Page 2 of 16 HAYWARD UNIFIED SCHOOL DIST. Consultant or Service Validation Form: The Scope of Work 1. Describe the service to be provided: TRiGroup, I

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1 Page 1 of 16 HAYWARD UNIFIED SCHOOL DISTRICT CONTRACT ABSTRACT FOR BOARD AGENDA ITEMS Date: April 5, 2017 Name of Vendor: TRiGroup, Inc. Cost: No fee engagement unless savings are generated. A portion of the savings will pay for the services. Purpose: Develop a strategic Cost Avoidance and Reclamation Program that will result in additional available revenue to the District s General Fund by optimizing cost efficiency from its current ongoing operating costs. (Includes a review and analysis of all existing facility leases). Funding Source: General Fund Evaluation Criteria: Industry Experience Term: May 1, 2017 April 30, 2020 Training and Maintenance / Warranty: N/A Contacts: TRiGroup, Inc Ames Avenue, Suite 106 Milpitas, CA

2 Page 2 of 16 HAYWARD UNIFIED SCHOOL DIST. Consultant or Service Validation Form: The Scope of Work 1. Describe the service to be provided: TRiGroup, Inc. will conduct a forensic analysis of the District's operating costs and develop a Cost Avoidance and Reclamation Program (CARP) that will result in additional availabe revenue to the District s General Fund by optimizing efficiency and cost without degradation of services. 2. Who is benefitting from the service? Specifically, who will be served (number of students, grade, etc.)? Students in the District will directly benefit as more resources will be made available when additional funds are infused to the General Fund budget. 3. What are the expected outcomes? What will students/teachers be able to do after they receive the service? There will be improved efficiency in the delivery of certain services at the school sites. 4. How is it measurable? What tools/data will be used to measure student success? This engagement will be measurable by the amount of cost avoidance and cost reclamation achieved through the CARP services. Actual savings can be used to support student needs. 5. What impact should we expect? What is the short term/long term impact on those served? The District will benefit directly from this engagement as any savings achieved will directly go to the General Fund where it can be used to support student services and programs. 6. Why did you choose this contractor? If more than one school, why were these schools chosen? TRiGroup, Inc. provides a unique and specialized service in this area. Along with looking at the routine operational costs of the District, they will also review the District's Facility Use Program, Facility Leases, Cellular Phone Tower leases, as well as all areas that could generate cost savings to the District. The team that will be dedicated to this project represents decades of hands-on experience in conducting forensic analysis. con-val 1.3 /

3 HAYWARD UNIFIED SCHOOL DIST. Consultant or Service Validation Form EXHIBIT I.5.d. Page 3 of 16 Site Location: Business Services Date: 4/5/2017 Title: Chief Financial Officer Brief Description of Need: (please reference i.e. Ed Code, District Goals, CDE compliance or SPSA) With the continued downward pressure from diminishing fiscal resources and upward pressure from increasing operating cost per ADA, HUSD has a strong interest in: seeking effective means of decreasing operating costs per ADA without adverse impact on performance in order to generate savings to the general fund and reviewing current agreements with outside parties relative to facilities use and leases (including cell tower leases) to determine whether financial commitments to districts are met or adjustments are necessary. Student/Staff/Site Council Mtg Conducted: YES NO N/A SSC Approval Date: X Proposals Solicited: YES NO Resume Provided: YES NO Briefly describe justification for consultant or service provider selected: HUSD is looking to institute an effective plan that can substantially cut the cost of public and private providers of core services. TRiGroup, Inc. will develop a strategic Cost Avoidance and Reclamation Program that will result in additional available revenue to the District s General Fund by optimizing cost efficiency from its current ongoing operating costs. Criteria/Metric for Contractor Evaluation: 1. Price 2. Industry Experience/Reputation 3. Customer Service Indicate Funding Code: Estimated cost $ 45% of savings found Other Consultants or Service Providers Contacted - Name Description of services offered Cost Action: Approved Modified Approval Disapproved Deferred Approval Follow-up Required Suspense Date: con-val 1.3 /

