PENNSYLVANIA PUBLIC UTILITY COMMISSION
P.O. BOX 3265, HARRISBURG, PA17105-3265 / IN REPLY PLEASE REFER TO OUR FILE
December5, 2014
Dear Mr/Ms:
The Public Utility Commission is seeking a management consulting firm to conduct a stratified management and operations audit of the following company:
PPL Electric Utilities Corporation– Allentown, PA
As stated in the attached Request For Proposal (RFP), the stratified management and operations audit will consist of three phases. The first phase will be a diagnostic review assessing the condition of each functional area or business unit against evaluative criteria or expected business practice. While this review will be primarily limited to determining if appropriate management controls, systems and processes are in place, it should be of sufficient scope to identify significant problems, if any, requiring additional focused analysis. All recommendations should be quantified except where this is impossible. The second phase will be an in-depth analysis of those pre-identified areas or issues listed in Section IV2 of the RFP. These analyses will be of sufficient depth to provide specific recommendations for changes together with projected costs and potential dollar savings or other quantifiable benefits, if any. The third phase, if necessary, will be an in-depth, focused analysis of specific areas or issues approved by the Bureau of Audits resulting from the diagnostic review in the first phase. As with the analyses in the second phase, this focused analysis will be sufficient to make specific recommendations for change and will include projected costs and savings or other benefits resulting from the proposed changes.
Please note that Sections I-13, II-7, III-4, IV-7, and Appendix Hof the RFP contain language related to Disadvantaged Businesses and Small Businesses. The Commission is strongly encouraging participation of these businesses in the conduct of management audits, and the extent of this participation is to be explicitly considered in the proposal evaluation process. It should be noted that the Pennsylvania Bureau of Small Business Opportunities, will be evaluating and scoring the Disadvantaged Businesses portion of the proposals. Also attached for your information is a list of firms (see Appendix I) who wish to participate in the management audit program as subcontractors.
We ask that you submit ten copies of your technical proposal, four copies of your separately bound and sealed cost proposal, a Noncollusion Affidavit (see Appendix A), any separately bound and sealed Disadvantaged Businesses and Small Businesses in Enterprise Zones proposals, and examples of prior work. Please be advised that to be considered your proposal must to be in our hands by 3:00P.M. on Tuesday, February10, 2015, using the following addresses:
First Class Mail AddressOvernight Delivery Address
Pennsylvania Public Utility CommissionPennsylvania Public Utility Commission
Bureau of Audits Bureau of Audits
P.O. Box 3265 3rd Floor East, CommonwealthKeystoneBuilding
Harrisburg, PA 17105-3265400 North Street
Harrisburg, PA 17120
Additionally, an electronic format copy of your technical proposal is to be emailed to . Any proposals or amendments to the proposals received after the specified time will not be considered in the evaluation process. A blank copy of the Audit Contract (see Appendix C)and a Nondisclosure Agreement (see Appendix D), which the winning proposer will be required to sign is attached for your review.
The Commission has designated Nathan Paul of the Bureau of Audits as Issuing Officer for this RFP. If you have any questions, please feel free to contactNathanby email at . You should address all correspondence directly to the Issuing Officer.
A preproposal conferenceis scheduled for Thursday, January 8, 2015, at 1:00 P.M. between Commission staff, PPL officials, and all consulting firms who are interested in undertaking this project. This meeting will be held in Hearing Room 5 on the ground floor of the Commonwealth Keystone Building, 400 North Street, Harrisburg, PA 17120. A review of the RFP and an overview of PPL’soperations relevant to this project will be provided at that time. Any questions you may have about the management and operations of PPL Electric Utilities Corporation, the role of Commission staff, or any other matters raised or omitted in the RFP or Audit Contract should be submitted by email(with subject line “RFP-PUC-2014-3) to the Issuing Officer by January 5, 2015. The Issuing Officer shall post the answers to the questions received on the PUC website by Thursday, January 15, 2015. Proposers cannot contact or consult with PPLabout the proposed audit except at this meeting.
Attachment J provides website links toguide you to information related to PPL. These website links may assist in your proposal preparation by answering many of the questions you may have about PPL before the preproposal conference.
Very truly yours,
John Clista
John Clista
Audit Manager
Bureau of Audits
Attachments
cc:R. Gramola
N. Paul