inspection of all work, data, documents, proceedings, and activities related to this Agreement for
a period of three (3) years from the date of final payment to Consultant under this Agreement.
10. CONFIDENTIALITY
If Consultant receives from the City information which due to the nature of such
information is reasonably understood to be confidential and /or proprietary, Consultant agrees
that it shall not use or disclose such information except in the performance of this Agreement,
and further agrees to exercise the same degree of care it uses to protect its own information of
like importance, but in no event less than reasonable care. "Confidential Information" shall
include all nonpublic information. Confidential information includes not only written information,
but also information transferred orally, visually, electronically, or by other means. Confidential
information disclosed to either party by any subsidiary and /or agent of the other party is covered
by this Agreement. The foregoing obligations of non -use and nondisclosure shall not apply to
any information that (a) has been disclosed in publicly available sources; (b) is, through no fault
of the Consultant disclosed in a publicly available source; (c) is in rightful possession of the
Consultant without an obligation of confidentiality; (d) is required to be disclosed by operation of
law; or (e) is independently developed by the Consultant without reference to information
disclosed by the City.
11. CONFLICT OF INTEREST CLAUSE
Consultant covenants that it presently has no interests and shall not have interests,
direct or indirect, which would conflict in any manner with performance of services specified
under this Agreement.
12. NOTICE
Any notice, tender, demand, delivery, or other communication pursuant to this
Agreement shall be in writing and shall be deemed to be properly given if delivered in
person or mailed by first class or certified mail, postage prepaid, or sent by telefacsimile
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or other telegraphic communication in the manner provided in this Section, to the
following persons:
To City: Clerk of the City Council
City of Santa Ana
20 Civic Center Plaza (M -30)
P.O. Box 1988
Santa Ana, CA 92702 -1988
Fax No. 714 -647 -6956
With courtesy copies to:
Executive Director of the Public Works Agency
City of Santa Ana
20 Civic Center Plaza (M -21)
P.O. Box 1988
Santa Ana, California 92702
Fax No. 714 -647 -5622
and City Attorney
City of Santa Ana
20 Civic Center Plaza (M -29)
P.O. Box 1988
Santa Ana, California 92702
Fax No. 714- 647 -6515
To Consultant: Tanko Lighting
Jason Tanko, President
1000 Quesada Avenue
San Francisco, California 94124
13. EXCLUSIVITY AND AMENDMENT
This Agreement represents the complete and exclusive statement between the City and
Consultant, and supersedes any and all other agreements, oral or written, between the parties.
In the event of a conflict between the terms of this Agreement and any attachments hereto, the
terms of this Agreement shall prevail. This Agreement may not be modified except by written
instrument signed by the City and by an authorized representative of Consultant. The parties
agree that any terms or conditions of any purchase order or other instrument that are
inconsistent with, or in addition to, the terms and conditions hereof, shall not bind or obligate
Consultant or the City. Each party to this Agreement acknowledges that no representations,
inducements, promises or agreements, orally or otherwise, have been made by any party, or
anyone acting on behalf of any party, which are not embodied herein.
14. ASSIGNMENT
Inasmuch as this Agreement is intended to secure the specialized services of
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Consultant, Consultant may not assign, transfer, delegate, or subcontract any interest herein
without the prior written consent of the City and any such assignment, transfer, delegation or
subcontract without the City's prior written consent shall be considered null and void. Nothing in
this Agreement shall be construed to limit the City's ability to have any of the services which are
the subject to this Agreement performed by City personnel or by other consultants retained by
City.
15. TERMINATION
This Agreement may be terminated by the City upon thirty (30) days written notice of
termination. In such event, Consultant shall be entitled to receive and the City shall pay
Consultant compensation for all services performed by Consultant prior to receipt of such notice
of termination, subject to the following conditions:
a. As a condition of such payment, the Executive Director may require Consultant to
deliver to the City all work product completed as of such date, and in such case
such work product shall be the property of the City unless prohibited by law, and
Consultant consents to the City's use thereof for such purposes as the City
deems appropriate.
b. Payment need not be made for work which fails to meet the standard of
performance specified in the Recitals of this Agreement.
16. DISCRIMINATION
Consultant shall not discriminate because of race, color, creed, religion, sex, marital
status, sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited
by applicable law, in the recruitment, selection, training, utilization, promotion, termination or
other employment related activities. Consultant affirms that it is an equal opportunity employer
and shall comply with all applicable federal, state and local laws and regulations.
17. JURISDICTION - VENUE
This Agreement has been executed and delivered in the State of California and the
validity, interpretation, performance, and enforcement of any of the clauses of this Agreement
shall be determined and governed by the laws of the State of California. Both parties further
agree that Orange County, California, shall be the venue for any action or proceeding that may
be brought or arise out of, in connection with or by reason of this Agreement.
18. PROFESSIONAL LICENSES
Consultant shall, throughout the term of this Agreement, maintain all necessary licenses,
permits, approvals, waivers, and exemptions necessary for the provision of the services
hereunder and required by the laws and regulations of the United States, the State of California,
the City of Santa Ana and all other governmental agencies. Consultant shall notify the City
immediately and in writing of its inability to obtain or maintain such permits, licenses, approvals,
waivers, and exemptions. Said inability shall be cause for termination of this Agreement.
