Request for Proposals
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1 Request for Proposals Request for Proposals for Evaluation of a Low-Income Pilot Program November 1, 2017 Marin Clean Energy, a California Joint Powers Authority ( MCE ), seeks proposals from qualified respondents to provide Evaluation, Measurement and Verification ( EM&V ) services for MCE s Low Income Families and Tenants pilot program ( LIFT Pilot or Pilot ). Services will include advising MCE staff on metric selection and program evaluation readiness, with particular emphasis on evaluating the heat pump component of the Pilot. I. ABOUT MCE Headquartered in San Rafael, MCE is a Community Choice Aggregation public agency that focuses on reducing energy-related greenhouse gas emissions (GHG) by providing electricity customers with % renewable energy and groundbreaking energy efficiency, demand response, and energy storage programs. MCE determines the source and cost of the energy and PG&E continues to manage the transmission and distribution of the energy. MCE is a public, notfor-profit joint powers authority. Members of the agency include the County of Marin and its towns and cities, the County of Napa and its towns and cities, unincorporated Contra Costa County and the cities of Richmond, Benicia, El Cerrito, San Pablo, Walnut Creek, Lafayette, Concord, Danville, Martinez, Moraga, Oakley, Pinole, Pittsburg and San Ramon. II. LIFT PILOT OVERVIEW The California Public Utilities Commission (CPUC) has granted $3.5 million for MCE to conduct a two-year program that will run until October 31, MCE developed the LIFT pilot program to better serve income-qualified multifamily properties that are not currently benefiting from other low-income programs. LIFT provides comprehensive services to low-income owners and tenants and supports fuel switching from gas to electric heat pumps for cleaner and safer energy use. The LIFT program offers $1,200 per unit to fund energy efficiency improvements and appliances in 1,400 multifamily units for items such as pipe insulation, more efficient lighting, Energy Star
2 refrigerators, and air conditioners. The program aims to blend incentives with MCE s Multifamily Energy Savings Program offering rebates that cover a significant portion of total project costs as well as no-cost energy assessments, energy and water-saving measures for tenant units, and technical assistance to solicit contractor bids and develop a comprehensive scope of work. III. LIFT PILOT COMPONENTS The LIFT Pilot has three main components which focus on energy efficiency, historic barriers to energy efficiency program delivery in low-income communities, and providing increased access to fuel switching and heat pump technology, as described below: 1. Leverage existing energy efficiency programs for income-qualified customers to provide additional incentives and achieve deeper energy savings. The LIFT pilot program will leverage incentives from MCE s Multifamily Energy Savings Program and the LIFT pilot program to provide maximum benefits to owners and tenants of multifamily properties. Property owners that go through both the LIFT and the Multifamily Energy Savings programs can have up to 80 percent of the total project costs covered through the combined rebates. 2. Work with community-based organizations to support and enroll property owners and managers, as multifamily renters tend to avoid energy efficiency (EE) programs based on real or perceived barriers (e.g. privacy and split incentives). As residents of income-qualified multifamily housing, renters face multiple barriers to participating in energy efficiency programs, including fear of property owner retaliation, lack of control over any significant upgrades made to their units, concerns about sharing personal information, immigration enforcement actions, and financial constraints. To help alleviate these challenges, outreach efforts for the LIFT program will be aimed towards property owners and managers. The LIFT program, with assistance from community-based organizations, will focus on targeting property owners and managers to streamline the enrollment process. 3. Create opportunities for fuel switching away from natural gas and propane combustion appliances to heat pumps to support cleaner and more efficient energy use while resolving health and safety concerns. MCE RFP 17-04, Evaluation Services Page 2 of 8
3 Heat pumps represent a promising technology that is not widely deployed. They have the potential to decarbonize space and water heating end uses while improving comfort for lowincome customers. Adoption of the heat pump technology by low-income owners and tenants provides data about its performance in a low-income setting. LIFT will offer additional rebates to cover a portion of the costs of purchasing and installing heat pumps in eligible units. The pilot will offer incentives for both water and space heaters. In addition to providing fuel substitution measures for eligible gas customers, the LIFT pilot will also provide fuel switching options for eligible propane customers. MCE will cap propane fuel switching at 10% of the total number of heat pumps installed through the pilot