HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/17/2010 - RESOLUTION 2010-049 AUTHORIZING THE EXECUTION OF A DATE: August 17, 2010 AGENDA ITEM SUMMARY
STAFF: Patty Bigner _
T COLLINS CITY COUNCIL
Brian Janonis
Resolution 2010-049 Authorizing the Execution of a Second Amendment Further Extending the Term of an
Intergovernmental Agreement Between the City of Fort Collins,the City of Longmont,and Platte River Power Authority
Relating to the Operation of a Joint Customer Information System.
EXECUTIVE SUMMARY
In January 1998, the cities of Longmont and Fort Collins entered into a 10-year intergovernmental agreement with
Platte River Power Authority to purchase and operate a joint customer information system (for customer account
management and billing) on behalf of the two cities. On August 26, 2008, the term of the agreement was extended
for two years.
As of December 31, 2010, Fort Collins Utilities will be subject to the Red Flags Rules, the implementing regulations
of the Fair and Accurate Credit Transactions Act (FACT) Act. The Red Flag Rules require utilities with covered
accounts to take steps to detect, prevent and mitigate identity theft.This Resolution extends the agreementwith Platte
River and the City of Longmont for one additional year to resolve issues related to compliance with this law.
BACKGROUND / DISCUSSION
In 1998, Platte River Power Authority, Fort Collins and Longmont purchased a joint customer information system, to
be operated on behalf of the two cities by Platte River. Platte River entered into agreements with a vendor for the
purchase of the system and an annual technical support program. Platte River also purchased system hardware and
operating software and hired technical staff to operate and maintain the customer information system at its facility.
Per the intergovernmental agreement, Fort Collins and Longmont reimburse Platte River for all costs associated with
the purchase and operation of the system.
To comply with the Red Flags Rules, Fort Collins Utilities has and will continue to develop policies and procedures
designed to detect,prevent and mitigate identity theft and has elected to require Platte Riverto implement specific data
security and other measures to protect Fort Collins customer data and accounts. The parties require additional time
to further develop these specific measures.
FINANCIAL/ ECONOMIC IMPACTS
Annual operation and maintenance of the joint customer information system for 2010 is estimated to be $430,000.
These expenses are paid by Utility funds.
STAFF RECOMMENDATION
Staff recommends adoption of the Resolution.
BOARD / COMMISSION RECOMMENDATION
Staff presented the need for the extension of the agreement at the Water Board meeting on July 15, 2010, and the
Electric Board meeting on August 4, 2010. The Water and Electric Board voted to recommend that Council approve
an amendment to the CIS Agreement with Platte River and Longmont extending the term of the agreement to August
26, 2011.
August 17 2010 -2- ITEM 12
BOARD / COMMISSION RECOMMENDATION
1. Water Board minutes, July 15, 2010
2. Electric Board minutes, August 4, 2010
ATTACHMENT
Excerpt from Unapproved Water Board Minutes, July 15, 2010 J?AF
Platte River Power Authority Intergovernmental Agreement Extension
Utilities Customer Support Manager Lori Clements-Grote requested a Board
recommendation related to an extension of the term of an Intergovernmental Agreement
(IGA) between the Cities of Fort Collins and Longmont, and Platte River Power
Authority (Platte River). The IGA governs the operation of a joint Customer Information
System (CIS) by Platte River for the two cities. The system is used for billing and usage
tracking. An extension of one year is requested to resolve items related to the Utilities
Privacy Policy and the Red Flag Rules of the Fair and Accurate Credit Transactions
(FACT) Act. Ms. Clements-Grote also serves as the Privacy Officer for Utilities.
Utilities will soon be under the new federal regulations to detect, prevent, and mitigate
identity theft. An extension of one year allows the City of Fort Collins additional time to
talk with the other parties on data protection through its various stages in the process.
The two year agreement expires in August; a one year extension is being sought.
Motion: Board Member Connor moves the Water Board recommends to the
City Council that the Council approve by resolution an amendment to the CIS
Agreement with Platte River and Longmont extending the term of the current
agreement twelve months beyond the current expiration date. Board Member
Gessler seconded the motion.
Vote on the motion: It passed unanimously.
ATTACHMENT 2
Excerpt from Unapproved Electric Board Minutes, August 4, 2010
CrIn
Dma"AFT
Platte River Intergovernmental Agreement Extension
Utilities Customer and Employee Relations Manager Patty Bigner requested a Board
recommendation related to an extension of the term of an Intergovernmental Agreement
(IGA) between the Cities of Fort Collins and Longmont, and Platte River Power
Authority (Platte River). The IGA governs the operation of a joint Customer Information
System (CIS) by Platte River for the two cities. An extension of one year is requested to
resolve items related to the Utilities Privacy Policy and the Red Flag Rules of the Fair
and Accurate Credit Transactions (FACT) Act. Lori Clements-Grote is the Privacy
Officer for Utilities.
