Coachella City Council
May 14, 2025

Item 36.
9 7.1. Government Claims Act. Pursuant to Government Code section 5956.8, the Project will be deemed to be public property for purposes of identification, maintenance, enforcement of laws and for purposes of the Government Claims Act (Gov. Code § 810 et seq.).

7.2. Labor Code. The Project will be constructed as and deemed to be “public works” as governed by the California Labor Code and will comply with the provisions thereof (Labor Code § 1720 et seq.).

7.3. Renewables Portfolio Standard. As a California municipal utility, the City will need to comply with State of California RPS requirements as governed and enforced by the California Energy Commission.

7.4. Resource Adequacy. As a California load serving entity, the City will be required with State of California Resource Adequacy Capacity requirements.

7.5. Balancing Authority Requirements. IID is the balancing authority in the eastern Coachella Valley and the City may be subject to certain regulations. In addition, energy purchased through an ESA by the proposer should also be familiar with CAISO requirements, where applicable.

7.6. Federal Energy Regulatory Commission. The transmission component of the energy delivery system will be subject to FERC or other balancing authority regulations.

7.7. California Environmental Quality Act. The City will be the lead agency under CEQA for the energy delivery system project. The provider, however, will be expected to prepare all required environmental documents for the City’s review and certification.

7.8. Resource Agencies. The provider will comply with all applicable federal and state resource agency requirements, including, but not limited to, South Coast Air Quality Management District, Colorado River Basin Regional Water Control Board, federal and state Fish & Wildlife, and U.S. Army Corps of Engineers.

8. Conflict of Interest
In accordance with Government Code section 5956.5, this RFQ/RFP process specifically prohibits practices that may result in unlawful activity, including, but not limited to, rebates, kickbacks, or other unlawful consideration as well as prohibits City officials and employees from participating in the selection process when those employees have a relationship with a person or business entity seeking a contract through the City’s solicitation process that would subject the City officials or employees to the prohibition of Government Code section 87100.

Item 36.
10 Any person or entity submitting interest and qualifications hereunder must attest, under penalty of perjury, that no official or employee of the City, nor any business entity in which an official of the City has an interest, has been employed or retained to solicit or aid in the procuring of any contract that may result from this RFQ/RFP process, nor that any such person will be employed in the performance of such a contract without immediate written disclosure of such fact to and consent by the City at its sole discretion.

In addition, proposals must disclose any existing financial or other interests that they may have in the Development Area. The failure to comply with this Conflict of Interest section is immediate grounds for the City’s rejection of a proposal and termination of pre-qualifications or a future contract thereby.

9. Evaluation Criteria
All proposals will be screened by the City and its selection team based on the criteria in this Section 9, which criteria are listed in no particular order. The selection process will include an interview of one or more candidates, and the terms of any deal resulting from this process will be memorialized in writing in a legal instrument.

A. Quality of response.

B. Experience of project team.

C. Familiarity with electric service issues in the City.

D. References.

E. Financial strength of provider.

F. Costs to City.

G. Customer rate model.

10. Submission
Proposals must be submitted to the City no later than March 3, 2025, 5:00 p.m. Pacific Prevailing Time. Proposals are limited to those firms that participated in the Request for Qualifications, dated October 22, 2024, and that has been pre-qualified and selected by the City to proceed to the RFP stage.

Proposals received after the deadline may not be considered in the sole discretion of the City.

One complete electronic version is required. Faxed proposals will not be accepted. Proposers assume the risk of the methods of dispatch or delivery chosen.

Proposals must be electronically submitted through Best Best & Krieger LLP’s Collaborate site for the “City of Coachella Electric Utility RFP” (“Collaborate Site”). For access to the Collaborate Site, please send an email to [email protected] and [email protected] with (1) your name, (2) the firm you represent, and (3) a request for access to the Collaborate Site. You will thereafter receive an email invitation to register, if you have not already done so, and to join the Collaborate Site. You must upload your proposal to the Collaborate Site using the “Upload” feature and all electronic files must be submitted in

Item 36.
11 editable format to facilitate evaluation and planning. Word, Excel, GIS and PDF formats are acceptable.

11. Administrative Issues

11.1. Availability of the RFP and Amendments
This RFP is available on the City’s website at https://www.coachella.org/services/proposals-bids.

Any addendums or amendments supersede prior provisions and are effective upon posting, and each potential provider is responsible for checking these sources to learn of any amendments.

11.2. Questions about the RFP
All general correspondence and any questions about this RFP must be submitted to the Project Manager. The last date for questions will be on February 19, 2025 5:00 PPT. All questions will be considered to be public and released with an answer as expeditiously as possible. The identity of the person or company posing the question will not be disclosed. Providers should not contact the City Council or City staff about this RFP. Any attempts to contact the City regarding this RFP other than through the process described herein may be grounds for the City to reject a proposal.

12. Clarification of Proposals
Notwithstanding any other provision of this RFP, the City reserves the right to:

A. Conduct discussions with any or all potential providers for the purpose of clarification of the RFP;
B. Request supplemental information regarding any submission as part of the evaluation process;
C. Waive, or decline to waive, any defect in any submission; D. Cancel or amend this RFP or issue other requests for qualifications or proposals; or E. Select no proposals at all.

13. Commencement of Work
Any proposals in response to this RFP, and the subsequent evaluation of that response by the City, does not constitute a contract or any type of agreement between the City and any provider for the commencement of work or the performance of any obligation. Only a written contract with the City will authorize the commencement of work or obligate the City on this Project.

Item 36.
12 14. Use of Subcontractors
Proposals may include use of sub-contractors or sub-consultants to fulfill any obligations in connection with the energy delivery system project. Use of sub-contractors or sub-consultants shall be subject to all applicable state and federal laws. A selected provider shall remain liable for fulfilling all its obligations on the energy delivery system project, and for any claims or damages arising from the sub-contractor’s or sub-consultant’s work.

15. Submission Costs
Providers that provide proposals in response to this RFP are responsible for all expenses incurred in preparing and submitting a proposal, or in contract negotiations with the City. Even if the City elects to reject all proposals, the City will not be liable for any costs or damages incurred by any provider in submitting hereunder or preparing and submitting a proposal or negotiating a contract.

16. Errors and Omissions in a Submission
A provider is responsible for all errors and omissions in its proposal. If it discovers an error and wishes to withdraw its proposal, the provider should notify the City immediately.

17. Errors and Omissions in the RFP
If the City becomes aware of an error or omission in the RFP, it will post a notice on the project website. If it discovers an error or omission after proposals are submitted, it may in its discretion proceed or reissue the RFP. Even if it elects to re-issue the RFP, the City will not be liable for any costs or damages incurred by any entity in preparing and submitting the original statement of interest and qualifications.

18. No Waiver of RFP Provisions
The City may, but is under no obligation to, waive any provision in this RFP at the request of a potential provider. Any such waiver shall apply to all potential providers, and no waiver shall constitute a waiver of any provision not specifically referenced therein.

19. Ownership and Confidentiality of Proposals
The City will not pay for any information requested herein, and all proposals become the property of the City. Proposals will not be returned and may be subject to disclosure pursuant to the California Public Records Act. The City may receive information that may be confidential as part of your proposal. If you believe that any portion of your submission includes proprietary or other confidential information, please clearly mark it as such and state the basis for your claim to confidential treatment. Unless otherwise required by law, the City will treat the information as confidential and will not disclose it to a third party without your permission. Information that is an integral part of the submission will likely not be considered confidential after an award of contract has been made.

Item 36.
13 20. Additional Information
Please see the following attachments for additional information.

Attachment A: Development Area
Attachment B: Economic Development Zone
Attachment C: City Load Estimates
Attachment D: Feasibility Study for Municipal Electric Service to the Development Area

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Attachment A - 1

ATTACHMENT A

DEVELOPMENT AREA

Item 36.

Attachment B - 1

ATTACHMENT B

ECONOMIC DEVELOPMENT ZONE (EDZ)

Item 36.

B - 2

Item 36.

Attachment C - 1

ATTACHMENT C

CITY LOAD ESTIMATES
(Chart Depicted on the Following Page)

Item 36.

C - 2
Load Estimates Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Base
Residential 2,500,000 3,200,000 4,100,000 5,300,000 6,800,000 8,600,000 11,100,000 14,200,000 18,100,000 23,200,000 General Service 2,000,000 2,500,000 3,100,000 3,900,000 4,900,000 6,100,000 7,600,000 8,400,000 9,200,000 10,200,000 Large General Service 9,000,000 9,700,000 10,500,000 11,300,000 12,200,000 13,200,000 14,300,000 15,400,000 16,700,000 18,000,000 Industrial 0
37,300,00
0 131,500,00
0 170,600,00
0 170,600,00
0 170,600,00
0 290,000,00
0 290,000,00
0 290,000,00
0 290,000,00
0 Total Retail Sales, kWh
13,500,00
0 52,700,00
0 149,200,00
0 191,100,00
0 194,500,00
0 198,500,00
0 323,000,00
0 328,000,00
0 334,000,00
0 341,400,00
0 System Requirements,
MWh 13,905 54,281 153,676 196,833 200,335 204,455 332,690 337,840 344,020 351,642 System Peak Demand, MW 2 10 27 35 35 36 58 59 60 62

