ECS RFQ Energy Performance Contracting 2024 U.pdf

Page | 1 Internal

The REQUEST FOR QUALIFICATIONS (RFQ) Issued by

Early County School System For Energy Savings Performance Contracting Services

INTRODUCTION

Early County School System (hereinafter referred to as “School System”) requests proposals from qualified firms for the provisioning of an Energy Savings Performance Contract. Pursuant to GA Code: 50-37, Early County School System is seeking qualifications from interested Energy Services Companies (ESCOs) capable of providing a comprehensive solution that will reduce energy and operational costs across School System facilities.

At a minimum, the ESCO must have meet the following qualifications:

• Licensed in the State of Georgia

• An approved ESCO by the Georgia Environmental Finance Authority

• Certified Energy Services Provider (ESP) by NAESCO

• Has demonstrated experience in the implementation of Energy Performance contracts.

GENERAL RESULTS DESIRED

Early County School System seeks a broad range of services and capital improvements in order to improve the energy and operational efficiency of School System facilities, address critical infrastructure needs and enhance the health, safety, comfort and functional alignment of School System facilities. These services and capital improvements will be provided through an Energy Services Agreement, which could include, but is not limited to, an Energy Services Contract or other applicable state procurement legislation.

No contract shall exceed 20 years in duration and is subject to annual appropriations. The School System is considering a combination of federal funding, grants, rebates, as well as other financing mechanisms. If federal funding is used to fund the proposed projects, in whole or in part, ESCO would be responsible for ensuring that all contractors and project elements meet all applicable state and federal codes, regulations and requirements necessary for federal funding opportunities available to the School System.

Additionally, the School System is open to additional opportunities, projects and/or phases of work that would improve facilities, operations and drive energy and operational efficiencies.

REQUIRED SYSTEMS AND SERVICES CAPABILITIES

ESCOs must have the demonstrated technical and managerial capabilities to address a broad range of building energy systems and provide a comprehensive set of energy services. Energy systems include, but are not limited to, heating, ventilation and air conditioning systems, lighting, windows, insulation and energy management controls, life safety measures that provide long-term, operating-cost reductions, building operation programs that reduce operating costs, other energy-conservation-related improvements, including improvements or equipment related to renewable energy, water, and other equipment, services and improvements providing energy efficiency.

Energy services include, but are not limited to, an investment grade technical energy audit and report; the design, acquisition, installation, modification maintenance, commissioning, monitoring and training in the operation of solutions installed in this project.

Any stipulated energy and/or non-energy cost savings that may be attributed to this project will be rigorously reviewed and, if agreed to, will be limited to those that can be thoroughly documented and verified by the ESCO and approved by the School System. Additional services may include continuing O&M for all improvements and/or training

Page | 2 of the School System's staff on routine maintenance and operation of systems as well as training of occupants.

Monitoring and verification (M&V) services include appropriate measurement and reporting of the performance and savings from improvements.

OVERVIEW OF TERMS AND CONDITIONS

Contract Term. No contract shall exceed 20 years in duration and is subject to annual appropriations.

Guarantee. Improvements and services must result in guaranteed minimum annual energy and O&M savings options, as well as guaranteed minimum levels of occupant comfort. The combined savings achieved by the installed projects must be sufficient to cover all project costs, including debt service, and all ESCO fees for services for the duration of the contract term. The guaranteed savings must be achieved each year. Annual cost savings derived from such improvements beyond the guaranteed minimum savings will be held by the School System and will not be allocated to future annual savings guarantees or shortfalls in other years.

Financial Review. Detailed financial projections of project benefits are dependent upon the scope of technical retrofits finally selected and installed. It is premature to place a major emphasis on projected financial benefits prior to the completion of a detailed engineering study and negotiation of the project structure.

O&M Savings. Any O&M cost savings proposed by the selected ESCO will be rigorously reviewed and, if agreed to, will be limited to those that can be thoroughly documented and approved by the School System.

DESCRIPTION OF THE PROCUREMENT PROCESS

It is anticipated that the process for the procurement of these energy services will proceed in three stages.

