THE METROPOLITAN WATER DISTRICT
OF SOUTHERN CALIFORNIA
ADDENDUM NO. 1
REQUEST FOR PROPOSAL
FOR
REGIONWIDE WATER CONSERVATION REBATE PROGRAM
RFP No. 995
To all prospective respondents to Request for Proposals (RFP) No. 995, for which Proposals are to be received by The Metropolitan Water District of Southern California (Metropolitan), at its NetConnect site, until 3:00 p.m., PST, December 29, 2011.
I. The information given in Addendum No. 1 are responses to questions submitted by prospective respondents for clarification, and are hereinafter incorporated into RFP No. 995.
II. Section 1 - Information for Respondents, sub-section 1.7 – Request for Clarifications is revised as follows:
Revised From:
Firms requesting clarification pertaining to this RFP should submit all requests by 3:00 p.m., PDT, November 2, 2011, via email to Olivia Freeman at .
Revised To:
Firms requesting clarification pertaining to this RFP should submit all requests by 3:00 p.m., PST, December 1, 2011, via email to Olivia Freeman at .
III. Questions asked and answers given:
Q1. The RFP indicates 45,000 residential and 4,000 CII applications per year, but Attachment 1 indicates a much higher number. Assuming the RFP is correct, what do the numbers in Attachment 1 represent?
A1. Attachment 1 shows the number of devices, which is higher than the actual number of applications, since multiple devices may be included on a single application.
Q2. In looking at the bid documents I did not see an actual rebate form and what information will be keyed for the rebate. Can this be emailed?
A2. The Residential program uses only an on-line application, which can be found at: https://mwd.conservationrebates.com. The Commercial program uses an on-line reservation system, which can be found at: http://www.mwdsaveabuck.com. A copy of the Commercial application is attached.
Q3. Given that MWD has had both programs up and running successfully for a number of years with Honeywell and EGIA why would MWD bid these programs out and possibly change providers?
A3. In accordance with Metropolitan’s administrative and procurement policies as a public agency, contracts must be competitively bid at the end of each contract period. Metropolitan is interested in reviewing all proposed programs with the intent of selecting the best possible offering based on the criteria established in the RFP.
Q4. More specifically, how much of level playing field can there be given that the incumbents will have zero start up and mobilization costs for the MWD programs?
A4. Cost is only one criterion that Metropolitan will use to evaluate respondent submittals. The majority of criteria focus on the respondents’ qualifications, staffing plan, record of past performance, and technical approach (see Section 3.1 of the RFP for exact details).
Q5. Could you please forward Wigs Mendoza’s contact info so that we can begin the process of SBE certification?
A5. For assistance with the SBE certification process, Respondents are encouraged to use the following link, https://vendors.planetbids.com/NETConnect/NetConnectHome.cfm
Or to call the Business Outreach Hotline at 213.217.7444.
Q6. For the Commercial Program, do you require 100% on-site inspections?
A6. No. A minimum of 5% of applications must have an on-site inspection for Commercial Program.
Q7. If a Commercial customer gets a rebate for $25,000 for a particular site, but has more capacity, can they get a rebate the following year for $25,000 for the remaining devices.
A7. Yes, but the customer must obtain separate reservations and submit separate applications for each program year.
Q8. Section 1.17 Participating public agencies – Is this similar to section 2.3 Additional Member Agency funded programs option #2? If not, can you elaborate a little bit more?
A8. Yes, the provision in Section 1.17 would apply in the case of what is described in Section 2.3, Option 2 for our member agencies. Section 1.17 refers to any public agency (not just Metropolitan’s member agencies) that per its regulations is allowed to approach the vendor to use the agreement to acquire the specified services.
Q9. Section 2.8Quality Control – Metropolitan performs inspection for the residential program. Does Metropolitan prefer to inspect or is it flexible for contractor to inspect?
A9. Respondents may propose alternate processes, mechanisms or methodologies as part of the Technical Approach and Methodology section. Respondent should explain any specific benefits or cost efficiencies that would be achieved by doing the Residential inspections.
Q10. Funding for each program – While budget is assigned by program year, can you provide an estimated or average rebate funding per year?
A10. Metropolitan’s current fiscal year budget is $19.1 million. Metropolitan’s Board makes a decision on the next year’s budget in March 2012. The current projections for this year are that we expect to issue rebates for approximately $4 million in the Residential Program and approximately $4 million in the Commercial Program.
Q11. Residential application – Do you currently require or not require a wet signature from customers?
A11. For the Residential Program, we do not currently require a wet signature from customers. Residential customers must accept the “terms and conditions” electronically via the website.
Q12. Could you mail me a copy of the sign-in sheet to find out who the other bidders are, please?
A12. The sign-in sheets along with the business cards are posted on NetConnect.
Q13. Will the MWD of Southern California accept clarification questions from bidders after this November 2nd date, or is this the last opportunity to submit questions regarding the RFP?
A13. The clarification period has been extended to December 1, 2011.
Q14. Are the current Residential and Commercial, Industrial, and Institutional (CII) programs administered by the same or separate administrators?
A14. Separate administrators.
Q15. Who is the program administrator today for each of Residential and CII programs?
A15. The current vendor for the Residential Program is the Electric and Gas Industries Association. The current vendor for the Commercial Program is Honeywell International, Inc.
Q16. In the bidder’s conference on Tuesday, 11/1 it was indicated that bidders responding to both the Residential and the CII programs could submit three types of proposals as follows: 1) Residential; 2) CII; and 3) Program Management. Can you please expand on what you’d expect to see in the 3rd proposal?
A16. The third proposal would be a proposal to manage a combination program that includes both the Residential Program and the Commercial Program.
