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HomeMy WebLinkAbout20- Professional Services Agreement - Maddaus Water Management Inc. - 2020 Water Conservation PlanProfessional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 1 of 11 PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT is made and entered into this day of , 2020 (“Effective Date”), by and between the CITY OF BOZEMAN, MONTANA, a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and Maddaus Water Management Inc. with a mailing address of 105 Zephyr Place, Danville, CA 94526, hereinafter referred to as “Consultant.” The City and Consultant may be referred to individually as “Party” and collectively as “Parties.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree as follows: 1. Purpose: City agrees to enter this Agreement with Consultant to perform for City services described in the Scope of Services attached hereto as “Exhibit A” and by this reference made a part hereof for the Project: 2020 Water Conservation Plan. 2.Term/Effective Date: This Agreement is effective upon the date of its execution and will terminate upon satisfactory completion of the agreed Scope of Services, which may be amended from time to time by the mutual agreement of the Parties pursuant to terms of this Agreement, as determined by the City. 3.Scope of Services: Consultant will perform the work and provide the services in accordance with the requirements of the Scope of Services. For conflicts between this Agreement and the Scope of Services, unless specifically provided otherwise, the Agreement governs. Consultant may, at its own risk, use or rely upon design elements and information ordinarily or customarily furnished by others, including, but not limited to, specialty contractors, manufacturers, suppliers, and publishers of technical standards. 4.Payment for Scope of Services: City agrees to pay Consultant for the completion of the Scope of Services a lump sum amount of $80,000.00, being equal to the Consultant’s Direct Labor Costs times a factor of 3.4, which shall cover Direct Labor, the federally audited payroll Direct Labor Overhead, General & Administrative Overhead, and Profit. The Consultant’s Direct Labor Costs in $/hr for its employee classes and a detailed breakdown of personnel hours directly 18th August DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A assigned to each task of the Scope of Services is attached hereto as “Attachment 1” to the Scope of Services and by this reference made a part hereof. 5.Reimbursable Expenses: As defined in section 8 of this Agreement, for completion of the Scope of Services and approved Additional Services, reimbursable expenses shall be paid to the Consultant by the City in the actual amount of the costs incurred up to an amount not to exceed $1,205.00. The estimated reimbursable expenses are described in “Attachment 1”. 6.Additional Services: If the City requests Consultant to perform any Additional Services not otherwise provided for in this Agreement, City shall so instruct the Consultant in writing, and the Consultant shall perform such services necessary to complete the Additional Services requested. The City and Consultant shall mutually agree upon a basis of payment for the Additional Services requested prior to the Consultant proceeding with such Additional Services. 7.Times of Payments: The Consultant may submit monthly statements for the Scope of Services and approved Additional Services rendered and for Reimbursable Expenses incurred. The statements shall be based upon Consultant’s estimate of the proportion of the total Scope of Services actually completed for each task at the time of billing. 8.Meaning of Terms: a.Additional Services: Additional Services means services resulting from significant changes in the general scope, extent or character of the Project or major changes in documentation previously accepted by the City where changes are due to causes beyond the Consultant’s control. Additional Services can also mean providing other services not otherwise provided for in the Agreement that are substantially similar to and generally consistent with the nature of services contained in the Scope of Services. b.Agreement: As used herein the term “this Agreement” refers to the contents of this document and its Attachments and Exhibits attached hereto and referred to as if they were part of one and the same document. c.Direct Labor Costs: Direct Labor Costs used as a basis for payment mean the actual salaries and wages paid to all of the Consultant’s personnel engaged directly on the Scope of Services but does not included indirect payroll related costs or fringe benefits. d.Reimbursable Expenses: Reimbursable expenses mean the actual expenses incurred by the Consultant directly in connection with the Project, such as expenses for: transportation and subsistence incidental thereto; toll telephone calls; specialized technology or software subscription charges; reproduction of reports, technical memoranda, drawings, renderings and similar Project-related items. Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 2 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A 9.Consultant’s Representations: To induce City to enter into this Agreement, Consultant makes the following representations: a.Consultant has familiarized itself with the nature and extent of this Agreement, the Scope of Services, and with all local conditions and federal, state and local laws, ordinances, rules, and regulations that in any manner may affect cost, progress or performance of the Scope of Services. b.Consultant represents and warrants to City that it has the experience and ability to perform the services required by this Agreement; that it will perform the services in a professional, competent and timely manner and with diligence and skill; that it has the power to enter into and perform this Agreement and grant the rights granted in it; and that its performance of this Agreement shall not infringe upon or violate the rights of any third party, whether rights of copyright, trademark, privacy, publicity, libel, slander or any other rights of any nature whatsoever, or violate any federal, state and municipal laws. The City will not determine or exercise control as to general procedures or formats necessary to have these services meet this warranty. 