REPORT TO COUNCIL
SUBJECT
Title
Action on an Agreement for Services with Grid Subject Matter Experts, LLC to Provide Silicon Valley Power With Consulting and Support Services for North American Reliability Corporation Critical Infrastructure Protection Compliance
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure
BACKGROUND
As a transmission operator registered with the North American Reliability Corporation (NERC), Silicon Valley Power (SVP) is subject to numerous reliability regulations that apply to its operations and specifically to equipment that supports real-time monitoring and control. The real-time operations of SVP's electric transmission and distribution systems are made possible through the use of a Supervisory Control and Data Acquisition (SCADA) system. Using data points from SVP's service territory and the California Independent System Operator (CAISO) balancing authority, the SCADA system enables SVP system operators to assess the state of the power grid and make critical operating decisions to ensure reliable electric service to Santa Clara residents and businesses.
Given the critical importance of SCADA in modern control centers, NERC and the Federal Energy Regulatory Commission (FERC) mandate that transmission operators with SCADA systems comply with specific cybersecurity requirements, known as Critical Infrastructure Protection (CIP) standards. Non-compliance with these standards could result in fines as high as $1 million per day. To ensure compliance, SVP contracted with Grid Subject Matter Experts, LLC (GridSME) in 2018 to assist in the development of a NERC CIP Compliance Program. The agreement is set to expire on December 31, 2024.
DISCUSSION
Pursuant to Section 2.105.140(c) of the Santa Clara City Code, a formal Request for Proposals (RFP) was conducted, with the award recommendation based on "best value."
The RFP for Consulting and Support Services for NERC Critical Infrastructure Co...
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