Low
Residential 1,300,000 1,400,000 1,500,000 1,700,000 1,800,000 2,000,000 2,200,000 2,400,000 2,700,000 2,900,000 General Service 1,000,000 1,000,000 1,000,000 1,100,000 1,100,000 1,100,000 1,100,000 1,100,000 1,200,000 1,200,000 Large General Service 4,500,000 4,600,000 4,700,000 4,800,000 4,900,000 5,000,000 5,100,000 5,200,000 5,300,000 5,400,000 Industrial 0
18,700,00
0 65,800,000 85,300,000 85,300,000 85,300,000
145,000,00
0 145,000,00
0 145,000,00
0 145,000,00
0 Total Retail Sales, kWh 6,800,000
25,700,00
0 73,000,000 92,900,000 93,100,000 93,400,000
153,400,00
0 153,700,00
0 154,200,00
0 154,500,00
0 System Requirements,
MWh 7,004 26,471 75,190 95,687 95,893 96,202 158,002 158,311 158,826 159,135 System Peak Demand, MW 1 5 13 17 17 17 28 28 28 28

High
Residential 2,500,000 3,200,000 4,100,000 5,300,000 6,800,000 8,600,000 11,100,000 14,200,000 18,100,000 23,200,000 General Service 2,000,000
16,900,00
0 18,500,000 20,400,000 22,400,000 24,700,000 27,200,000 29,900,000 32,900,000 36,100,000 Large General Service 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 9,700,000 Industrial 0
37,300,00
0 131,500,00
0 170,600,00
0 170,600,00
0 170,600,00
0 290,000,00
0 327,100,00
0 335,400,00
0 339,600,00
0 Total Retail Sales, kWh
14,200,00
0 67,100,00
0 163,800,00
0 206,000,00
0 209,500,00
0 213,600,00
0 338,000,00
0 380,900,00
0 396,100,00
0 408,600,00
0 System Requirements,
MWh 14,626 69,113 168,714 212,180 215,785 220,008 348,140 392,327 407,983 420,858 System Peak Demand, MW 3 12 30 37 38 39 61 69 72 74

Item 36.

Attachment D - 1

ATTACHMENT D

FEASIBILITY STUDY FOR MUNICIPAL ELECTRIC SERVICE

TO THE DEVELOPMENT AREA
(Study follows on next page)

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Item 32.

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STAFF REPORT
6/12/2024
To: Honorable Mayor and City Council Members
FROM: Dr. Gabriel Martin, City Manager
Ryan Baron, City Attorney's Office, Best Best & Krieger, LLP SUBJECT: Feasibility Study for Municipal Electric Service to the City's Development Area / Request for Proposals for a Public-Private Partnership for Implementation of the City's Municipal Electric Utility STAFF RECOMMENDATION:

I. Receive and file feasibility study for municipal electric service to the City's development area.

2. Staff recommends that the City Council approve the issuance of a Request for Information and a Request for Proposals for a public-private partnership for implementation of the City's municipal electric utility within the City development area, including the Economic Development Zone.

3. Staff recommends that the City Council approve the issuance of a Request for Proposals for a valuation study of Imperial Irrigation District assets providing electric service to the developed portion of the City.

BACKGROUND:

The Coachella Valley is one of the fastest growing areas in California. The City of Coachella is projected to grow rapidly containing a number of large employers along with large-scale master planned development in greenfield areas of the City. The eastern portion of the Coachella Valley, including the City, is currently receiving electric service from the Imperial Irrigation District, which provides this service outside its territorial boundary of Imperial County. There remains significant areas of the Coachella Valley, and the City, however, that are not served, or cannot be served, by IID due a lack of electric infrastructure or a need to significantly upgrade the existing infrastructure in the area, such as the construction of new substations. The eastern Coachella Valley is growing rapidly but development has been hindered by the inability to provide electricity to this development, thereby impacting growth, employment, and fiscal revenue. Due to the lack of infrastructure throughout the City and that the City does not have any representation or governance options in IID electric service matters, the City has been interested in local control of its electricity service and providing such service to the City's undeveloped and under-served areas. 1

1 STAFF REPORT
6/12/2024
TO: Honorable Mayor and City Council Members
FROM: Dr. Gabriel Martin, City Manager
Ryan Baron, City Attorney’s Office, Best Best & Krieger, LLP SUBJECT: Feasibility Study for Municipal Electric Service to the City’s Development Area / Request for Proposals for a Public-Private Partnership for Implementation of the City’s Municipal Electric Utility STAFF RECOMMENDATION:

1. Receive and file feasibility study for municipal electric service to the City’s development area.

2. Staff recommends that the City Council approve the issuance of a Request for Information and a Request for Proposals for a public-private partnership for implementation of the City’s municipal electric utility within the City development area, including the Economic Development Zone.

3. Staff recommends that the City Council approve the issuance of a Request for Proposals for a valuation study of Imperial Irrigation District assets providing electric service to the developed portion of the City.

BACKGROUND:

The Coachella Valley is one of the fastest growing areas in California. The City of Coachella is projected to grow rapidly containing a number of large employers along with large-scale master planned development in greenfield areas of the City. The eastern portion of the Coachella Valley, including the City, is currently receiving electric service from the Imperial Irrigation District, which provides this service outside its territorial boundary of Imperial County. There remains significant areas of the Coachella Valley, and the City, however, that are not served, or cannot be served, by IID due a lack of electric infrastructure or a need to significantly upgrade the existing infrastructure in the area, such as the construction of new substations. The eastern Coachella Valley is growing rapidly but development has been hindered by the inability to provide electricity to this development, thereby impacting growth, employment, and fiscal revenue. Due to the lack of infrastructure throughout the City and that the City does not have any representation or governance options in IID electric service matters, the City has been interested in local control of its electricity service and providing such service to the City’s undeveloped and under-served areas.

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Item 36.
2 On July 31, 2019, the City Council adopted Resolution 2019-62 authorizing the creation of a limited municipally owned utility for the purpose of providing electrical utility services and authorized the taking of other actions. The Coachella City Council established the municipal utility to provide electric and gas service to certain new development and under-served development (i.e., “greenfield” areas) within the City’s municipal boundaries. At that time, a service area for a municipal utility was established and the City Manager was authorized to take all necessary steps to create and establish the municipal utility and evaluate the areas and manner for providing utility service as a publicly owned utility. Since then, the City has been exploring various options to ensure that its residents and businesses receive utility services that meet the current and future needs of the community at fair and reasonable rates. The City has also been exploring options to ensure that such services are cost-effective, meet federal and state standards, provide high-quality customer service, and provide long-term reliability to meet City energy needs.

The City has also participated in regional efforts to address the lack of service and governance, including its participation on the Coachella Valley Energy Commission, an advisory body to IID.

Since the adoption of Resolution No. 2019-62, City staff has researched the legal options of implementing the municipal utility and has conducted a feasibility study to assess the financial and technical issues of establishing an electric delivery system to greenfield areas of the City also referred to as the Development Area. This Development Area includes the Economic Development Zone, which consists of the Auto-Wrecking Zone and Industrial Zone, where initial load is projected to increase rapidly due to prospective and cannabis and industrial interests. The feasibility study was prepared by EES Consulting who has prepared numerous municipalization feasibility studies throughout the nation, including a study in the 2000s for the Coachella Valley Association of Governments. The study concludes that service to the economic development zone and the greenfield areas of the City is feasible and beneficial to City electric customers when growth occurs in those areas. The study uses certain data and forecasts the City’s 20-year energy needs. It also projects revenue and rate requirements and outlines where the construction of new electrical infrastructure is required, including the construction of two new substations and transmission, as well as potential wheeling of energy over IID’s existing transmission in order to serve initial municipal utility load.

DISCUSSION/ANALYSIS:

The study makes the following observations:

Considerations
Access to IID Capacity Initial plan is to use capacity from IID’s 92kV transmission. If access is denied, accelerate SCE interconnection.

Load Growth Risk Break-even threshold is 55,000 MWh with annual 5% IID rate increases.

Change in Load Mix Cannabis is High Density Energy Needs 100-200 kWh/sq.ft.

Traditional Industrial/Commercial 8-50 kWh/sq.ft. Even with

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Item 36.
3 reductions in high density load, the City could likely achieve breakeven sales threshold of 55,000 MWh.

New Municipal Utility IID can challenge new utility. Limiting to greenspace-only rather than acquisition of IID customers does not eliminate the uncertainty.

Initial Financing $67.3 M
RPS Requirements Purchase from interconnection with IID or SCE.

Customer Funded Distribution Lines Customers will need to contribute 100% for distribution facilities to serve new load.

Reliability Transmission feed radial is a weak point.

Resource Adequacy City must rely on bilateral transactions for RA subject to price risk.

The study provides the following options as Phase 2 steps the City can take with respect to implementing a municipal utility:

1. Consider moving forward with a request for proposals for power supply and/or a turnkey developer to implement the municipal utility in the Development Area.

2. Explore valuation and acquisition of IID assets that currently serve the City.

City staff recommends that the City move forward with issuing requests for proposals based on the two options. In order to begin providing service to the Development Area of the City, the City would need to consider constructing certain electric delivery system facilities and generation facilities and/or purchasing electricity through an energy services agreement and wheeling the energy over IID transmission system. Due to the bond issuance that would be needed to finance the facilities, City staff contemplates issuing a request for information for a developer to construct and own the facilities through a public-private partnership agreement that would jump-start the municipal utility. The request for information would be sent potential energy developers and suppliers nationwide requesting a statement of interest and qualifications from companies on the proposed P3 project. Eligible companies would then be pre-qualified by the City and would receive a request for proposals detailing the specific proposal and cost information. A slate of candidates would then be brought back from City Council review and direction to negotiate a contract.

City staff also recommends, in parallel, that the city conduct a valuation of IID’s infrastructure serving the city as a necessary step in acquiring IID electrical infrastructure to take over service to existing customers over the long-term. City staff would issue a request for proposals for a consultant to conduct the valuation study.