10.Independent Contractor Status/Labor Relations: The parties agree that Consultant is an independent Contractor for purposes of this Agreement and is not to be considered an employee of the City for any purpose. Consultant is not subject to the terms and provisions of the City’s personnel policies handbook and may not be considered a City employee for workers’ compensation or any other purpose. Consultant is not authorized to represent the City or otherwise bind the City in any dealings between Consultant and any third parties. Consultant shall comply with the applicable requirements of the Workers’ Compensation Act, Title 39, Chapter 71, Montana Code Annotated (MCA), and the Occupational Disease Act of Montana, Title 39, Chapter 71, MCA. Consultant shall maintain workers’ compensation coverage for all members and employees of Consultant’s business, except for those members who are exempted by law. 11.Indemnity/Waiver of Claims/Insurance: For other than professional services rendered, to the fullest extent permitted by law, Consultant agrees to release, defend, indemnify, and hold harmless the City, its agents, representatives, employees, and officers (collectively referred to for purposes of this Section as the City) from and against any and all claims, demands, actions, fees and costs (including attorney’s fees and the costs and fees of expert witness and consultants), losses, expenses, liabilities (including liability where activity is inherently or intrinsically dangerous) or damages of whatever kind or nature connected therewith and without limit and without regard to the cause or causes thereof or the negligence of any party or parties that may be asserted against, recovered from or suffered by the City occasioned by, growing or arising out of or resulting from or in any way related to: (i) the negligent, reckless, or intentional Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 3 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A misconduct of the Consultant; or (ii) any negligent, reckless, or intentional misconduct of any of the Consultant’s agents. For the professional services rendered, to the fullest extent permitted by law, Consultant agrees to indemnify and hold the City harmless against claims, demands, suits, damages, losses, and expenses, including reasonable defense attorney fees, to the extent caused by the negligence or intentional misconduct of the Consultant or Consultant’s agents or employees. Such obligations shall not be construed to negate, abridge, or reduce other rights or obligations of indemnity that would otherwise exist. The indemnification obligations of this Section must not be construed to negate, abridge, or reduce any common-law or statutory rights of the City as indemnitee which would otherwise exist as to such indemnitee(s). Consultant’s indemnity under this Section shall be without regard to and without any right to contribution from any insurance maintained by City. Should the City be required to bring an action against the Consultant to assert its right to defense or indemnification under this Agreement or under the Consultant’s applicable insurance policies required below the City shall be entitled to recover reasonable costs and attorney fees incurred in asserting its right to indemnification or defense but only if a court of competent jurisdiction determines the Consultant was obligated to defend the claim(s) or was obligated to indemnify the City for a claim(s) or any portion(s) thereof. In the event of an action filed against City resulting from the City’s performance under this Agreement, the City may elect to represent itself and incur all costs and expenses of suit. Consultant also waives any and all claims and recourse against the City, including the right of contribution for loss or damage to person or property arising from, growing out of, or in any way connected with or incident to the performance of this Agreement except “responsibility for [City’s] own fraud, for willful injury to the person or property of another, or for violation of law, whether willful or negligent” as per 28-2-702, MCA. These obligations shall survive termination of this Agreement and the services performed hereunder. In addition to and independent from the above, Consultant shall at Consultant’s expense secure insurance coverage through an insurance company or companies duly licensed and authorized to conduct insurance business in Montana which insures the liabilities and obligations specifically assumed by the Consultant in this Section. The insurance coverage shall not contain any exclusion for liabilities specifically assumed by the Consultant in this Section. The insurance shall cover and apply to all claims, demands, suits, damages, losses, and expenses that may be asserted or claimed against, recovered from, or suffered by the City Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 4 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A without limit and without regard to the cause therefore and which is acceptable to the City. Consultant shall furnish to the City an accompanying certificate of insurance and accompanying endorsements in amounts not less than as follows: •Workers’ Compensation – statutory; •Employers’ Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate; •Commercial General Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate; •Automobile Liability - $1,000,000 property damage/bodily injury per accident; and •Professional Liability - $1,000,000 per claim; $2,000,000 annual aggregate. The above amounts shall be exclusive of defense costs. The City of Bozeman shall be endorsed as an additional or named insured on a primary non- contributory basis on both the Commercial General and Automobile Liability policies. The insurance and required endorsements must be in a form suitable to City and shall include no less than a thirty (30) day notice of cancellation or non-renewal. The City must approve all insurance coverage and endorsements prior to the Consultant commencing work. Consultant shall notify City within two (2) business days of Consultant’s receipt of notice that any required insurance coverage will be terminated or Consultant’s decision to terminate any required insurance coverage for any reason. 