3. IMPLEMENTER'S OBLIGATIONS
Implementer shall perform the work described in Attachment A, which is attached hereto incorporated herein by this reference, in accordance with the requirements of the CPUC decisions described in the recitals above ("Authorized Work").
Implementer hereby acknowledges that time is of the essence in performing the Authorized Work. Failure to comply with stated deadlines or milestones may result in termination of this Agreement, payments being withheld, or program modifications as directed by the assigned ALJ.
Implementer may request that the assigned ALJ or CPUC Agreement Representative approve modifications to the Authorized Work.
Implementer shall communicate regularly with the assigned IOU Agreement Representative and shall advise the IOU Agreement Representative of significant problems. Implementer will strive to address minor issues or problems on its own.
3.1 Professional Standards
Implementer shall perform the Authorized Work, and shall furnish required labor, equipment and material with the degree of skill and care that is required by current professional standards.
3.2 Required Reports
Implementer shall submit Quarterly Reports to the IOU and CPUC Agreement Representatives. The reports shall contain all information and be in format set forth in Attachment B: In addition to the Quarterly Reports, Implementer shall also submit Monthly Reports no later than the 21st calendar day of the month following performance of Authorized Work. The reports shall contain all information and be in format set forth in Attachment B. The first report shall be due on the 21st day of the first month after Contract execution.
Report Schedule
Implementer shall submit the Required Reports listed below according to the following schedule:
Report
Due Date
Program Specific Report For Direct
Installation Programs
(Programs where Implementer provides
energy efficiency measures, including
maintenance, repair, or optimization
services at no charge to the Customer)
1. Installation Standards
2. Implementer must conform to product specifications (e.g. Energy Star ®) and installation standards (e.g. WIS Manual, RCP duct testing and sealing, AC tune-up standards) of the IOUs.
3. Quality Assurance Procedures
4. Current installation schedule (and made available on request during program implementation)
Program Specific Report For Rebate,
Loan, or other Financial
Assistance Programs
(Programs where Implementer provides
rebate, loan, co-funding, or other
financial assistance for the installation
of energy efficiency measures,
including maintenance, repair, or
optimization services)
1. Quality Assurance Procedures
2. Implementer's internal Policy and Procedures if requested by IOU or CPUC
3. External Policy and Procedures Manual describing
o Program dates
o Eligibility requirements
o Incentive payment process
o IRS 1099 reporting procedures
o Dispute resolution procedures
o Eligible product specification (e.g. Energy Star)
7 Days following execution of this Agreement
Implementation Report Addressing Following Issues (as set forth in D.02-05-056):1
· Coordination with Other Energy Efficiency Programs
· Coordination With LIEE Programs (IOU programs and Implementer's own programs)
· Responding to and tracking customer complaints
· Customer Disclosure text
10 days following execution of this Agreement
Q-3 2002: Quarterly Report covering third quarter of 2002 and any second quarter activities (July - September)
On or before November 1, 2002
Q-4 2002: Quarterly Report covering fourth quarter or 2002 (October - December)
On or before February 1, 2003
Q-1 2003: Quarterly Report covering first quarter of 2003 (Jan - Mar)
On or before May 1, 2003
Q-2 2003: Quarterly Report covering second quarter of 2003 (April - June)
On or before August 1, 2003
Q-3 2003: Quarterly Report covering third quarter of 2003 (July - September)
On or before November 1, 2003
Q-4 2003: Report covering fourth quarter of 2003 (October - December)
On or before February 1, 2004
Final Reports (Program Evaluation)
On or before May 1, 2004
All reports shall be submitted no later than the due date listed above to the IOU and CPUC Agreement Representatives for their review, comment and approval. Implementer shall provide additional information to the IOU or CPUC Agreement Representative if requested.
Implementer hereby agrees that providing the information and reports described in this section is a prerequisite to receiving the payments referred to in Section 6.
3.3 Stop Work Procedures
The IOU Agreement Representative may suspend the Authorized Work for good cause, such as safety concerns, fraud, or excessive customer complaints. IOU may suspend the Authorized Work by orally notifying the Implementer's Agreement Representative to suspend the Authorized Work. The Implementer shall stop work immediately except as described below. The IOU Agreement Representative shall follow its oral notification with written notice pursuant to Section 25 below and and shall obtain the concurrence of the CPUC Agreement Representative to the stop work order as soon as practicable. If the IOU Agreement Representative suspends the Authorized Work, Implementer may complete Authorized Work that it has started at a customer site, but may not begin any new Authorized Work at any new customer sites. Implementer may resume Authorized Work after receiving written notice from IOU that it may resume the Authorized Work.