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Item 36.
4 ENVIRONMENTAL ASSESSMENT:

The recommended actions are exempt from the California Environmental Quality Act. The issuance of a RFP does not constitute a project within the meaning of the CEQA Guidelines, Section 15061(b)(3), as it does not result in any direct or indirect physical change in the environment.

ALTERNATIVE(s):

1. Not approve RFP for P3 partnership and provide Staff with new direction FISCAL IMPACT:

There is no fiscal impact for this item.

EXHIBIT(S):

A. Feasibility Study for Municipal Electric Service to the Development Area

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Item 36.

Consulting
a GDS Associates Company
Feasibility Study for Municipal
Electric Service to the Development
Area
City of Coachella
Add Date

P R E P A R E D B Y E E S C O N S U L T I N G
April 2024

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Item 36.

Consulting
a GDS Associates Company

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NSU LT I N G i
April 18, 2024
Mr. Gabriel Martin
City of Coachella
1515 Sixth Street
Coachella, CA 92236
RE: City of Coachella Feasibility Study for Municipal Electric Service to the Development Area Dear Mr. Martin:

We are pleased to submit to the City of Coachella (City) the Feasibility Study for Municipal Electric Service to the Development Area (Study). The Study used publicly available information to develop load power cost estimates.

The Study, which focuses on service to the economic development zones and select greenfield development. The Study finds that municipalization is beneficial to the City’s electric customers when significant growth occurs in the new development area.

Thank you for your contributions to this Study.

Sincerely,
Kevin J. Mara
Executive Vice President

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Item 36.

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NSU LT I N G ii

TABLE OF CONTENTS
1 SCOPE OF WORK ................................................................................................................... 1

1.1 Introduction ..................................................................................................................................................................... 1

1.1.1 About Imperial Irrigation District (IID) ................................................................................................ 1

1.1.2 Study Framework ................................................................................................................................ 2

1.2 Proposed Service Area ................................................................................................................................................. 2

1.3 20-Year Energy Needs .................................................................................................................................................. 3

1.4 Financial Feasibility Assumptions and Results .................................................................................................... 4

1.5 City Service to Existing Areas Served by IID ......................................................................................................... 6

1.6 Next Steps ......................................................................................................................................................................... 6 2 STUDY FRAMEWORK ............................................................................................................ 8

2.1 Public Municipal Utility ................................................................................................................................................ 8

2.2 Study Framework ........................................................................................................................................................... 8

2.2.1 Data Limitations .................................................................................................................................. 9

2.3 System Load Forecast ................................................................................................................................................... 9 3 PUBLIC MUNICIPAL UTILITY .............................................................................................. 12

3.1 New Construction by the City ................................................................................................................................ 12

3.2 Power Supply & Transmission ................................................................................................................................ 13

3.2.1 Power Purchases ............................................................................................................................... 14

3.2.2 Renewable Energy ............................................................................................................................. 14

3.2.3 Resource Adequacy ........................................................................................................................... 14

3.2.4 CAISO Charges and Misc. ................................................................................................................... 14

3.2.5 Wheeling and OATT ........................................................................................................................... 15

3.2.6 Summary of Power Costs ................................................................................................................... 15

3.3 Distribution System O&M ........................................................................................................................................ 15

3.4 Customer Service ........................................................................................................................................................ 16

3.5 Administrative & General Expense ....................................................................................................................... 16

3.6 Public Benefits Charge .............................................................................................................................................. 16

3.7 Property Taxes and Franchise Fees ...................................................................................................................... 16

3.8 Capital Improvement Projects ............................................................................................................................... 16

3.9 Non-Operating Expenses ......................................................................................................................................... 17

3.9.1 Debt Service ....................................................................................................................................... 17

3.9.2 Bond Issuance .................................................................................................................................... 17

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Item 36.

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NSU LT I N G iii

3.10 Annual Budget ........................................................................................................................................................... 18 4 COMPARISON OF RESULTS AND SENSITIVITY ANALYSIS................................................ 19

4.1 Base Results ................................................................................................................................................................... 19

4.1.1 Load Sensitivity ................................................................................................................................. 19

4.1.2 Power Supply Cost Sensitivity ........................................................................................................... 20 5 RISKS AND CHALLENGES ................................................................................................... 21

5.1 Wheeling Over IID’s 92kV Line ............................................................................................................................... 21

5.2 Load Growth ................................................................................................................................................................. 21

5.3 Bond Financing ............................................................................................................................................................ 21

5.4 Resource Adequacy Costs ........................................................................................................................................ 22 6 SUMMARY ........................................................................................................................... 23 7 REFERENCES ........................................................................................................................ 24 8 GLOSSARY OF TERMS ......................................................................................................... 25 9 ACRONYMS ......................................................................................................................... 27

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Item 36.

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 1
1 Scope of Work

1.1 INTRODUCTION
The City of Coachella (City) seeks to ensure that its residents and businesses receive utility services that meet their current needs and provide for electric utility supply for the future needs of the community at fair and reasonable rates. Thus, in 2019, the City established a municipal utility to provide electric service within the City, with an initial focus on new development areas (City Resolution No. 2019-62.) The City is currently considering options for providing electric service to future customers locating in primarily undeveloped areas of the City’s Development Area (i.e., “greenfield” areas).

The current population of the City is approximately 42,600; however, with current planning efforts, the City expects the population to grow three-fold by 2035.1 Currently, citizens of the City, and businesses within the City, are provided electrical service by Imperial Irrigation District (IID), a publicly-owned utility.

1.1.1 About Imperial Irrigation District (IID)
Imperial Irrigation District (IID) is the sixth largest utility in California public utility providing electric and water service to areas across both the Imperial and Coachella Valleys including Riverside and San Diego Counties. The utility employs approximately 1,400 people, serves over 158,000 electric customers and controls more than 1,100 MW of energy. IID’s total service area covers 6,471 square miles. IID is governed by a 5-member board of directors. IID’s resource mix is approximately 40% renewable, 35% natural gas,

4.8% hydroelectric, 3.5% nuclear, and 16% unspecified (market purchases).2 IID owns and operates several generating resources such as several small hydroelectric facilities on the All-American Canal and the Pilot Knob plant. IID is a member of the Southern California Public Power Authority (SCPPA). SCPPA members share several resources including the Palo Verde Station (nuclear), Parker-David Dam, Boulder Canyon, Yucca Steam Plant, 13 natural gas resources, and a battery storage system near El Centro.

IID residential retail electric rates include a fixed monthly charge, energy charge, plus an energy cost adjustment (ECA). The ECA is updated regularly to reflect changes in IID’s wholesale power costs. IID’s large power rates also include demand charges in addition to fixed customer charges and energy charges.

Finally, IID customers can elect to purchase up to 100% renewable energy from IID through an Energy Cost Adjustment Renewable Billing Factor (Green Power Program).

Not only is IID a retail service provider, but it is also an energy Balancing Authority (BA). As a BA, IID ensures that the power system and demand are balanced in real time throughout the balancing area which includes Coachella Valley. IID is also responsible for maintaining operating conditions under the 1 U.S. Bureau of the Census. Coachella, California. Estimate July 2022. https://www.census.gov/quickfacts/coachellacitycalifornia 2 Imperial Irrigation District 2021 Power Content Label. https://www.iid.com/energy/renewable-energy/powercontent-label

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Item 36.

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 2
reliability standards issued by the North American Electric Reliability Corporation (NERC) and approved by the U.S. Federal Energy Regulatory Commission (FERC).

1.1.2 Study Framework
The City asked EES Consulting (EES), a GDS Associates Company, to evaluate the feasibility of the City serving new electric customers located within a portion of the City’s boundaries through the municipal utility. This Feasibility Study for Municipal Electric Utility Service to the Development Area (Study) considers the investment needed to serve new customers and the potential supply costs. This Study does not include acquisition of existing assets owned by IID and used to serve existing IID customers.

The Study considers the case where the City develops the necessary energy delivery infrastructure and procures energy from the market. In order to estimate feasibility of energizing the City’s utility, costs are forecasted over a 20-year study period beginning in 2025. Revenues for the potential municipal utility are calculated to be competitive with the current and forecast IID retail rates. Other operating costs are estimated from comparable electric utilities.

1.2 PROPOSED SERVICE AREA
Figure 1.1 illustrates the current municipal boundary in blue. The proposed initial municipal electric utility boundary is provided in red and shaded purple. The areas outside of the purple shading would continue to be served by IID. The Development Areas are located with the purple shading.

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Item 36.
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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 3
FIGURE 1.1: CITY MUNICIPAL UTILITY SERVICE AREA

1.3 20-YEAR ENERGY NEEDS
The Study developed a forecast of energy needs for the next 20 years for the municipal utility service area.

Much of the growth is expected in the Economic Development Zones (EDZ) which are in the boundaries of the City’s municipal utility. One is known as the Auto Wrecker Zone (northern most EDZ), and the second is the Industrial Zone (between Avenue 52 and Avenue 54). Figure 1.2 depicts the growth of annual energy sales and Figure 1.3 shows the forecasted electrical demand. EES added the ramp-up of energy sales between 2025 and 2030 to reflect potential near-term growth in the EDZs.

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 4
FIGURE 1.2: 20-YEAR LOAD FORECAST COMPARISON
FIGURE 1.3: 20-YEAR PEAK DEMAND FORECASTS

1.4 FINANCIAL FEASIBILITY ASSUMPTIONS AND RESULTS
An annual budget was developed for the City’s municipal utility based on the load assumptions, take-out financing, and estimated future capital improvement investments. Power supply costs assume the utility would meet all California mandates for renewable energy and resource adequacy or otherwise obtain waivers from some or all of those requirements. It is assumed that City finances the necessary infrastructure and pursues competitive offers for energy by means of wheeling through IID’s transmission system.
0 100,000
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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 5
Table 1.1 summarizes the revenue requirement for the third year of operations. The load forecast for the third year has a demand component of 37.5 MW and projected energy sales of 191,158 MWh. The difference in financing is reflected in the debt service in Table 1.1 which is a snapshot of the revenue requirements needed in Year 3.

