city of palo alto (id # 10619) city council staff report

City of Palo Alto (ID # 10619) City Council Staff Report

Report Type: Consent Calendar Meeting Date: 10/7/2019

City of Palo Alto

Summary Title: SEW Contract Amendment

Title: Approval of Amendment Number 1 to Contract Number S18165157 With Smart Energy Systems, LLC. (dba SEW) for Professional Services for the new Utilities Customer Portal, to add an Additional $215,500 and Extend the Contract Term for two Additional Years, for the Total Not-to-Exceed Amount of $346,123 Over the Five-Year Term

From: City Manager

Lead Department: Utilities Recommended Staff recommends that Council approve and authorize the City Manager, or his designee, to execute Amendment No. 1 to Contract S18165157 (Attachment A) with Smart Energy Systems, LLC. (aka SEW) for professional services for the new Utilities customer portal, to increase the scope of services, add an additional $215,500 in compensation, and extend the contract term two additional years. The total not to exceed amount for the amended contract is $346,123 over the five-year term. Executive Summary The City of Palo Alto entered into a three-year contract with SEW in October of 2017 for an online customer portal to replace the existing “My Utilities Account” portal. SEW’s portal will include new user friendly and modern screens, and such functionality as utilities bill payment, invoice presentment, email notifications, user account maintenance, move-out services, and contact preferences for all City Utilities customers. The proposed amendment provides funding and scope for anticipated portal enhancements and functionality, additional user access, and professional support services, and extends the contract term from three years to five years. In addition, the amendment includes the cost of Single Sign-On (SSO) integration for the modules for home energy reports, water reports, and an online customer marketplace provided by WaterSmart Software, Inc. and Simple Energy, Inc., which contracts were approved by Council on August 12, 2019 (Staff Report #10362). Background The existing My Utilities Account (MUA) customer service portal was implemented in 2009; its usefulness has declined over time. The portal is lacking presentation and functionality due to

https://www.cityofpaloalto.org/civicax/filebank/documents/72675

City of Palo Alto

high cost and effort for enhancements. MUA is not mobile-optimized so customers have to scroll or zoom from a mobile device. The portal also does not provide usage information in graphs or charts, so customers are unable to compare energy usage to previous months. Approximately 63% (19,000) of all utilities accounts are registered in the MUA portal; 30% of all move-outs (stop service) occur online; and approximately 48,000 online credit card payments are processed annually. Staff has been working with SEW since late 2017 to replace the existing MUA portal with a new and improved customer portal. Work on that replacement is ongoing, with a soft launch expected in late 2019. In parallel, staff has been seeking a vendor to deliver home energy and water reports to its customers through its new customer portal once it’s launched. The City was delivering home energy and water reports until 2015, when the City declined to renew its contract with its provider. These reports were responsible for 22.3% of the City’s electric efficiency savings (0.15% of annual electric load) and 64.9% of gas efficiency savings (0.6% of annual gas load). Since then staff has been simultaneously working to upgrade the customer portal and contract with a new vendor for its home energy and water reports. As noted above, on August 12, 2019 Council approved contracts with WaterSmart Software Inc. and Simple Energy, Inc. for these services.

Discussion Staff recommends approval of this contract amendment to extend the term of the contract, provide additional administrator and user accounts, provide funding for future enhancements, and enable the home energy and water reports and online marketplace to be provided to residential and commercial customers under a single sign-on. This will enable people to view their usage in the customer portal, do a comparison of their usage to similar customers, receive online efficiency recommendations, and immediately purchase energy efficiency products and services in an online marketplace. They will receive similar services for their water service, but they will also be able to enable leak detection messaging and receive drought messaging. The new customer portal will be a one-stop solution for utility customers where they can perform various invoicing and payment transactions, monitor usage and bills in graphical representation, submit questions and requests to Utilities, and receive energy and water efficiency related services. The integration of these programs into the portal will be funded through the electric and natural gas public benefits (PB) funds and water demand side management funds. Funding for electric efficiency programs come primarily from the mandated PB Charge, which is set at 2.85% of the customer retail rate or approximately $3.3 million annually. The majority of the PB funding is spent on efficiency programs; however, some funding may be allocated towards renewable energy projects, research and development projects and low-income efficiency programs. Gas efficiency programs are primarily funded from the gas utility’s revenue, at

City of Palo Alto

about 1% of the gas retail revenue or approximately $300,000 annually as approved by Council. Funding for additional subscription fees and a portion of additional services will come from capital technology project Utilities Customer Bill System Improvements (TE-10001).