program. MCE is roughly aiming to serve 215 units with heat pumps over the two-year pilot. Special considerations for space heaters: heat pumps can be an effective measure to achieve energy savings from space heating, but in homes that do not have the existing cooling equipment, they can add a cooling load. The non-energy benefits of providing low-income customers with an efficient source of cooling could partially offset any added load due to the introduction of cooling to the home. Tracking non-energy benefits, such as increased comfort for elderly residents, will be an important aspect of this pilot. Participants who receive heat pumps will be provided with ongoing education and troubleshooting to ensure they understand the potential impact of the added load on their electricity bills. The fuel switching component of the LIFT pilot program will focus on: tracking bill savings to the customers; increasing source British thermal unit (BTU) savings; and reducing Greenhouse Gas (GHG) emissions, Nitrogen Oxides (NOx), and Sulfur Oxides (SOx). IV. PROPOSED SCOPE OF WORK The objective of the evaluation is to measure the success of MCE s unique program delivery strategy, to collect data that can support broader policy action related to fuel switching and to fulfill the midterm and final report obligations. The successful respondent to this RFP ( Contractor ) will work with program staff to ensure that the program metrics are being tracked by advising on the appropriate data to collect and by proposing a Measurement and Verification (M&V) strategy. The Contractor will also draft interim and final pilot reports that will include progress toward stated pilot metrics and summarize findings related to the heat pump pilot research objectives. MCE RFP 17-04, Evaluation Services Page 3 of 8
4 1. Heat Pump M&V: The heat pump component of the LIFT pilot includes research topics that are designed to inform larger policy decisions including potential revisions to the CPUC s three-prong test 1 used for fuel substitution. Further, the pilot will gather data to inform one side of the larger policy question on the relative costs and benefits of the electrification as compared to investing in natural gas infrastructure. Broader research objectives of the pilot include: Determining the procurement and installation costs of heat pumps and cost savings due to avoided gas infrastructure and Combustion Appliance Safety testing Analyzing the impacts of fuel switching on bill savings and net costs or savings to the customers Tracking GHG emissions, nitrogen oxides (NOx), and sulfur oxides (SOx) reductions Tracking source BTU savings Studying the impacts of fuel switching on resident s health, comfort, and safety Analyzing utility bills for understanding the impacts of alternative rate structures such as time of use and electric heating baseline adjustment rates that would encourage the use of heat pumps Other pilot metrics are included in the LIFT Pilot Barriers and Metrics table provided in Appendix A. 2. Interim and Final Pilot Report: The Contractor will be responsible for drafting an interim report and a final report for the LIFT Pilot. The midterm and final report will provide detailed outcomes of the research objectives associated with the Pilot s fuel switching component and the overall LIFT Pilot metrics. The reports will also examine: Benefits of blending the LIFT program with the standard Multifamily (MF) Energy Savings Program including: administrative cost efficiencies; added scope of 1 The California Public Utilities Commission s (CPUC) three-prong fuel substitution test determines what fuel substitution projects can receive utility customer-funded energy efficiency incentives and support. The following are the three prongs: a. The program/measure/project must not increase source-btu consumption. Proponents of fuel substitution programs should calculate the source-btu impacts using the current CEC-established heat rate. b. The program/measure/project must have TRC and PAC benefit-cost ratio of 1.0 or greater. The TRC and PAC tests used for this purpose should be developed in a manner consistent with Rule IV.4. c. The program/measure/project must not adversely impact the environment. To quantify this impact, respondents should compare the environmental costs with and without the program using the most recently adopted values for avoided costs of emissions. The burden of proof lies with the sponsoring party to show that the material environmental impacts have been adequately considered in the analysis. MCE RFP 17-04, Evaluation Services Page 4 of 8