TABLE 1.1: YEAR 3 REVENUE REQUIREMENT, MILLIONS
Municipal Utility Revenue
Requirement
Power Supply & Transmission $14.64
Distribution O&M $1.47
Customer Service $0.25
A&G $0.32
Capital Improvement $0.56
Debt Service $1.89
Franchise Fee $1.59
Taxes $0.11
Public Benefits Charge $0.66
Revenue Requirement $21.49
IID rates are forecast to increase by 5% which is a conservative assumption given both recent rate history and the investments IID will need to make in infrastructure and renewable energy in support of electrification over the next 20 years. Figure 1.4 shows that once there is sufficient load growth, the municipal utility can offer lower rates compared with forecast IID rates. The figure also shows IID rates with a slower growth rate of 3% per year.

FIGURE 1.4: PROJECTED RETAIL RATES 2025-2044
$0.00
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2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 Retail Rate, $/kWh
IID Projected Retail Rates (5%) IID Projected Retail Rates (3%) Public Municipal Utility

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 6

1.5 CITY SERVICE TO EXISTING AREAS SERVED BY IID
This Study evaluates options for providing electric service to the EDZ and undeveloped and underserved areas of the City (i.e., greenfield), as identified in the City’s service territory map adopted by the City Council at the time the City Municipal Utility was formed in 2019. The Municipal Utility would have risks associated with load growth and the ability to obtain financing for start-up and construction costs in conjunction with serving the EDZ and greenfield, or alternatively, the City could serve the developed areas of the City where IID provides existing service. Extending the City Municipal Utility to this area would require the City to negotiate and purchase the existing substation, distribution, and potentially transmission assets within the municipal boundaries from IID and/or pursue an eminent domain action of those assets. With these assets and associated future revenues, the City could finance expansion into the greenfield area of the City. In anticipation of acquisition being contemplated as part of the City’s potential options going forward, general estimates are provided herein as a starting point.

TABLE 1.2: ROUGH CONDEMNATION FIGURES
Cost Estimate Notes
Distribution System Value
$5,000-$10,000/electric customer
$150 Million
Plant actually valued between
original cost less depreciation and
replacement cost less depreciation.

Cost changes if substation and
transmission assets are included.

Separation Costs $30 Million Assumed 20% of system value.

Stranded Costs
Unknown Needs further study but can
include generation, transmission,
and distribution.

Total $180+ Million
This path would provide a means for borrowing and could be a long-term solution related to the uncertainty of IID’s future in the Coachella Valley.

The timetable for developing a fair market value for the IID assets is 9 months to a year, depending on the cooperation of IID to provide information that is often considered confidential regarding the physical system within the City limits and the energy consumed by homes and business within the City. If both parties negotiate to a reasonable outcome, the acquisition could be completed in 2 to 3 years. However, if there is litigation, the duration can extend for 5 or more years.

1.6 NEXT STEPS
If the City decides to pursue energizing the municipal electric utility, the following next steps could be taken:

1. The City could explore acquisition of IID assets to service the entire City of Coachella.

2. The City could move forward with a limited municipal utility such as described in this study and issue request for proposals for power supply.

All options presented herein require financing, which is a significant hurdle. A next step greenfield municipal utility would be to explore financing options such as those used by the CCAs in California. This

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can be accomplished by issuing a request for proposals to determine feasibility of financing start-up and construction costs.

Also, for the greenfield municipal utility, the City needs to initiate a conversation with IID regarding access to the transmission grid for wheeling power. This could be in the form of an application to interconnect.

The initiation of this process will help to define the next steps needed if the City wishes to pursue this option.

The above next steps could be completed concurrently to further assess the viability of each path.

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 8
2 Study Framework
The City of Coachella (City) seeks to ensure that its residents and businesses receive utility services that meet their current needs and provide electric utility supply for the future needs of the community at fair and reasonable rates. Thus, in 2019, the City established a municipal utility to provide electric service within the City, with an initial focus on new development areas (City Resolution No. 2019-62). The City is currently considering options for providing electric service to new customers locating in primarily undeveloped areas of the City (i.e., “greenfield” areas). This Study evaluates two options for energizing a greenfield utility within part of the City’s boundaries:

2.1 PUBLIC MUNICIPAL UTILITY
This option calls for the City to construct new substations and the required distribution facilities, and procure power supply delivered through either wheeling via existing IID infrastructure, if available, or through new facilities that interconnect to Southern California Edison’s (SCE) transmission voltage lines located east of the City.

2.2 STUDY FRAMEWORK
The analytical construct includes the following assumptions.

1. Three scenarios for municipalization are evaluated from an economic perspective:
a. Base load forecast estimated from City’s current development queue. b. Low load forecast is half of the Base scenario representing an unfavorable economy. c. High load forecast which adds additional industrial load development.

2. As a greenfield utility, the municipal electric utility would not pay any generation or distribution asset stranding costs to IID. It is assumed that any other fees or costs imposed by the State of California will be applied. At this time, no such fees or costs have been defined or included in the Study.

3. As a greenfield utility, the City would not purchase existing IID distribution facilities.

4. Cost for the extension of distribution facilities includes transformers, meters, and services are assumed to be 100% assignable to new customers.

5. Operating costs and financing for the City’s municipal utility are estimated based on current borrowing markets and other California municipal utility budget information.

6. The City’s electric rates are based on expenses and debt service coverage requirements. Any difference between the City’s rates and IID forecast rates can be used for customer programs, rate savings, or additional development by increasing the City’s rates to match or be slightly lower than IID.

7. The illustrative forecast of IID rates are based on current approved IID rate levels with a 5% annual increase over the study period. Recent historic IID rate increases have averaged approximately 6% per year.

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 9

2.2.1 Data Limitations
This Study is conducted with varying degrees of data quality. Forecast loads are provided with a large range of potential build-out scenarios. Growth in the Study area may or may not materialize depending on a wide range of economic factors.

2.3 SYSTEM LOAD FORECAST
A forecast of electrical load was made for the area within the City’s Municipal Utility Service Area as shown in Figure 1.1 To determine future energy usage for this area, multiple sources were referenced including the City’s development queue. After year 10, moderate growth is assumed. The peak demand is calculated using a load factor of 65%. This load factor is higher than the load factor IID assumed in its 2018 IRP (50%) since expected load growth is primarily higher load factor loads (cannabis). Based on City’s development queue, cannabis loads could reach 300 MW; however, with the changes in planning environment since COVID-19, it is largely believed that cannabis operations will not materialize as indicated in the queue.

More likely, the industrial growth will be more diversified. The Study assumes general load factor data for industrial processes which may or may not include some portion attributed to cannabis operations.

There are two Economic Development Zones (EDZ) within the boundaries of the City’s municipal utility.

One is known as the Auto Wrecker Zone (northern most EDZ) and the second is the Industrial Zone (between Avenue 52 and Avenue 54). The anticipated cannabis growth operation load within the Auto Wrecking Zone is 33 MW. Meanwhile, the Industrial Zone is anticipated to serve approximately 30 MW of new commercial load retailed to the cannabis grow operations. None of the existing IID customers in the Industrial Zone are included in the Study. The Study does project an additional 11 MW of retail load within the proposed municipal boundary.

The ramp-up from not serving customers to serving customers with significant energy requirements is difficult to predict. For this Study, it is assumed to be 3 years. The infrastructure for electric service (substations and/or generating facilities) will need to be under development or possibly completed to assure new customers of the viability of the City Municipal System. It is assumed that three years will be necessary for the construction of commercial buildings plus ramp up to full operation for initial customers.

Figure 2.1 illustrates the forecast energy breakdown for the mid-point of the 20-year study.

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 10
FIGURE 2.1: LOAD FORECAST COMPARISON FOR THE MID-POINT OF THE 20-YEAR STUDY Figures 2.2 and 2.3 compare the energy and peak demand forecasts over the 20-year study period.

FIGURE 2.2: 20-YEAR LOAD FORECAST COMPARISON
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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 11
FIGURE 2.3: 20-YEAR PEAK DEMAND FORECASTS
Distribution line losses of 3% were added to retail sales to develop the system load forecast. 0 10
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3 Public Municipal Utility

3.1 NEW CONSTRUCTION BY THE CITY
The City would need to build new substations and interconnect them to IID’s existing 92kV transmissions in the vicinity of these substations. IID sells available transmission capacity to other entities that need IID lines to transport energy. IID offers point-to-point transmission service that uses IID’s transmission facilities. This type of service can be used for the transportation of capacity and energy into, out of, through or within IID system.3 EES has investigated the IID transmission system and believes there is capacity for at least 40 MW in this portion of IID transmission system. However, IID has not confirmed that it has sufficient capacity available. Further, IID determination of the available transmission capacity (ATC) takes into account the firm capacity set aside to serve peak native load forecast commitments.4 The fact that the City has created a greenfield municipal utility should allow access to ATC which EES believes exists in this portion of their system. The ability of the City to obtain delivery from IID is unknown and presents a risk for energizing the City utility.

A proposed new Harrison Substation would be serving the load in what is known as the Auto Wrecker Zone (northern most EDZ). The anticipated cannabis growth operation load within the Auto Wrecking Zone is 30 MW. In addition, this substation could be used to serve future development of retail electric service outside the Auto Wrecking Zone. The station would be configured for two 40 MVA power transformers and 12 (twelve) 12.5 kV feeders.