3.4 Coordination With Other Programs
Implementers shall coordinate with other existing or selected programs, including programs targeting low-income customers, to enhance consistency in rebates and other program details, minimize duplicative administrative costs, and enhance the possibility that programs can be marketed together to avoid duplicative marketing budgets. The IOU shall give Implementer the list of all programs in its service territory no later than the date it signs the contract, and for Implementers that operate in the service territories of other IOUs, the IOU shall provide a list of programs in the other service territories.
In its Implementation Report, Implementer shall list programs with which it could coordinate, and describe proposed coordination activities including a time line for each activity. IOU shall review the list of programs and proposed coordination activities, and either approve or suggest reasonable changes. Implementer shall incorporate all changes required by the CPUC Agreement Representative. Implementers shall describe in each quarterly report all coordination activities with other energy efficiency programs.
3.5 Coordination With Low Income Programs
This Section shall only apply to Authorized Work that includes an energy efficiency measure that is included in the IOU Low-Income Energy Efficiency program.
Implementers whose Authorized Work that includes an energy efficiency measure that is included in the IOU Low-Income Energy Efficiency program shall inform all customers about the Low-Income Energy-Efficiency ("LIEE") and California Alternate Rates for Energy (CARE) programs, including eligibility requirements. Implementer shall then ask customers if they believe they are LIEE or CARE-eligible customers, and shall provide written information about the LIEE and CARE programs, including how the customer may participate in the programs and whom they need to contact to participate in LIEE or CARE, before attempting to sell any programs or measures with a cost to any such customers.
No later than the date it signs the contract, IOU shall provide Implementer with a written description of its CARE and LIEE programs, including information for distribution to customers about CARE and LIEE requirements, benefits and whom the customer must contact to participate in the program.
In the Implementation Report, Implementer shall submit to IOU a list of measures that require coordination with low-income programs, and its plan for ensuring compliance with this Section. The IOU shall review this information and either approve it or suggest reasonable changes. Implementer shall make any changes required by the CPUC Agreement Representative.
3.6 Prevention of Double-Dipping
Implementer shall implement the following mechanism to minimize double-dipping:
3.6.1. IOU shall provide Implementer with a list of IOU programs and third party programs in its service territories which offer services or incentives for the same measures offered by Implementer's program. The IOU shall give Implementer the list of its programs no later than the date it signs the contract.
3.6.2. Prior to providing incentives or services to an eligible customer ("Customer") for an energy efficiency measure(s), Implementer shall inform the Customer of other available programs, including the free IOU LIEE program, which offer incentives or services for the same measure(s).
3.6.3. Prior to providing incentives or services to Customer for an energy efficiency measure, Implementer shall obtain a signed form from Customer stating the following:
1) Customer has not received incentives or services for the same measure from another utility, state, or local program;
2) Customer agrees not to apply for or receive incentives or services for the same measure from another utility, state, or local program; and
3) Customer acknowledges that he or she has received information about other available program(s), including the free LIEE program, which offer incentives or services for the same measure(s) that the customer may be eligible for.
3.6.4 Implementer shall keep the Customer-signed forms for at least three years after the end of the contract term. In addition, Implementer shall submit the Customer-signed forms to the CPUC or IOU upon request.
3.7 Responding to and Tracking Customer Complaints
In its Implementation Report, Implementer shall submit a description of how it will address and track customer complaints. The IOU shall review this information and either review or suggest reasonable changes. Implementer shall incorporate all changes required by the CPUC Agreement Representative. At a minimum, Implementer's program materials shall contain a description of how a customer can complain first to the Implementer, then to the IOU, and finally to a contact person at the CPUC's Energy Division. Implementer shall track all customer complaints that it receives through the mechanism that it describes in the program materials, and shall report on all complaints in its Quarterly Reports. Implementer shall maintain a log of all customer complaints it receives, and shall retain that log for at least three years after the end of the contract term.
3.8 Customer Disclosure Obligations
Implementers shall prominently disclose to customers, orally and in writing, that customers are not obligated to purchase any full fee service or other service beyond that which is funded through the Public Goods Charge funds. The text of the disclosure must be in both English and Spanish.
