.//.!. L.moi. /API J II, - l 1 d BOARD OF AIRPORT COMMISSIONERS REPORT TO THE. 'Los Angeles World Airports. DeborFlint xecu ive Director

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1 I 1 1 a BY Appr. -..ÿ. Lisa 'Los Angeles World Airports REPORT TO THE BOARD OF AIRPORT COMMISSIONERS.//.!. L.moi. /API II rifiletti Dire fir, Environ entai & Land Use Planning Reviewed.. Cynthia Guidry, I - sut Executive Director \,, ' Cit A or J II, - - DeborFlint xecu ive Director y 'j1t-r Meeting Date: CAO Review: 11/5/2015 l 1 d Completed Pending N/A Reviewed for Date I Approval Status 1 Capital Budget ;10/16/2015; NY N NA i DS Operating Budget :10/16/20151 NYE N DNA RW CEQA 10/16/2015: NY N MV Procurement 10/15/20151 NY ON O Cond I MT Guest Experience 10/19/20151 NY ON 1 SUBJECT: Award of Contract to Lean Photometrics, LLC DBA Lean Engineering Award a three year contract to Lean Engineering to provide a Solar Power Screening Assessment, Opportunity Analysis, and Implementation Plan for Los Angeles World Airports in an amount not to exceed $479,350. RECOMMENDATIONS: Management RECOMMENDS that the Board of Airport Commissioners: 1. ADOPT the Staff Report. 2. DETERMINE that this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Article II, Section 2.d. of the Los Angeles City CEQA Guidelines. 3. FIND that the work can be performed more economically or feasibly by an independent contractor than by City employees. 4. FURTHER FIND pursuant to Administrative Code Section (a)(10) under the circumstances presented that the professional and technical services sought in this contract are such that the use of competitive bidding would be undesirable. 5. FURTHER FIND that the Request for Proposal process used in this competitive award process satisfies the requirements of Administrative Code Section and is compatible with the City's interest. Page 1 Solar Award of Contract Board Report. docx

2 6. APPROVE the award of a three year contract to Lean Engineering for the Solar Power Screening Assessment, Opportunity Analysis, and Implementation Plan for an amount not to exceed $479, AUTHORIZE the Executive Director to execute the contract with Lean Engineering upon approval as to form by the City Attorney. DISCUSSION: 1. Purpose Provide an understanding of opportunities and constraints for the implementation of solar power generation projects (Solar Power Systems) initially at Los Angeles International Airport (LAX). Prior Related Actions None 2. Current Action In April 2015, Mayor Garcetti released a Sustainable City Plan laying out short term (by 2017) and long term (by 2025 and 2035) targets in 14 categories related to our environment, economy, and equity encompassing water conservation, clean energy, waste, green jobs, transportation, housing, and neighborhood livability. Included in the City Plan is the directive to increase /install local solar photovoltaic to 400 MW by This target would make Los Angeles the national leader in solar power. In the proposed contract, Lean Engineering will provide information to help LAWA understand opportunities and constraints for implementing solar power generation projects (Solar Power Systems) initially at LAX. To date, LAWA has not installed solar power generation projects at any of its properties. Staff believes there is substantial capacity at LAX for solar power generation and solar power could reduce significantly electricity demand and costs. By approving this action, LAWA can move forward with its commitment to sustainable business practices and achieving the City's goals for the increased use of solar power at City -owned facilities Procurement Process On May 6, 2015 LAWA released a Request for Proposals for the Solar Power Screening Assessment, Opportunity Analysis and Implementation Plan for Los Angeles International Airport on the Mayor's Los Angeles Business Assistance Virtual Network (LABAVN). On June 26, 2015, LAWA received the following ten proposals: 1. ARC Alternatives 2. Black and Veatch 3. DH Green Energy 4. Harris Miller Miller & Hanson (HMMH) 5. Hatch Mott MacDonald Page 2