4 Page 4 of 16 March 7, 2017 Dr. Matt Wayne Superintendent Hayward Unified School District Amador Street Hayward, CA RE: Proposal - Cost Avoidance and Reclamation Program Services Dear Dr. Wayne, Please find attached our firm s proposal for Cost Avoidance and Reclamation Program (CARP) services to Hayward Unified School District. Our firm will conduct a forensic analysis of the District's operating costs and identify areas where cost avoidance and cost reduction will result in additional funds being made available to the general fund. In addition to reviewing ongoing operating costs, our firm's approach to this engagement is unique since we also look at facility use and building leases as well all other areas where potential savings can occur. This is a risk-free endeavor for the District as there is no fee for our services unless we identify actual savings. Any fees generated will come out and deducted from the savings achieved. TRiGroup, Inc. appreciates the opportunity to submit this proposal and we look forward to the opportunity to work with your school district on this project. Sincerely, June Francis Roño, Ph.D. President/CEO Corporate Address: 1250 Ames Avenue, Suite 106. Milpitas, CA Telephone: Asia/Pacific: 3F/A, Bldg. 2, Scandia Suites, South Forbes Golf City, Metro Sta. Rosa, Laguna, Philippines

5 Proposal to the Hayward Unified School District For Services: Cost Avoidance and Reclamation Program (CARP) EXHIBIT I.5.d. Page 5 of Purpose: Develop a strategic Cost Avoidance and Reclamation Program that will result in additional revenue to the District s general fund by optimizing cost efficiency from its current ongoing operating costs. 2.0 Background: The foreseeable outlook for California school districts include continued downward pressure from diminishing fiscal resources and upward pressure from increasing operating cost per ADA. The Hayward Unified School District has a strong interest in: Seeking effective means of decreasing operating costs per ADA without adverse impact on performance, Exploiting every possible means of decreasing the cost of facilities operations and generate savings to the general fund. Reviewing current agreements with outside parties relative to facilities use and leases and determine whether financial commitments to districts are met or adjustments are necessary. School Districts throughout the country have instituted effective plans that have substantially cut the cost of public and private providers of core services. Approaches have ranged from primarily behavioral conservation programs (that are low or no cost and have modest impact) to more intensive programs that reengineer utility demand, production, and management. Through direct experience, TRiGroup has found that the following areas have been proven to merit consideration: Energy usage electrical, gas, and alternative energy Water usage Storm and sewer volumes Waste refuse, reclamation & reuse (including water), and recycling Telephone services Service and materials contracts Facilities use and lease contracts Returns to general funds from plans focused in these areas have varied in relation to the unique characteristics of the District and the resources committed to the effort. Documented returns to general funds range from a few percent to as much as 50% of total costs.

6 Page 6 of 16 Proposal for Services: Cost Avoidance and Reclamation Program page Proposed Scope: It is proposed that the Hayward Unified School District authorize TRiGroup, Inc. to conduct a Forensic Analysis of the ongoing operating costs of the district and develop a Cost Avoidance and Reclamation Program that will result in additional funding to the district s general fund from Energy, Water, Waste systems, facilities use and leases, and other services and contracts. 4.0 Work Plan: The project team will combine rapid paced data collection, site assessments, and discussion with District leadership as drivers of this effort: The following is a summary of the work plan for the proposed project: 1. Consultant shall confer with the Superintendent or designee to discuss process and procedure for this engagement. 2. Consultant shall minimize impact to District personnel in gathering materials, records, documentation, historical data, and other necessary information relative to current utilities. Consultant shall seek to request these records from the utility companies and all other vendors deemed part of this analysis. These records shall include but not limited to current and previous copies of all invoices and correspondences from the district s electricity, water, sewage, garbage/refuse, recycling, and telephone providers or vendors, and any other utility vendors deemed appropriate by consultant. This will also include copies of current facility and building leases. 3. As necessary, Consultant shall draft, prepare, and finalize, for district s review and signature, a Letter of Authorization granting Consultant authorization to conduct inquiry, correspondence, and all other duties relative to being able to act on district behalf including but not limited to requesting records and information regarding district accounts with utility vendors/ and other service providers. The authorization shall only cover specific areas within the parameters of this engagement. 4. Consultant shall study, review, and analyze all data and information from documents provided by district or district vendors. Consultant shall prepare any necessary applications and supporting documents necessary for governmental purposes or permits, or any other documents required by utility vendors or service providers. Any application, service, or governmental fees, will be the responsibility of the District. 5. Consultant shall develop strategies, action plans, and appropriate negotiating leverage for district to achieve Cost Avoidance and Reclamation. Upon