1.) SUBMISSION OF WRITTEN QUALIFICATIONS: The School System through its designated representatives will review and evaluate the written responses to this Request for Qualifications (RFQ) in accordance with the evaluation criteria identified in Attachment B.

2.) SELECTION OF ESCO TO ENTER INTO INVESTMENT GRADE AUDIT AGREEMENT: The selection committee will select the ESCO deemed to be most qualified to perform the requested services. School System and selected ESCO shall enter into an Investment Grade Audit Agreement. The ESCO's proposed contract terms must include the performance and presentation of results from a detailed investment grade technical energy audit and report of acceptable quality to the School System. If the School System decides not to enter into a contract after the audit report has been accepted, the School System agrees to pay the cost of the audit as stated in the contract, provided that all contract terms and conditions of the audit have been met by the ESCO. The School System intends to negotiate a final Energy Services Agreement (ESA) for these services. If an acceptable contract cannot be reached within 90 days from the date of ESCO selection, negotiations with the second-ranked ESCO may be initiated.

Page | 3

RESTRICTION OF CONTACT

From the issue date of this RFQ until the School System selects a respondent for award, the contact person listed below is the sole point of contact concerning this RFQ. All inquiries must be submitted in writing. Any violation of this condition may be cause to reject the offending ESCO’s submission. If it is discovered that ESCO has engaged in any violations of this condition, the offending ESCO’s response may be rejected or contract award rescinded. ESCOs must agree not to distribute any part of their submissions. An ESCO that shares information contained in its submission with other School System personnel and/or competing ESCO personnel may be disqualified. Direct all inquiries concerning this RFQ to the following contact:

Michael Allred, Transportation and Facilities Director Email: mallred@early.k12.ga.us

SUBMITTAL FORMAT

Companies who wish to be considered by the School System must submit 4 copies of their response. All submissions become the property of the School System and will not be returned to the ESCO. The School System reserves the right to reject any or all submissions and to waive informalities and minor irregularities in submissions received and to accept any submissions if deemed in its best interest to do so. All costs associated with submission preparation will be borne by the submitting company.

ATTACHMENTS

Please consult the following attachments for aid in completion of the RFQ.

Attachment A: Evaluation Criteria Attachment B: Contract Terms and Conditions Attachment C: ESCO Profile Form

PROPOSED PROJECT SCHEDULE

The following schedule is the proposed schedule and may change during the project.

Activity Dates

Advertise/Issue RFQ 6/19/24

Written Qualifications Due 7/10/24 @ 3:00 PM

ESCO Selection 7/11/24

Negotiations and Execution of Investment Grade Audit Agreement 8/13/24

Page | 4

ATTACHMENT A

EVALUATION CRITERIA

The criteria listed below will be used in the evaluation of written submissions. These criteria will be applied and interpreted solely at the discretion of the School System. Written responses should include all necessary information that is pertinent to these evaluation criteria. Additional information required for the proper assessment of written submissions may be requested from the ESCO at the discretion of the School System. The criteria are not ranked in order of importance.

Experience

Track Record & References

Program Approach

Support & Savings Guarantee Approach

Financial Strength

Any Other Relevant Information

The establishment, application, and interpretation of the above criteria shall be solely within the discretion of the School System. The School System reserves the right to reject any and all submissions.

Page | 5

ATTACHMENT B

CONTRACT TERMS AND CONDITIONS

The minimum conditions the School System will accept from the selected ESCO are described below. This section defines the scope of services related to the technical requirements that will be included in any final contract. It also defines the key contractual provisions.

1. Scope of Services (Technical Requirements)

The Scope of Services must be included in any performance contract the School System enters into, and must include the following items at a minimum:

a. Investment Grade Technical Energy Audit and Report. The ESCO's proposed contract terms must include the performance and presentation of results from a detailed investment grade technical energy audit and report of acceptable quality to the School System. If the School System decides not to enter into a contract after the audit report has been accepted, the School System agrees to pay the cost of the audit as stated in the submitted response to this RFQ, provided that all contract terms and conditions of the audit have been met by the ESCO.

b. Standards of Comfort. Specific standards of comfort, safety and functionality will not be degraded from the existing condition and/or shall meet minimum established industry standards. The ESCO will be responsible for maintaining the levels of comfort for each building as specified in the Technical Facility Profile or in any final agreement. Persistent failure to maintain the defined climate and lighting conditions will constitute a default.