A new Polk Substation, to be located in the Industrial Zone EDZ, is anticipated to serve approximately 30 MW of new commercial load retailed to cannabis grow operations and an additional retail load within the proposed municipal boundary. The station would be configured for two 40 MVA power transformers and twelve 12.5 kV feeders.

It is assumed that the design of the substations will meet an N-1 criterion (loss of any one system component and maintain electric service). The distribution feeders should also meet this N-1 criterion to the extent financially feasible.

As the load requirements approach the limit of available transmission capacity from IID, the City would need to obtain additional capacity at the Southern California Edison (SCE) 230kV line at or near the Coachella Valley Substation. The 20-year projected load in the Study is 70 MW and the expected capacity of a 92kV transmission line would be about 150 MW. Thus, a 230/92kV substation would be constructed and 92kV lines extended to the two new distribution substations (Harrison and Polk). The estimated distance of single pole 92kV transmission is 7.2 miles. Approximately 3.5 miles would have a single 92kV circuit with space for two distribution circuits on the structures. The other 3.7 miles would be double circuit 92kV with space for two distribution circuits on the structures. A typical width for a 92kV 3 https://www.iid.com/energy/transmission-access/transmission-service 4 Available Transfer Capability Implementation Document (ATCID) dated 4/15/2022

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 13
transmission line is 100 feet. Therefore, the loop would likely require acquisition of roughly a 50-foot strip easement. The other 50 feet will be located within the road right-of-way based on the proposed routing of the line. The cost of land acquisition is included in the transmission line construction estimate.

If at the time of construction, the load within the utility boundary is expected to exceed 150 MW, then 230kV transmission would be warranted.

Figure 3.1 depicts the location of the proposed substations and the route of the 92kV transmission.

FIGURE 3.1: NEW MUNICIPAL UTILITY INFRASTRUCTURE
It is estimated that the construction of the substations needed to wheel energy through IID’s 92kV transmission line would cost roughly $16M. After 5 or more years when the capacity requirements of the of the City exceeds the available transmission capacity, a 230 kV interconnection will be made along with transmission to service the Harrison Polk and disconnect service from IID. The actual timing of capital expenditure will be driven by load requirements. However, for the Study, it is assumed that a capital expenditure of another $32.7M dollars would be required in the 5th year of the Study.

3.2 POWER SUPPLY & TRANSMISSION
Power supply and transmission includes all costs for power supply and related services to the municipal utility’s distribution system. Costs for power scheduling are also included in the power supply cost estimates. The City could procure its power supply requirements using different strategies including fixed price/delivery contracts, all-inclusive power supply contracts, or a mix of generation and power purchases.

The selected strategies would be guided by the City’s objectives and ultimately approved by City Council.

Legend
Proposed Substation.

Existing 230/92kV Substation.

Proposed New 92kV transmission.

Exiting SCE 230 kV Transmission

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 14
Actual power supply contract arrangements are not specified for the purposes of this Study; however, the pricing estimates are described below.

3.2.1 Power Purchases
Costs for energy purchased to meet municipal utility load are estimated at market prices for the SP15 (South Path 15) area. Block energy purchases are valued at $80/MWh in 2025 based on current forward prices. This value decreases in the first 5 years of the Study until it reaches $65/MWh in 2030. This decrease reflects that the current market prices are historically high and are expected to reduce as supply and demand markets settle out. After 2030, prices are escalated at 3% per year. The levelized cost of market purchases is $81/MWh over the 20-year study period.

Capacity services, including resource adequacy, are estimated to cost $8.86/kW-month based on the CPUC Market Price Benchmark for 2023 and escalated at 3% annually. This figure is a weighted average for system, flex, and local resource adequacy all together. This value is included for 117.5% of the municipal utility’s capacity requirements to cover the planning margin.

3.2.2 Renewable Energy
Per California’s Renewable Portfolio Standards (RPS), electric utilities must purchase a volume of renewable energy equal to at least 60% of retail sales by 2030. The requirement ramps up from 46.7% in 2025. Renewable energy purchases are split between long-term and short-term contracts for Portfolio Content Category 1 (PCC1) and Portfolio Content Category 2 (PCC2). The City may purchase Portfolio Content Category 3 (PCC3) RECs at lower cost; however, this option is not evaluated in the Study. Longterm renewable energy is priced conservatively at $42/MWh. Long-term renewable contract prices have increased since the last study due to supply chain issues and general inflation. Still, this price assumption would allow for solar plus storage or wind resources. The City must meet 60% of its renewable energy requirement from long-term contracts. Because long-term contracts are priced lower than short-term, it is assumed that the City would purchase 75% of its renewable energy requirement through long-term contracts.

The Study assumes the City would wheel long-term bundled energy via IID until the SCE intertie is completed. Once the City has constructed the intertie with SCE, the City would wheel this energy via SCE to the 230 kV line at a cost of $15-$16/MWh (described below). If the City were able to develop local renewable projects for less than $57/MWh, renewable energy costs could be reduced from the base case assumptions.

3.2.3 Resource Adequacy
Capacity services are estimated to cost $8.86/kW-month based on the CPUC Market Price Benchmark for 2023 and escalated at 3% annually. This figure is a weighted average for system, flex, and local resource adequacy all together. This value is included for 117% of the municipal utility’s capacity requirements to cover the planning margin.

3.2.4 CAISO Charges and Misc.

The utility would need to pay CAISO charges estimated at $6/MWh in 2025. Power scheduling would be needed to balance energy purchases on an hourly basis. Schedule coordinator costs of $100,000 per year are included for the first year of operation increasing by 10% per year due to projected load growth.

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Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 15

3.2.5 Wheeling and OATT
When using IID’s 92kV line to deliver power, the City would pay IID’s Open Access Transmission Tariff (OATT). IID’s current long-term and short-term point-to-point tariff is $1.69/kW-month.5 This cost is escalated at 2% per year and applied to the City’s monthly peak demand. This cost is in addition to the CIASO costs.

Once the 230kV interconnection with the SCE system is complete with accompanying transmission lines, the Municipal Utility would pay SCE’s high-voltage wheeling rate. This rate is currently $14.4157/MWh.6 The high voltage rate is applied to the municipal utility’s load in addition to the CAISO costs.

3.2.6 Summary of Power Costs
Figure 3.2 summarizes the power costs estimates.

FIGURE 3.2: CITY UTILITY POWER SUPPLY COSTS

3.3 DISTRIBUTION SYSTEM O&M
Distribution expenses include all costs to operate and maintain the distribution system including substations. Distribution O&M costs were estimated by looking at comparable preference utilities.

Distribution O&M per customer and by customer class was taken from cost of service analyses from three comparable municipal utilities. These costs were then applied to the City’s utility. The total Distribution 5 http://www.oasis.oati.com/woa/docs/IID/IIDdocs/IID_OATT_Effective_12.01.2020.pdf 6 http://www.caiso.com/Documents/WheelingAccessRatesEffectiveJan012023R3.pdf $0
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
$70,000,000
20252026202720282029203020312032203320342035203620372038203920402041204220432044 Long-Term Renewable Short-term Renewable Market Purchases Resource Adequacy Transmission Wheeling

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O&M costs were then broken down into labor and equipment costs. Labor costs include a portion of salaries and benefits for personnel in the operations and engineering departments. Material and equipment costs include the cost of operating and maintaining fleet vehicles and other construction equipment.

3.4 CUSTOMER SERVICE
Customer service expenses include labor and expenses incurred to provide customer service such as billing, meter reading, customer information and advertising, records and collection. Customer service costs may vary by type of account based on usage profile or meter type. For example, a large industrial customer with a special contract for rates would require significantly more resources to bill compared with the average residential customer on a general rate schedule.

3.5 ADMINISTRATIVE & GENERAL EXPENSE
Administrative and General (A&G) expenses include all other labor and expenses necessary to run the electric utility. Labor includes personnel in billing/customer service, accounting, information systems, and management. Office supplies and equipment includes the cost of purchasing (in the case of consumables such as paper and toner) or depreciation (in the case of depreciable assets such as computers, printers, and furniture). Facilities O&M includes the cost of operating and maintaining office space to house new employees. Miscellaneous costs include other administrative and general expenses not included in the categories listed above such as maintenance and depreciation of additional modules for the City’s new billing/CIS system necessary for the electric utility.

3.6 PUBLIC BENEFITS CHARGE
In accordance with Assembly Bill 1890, IID collects a 2.85% public benefits charge from its customers. The municipal utility would also collect this charge; therefore, it is included in both the revenue requirement and retail rate revenues.

3.7 PROPERTY TAXES AND FRANCHISE FEES
California law generally allows local governments to own and operate electric utility systems free of property taxes and without the need for local franchises and associated franchise fees. Currently, there is no franchise fee payment from IID to the City; the City is not compensated for IID’s use of City assets.

However, once the municipal utility is energized, it can collect a franchise fee through retail rates and transfer funds to the City’s general fund to compensate the City for use of its facilities. Voters can approve any level of franchise fee; however, this Study assumes the fee is 8% of retail revenue

3.8 CAPITAL IMPROVEMENT PROJECTS
In addition, to the capital projects needed to create the municipal electric system previously discussed in Section 3.1, the City would need to plan for routine capital projects for regular repair and replacements.

Capital improvement expenses are assumed to be equal to the annual depreciation value for current distribution assets. Capital improvement expenses begins at $0.4 million in 2025 and increases 3% annually.

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3.9 NON-OPERATING EXPENSES
Non-Operating Expenses include debt service and miscellaneous revenues. These are discussed below.