12.Termination for Consultant’s Fault: a.If Consultant refuses or fails to timely do the work, or any part thereof, or fails to perform any of its obligations under this Agreement, or otherwise breaches any terms or conditions of this Agreement, the City may, by written notice, terminate this Agreement and the Consultant’s right to proceed with all or any part of the work (“Termination Notice Due to Consultant’s Fault”). The City may then take over the work and complete it, either with its own resources or by re-letting the contract to any other third party. b.In the event of a termination pursuant to this Section 12, Consultant shall be entitled to payment only for those services Consultant actually rendered. c.Any termination provided for by this Section 12 shall be in addition to any other remedies to which the City may be entitled under the law or at equity. d.In the event of termination under this Section 12, Consultant shall, under no circumstances, be entitled to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature arising, or claimed to have arisen, as a result of the termination. 13.Termination for City’s Convenience: a.Should conditions arise which, in the sole opinion and discretion of the City, make it advisable to the City to cease performance under this Agreement, the City may terminate this Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 5 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Agreement by written notice to Consultant (“Notice of Termination for City’s Convenience”). The termination shall be effective in the manner specified in the Notice of Termination for City’s Convenience and shall be without prejudice to any claims that the City may otherwise have against Consultant. b.Upon receipt of the Notice of Termination for City’s Convenience, unless otherwise directed in the Notice, the Consultant shall immediately cease performance under this Agreement and make every reasonable effort to refrain from continuing work, incurring additional expenses or costs under this Agreement and shall immediately cancel all existing orders or contracts upon terms satisfactory to the City. Consultant shall do only such work as may be necessary to preserve, protect, and maintain work already completed or immediately in progress. c.In the event of a termination pursuant to this Section 13, Consultant is entitled to payment only for those services Consultant actually rendered on or before the receipt of the Notice of Termination for City’s Convenience. d.The compensation described in Section 13(c) is the sole compensation due to Consultant for its performance of this Agreement. Consultant shall, under no circumstances, be entitled to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature arising, or claimed to have arisen, as a result of the termination. 14.Limitation on Consultant’s Damages; Time for Asserting Claim: a.In the event of a claim for damages by Consultant under this Agreement, Consultant’s damages shall be limited to contract damages and Consultant hereby expressly waives any right to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature or kind. b.In the event Consultant wants to assert a claim for damages of any kind or nature, Consultant shall provide City with written notice of its claim, the facts and circumstances surrounding and giving rise to the claim, and the total amount of damages sought by the claim, within thirty (30) days of the Consultant becoming aware of the facts and circumstances giving rise to the claim. In the event Consultant fails to provide such notice, Consultant shall waive all rights to assert such claim. 15.Representatives and Notices: a.City’s Representative: The City’s Representative for the purpose of this Agreement shall be Jessica Ahlstrom, Water Conservation Specialist, or such other individual as City shall designate in writing. Whenever approval or authorization from or communication or submission to City is required by this Agreement, such communication or submission shall be directed to the Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 6 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A City’s Representative and approvals or authorizations shall be issued only by such Representative; provided, however, that in exigent circumstances when City’s Representative is not available, Consultant may direct its communication or submission to other designated City personnel or agents as designated by the City in writing and may receive approvals or authorization from such persons. b.Consultant’s Representative: The Consultant’s Representative for the purpose of this Agreement shall be Michelle Maddaus, President, or such other individual as Consultant shall designate in writing. Whenever direction to or communication with Consultant is required by this Agreement, such direction or communication shall be directed to Consultant’s Representative; provided, however, that in exigent circumstances when Consultant’s Representative is not available, City may direct its direction or communication to other designated Consultant personnel or agents. c.Notices: All notices required by this Agreement shall be in writing and shall be provided to the Representatives named in this Section. Notices shall be deemed given when delivered, if delivered by courier to Party’s address shown above during normal business hours of the recipient; or when sent, if sent by email or fax (with a successful transmission report) to the email address or fax number provided by the Party’s Representative; or on the fifth business day following mailing, if mailed by ordinary mail to the address shown above, postage prepaid. 16.Permits: Consultant shall provide all notices, comply with all applicable laws, ordinances, rules, and regulations, obtain all necessary permits, licenses, including a City of Bozeman business license, and inspections from applicable governmental authorities, and pay all fees and charges in connection therewith. 17.Laws and Regulations: Consultant shall comply fully with all applicable state and federal laws, regulations, and municipal ordinances including, but not limited to, all workers’ compensation laws, all environmental laws including, but not limited to, the generation and disposal of hazardous waste, the Occupational Safety and Health Act (OSHA), the safety rules, codes, and provisions of the Montana Safety Act in Title 50, Chapter 71, MCA, all applicable City, County, and State building and electrical codes, the Americans with Disabilities Act, and all non- discrimination, affirmative action, and utilization of minority and small business statutes and regulations. 