c. Professional Engineer Involvement. A registered professional engineer must, at a minimum, review and approve design work done under this contract.

d. Guaranteed Savings. The School System requires a minimum annual savings guarantee. If the project does not generate the guaranteed level of savings in any given year, the ESCO will be responsible for reimbursing the School System the amount of necessary to pay for annual project and all related contract obligations. Excess savings will not be used to reimburse the ESCO for any payments made due to shortfalls in other years or be credited to future annual savings guarantees.

e. Construction Management. The ESCO will be required to work with current building management and maintenance personnel in order to coordinate construction and provide appropriate training in operations and maintenance of all installed improvements. No equipment or other improvements will be installed that would require the School System to hire additional personnel unless contract negotiations produce an explicit exemption for a specific installation.

h. Equipment Standardization. All equipment installed that is comparable to similar equipment at other sites operated by the School System shall be of the same manufacturer for standardization of equipment agency wide, unless otherwise accepted by the School System.

i. As-Built Drawings. Where applicable, ESCO must provide by mylar, reproducible "as built" and record drawings (or such electronic equivalents as may be agreed to with the School System) of all existing and modified conditions associated with the project, conforming to typical engineering standards. These should include architectural, mechanical, electrical, structural, and control drawings and operating manuals within 30 days of completion of installation.

Page | 6

2. Contractual Provisions

Key elements that must be provided for in any performance contract that School System enters into will, at a minimum, include the following:

a. Written Submissions. The contents of the ESCO's submissions in response to this solicitation will become part of any final agreement between the School System and the contractor.

b. Meeting Project Schedule. The ESCO must provide a final schedule of project milestones including equipment-servicing and preventive maintenance provisions that will become part of any final contract.

ESCO is responsible for meeting schedule deadlines. In the event any milestone or service provision is not met as scheduled without prior approval from the School System, the School System reserves the right to consider it a default and withdraw from all contractual obligations without penalty.

c. School System Inspection. The School System must have the right to inspect, test and approve the work conducted in the facilities during construction and operation. The School System shall have the right and access to the account books, records, and other compilations of data that pertain to the performance of the provisions and requirements of this agreement. This is covered below by the open book pricing requirement. Records shall be kept on a generally recognized accounting basis, and calculations will be kept on file in legible form and retained for three years after close-out. The School System retains the right to have its representative visit the site during the analysis and implementation phases of the project, and to attend relevant on-site or off-site meetings of the ESCO and/or its subcontractors.

d. Final Approval of the School System. The School System retains final approval over the scope of work and all end-use conditions.

e. Repayment of Project Financing. The repayment obligation and term of the financing for this project must be arranged to coincide with the acceptance by the School System that the project is fully installed and functioning.

f. Compliance. All work completed under this contract must be in compliance with all applicable federal, state and local laws, rules and regulations such as building codes and appropriate accreditation, certification and licensing standards. Work must be in accordance with sound engineering and safety practices and in compliance with all School System regulations relative to the premises. The ESCO and its subcontractors will be responsible for obtaining any and all required governmental permits, consents and authorizations, and for payment of any and all state and city required taxes and fees which result from contract. The contract must comply with the statutory provisions of §50-37 of the Georgia Code.

g. Handling of Hazardous Materials. All work completed under this contract must be in compliance with all applicable federal, state and local laws, rules and regulations regarding waste disposal and treatment/disposal of any hazardous materials that could result from this project. Work must also be in accordance with sound engineering and safety practices, and in compliance with all reasonable School System rules relative to the premises. In the event the ESCO encounters any such materials, the ESCO shall immediately notify the project manager and stop work pending further direction from the project manager. The State may, in its sole discretion, suspend work on the project pending removal of such materials or terminate this Agreement.

h. Methodology to Adjust for Changes. The contract must contain a mutually acceptable clause whereby unanticipated changes in facility use, occupancy, schedule and/or utility rates can be accommodated in a fair manner agreeable to both parties.

i. Hiring and Wage Requirements. The ESCO will comply with all requirements for the payment of prevailing wages, and for minority and women-owned business enterprises.