City of Palo Alto

Summary of proposed contract terms

Original Contract Amendment #1 Total

Term 3 Years 2 Years 3 Months 5 Years 3 Months

Cost 130,623$ 215,500$ 346,123$

Task

Original Contract Amendment #1

Subscription Annual Subscription Fee 63,750$ x

Additional Admin Accounts x 7,500$

Additional User Accounts x 15,000$

Implementation Year 1 Implementation Fee 30,798$ x

Year 3 Implementation Fee 4,602$ x

SSO Integration x 78,000$

Add to Home Screen Prompt x 5,000$

Additional Services Supplemental SAP Prof Serv. 23,880$ x

Misc. Services 7,593$ x

Enhancements x 85,000$

Professional Services x 25,000$

Sub-Total 130,623$ 215,500$

Total 346,123$

Pricing

Functionality and Support: Additional budget throughout the contract term is required to support ongoing enhancements, IT and SAP data support, and updated utility rate structure changes. Future enhancements can include interval meter data presentation, real-time leak and outage notifications and SMS text messaging. The following breakdown is the estimated allocation of the support budget:

a. Additional Enhancements: In anticipation of enhancements required post go-live, SEW shall provide up to $85,000 worth of software enhancements to the City upon the City’s request and approval in writing using the change request process. These enhancements may include, but are not limited to, the following:

i. Add/change/enhance software modules ii. Add/change/enhance features

iii. Add/change/enhance reporting iv. Add/change/enhance API integrations or other integration between SCM® and the

various City business systems and hosted environments v. Add/change/enhance the City’s SAP environments

City of Palo Alto

b. Additional Professional Services: In anticipation of consultant services required post go-

live, SEW will perform up to $25,000 worth of consulting and support services beyond what is already required in this Agreement. Such services will be upon the City’s request and approval in writing using the change request process. These services may include, but are not limited to, the following:

i. Assistance with software updates and/or upgrades ii. Functional and technical assistance

iii. Functional and technical training iv. Project management v. Software configuration and development

Single Sign-on for Online Content: The new Home Energy and Water Reports, Marketplace, and energy challenge modules will be integrated into SEW’s new customer portal under a SSO, meaning one username and password gives access to all online services at once. CPAU is a unique utility in that it provides gas, electricity and water. It has been difficult to find qualified vendors to provide a single platform for all three commodities that can be delivered cost-effectively and in a manner that will enable CPAU to report savings to the California Energy Commission (CEC). Due to these challenges, in the past, customers have had to use as many as four separate online portals: one for bill pay, one for their gas and electric comparisons, another for their water comparison, and, for customers in the Customer Connect pilot, a fourth portal for their smart meter data. This has understandably been a barrier to participation. This amendment will enable a SSO for all customer modules. Home Screen Prompt: This added scope task will provide utility customers with the option to add a shortcut to the utility portal to their home screen on mobile devices. While it will operate in their browser, it will look like an app to the user. The benefit of this approach is that it mirrors the mobile optimized online portal and does not require additional user testing or an additional platform the way that a custom app would. This option to add the portal to the customer’s mobile device by creating an icon on their home screen will increase engagement and ease of access for utility customers.

RESOURCE IMPACT Funding for the SSO integration costs where approved in the Electric Fund ($26,000) and Natural Gas ($26,000) and Water ($26,000) FY 2020 operating budgets. Funding of $137,500 for additional subscription fees and additional services is available in the capital technology project Utilities Customer Bill System Improvements (TE-10001). POLICY IMPLICATIONS The proposed contracts support the Council-approved Gas Utility Long-Term Plan, the Ten-year EE Portfolio Plan, the Long-Term Electric Acquisition Plan, the Utilities Strategic Plan, and Comprehensive Plan Goal N-9. Implementation of EE programs also support greenhouse gas reduction goals identified in Palo Alto’s Climate Protection Plan and in the California Global Warming Solutions Act of 2006 (AB 32).