18.Nondiscrimination and Equal Pay: The Consultant agrees that all hiring by Consultant of persons performing this Agreement shall be on the basis of merit and qualifications. The Consultant will have a policy to provide equal employment opportunity in accordance with all applicable state and federal anti-discrimination laws, regulations, and contracts. The Consultant will not refuse employment to a person, bar a person from employment, or discriminate against a person in compensation or in a term, condition, or privilege of employment because of race, color, religion, creed, political ideas, sex, age, marital status, national origin, Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 7 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 8 of 11 actual or perceived sexual orientation, gender identity, physical or mental disability, except when the reasonable demands of the position require an age, physical or mental disability, marital status or sex distinction. The Consultant shall be subject to and comply with Title VI of the Civil Rights Act of 1964; Section 140, Title 2, United States Code, and all regulations promulgated thereunder. Consultant represents it is, and for the term of this Agreement will be, in compliance with the requirements of the Equal Pay Act of 1963 and Section 39-3-104, MCA (the Montana Equal Pay Act). Consultant must report to the City any violations of the Montana Equal Pay Act that Consultant has been found guilty of within 60 days of such finding for violations occurring during the term of this Agreement. Consultant shall require these nondiscrimination terms of its subcontractors providing services under this Agreement. 19.Intoxicants; DOT Drug and Alcohol Regulations/Safety and Training: Consultant shall not permit or suffer the introduction or use of any intoxicants, including alcohol or illegal drugs, by any employee or agent engaged in services to the City under this Agreement while on City property or in the performance of any activities under this Agreement. Consultant acknowledges it is aware of and shall comply with its responsibilities and obligations under the U.S. Department of Transportation (DOT) regulations governing anti-drug and alcohol misuse prevention plans and related testing. City shall have the right to request proof of such compliance and Consultant shall be obligated to furnish such proof. The Consultant shall be responsible for instructing and training the Consultant's employees and agents in proper and specified work methods and procedures. The Consultant shall provide continuous inspection and supervision of the work performed. The Consultant is responsible for instructing its employees and agents in safe work practices. 20.Modification and Assignability: This Agreement may not be enlarged, modified, amended or altered except by written agreement signed by both parties hereto. The Consultant may not subcontract or assign Consultant’s rights, including the right to compensation or duties arising hereunder, without the prior written consent of the City. Any subcontractor or assignee will be bound by all of the terms and conditions of this Agreement. 21.Reports/Accountability/Public Information: Consultant agrees to develop and/or provide documentation as requested by the City demonstrating Consultant’s compliance with the requirements of this Agreement. Consultant shall allow the City, its auditors, and other persons authorized by the City to inspect and copy its books and records for the purpose of verifying that the reimbursement of monies distributed to Consultant pursuant to this Agreement was used in compliance with this Agreement and all applicable provisions of federal, state, and DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 9 of 11 local law. The Consultant shall not issue any statements, releases or information for public dissemination without prior approval of the City. 22.Non-Waiver: A waiver by either party of any default or breach by the other party of any terms or conditions of this Agreement does not limit the other party’s right to enforce such term or conditions or to pursue any available legal or equitable rights in the event of any subsequent default or breach. 23.Attorney’s Fees and Costs: In the event it becomes necessary for either Party to retain an attorney to enforce any of the terms or conditions of this Agreement or to give any notice required herein, then the prevailing Party or the Party giving notice shall be entitled to reasonable attorney's fees and costs, including fees, salary, and costs of in-house counsel including the City Attorney’s Office staff. 24.Taxes: Consultant is obligated to pay all taxes of any kind or nature and make all appropriate employee withholdings. 25.Dispute Resolution: a.Any claim, controversy, or dispute between the parties, their agents, employees, or representatives shall be resolved first by negotiation between senior-level personnel from each party duly authorized to execute settlement agreements. Upon mutual agreement of the parties, the parties may invite an independent, disinterested mediator to assist in the negotiated settlement discussions. b.If the Parties are unable to resolve the dispute within thirty (30) days from the date the dispute was first raised, then such dispute may only be resolved in a court of competent jurisdiction in compliance with the Applicable Law provisions of this Agreement. 26.Survival: Consultant’s indemnification shall survive the termination or expiration of this Agreement for the maximum period allowed under applicable law. 27.Headings: The headings used in this Agreement are for convenience only and are not be construed as a part of the Agreement or as a limitation on the scope of the particular paragraphs to which they refer. 28.Severability: If any portion of this Agreement is held to be void or unenforceable, the balance thereof shall continue in effect. 29.Applicable Law: The parties agree that this Agreement is governed in all respects by the laws of the State of Montana. DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Professional Services Agreement – 2020 Water Conservation Plan FY2020-2021 Page 10 of 11 30.Binding Effect: This Agreement is binding upon and inures to the benefit of the heirs, legal representatives, successors, and assigns of the parties. 