19. MISCELLANEOUS PROVISIONS
a. Each undersigned represents and warrants that its signature hereinbelow has the
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prayer, authoity and right to bind their respective parties to each of the terms Of
this Agreement, and shalt indemnify City fully. Including reasonable oasts and
attorney's Fees, for any injuries or damages to City in the evert that such
authority or power is root, in fact, held by the signatory or is withdrawn.
ta. All Exhibits referenced herein and attached hereto $hail be incorporated as if fully
set forth in the body of this Agreement.
IN WITNESS HEREOF, the parties hereto have executed this Agreement the date and year
first above written.
ATTEST-
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CAyMainager
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EXHIBIT A
SCOPE OF SERVICES
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II. Scope of Services and Schedule
Proposal shall include a Scope of Services and Schedule which details the work phases to be completed, the tasks
to be accomplished, the deliverables to be provided, and the schedule timeline to complete the project, based upon
the requested Scope of Work, shown in Attachment 1 in the Appendix of the RFP.
Task is Development of initial RCNLD Valuation
Tanko Lighting will develop and document an independent initial assessment of RCNLD valuation based on the
City's audit data, information provided by SCE, PUC and public records. One item of note is that Tanko Lighting
has a long and positive working relationship with the local manufacturer's representative agency that supplies
SCE with many of its current system needs. Tanko Lighting will leverage this relationship to confirm SCE's
recent supplies purchase costs for its system, thereby further validating the valuation amounts.
Task 2: Coordinate Acquisition of Street Lighting System
Tanko Lighting will coordinate as necessary to ensure a successful acquisition of the street lighting system.
It is important to note that the City of Santa Ana is not the first municipality in SCE's territory to commence the
acquisition process. As such, the City can benefit from the fact that SCE is becoming more accustomed to this
process, which increases the likelihood that the City of Santa Ana will have a streamlined experience. further,
in Tanko Lighting's experience, most recent acquisitions in California (including the City of Richmond just a few
months ago) have not necessitated any outside legal resources and merely relied on internal legal staff to
complete the acquisition process. Thus, Tanko Lighting does not anticipate the need for any additional
subcontractors. However, should the acquisition process for some reason become more complicated and /or
contentious, Tanko Lighting will work with qualified legal partners with experience in municipal street light
acquisitions to bring additional resources to the project.
Task 1: Comprehensive Street Lighting Audit
Tanko Lighting will conduct a Geographic Information System (GIS) investment grade audit for this project that
will be inclusive of both the approximate 11,545 street lights within the City's boundaries currently owned and
operated by SCE, as well as the additional City -owned fixtures (which Tanko Lighting understands represent an
estimated additional 3,000 fixtures). In Tanko Lighting's experience, a proper GIS audit is essential to equipping
the City with a comprehensive and accurate understanding of its existing infrastructure. The GIS audit is pivotal,
as the information it provides enables appropriate design and product procurement. Tanko Lighting's GIS audit
also results in streamlined installation (should the City proceed to that phase), as it identifies potential
obstructions and other on -site challenges.
Tanko Lighting has significant expertise in Geographic Information System (GIS) auditing of street light systems.
Unlike competitors, who might attempt to merely count fixtures in an audit, Tanko Lighting's auditors are highly
trained in the technical nuances of street lighting systems and are experts at identifying existing infrastructure.
Tanko Lighting's auditors will collect data and identify such on -site information as:
• The Global Positioning System (GPS) coordinates (latitude, longitude) of each fixture location
• Lamp type (e.g, high pressure sodium, metal halide, etc.)
• Pole age /installation year (if available)
• Light and pole tag number
• Pole mounting configuration
• Lamp wattage
• Type of service (e.g. overhead, underground)
• Other attachments to street light circuit (e.g. holiday lights, lighted signs, cameras, antennas, etc.)
Tanko Ligliting Statement of Qua lificalion , -City of Santa Ma -- RFP 415 -063
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Page 17 of 26
• Any damage to pole /lamp; improvements to the pole /lamp to mitigate damage and date of improvement
(where possible)
• Pole height, mast arm length
• Pole type (e.g, street light only, utility distribution, traffic signal, mast arm — including single /double and
length, decorative, etc.)
• Pole material (e.g. wood, metal, concrete, fiberglass)
• Street name
• Physical attributes and /or issues — such as paint color, electrical hazards, open hand holes, graffiti, tree
obstructions, etc.
Unlike other potential providers, Tanko Lighting is an industry expert focused solely on street lighting. Tanko
Lighting has built its own in -house data team with the right blend of both street lighting technical expertise and
data analysis skills to collect and reconcile accurate project data. Further, Tanko Lighting's field auditors have
accurately collected data thousands of street light fixtures nationwide — ensuring that the City's audit will be
conducted by highly qualified professionals with tremendous experience. This renders Tanko Lighting as the
most qualified to perform the GIS audit, as its staff is extremely experienced in the nuances and characteristics
of all street light installations.
Drawing from these expertise, Tanko Lighting's auditors will collect and transmit data points daily, using GPS
devices. Tanko Lighting will compile data weekly to provide the City with a Weekly Audit Report (see Appendix
B for a sample report), which will enable the City to identify and address (or request SCE to address) any
immediate safety concerns, as well as other issues — such as tree trimming — that may need attention prior to
any future LED installation or maintenance phase.
Once the on -site data is obtained (and cross - referenced with any other available system data via the Data
Reconciliation Task below), Tanko Lighting will compile and provide this complete data to the City in an electronic
Geographic Information System (GIS) file in the City's choice of either a shape file format, geodatabase and/or
Excel file format with latitude /longitude coordinates at the conclusion of the project.
