° Community Development
City of Nashua Planning and Zoning
: soe Building Safety
Community Development Division Code Enforcement
City Hall, 229 Main Street, PO Box 2019 Urban Programs
. Conservation Commission
Nashua, New Hampshire 03061-2019 Transportation
www.nashuanh.gov FAX
589-3095
589-3090
589-3080
589-3100
589-3085
589-3105
880-0100
589-3119
Date: November 2™, 2016
To: John Griffin, CFO; Sarah Marchant, Community Development Director, Daniel Kooken,
Purchasing Manager
From: Madeleine Mineau, Waterways Manager
Re: Contract for Operation and Maintenance of Hydroelectric Projects
The City of Nashua has owned the Jackson Mills hydroelectric facility since December 2014 and
is in the process of terminating the lease with Eagle Creek Renewable Energy and acquiring the
Mine Falls hydroelectric facility, as authorized by R-15-188. We anticipate a closing date by
spring 2017 for the Mine Falls project.
An economic analysis conducted by the H.L. Turner group concluded that ownership of the
hydroelectric facilities with operation and maintenance services contracted out was the most
financially advantageous option for the City.
In February 2016, we issued RFP0266-033016 for operation and maintenance services for both
hydroelectric facilities. We opted to solicit proposals rather than bids due to the highly
specialized nature of the services requested, expertise and experience should be considered in
addition to cost. We received 6 proposals as follows :
Name of Firm Location of Firm | Proposed cost structure (labor and
admin. fee only)
Northbrook Power Management | Scottsdale, AZ Labor $43/h and Admin. Fee annual
$90,000 + 5% revenue
Gravity Renewables Boulder, CO with j Labor $20-100/h and Admin fee 10%
local staff revenue
Essex Power Services Inc Boscawen, NH Labor $30 — 150/h and Admin fee 10% for
and Boston, MA revenue generated by first 20,000,000kWh
and 20% for generation revenue over that
with $90,000 annual minimum
Swift River Hydro Operations Palmer, MA $306,000 annual flat fee
Company
Eagle Creek Renewable Energy | Morristown, NJ Labor $45 — 120/h and Admin fee 10% of
revenue with $100,000 annual minimum
Olson Electric Methuen, MA Labor $40 — 80/h and Admin fee 5% of
revenue
These proposals were evaluated and ranked by a team consisting of: Sarah Marchant, CDD
Director; Janet Graziano, Senior Finance Manager; Celia Leonard, Associate Corporation
Counsel; and Madeleine Mineau, Waterways Manager. The criteria for evaluation of each
proposal were: 1. Technical qualification, 2. Experience and Past Performance, 3. Understanding