3.9.1 Debt Service
It is understood that the City has challenges in obtaining bonds for this type of endeavor. However, for the sake of the financial feasibility analysis, it is assumed that bond financing can be obtained.

The bond issuance is assumed to include the following:
 Construction Costs
 Debt Service Reserve (1 year’s debt service)
 Capitalized Interest (2 months debt service)
 Start-Up Costs
 O&M Reserve (3 months O&M)
 Accrued Interest (1/2 month debt service)
 Underwriters Fees (1% of Par on Bonds)
 Bond Insurance (1.25% of Total Debt Service Payments)  Cash for Working Capital
Several of these are dependent on the size of the bond issue and the basis is shown. The Operations and Maintenance Fund and Reserve are based on the O&M level. The Fund is for the first month’s O&M payments (salaries, supplies, fees) expected to be incurred in advance of receiving revenues. Bond issuers demand an O&M Reserve in case revenues are below expected levels.

The Construction costs are the costs of a new substations as described in this report. The bond would be a combination of the new substations required initially at start-up and the future 230kV interconnection with SCE and accompanying transmissions. For this Study, a single bond was assumed. However, it may be possible to separate the bonds where the initial bond covers the $13M for the new substations and all other costs described. Once load growth occurs, the City would then obtain a bond for the $57 million needed for the SCE interconnection, 230/92kV substation and 92kV transmission lines. Especially since the timing of the interconnection with SCE is dependent on the load growth and not specific time in the future.

Start-up costs are the costs of beginning utility service and may include the cost of purchasing trucks, equipment, supplies, and hiring employees. Start-up costs are estimated at $2 million.

3.9.2 Bond Issuance
Table 3.1 shows the components of the bond issue. Other than the construction cost, one of the largest components of the bond issue is the cash for working capital at $5 million. This cash is needed to pay expenses monthly where utility billing collects revenue on a 2-to-3-month lag.

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TABLE 3.1: COMPONENTS OF BOND ISSUE, MILLIONS
Construction Cost $48.6
Debt Service Reserve $3.9
Capitalized Interest (2 months) $0.4
Start-Up Costs $2.0
O&M Reserve Fund (3 months) $0.7
Cash for Working Capital $5.0
Accrued Interest (1/2 month) $0.1
Underwriter’s Discount (1%) $0.5
Bond Issuance $0.6
Total Bond Issue $61.7
Acquisition interest rates are assumed to be a taxable rate of 5%. This rate is also used for the assumed return on funds invested in the debt service reserve fund.

In the case where the City utility funds the substations and transmission upgrades, the initial bond financing is $61.7 million. The proforma analysis assumes that the initial bond includes only the portion associated with the substations. Once load growth reaches 40 MW, the bond is refinanced and includes the total amount for the SCE intertie.

3.10 ANNUAL BUDGET
The resulting budget is shown for the first 5 years of the Study in Table 3.2.

TABLE 3.2: CITY MUNICIPAL UTILITY REVENUE REQUIREMENT, MILLIONS 2025 2026 2027 2028 2029
Power Supply & Transmission $1.63 $5.29 $14.64 $18.15 $17.95 Distribution O&M $0.70 $0.74 $1.47 $1.54 $1.62
Customer Service $0.20 $0.21 $0.25 $0.26 $0.28
A&G $0.20 $0.21 $0.32 $0.35 $0.38
Capital Improvement $0.53 $0.55 $0.56 $0.58 $0.60
Debt Service $1.89 $1.89 $1.89 $4.43 $4.43
Franchise Fee $0.42 $0.74 $1.59 $2.10 $2.10
Taxes $0.10 $0.10 $0.11 $0.11 $0.11
Public Benefits Charge $0.06 $0.24 $0.66 $0.85 $0.86
Revenue Requirement $5.74 $9.96 $21.49 $28.37 $28.33

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$0.10
$0.00
2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 I'D Projected Retail Rates (5%) HD Projected Retail Rates (3%) —Public Municipal Utility

C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 19
4 Comparison of Results and Sensitivity Analysis

4.1 BASE RESULTS
Figure 4.1 compares the forecast retail rates under two service scenarios: IID and Public Municipal Utility.

As the load grows over time, the average rate decreases for the municipal utility scenario. The City would charge rates that recover the cost of service. The cost of service by the City is expected to be much lower than service by IID, even if IID rates were to only increase 3% annually compared with 5%. In order for the City’s expenses to be lower than IID retail rates, loads need to reach 55,000 MWh prior to the SCE Intertie.

FIGURE 4.1: PROJECTED RETAIL RATES, BASE LOAD FORECAST

4.1.1 Load Sensitivity
Because the average retail rate for the municipal utility decreases as load increases, a sensitivity analysis is performed using the load scenarios described previously. Load estimates appear to have the largest impact on the viability of the municipal electric utility. The three load scenarios shown in Figure 4.2 are analyzed.

The projected rates assume a margin municipal rate to meet standard debt service coverages but the City could select a higher rate to dedicate revenue for program expansions including operating capital energy efficiency or other programs as determined by the City.

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 20
FIGURE 4.2: LOAD SENSITIVITY, LEVELIZED CITY UTILITY EXPENSES 2025-2044

4.1.1.1 Break-Even Analysis
As part of the load sensitivity, it is informative to evaluate very low load forecasts. At a certain load threshold, there will be a break-even point with forecast IID rates. The analysis determines the break-even point equal to the load required to charge retail rates equal to IID and recover minimum operating costs.

Some years the City electric rates may exceed forecast IID rates, but on average the rates are similar.

The break-even load requirement for the greenfield utility is 30,000 MWh/year (5 MW). At this load level, the City would not need to construct the intertie with SCE and would continue to wheel through IID. If IID rates increase at 3% per year, the break-even load requirement increases to 55,000 MWh (9 MW). If peak demand exceeds 40 MW, the SCE intertie will need to be constructed.

4.1.2 Power Supply Cost Sensitivity
Power supply costs are estimated to average $81/MWh over the next 20 years (levelized cost). The sensitivity analysis evaluates lower and higher power costs and their impact on the municipal utility’s choice of power supply options.
$0.00
$0.05
$0.10
$0.15
$0.20
$0.25
$0.30
$0.35
Base Low High
Retail Rate, $/kWh
IID Projected Retail Rates (5%) Public Municipal Utility

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 21
5 Risks and Challenges

5.1 WHEELING OVER IID’S 92KV LINE
EES has investigated the IID transmission system and believes there is capacity for at least 40 MW in this portion of IID transmission system. However, IID has not confirmed that it has sufficient capacity available.

Further, IID determination of the available transmission capacity (ATC) takes into account the firm capacity set aside to serve peak native Load forecast commitments.7 The fact that the City has created a greenfield municipal utility should allow access to ATC that IID may have set aside for themselves to serve the load. If, through appropriate processes, it is determined that capacity on the IID system is not available to the City, the City would need to construct the 230kV line for interconnection with SCE at the initial start-up. This would increase initial capital needs. Ultimately, investigation of IID’s capacity as well as access to the capacity could delay the City from providing electric service to new customers.

If the capacity is available as predicted, there is a possibility that there will be challenges in obtaining interconnection with IID. In this case, the City would need to pursue FERC enforcement of IID’s OATT.

FERC Order 888 requires that any utility with capacity available, and under FERC jurisdiction, make available capacity to requested interconnections under standard tariffs. If the City needs to pursue FERC enforcement, energizing the new utility would be delayed and the costs of litigation would decrease the feasibility. Delays such as this may also have negative impacts on load growth potential.

5.2 LOAD GROWTH
Under municipalization, the City bears the full risk of load development throughout the Study period. If loads do not materialize, it will be difficult for the electric utility to cover the costs of the infrastructure investments without significantly increasing retail rates. If there are fewer customers, there is no base from which to generate income. Feasibility requires at least 30,000 MWh of annual load. The City is also incentivized for marketing to new developers, but the City may have limited resources for the marketing necessary to obtain new large customers.

In addition, historically, much of the projected load was expected to materialize from the cannabis grow industry. If alternative industrial customers replace cannabis grow footprint, the energy intensity of the loads could significantly decrease creating the risk that the minimum load is not reached. Cannabis grow operations typically use 100-200 kWh/square foot of floor space. Data centers or cryptocurrency loads are also high intensity and could create opportunities for base load customer growth. Other typical industrial uses are much lower ranging from 8-50 kWh/square foot depending on process.

5.3 BOND FINANCING
In order to begin serving customers, the City would need to finance substation and the transmission upgrades. The feasibility of obtaining the required debt financing should be evaluated in more detail. 7 Available Transfer Capability Implementation Document (ATCID) dated 4/15/2022

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 22
The financing process may look similar to the financing process community choice aggregators pursue.

Typically, the municipal utility would issue a request for proposals for start-up financing. The RFP would include background on the utility’s business plan and projected loads and retail rates. Responses would be evaluated and one or more respondents selected for further analysis. The lenders would begin their due diligence process of reviewing the financials, projections, and risk analysis. In some cases, the banks require the borrower to pay the cost of a third-party review of the financials.

Ultimately, there is the risk that qualifying banks would not respond. Additionally, interest rates could be higher than expected, or banks may require significant collateral and/or lockbox arrangements to secure the borrowed funds. Since the City utility would be borrowing to support future growth, the growth projection will be a key factor in obtaining financing. All of these uncertainties together mean that the cost of financing the needed infrastructure investment could be not only higher than what is assumed in this Study, but also could be infeasible due to the current industry growth projections.

The Study does not consider the bonding capacity of the City or market interest in this type of project.

