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HomeMy WebLinkAboutAgenda Packet 04/11/2017 Utility Advisory Committee Jack Pittis Conference Room Port Angeles, WA 98362 April 11, 2017 3:00 p.m. AGENDA L Call To Order II. Roll Call III. Approval Of Minutes for March 14, 2017 IV. Late Items V. Discussion Items: A. Proposed Adjustments to Medic 1 Rates B. Marine Drive Sewer Repair Project WWO116—Design and construction C. E Street PRV Installation Project WT0109—Design Briefing D. "Simple Steps"Amendment 1 to Exhibit A-1,Amendment 2 to Exhibit A-2, and Exhibit A-3 to MSA VI. Information Only Items: VII. Next Meeting Date: May 9, 2017 VIII. Adjournment N:AUAC\MEETINGS\UAC2017\UAC041117\041117 Agenda.docx Utility Advisory Committee Jack Pittis Conference Rooms Port Angeles, WA 98362 March 14, 2017 3:00 p.m. L Call To Order Vice Chair Lee Whetham called the meeting to order at 3:01 p.m. IL Roll Call UAC Assigned Councilmembers Present: Sissi Bruch, and Vice Chair Lee Whetham Councilmembers Absent: Brad Collins, Mayor Patrick Downie, Dan Gase, Cherie Kidd, and Michael Merideth UAC Members Present: Rob Feller UAC Members Absent: Chair Lynn Bedford and Laura Dodd Staff Present: Craig Fulton, Gregg King, Kathryn Neal, William Bloor, Shailesh Shere, Jonathan Boehme, Michael Szatlocky, Jeff Bender, and Michelle Hale Others Present: William Atkinson III. Approval Of Minutes Vice Chair Lee Whetham requested a motion for approval of the January 10, 2017 minutes. Sissi Bruch moved to approve the minutes and Vice Chair Lee Whetham seconded the motion, which carried unanimously. IV. Late Items: Sissi Bruch requested to add a point of discussion on PAPA (Peninsula Area Public Access) contract questions. Moved to V. Discussion Item A. V. Discussion Items: A. PAPA Contract—Peninsula Area Public Access Sissi Bruch requested information on the PAPA contract. Craig Fulton, Director, Public Works &Utilities explained the PAPA contract is written so it lines up with the termination of the WAVE Contract which ends May 2017. If negotiations are not settled, the contract can be extended. Sissi Bruch asked if there was a draft WAVE Franchise Contract available to review as City Council has to approve this. William Bloor, City Attorney stated many items were still under discussion. Craig Fulton or William Bloor will provide an update to City Council in an executive session. B. UAC Candidate Interview and Discussion Craig Fulton, Director,Public Works &Utilities, introduced Bill Atkinson who applied for the vacancy on the UAC. Craig Fulton and Gregg King, Power Resource Manager had discussions with Bill on the UAC position and felt he would be a good fit. UAC Members reviewed the UAC Candidate application, interviewed and then welcomed Bill Atkinson to the Utility Advisory Committee. Sissi Bruch moved to recommend to City Council to appoint the applicant to serve on the Utility Advisory Committee to represent the community. Rob Feller seconded the motion, which carried unanimously (3-0) C. Second Conceptual Design Briefing for Pump Station No. 3 Replacement, Project WW0308 Craig Fulton, Director, Public Works &Utilities provided an introduction to the second conceptual design briefing. This was in response to questions and requests for additional information by UAC members at the January 2017 informational briefing on the Pump Station No. 3 Replacement Project WW0308. Kathryn Neal, P. E, Engineering Manager, Michael Szatlocky, P.E., Civil Engineer, and Jeff Bender, P.E., Civil Engineer provided a ppt presentation detailing their analysis of the issues and questions raised by UAC members in a second design briefing. Focus was on the stormwater inflow and infiltration(I&I) into the existing wastewater system, including the costs of separating the stormwater and building new infrastructure to convey and treat it, versus the costs of continuing to process the stormwater through the wastewater plant. The presentation explained the team's design analysis of the stormwater I&I, outlined the costs of alternative approaches, and described measures the City is currently implementing to control I&I. The design team sought concurrence from the UAC for the conceptual design strategy for Pump Station No. 3 Replacement, Project WW0308. The first phase of construction is scheduled for 2018, after the design is finalized and contract documents are prepared. Discussion followed with input from UAC Members to address additional concerns and questions. UAC members were complimentary about the presentation and would like a copy emailed to them. Members requested an evaluation of the I&I contribution from the Elwha sewer system, and the costs of responding to wastewater overflows. The