Task 2: Data Reconciliation
Simultaneously with the GIS audit, Tanko Lighting will conduct a thorough and detailed investigation of any
available City and /or SCE records, including billing records and maps. Depending on the available data, Tanko
Lighting will reconcile these records with the data from the citywide GIS audit to confirm such aspects as
ownership and billing record accuracy. In Tanko Lighting's experience, cross referencing these various data
sources results in extremely precise and clean data.
Task 3: Pole Sampling
Tanko Lighting will develop a representative sample of types of poles to form the basis of the final RCNLD study.
Task 4: Accompany SCE (Sampling)
Tanko Lighting will accompany SCE during its final survey and study of the street light system to ensure that a
fair representative sample is used and that all parties agree on the facts associated with the initial SCE valuation.
Task 5: Assess Cut -Over Costs
Tanko Lighting will assess cut -over costs from the SCE system, including fees and physical cut -over
requirements (i.e. id tags, lockouts, fuse kits, etc.). Tanko Lighting will use its extensive technical knowledge to
ensure that any cut -over costs are equitable for the City.
Task 6. Identify OverlUnder -Lit Areas
At the City's option, Tanko Lighting will identify any over -lit areas of the City and recommend street light
installations /removals based on minimum safe night -time lighting standards. In the event of any areas that are
over -lit, Tanko Lighting will provide options for relocating fixtures in these areas to potentially under -lit areas
(depending on relevant construction characteristics — such as pole type, etc.). Additionally, in areas that are
under -lit, Tanko Lighting will present options for what could cost - effectively be achieved to address efficiency
and light output needs. This will ensure that the City does not endure unnecessary costs.
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -g53 Page 18 of 26
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Phase 3: Street Light Financial Analysis
Task 9: Determine Current Costs
Tanko Lighting will determine existing City costs related to street lighting, including energy, distribution, tariffs,
etc.
Task 2: Determine Financing Cost
Tanko Lighting will determine the financing cost to acquire, energize, maintain, and improve the lighting system
and cover liability (proposed costs).
Task 3: CostlBenefit Analysis
Tanko Lighting will provide a comparison analysis to identify positive cash flow savings or system efficiency or
bath.
Task 4: Identify FinancinglFunding Sources
Tanko Lighting will identify alternative funding resources, such as grants and rebates, for which the City is
eligible.
Task 5: Develop Financial Options
Tanko Lighting has extensive experience in partnering with reputable financing organizations that offer relevant
products for street light acquisition and energy efficiency conversion projects. As such, Tanko Lighting will
develop and provide the City with several financing option plans.
Phase 4: Ntreet Li ht Ao uisition
Task 9: Provide Recommendations 6 Technical Support to Identify Relevant Technology
Tanko Lighting will provide recommendations and technical support to identify appropriate energy efficient
technology (LED or approved equal) and relevant control technology to retrofit existing street lights, including
detailed cost estimates.
In Tanko Lighting's experience, a comprehensive LED street light conversion project is the ideal opportunity for
a municipality to reassess its entire street lighting design and ensure that field conditions are optimized for all
applications in the design. To achieve this, Tanko Lighting routinely conducts city -wide design reviews for each
of its turn -key street lighting projects. Tanko Lighting will review the existing conditions, as well as industry
standards (such as RPS, Trade Manual 12 -12, etc.) and any local standards and needs established by the City.
Upon request, Tanko Lighting can also conduct in -field photopic /scotopic light measurements to determine light
output needs of any problematic areas. Further, Tanko Lighting will utilize manufacturer photometrics to confirm
that the recommended LED fixtures will sufficiently meet the light output needs.
Tanko Lighting will provide a Replacement Plan that will include maps at the neighborhood level, consisting of
recommendations on replacement wattages based on actual field conditions. The recommendations will
consider the particular nuances of each neighborhood, so as to provide superior light output design for particular
lighting challenges posed by areas such as high crime areas, cross walks, parks, schools, pedestrian zones,
intersections and speed limits. Utilizing the neighborhood design approval approach will enable the City to be
closely involved with the design process, provide necessary input, and be comfortable with the final
recommendations.
Please see below for a sample of the neighborhood review process.
Tanko Lighting Statement of Qualifications -City of Santa Ann - RPP #15 -053
25N -15
Page 19 of 26
Sample Neighborhood Design Review
EK
,A li
Utilizing the neighborhood design approval approach will enable the City to be closely involved with the
design process, provide necessary input, and be comfortable with the final recommendations. Please see
an excerpt from a Replacement Plan map below.
Sample Replacement Plan Map
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The overall benefits to Tanko Lighting's Replacement Plan approach include:
• Standardization — The City is ensured that there is a consistent design method resulting in wattage
continuity on its streets. Standardization also leads to a reduction in the variety of fixtures that the
City must keep in its inventory
• Safety — Based on the most updated field conditions, the City can be assured that the design matches
the system's current needs and results in improved public safety from streets no longer being under
or over lit
• Efficiency —The process takes a very thorough approach by examining all relevant field factors and
thereby maximizes the available savings by utilizing the most efficient design, while meeting light
output needs
Task 2: Transfer Strategy
Tanko Lighting will develop a strategy to transfer ownership of the street lights.
Task 3: Acquisition Support
Tanko Lighting will coordinate as necessary to ensure a successful acquisition of the street lighting system,
including cutover support and documentation.