3 6. IEC Corporation 7. Lean Engineering 8. Parsons 9. TRC Solutions 10. WorleyParsons Two proposals were deemed non -responsive: Black & Veatch and DH Green Energy. The remaining eight proposers were interviewed on August 17 and 19, 2015 by a five - member panel composed of the following employees: Director - Environmental and Land Use Planning Division Chief Airports Engineer II - Planning and Engineering Division Chief of Airport Planning Il - Environmental and Land Use Planning Division Executive Assistant - Commercial Development Group Financial Analyst IV - Finance and Budget Division The panel reviewed the proposals according to the evaluation criteria listed below: Section Description of Evaluation Criteria Maximum Points A Approach to Solar Power Screening and Opportunity 25 Assessment B Approach to Evaluation and Advice Concerning Options for 25 Implementing Solar Power Systems at LAX C Prior Experience with Airport- Sponsored Solar Power Projects 15 D Experience and Qualifications of Project Manager and Key 15 Staff E Proposed Hourly Rates 20 F Compliance with Administrative Requirements Pass /Fail Total 100 The panel ranked the firms as follows: 1. Lean Engineering 2. Parsons 3. IEC Corporation 4. Harris Miller Miller & Hanson (HMMH) 5. ARC Alternatives 6. Hatch Mott MacDonald 7. TRC Solutions 8. WorleyParsons Lean Engineering was determined to be the most qualified Proposer. Lean Engineering assembled the most capable consultant team with a strong Project Manager with solar experience and available resources both in -house and outside to support the project. They demonstrated the greatest experience, plan and approach to conduct solar feasibility analysis at commercial airports. Additionally, their proposal placed specific emphasis on unique business model concepts and innovative financial strategies. Page 3 Solar Award of Contract Board Report. docx

4 Lean Engineering will be tasked with providing the following: Develop a constraints map and matrix to assist the airport in the site selection process Recommend 2-3 sites that may be accelerated for solar implementation Develop an implementation table for additional sites that will guide the airport in implementing solar in the future Develop a project delivery method such as Self Finance, Tax -Lease, or Power Purchase Agreement Coordinate and optimize rebates and tariffs LAWA intends to initially focus on LAX since it uses the greatest amount of electricity and then will return to the Board to consider an amendment to this contract to assess solar power generation projects at Ontario International Airport (ONT), Van Nuys Airport (VNY), and landholding in Palmdale, CA. Action Requested Staff requests award of a three -year contract to Lean Engineering for Solar Power Screening Assessment, Opportunity Analysis, & Implementation Plan for Los Angeles International Airport. Fiscal Impact The proposed cost of this action is valued at $479,350 for three years and will be compensated from the LAWA Operating Budget. There are no revenues resulting from undertaking this action. However, costs will be recovered through landing fees and /or terminal rates and charges. Additionally, implementation of this project should result in electricity savings for LAWA. 3. Alternatives Considered Take No Action Staff considered not awarding this contract; However, LAWA staff does not have the specialized tools, expertise, knowledge or resources to provide a comprehensive solar power feasibility analysis. APPROPRIATIONS: Funds for this item are available in the FY LAWA Operating Budget in LAX Cost Center Environmental Land Use Planning, Commitment Item Contractual Services. Funding for subsequent fiscal years will be requested as part of the annual budget process. STANDARD PROVISIONS: 1. Feasibility and planning studies for possible future actions, although such studies shall include consideration of environmental factors, is exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Article II, Section 2.d. of the Los Angeles City CEQA Guidelines. 2. This contract is subject to approval as to form by the City Attorney. Page 4

5 3. Actions taken on this item by the Board of Airport Commissioners will become final pursuant to the provisions of Los Angeles City Charter Section Lean Engineering will comply with the provisions of the Living Wage Ordinance. 5. Procurement Services has reviewed this action (RX ) and established a 5% mandatory Small Business Enterprise (SBE) goal for this project. Lean Engineering committed to 100% SBE participation as it is a certified SBE firm. 6. Lean Engineering will comply with the provisions of the Affirmative Action Program. 7. Lean Engineering has been assigned Business Tax Registration Certificate number Lean Engineering will comply with the provisions of the Child Support Obligations Ordinance. 9. Lean Engineering will have approved insurance documents, in the terms and amounts required, on file with Los Angeles World Airports prior to contract execution. 10. Pursuant to Charter Section 1022, staff determined the work specified on the proposed contract can be performed more feasibly or economically by an Independent Contractor than by City employees. 11. Lean Engineering has submitted the Contractor Responsibility Program Questionnaire and Pledge of Compliance and will comply with the provisions of the Contractor Responsibility Program. 12. Lean Engineering has been determined by Public Works, Office of Contract Compliance to be in full compliance with the provisions of the Equal Benefits Ordinance. 13. Lean Engineering will be required to comply with the provisions of the First Source Hiring Program for all non -trade LAX Airport jobs. 14. Lean Engineering has submitted the Bidder Contributions CEC Form 55 and will comply with its provisions. Page 5