UAC stressed the importance of ensuring that the wastewater system proposed will accommodate future growth. Craig Fulton will respond to the issue brought up regarding in-house design vs consulting engineers on whether the design concept should go to council when it exceeds $25,000. The UAC endorsed the conceptual design strategy for Pump Station No. 3 Replacement, Project WW0308. The next step is to move forward with final design. Staff will brief the UAC before advertising the contract for construction regarding any major changes or cost impacts. Craig Fulton will schedule a public meeting for community input and awareness. D. Ediz Hook Sewer Corrosion Repair Project WW0114,Phase 1 —Design Briefing Jeff Bender, P.E., Civil Engineer,provided a handout detailing the design briefing of the Ediz Hook Sewer Corrosion Repair Project and discussed the major points of the design. The project aims to reduce hydrogen sulfide gas in the concrete gravity sewer pipeline at Ediz Hook. Phase 1 of the project involves installation of a vent stack in a manhole located near the Nippon Mill site. Phase 2 of the project involves installation of a hydrogen sulfide treatment facility adjacent to wastewater Pump Station 3, located near the base of Hill St. Phase 2 construction is planned to coincide with replacement of Pump Station 3 in about 2021. Staff expects to request City Council approval of the construction contract for Phase I in April or May 2017, with the Engineer's Estimate for Phase I to be less than $30,000. Discussion followed. Sissi Bruch moved to inform City Council that the UAC has concurred with the design strategy for Ediz Hook Sewer Repair, Project WW0014, and recommends that City Council approve the award of a construction contract in 2017 that fits within the approved project budget. Vice Chair Lee Whetham seconded the motion,which carried unanimously (3-0). VI. Information Only Items: A. Volunteer Appreciation Ceremony Gregg King reminded members of the announcement sent out for the Volunteer Appreciation Ceremony at the Tuesday,April 11, 2017 City Council Meeting. Citizen members of the UAC are volunteers and welcome to attend. VIZ Next Meeting Date: April 11, 2017 VIII. Adjournment: 5:00 p.m. Chair Lynn Bedford Michelle Hale, Administrative Specialist II RT NGELES • -- WAS H I N G T O N, U. S. A. Utility Advisory Committee Memo DATE: April 11, 2017 To: Utility Advisory Committee FROM: KEN DUBUC,FIRE CHIEF SUBJECT: Proposed Adjustments to Medic 1 Rates Summary: The Fire Department is proposing increases to the Medic 1 utility fee in order to fund the addition of up to four Firefighter/Paramedic positions. It has been 26 years since the Department has added staffing and the workload has increased steadily. Negative effects on training and prevention efforts, significant overtime costs, and avoiding increased insurance rates require additional personnel in order to meet an increasing demand for service. Funding: The addition of personnel would be funded by Medic 1 rate payers. Occupancies in the different user classifications would see increases based upon their user classification and the demand they place upon the utility. Recommendation: Staff requests that the Utility Advisory Committee provide a favorable recommendation to the City Council to conduct two public hearings during the May 2, 2017 and May 16, 2017 council meetings and adopt the proposed ordinance. Back2round/Analysis: In late 2015, following an inspection by the Washington Surveying and Rating Bureau (WSRB), the City was notified that our fire insurance rating would likely be downgraded. The consequences of a downgrade would be increased insurance premiums for the majority of the homes and businesses in the City. In May of 2016, the Fire Chief met with Council and proposed a plan to address the issues indicated by WSRB. WSRB agreed that if these items were addressed, the insurance rating downgrade would not take effect. One of the primary issues identified by WSRB was inadequate fire department staffing. The City and IAFF Local 4656 reached an agreement for minimum staffing in order to partially address the WSRB concerns. Per the MOU, the Department began minimum 5 person staffing in 2017. Both parties recognized that accomplishing this standard with the use of only existing personnel is neither safe nor sustainable. This agreement has satisfied WSRB, and they have agreed to maintain the City fire insurance rating at"4". In order to meet the demand for services, and in connection with the new five person minimum staffing, the Department has adopted a radical new response model which provides two staffed paramedic transport units at all times. An additional level of