31.No Third-Party Beneficiary: This Agreement is for the exclusive benefit of the parties, does not constitute a third-party beneficiary agreement, and may not be relied upon or enforced by a third party. 32.Counterparts: This Agreement may be executed in counterparts, which together constitute one instrument. 33.Integration: This Agreement and all Exhibits attached hereto constitute the entire agreement of the parties. Covenants or representations not contained herein or made a part thereof by reference, are not binding upon the parties. There are no understandings between the parties other than as set forth in this Agreement. All communications, either verbal or written, made prior to the date of this Agreement are hereby abrogated and withdrawn unless specifically made a part of this Agreement by reference. 34.Standard of Care: In providing services under this Agreement, Consultant will perform in a manner consistent with the degree of care and skill ordinarily exercised by members of the same profession currently practicing under similar circumstances. If any service should be found to be not in conformance with this standard, the Consultant shall, at the City’s request, re- perform the service at its own expense. Consultant shall also, at its own expense, make such changes, modifications or additions to the project which are made necessary as a result of the initial non-performance or the re-performance of services. The City’s rights herein are in addition to any other remedies the City may have under the law 35.Ownership and Reuse of Documents: Upon payment in full by City to Consultant for all monies due Consultant under this Agreement, Consultant’s work products produced under this Agreement shall become the sole property of the City. The City’s use, reuse, alteration, or modification of the work products will be at City’s sole risk and without liability or legal exposure to Consultant or to its officers, directors, members, partners, agents, employees, and consultants. 36.Consent to Electronic Signatures: The Parties have consented to execute this Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act, Title 30, Chapter 18, Part 1, MCA. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** In witness whereof, the Parties hereto do make and execute this Agreement. DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A CITY OF BOZEMAN, MONTANA BY: ____________ _ Jeff Mihelich, City Manager DATE: __________ _ ATTEST: BY: -------------- Mike Maas, City Clerk APPROVED AS TO FORM: BY:___________ _ Greg Sullivan, City Attorney MADDAUS WATER MANAGEMENT, INC DATE:_o_·i....._�_04.a.....&,,/_.:a:::20=-w ___ _ Professional Services Agreement - 2020 Water Conservation Plan FY 2020-202 I Page 11 of 11 DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A 9/18/2020 Proposal for City of Bozeman Water Conservation Plan 1 EXHIBIT A - SCOPE OF SERVICES MWM will provide the following services to meet objectives of the City’s 2020 Water Conservation Plan. Task 1 Existing Water Use Characterization and Future Demand Projection Task 1.1 Review the City’s historical, current, and future water demands MWM will inventory and review any relevant available data from the City of Bozeman such as historic water use, climate trends, land use development, and demographics. MWM also will review demand projection analyses, any available and relevant information from Bozeman GIS mapping data queries, and other service area characterization data previously developed for the City. This inventory and analysis will support the development of subsequent tasks (i.e., conservation savings potential). MWM has created a draft summary of data that is available for the City, as shown in Table 1. Once the data inventory table is finalized and reviewed with City staff, MWM will provide an Excel-based data collection workbook to be completed by the City. Table 1. Draft Data Inventory for City of Bozeman Data Type Planned Data Sources Water Purchase and Consumption Data  Data collection workbooks with monthly consumption data  Customer classifications and number of connections  2013 Integrated Water Resources Plan  2017 Water Facility Plan Update  Daily plant production  Monthly metered consumption by customer class Non-Revenue Water  2017 Water Facility Plan Update Historical and Projected Demographics  Any other relevant reports elected to be provided, such as General Plans or Specific Plans  Recent population and employment projections  Historical population Climate and Weather Data  National Oceanic and Atmospheric Administration (NOAA) data  2017 Drought Management Plan  History of droughts/wet years/abnormal years Land Use and Irrigation Data  Parcel size  Ground cover type raster Housing and Economic Data  Census 2010  Economy information available from the Montana Department of Labor and Industry, Bureau of Labor Statistics, Census Bureau  Building activity from City Building Department (number of permits, value of construction)  Taxable property assessment data Reference Reports and Legislation  Any provided past conservation reports Cost Data  Avoided O&M and Capital Costs  Water Loss Control Program Costs Conservation Activity  City of Bozeman conservation records Existing Demand Models and Future Projections  Existing strategic and master planning documents  Reports describing current demand projection methodology Integrated Water Resources Plan  2013 Integrated Water Resources Plan DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 2 The City staff will provide MWM with planning documents, including the 2013 Integrated Water Resources Plan and Water Facility Plan. MWM will review the provided documents, then discuss key elements with City staff that are pertinent to the demand forecast and conservation modeling efforts. The goal of this task will be to align the new Water Conservation Plan with the overall City direction and vision. During this task, MWM will direct a productive Kickoff and Data Review Meeting to discuss the project and address the following items with representatives from City staff: • Establishing project roles • Confirming project goals, schedule, and tasks • Reviewing data needs • Reviewing expectations for each deliverable • Determining communication protocols • Gaining buy-in for the Plan from City staff and critical stakeholders • Water Use Characterization and Future Demand Projections Spreadsheets The meeting will