5 projects beyond typical low-income interventions; and ease of participation for tenants and property owners. Success of program outreach to hidden communities (i.e. naturally occurring affordable housing properties 2 ) by tracking engagement and referrals to either the blended LIFT Pilot/MF program or the PG&E Energy Savings Assistance program. Best practices for scaling the Pilot strategies and incorporating them into an ongoing energy efficiency program. The LIFT pilot launched on October 30, The pilot will end two years from the official launch date. The timeline for the evaluation will be as follows: Evaluation Timeline Item Deliverable Date Program Evaluation Plan and M&V Protocol February 15, 2018 Mid-term report draft January 31, 2019 Final report April 31, List of Deliverables: Specific deliverables to be completed by the contractor(s) may include, but are not limited to, the following: Draft and Final Evaluation Plan Draft and Final Data Collection Instruments and Protocols Draft and Final Site Visit Protocols Draft and Final Interim Report on Key Findings Original data files and final, cleaned evaluation data and analysis files resulting from the evaluation Draft and Final Evaluation Report Monthly Project Status Reports V. EM&V BUDGET 2 Naturally Occurring Affordable Housing refers to residential rental properties that maintain low rents without federal subsidy. Source: MCE RFP 17-04, Evaluation Services Page 5 of 8
6 The Evaluation, Measurement and Verification budget for the two-year LIFT pilot program is $140,000 which excludes any costs related to responding to this RFP. Proposal pricing and budget information must not exceed this amount. VI. REQUIRED CONTENT FOR THE PROPOSALS Proposals must include all of the following components in sufficient detail to allow MCE to evaluate the respondent s ability to perform the proposed Scope of Work and support the objectives of the LIFT Pilot in general: 1. Introduction/Cover Sheet: Briefly, introduce the organization and summarize its most relevant experience in the field or skills needed. 2. Proposed Work Plan and Timeline: Describe the major tasks and estimated timeline required in order to complete the above-noted Scope of Work. 3. Proposed Budget: Proposals should include a budget and pricing for any items in or related to the Scope of Work for which MCE would be billed, not to exceed the overall maximum budget amount set forth above in Section V. 4. Information and Resources Required from MCE: Please indicate what, if any, additional resources or information would be required from MCE in order to complete the Scope of Work. 5. Statement of Qualifications: Describe the organization s specific qualifications that will enable it to develop a workable solution(s) to address each point on the Scope of Work. Attach copies of any relevant licenses and certifications. 6. References: Provide three business references that can attest to the organization s work history and the general quality of work performed. 7. Optional: Please review MCE s Standard Form Agreement attached as Appendix B and provide any proposed edits or comments to the document, if applicable. VII. EVALUATION CRITERIA MCE will evaluate proposals using the following criteria: Evaluation Criteria Criteria Score Industry Experience 30% Fit with MCE goals 40% MCE RFP 17-04, Evaluation Services Page 6 of 8
7 Pricing 30% VIII. KEY DATES, DEADLINES AND SUBMISSION REQUIREMENTS 1. MCE reserves the right to modify this schedule at its discretion. Any changes or additional information regarding the RFP schedule and pre-bid activities, including responses to questions, will be posted on the MCE website. RFP Schedule Event Date/ Deadline RFP Issued November 01, 2017 Question Period Closes November 10, 2017 Responses to Questions Posted November 17, 2017 Proposals due to MCE December 08, 2017 Contractor Selection Date December 22, 2017 Contract Award Date February 05, Questions: Interested parties and potential respondents should notify MCE via as soon as possible in order to receive timely copies of any submitted questions and MCE s responses. Any questions about this Request for Proposals must be submitted no later than 5 pm on November 10, 2017, to: MCE Contracts Manager contracts@mcecleanenergy.org 3. Submission Deadline: To be eligible for consideration, all proposals must be submitted via , in either pdf or docx (Word) file format, no later than 5 pm on December 08, 2017, to: MCE Contracts Manager contracts@mcecleanenergy.org 4. Selection of Contractor and Award: Subject to the General Terms and Conditions below, MCE anticipates that the contractor selection process will be completed by February 05, MCE RFP 17-04, Evaluation Services Page 7 of 8
8 IX. GENERAL TERMS AND CONDITIONS 1. MCE s Reserved Rights: MCE may, at its sole discretion: withdraw this Request for Proposals at any time, and/or reject any or all offers or proposals submitted without awarding a contract. Respondents are solely responsible for any costs or expenses incurred in connection with the preparation and submittal of an offer or proposal. 2. Public Records: All documents submitted in response to this Request will become the property of MCE upon submittal and will be subject to the provisions of the California Public Records Act and any other applicable disclosure laws. 3. Contract and Insurance: The successful respondent, if any, will enter into an agreement for services based on MCE s Standard Form Agreement, attached hereto as Appendix B for information purposes only. If applicable, please include any proposed edits to the Standard Form Agreement with the submitted materials. Proof of applicable insurance coverage will be required. MCE RFP 17-04, Evaluation Services Page 8 of 8
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