transport provides a better EMS service for the community, but this has come at a cost, and now the Department no longer always staffs a fire engine. The expected arrival of a new, smaller fire engine in summer of 2017 will partially address this, however that engine will still only be staffed with one individual. The lack of adequate personnel resources was identified as one of the most significant WSRB findings. WSRB essentially acknowledged that a fire department with the call volume of the Port Angeles Fire Department could not adequately meet mandated training, safety and prevention requirements with the limited personnel resources on hand. This has been a concern of the Department for many years. The WSRB findings, although noteworthy, are not the sole reason why the Fire Department is moving forward with this staffing proposal. The Department has not added personnel resources for over 26 years. During that period, call volume (workload) has increased over 252%. The exceptional call volume has resulted in an inability to train adequately and perform much needed fire prevention services. In order to ensure adequate staffing for the long term, the Fire Department proposes the addition of personnel. To fund the addition of personnel, staff is proposing an adjustment to Medic 1 rates. It is recognized that the addition of needed personnel resources is costly and that ultimately it will be a cost borne by the citizens. Unfortunately, unless a minimum of two positions are added, The WSRB requirement will not be met and most City homes and businesses will face insurance cost increases which would likely be significantly greater than a Medic 1 fee increase, and for which they will receive no added benefit or value. �[GKI] The Fire Department met with the City Council at a work session on February 28, 2017. During that work session, a presentation was made that outlined the results of the effort to address issues identified by WSRB. In addition, the Department presented various options for the addition of either 2, 3 or 4 firefighter/paramedics. Council was supportive of the general plan, and asked staff to solicit input from the community as to the level of support they were willing to provide. The Fire Department worked closely with the Finance Department to analyze the latest Cost of Service Analysis (COSA) that was performed for the Medic 1 utility. Armed with this information, a detailed series of spreadsheets were developed that provided predicted costs for every user classification within the City, as well as the estimated predicted costs for each of the facilities that would be impacted most within the various user classifications. These costs were provided for each of the options to hire 2, 3 or 4 personnel. In the weeks that followed, Fire Department staff conducted both personal meetings and telephone interviews with the assisted living facilities and apartment owners in the City. These are the private facilities that would be most impacted by a Medic 1 utility rate increase. All of these facilities were briefed on the situation and the need, and they were provided with the financial impact of the most expensive scenario—the addition of four firefighter/paramedics. Information was also provided that detailed the estimated financial impact five years from implementation. In every case, the response was positive, and in most cases, the support for the additional resources was overwhelming. The Fire Department intends to continue with outreach to the community and additional meetings with community groups are planned. Based upon the overwhelmingly positive response from those commercial accounts that would be most impacted, and in order to best meet the immediate funding and staffing needs of the Department, staff is proposing adjustments to the Medic 1 fee to support the addition of four firefighter/paramedic personnel. Funding Overview: The following charts illustrate the current Medic 1 rates, as well as the proposed rates for each of the possible staffing options. User Classification 2017 Rate Proposed Rate Proposed Rate Proposed Rate With Two With Three With Four Additional Additional Additional Personnel Personnel Personnel Residential (per unit) $75.36 $83.76. $90.48 $97.32 Adult Family Homes $81.86 $114.36 $115.68 $117.12 Assisted Living Facilities $2925.96 $4199.88 $5062.08 $5923.92 24 Hour Nursing Facilities $1272.96 $1883.64 $2260.08 $2636.40 Group Homes $112.44 $102.12 $117.84 $130.80 Jail Facilities $959.52 $1702.44 $2094.60 $2486.64 Schools $453.68 $581.76 $707.04 $832.32 Business (per unit) $81.84 $89.40 $97.44 $105.60 Apartments $850.80 $1011.96 $1135.32 $1233.36 City Public Area(Annual) $19,419.92 $28,931.25 $35,683.37 $42,432.64 With the exception of the residential and business occupancies, the different occupancies within the various user classifications would divide the proposed rate shown based upon their usage of the system (demand). Once new rates are approved, the City ordinance will be updated to reflect the actual charges per occupancy within each user group. Staff is asking that the Utility Advisory Committee forward a favorable recommendation to the City Council to conduct a public hearing and first reading of the proposed ordinance on May 2, 2017, then continue the public hearing on May 16, 2017, conduct a second reading and adopt the proposed ordinance. RT NGELES • -- WAS H I N G T O N, U. S. A. Utility Advisory Committee Memo DATE: April 11, 2017 To: Utility Advisory Committee FROM: JEFF BENDER,P.E.,CIVIL ENGINEER SUBJECT: Marine Drive Sewer Repair Project WW0116—Design and construction Summary: Marine Drive Sewer Repair, Project WWOl16, is an approved Capital Facilities Plan scheduled for completion in 2017, that has been designed by City engineering staff. The purpose of the Project is to repair approximately 2300 lineal feet of severely corroded sewer mains and associated manholes with a corrosion resistant coating. The project will be advertised for bids in late April, and after bids are opened, staff will seek approval from Council for award of a construction contract. Funding: Funds are available in the approved 2017 budget in the amount of $222,000, in Wastewater Utility capital projects, account 453-7488-594-6510. Recommendation: It is requested that the UAC endorse the design strategy for Marine Drive Sewer Repair, Project WW0116, and provide a favorable recommendation that City Council award a construction contract in 2017 that fits within the approved project budget. Background/Analysis: The Marine Drive Sewer Repair Project will line approximately 2300 lineal feet of sewer main pipes with a plastic, corrosion resistant lining. This strategy is called cast-in-place plastic pipe (CIDP) lining and it eliminates the need for trenching and pavement repair, and minimizes ground disturbance and the risk of cultural resources discovery. It is particularly appropriate for the situation along Marine Drive because there are relatively few sewer laterals. Approximately eight manholes will be repaired by lining the concrete surfaces with a two layer repair. The first layer uses a polymer grout to restore the manhole walls, and the second layer is a chemical resistant grout layer to prevent further corrosion. The cast iron manhole rims and covers will be removed and replaced with new rims and covers that have a chemical resistant coating. A temporary bypass system will be installed during the reconstruction to convey N:\UAC\MEETINGS\UAC2017\UAC041117\2017-4-11 UAC-WW0116 Marine Drive Sewer Repair Breifing.docx wastewater around each work area. There will be minimal ground disturbance as all of the work will be confined to the pipe and manholes. The 8-inch gravity sewer on Marine Drive between the log channel and pump station 3 at the intersection of Marine Drive and Hill Street was constructed in or around 1969 as part of the City wide sewer system improvements and the construction of the first wastewater treatment plant. The wastewater lines were a mix of cement concrete pipe and asbestos concrete pipe. The Ediz Hook force main serving the Coast Guard base and the businesses on Ediz Hook was installed in 1997. Wastewater discharged from the Ediz Hook force main has a high concentration of hydrogen sulfide gas (H2S), which is a byproduct of sewage decomposition in the pressure sewer. The H2S gas in the gravity line combines with water/condensation to create sulfuric acid. This acid has caused severe corrosion in the concrete sewer mains causing thinning of the top and sides of the pipes of the gravity sewer mains between manhole M012, located near the Nippon Mill site, and Pump Station 3, located at the base of Hill Street. The acid has also caused severe corrosion in the concrete manholes and the cast iron manhole lids. Funding Overview: Funds are available in the approved 2017 budget in an amount of$222,000, in Wastewater Utility capital projects, account 453-7488-594-6510. Marne Drive Sewer R p it Project e a I r� J Y 4r� /ice' r' li w ! ill I 6 t /iii/ � % % // �l�//� �° jr�'✓ ///��',� , Y/k� Mm li 1r. a flupr��l„ o / rrr-iV��� , RT NGELES • -- WAS H I N G T O N, U. S. A. Utility Advisory Committee Memo DATE: April 11, 2017 To: Utility Advisory Committee FROM: JEFF BENDER,P.E.,CIVIL ENGINEER SUBJECT: E Street PRV Installation Project WT0109 —Design Briefing Summary: E Street Pressure Reducing Valve (PRV) Installation Project