Tanko Lighting Statement of qualifications — City of Santa Ana — RFP IM -053
25N -16
Page 20 of 26
It is important to note that the City of Santa Ana is not the first municipality in SCE's territory to commence the
acquisition process. As such, the City can benefit from the fact that SCE is becoming more accustomed to this
process, which increases the likelihood that the City of Santa Ana will have a streamlined experience. Further,
in Tanko Lighting's experience, most recent acquisitions in California (including the City of Richmond just a few
months ago) have not necessitated any outside legal resources and merely relied on internal legal staff to
complete the acquisition process. Thus, Tanko Lighting does not anticipate the need for any additional
subcontractors. However, should the acquisition process for some reason become more complicated and /or
contentious, Tanko Lighting will work with qualified legal partners with experience in municipal street light
acquisitions to bring additional resources to the project (at an added cost).
Phase 5: Streetlight Conversion Proiect Support
Task 9: Conversion Support
Tanko Lighting will provide technical and logistical support to City staff during the implementation of the retrofit
project, including GPS verification and fixture installation. Specifically, Tanko Lighting's support will include the
following elements:
Stakeholder Outreach
Tanko Lighting believes that proper coordination of information and outreach to stakeholders is an
essential part of ensuring a successful street light conversion project. To that end, Tanko Lighting will
coordinate with the City to develop a communication plan prior to the commencement of any conversion
activities. The strategy will:
• Develop appropriate project messaging
• Provide a press release outlining the project's elements and benefits
• Provide language and Frequency Asked Questions about the project for inclusion in the City's
relevant website pages
• Utilize the City's existing social media, public relations channels, and electronic media to
broadcast the project information. This will ensure speedy message delivery and eliminate need
for printed materials, thereby reducing cost and waste
• Logistics Management
Tanko Lighting will ensure that all logistics are carefully coordinated for the LED conversion phase. Tanko
Lighting will ensure proper communication and coordination with installation crews and will coordinate
pre - construction meetings and regular progress meetings with City staff and the installation contractor.
Additionally, Tanko Lighting will equip installation crews with the similar devices that are used in the initial
audit. Installers will utilize these devices to track the specific characteristics of daily installations, including
confirmed pre- and post - installation wattage, compliant labeling and badging issues, pole number, and
verified voltage prior to installation. Tanko Lighting will also provide installation maps showing street light
locations and replacement fixtures to be installed to help direct installation crews and assist City
inspectors with accurate project tracking. Tanko Lighting will provide the City with a Weekly Installation
Report (see sample report in Appendix C) with the locations and characteristics of the new LED fixtures
installed.
Task 2: Installation Data Reconciliation
Tanko Lighting will utilize the data collected during the installation process and compare it with the audit data to
verify that all relevant locations were converted. This process will also identify any punch -list items and Tanko
Lighting will continue to coordinate with the installation contractor to ensure that the final data set is accurate
and complete. Tanko Lighting will provide the City with a complete commissioning report outlining any errors
and actions taken to correct errors.
Task 3: Rebate, Rate Change & Incentive Coordination
Tanko Lighting will comply with all requirements to ensure replacement LED luminaires receive any available
utility rebates, rate changes and any incentives (including greenhouse gas credits). Tanko Lighting will maintain
close and ongoing communication with SCE to obtain status updates on submitted rebate applications and
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -058 Page 21 of 28
25N -17
requests. Further, Tanko Lighting will be responsive to any inquiries that the utility may have regarding submitted
rebate applications. Providing ongoing communication with the utility will improve the likelihood of a prompt
rebate payment.
Tanko Lighting will also coordinate with SCE on changing tariffs to the newly - installed fixture rates. Tanko
Lighting will provide the administrative support to not only process the tariff changes, but also to amend billing
records with the utility and to monitor future bills to ensure that the changes appropriately took effect. Further,
Tanko Lighting will closely coordinate with City staff on the status of rebate and tariff changes on an ongoing
basis, to troubleshoot any issues with the City, and to keep City staff informed of the status of the processes.
Task 4., Final Deliverables
A project is never completed until the final documentation and administrative requirements are met. Tanko
Lighting understands that proper follow through is essential to considering a project successfully executed. To
that end, Tanko Lighting will coordinate all final reporting and data requirements to ensure that the City considers
the project is compliant and complete. This includes but is not limited to reporting of the following requirements:
1. As -built documentation and maps of completed project; and
2. Post - construction electronic GIS records for all newly installed street lights in the City in the form of
electronic GIS records.
Task 5: Develop Maintenance Agreement Options
Tanko Lighting will develop several maintenance agreement options for long or short term maintenance of the
newly acquired and existing street light systems, including provisions for knockdowns and extraordinary
maintenance. Additionally, Tanko Lighting will define service levels and the type of service contract for a long
and short term street light maintenance agreement,
Task S: Technical Support of Web -Based Maintenance Programs
Tanko Lighting will provide technical support to City staff to develop web -based maintenance programs.
Task 7: Fieldwork to Cot /ect GPS Data to Track and Maintain System
Tanko Lighting will perform fieldwork to capture detailed GPS data to track and monitor the street light system.
Deliverables
Phase 1 Deliverables
+ Initial RCNLD Assessment: A preliminary modeling of the value of the fixtures the City wishes to acquire
from SCE.
Phase 2 Deliverables
• Weekly Audit Reports: A detailed listing of the locations completed during the data collection phase, along
with a description of any issues that the City would need to devote immediate attention to — including
electrical hazards, tree trimming needs, etc.
• Pole Sampling Resort: A report based on pole characteristics (e.g. wood, metal, concrete, etc.) with
associated remaining value and depreciation assigned,
• Final SCE Survev Report: Documentation of Tanko Lighting's experience with SCE during its final field
survey of the representative samples with any discrepancies of fact noted.