5.4 RESOURCE ADEQUACY COSTS
The Study assumes that all capacity requirements are procured through bilateral contracts. The price for RA in this Study is based on the market price benchmarks calculated by the CPUC. RA prices have increased dramatically in the past 5-6 years. Recent market transactions for RA have exceeded $50/kW-month, or nearly 4 times the price assumed in this Study.

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 23
6 Summary
Based on the results of this Study, the following observations are made:

Considerations
Access to IID Capacity Initial plan is to use capacity from IID’s 92kV transmission. If access is denied, accelerate SCE interconnection.

Load Growth Risk Break-even threshold is 55,000 MWh with annual 5% IID rate increases.

Change in Load Mix Cannabis is High Density Energy Needs 100-200 kWh/sq.ft. Traditional Industrial/Commercial 8-50 kWh/sq.ft. Even with reductions in high density load, the City could likely achieve breakeven sales threshold of 55,000 MWh.

New Municipal Utility IID can challenge new utility. Limiting to greenspace-only rather than acquisition of IID customers does not eliminate the uncertainty.

Initial Financing $67.3 M
RPS Requirements Purchase from interconnection with IID or SCE.

Customer Funded Distribution
Lines
Customers will need to contribute 100% for distribution facilities to serve new load.

Reliability Transmission feed radial is a weak point.

Resource Adequacy City must rely on bilateral transactions for RA subject to price risk.

For next steps and options, see Section 1.6

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 24
7 References
City of Coachella. General Plan. Available at: https://www.coachella.org/services/document-central/- folder-165
California Energy Commission. Renewable Portfolio Standard Eligibility. Commission Guidebook. January 2011. www.pge.com/includes/docs/pdfs/b2b/wholesaleelectricsuppliersolicitation/RPS/CEC-300-2010- 007-CMF[1].pdf
California Air Resources Board. https://ww2.arb.ca.gov/resources/documents/enforcement-policy Energy Information Administration. Southern California Natural Gas Prices Accessed May 5, 2023. https://www.eia.gov/special/disruptions/socal/winter/#:~:text=The%20spot%20price%20of%20natural, hub%E2%80%94averaged%20%243.43%2FMMBtu.

Imperial Irrigation District Open Access Tariff.
http://www.oasis.oati.com/woa/docs/IID/IIDdocs/IID_OATT_Effective_12.01.2020.pdf Imperial Irrigation District website. Transmission Access. https://www.iid.com/energy/transmissionaccess/transmission-service Judicial Council of California Civil Jury Instructions (May 2020 supplement). “CACI No. 3501.” Available at:
https://www.justia.com/trials-litigation/docs/caci/3500/3501/ Southern California Edison wheeling rates.
http://www.caiso.com/Documents/WheelingAccessRatesEffectiveJan012023R3.pdf U.S. Bureau of the Census. City of Coachella, California. Estimate July 2019. https://www.census.gov/quickfacts/coachellacitycalifornia Whitman, Requardt and Associates. Handy-Whitman Index of Public Utility Construction Costs. Bulletin No. 191. Baltimore, MD. 2022.

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 25
8 Glossary of Terms
AB: Assembly Bill
Ancillary Services: Those services necessary to support the transmission of electric power from seller to purchaser given the obligations of control areas and transmitting utilities within those control areas to maintain reliable operations of the interconnected transmission system.

Auto Wrecker Zone: Northern most EDZ (Economic Development Zone).

Base Case: The base case is defined as the expected case involving expected power prices and electric loads.

Bundled: Receive all their services (transmission, distribution and supply) from the Investor-Owned Utility.

California Independent System Operator (CAISO): The organization responsible for managing the electricity grid and system reliability within the former service territories of the three California IOUs.

City: City of Coachella
Firming: Firm capacity is the amount of energy available for production or transmission that can be (and in many cases must be) guaranteed to be available at a given time. Firm energy refers to the actual energy guaranteed to be available. Firming refers to the financial instrument to change non-firm power to firm power.

Greenfield: Portions within the municipal utility zone that currently do not have electric service such as vacant land.

Green Power Program: IID customer can elect to purchase up to 100% renewable energy from IID through an Energy Cost Adjustment Renewable Billing Factor.

Harrison and Polk: Two new distribution substations.

Industrial Zone: One of the Economic Development zones located between Avenue 52 and Avenue 53.

Intertie: transmission line that forms part of an interconnection. kV: kilovolt, 1,000 volts, a unit of electrical potential. kW: Kilowatt, equal to 1,000 watts, is measure of electric demand. kWh: Kilowatt Hour.

Load Forecast: A forecast of expected load over some future time horizon. Short-term load forecasts are used to determine what supply sources are needed. Longer-term load forecasts are used for budgeting and long-term resource planning.

Load Factor: Ratio of actual energy consumption to maximum possible consumption based on peak electric load.

MW: Megawatt equal to 1,000 kW.

MWh: Megawatt Hours equal to 1,000 kWh.

N-1: Refers to contingency when there is a loss of any one system component to maintain electric service.

Resource Adequacy (RA): The requirement that a Load-Serving Entity own or procure sufficient generating capacity to meet its peak load plus a contingency amount (15% in California) for each month.

Renewable Portfolio Standard (RPS): The state-based requirement to procure a certain percentage of load from RPS-certified renewable resources.

Retail Rates: Rates charged by electric distribution utility for service provided to end-use customers. Retail rates may include distribution, transmission, and power supply services.

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 26
Shaping: Function that facilitate and supports the delivery of energy generation to periods when it is needed most.

Wheeling: the transportation of electricity from within an electrical grid to an electrical load outside the grid boundaries.

Wholesale Power: Large amounts of electricity that are bought and sold by utilities and other electric companies in bulk at specific trading hubs. Quantities are measured in MWs, and a standard wholesale contract is for 25 MW for a month during heavy-load or peak hours (7 am to 10 pm, Mon-Sat), or lightload or off-peak hours (all the other hours).

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C I T Y O F C O A C H E L L A
Feasibility Study for Municipal Electric Service to the Development Area prepared by E E S C O NS U LT I N G 27
9 Acronyms
A&G: Administrative and General
ARB: Air Resource Board
ATC: Available Transmission Capacity
ECA: Energy Cost Adjustment
EDZ: Economic Development Zone
ESA: Energy Service Agreement
FERC: Federal Energy Regulatory Commission
IID: Imperial Irrigation District
OATT: Open Access Transmission Tariff
O&M: Operation and Maintenance
NERC: North American Electric Reliability Corporation
PCC1: Portfolio Content Category 1
PCC2: Portfolio Content Category 2
PCC3: Portfolio Content Category 3
RA: Resource Adequacy
REC: Renewable Energy Credit
RPS: Renewable Portfolio Standard
SCE: Southern California Edison
SCF: Standard Cubic Foot is Defined as One Cubic Foot of Gas at 60 ⁰F SCPPA: Southern California Public Power Authority
SP15: South Path 15
TRECS: Tradeable RECs
WREGIS: Western Renewable Energy Generation Information System

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STAFF REPORT
5/14/2025
TO: Honorable Mayor and City Council Members
FROM: Castulo Estrada, Utilities Director
SUBJECT: Construction Contract with Van Dyke Corp in the amount of $ 1,702,584.00 plus 20% contingency for Construction of Shady Lane Septic-To-Sewer Project and Water Project Improvements, City Projects S-15 & W-35.

STAFF RECOMMENDATION:

Contingent upon the review of the bid documents by the State Water Resources Control Board (SWRCB), and subsequent approval. Staff recommends the City Council to:
o Authorize a construction contract with Van Dyke Corp in the amount $1,702,584.00 plus 20% contingency;
BACKGROUND:

The City of Coachella secured a Drinking Water Construction Grant in the amount of $1,799,050.00 to provide services to the Shady Lane Mobile Home Park (MHP) community.

They are a severely disadvantaged community of 40 mobile homes that was historically served by an on-site well. The well on site failed and was destroyed. The Shady Lane MHP is currently connected to the adjacent Amezcua Garcia Water System, a small aging community water system with a single well with no redundancy. The Shady Lane MHP Water Consolidation Project will construct approximately 2,880 LF of pipeline to connect the Shady Lane MHP to CWA's municipal water system. The new service will provide fire flow in accordance with Riverside County Ordinance 787 and supports the Riverside County General Plan Housing Element which highlights the importance of potable water to sustain healthy communities.

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The City of Coachella secured a Clean Water Construction Grant in the amount of $1,603,468.00 to provide services to the Shady Lane Mobile Home Park (MHP) community which currently relies on septic systems. The Project will install and connect the Shady Lane MHP to a new sewer main from Ave 54 along Shady Lane that will convey wastewater to the City's existing sewer system.

DISCUSSION/ANALYSIS:

The City requested public bids in accordance with City standards and in compliance with the California Public Contract Code. On February 14, 2025, the City issued the Notice Inviting Bods with a non-mandatory per-bid meeting on February 20, 2025. The project bid opening was held on April 2, 2025 at 10:00 a.m., with two companies submitting a bid for this project. The bid opening results are listed below:

Company Name: City: Bid Amount:

Van Dyke Corp 29 Palms $1,702,584.00
TriStar Contracting Desert Hot Springs $2,690,830.40
Staff has reviewed the bid and determined Van Dyke Corp is the lowest, responsible, responsible bidder. The total project cost, including design engineering, construction engineering, materials testing, construction and a 20% contingency as follows.

