HomeMy WebLinkAbout2018-09-17-J10 IAMU Service AgrAGENDA ITEM: J10
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: September 17, 2018
AGENDA ITEM:Consideration of approval of a resolution approving Service Agreement
between Iowa Association of Municipal Utilities (IAMU) and the City of
Waukee
FORMAT:Resolution
SYNOPSIS INCLUDING PRO & CON: The overall management and long term planning of the
City’s gas utility system has a high degree of complexity. The day-to-day
operation of the gas system is capably performed by the members of the Gas
Department. With the upcoming retirement of Public Works Director John
Gibson, there is a need to maintain his expertise in the gas system.
The Iowa Association of Municipal Utilities contracts with cities for
specialized consulting services such as those for municipal gas systems. They
are proposing to have John Gibson provide gas consulting services to the City
of Waukee for a two-year period. The scope of services in the proposed
agreement outlines the services that would be provided to the City of Waukee.
The term of this contract would enable the members of the Gas Utility Team
to draw on John Gibson’s expertise and to prepare for future long term
management and planning of the gas system. I respectfully recommend City
Council approval of the agreement with the Iowa Association of Municipal
Utilities.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS:$2,291.67 per month,
commencing 10/01/2018
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT: Staff recommends approval of the agreement.
RECOMMENDATION: Approve the resolution.
ATTACHMENTS: I. Proposed Resolution
II. Service Agreement
PREPARED BY:Tim Moerman
REVIEWED BY:
THE CITY OF WAUKEE, IOWA
RESOLUTION 18-
APPROVING SERVICE AGREEMENT BETWEEN IOWA ASSOCIATION OF
MUNICIPAL UTILITIES (IAMU) AND THE CITY OF WAUKEE
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF WAUKEE, IOWA
WHEREAS, the City of Waukee, Iowa is a duly organized municipality within Dallas
County; AND,
WHEREAS, the City of Waukee is a member of the Iowa Association of Municipal
Utilities (IAMU); AND,
WHEREAS, the City Gas Utility has been operated through the direct day-to-day
supervision of the Public Works Department; AND
WHEREAS, with the retirement of Public Works Director John Gibson there is a need to
maintain his expertise, experience and guidance in connection with the ongoing
operation, gas purchasing, and expansion of the City’s gas system; AND
WHEREAS, such issues are common in the city gas utility ecosystem and the Iowa
Association of Municipal Utilities provides specialized consulting services to aide in
transitions designed to provide a level of consistency and support throughout transition
periods. They have proposed an arrangement under which John Gibson would continue to
consult with the City Gas Utility Team enabling the team to draw from John’s extensive
experience with the City’s system as well as preparing further for the future long term
management and planning for the system; AND
WHEREAS, the City recommends approval of a Service Agreement between Iowa
Association of Municipal Utilities (IAMU) and the City of Waukee wherein IAMU shall
provide transitional natural gas utility management services according to the terms of the
agreement; AND,
WHEREAS, the City Attorney has reviewed the proposed agreement, attached hereto as
Exhibit A, and finds it satisfactory.
NOW THEREFORE BE IT RESOLVED by the City of Waukee City Council in
session this 17th day of September, 2018, that it hereby approves Service Agreement
between Iowa Association of Municipal Utilities (IAMU) and the City of Waukee.
____________________________
William F. Peard, Mayor
Attest:
___________________________________
Rebecca D. Schuett, City Clerk
RESULTS OF VOTE: AYE NAY ABSENT ABSTAIN
Anna Bergman
R. Charles Bottenberg
Courtney Clarke
Shelly Hughes
Larry R. Lyon
IAMU – City of Waukee Agreement Page 1 of 2
SERVICE AGREEMENT
This Agreement between the Iowa Association of Municipal Utilities (IAMU) and City of Waukee (Waukee)
(hereafter Utility) describes services requested by the Utility from IAMU and the terms and conditions of their
provision. Section 4. ExpensesTravel within
the metro area
Travel within 25 miles of 230 W. Hickman Rd, Waukee, Iowa, 50263 shall be
considered commuting by the IAMU employee and is not a reimbursable expense and
shall be the responsibility of the IAMU employee, or the IAMU.
Work-related
travel and
expenses
Reasonable, and ordinary expenses shall be reimbursed to IAMU if approved by the
City Administrator in writing in advance of being incurred.