Page | 7

j. Subcontractor Approval. The School System retains the right to approve any ESCO selected subcontractor prior to its commencement of work on this project.

k. Bonding Requirements. The ESCO will provide to the School System assurance of completion in the form of separate performance and labor and material payment bonds, each in the sum of 100 percent of all subcontracts.

l. ESCO Insurance. Prior to the commencement of work, the ESCO must provide evidence of the required levels of insurance for both the construction and operations phases of the project.

m. Guaranteed Cost Savings. Improvements and services must result in guaranteed a minimum annual energy and O&M savings option, as well as guaranteed minimum levels of occupant comfort. The combined savings achieved by the installed projects must be sufficient to cover all project costs including debt service and contractor fees maintenance, monitoring and other services, for the duration of the contract term.

n. Applicability of O&M savings. Any O&M cost savings related to maintenance and operation of the facilities will be rigorously reviewed and, if agreed to, will be limited to those that can be thoroughly documented and approved by the School System.

o. Annual Reconciliation. Annual savings will be reconciled and verified each year as specified in the final contract.

p. Contract Term. No contract shall exceed 20 years in duration and is subject to annual appropriations.

q. Post-Contract Preventive Maintenance Schedule. Upon completion of the contract, the ESCO shall provide to School System a single comprehensive schedule of necessary preventive maintenance for all installations.

r. Non-Appropriations Clause. Payments will be subject to annual appropriation in accordance with the provisions contained in §50-37 of the Georgia Code, as amended.

Page | 8

ATTACHMENT C

ESCO PROFILE FORM AND ESCO QUALIFICATIONS AND APPROACH TO PROJECT

WRITTEN SUBMITTAL INFORMATION

The responses to this Request for Qualifications will consist of an executive summary and five (5) specific information subject areas and an Appendix which must be completed and returned in the order indicated below with each section divided and tabbed with the appropriate section title.

A. Experience

B. References and Track Record

C. Program Approach

D. Support & Savings Approach

E. Financial Strength & Value

Appendix

A-1 Sample Investment Grade Audit

A-2 Sample Commissioning Plan

A-3 Sample Energy Services Agreement (Performance Contracting Agreement)

A-4 Sample Measurement and Verification Plan

A-5 Sample Annual Savings Report

A-6 Financial Statements

Any additional information not specifically requested in this RFP/Q must be put in a separate Appendix at the end of the response. Responses must be paginated and must include a table of contents.

• Failure to complete any question in whole or in part, or any deliberate attempt by the respondent to mislead the School System, may be used as grounds to find the proposing ESCO ineligible.

• All submissions become the property of School System and will not be returned to the ESCO.

• All costs associated with submission preparation will be borne by the submitting ESCO.

Submittal Instructions: Submit 4 copies to the following location in person.

Early County School System Attn: Michael Allred 40 Harold Ragan Drive Blakely, GA 39823

Due Date: Submittal must be received at the above address no later than 3:00 PM on July 10th.

For further information, please contact:

Michael Allred, Transportation and Facilities Director Email: mallred@early.k12.ga.us

Page | 9

EXECUTIVE SUMMARY

In two (2) pages or less, provide an Executive Summary highlighting the ESCO's unique qualifications and capabilities for this project.

A. EXPERIENCE

1. General Firm Information

FIRM’S NAME:

MAILING ADDRESS:

PHYSICAL ADDRESS:

CITY: STATE: ZIP:

SCHOOL SYSTEM:

PHONE:

E-MAIL:

WEBSITE:

Names, Titles and Phone Number of two principal contact persons:

NAME TITLE PHONE

Submittal is for: [ ] Parent Company [ ] Division [ ] Subsidiary [ ] Branch Office

List any Division or Branch Offices that will participate materially in the development of the submission, and/or in the conduct of any services provided.