WT0109 is an approved Capital Facilities Plan project scheduled for completion in 2017, that has been designed by City engineering staff. This project will install a Pressure Reducing Valve (PRV) in E Street between Stn and 9th Streets. The PRV will allow water crews to temporarily disconnect and drain the reservoir to perform needed repairs, or to quickly remove the reservoir from service if that should become necessary. The project will be advertised for bids in late April, and after bids are opened, staff will seek approval from Council for award of a construction contract. Funding: Funds are available in the approved 2017 budget in an amount of$195,000, in Water Utility capital projects, account 452-7488-594-6510. Recommendation: It is requested that the UAC endorse the design strategy for E Street PRV Installation Project, Project WT0109, and provide a favorable recommendation that City Council award a construction contract in 2017 that fits within the approved project budget. Background/Analysis: The E Street reservoir is the oldest of the City's water distribution system storage reservoirs. It has a maximum water surface of 321 feet and serves the low pressure zone. The E Street reservoir is a reinforced concrete structure constructed by excavation and embankment in 1918. A steel-supported aluminum roof cover was installed in 1987, and a hypalon liner was installed in 1990. E Street reservoir is 14 feet deep and has a 5-foot bevel around the edge. The water level in the E Street reservoir is controlled by an altitude valve located in a below-grade valve vault. E Street reservoir is fed through a 16-inch main connected to the 24-inch Elwha transmission pipeline, which conveys drinking water from the Water Treatment Plant and the Elwha River. N:AUAC\MEETINGS\UAC2017\UAC041117\2017-4-11 UAC-WT0109 E St PRV Breifing.docx Extensive evaluations were performed on E St. Reservoir in 2012, 2013 and 2014. These evaluations included a structural inspection, soils evaluation, ground penetrating radar survey and a analysis of system storage by hydraulic modeling. The investigation and surveys revealed that E Street Reservoir is in need of substantial rehabilitation or replacement. Given the high cost associated with either option, the City is has decided to keep the reservoir in service, but to prepare for possible future shut down by replacing the connection between the medium pressure zone and the low pressure zone with a PRV at E Street between 8th and 9th Streets. The installation of the PRV will allow staff to temporarily disconnect and drain the reservoir to perform needed repairs, while protecting the City's customers. It will also facilitate quick response by the water crew in the event of a catastrophic failure of the reservoir. The most likely failure would be a collapse of the steel roof due to snow loads or high wind loads. Funding Overview: Funds are available in the approved 2017 budget, for Water Utility capital projects, account 452-7488-594-6510 in an amount of$195,000. RT NGELES • -- WAS H I N G T O N, U. S. A. Utility Advisory Committee Memo DATE: April 11, 2017 To: Utility Advisory Committee FROM: GREGG KING,POWER RESOURCE MANAGER SUBJECT: "Simple Steps" Amendment 1 to Exhibit A-1,Amendment 2 to Exhibit A-2, and Exhibit A-3 to MSA Summary: The City has participated in the Simple Steps Smart Savings energy efficient program since 2010. This program provides markdown process on energy efficient products for City residents. The attached amendments update the programs' participation, consolidates prior amendments end dates to one end date, and adds a lighting and shower head distribution. Funding: All City expenses under the Agreement are eligible for reimbursement under the Bonneville Power Administration's Energy Efficiency Incentive resulting in no net program cost to the City. Total payments are not to exceed $260,700. Recommendation: Staff recommends the Utility Advisory Committee forward a favorable recommendation to the City Council to approve and authorize the City Manager to sign the amendments, and any subsequent amendments to the agreement with CLEAResult, and to make any minor modifications as necessary. Background/Analysis: Since 2010, the City has participated in the "Simple Steps-Smart Solutions" energy efficient product promotion operated by CLEAResult. CLEAResult recently offered the City Amendments 1 to Exhibit A-1, Amendment 2 to Exhibit A-2, and Exhibit A-3 to MSA that continue the program through December 31, 2017. City payments to CLEAResult are used to markdown prices on LEDs, CFLs, hard-wired fixtures, low-flow shower heads, and energy efficient appliances at local retailers, ultimately reducing the