Q17. It was mentioned in the RFP document that there might be individual water districts or municipalities that want to contract directly with the successful bidder for additional incentives. How does MWD envision that the successful bidder track time and effort to layer these additional incentives on top of the MWD incentives and bill the separate municipality accordingly? Does MWD have a template for how they would like this done?
A17. If other agencies are adding supplemental incentives to Metropolitan’s base incentives, the administrative fees are paid as a percentage of Metropolitan’s base incentive, so individual contracts and time tracking is not required. If individual water agencies want to provide incentives for devices not included in Metropolitan’s regional programs or want run their own unique programs, the associated administrative cost would either be negotiated with Metropolitan if it is approved by Metropolitan, or with the member agency if they elect to negotiate their own contract. In either case, the negotiations would include discussions of the tracking mechanisms to ensure costs were correctly charged to each agency and that no double billing had occurred. We do not have a template for how this would be done since the scope of services could vary considerably.
Q18. In section 2.1, of the RFP, it says that the “successful Respondent will work with existing vendors to ensure smooth program transitions.” Can MWD please disclose who the existing vendors are for the programs today?
A18. See A15.
Q19. What is the planned budget for 2012, 2013, and 2014 for each of these programs?
A19. At this point in time, Metropolitan staff expects the budget for next year will be similar to this fiscal year (see A10). However, the budget is subject to review and approval by Metropolitan’s Board each year in March or April.
Q20. Did the program budgets for 2009, 2010, or 2011 run out? If yes, for which programs?
A20. The program budget ran out in 2009 for both programs, but did not for 2010 or 2011.
Q21. To the extent that the database is built in product solution such as Microsoft Dynamics CRM or SalesForce.com, how will MWD be taking ownership of the database? Per section 2.6, the last paragraph states that the database and its records become the property of Metropolitan. Will Metropolitan license its own version of necessary software in order to take the database in-house eventually? What is the Metropolitan IT plan around this?
A21. The data from the respondent’s database must to be provided to Metropolitan in an approved format (i.e., Microsoft Excel or Access files, delimited text files, etc). The data will be loaded into Metropolitan licensed databases (i.e., Oracle, Microsoft SQL server, Microsoft Access, etc.) and kept for in-house analyses. Metropolitan has no plans at this time to operate rebate program software in-house and is seeking Respondents to provide these services.
Q22. Item #4 on the RFP pg. 13 says that the vendor will enter applications for customers who say they do not have Internet access.What percentage of applications is currently being entered for customers without Internet access?
A22. Approximately 2 percent are being entered for customers.
Q23. Will rebates be disbursed through other rebate programs in addition to this program? If so how can the respondents system receive information to prevent disbursement in excess of budget?
A23. No. The successful respondent will only be responsible for managing the budgets that are specifically assigned to their program.
Q24. Can residential rebates be approved for the same address if there are new occupants?
A24. Yes. However, for items that are mobile, such as clothes washers, the customer could not receive a rebate if they had previously received a rebate for that device.
Q25. Is the respondent required to store (physical or electronic) receipts, copies of bills or other submitted documentation for the Retail program?
A25. Yes.
Q26. Who does approval for CII applications? Does MWD have any role?
A26. The successful respondent would approve CII applications based on Metropolitan’s criteria. Metropolitan’s role is to provide the criteria to the successful respondent.
Q27. Is an IRS W-9 Form part of the CII application process / supporting document?
A27. Commercial customers must provide their Taxpayer Identification Number on the application.
Q28. Is respondent required to create hard copy records of calls and other communications if accepted electronic records exist? (Section 2.5 - #4)
A28. Electronic records are sufficient. Metropolitan may ask for print-outs or the electronic files to review and assess vendor performance.
Q29. Will the Respondent be required to store any inspection records, forms or supporting documentation resulting from on-site inspections?
A29. Yes. The successful Respondent will be required to store all inspection information.
Q30. Will MWD provide acre-feet water savings value for each device?
A30. Yes.
Q31. How are site inspections calendared and communicated as complete?
A31. Per Section 2.8, Numbers 3 and 4, the successful Respondent will provide monthly reports to Metropolitan on the results of both “remote” and “on-site” inspections. Respondent must also provide a list of planned “on-site” inspections to Metropolitan, so Metropolitan staff can accompany Respondent, on occasion, to assess contract performance.
Q32. How does postage weigh into the equation?
A32. Respondent should factor postage costs into the cost proposal submitted to Metropolitan.
Q33. Are checks issued directly from MWD or 3rd party account?
A33. The successful Respondent would issue checks to the customers. Metropolitan will directly issue checks or wire funds to the successful Respondent.
Q34. Is customer service 24/7 or business hours?
A34. Customer service is business hours.
Q35. Are W-9s to be stored in online platform?
A35. W-9s are not required, but are sometimes submitted. W-9s can be stored in hard copy or electronic format.
Q36. How often are rebate checks issued? Daily? Weekly?
A36. As needed. The selected respondent would provide a summary invoice to Metropolitan and detailed records for a batch of rebates. Metropolitan would issue a check or wire funds to the respondent for the summary amount. The respondent is expected to issue individual rebate checks to customers within 7 days of the receipt of Metropolitan funds.
Q37. Is electronic deposit possible? Credit to water bill?
A37. Metropolitan is not considering alternative delivery forms of rebate fulfillment at this time. Metropolitan is a wholesale water provider and does not have access to retail customer account information. Respondents may propose alternate processes, mechanisms or methodologies as part of the Technical Approach and Methodology section. Respondent should explain any specific benefits or cost efficiencies that would be achieved by using another method of payment.
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