Outside Regulatory Consulting Services

SECTION 1

REQUEST FOR PROPOSAL

OUTSIDE REGULATORY CONSULTING SERVICES

1.1PREFACE

The Kansas Corporation Commission (“KCC”) is a regulatory body, which is vested with jurisdiction under the Kansas statutes to regulate rates, charges and services of utilities within the State of Kansas (see K.S.A. Section 66-101, et seq.), and to regulate oil and gas activities within Kansas (see K.S.A. 55-102 et seq.).

1.2PURPOSE OF REQUEST FOR PROPOSAL

The purpose of this Request for Proposal (“RFP”) is to secure one or more Outside Regulatory Consultants to assist the KCC in various regulatory consulting services at the request of the Agency Representative on an as needed basis.

1.3SCOPE OF SERVICES

The Outside Regulatory Consultant(s) selected from this RFP will assist the office of the General Counsel and/or Advisory Counsel and/or the Director of Utilities on an as requested basis. Specific requests for regulatory consulting services will be submitted to the Outside Regulatory Consultant(s) on an as needed basis. Each specific request will be deemed a “project” for purposes of this RFP. Projects can include, but are not limited to:

electric, gas and telecommunications cost of service studies
cost of capital issues
financial analysis
mergers and acquisitions
depreciation
cost allocation studies
affiliate transactions
rate design

All requests for services performed by the Outside Regulatory Consultant(s) shall come from one of the following Agency Representatives:

General Counsel
Director, Advisory Counsel
Director, Utilities

All services performed by the Outside Regulatory Consultant(s) shall be subject to the review and satisfaction of the Agency Representative who requested the service.

1.4OUTSIDE REGULATORY CONSULTANT QUALIFICATIONS

A minimum of seven (7) years experience in the area of public utility regulatory issues. This requirement should include knowledge of economics and finance as they relate to regulatory issues and knowledge of the ratemaking process used by the utility companies and KCC staff. Specific training offered by the National Association of Regulatory Utility Commissioners, or an equivalent, is preferred.

Must have the ability to read and apply information prepared by auditors, accountants, economists, engineers and technical consultants used in preparing for cases before the KCC.

Must have experience in preparing and supporting testimony filed in regulatory proceedings at the KCC.

Experience in, or knowledge of, the Federal Energy Regulatory Commission, is preferred.

Must have knowledge of Federal Energy Regulatory Commission and state regulatory decisions with an understanding of the present state of the electric, natural gas and telecommunications industries.

1.5TERMS OF CONTRACT

A.The Outside Regulatory Consultant(s) shall not be prohibited from engaging in other consulting engagements during the course of the contract, so long as the said engagement does not interfere or conflict with the matters or activities of the KCC. Provider shall promptly disclose in writing to the KCC any current or new representation of any entity subject to the jurisdiction or regulatory authority of the KCC on any matter other than matters on behalf of the KCC or its Staff during the term of this contract.

B.The contract for Outside Regulatory Consultant(s) will be awarded on the basis of the type and quality of regulatory consulting experience required in this RFP. Award may be made to multiplevendors due to the varied nature of the projects to be assigned and the expertise of the Outside Regulatory Consultant(s).

C.The term of this contract is for one year from the date of award. This contract shall renew automatically at the end of each term, for up to three (3) additional successive one-year terms, unless either party notifies the other party in writing at least forty-five (45) days prior to the end of the then-current term that it does not wish to renew this contract. In no event will this contract remain in effect for more than four (4) years from the date of the award.

D.Assignments of work to Consultant shall be contingent upon Consultant’s confirmation that neither Consultant nor any relative or significant other of Consultant, either individually or as an officer of a corporation, are providing services to any KCC-regulated entity that is the subject of or closely related to the Consultant’s work, nor are they expected to provide services to the entity during the term of this agreement. Further, that Consultant will seek to prevent such services to be provided during the term of the work performed by Consultant as defined by this Agreement, and in the event of an unexpected engagement of this type Consultant will immediately notify the Director of Utilities or Chief Auditor and if requested, agree to discontinue work under this Agreement or to reasonable modifications of Consultant’s work assignment. For purposes of this Agreement, “relative” means spouse, child, or parent in all circumstances, and also includes any other relative living in the same residence as the Consultant, and “significant other” means a person with whom the Consultant has a relationship sufficiently close to cause one to reasonably infer a conflict of interest may exist.

1.6CONTENTS OF THE OUTSIDE REGULATORY CONSULTANT(S) PROPOSAL

Each responder shall provide a technical proposal in tabular format in the order specified below:

A.Provide the name, title, address and telephone number for all individuals to be assigned to the project. Summarize each individual’s relevant experience, including level of responsibility. The individual charged with overall responsibility for this project should be clearly identified and shall make any requested oral presentation before the committee.

B.Provide a minimum of three references, including contact names and telephone numbers.

C.Describe your firm’s procedure and policy for providing continuing, uninterrupted service if staffing changes occur or if the requested scope of services is significantly increased. Also, describe your procedure for replacing personnel assigned to the project.

D.List areas of expertise (e.g., depreciation study, cost of service study, etc.) for which you are seeking to provide regulatory consulting services.

E.List of experience in providing written and oral testimony in regulatory proceedings, including the name of the client on whose behalf the testimony was provided.

F.Would you be able to travel for hearings, meetings or other locations at the request of the Agency Representative?

G.It is anticipated that invoicing and payment for the services to be provided by the Outside Regulatory Consultant(s) will occur on a monthly basis. Do you have financial resources to underwrite the cost of services prior to monthly compensation being provided?

H.Please provide a narrative describing the manner in which you will provide the required services.

1.7COST PROPOSAL

In order to evaluate and elect the most appropriate Outside Regulatory Consultant(s), each bidder must respond to the following questions/statements/request for information:

REIMBURSEMENT COST (INCLUDES ALL SUPPORT SERVICES)

1.Hourly rate for principal$______

2.Hourly rate for manager$______

3.Hourly rate for accountant staff/clerical, support$______

4.Cost for supplies and/or reproduction of

documents not included above (be specific)$______

______$______

5.Other costs not shown above (be specific)

______$______

*Per diem and vehicle mileage reimbursements are based on rates established on an annual basis and paid accordingly.