include a discussion of City-provided reports, past conservation efforts, and current gallons- per-day water use; a review of the City’s water use data by sector; and a discussion of existing conservation measures. Task 1 Deliverable: • Excel-based data collection workbook for the City to complete and return to MWM Task 2 Outdoor Water Use Weather Normalization Develop a weather normalization method to compare year-to-year water conservation results MWM will use the information provided in Task 1 to conduct a weather normalization analysis for the City of Bozeman. Before selecting the approach and conducting the analysis for the outdoor end use measures, MWM will review with City staff the local climate data that the City currently uses as well as the options on methodology. The Montana State University data sources, if not currently used, may be considered based on City staff input (http://www.sarc.montana.edu/php/WX_Hysham/info/). The goal of the analysis will be to accurately reflect the past while tracking the future water use savings from outdoor measures, taking into consideration variations in year-to-year weather. It is assumed, based on budget, that the ideal selected option would be a simplified approach using Excel-based tools and local climate data. Task 2 Deliverable: • Provide Weather Normalization Results and incorporate information into the savings analysis Task 3 Evaluate Effectiveness of Existing Water Conservation Program Measures Analyze existing conservation program measures MWM will evaluate current conservation measures to develop a benefit-cost analysis and cost of savings per acre-feet. The evaluation will be done through utility and customer costs, estimated water savings, and demand reductions of each existing measure. MWM will take into consideration the following when analyzing and performing the benefit-cost analysis of the existing measures:  Budget  Passive savings  Forecasted market penetration  Saturation of low flow fixtures/devices  FTE staff time for each measure  Demand hardening DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 3 Task 4 Evaluate Effectiveness of Additional Water Conservation Program Measures Task 4.1 Identify conservation measure program concepts appropriate for the City and Public Meeting MWM will identify various conservation measure approaches to meet the City’s water use efficiency goals then lead a qualitative screening process that follows the AWWA M52 Manual guidelines. MWM has a library of over 100 individual conservation measures that will provide the basis of the screening process. After screening this library of measures, a shorter list of 25-30 measures will be developed. The list will contain desired measures including educational programming, rebates/incentives, tools/resources, technical services, municipal codes/ordinances, and pricing signals. Concepts may include non-device water conservation opportunities like focused educational programs, ordinances, partnerships, grants, research, and outreach. Up to one meeting will be included in the measure screening process to obtain feedback from the public. It is assumed this meeting would be virtual and conducted via webinar. MWM would support the meeting by providing materials and attending remotely. Task 4.2 Evaluate proposed conservation program concepts MWM will analyze and prioritize conservation programs and projects by cost effectiveness, and quantifiable water savings. MWM will evaluate each measure individually including cost, resources, and staffing needed to implement the program. This information will be reviewed and discussed with City staff so that each measure is clear and practical to implement. MWM proposes to use the DSS Model to evaluate conservation savings and cost effectiveness. For budgeting purposes, we assume for this project that we would use a single DSS Model to represent the City service area. See Figure 2 below and Appendix A for more information on the model. Figure 1. Key Benefits of the DSS Model MWM will quantify the costs and water savings of the selected 25-30 measures to be analyzed. Water savings, an economic analysis, and the cost of the water conservation measures will be summarized. Cost savings from reduced water demand will be quantified annually and based on avoided costs provided by the City (which reflects the City’s specific options for obtaining additional water supply, if needed). We will evaluate the best conservation measures in the DSS Model and present benefit-cost information as well as water and energy savings. Measures also will be evaluated from the customer/community perspective. A screen shot of the DSS Model’s benefit-cost analysis measure summary sheet is shown in the following figure. DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 4 Figure 2. DSS Model Benefit-Cost Analysis Task 4.3 Conduct a priority-setting meeting with City staff MWM will compile the best measures in up to three program scenarios in the City’s DSS Model. Each program scenario (Programs A, B and C) will contain increasing levels of conservation effectiveness. For example, Program A may include the existing conservation measures implemented by the City (which ideally would have a benefit-cost ratio greater than 1.0 as the least costly and most effective measures). Program B, for example, could be a suite of measures, selected through City input, that includes Program A’s measures plus any measures with benefit-cost ratios greater than 1.0 and/or any measures the City plans to implement. The water savings, benefits, and costs of each program package and associated staffing levels will be computed and included as tables in the analysis and report; the ease and speed of implementation as well as customer receptivity will be considered. A cost-effectiveness curve will display the results of Present Value of Program Costs vs. Cumulative Water Savings at the end of the planning period. This curve will be helpful in determining how far to push the “conservation envelope” as the point of diminishing economic returns will be clearly evident. MWM will review the results of the program analysis with City staff. At this stage, City staff will likely want to adjust the program contents or add another program for comparison. MWM can easily modify measures and/or add additional programs dependent on budget availability. The most aggressive program, Program C, could save the most water but be the least cost-effective overall given that more expensive conservation measures are included. The City staff can review and select which measures will be in each of the programs and add or remove programs once preliminary results are provided. During the DSS Model training, City staff will be shown how to update or modify program elements and scenarios; this is a straightforward process that only takes minutes. Figure 4 presents a screen shot from the DSS Model of the program editor worksheet, where conservation measures are added to various programs. Figure 3. DSS Model Program Editor Worksheet DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 5 Task 4 Deliverables:  Two virtual meetings to review and discuss DSS Model design parameters and modeling results and key findings with City staff. These meetings will support the generation of a prioritized list of residential and commercial program concepts.  