TITLE
Recommendation to authorize City Manager to execute an agreement with Veriforce, LLC, for compliance management services to meet U.S. Department of Transportation Pipeline Operator Qualification Program requirements in an annual amount of $22,475. (Citywide)
DISCUSSION
City Council approval is requested to enter into an agreement with Veriforce, LLC (Veriforce), for furnishing compliance management services relating to U.S. Department of Transportation (DOT) regulations regarding natural gas pipeline operator qualifications. Since 1998, DOT regulations require that pipeline operators train and qualify their personnel and ensure the training and qualification of contractor personnel in order to perform maintenance, operation, construction and integrity-related tasks involving DOT regulated pipelines. Long Beach Gas and Oil (LBGO) has met these obligations utilizing its own staff resources to perform the training and qualification testing.
More recently, in response to pipeline incidents in other parts of the country, the DOT has revised the personnel qualification inspection requirements to focus more heavily on the methods of qualification, the evaluation processes and comprehensive documentation, to the extent that LBGO can no longer perform these tasks adequately with existing staff. Veriforce is a nationally recognized leader in modern computer-based standard pipeline task training, qualifying task evaluators and comprehensive computer-based documentation that meets DOT requirements. In addition, having access to the Veriforce system will allow LBGO to monitor the operator qualification records of LBGO contractors, in accordance with DOT requirements.
Three providers of operator qualification compliance management services submitted proposals. Veriforce was the proposer best able to meet the City's needs, based on overall cost, curriculum offerings, LBGO process integration, and verification of references. Veriforce has extensive experience in working with gas utilities and contractors nationwide.
This matter was reviewed by Deputy City Attorney Richard Anthony on March 17, 2015, and by Budget Management Officer Victoria Bell on March 18, 2015.
TIMING CONSIDERATIONS
City Council action is requested on April 21, 2015 to ensure an agreement is in place expeditiously.
FISCAL IMPACT
The cost of the contract is fixed at $22,475 per year. The contract will provide for continuous service and will remain in effect until cancelled by either the City or Veriforce. For FY 2015, the amount of $22,475 is budgeted in the Gas Fund (EF 301) and in the Department of Long Beach Gas and Oil (GO) to support this activity. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
CHRISTOPHER J. GARNER
DIRECTOR OF LONG BEACH GAS AND OIL
APPROVED:
PATRICK H. WEST
CITY MANAGER