• Cut -Over Cost Report: A report validating any SCE cut -over costs with explanations as to how these costs
were optimized.
• Over /Under -Lit Recommendations: A report of options regarding how to remedy any under or over -lit areas
meeting minimum safe night -time lighting standards.
Phase 3 Deliverables
• Current Costs Analysis: A report of detailed current City costs for street lights, including energy, distribution,
tariffs, etc.
• Financing Cost Analysis: A report of detailed financing costs to acquire, energize, maintain, improve, and
cover liability (proposed costs),
• Cost /Benefit Analysis: Documentation identifying cash flow savings or system efficiency or both.
Tanko Lighting Statement of Qualifications —City of Santa Ana — RFP #15-053
25N -18
Page 22 of 26
Financing /Funding Overview Report: A report providing additional sources of funding, including grants and
rebates, available to the City.
Financing Overview Report: A report providing several financing options to support the project.
Phase 4 Deliverables
• Relevant Technology Recommendations: A report providing recommendations and technical support
identifying appropriate energy efficient technology (LED or approved equal) and relevant control technology
to retrofit existing street lights, including detailed cost estimates.
• Replacement Plan: A plan providing the recommended replacement fixtures for the existing luminaires.
• Ownership Transfer Strategy: Documentation of the recommended strategy to transfer ownership of the
street lights.
Phase 5 Deliverables
• Stakeholder Outreach Materials: Relevant messaging and draft materials (such as press release and
Frequently Asked Questions) to support the City's outreach efforts.
• Weekly Installation Report: A detailed listing of the locations completed during the installation phase, along
with maps corresponding to locations.
Rebate and Tariff Change Documentation: A compilation of copies of paperwork submitted and processed
with the utility regarding any applicable rebate applications and tariff changes. The information will also
include reports on any issues that arose during the process and actions taken to correct the issues.
• Commissioning Report: Detailed analysis of final installation verification and testing, including an outline of
any errors and actions taken to correct errors.
• Final Report: A final project report that will include all documentation requirements, including final utility
rebate and rate change requirements, as -built documentation and maps of completed project and pre- and
post - construction electronic GIS records.
• Maintenance Agreement Options: A report detailing several maintenance agreement options for long or
short term maintenance of the newly acquired and existing streetlight systems.
• Maintenance GPS Data: Ongoing GIS records based on fieldwork captured to track and monitor the street
light system.
• Over /Under -Lit Recommendations: A report of options regarding how to remedy any under or over -lit areas
meeting minimum safe night -time lighting standards.
Schedule
Because the acquisition process with SCE is still being determined by the initial municipal participants, it is
difficult to provide an initial schedule for the entire project with any certainty, as there are many elements outside
of Tanko Lighting's control. However, Tanko Lighting will streamline tasks so as to expedite the process and
enable the City to commence energy savings as soon as possible. Below is a table with a preliminary schedule
of how Tanko Lighting believes the project could progress:
Tanko lighting Statement of Qualifications —City of Santa Ana — RFP 1115 -053 Page 23 of 28
25N -19
Preliminary Project Schedule
Phase
Task
Expected Completion
Phase 1: Initial Valuation and
1. RCNLD Valuation
4 weeks from receipt of a complete data set
Street Light Assessment
2. Acquisition Coordination
Ongoing
Task 1. Complete Audit
15 working weeks from Notice to Proceed
6 working weeks from completion of
Task 2. Data Reconciliation
Comprehensive Audit
2 working weeks from completion of Data
Phase 2: Final Valuation, Audit,
Task 3. Pole Sampling
Reconciliation
and Lighting Assessment
Tasl<4. Accompany SCE
TBD - Dependent upon SCE's schedule /availability
_ _(Sampling)
Task 5. Assess Cut -Over
4 working weeks from completion of Data
Costs
Reconciliation
Task 6. ID Under /Over -Lit
2 working weeks from completion of Data
Areas
Reconciliation
Task 1. Determine Current
2 working weeks from completion of Data
Phase 3: Streetlight Financial
Costs
Reconciliation
Analysis
Task 2. Determine Financing
2 working weeks from completion of Data
Cost
Reconciliation
Tasl<3. Cost/BenefitAnalysis
2 working weeks from completion of Data
Reconciliation
Task 4. ID Financing/Funding
2 working weeks from completion of Data
Sources
Reconciliation
Task S. Develop Financial
2 working weeks from completion of Data
Options
Reconciliation
Task 1. Provide
Recommendations &
4- 6 workingweeks from Notice to Proceed
Technical Support to ID
Relevant Technology
Phase 4: Acquisition
2 working weeks from completion of the
Recommendations & Technical Support to ID
Task 2.Transfer Strategy
Relevant Technology
Task 3. Acquisition Support
Ongoing
Task 1. Conversion Support
TBD - Depends on installation schedule
Task 2. Installation Data
TBD - Depends on installation schedule
Reconciliation
Task 3. Rebate, Rate Change,
TBD - Depends on installation schedule
& Incentive Coordination
Task 4. Final Deliverables
TBD - Depends on installation schedule
Phase 5: Streetlight Conversion
Task 5. Develop Maintenance
4 - 6 weeks from Notice to Proceed
Project Support
Agreement Options
Task 6. Technical Support of
Web -Based Maintenance
TBD - Depends on the City's schedule /availability
Programs
Task 7. Fieldwork to Collect
GPS Data to Track and
TBD
Maintain System
Task 8. ID Over /Underlit
TBD
Areas
Tanko Lighting Statement of Qualifications —City of Santa Ann — RFP #15 -053
25N -20
Page 24 of 25
Carbon Credit Captions
Based on Tanko Lighting's understanding of current market conditions, it does not appear that the potential
carbon savings generated by an LED street light conversion for the City would result in an opportunity for added
"carbon revenue" from the sale of any carbon credits. There are two reasons for this result. First, AB 32 currently
only regulates two sectors in California — heavy Industrial Businesses and Utilities. Due to this, a municipality
does not need to lower its carbon production because of a regulated market cap, so the offset in carbon does
not create a tradable asset in The AB 32 Marketplace.