Board Members Barnish and Harris abstained from voting on this item since both are
employed by Platte River.
Ms. Clements-Grote noted that Fort Collins Utilities first learned of the FACT Act rules a
year and a half ago. Implementation deadlines have been modified by the federal
government multiple times as utilities across the country come to terms with how to
address and implement the requirements. Utilities are especially impacted because utility
bills may be used to establish identity. Fort Collins Utilities has actively worked to
establish procedures to support implementation of the requirements on behalf of our
customers, including the formation of a Privacy Committee.
Board Member Bihn has heard of interest in the community in the ability to benchmark
rental properties for energy efficiency, yet it's not currently possible to link usage data to
a particular customer or premise. This information may be of particular interest to
parents shopping for housing options for their university students. It would be good to
explore how to make energy efficiency investments marketable for our customers.
Motion: Board Member Bihn moved the Electric Board recommends to City
Council that the Council approve by resolution an amendment to the CIS
Agreement with Platte River and Longmont extending the term of the current
agreement to August 26, 2011. Vice Chairperson Yurash seconded the motion.
Vote on the motion: It passed unanimously.
RESOLUTION 2010-049
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE EXECUTION OF A SECOND AMENDMENT FURTHER
EXTENDING THE TERM OF AN INTERGOVERNMENTAL AGREEMENT
BETWEEN THE CITY OF FORT COLLINS, THE CITY OF LONGMONT,
AND PLATTE RIVER POWER AUTHORITY RELATING TO THE OPERATION
OF A JOINT CUSTOMER INFORMATION SYSTEM
WHEREAS, on August 26, 1988,the City of Fort Collins,the City of Longmont, and Platte
River Power Authority ("Platte River") entered into an intergovernmental agreement (the
"Agreement") for the purpose of acquiring and operating a joint customer information system at
Platte River facilities; and
WHEREAS, the Agreement initially had a ten-year term that was scheduled to expire on
August 26, 2008; and
WHEREAS, in August 2008, the parties amended the Agreement to extend its term for an
additional two year period; and
WHEREAS,the parties are in the process of negotiating further substantive amendments and
wish to amend the Agreement to further extend its term for an additional one year period; and
WHEREAS,in order to set forth the provisions of the amendment allowing for an additional
two-year term, the parties propose entering into a "Second Amendment to Customer Information
System Intergovernmental Agreement Between the City of Fort Collins,the City of Longmont, and
Platte River Power Authority,"as shown on Exhibit"A"attached hereto and incorporated herein by
this reference (the "Second Amendment').
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that the Mayor is hereby authorized to enter into the Second Amendment on terms and
conditions consistent with the terms of this Resolution, along with such additional terms and
conditions as the Mayor, in consultation with the City Attorney, deems necessary and appropriate
to protect the interests of the City.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 17th
day of August A.D. 2010.
Mayor
ATTEST:
City Clerk
EXHIBIT A
Second Amendment to Customer Information System Intergovernmental Agreement
Between the City of Fort Collins,the City of Longmont, and
Platte River Power Authority
THIS AMENDMENT ("Amendment') is made and entered into this day of
2010, by and between the City of Fort Collins, Colorado, a home rule
municipality ("Fort Collins"), the City of Longmont, Colorado, a home rule municipality
("Longmont"), and Platte River Power Authority, a public corporation and political subdivision
of the State of Colorado ("Platte River").
WHEREAS, the parties hereto entered into a Customer Information System
Intergovernmental Agreement dated August 26,1998 (the"Agreement');and
WHEREAS, the Agreement had a ten (10) year term which was set to expire on
August 26, 2008; and
WHEREAS, the parties amended the Agreement to extend its term for an additional two
(2) year period during which time further amendments have been considered by the parties;
and
WHEREAS, the parties wish to amend the Agreement to extend its term for an
additional one (1) year during which time the parties intend to finalize further amendments.
NOW, THEREFORE, in consideration of the mutual covenants and agreements
contained herein, the parties agree as follows:
(1) The Term paragraph on page one (1) of the Agreement is amended to read as
follows:
Term
The term of this Agreement shall be from August 26, 1998 through
August 26, 2011.
(2) Except as modified herein, all terms and conditions of the Agreement shall
remain in full force and effect according to the provisions thereof.
Customer Information System IGA Second Amendment
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IN WITNESS WHEREOF, the parties have executed this Amendment as of the date first
above written.
CITY OF FORT COLLINS ATTEST:
By: By:
Mayor Date City Clerk
APPROVED AS TO FORM:
By:
Assistant City Attorney
CITY OF LONGMONT ATTEST:
By: By:
Mayor Date City Clerk
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
By: By:
Assistant City Attorney Finance Director
By:
Proofread Date
PLATTE RIVER POWER AUTHORITY APPROVED AS TO FORM:
By: By:
General Manager Associate General Counsel
Customer Information System IGA Second Amendment
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