City of Palo Alto

ENVIRONMENTAL REVIEW Approval of the proposed amendment to the contract does not meet the definition of a project under the California Environmental Quality Act (CEQA), pursuant to the California Public Resources Code Section 21065, because it is not an activity that will cause a direct physical change in the environment; it is therefore exempt from CEQA review. Attachments:

• Attachment A: Amendment No. 1 - S18165157

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©20~7 National Notary Association


AMENDMENT NO. ONE TO CONTRACT NO. S18165157 AGREEMENT BETWEEN THE CITY OF.PALO ALTO AND

SMART ENERGY SYSTEMS, FOR PROFESSIONAL SERVICES

This Amendment No. One ("First Amendment") to Contract· No. 818165157 ("Agreement") is entered into ·, ("Amendment Effective Date") by and between the CITY OF PALO ALTO, a California chartered municipal corporation ("CITY"), and SMART ENERGY SYSTEMS, INC., dba SMART ENERGY WATER, (formerly known as SMART ENERGY SYSTEMS, LLC.), a Delaware corporation, located at 19900 MacArthur Blvd., Ste. 370, Irvine, CA 92612 ("CONSULTANT" or "SEW"), each individually referred to herein as "Party" and collectively as the "Parties").

RECITALS

A. The Agreement was entered into between the Parties on October 17, 2017, for the provision and deployment of a comprehensive customer engagement portal (the "SEW Portal") and mobile solutions services for CITY' s residential, commercial, industrial, and institutional customers utilizing natural gas, electricity, water, sewer, fiber, refuse, and storm drainage services.

B. Since the Agreement was entered, CONSULTANT entity reorganized as SMART ENERGY SYSTEMS, INC., dba SMART ENERGY WATER.

C. Additionally, since the Agreement was entered, CITY entered into multiple separate agreements with other consultants for the provision of energy efficient platforms and services for water customers, and gas and electric customers. CITY now desires to incorporate access to the water and energy platforms through the SEW Portal, for a single sign-on customer experience.

D. The Parties now desire to amend the Agreement to reflect the corporate restructure; to modify the Scope of Services to incorporate the integration of the water and energy efficiency platforms into the SEW Portal and mobile prompt, with corresponding changes to the Compensation and Schedule of Performance exhibits to reflect the additional scope; to increase user licenses; to increase additional services; and to extend the term of the Agreement, as set forth below.

E. The Parties also now desire to increase the current overall "Not to Exceed Amount" by Two Hundred Fifteen Thousand Five Hundred Dollars ($215,500), for a new overall total Not to Exceed Amount of Three Hundred Forty-Six Thousand One Hundred Twenty-Three Dollars ($346,123.00) over the Term of the Contract.

F. In order to accomplish these purposes, the Parties wish to amend the Agreement.

AGREEMENT

NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this First Amendment, the parties agree:

S18165157 Amendment No. One Smart Energy Systems

1 of 18


SECTION 1. Pursuant to Smart Energy Systems' corporate entity change in 2018, Smart Energy Systems, LLC, ("SES") shall be amended to Smart Energy Systems, Inc. dba Sinart Energy Water ("SEW"). Accordingly, references to "SES" shall also be amended to "SEW."

I

I

SECTION 2. Section 1 of the Agreement, SCOPE OF SERVICES, is hereby amended by changing the first sentence to include Exhibit A-1, Supplemental Scope of Services," to re~d as follows:

"CONSULTANTshall perfprm the Services d:escribed in "Exhibit A" and Exhibit "A-1", in accordance with the terms and conditions contained in this Agreement."

