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Anaheim, CA 92805
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CITY COUNCIL AGENDA REPORT
City of Anaheim
PUBLIC UTILITIES DEPARTMENT
DATE: OCTOBER 28, 2025
FROM: PUBLIC UTILITIES DEPARTMENT
SUBJECT: AGREEMENT WITH HENKELS & MCCOY WEST, LLC FOR
INSPECTION SERVICES OF UNDERGROUND AND SURFACE-
MOUNTED ELECTRIC AND FIBER OPTIC SYSTEMS
ATTACHMENT (Y/N): YES ITEM # 16
GOVERNMENT CODE § 84308 APPLIES: NO
RECOMMENDATION:
That the City Council, by Motion:
1. Approve a professional services agreement with Henkels & McCoy West, LLC (Contractor License No. 1100318, Classifications A, C-61/D31, and C10) for inspection services of underground and surface-mounted electric and fiber optic systems (Agreement), with a two-year term with an option to extend up to one additional year, at a not-to-exceed cost of $4,988,294, plus a 10% contingency for as-needed extra services;
2. Authorize and direct the Public Utilities General Manager or designee, on behalf of the City of Anaheim (Anaheim), to execute the Agreement and any related documents, including any cost-neutral amendments of the Agreement and any documents contemplated by the Agreement, and to take such necessary or advisable actions to implement, fund, and administer the Agreement; and
3. Determine that the inspection services of underground and surface-mounted electric and fiber optic systems and any related activities associated therewith (Services) are exempt from the California Environmental Quality Act (CEQA) pursuant to section 15301(b) of Title 14 of the California Code of Regulations.
DISCUSSION:
The Public Utilities Board recommended that the City Council approve the Agreement and related actions at its meeting on September 24, 2025.
Anaheim Public Utilities (APU) relies on inspections of electrical infrastructure to ensure the safety and reliability of service, and to maintain consistency with state guidelines and industry best practices. Inspections and corresponding data management services for over 10,000 structures and pieces of equipment provide valuable assessments of their condition, helping to prioritize maintenance or replacement and proactively identify potential hazards to mitigate outages.
Agreement with Henkels & McCoy West, LLC for Inspection Services of Underground and Surface-Mounted Electric and Fiber Optic Systems
October 28, 2025
The proposed Agreement is for a citywide inspection of APU’s underground and surface-mounted infrastructure by a qualified and experienced firm over a two-year period. Inspections will be conducted on electrical equipment such as transformers, cables, and switches using thermal imagery to identify hotspots, and will include an assessment of the structural integrity of underground vaults. Firms are required to employ qualified personnel to work in the vicinity of high-voltage equipment and to have experience working on utility systems. The services also include inspection of the fiber-optic network infrastructure that supports utility automation and monitoring. The scope of work includes electronic data collection and imagery for use in subsequent engineering and maintenance activities.
A Request for Proposals (RFP) was issued through Anaheim’s online procurement system in July 2025. APU received proposals from ten firms, which were reviewed in accordance with the qualifications-based selection criteria pursuant to City Council Policy No. 4.1. The evaluation criteria included the respondent’s ability to perform the tasks, the methods and techniques employed, the qualifications and availability of the project team, the success record on similar projects, quality control, and the reasonableness of the proposed fees.
Following the evaluation of the proposals, the firms were ranked as follows:
Firm’s Name Ranking
Henkels & McCoy West, LLC, Pomona, CA 1
Hampton Tedder Electric Co., Montclair, CA 2
Cornerstone Utility Engineering, Victorville, CA 3
Parkia Inc., Santa Fe Springs, CA 4
Innovative Consulting Concepts, Rancho Cucamonga, CA 5
Asplundh Engineering Services LLC., Cypress, CA 6
New River Electrical Corporation, Ontario, CA 7
E.E. Electric Inc., Jurupa Valley, CA 8
Diversified Utility Services Inc., Bakersfield, CA 9
Osmose Utilities Services Inc., Atlanta, GA 10
Henkels & McCoy West, LLC’s (HMW) proposal represents the best overall value and are recommended for award as the highest-ranked firm based on its extensive experience with the inspection and evaluation of sub-surface and underground electrical equipment.
HMW has performed related high-voltage inspection services for regional electric utilities, including Southern California Edison and San Diego Gas & Electric. HMW also successfully completed previous underground inspection services for APU in 2022.
Their proposal demonstrated a complete and thorough approach to inspections, data management, and related RFP requirements. Their proposed real-time data collection and built-in quality control checks reduce the risk of data entry errors and are compatible with Anaheim’s existing Geographic Information System (GIS) platform. HMW is currently one of APU’s pre-qualified electrical contractors and is therefore familiar with APU’s construction standards.
Agreement with Henkels & McCoy West, LLC for Inspection Services of Underground and Surface-Mounted Electric and Fiber Optic Systems
October 28, 2025
Should inspections identify immediate hazards, procedures will be in place to keep the area safe, notify APU personnel, and determine mitigation measures. Additionally, inspections that take place on private property will include appropriate notification and contact information to address customer questions.
The Agreement supports the citywide Strategic Plan, Goal C – Invest in Infrastructure and Amenities, Strategy 13 – Address deferred and ongoing maintenance needs.
ENVIRONMENTAL REVIEW:
Staff recommends that City Council determine that the Services are categorically exempt from CEQA pursuant to section 15301(b) of Title 14 of the California Code of Regulations (Class 1, Existing Facilities). Among other things, Class 1 consists of the operation, repair, maintenance, or minor alteration of existing public or private structures, involving negligible or no expansion of existing or former use, including existing publicly owned utilities used to provide electrical power. The Services here consist of inspections and minor repairs to Anaheim’s existing electrical structures, involving negligible or no expansion of use. Furthermore, none of the exceptions to the use of a categorical exemption set forth in CEQA Guidelines section 15300.2 apply.
IMPACT ON BUDGET:
Sufficient funds are available in APU’s Fiscal Year 2025/26 restricted Electric Utility Fund budget, and future years are subject to City Council approval of budget appropriations.
Respectfully submitted,
Dukku Lee
Public Utilities General Manager
Attachment:
1. Agreement with Henkels & McCoy West, LLC