REPORT TO THE CITY COUNCIL
FROM: BROCK D. BUCHE, PE, PLS, Director
Department of Public Utilities
BY: PAUL AMICO, PE, Assistant Director
Department of Public Utilities - Administration
SUBJECT
Title
Approve a three-year Consultant Services Agreement with Southwest Strategies Group for stakeholder engagement and public education support services for the Department of Public Utilities in the not to exceed amount of $1,338,000.00. (Citywide)
Body
RECOMMENDATION
Staff recommends that City Council approve a Consultant Services Agreement (Agreement) with Southwest Strategies Group, a Delaware corporation (Southwest Strategies), in the not to exceed amount of $1,338,000.00, for stakeholder engagement and public education support services for a term of three years with an option for two, one-year extensions; and authorize the Director of Public Utilities, or designee, to sign the Agreement on behalf of the City of Fresno (City).
EXECUTIVE SUMMARY
The Department of Public Utilities (DPU) provides high quality utility services professionally, efficiently and in an environmentally responsible manner to ensure the health and safety of our community. Stakeholder engagement and public education are essential for communicating and demonstrating the value of utility services and building and maintaining the trust and support of customers. DPU uses a programmatic approach of engagement and education that addresses the unique cultural, linguistic, and socioeconomic diversity of Fresno to maximize the efficiency and impact of its different customer education and outreach efforts.
Southwest Strategies scope of work includes development of a five-year engagement and education strategy and plan, and implementation support services that include advising on DPU’s annual Stakeholder Engagement and Public Education Program (Program) budget, conducting specific engagement and education campaigns for each of DPU’s operating divisions, producing collateral materials, supporting DPU’s social media presence, and conducting a market assessment of DPU’s reach in the community. Southwest Strategies engagement and education experts’ extensive experience with the unique needs of the municipal public utilities sector will enable DPU to effectively and efficiently build on past engagement and education efforts and expand the program’s future effectiveness in the future.
BACKGROUND
Stakeholder engagement and public education services have been provided by outside consultants to DPU since 1993. DPU recently completed a five-year contract for engagement and education services that included campaigns that supported DPU’s water conservation and solid waste recycling programs, creation of social media content and bill inserts, development of the annual water quality report, and outreach and education for Solid Waste Management Division’s rate update process. DPU relies on outside consultants for these services because the specific knowledge and skills for engagement and education are not possessed by DPU. The need for stakeholder engagement and public education is constant, and DPU needs to continue to work with outside consultants to expand and enhance these efforts.
The selected consultant, Southwest Strategies, will develop a strategy and plan for DPU’s Program for the next five years. The scope of work includes developing a Strategic Communications Plan and Program Roadmap (Roadmap), advising on the five-year Program budget, and providing the professional services that will be used to implement the engagement and education activities identified in the Roadmap. The strategy and plan will be supported by market research and polling conducted by Southwest Strategies.
Key goals of the Program include informing customers about the following:
1. The services DPU provides and the value customers receive.
2. The importance of utility rate adjustments.
3. Schedule and program changes.
4. Service requirements, local regulations and requirements, and resources and programs available.
5. Environmental issues and the role customers play in preventing and/or resolving them.
6. Environmental and resource protection.
7. How utility issues affect our community and economy.
8. Statutory and regulatory mandates, and other regulatory-required communication.
9. Resource management plans and programs, including water conservation, recycled water, solid waste recycling, etc.
10. The importance of asset management.
11. Other Department and Division issues.
Southwest Strategies will provide expert opinions and management consulting services on the most effective means and methods for conducting specific engagement and education campaigns for each of DPU’s operating divisions. They will develop themes and content for routine customer communications and graphic design services for collateral materials, social media content, and other media. They could also provide videography, photography, design, animation, copy writing, voiceover, and on-air talent for social media and mainstream media messaging as recommended in the Roadmap. Program materials will be translated into Spanish, Hmong, Punjabi, and/or other languages as needed.
In accordance with Fresno Municipal Code Chapter 4, Article 1 and Administrative Order 6-19, the Department of Public Utilities conducted a Request for Qualifications (RFQ) process to select a consultant to provide the requisite professional services. The RFQ was published in the Business Journal and posted on the City’s Planet Bids website on August 29, 2024. Four Statements of Qualifications (SOQs) were received by the submission deadline of September 26, 2024. A selection committee, consisting of representatives from the Departments of Public Utilities and Public Works, and the Communications Department evaluated the SOQs and, upon review of the qualifications and the proposed fees, selected Southwest Strategies. Staff recommends approving a Consultant Services Agreement to Southwest Strategies for a total amount not to exceed $1,338,000.00 and for a term of three years. The option for two, one-year extensions will require additional fee negotiation should the City wish to extend the contract into the fourth or fifth year. Funding for this Project is included in the Fiscal Year 2025 operating budgets within the Administration, Water, Solid Waste Management, and Wastewater Management Enterprise Funds.
The City Attorney’s Office has reviewed the agreement and approved as to form. Upon approval by the City Council, the consultant service agreement will be executed by the Director of Public Utilities, or designee.
ENVIRONMENTAL FINDINGS
By definition of the California Environmental Quality Act (CEQA) Guidelines Section 15378, the approval of this agreement is not a “project” for the purposes of CEQA.
LOCAL PREFERENCE
Local Preference was not implemented because to the best knowledge of the City less than three local firms could provide the specific consulting service within the area of expertise for the subject matter.
FISCAL IMPACT
There is no impact to the General Fund. Funding for this agreement is included in DPU’s Fiscal Year 2025 Administration, Water, Solid Waste Management, and Wastewater Management Enterprise Funds. Future funding will be budgeted in the various Enterprise Funds as recommended in the Roadmap in alignment with the five-year budget and DPU’s financial plan.
Attachment: Consultant Services Agreement