REPORT TO COUNCIL
SUBJECT
Title
Action on an Agreement for Services with Milton Security Group, Inc. for Technology Support Including Network and Cyber Security, Advanced Metering Infrastructure (AMI) Implementation, OSISoft Plant Information (PI) system, and SharePoint [Council Pillar: Deliver and Enhance High Quality Efficient Services and Infrastructure]
Report
BACKGROUND
The City of Santa Clara’s Electric Department, Silicon Valley Power (SVP) operates a significant and diverse technology portfolio for critical infrastructure. This portfolio must be maintained 24 hours per day 7 days per week in compliance with North American Electric Reliability Corporation (NERC) Standards as well as industry best practices especially those associated with maintaining a secure and reliable network. SVP’s network includes secured and encrypted radio data transmissions and fiber interconnections, designed and built into a robust cybersecurity platform protecting the operations of the utility. In addition, SVP operates proprietary and integrated technology such as AMI, PI, and SharePoint.
To support this critical infrastructure in conformance with ongoing changes to technology and the information technology security landscape, SVP has used resources from Milton Security Group, Inc. (Milton) and, in 2015, 2016, and 2017, SVP issued sole source agreements to Milton.
DISCUSSION
While SVP has been satisfied with services provided by Milton, these services should be routinely bid in the marketplace. In the past these services had been procured through a city council resolution for temporary agency contracts, however moving forward an RFP for services is the most appropriate process, Staff anticipates that an RFP for these services will be issued no later than July 2020 and awarded before the end of the calendar year. The services currently provided include:
• Network and Security Operations Center: The vendor provides 24/7 monitoring and reporting of network issues and security threats for SVP’s three data centers including real-time alert and support for resolution of any identified issues.
• Support for AMI: This includes integration of the meter system to the customer service / billing solution as well as ongoing management and operations of the implemented solutions. AMI includes advanced meters and radio data transmission to fiber interconnections in a manner that is encrypted and secured as well as highly refined electric load information which requires a coordinated management of both hardware and software. SVP has been working over the last ten years to design and implement AMI which includes hardware, software, and infrastructure to obtain electric metering data from Service Delivery Points (SDP's), read over the air, and processed by head-end systems for usage billing.
• Support for OSISoft PI software: Plant Information (PI) is a real time data historian application which allows SVP to record, analyze and monitor real-time information such as power flows and pressure settings. SVP uses PI’s historian and asset framework for collection of all Generation, Command and Control (SCADA), and metering data used for load balance calculations and other predictive analysis. OSISoft is also used for trading operations, back office settlements, and North American Electric Reliability Corporation (NERC) required reporting.
• Support for SharePoint software: SVP uses SharePoint as a document repository and for utility operations collaboration specific to SVP.
The proposed term of this interim agreement is from July 1, 2020 - December 31, 2020 in an amount not to exceed $400,000 for the six-month period. Milton has agreed to maintain their hourly rates at the rates in place since the previous agreements were executed. An RFP for future work will be released by the end of July.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378 (b)(2) in that it is a continuing administrative activity.
FISCAL IMPACT
The proposed agreement is for a total not-to-exceed amount of $400,000. The Fiscal Year 2020/21 budget for the Electric Utility Fund includes funding for this agreement.
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov>.
RECOMMENDATION
Recommendation
Approve and authorize the City Manager to execute the Agreement for Services with Milton Security Group, Inc. in an amount not-to-exceed $400,000, for technology support including network and cyber-security, Advanced Metering Infrastructure (AMI) implementation, OSISoft Plant Information (PI) system, and SharePoint.
Staff
Reviewed by: Manuel Pineda, Chief Electric Utility Officer
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Agreement for Services