Administrative
expenses
There is no additional administrative or overhead expenses. The rates contained
herein are all inclusive.
Other None.
Section 5.
Independent
Contractor
Ownership/Data and
records
Consultant understands and agrees that the Consultant and Consultant's employees and
representatives are not City employees. Consultant shall be solely responsible for
payment of salaries, wages, payroll taxes, unemployment benefits, or any other form of
compensation or benefit to Consultant or Consultant's employees, representatives or
other personnel performing the professional services specified herein, whether it be of a
direct or indirect nature. Further, it is expressly understood and agreed that for such
purposes neither Consultant nor Consultant's employees, representatives or other
personnel shall be entitled to any City payroll, insurance, unemployment, worker's
compensation, retirement, or any other benefits whatsoever.
All sketches, tracings, plans, specifications, reports, and other data prepared under this
Agreement shall become the property of the City; a reproducible set shall be delivered to
the City at no additional cost to the City upon completion of the plans or termination of
Section 1.
Description of Services
to be provided by IAMU
IAMU shall provide routine natural gas management services as more particularly set
forth on attached schedule of services to City of Waukee by providing a qualified
employee from its staff to provide such services (Employee). Duties include those set
forth on the attached schedule of services. The individual(s) assigned by IAMU to
perform the services shall be salaried and full time with the IAMU.
Section 2.
Term
The term of the Agreement shall be October 1, 2018 to September 30, 2020, unless
terminated by either party with 45 days written notice. If from Waukee such notice to be
delivered to Troy DeJoode, Executive Director, IAMU, 1735 NE 70th Avenue Ankeny Iowa
50021 and tdejoode@iamu.org. If from IAMU such notice shall be delivered to the
Waukee City Administrator, 230 W Hickman Rd, Waukee, Iowa 50263. Waukee shall be
obligated to pay all costs incurred up to the time of termination.
Section 3.
Compensation
(check those that apply)
The Utility agrees to reimburse IAMU for performance of this agreement on the
following basis: Commencing on October 1, 2018 and throughout the term of this
agreement, or the termination date whichever shall first occur, the sum of $2291.67 per
month.
These rates are based on the employer paid taxes, and fees, in place at the time of the
signing of this Agreement. Should any those taxes or fees be reduced or increase during
the time of this Agreement the corresponding rate shall be reduced or increased
accordingly.
IAMU – City of Waukee Agreement Page 2 of 2
the services of the Consultant. All drawings and data shall be transmitted in a durable
material, with electronic files provided when feasible to do so. The Consultant's liability
for use of the sketches, tracings, plans, specifications, reports, and other data prepared
under this Agreement shall be limited to the Project.
Section 6.
Billing & Payments
IAMU will bill the Utility monthly. All invoices shall be due within 15 days of receipt.
Signed this ___ day of ___________, 2018 Signed this _____ day of _________, 2018
For the Iowa Association of Municipal Utilities For the City of Waukee
Troy M. DeJoode Authorized Official
SCHEDULE OF SERVICES
The City of Waukee requires the services of a consultant as part of the overall planning and
management of the City’s Gas Utility. The following scope of services will be necessary for a two-year
period beginning on October 15, 2018. The consultant will:
1.Engage with PFM and the Gas Utility Team to:
A.Prepare a long range capital improvement plan for the system
B.Prepare the annual capital improvement plan and advise on construction coordination
C.Prepare projections of customer growth and gas usage
D.Prepare the annual gas utility cashflows and to periodically update the cashflows as
necessary
2.Provide leadership of the Gas Utility Team in the Monthly Price of Gas Adjustment (PGA)
3.Collaborate with USDI and the Gas Utility Team for the gas modeling of the gas system
4.Collaborate with Clayton Energy and the Gas Utility Team to:
A.Consider and make forward purchases
B.Manage the gas storage through monthly withdrawals and forward purchases
C.Forecast demand and demand charges
D.Make decisions on the Carlton capacity release
E.Make decisions on Northern Natural Gas activities including capacity release, growth
projections, additional capacity and contract renewals
5.Lead the Gas Utility Team in prepay gas purchases
6.Plan and facilitate monthly meetings of the Gas Utility Team
7.Convene meetings of the Gas Utility Team as needed