MWM assumes that there will be a maximum of three rounds of revisions of the DSS Model measures and programs. Task 5 Develop a Capital Improvement Plan MWM will work with City staff to identify potential capital improvement projects and equipment that increases water efficiency, such as replacing turf medians with water efficient landscape, installing weather- based irrigation controllers in City owned parks, and retrofitting City owned buildings with water efficient faucets, toilets, and urinals. It is intended that this will be incorporated into the DSS Model analysis to the extent practical and outlined in the Final Plan document. Develop and evaluate a list of potential projects and upgrades MWM will work with City staff to develop and evaluate a list of 3-5 projects that can be implemented by the City at a reasonable cost point of no more than $50,000 per project. Each project will have an estimated water savings (as AF/year) and demand reduction (as GPCD) as well as total project cost. The DSS Model benefit-cost approach can be utilized to prioritize project scheduling. Task 5 Deliverable: • Capital Improvement Plan list of projects and costs Task 6 City Operations Water Use Optimization MWM will identify potential operational improvements that will optimize City water use efficiency for City- owned assets (e.g., irrigation schedules for public parks/City-owned property). The water savings in AF/year from the DSS Model will be used to quantify water savings for individual measures which can assist in determining any necessary GPCD reductions by customer class. Task 6 Deliverable: • Excel workbook showing estimated water savings and demand for each recommended project Task 7 Develop a Comprehensive Water Conservation Implementation Plan Prepare a comprehensive implementation plan to achieve targeted water conservation goals All information prepared and analyzed in previous tasks will be compiled in the comprehensive Water Conservation Implementation Plan (WCIP), developed by MWM with input from City staff. It is further assumed the City will provide MWM with one compiled set of electronic consolidated comments and/or changes in Word document format. The WCIP will be presented to the City at the same time as their DSS Model conservation analysis methodology, inputs, and results. City staff will then review draft results and answer/ask questions or request modifications from MWM. This direct interaction with MWM will ensure that City staff, the Board, and other stakeholders trust and accept the WCIP savings projections. As part of this task, MWM will conduct the following meetings: • Discussion and review with City staff to refine the Final WCIP that will be presented to the City Commission. The WCIP will be included as part of the Water Conservation Plan presentation. City staff will lead the presentation with MWM support to answer any questions via phone or email.  Before the Draft Plan is written, one meeting with the public will be held to review draft results for any ideas on implementation, partnership opportunities and funding, G480 standard, figures, and summary tables that could be included in the Draft Plan. MWM will attend the public meeting via DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 6 webinar. Following the meeting, MWM will review and discuss how to incorporate the public comments into the analysis. Task 7 Deliverable: • Water Conservation Implementation Planning information will be incorporated into the main Water Conservation Plan document as a separate section. The WCIP will be designed to achieve the targeted water conservation goals (as established in Task 4) within the City’s service area. Task 8 Deliver Program Measure Effectiveness Evaluation Spreadsheet Tool MWM will provide a copy of the City’s DSS Model, which is an Excel-based software tool that serves to meet the City’s functionality of a spreadsheet tool, as requested in the Request for Proposal. The City will be able to adjust historical and projected inputs, avoided costs of water, measure specifics, and program building. These will allow the City to develop a benefit-cost analysis; utility and customer costs; estimated water savings and demand reductions for each measure; capital improvement and optimization effort and cost of savings per unit volume of water. MWM will provide a suite of training videos that will enable the City to easily update the DSS Model on an as- needed basis. The use of topic-based videos arranged in a modular format have been found to offer effective instructional capability greater than a printed user guide. Written information will be provided on data sources and assumptions used in developing the model. Task 8 Deliverables: • City of Bozeman DSS Model (as noted, this is an Excel-based spreadsheet tool) • DSS Model suite of training videos Task 9 Water Conservation Plan With input from City staff, MWM will deliver a Final Water Conservation Plan that will include results and information gathered from all tasks in the scope of work. To aid with implementation, the Final Plan will have a more concise main section with detailed appendix information on each conservation measure. MWM will include text and information in the Plan as is relates to the G480 standard. The Plan will be organized into a practical format intended to be an implementation action item list for City staff. The Plan outline will be reviewed with and approved by City