All providers shall provide the text of their disclosure in English and Spanish in their Implementation Report. Implementers shall make any changes to the oral or written disclosure requested by the CPUC Agreement Representative.
3.9 Committing Funds
Implementer shall be required to "commit" all funds no later than December 31, 2003. Funds are considered "committed" if the program implementer has executed a written agreement and/or reserved funds for Authorized Work, including administrative costs, but has not yet made payment.
3.10 End Date For Program Activities
Unless this Agreement is terminated pursuant to Section 17 below, Implementer shall complete all program activities by no later than March 31, 2004, including final installations, evaluation, measurement and verification, and preparation for final reports.
3.11 Cost Reporting and Review
3.11.1 Actual Cost Reporting Requirements
Implementer's actual costs for the Authorized Work must be reported to the IOU Agreement Representative in each Quarterly Report. See Attachment B for the specific reporting requirements.
3.11.2 Cost Reasonableness
All costs, including subcontractor costs, shall be objectively reasonable, ordinary and necessary and shall be reported at actual cost with no mark-up, i.e. profit, administrative or other indirect costs. Using the Implementer's approved budget, the IOU Agreement Representative may review all reported costs. The IOU reserves the right to reduce costs, with the concurrence of the CPUC Agreement Representative if the costs are in excess of the same costs in Implementer's approved budget, and if there is a reasonable basis for the conclusion that the costs are excessive, unreasonable, not ordinary or necessary. Any reduced costs shall be used when calculating actual costs expended, below.
3.11.3 Cost Allocation Methodology.
Implementer shall respond to questions or requests from IOU or CPUC Agreement Representative on how it has calculated or allocated costs listed in Attachment B, and shall make any changes, consistent with the budget format and definitions approved by the CPUC, requested by the IOU with the concurrence of the CPUC Agreement Representative.
3.11.4 Subcontractor Costs/Activities
Implementer shall report amounts paid to each subcontractor during the applicable reporting period, plus total amount paid to all subcontractors during that period. Implementer shall report name of subcontractor plus brief description of services subcontractor provided during the applicable reporting period. Subcontractor costs shall be reported at cost with no mark-up (i.e. profit, or administrative or other indirect costs). Subcontractor costs shall be reported according to format contained in Attachment B.
3.11.5 Supporting Documentation
For each expense item over $500, supporting data and documentation shall be furnished with the invoice. Copies of detailed expense reports to support travel costs shall be attached to the invoice. Although travel receipts need not be attached, Implementer shall retain them for three years after the end of the contract. Each invoice shall be assembled such that attached supporting documentation shall be placed in the order listed in the invoice.
3.11.6 Quarterly Payments - Payments Compared to Costs
If (total payments received + payments claimed) minus total expenditures and commitments as defined in Section 3.9 as reported according to Attachment B exceed 15% of the total contract amount, then the IOU will not authorize any further payments until the IOU receives written permission from the ALJ to authorize payment. In the event that payment is withheld, the amount withheld shall be available in the future, provided that the Implementer meets the requirements for payments.
3.11.7 Final Payment - Total Payments Compared to Total Costs
For final payment, Implementer agrees that if its actual costs expended for the Authorized Work are less than the Total Authorized Amount stated in Section 6, excluding profit:
1. With the concurrence of the CPUC Agreement Representative and the IOU Agreement Representative, Implementer shall perform additional tasks not specified in Attachment A that are consistent with the purpose and nature of the Authorized Work described in Attachment A. For example, Implementers could install additional measures of the same type described in Attachment A. The additional tasks shall be described with specificity in writing, and shall be approved in writing by the Implementer, the CPUC Agreement Representative, and the IOU Agreement Representative or,
2. The IOU may, under the written direction of the ALJ, make reductions in Implementer's final payment.
3.12 Responding To Requests for Information
During the term of this Agreement, Parties shall respond to all requests for information from the other Party and/or the CPUC Agreement Representative in a timely fashion, but no later than five days after the date the information is requested, unless the Party asks for an extension of time and such extension of time is granted by the requesting party(ies). Parties are expected to request only such information that is relevant and necessary for the performance of obligations of this Agreement and to meet and confer in an effort to resolve disagreements about requests for information before seeking guidance from the CPUC Agreement Representative and/or the assigned ALJ.
1 The Implementation Report need only address applicable issues that were not adequately covered in the Program Implementation Plan.