cost of products purchased by Port Angeles electric utility customers. Local N:AUAC\MEETINGS\UAC2017\UAC041117\4-11-17 Simple Steps Amendment UAC Memo.docx participants include Thurman Supply, A&A Appliance, Sears,Pacific Refrigeration, and Brandsource. City electric utility customers have purchased an estimated 138,012 residential lighting products with an estimated savings of 2,415MVWh through the program as at March 31, 2017. The amendments to the master service agreement with CLEAResult make the following changes: • Renew participation in the appliance program by$1,500 and extends participation to December 31, 2017 • Extends participation in the light bulb and shower head reduction program to December 31, 2017 (no additional funds needed). • Adds an LED light bulb and shower head kit to be distributed to any City resident who requests one through December 31, 2017. The cost will not exceed $259,200. The City Attorney's office have reviewed and approved the amendments. Funding Overview: All City expenses under the proposed amendment are eligible for reimbursement under the BPA's Energy Efficiency Incentive resulting in no net program cost to the City. Under these amendments, additional City payments cannot exceed $260,700. CLEAResu It c> AMENDMENT NO. 1 AND EXHIBIT A-1, AMENDMENT NO 2 TO EXHIBIT A-2, AND EXHIBIT A-3 TO MASTER SERVICES AGREEMENT THIS AMENDMENT No. 1 to Exhibit A-1, AMENDMENT 2 to Exhibit A-2 ("Amendment') and Exhibit A-3 amends various exhibits to the Master Services Agreement, dated April 1, 2015(the "Agreement'), by and between the City of Port Angeles, Washington ("Utility") and CLEAResult Consulting Inc., a Texas corporation and/or an affiliate thereof("CLEAResult'). AMENDMENTS 1 and 2 and Exhibit A-3 1. This Amendment is effective as of February 1, 2017 (the"Effective Date"). 2. The Agreement is amended as follows: a. Exhibit A-2 is amended as follows: i. Attachment A is deleted in its entirety and replaced with the Attachment A, attached and incorporated into this Amendment. ii. The funding amount in Section 2(b), Payment, is increased by$1,500,from $2,000 to $3,500. iii. The Completion Date in Section 6, Time of Performance for the Services, is extended from January 31, 2017, to December 31, 2017. b. �[AI]Effective April 1, 2017, the attachments labeled Tables 1 and 2 to Exhibit A-1, as amended, to the Master Services Agreement are deleted and replaced with Attachment A-1, attached and incorporated into this Amendment. c. The attached Exhibit A-3 is added to the Agreement. 3. All other terms of the Agremeents shall continue in full force and effect. All capitalized terms not otherwise defined in this Amendment shall be defined as indicated in the Agreement. The parties to the Agreement have caused this Amendment to be duly executed on their respective behalf as of the Effective Date. CLEAResult Utility CLEAResult Consulting Inc. City of Port Angeles By: By: Name: Trent Brackenridge Name: Title: Vice President Title: ©2017 CLEAResult.All rights reserved. We change the way people use energy" (Rev. 1/20/2017) Page 1 of 7 ATTACHMENT A Table 1: Eligible Measures and Annual Generator Busbar Savings effective as of IFebruary 2, 2017I[A2]. ENERGY STAR Product Measure Rate per kWh/year kWh savings Category per unit* Clothes Washers-Any ENERGY STAR clothes washers $ 0.309 108.58 Clothes Dryers-Any ENERGY STAR clothes dryers $ 0.309 177.56 Table 2 — Midstream incentives by product category, with ranges detailing how incentive funds may be split and used for co-marketing and/or customer rewards: Minimum Combined ENERGY • Product (co-marketing+customer reward) I Clothes Washers—Any $20.00 Co-Marketing $0.00-$10.00 Customer Reward $10.00-$25.00 Clothes Dryers—Any $25.00 Co-Marketing $0.00-$15.00 Customer Reward $10.00-$25.00 CLEAResult Page 2 of 7 ©2017 CLEAResult.All rights reserved. ATTACHMENT A-1 Annual Savings @ Generator Product Category Measure Rate per kWh/yr Busbar(kWh/yr) CFL Bulb CFL-General Purpose and Dimmable-1490-2600 lumens Up to$0.110 13.72 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ CFL Bulb I CFL-General Purpose and Dimmable-250-1049 lumens Up to$0.110 0.88 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ CFL Bulb CFL-General Purpose and Dimmable-1050-1489 lumens Up to$0.110 9.06 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Decorative and Mini-Base-1490-2600 lumens Up to$0.110 1.89 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Decorative and Mini-Base-250-1049 lumens Up to$0.110 21.33 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Decorative and Mini-Base-1050-1489 lumens Up to$0.110 7.12 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Globe-1490-2600 lumens Up to$0.110 