staff. See Figure 4 for proposed plan components. DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 7 Figure 4. Proposed Water Conservation Plan Components To be efficient with time, budget, and other resources, it is assumed the Draft and Final Plans will be up to 75 pages in total length, including brief text, relevant information related to the AWWA G480 standard, figures, and summary tables. It is further assumed the City will provide MWM with one set of electronic consolidated comments and/or changes in Word document format. Task 9 Deliverables: • Draft Water Conservation Plan • Support of the City’s presentation of the Draft Plan to the City Commission by being available to answer any questions (if desired by City staff). City staff will prepare and lead the presentation effort. It is assumed there will be only one presentation to the City Commission. • Final Water Conservation Plan DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Proposal for City of Bozeman Water Conservation Plan 8 Appendix A. Description of the DSS Model DSS Model Overview: The Decision Support System Least Cost Planning Model (DSS Model) is used to prepare long-range, detailed demand projections. The DSS Model has been used for over 20 years for practical applications of conservation planning in over 300 service areas representing 60 million people, including extensive efforts nationally and internationally in Australia, New Zealand, and Canada. The DSS Model is an “end-use” model that breaks down total water production (water demand in the service area) to specific water end uses, such as plumbing fixtures and appliance uses. The model uses a bottom-up approach that allows for multiple criteria to be considered when estimating future demands, such as the effects of natural fixture replacement, plumbing codes, and conservation efforts. The DSS Model may also use a top- down approach with a utility prepared water demand forecast. Demand Forecast Development and Model Calibration: To forecast urban water demands using the DSS Model, customer demand data is obtained from the water agency being modeled. The demand data is reconciled with available demographic data to characterize the water usage for each customer category in terms of number of users per account. The data is further analyzed to approximate the split of indoor and outdoor water usage in each customer category. The indoor/outdoor water usage is further divided into typical end uses for each customer category. Published data on average per capita indoor water use and average per capita end use is combined with the number of water users to calibrate the volume of water allocated to specific end uses in each customer category. In other words, the DSS Model checks that social norms from end studies on water use behavior (e.g., flushes per person per day) are not exceeded or drop below reasonable use limits. Water Demand Projection Development Water Demand Breakdown by End Use Impact of Water Efficiency Measures on Each End Use Benefit-Cost Analysis and Conservation Program Selection Total Demand Reductions from Conservation Figure 9. DSS Model Main Worksheet Screenshot Agency Info Edit Model Setup Edit Production Edit Consumption Data Edit Historical Demographics Edit Growth Projections Edit Data Collection Hide Base Year Profile Edit NRW Edit Regression Data Edit End Uses Edit Codes and Standards Edit Water Demand Scenario Edit Service Area Calibration Edit Demand Projections Edit Demand Analysis Hide Settings and Targets Edit Avoided Costs Edit Conservation Measures Edit Program Scenarios Edit Final Check Edit Conservation Analysis Hide Tables and Figures Edit Results Hide DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A Attachment 1: Cost Proposal for City of Bozeman 2020 Water Conservation Plan Mi c h e l l e M a d d a u s Li s a M a d d a u s Ch r i s M a t y a s Te s s K r e t s c h m a n n Ha n n a h B r a u n An d r e a P a c h e c o Mi c h e l l e M a d d a u s Li s a M a d d a u s Ch r i s M a t y a s Te s s K r e t s c h m a n n Ha n n a h B r a u n An d r e a P a c h e c o To t a l L a b o r Task Name $255 $260 $255 $175 $100 $125 1 Review the City's Water Use Data by Sector and Evaluate Existing Water Use Programs 1 Review the City’s historical, current, and future water demands, and water deliveries including potable and recycled water 28 8 30 7,140$ -$ -$ 1,400$ 3,000$ -$ 11,540$ Subtotal 28 --8 30 -7,140$ -$ -$ 1,400$ 3,000$ -$ 11,540$ 2 Outdoor Weather Normalization 2 Outdoor Weather Normalization 8 24 16 2,040$ -$ 6,120$ 2,800$ -$ -$ 10,960$ Subtotal 8 -24 16 --2,040$ -$ 6,120$ 2,800$ -$ -$ 10,960$ 3 Review Existing Conservation Measures 3 Evaluate existing conservation program concepts 8 4 24 2,040$ -$ -$ 700$ 2,400$ -$ 5,140$ Subtotal 8 --4 24 -2,040$ -$ -$ 700$ 2,400$ -$ 5,140$ 4 Develop Program Evaluation Modules (tracking & reporting) 4 Identify and prioritize existing and proposed conservation program concepts + Public Meeting 12 4 30 3,060$ -$ -$ 700$ 3,000$ -$ 6,760$ 4 Research and evaluate proposed conservation program concepts 4 4 8 1,020$ -$ -$ 700$ 800$ -$ 2,520$ 4 Conduct a priority-setting meeting with City Staff to present draft program concept recommendations list 8 4 4 2,040$ -$ -$ 700$ 400$ -$ 3,140$ Subtotal 24 --12 42 -6,120$ -$ -$ 2,100$ 4,200$ -$ 12,420$ 5 Develop a Capital Improvement Program 5 Identify potential infrastructure items 4 2 8 6 1,020$ 520$ -$ 1,400$ 600$ -$ 3,540$ Subtotal 4 2 -8 6 -1,020$ 520$ -$ 1,400$ 600$ -$ 3,540$ 6 City Operations Optimization 6 Optimize City Systems 4 2 16 8 -1,020$ 520$ -$ 2,800$ 800$ -$ 5,140$ Subtotal 4 2 -16 8 -1,020$ 520$ -$ 2,800$ 800$ -$ 5,140$ 7 Implementation Plan 7 Develop implementation plan and add as Chapter to main plan + Public meeting 12 2 12 7 3,060$ 520$ -$ -$ 1,150$ 875$ 5,605$ Subtotal 12 2 --12 7 3,060$ 520$ -$ -$ 1,150$ 875$ 5,605$ 8 Spreadsheet Tool Provide Spreadsheet Tool and Training 8 -16 -2,040$ -$ -$ -$ 1,600$ -$ 3,640$ 9 Water Conservation Plan Draft and Final Plans 24 8 8 36 90 6,120$ 2,080$ -$ 1,400$ 3,600$ 11,250$ 24,450$ Subtotal 24 8 -8 36 90 6,120$ 2,080$ -$ 1,400$ 3,600$ 11,250$ 24,450$ Project Total Labor 112 14 24 72 158 97 28,560$ 3,640$ 6,120$ 12,600$ 15,750$ 12,125$ 78,795$ Reimbursable Expenses (travel cost including flights)1,205$ Project Total Budget 80,000$ Hours Cost DocuSign Envelope ID: 05F793F1-018A-4265-8F59-4761C871690A