This Contract Modification No. 2 is for energy performance owner’s representative services with 2KB Energy Services in the amount of $37,205. The City solicited for owner’s representative consulting services in 2021 to assist with the selection of a firm to conduct an Investment Grade Energy Audit (IGEA) of City facilities, support the execution of those IGEA activities, and support the negotiation and execution of a Guaranteed Energy Savings Performance Contract (GESPC) if ultimately pursued by the City. These audits and implementation activities are expected to reduce the City’s energy use and operating costs, improve the comfort and condition of City facilities for staff and residents, and demonstrate leadership in the energy efficiency space in support of the City’s clean energy goals. After an initial round of audit activities, the parties agreed that a mutually beneficial project could not be developed and parted ways according to section 5.2 of the contract.  The City is now moving forward with the next highest proposer McKinstry, which has offered to undertake the audit at no cost to the City if a mutually beneficail project cannot be developed. This modification is needed due to changing vendors and to maintain access to 2KB's critical expertise during this complex, highly technical process to ensure satisfactory progress on this ambitious project without compromising progress on other priorities.

The original contract was approved by City Council on May 12, 2022, in the amount of $161,480. Contract Modification No.1 was approved on May 25, 2023, in the amount of $199,654. The total amount of this contract to date, including this modification, is $398,339.

Approval