BY COUNCILOR STOVER:
RESOLVED, that the proper city officials are hereby authorized to enter into an amendment to City Contract No. 20128 with R.W. Beck for additional cost analysis services related to the gas utility, increasing the amount payable thereunder by $5,000 to $33,200, payable from the Gas Fund 520, Agency 500, Organization 1915, Object 5310, City Project Number 0565GS.
STATEMENT OF PURPOSE: This resolution is to authorize an amendment to an existing contract with R.W. Beck to analyze city data to develop a comprehensive cost-of-service study for the city’s gas utility for the purpose of either demonstrating the appropriateness of the city’s current rate schedule or justifying a rate restructuring for the gas utility.
When Beck originally proposed to perform the services they were unaware of the formats in which the city maintained its data and, consequently, it has taken them almost 80 person/hours of staff time to complete their analysis than anticipated. They have agreed to absorb about 1/2 of the additional time required; this amendment would compensate them for the remaining time needed to complete their work.