23.16 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Globe-250-1049 lumens Up to$0.110 11.41 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Globe-1050-1489 lumens Up to$0.110 1.34 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Reflectors and Outdoor-1490-2600 lumens Up to$0.110 13.51 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Reflectors and Outdoor-250-1049 lumens Up to$0.110 30.44 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I CFL Bulb I CFL-Reflectors and Outdoor-1050-1489 lumens Up to$0.110 36.16 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Decorative and Mini-Base-1490-2600 lumens Up to$0.110 4.66 1 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Decorative and Mini-Base-250-1049 lumens Up to$0.110 29.28 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Decorative and Mini-Base-1050-1489 lumens Up to$0.110 24.73 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-General Purpose and Dimmable-1490-2600 lumens I Up to$0.110 24.90 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-General Purpose and Dimmable-250-1049 lumens Up to$0.110 16.34 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-General Purpose and Dimmable-1050-1489 lumens I Up to$0.110 28.52 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Globe-1490-2600 lumens Up to$0.110 37.40 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Globe-250-1049 lumens Up to$0.110 15.02 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Globe-1050-1489 lumens Up to$0.110 2.52 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Reflectors and Outdoor-1490-2600 lumens Up to$0.110 26.17 1 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Reflectors and Outdoor-250-1049 lumens Up to$0.110 43.76 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Bulb I LED-Reflectors and Outdoor-1050-1489 lumens Up to$0.110 55.54 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ Showerhead Showerhead 2.0 GPM Up to$0.110 87.88 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I Showerhead I Showerhead 1.6-1.75 GPM Up to$0.110 120.33 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I Showerhead I Showerhead 1.5 GPM Up to$0.110 149.11 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Down light(Retrofit Kit)Kit Fixture Up to$0.110 32.25 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Decorative Ceiling Flush Mount Fixture Up to$0.110 34.4 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Track Light Fixture Up to$0.110 23.37 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Linear Shop Light Fixture Up to$0.110 14.90 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Linear Flush Mount Fixture Up to$0.110 15.96 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ I LED Fixture I LED-Exterior Porch Light Fixture Up to$0.110 66.21 --------------------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- I LED Fixture I LED-Exterior Security Fixture Up to$0.110 197.20 --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- CLEAResult Page 3 of 7 ©2017 CLEAResult.All rights reserved. EXHIBIT A-3 STATEMENT OF WORK 4 UNDER MASTER SERVICES AGREEMENT 1. General Scope. As required in the Agreement, this SOW defines the Services. The parties intend for CLEAResult to perform Kit Fulfillment Services. 2. Tasks. CLEAResult will provide the following Kit Fullfillment Services: a. Kit and Shipping. Contractor shall distribute kits containing the energy efficient products listed in Attachment("Kits")to customers in Utility's territory("Customers"). Utility will provide Customer names and mailing addresses to CLEAResult's third- party provider, Techniart, Inc. ("Contractor"). Contractor shall ship Kits within twenty-one (21) calendar days of receiving Customer information from Utility. Kits shall include a Utility information brochure and a Utility branded box label or sticker. Utility or CLEAResult may provide the brochure and label or sticker to Contractor. Contractor shall mail Kits in a sturdy, damage-resistant box with protective packing materials. b. Online Portal. An online website hosted by Techniart Contractor will serve as a portal for Customers to access and request Kits. To associate a Kit request to Utility, Customer will select Utility from a dropdown list and then input their zip code. The portal will confirm that the Customer's zip code matches a zip code serviced by Utility, then load Utility- branded page upon confirmation. Utility's webpage will display Utility's name and logo at the top and provide information on the Kit configuration(s) and products available to Customer. c. Reporting. CLEAResult shall provide Utility with a monthly report of Kits shipped to Utility Customers. The report shall include number of Kits shipped, and will include invoices for all purchased products and for bulk purchase of products included in the Kit. d. Marketing Services. CLEAResult will design and produce marketing materials for Utility to promote the Kit offering to Customers. CLEAResult will collaborate with Utility on branding needs and requirements. Marketing materials will include social media placement,Utility news feeds, which will be made available to Utility by CLEAResult to utilize along with a website portal to allow Utility to offer Kits directly to Customers. 