7 Page 7 of 16 Proposal for Services: Cost Avoidance and Reclamation Program page 3 district approval, such strategies and implementation tasks shall include but not limited to restructuring current contracts and services, reassignment of accounts, transferring of services to other qualified providers, renegotiating agreements, and other action plans necessary to achieve cost avoidance and reduction. These efforts shall result in quantifiable reduced expenditures to the district, thereby allowing and returning to the district's general fund budget additional funds without affecting the overall quality of district services. 6. Upon District approval, Consultant shall take the lead and be responsible for all negotiations with the appropriate district vendors/providers. District shall sign all documents necessary to implement such strategies and action plans. 7. Consultant shall provide to district all data indicating cost saving strategies through cost avoidance and reclamation. District shall agree to maintain such strategies and action plans to preserve the gains and funds generated by consultant s strategies and action plans. 8. Consultant shall, in no way, be responsible for any acts or omissions by district that will lead to reduction or elimination of cost savings or fund reclamation. 9. Consultant shall communicate regularly with the Superintendent or designee throughout the course of the agreement. Consultant will periodically conduct site visits, with advance coordination with District personnel, to monitor the cost avoidance and reclamation program plans. 10. During the course of this agreement, Consultant shall be available to act as a resource and provide information to district regarding this engagement as the district finds necessary. Such meetings will be scheduled every quarter when needed. 5.0 Project Term: It is proposed that this engagement commence at the earliest possible time and that the initial savings matrix be submitted within 90 to 180 days. The project schedule will be verified upon approval of this proposal. 6.0 Project Team: Founded in 1987, TRiGroup is a global consulting group with industry leading expertise in education, governmental, non-profit, and business service practice areas. The team that will be dedicated to this project represents decades of hands-on experience solving complex challenges with facilities

8 Page 8 of 16 Proposal for Services: Cost Avoidance and Reclamation Program page 4 planning & management, fiscal issues, and sustainable practices in the educational sector. The TRiGroup proposed team for this project will be as follows: June Francis Roño, Ph.D. Scott Hansen John Lawrence Michelle Villanueva Dennis Uram 7.0 Proposed Fee: There is no fee payable to TRiGroup, Inc. if no cost savings are identified. If as a result of our efforts, savings are identified through our strategies and action plans, the fees will come out of the savings generated for the school district as follows: 1. District shall pay Consultant for Services under this agreement a compensation amount equal to Forty-Five percent (45%) of the total cost of savings derived from Consultant s strategies and action plans through the Cost Avoidance and Reclamation Program. This fee shall be payable to Consultant on a monthly basis for a period of Thirty Six (36) months, beginning after the first billing cycle demonstrating actual savings to Hayward Unified School District. After this period, one hundred percent (100%) of all cost savings shall belong to the district. 2. It is agreed that should District decide to abandon, change, or not follow the strategies or action plans implemented by Consultant, and where the district s decision results in the reduction or elimination of the established cost avoidance and savings, it shall not relieve District of any and all future payments and shall continue to pay for all invoices submitted by Consultant until such payment period ends or at the end of this contract period. District however can choose to make a lump sum payment to Consultant for all fees due in advance. 3. Consultant shall provide and District shall sign off on a COST AVOIDANCE AND RECLAMATION SAVINGS MATRIX document indicating the amount of cost avoidance and savings. The savings matrix effectively becomes a part of this agreement and will be the basis of the compensation paid to Consultant as described in paragraph above.

9 Page 9 of 16 Proposal for Services: Cost Avoidance and Reclamation Program page 5 TRiGroup shall be submitting a revised savings matrix as more areas of savings are identified and implemented throughout this engagement. Compensation shall be based on the latest savings matrix submitted to the District. Payment shall start after thirty (30) days of the District realizing actual savings as indicated in the Cost Avoidance and Reclamation Savings Matrix. 4. It is agreed that District shall only be liable for payment to Consultant, if and only when there are cost savings realized by the district as indicated in the COST AVOIDANCE AND RECLAMATION SAVINGS MATRIX. All costs necessary to be paid to utility service providers or vendors shall remain the responsibility of the district. 5. Should there be additional scope added to this engagement outside of the services described in this agreement, Consultant shall request, in writing, for additional compensation as necessary. 7.0 Reimbursable Costs: Eligible reimbursable costs will be limited to travel expenses to any area outside of a 25 mile radius of the Hayward Unified School District headquarters undertaken at the express written request of the District. 8.0 Acknowledgement & Acceptance: The undersigned, acting as a duly authorized representatives of TRiGroup, Inc. and of the Hayward Unified School District, hereby acknowledge this professional services proposal, understand and agree with the scope and approach as outlined, and accept the fee proposal as outlined in section 7.0 above. Proposed herewith by its corporate officer: March 7, 2017 June Francis A. Roño, Ph.D. Date President/CEO TRiGroup, Inc. Acknowledged & Accepted herewith by its authorized representative: Hayward Unified School District Date

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