Name of Office: _______________________________________________________

Address: _____________________________________________________________

Name and Address of Parent Company (if applicable)

Name: _______________________________________________________________

Address: ______________________________________________________________

Former Name(s) of Firm (if applicable)

Name: _______________________________________________________________

Address: _____________________________________________________________

2. Date Prepared: _______________________________________________________

3. Type of Firm: [ ] Corporation [ ] Partnership [ ] Sole Ownership [ ] Joint Venture

4. Federal Employer Identification Number: _________________________________

5. Year Firm was Established: _____________________________________________

Page | 10

6. Corporate Background / Historical Data

a. How many years has your firm been in business under its present business name?

b. Indicate all other names by which your organization has been known and the length of time known by each name.

c. Please identify all states in which your firm is legally qualified to do business.

d. How many years has your firm been involved in energy-related business?

e. List your firm’s previous or current business association with Early County School System

7. Contract Experience

a. Five-year summary of contract values for Energy Services Agreements implemented and currently under contract with your firm.

2019: $_____________ 2021: $_____________ 2023: $_____________

2020: $_____________ 2022: $_____________

b. Indicate the number of all Energy Services Agreements implemented by and currently under contract with your firm. Limit your response to ONLY those projects performed by the responding firm. Projects that team members contributed to while working at a different ESCO will not be considered ________________.

c. Estimate of total value for all Energy Services Agreements that are currently in repayment and under contract with your firm: $_________________ (total value) as of ____________________ date.

8. Certifications, Awards and Credentials

a. List of pertinent certifications, awards, and credentials

b. Provide proof of membership by the Department of Energy and National Association of Energy

Service Companies (NAESCO) accreditation.

9. Personnel information

a. Submit an organizational chart that clearly identifies the roles and relationships of all key team members.

b. Fill out the Project Staffing Plan using the format below, clearly delineating services provided in-house and outsourced.

Page | 11

c. Provide resumes for ONLY those PRIMARY team members (no more than 10 individuals) who will directly be working on this project. Ensure that resumes contain job title & responsibilities, number of years with firm, relevant experience & qualifications, and educational/technical background.

AREA OF RESPONSIBILITY NAME

BRIEF DESCRIPTION OF

RESPONSIBILITIES AND EXPERIENCE

EMPLOYER

PROJECT DEVELOPMENT

ENERGY ENGINEERING

LIGHTING & ELECTRICAL ENGINEERING

MECHANICAL ENGINEERING

BUILDING AUTOMATION

OTHER

CONSTRUCTION MANAGEMENT

SAVINGS MEASUREMENT &

VERIFICATION

POST PROJECT SUPPORT SERVICES

FINANCING / REBATES / GRANTS

OTHER

Page | 12

B. REFERENCES AND TRACK RECORD

10. Project History

a. Briefly summarize your firm’s experience in delivering energy partnerships in the Southeast and the ways in which your firm has impacted the region and market.

b. Provide information on at least five (5) performance contracts, in the Southeast, similar to the project proposed for Early County School System that the respondent has successfully implemented within the last ten years. Limit your response to ONLY those projects performed by the responding firm. Projects that team members contributed to while working at a different ESCO will not be considered.

References shall include:

• Customer Name

• Name and Telephone Number of Contact

• Brief Description of the Project

• Project Beginning and Ending Dates

• Specific ECMs installed

• Project Cost and Savings

• Method of Measurement & Verification (M&V) for guaranteed savings

• Most recent project dollar savings report

11. Project Track Record

a. Please provide a complete list of projects that in the last 5 years have experienced a savings shortfall, include the amount of the shortfall and method in which it was remedied under your firm’s savings guarantee.

b. Please provide national Energy Services Company ranking from a 3rd party source if applicable

C. PROGRAM APPROACH

12. Overview of Program Approach

a. General discussion of your firm’s approach and experience in providing Energy Services Agreements, identifying key elements that distinguish your firm’s offering as it pertains to this project.

13. Project Understanding

a. Provide a general overview of the solutions and services your firm would explore for this project.

b. Explain why your company would be the best partner for the School System.

14. Investment Grade Energy Audit

a. Please give a general description of your Investment Grade Audit Process

b. Please provide a sample Investment Grade Audit Report in the appendix

15. Construction Planning

Page | 13

a. Please describe your firm’s proposed approach to scheduling and completion of work required to implement a performance contract in the School System’s facility(s).

b. Provide examples of situations where your firm has overcome challenges during the construction phase.

c. Please describe your firm’s approach to the selection of contractors and consultants

d. Does your company (parent company) manufacture equipment? What is your approach to installing equipment/products from another manufacturer? Does your company have stated goals to use your equipment or products in ESPC projects?

e. Please describe your firm's approach to implementing automation controls as a part of construction

16. Project Commissioning

a. Please describe your firm’s approach to equipment commissioning. In the appendix, please provide a Sample Commissioning Plan from a completed performance contract implemented by your firm.