Secondly, utilities must purchase offsets that are generated outside of the capped sectors and offsets must be
approved on the California Air and Resource Board - Approved Offset Protocols. These protocols further nullify
an opportunity for municipalities to generate additional revenue in The AB 32 Marketplace because they would
fall within the capped Utility Sector.
Further, currently there is no other carbon market in the US that utilizes "Carbon Reduction Asset" via improved
energy efficiency from a utility ratepayer. Other carbon markets outside of California would accept an offset from
a California based source, but unfortunately this form of "Carbon Reduction Asset" does not appear to be
currently approved in any of the carbon markets.
Should the City be interested in other revenue generating activities related to its street light infrastructure, such
as wireless generation from leasing space on the poles to telecommunications carriers, Tanko Lighting can assist
by providing models and options that are available.
City Staff Support
Tanko Lighting's ultimate role is to alleviate burden from City staff and execute a successful project that meets
the City's objectives. Accomplishing this requires close coordination and a strong working relationship with City
staff. Tanko Lighting will provide the technical expertise, project management, recommendations, and
installation support for the project. Tanko Lighting expects that the City staff's role will be to:
• Assist the Team in understanding existing City protocols and procedures related to the project
• Provide an engineering and technician /field liaison who is knowledgeable in the City's infrastructure and
street lighting needs and will be available to assist in any technical or troubleshooting issues
• Provide knowledgeable staff to assist with the various acquisition and conversion strategies
• Offer a contracts /legal liaison to assist with negotiations, interpretation and enforcement of contract
issues
• Provide a day -to -day main point of contact to assist the Team's project management efforts and to
participate in Kick -off, weekly and /or monthly project meetings
• Maintain an ongoing schedule of regular meetings with the Team to monitor project progress
• Provide a liaison to the City Council, so that the Team can provide ongoing communication to Council
Members
• Respond to requests for information in a timely fashion
• It is premature to provide a payment schedule for the project, given that there are several elements of
the project that are still to be determined. Thus, upon establishment of a mutually - agreeable payment
schedule, Tanko Lighting will expect the City honor the committed timeframes and communicate in the
event that there are unforeseen delays
• Acknowledge Tanko Lighting as a partner focused on mutual goals and provide timely feedback
throughout the project's progression
119. Certifications
The following forms, Included in Attachment 3 in the Appendix of this RFP shall be signed and included as part of
the proposal submittal package:
1. Attachment 3 -1: Non - Collusion Affidavit
2. Attachment 3.2: Non - Lobbying Certification
3. Attachment 3.3 -: Non - Discrimination Certificate
Please find these required Certifications in Appendix D.
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP 015 -053 Page 28 of 28
25N -21
FEE SCHEDULE (OR) RATES AND CHARGES
9
25N -22
�aasr-
Tanko Lighting Statement of Qualifications —City of Santa Ana — RFP #15 -053 Page 2 of 6
25N -24
Cover Letter
Kurt Wiemann June 16, 2015
Projects Manager
Public Works Agency
City of Santa Ana
20 Civic Center Plaza; 3rd Floor, Ross Annex
Santa Ana, CA 92702
RE: Fee Proposal for City of Santa Ana's Request for Proposals for Streetlight Acquisition Feasibility Study &
Energy Efficiency Analyses Project (RFP #15 -053)
Dear Mr. Wiemann,
Per the City of Santa Ana's Request for Proposals (RFP) for Streetlight Acquisition Feasibility Study & Energy
Efficiency Analyses Project (RFP #15 -053), please find enclosed Tanko Lighting's Fee Proposal. Please note
that this Fee Proposal is meant to accompany Tanko Lighting's submitted Statement of Qualifications (under
separate cover).
We look forward to your feedback.
Regards,
r "f `
Jason Tanko
President, Tanko Lighting
1000 Quesada Avenue
San Francisco, CA 94124
415.254.7579
ason@tankolighting.com
Enclosures
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -053 Page 3 of 6
25N -25
Fee Proposal
Costs
Standard Hourly Fee Schedule
Rosition
H.04v Rate
Principal
$
250.00
Project Engineer
$
220.00
Project Manager
$
188.00
Project Associate
$
156.00
Data Analyst
$
156.00
Auditor
$
125.00
Project Fee Schedule
Fha's
Task
Postktan .
Hours Rate,
Tio
at
Pfrasa 1,
RCNLD Valuation
_ Principal
y.. 18 ry_ S 250
$
4,504
Prnjaet Mana�ar _.
- .._i..__?B_..__� 188
$
3,175
Acquisition Coordination
_ Pfin cfpxl
=- 36 _$ _ 230 ,
5
9,000_
Project Manager
36 i $ IN
$
6,750
��•" " =M� ��
- . Phase 1 Ndt"ra tix�ead'total
�
�
23,,6'25;_.