3. Schedule. The Services described herein shall commence upon the date this Amendment is signed by CLEAResult, and shall terminate on January 31, 2018, unless terminated by either party sooner pursuant to the terms of this Agreement. 4. Payments. The total budget for Kit fulfillment Services under this Amendment shall not exceed $80,000, without prior written approval from Utility. Payments shall be made per Kit, Kit price listed in Attachment A, Option 1, 2 or 3 to this Amendment. 5. Invoices. Contractor shall provide Utility with monthly detailed reporting that indicates products shipped, BPA measure code per product each month, kWh savings, and Kit tracking information with each invoice. All invoices shall be submitted to Utility by December 30, 2017. 6. Change Procedure. The Agreement, including any exhibits, schedules or attachments including this Amendment contains the entire agreement of the parties regarding the subject matter described in it. In the event of any conflict between the terms and conditions of the Agreement and this Amendment to, the applicable term or condition of the Agreement supersedes the conflicting term or condition in this Amendment unless the parties clearly express in writing that the Amendment includes a change to the Agreement.The provisions of this Amendment may not be amended, except by an agreement in writing signed by the party against whom enforcement of any amendment is sought.This Amendment may be executed in two(2)or more counterparts, all of which will constitute but one and the same instrument. CLEAResult Page 4 of 7 ©2017 CLEAResult.All rights reserved. 7. Payment. CLEAResult will provide Client with an itemized invoice referencing this Agreement on the face of the invoice. Payment will be processed within thirty (30) days of such invoice approval. All invoices shall be mailed, e-mailed or hand delivered to: Clearesult Consulting Inc. P.O. Box 732986 Dallas, Texas 75373-2986 8. Change Procedure. The Master Agreement, including any exhibits,schedules or attachments including this SOW, contains the entire agreement of the parties regarding the subject matter described in it. In the event of any conflict between the terms and conditions of the Master Agreement and this SOW, the applicable term or condition of the Master Agreement supersedes the conflicting term or condition in this SOW, unless the parties clearly express in writing that the SOW includes a change to the Master Agreement. The provisions of this SOW may not be amended, except by an agreement in writing signed by the party against whom enforcement of any amendment is sought. CLEAResult Page 5 of 7 ©2017 CLEAResult.All rights reserved. ATTACHMENT A Option 1 —Kit Configuration and Cost estimate Port Angeles Kit#1 (4 LED A19) 60W LED A19 LA19927V2 4 Plain Box w/Sticker 1 Inserts Provided by CLEAResult Shipping (bulk to one location) Included Total Cost $12.00 Kit Configuration#1 Per Kit Quantity Total Cost $ 12.00 1000 $ 12,000.00 $ 11.60 2000 $ 23,200.00 $ 11.20 4000 $ 44,800.00 $ 10.80 6000 $ 64,800.00 $ 10.40 8000 $ 83,200.00 Option 2- Kit Configuration and Cost estimate Port Angeles Kit#2 (4 LED, Evolve Thermostatic Showerhead) 60W LED A19 LA19927V2 4 Evolve Showerhead w/TSV EV301 1-CP 1 50-S B 1 Plain Box w/Sticker 1 Inserts Provided by CLEAResult Shipping Included Total Cost $34.00 Kit Configuration#2 Per Kit Quantity Total Cost $ 34.00 1000 $ 34,000.00 $ 33.60 2000 $ 67,200.00 $ 33.20 4000 $ 132,800.00 $ 32.80 6000 $ 196,800.00 $ 32.40 8000 $ 259,200.00 CLEAResult ©Page 6 of 7 2017 CLEAResult.All rights reserved. Option 3 - Kit Configuration and Cost estimate Port Angeles Kit#3 (4 LED, Evolve Thermostatic Valve, Evolve Multifunction Showerhead) 60W LED A19 LA19927V2 4 Evolve TSV(valve only) EV1002-CP-XX 1 Evolve Multifunction Showerhead EV3020-CP150-SB 1 Plain Box w/Sticker 1 Inserts Provided by CLEAResult Shipping Included Total Cost $34.00 Kit Configuration#3 Per Kit Quantity Total Cost $ 34.00 1000 $ 34,000.00 $ 33.60 2000 $ 67,200.00 $ 33.20 4000 $ 132,800.00 $ 32.80 6000 $ 196,800.00 $ 32.40 8000 $ 259,200.00 CLEAResult ©Page 7 of 7 2017 CLEAResult.All rights reserved.