SECTION 3. Section 2 of the Agreement, TERM. is hereby amended to read as follows:

"The term of this Agreement shall be from the date of its full execution through December I, 2022, or the completion of three subscription years (the first subscription year shall commence on the date of Production Deployment), whichever comes first, unless terminated earlier pursuant to Section 19 of this Agreement. "

SECTION 4. Section 3 of the Agreement, SCHEDULE OF PERFORMANCE, is hereby amended by changing the second sentence to refer to "Revised Exhibit B" to read as follows:

"CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in "Revised Exhibit B," attached hereto and made a part of this Agreement."

SECTION 5. Section 4 of the Agreement, NOT TO EXCEED COMPENSATION, is hereby amended to read as follows:

"SECTION 4. NOT TO EXCEED COMPENSATION.· The compensation to be paid fo CONSULTANT for performance of the Services described in Exhibit "A" and Exhibit "A-1", including both payment for professional services· and reimbursable expenses, shall not exceed Two Hundred Four Thousand Three Hundred Fifty Dollars ($204,350.00). In the event Additional Services are authorized, the total compensation for Additional Services shall not exceed One Hundred Forty One Thousand Seven Hundred Seventy Three Dollars ($141,773.00), for an overall total not to exceed amount of Three Hundred Forty-Six Thousand One Hundred Twenty-Three Do.llars ($346,123.00).

The applicable rates and schedule of payment are set out in Revised Exhibit "C", which is attached to and made. a part of this Agreement. No Reimbursable Expenses are contemplated as part of this Agreement.

Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Revised Exhibit "C". CONSULTANT shall not receive any compensation for Additional Services performed without the prior written authorization of CITY. Additional Services shall mean any work

518165157 Amendment No. One Smart Energy Systems

2 of 18


that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described in Exhibits "A" and "A-1 ". Compensation shall be calculated as set forth in "Revised ExhibitC," attached hereto and made a paut of this Agreement."

SECTION 6. The following exhibit(s) to the Agreement are hereby amended to read as set forth in the attachment(s) to this Amendment, which are incorporated in full by this reference:

a. Exhibit "A-1" entitl1

ed "SUPPLEMENTAL SCOPE OF SERVICES". b. Revised Exhibit "BT entitled "SCHEDULE OF PERFORMANCE". c. Revised Exhibit "C'I' entitled "COMPENSATION".

SECTION 7. Except as herein modified, all other provisions,ofthe Agreement, including any exhibits and subsequent amendments thereto, shall remain in full force and effect.

IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date fir t above written.

CITY OF PALO ALTO

City Manager or Designee

APPROVED AS TO FORM:

City Attorney or Designee

SMART E. RGY SYSTEMS, INC.

Officer 1 . . J? .. By: ·J+~ Name: Ya/ii.Prakash '

Title: VP Operations

Offic,~er ~ .. J.,. By: &,(}.,J, A ~sk N BAEOjl~2iJ8461 ... k

ame: rao, 1

aams e

Title: VP Sales ·

Attachments: I

EXHIBIT "A-1": SUPPLEMENTAL COPE OF SERVICES I

REVISED EXHIBIT "B": SCHEDUL OF PERFORMANCE REVISED EXHIBIT "C": COMPENSATIO


3 of 18


i. CONSULTANT will develop custom notification types in the existing preference center based on the 3rd party vendor customer communication options.

11. CONSULTANT will setup transfers of notification preference updates to CITY , and 3rd party vendors.

e. CITY Responsibilities 1. CITY will be responsible for coordinating the access to any Client owned and 3rd

party systems required for integration. 11. CITY agrees to provide integration access with any CITY and 3rd party vendor

systems prior to the completion of Planning and Design. m. CITY will participate in a detailed planning and design process with

CONSULTANT to define user experience, data elements and service aspects.

2. Mobile Prompt a. CONSULTANT shall create a functioning ''add to home screen" prompt with the

following features: i. The prompt will appear to customers on mobile devices upon the first three (3)

visits to the mobile optimized SCM® online portal. City will be able to change the visit threshold after analyzing customer interactions.

ii. The prompt will consist of an "add to home screen" button which shall pin an icon to the user's home screen that acts as a shortcut to SCM® and a "dismiss" or "x" button which shall close the prompt.

m. The prompt shall be configured to match the look and feel of· CITY's implementation of the SCM® software and shall be approved by CITY prior to launch.