Phase 2
I
Complete Audit (14,500)
Auditor
SpD $ - 125_
S
100,006
_T
Data Analyst
66 $ 156
$
9,3iS
36 $ i88
$
6,750
___._..®...._._
Data Reconciliation . -.
Pole Sampling
Data Analyst i 400 $ 156
PrinnipalLL 6 250
y
5
62,500
Accompany SC£ JsSmpling)_,
,_..._�r .- .�?_._
Project Manager -r 6 S lag
Principal ar Praj_ect Ma or..M 24
._1.,500 ..
_ _ h5.... -1as
Cutovsr Cost —
Project Manager
24 S 188
j
4500
ID Over /Undarlit areas
Principal_,
$. _._ 250
$_
9,000
Project Manager
Phasa2Met %aeed,Tota(
q
Phase 3
Date rmina Current City Costs
Manager
i 12 $ 188
$
2,250
Project Associate
24 $ 156
$
3,750
Determine
Financing Cost to Acquire and Convert
Primal
18 $ 250
$
4,500
�.�. Prolact, Mattager
36 $ 1 &8
$_..
6,750
Cost/8enafit Analysis
__j,
Pra cot Associate 60 $ 1S6
Prnjec8 Manager 1 6 $ iBB
$
$
9 375
1,125
Project Associate
+ a $ 156
5
438
10 Financing /Funding Sources
_ Principal__
6 $ 250
I
$
5
1,500
j._.._.�..._.,..._._......
-._. .._..._�._...._ ,_...
Project Managar.T�
_ ._. .
12 $.188.
2,250
_
Develop Financial Options
Develop
Principal _
- 12 $ 250
$ .�
3,000
PrajacY Manager
12 $ 188
$
2,254
� � ` +�
' »s ;� ,� x " �£,t �Egce
1 ., M1f °° �
� {s , � =ate.; ` �;•
�"
3Td$8
,�.
,pia
267,313
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -053 Page 4 of 6
25N -26
T Phases 1.3 Not to Exceed
Totat;
$ 2677313
Phase 4 Provide Recommendations & Technical Support to ID
Principal 16 1 $ 250
$ 4,000
Relevant Technology
o� ct Manager i 32 $ 18$
-
$ 6c00p
-
ProJsetAssociate 240 $ 156
$ 37,500
Transfer Strategy
Principal 40 $ 250
$ 10,000
��__.._... ___ .._
j PrtlJOC# Manage� rr � 40 $ _1$8
_
$ 7,500
I
I Acquisition Support
Principal
_ 80 Lam 250
$
20080 .._..._
Project Manager So $ 188
1 $ 15,000
7Phasa4 Not to Exceed
Totel.
Phase S I Conversion Support
Princat 80!
S 250
$_ 20,000
__.__�.�__
Protect Mana er 240
r$ 188
$ 45,000
._..__...____
Installation Data Reconciliation
_.._..__ _____...__0__._
Data Anal st _r , 320
Project Anal stte 160
{_,_��.._...__,.__...._..
i $ 156
$ 156
' S 50000
�$ 25,000
Rebate, Rate Change, & Incentive Coordination
Data Analyst 80
—.... .._._....._........_ ...._--- r----- ...___..__..._.__
.^� 156
$ 12,500
._.—._ --__ —.
Associate 1 8o
' $ 156
$ 121504
final Deliverables --
Prajetf Manager ,__.G 12
$ 188$.
2,250 ,_
Profe¢t Asvwata _ 32
S 156
' $ 5,000
Maintenance Agreement Options' - - - - --
Data Analyst '1.6_0- -
-5— 156
I $ 25 Opo
_Principai_��I 16
I S 250
4,000
-
Project Project 3
Manager
188
6_0
Y.
Pro'ectAssociate
i , _ __ 32
_�.
1
$ 56
50
$ ,00
Technical Support of web -Based Maintenance Programs
-
. PToh!q Mansur G 32 --I4
Data Analyst 40
_
__188
'
__..
$ 6,000
Fieldwork to Collect GPS Data Track Maintain
S 156
$ 6,250
to and System
sID
Auditor so
I S 125
$ 10,000
Ovar /underrt areas
Principal 16
S 250
$_ 4,000
Project agar 32
�-
' G 188
6,000
Data Analyst
Y st 32
^..48
156
Project Assotiata.a�
$ 156
$ 7,500
': (I?(iiHSe.'SNot`tol;xteedTOtelt ,. r '' r`"
`$. X5_7, ;0t14'.
Phases 1- 5 Not to Exceed Total* $ 624,313 t
Ass um ptionsiRationale
• Per the City's RFP, Phase 1, Task 2 includes support of acquisition. It is unclear as to what at this stage
will be needed for acquisition support, given that the City will still be in the feasibility analysis phase at
this point. However, Tanko Lighting retained this in its approach to be consistent with the City's RFP and
included a minimum number of hours to support this goal. If the City provides a better definition of this
Task, Tanko Lighting may need to add additional hours to support a more robust expectation.
• Per the City's RFP, Phases 2 and 5 include an identical task of Identifying Over /Under -Lit Areas. Tanko
Lighting took a conservative approach by including them in both Phases, assuming that planning will take
place in Phase 2 and implementation will take place in Phase 5. However, if the City later determines
that this is redundant, Tanko Lighting can eliminate this Task from one of the Phases (per the City's
preference).
