Item 2- RCA: Utility Market Research — original pdf

Backup

Posting Language ..Title Authorize a contract for customer satisfaction and benchmarking studies for residential and business utility customers for Austin Energy with J.D. Power, for an initial term of two years with up to three one-year extension options in an amount not to exceed $1,100,000. Funding: $320,000 is available in the Operating Budget of Austin Energy. Funding for the remaining contract term is contingent upon available funding in future budgets. ..Body Lead Department Austin Financial Services. Client Department(s) Austin Energy. Fiscal Note Funding in the amount of $320,000 is available in the Fiscal Year 2025-2026 Operating Budget of Austin Energy. Funding for the remaining contract term is contingent upon available funding in future budgets. Procurement Language: Sole Source. MBE/WBE: Sole source contracts are exempt from the City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program); therefore, no subcontracting goals were established. For More Information: Direct questions regarding this Recommendation for Council Action to Austin Financial Services - Central Procurement at FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500. Council Committee, Boards and Commission Action: January 12, 2026 - To be reviewed by the Electric Utility Commission. Additional Backup Information: This contract will provide continued customer satisfaction and annual benchmarking studies from 2025 through 2030 for both residential and business utility customers for Austin Energy. The studies include industry benchmarking surveys and utility market research which compile customer satisfaction data from a scoring index. J.D. Power retains exclusive ownership of its proprietary Customer Satisfaction Index model, along with all related surveys, reports, data, deliverables, platforms, and software developed through its utility benchmarking studies. Access to and use of the J.D. Power electric utility benchmarking studies and associated intellectual property require a formal licensing agreement. This proprietary model offers a comprehensive view of customer attitudes, behaviors, and preferences through six factors: Billing and Payments, Customer Service, Power and Reliability, Price, Corporate Citizenship, and Communication, enabling Austin Energy to strategically identify and implement initiatives that enhance customer satisfaction. Without this contract, Austin Energy would not have the ability to continue benchmarking and measure customer satisfaction through the six factors captured through J.D. Power’s surveys. Item 2Contract Details: Contract Term Initial Term Optional Extension 1 Optional Extension 2 Optional Extension 3 Total Length of Term 2 years 1 year 1 year 1 year 5 years Contract Authorization $440,000 $220,000 $220,000 $220,000 $1,100,000 Note: Contract Authorization amounts are based on the City’s estimated annual usage.