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6 Stabilization & Closure

• Four week 24X7

support for

production

Stabilization

• Helpdesk setup and

transition to Product

Support Desk after 4-

period

N/A

week stabilization ___ L ___,______,___ __ ____._____________ -

Tasks Pursuant to Amendment 1

2 Mobile Prompt


• Functioning "Add to • Timely UAT and

home screen" mobile approval

8 of 18

90 Days from

Amendment NTP


prompt

City, in its sole discretion, may agree to an extension of time for completion of tasks provided such extension is reflected in writing, in advance, below within IO days of the date of the notice to proceed (NTP). SES shall have the ability to change dates if such change is reasonable and in the interest of the Project.

Requirements to be implemented in Year Five (5)

All requirements listed in Exhibit G will be implemented within 180 days from the date of the notice to proceed (NTP) except for the following requirements which will be implemented in Year Five (5) of the contract:

FF25

FF26

FF28

FF72 FF73 FF74

FF75

FF76

FF77

FF78

FF79

FF80 FF81

Ability to integrate weather data for conservation analysis Ability to combine weather, landscape area, rainfall and consumption data to determine when an account ma be overwatering Ability to have a "live chat" feature when customer have questions/issues while using the customer

ortal Smart Grid - water and as leak alert setu Smart Grid - water and as leak detection Smart Grid - calculate and display calculated usage using meter multiplier, therm factor multiplier, and other calculations Smart Grid - calculate and display calculated usage with hourly data with daily allowance pricing considerations Smart Grid- display bidirectional, delivered (usage) and received (generation), information Smart Grid - monthly usage/cost charts and data downloads Smart Grid - availability and presentation of detailed utilities data e. . houri meter reads Smart Grid - daily usage/cost charts and data downloads

518165157 Amendment No. One

Smart Energy Systems 9 of 18

Desired X

Desired X

Desired X

Desired X Desired X Desired X

Desired X

Desired X

Desired X

Mandatory X

Desired X

Desired X Desired X


FF82 Smart Grid - predicted bill & usage alerts FF83 Smart Grid - price plan comparison tool FF84 Smart Grid - demand response notification and

calculation capabilities FF85 Smart Grid - real time pncmg display and

indicators for time-of-use, demand response and enern:v generation

FF86 ' Smart Grid - secure real-time access to smart meter data .

IN02 The portal must be able to integrate with any CIS or Utility Billing system

IN07 Smart Grid - Meter Data Management Database and Portal

$18165157 Amendment No. One


Desired - X Desired - X Desired - X

Desired - X

Mandatory - X

Mandatory - X

Mandatory - X


REVISED EXHIBIT "C" COMPENSATION

City agrees to compensate Consultant for professional services performed and for the software subscription as set forth in the budget schedule below. Any services provided or hours worked for which payment would result in a total exceeding the maximum amount of compensation set forth herein shall be at no cost to City.

Compensation under this agreement shall not exceed a maximum total amount of $346,123.00 dollars, which includes software implementation fees for year one (1) and year five (5), an annual subscription fee for year three (3), four (4), and five (5), and any Additional Services as authorized by City in accordance with this Agreement:

• Year-One (1) Implementation fee: City agrees to pay consultant a fee in year one (1) not-toexceed amount of $30,798 for Basic Services for which includes completing Tasks 1-6 pertaining to the Business Requirements to be implemented in year one (1) per the project schedule in Exhibit B.

• Year- Five (5) Implementation fee: City agrees to pay consultant a fee in year five (5) not-toexceed amount of $4,602 for Basic Services for which includes completing Tasks 1-6 pertaining to the Business Requirements to be implemented in year five (5) per the project schedule in Exhibit B.

• Annual Subscription Fee: City agrees to pay consultant an annual subscription fee of $28,750 per year with option to renew the subscription to the online services each year for two additional years, for a total not-to-exceed amount of $86,250.