D. SUPPORT & SAVINGS GUARANTEE APPROACH

19. Training Provisions

a. Please describe your firm’s capabilities and proposed approach to provide technical training for the School System's facility personnel.

20. Maintenance & Support Services

a. Please address how you would approach the role of the School System’s personnel in performing maintenance on existing and new equipment.

b. Please discuss the offerings your company provides to support maintenance & operational needs.

c. What is the relationship of maintenance services to the savings guarantee, any required length of the maintenance agreement and what impact termination of maintenance, prior to the end of the contract term, would have on the savings guarantee.

21. Savings Guarantee Calculations

a. Please provide a copy of your firm’s savings guarantee language and where to locate in your Energy Services Agreement. Please include a copy of your firm’s Energy Services Agreement

b. Please describe your processes and approach to post-installation support services, training and measurement and verification services.

c. In the appendix, please attach a Sample School System Savings Report from a completed energy performance-contracting project currently in repayment.

22. Energy Baseline Calculation Methodology and Measurement and Verification Plan

a. Describe the methods used to compute baseline energy use. Describe any computerized modeling programs used by your firm to establish baseline consumption. Please summarize procedures, Page | 14 formulas, and methodologies including any special metering or equipment your firm will use to measure and calculate energy savings for this project.

b. Describe the methods used to adjust the guaranteed level of savings from any material changes that occur due to factors such as weather occupancy, facility use changes, etc.

c. Describe your firm’s approach to utilizing stipulated savings. Indicate any operational cost savings opportunities and how such savings are to be identified, documented, and measured.

d. Describe your firm’s proposed approach to treatment of savings achieved during construction and how those savings will be documented and verified.

e. In the appendix, please provide a sample Measurement & Verification plan.

E. FINANCIAL STRENGTH & VALUE

23. Demonstrate Financial Soundness of ESCO

a. Please describe the financial strength of your company as it relates to its ability to deliver performance for a period of 15-20 years. Does your firm hold the guarantee, or is a 3rd party utilized?

b. In the appendix, please include a copy of your firm’s audited financial statements from the most recent year.

c. Please provide the name, address, and the telephone number of firm(s) that prepared Financial Statements.

d. Please provide proof of insurance showing the coverage and limits in place at the time of this RFQ

e. Please provide evidence of bonding ability - Include your firm’s bonding references including company name, address, contact person, telephone number and information on your firm’s maximum bonding capability (i.e. Letter of Surety)

24. Demonstrate Reasonable Pricing Policies

a. Please describe the specific services your firm will be paid for over the contract term. Describe the method by which you will be paid for those services and how often payments will be made.

b. Discuss your firm’s approach to change orders.

25. Provision of Financing

a. Please briefly describe the types of financing arrangements used by your firm for past performance contracting projects. Describe preferred approach to providing or arranging financing for this project including a description of the source of funds and the potential dollar amounts currently available to your firm to finance these types of projects. Please indicate what representative interest rates may be available, financing terms, and other variable economic factors associated with each method that you are aware of at the time of this submission.

b. Briefly describe your firm’s experience in implementing federally funded projects.

Page | 15

c. Please provide detailed information regarding any grants or funding assistance applied for or submitted on behalf of other clients

d. Briefly describe creative ideas your firm can provide that would improve the financial attractiveness of this project.

26. Value-Added Opportunities

a. The ESCO shall include in this section any additional offerings that you believe could assist Early County School System in meeting their goals. Additionally, describe why your firm is the best partner for Early County School System.

F. APPENDIX

A-1 Sample Investment Grade Audit A-2 Sample Commissioning Plan A-3 Sample Energy Services Agreement (Performance Contracting Agreement) A-4 Sample Measurement and Verification Plan A-5 Sample School System Savings Report A-6 Audited Financial Statements