• Tanko Lighting priced the Phase 2 Task 1 audit task based on the inclusion of both the SCE -owned
fixtures (approximately 11,545 fixtures) as well as the City -owned fixtures (approximately 3,000 fixtures)
and a comprehensive scope of work. However, should the City be interested in a more cost effective
approach, Tanko Lighting can minimize the efforts with the audit for the locations where the City has
already conducted an audit and simply provide commissioning (a drive -by level of effort) for these
locations, combined with a comprehensive approach targeted to just the areas where the City has not
previously conducted an audit. Assuming that approximately 60 percent of the City has already been
comprehensively audited — and that Tanko Lighting would only be comprehensively auditing
approximately 40 percent of the City's remaining fixtures (and applying the drive -by level of effort to 60
percent of the fixtures), this approach would save the City approximately $85,875 from Tanko Lighting's
Project Fee Schedule for that task.
• Given Tanko Lighting's experience with the SCE acquisition process in other cities, the final stage before
the completion of the acquisition includes SCE visiting every fixture for final fixture crossover analyses.
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -053 Page 5 of 6
25N -27
While to date, there has not yet been a city that has completed this phase, the City of Santa Ana should
be aware that this may be an added cost unforeseen in the scope, of work in Its RFP. It remains to be
seen whether or not SCE will proceed with such a robust approach (as it might realize what a tremendous
resource strain this approach will be for its staff). However, in the event that the City requires more robust
support for this element, it will be an added cost of $72,350 that will be integrated into Phase 4 activities.
It was not clear from the City's RFP what the purpose was of Phase 5, Task 7. Tanko Lighting included
minimal hours to provide basic support but is uncertain whether this is necessary. Should further
discussions with the City result in an understanding of this Task as more robust, Tanko Lighting will
provide as an added cost.
Indicative Pricing
Please find Tanko Lighting's programmatic proposal with indicative pricing for just Phases 4 and 5 of the project
(and for just the estimated 11,545 SCE -owned fixtures) in Appendix A. Please find the electronic Excel file of
this data enclosed in the sealed envelope in which this Fee Proposal is contained (note that the Excel file is a
proprietary template and is thus confidential and not intended for public record). Please note that the
indicative pricing includes a specified first -year annual savings of $1,375,647, plus a one -time payment of
approximately $716,559 in rebates in the first year.
Assumptions /Rationale
• Pricing for Phase 5 includes:
• Leotek Green Cobra LED Fixture Series as part of the Phase 5 LED conversion process with a
standard photocell (note that Tanko Lighting is product agnostic and merely included the Leotek
brand for demonstration purposes only. Tanko Lighting will work with the City to determine the
best product options to meet its needs during Phase 4 activities)
• A control -ready seven -pin photocell receptacle on each LED fixture
• Assumed 4,140 annual operating hours
• Installation fees estimated at $65 per fixture
• Sales tax (@ 8 percent)
• An assumed acquisition price of $850 per pole location
• A rebate amount of $0.14 per kWh saved
• A 10 -year warranty on material
• A 1 -year warranty on installation
• HPS maintenance costs based on 17 percent annual turnover rate (@ $75 per fixture
maintenance cost)
• LED maintenance costs based on 2 percent annual turnover rate (@ $125 per fixture maintenance
cost)
• Financing costs are excluded
Draft Letter of Intent
Please find Tanko Lighting's draft Letter of Intent for Phases 1 — 3 in Appendix B.
Financial Stability
Tanko Lighting is a financially stable company that has successively operated profitably for more than a decade.
As a privately -held company with just two shareholders, Tanko Lighting is tightly controlled, enabling sound
financial and business decisions. Since 2010, the company has experienced rapid growth and expanded its
core business model — all while maintaining zero long -term debt. With a clear understanding of its core
competencies, significant knowledge of the municipal street lighting market, and sound leadership, Tanko
Lighting continues to experience sustainable growth while reinforcing its triple bottom line values: People,
Planet, and Profit. Please find Tanko Lighting's Financial Statements in Appendix C. Please note that all
Included Financial Statements are confidential and not intended for public record.
Appendices
• Appendix A: Programmatic Proposal with Indicative Pricing (Excel Files are Proprietary & Confidential)
• Appendix B: Draft Letter of Intent
• Appendix C: Financial Statements (Confidential)
Tanko Lighting Statement of Qualifications — City of Santa Ana — RFP #15 -053 Page 6 of 6
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ADDITIONAL INSURED ENDORSEMENT
FOR COMMERCIAL GENERAL LIABILITY POLICY
Insurance Company
This endorsement modifies such insurance as is afforded by the provisions of Policy #
relating to the following:
1. The City of Santa Ana, 20 Civic Center Plaza, Santa Ana, California
92701; its officers, employees, agents, volunteers and representatives are named as
additional insureds ( "additional insureds ") with regard to liability and defense of suits
arising from the operations and uses performed by or on behalf of the named insured.
2. With respect to claims arising out of the operations and uses performed
by or on behalf of the named insured, such insurance as is afforded by this policy is
primary and is not additional to or contributing with any other insurance carried by or for
the benefit of the additional insureds.
3. This insurance applies separately to each insured against whom claim is
made or suit is brought except with respect to the company's limits of liability. The
inclusion of any person or organization as an insured shall not affect any right which such
person or organization would have as a claimant if not so included.
4. With respect to the additional insureds, this insurance shall not be
cancelled, or materially reduced in coverage or limits except after thirty (30) days written
notice has been given to the City of Santa Ana, 20 Civic Center Plaza, Santa Ana,
California 92701.
(Completion of the following, including countersignature, is required to make this
endorsement effective.)
Effective this endorsement form as a part of
Policy #
Issued to
Named Insured
Countersigned by
Authorized Representative
10
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