• Tasks Pursuant to Amendment 1: City agrees to pay consultant a fee for (1) A Single Sign On Integration that shall not exceed $78,000; and (2) an "Add to Home Screen" prompt that shall not exceed $5,000.

• Additional Services: If authorized by the City in accordance with this agreement, the City agrees to pay consultant for Additional Services in year one (1) not-to-exceed amount of $31,473 of which $31,473 is comprised of: includes (a) Supplemental SAP/IT Professional Services shall not exceed $23,880; and (b) Miscellaneous Services shall not exceed $7,593.

'

• Additional Services Pursuant to Amendment 1: Additionally, if authorized by the City in accordance with this agreement, the City agrees to pay consultant for Additional Services not-toexceed amount of $110,000, which is comprised of: (a) Additional Enhancements shall not exceed $85,000; and (b) Additional Professional Services shall.not exceed $25,000.




Summary Table

Original Contract i Amendment #1 Total

3 Years 2 Years 3 5 Years 3 Months ,, ,,,,,, _____ ,,,_,,,,

$ 130,623 $ 215,500 $ 346,123 l

!Task I Pricing

i /Original Contract !Amendment #1 - ---------·----!---- , ---------,--,------··--·------,··· ·· , ''1 , ,., ·· '·· ' · · T · ' -- . Subscription /Annual Subscription Fee ! $ 63,750 1 x

,.,,' ' !Additional Admin Accounts T~ ---· '''''ts'''''''' ! ~""' ,.,/,H"

7,500

-~:::-~]~d~!ti~~-~I~~~~-~~~?-~~!~-=· ' X ''' ,_,[$_ l i

lmplement~ti~~-·iYear 1 Implementation Fee I $ 0 •""•• >N•,• '°"'" ,,_, """"' "' """' ---·~-·---·-•! "' ,,_' ~ ~,,,- ___ _.,,~ .. ~-•••-.. -·-·~o .. •••••••,.--•,••,,-• ••• '>' ~-· --·--·----~- ··---J ''°-'°'"

!Year 5 Implementation Fee I $ ,-, ,·v, """'""""--'·~----· ,• -,, '"""'-''"-'-•••"oll~-,o-·,~---· ··•-•-,>,••• "'""'"""-"''"• ,,•-w-•~•,•-·•-'•"-·1"'"'"""-•H'V

30,798 X

4,602 X

15,000

isso Integration i x

····•· .,,,_,,,,,,)Addto_Hom~_ScreenPrompt_ -1.x_,,_ ,,,,,,,_ $ __ ,,, __ 78,000_.,

;$

- "V""""''~-- i.,,_,,,,,,, .. --- ,, ... """-n,"-'°"-•••v•••s,.-w•• o """""""'"'""'" •• • , ,_, ,oO•u•' """"'•"""·~-----~- ··- "" ' ' ! $ Additional_Services J?Upplemental SAP ProfServ._ ,

!Misc. Services [ $ ''"""'"""}'''''"-"''•""h

23,880 i X

-··:,:s93T~ ! Enhancements

-. •t-•••-"-·=-·=-•""""'""'~"'"•-""-""""'"' m""""'"'

I Professional Services . r- ···-·· ...... . .. , - , ....... ,,..... _.,, .. .. . . -t--·---·-...... ,., ,, ....... ,, .......... , ... ________ ., ___________ .. :. ..... -- __ ,_ ........ ,, ... ____ .l-

t-··------·--------····---· -............. Su_b-Totalj_$ B0,623 : $

·· ·· · · ·· j · ----------------- Total I $

"', ""'""''"""""""''"'"

!$ T"~ -·- .,, ___ , _________ .,,._m·-·k-----1 -s--·---· 'x

I. Pricing

a. 5 Year Saas Contract Pricing:

5,000 . .. ""··~~- .------~··-···-··

?s.!,9g9 __ 25,000

215,500,

346,123

SCM® Annual User Connections for Year4

$28,750 To be paid on the 1st anniversary of



of Milestone 5


(25,000 users)

Customer Service Portal and Ad min Users

Years 3-5

Year 1- Implementation Fee

Year 5 - Implementation Fee

Additional Services:

Supplemental SAP/IT Professional Services for the City

(19~ hours at $120 per hour)

Miscellaneous Services

Additional Enhancements


Smart Energy Systems

Included

$30,798

$4,602

$23,880

$7,593

$85,000

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N/A

· Refer to Year 1- Implementation Fee

Payment Schedule

Refer to Year 5 - Implementation Fee Payment Schedule

Invoiced at actual cost as incurred

Invoiced at actual cost as incurred

Invoiced at actual costs as incurred via Change Request process


Single Sign On 3rd Party Integration (3 SSO at $26,000 each}

S18165157 Amendment No. One

Smart Energy Systems

$78,000

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25% to be paid upon SEW UAT in QAS

50% to be paid upon City UAT sign off in QAS

25% to paid upon deployment in production


Year 1 - Implementation Fee Payment Schedule

1 Planning/ Analyze $0.00

2 a. Configure / Integrate $15,399

b. Desi n (For an new re uirements) 3 a. SES Product QA Testing $0.00

b. Client UAT Testin 4 Customer Outreach Support and Training (Basic 0.00

Package)

5 Deployment/ $15,399

6 Stabilization & Closure $0.00

Year 5 - Implementation Fee Payment Schedule

Planning/ Analyze

2 a. Configure / Integrate



$0.00

$0.00

. $30,798.0 0

$0.00

$0.00


3

4

5

6

a. SES Product QA Testing $0.00

b. Client UAT Testin Customer Outreach Support and Training (Basic 0.00 Package)

Deployment/ 4,602.00

Stabilization & Closure $0.00

$0.00

$0.00

$4,602.00

1. Additional User Connections. At any time during a current subscription term, Palo Alto may

purchase the right to service additional connections (users) under its SCM subscription at a rate of $1.00 per connection (user) per year, purchased in allotments of 5,000 connections (users).

Should Palo Alto elect to expand its subscription connection coverage pursuant to the foregoing option during a then-ongoing subscription term, the total charged will be suitably prorated over

the said term's remaining duration. Additional administrative user access may be similarly purchased at a rate of $250 per admin user per year.

2. Additional Enhancements: In anticipation of enhancements required post go-live, Consultant

shall provide up to $85,000 worth of software enhancements to the City upon the City's request and approval in writing using the change request process. These enhancements may include, but

are not limited to, the following:

a.Add/change/enhance software modules

b.Add/change/enhance features

c.Add/change/enhance reporting

d.Add/change/enhance API integrations or other integration between SCM® and

the various City business systems and hosted environments

e.Add/change/enhance the City's SAP environments

3. Additional Professional Services: In anticipation of consultant services required post go-live,

Consultant will perform up to $25,000 worth of consulting and support services beyond what is




already required in this Agreement. Such services will be upon the City's request and approval

in writing using the change request process. These services may include, but are not limited to,

the following:

a. Assistance with software updates and/or upgrades b. Functional and technical assistance c. Functional and technical training d. Project management

e. Software configuration and development

4. Saas Subscription Terms: Upon completion of implementation, all terms governing Participant's subscription to the SCM® software installed hereunder shall be governed by the terms set out in the Software as a Service Subscription Licensing attached below as Exhibit L hereby incorporated by this reference. Upon completion of the initial 3-year subscription term or any applicable renewal term, the contract shall terminate.

S18165157 Amendment No. One



EXHIBIT "C-1" SCHEDULE OF RATES

Hourly rate is needed for unexpected additional work that is unforeseen but may need to be performed:

Labor Category

518165157 Amendment No. One Smart Energy Systems

Delivery Director Project Manager Product/ Technical Integration Lead Business Analyst QA Lead SAP Technical Lead Training Lead SAP Supplemental Resource

18 of 18

Hourly Rate

$120 $110

$110 $75 $75 $110 $70 $120


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city of palo alto (id # 10619) city council staff report

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