Project Item: W-35 – Shady Lane Water Cons Project Project Cost:

Construction $ 741,292.00
Impact Fees $ 233,136.00
Change Order Contingency $ 148,258.40
Allowances (Soft Costs) $ 381,623.00
TOTAL PROJECT COST: $ 1,504,309.40
Project Item: S-15 – Shady Lane Septic-To-Sewer Project Project Cost:

Construction $ 961,292.00
Impact Fees $ 218,984.00
Change Order Contingency $ 192,225.80
Allowances (Soft Costs) $ 257,131.00
TOTAL PROJECT COST: $ 1,629,632.80

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FISCAL IMPACT:

Project S-15 & W-35 have both been included in this FY 24/25 CIP Budget. Both projects bids came in below our estimated project construction costs. The total project construction costs for both projects combined was estimated to be $2,343,782.10 including contingency.

Our award recommendation is $1,702,584.00 and a contingency in an amount of $ 340,484.20 for a total of $2,043,068.20 which is less than what was anticipated as the cost in the CIP.

This request is also requesting approval of soft costs in the amounts shown in the analysis above for purposes of construction management, inspections, permits, surveying, and materials testing which have been included in the grants as reimbursable items.

ATTACHMENTS:

1. Big Opening Log

2. S-15 & W-35 Bid Comparison

3. Project Location

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CITY OF COACHELLA

SHADY LANE MOBILE HOME PARK SEPTIC-TO-SEWER PROJECT AND SHADY LANE MOBILE HOME PARK WATER CONSOLIDATION PROJECT Project No. W-35 S-15
ITEM NO. DESCRIPTION QTY UNIT UNIT PRICE EXTENDED PRICE UNIT PRICE EXTENDED

PRICE UNIT PRICE EXTENDED PRICE UNIT PRICE EXTENDED PRICE UNIT PRICE EXTENDED PRICE 1-1 Mobilization-Water 1 LS $30,000.00 $30,000.00 $467,130.00 $467,130.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-2 Dust Control/Stormwater Best Management
Practices (BMP’s) 1 LS $5,000.00 $5,000.00 $77,891.00 $77,891.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-3 Traffic Control & Site Protection 1 LS $7,500.00 $7,500.00 $50,400.00 $50,400.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-4 Striping Restoration 1 LS $10,000.00 $10,000.00 $3,780.00 $3,780.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-5 Furnish & Install 18” PVC C-905 CL-165
DR25 Irrigation Lateral 72 LF $170.00 $12,240.00 $343.00 $24,696.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-6 Abandon, crush, and/or remove Irrigation Line
as required 1 LS $5,000.00 $5,000.00 $14,462.00 $14,462.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-7 Furnish & Install 18” x45 Degree Bend 4 EA $4,450.00 $17,800.00 $4,998.00 $19,992.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-8 Construct Pipe Connect Per CVWD Std. I48/Sht 5 2 EA $4,700.00 $9,400.00 $4,451.00 $8,902.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-9 Pavement Repair with 6” AC /Native
Material for Irrigation Lateral trench 870 SF $10.00 $8,700.00 $14.47 $12,588.90 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-10
Construct Irrigation Lateral, pressure test
installed pipe section, connect to existing
Lateral, within a maximum 72 hour canal water
service interruption
1 LS $10,000.00 $10,000.00 $26,117.00 $26,117.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-11 Remove Existing Asphalt, Agg Base, &
Subgrade for Shady Lane Water Main Trench 5,710 SF $3.00 $17,130.00 $2.98 $17,015.80 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-12 Furnish & Install 12” AWWA C-900 PVC
Water Main CL-200 1,555 LF $86.00 $133,730.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-13 Furnish & Install DI 12” x 8” Tee W/
Restrained Joints) 1 EA $8,725.00 $8,725.00 $5,628.00 $5,628.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-14 Furnish & Install 12” DI Gate Valve 2 EA $6,456.00 $12,912.00 $9,975.00 $19,950.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-15 Furnish & Install 12” DI Blind Flange 2 EA $1,210.00 $2,420.00 $2,667.00 $5,334.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-16 Install 12” Test Plate, 2” Temp Blow-Off,
Remove Plate & Blow-Off & Install 2” Plug 1 LS $7,340.00 $7,340.00 $11,547.00 $11,547.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-17 Furnish & Install (1) 12” DI Tee, (3) 12” DI
Gate Valve 1 EA $30,175.00 $30,175.00 $33,388.00 $33,388.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-18 Furnish & Install Restrained Joints on 12 PVC
pipe 380 LF $25.00 $9,500.00 $23.00 $8,740.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-19
Furnish & Install 6” Fire Hydrant Assembly &
Valve Operator Well Per CWA Std W-4 & W125 EA $18,000.00 $90,000.00 $21,335.00 $106,675.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-20 Furnish & Install 2” Blow-Off Assembly Per
COC Std -W-2 1 EA $5,800.00 $5,800.00 $8,168.00 $8,168.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-21 Pavement Repair with 6” AC /Native Material
4’ Wide 5,710 SF $9.00 $51,390.00 $14.44 $82,452.40 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-21A 2’ Wide, .20’ Thick Grind & Overlay for Shady
Lane Water Main Trench Patch 3,928 SF $5.00 $19,640.00 $7.60 $29,852.80 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-22 Furnish & Install 8” CL200 C-900 PVC Water
Main 1,325 LF $52.00 $68,900.00 $114.71 $151,990.75 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-23 Furnish & Install 8” Restrained Joints on 8”
PVC pipe 313 LF $16.00 $5,008.00 $13.00 $4,069.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-24 Furnish & Install 8” DI Tee w/Restrained Joints 1 EA $5,370.00 $5,370.00 $3,738.00 $3,738.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-25 Furnish & Install 8” DI Gate Valve 4 EA $4,470.00 $17,880.00 $6,982.00 $27,928.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-26 Furnish & Install 8” Blind Flange 1 EA $492.00 $492.00 $2,289.00 $2,289.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-27 Furnish and Install 1” Copper Water Service
for 3/4“ Meter with H-20 Rated Box & Cover 40 EA $2,650.00 $106,000.00 $1,833.00 $73,320.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-28 Install City Furnished ¾” Allegro 4G Water
Meter 40 EA $325.00 $13,000.00 $143.00 $5,720.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-29 Install Pipe Bollards per Plan 4 EA $1,200.00 $4,800.00 $738.00 $2,952.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-30
Furnish and Install 1” Copper Water Service
for 3/4“ Meter W/ Backflow with H-20 Rated
Box & Cover for Irrigation for Community
Building
1 EA $6,990.00 $6,990.00 $6,325.00 $6,325.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 1-31
Contractor to Furnish and Install 2” Standard
Water Service for 1” Meter W/ Backflow with
H-20 Rated Box and Cover for Community
Building
1 EA $8,450.00 $8,450.00 $10,231.00 $10,231.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-1 Mobilization – Sewer 1 LS $10,000.00 $10,000.00 $40,791.00 $40,791.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-2 Dust Control/Stormwater Best Management
Practices (BMP’s) 1 LS $5,000.00 $5,000.00 $48,173.00 $48,173.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-3 Traffic Control & Site Protection 1 LS $5,000.00 $5,000.00 $50,400.00 $50,400.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-4 Striping Restoration 1 LS $15,000.00 $15,000.00 $3,150.00 $3,150.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-5 Remove & Dispose 6”-9” Existing Asphalt for
Gravity Sewer and Force Main 3,900 SF $6.00 $23,400.00 $3.59 $14,001.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-6 Furnish & Install 6” SDR 18 Class 150 Force
Main Sewer Line 1,630 LF $45.00 $73,350.00 $92.74 $151,166.20 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-7 Furnish & Install 6” x 45 Degree Bend 4 EA $960.00 $3,840.00 $2,446.00 $9,784.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-8 Furnish & Install 48” Modified Manhole Per
Plan/Detail 1 EA $22,250.00 $22,250.00 $21,338.00 $21,338.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-9 Remove Concrete, Asphalt, & Landscape As
Needed 1 LS $5,000.00 $5,000.00 $14,275.00 $14,275.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-10 Furnish & Install Manhole Insert Odor Media
(Wager 30000-VWS) 1 EA $12,000.00 $12,000.00 $10,269.00 $10,269.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-11 Furnish & Install 48” I.D. Manhole Per
Plan/Detail COC Std. D-2 4 EA $17,890.00 $71,560.00 $10,754.00 $43,016.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-12 Furnish & Install 60” I.D. Manhole Per
Plan/Detail COC Std. D-3 3 EA $23,890.00 $71,670.00 $17,695.00 $53,085.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-13 Furnish & Install 3 Lf of 8” Sewer Plug 4 EA $425.00 $1,700.00 $1,289.00 $5,156.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-14 Furnish & Install 4” SDR 35 Sewer Lateral
with Cleanout - per COC Std. D-11 40 EA $1,400.00 $56,000.00 $1,735.00 $69,400.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-15 Furnish & Install 8” SDR 35 ASTM D3034
PVC Sewer Main 1,412 LF $65.00 $91,780.00 $135.41 $191,198.92 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-16 Furnish & Install 6” SDR 35 Sewer Lateral per
COC Std. D-11 – Community Building 1 LS $1,620.00 $1,620.00 $2,840.00 $2,840.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 2-17 Furnish and install 6” Asphalt Over Native for
Sewer Force Main 3,900 SF $9.00 $35,100.00 $14.45 $56,355.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-1 Mobilization – Sewer Lift Station 1 LS $15,000.00 $15,000.00 $24,822.08 $24,822.08 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-2 Dust Control/Stormwater Best Management
Practices (BMP’s) 1 LS $5,000.00 $5,000.00 $32,191.00 $32,191.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-3 Traffic Control & Site Protection 1 LS $2,500.00 $2,500.00 $9,450.00 $9,450.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-4 Furnish & Install Class 2 Base compacted to
90% 1,275 SF $3.00 $3,825.00 $4.77 $6,081.75 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-5 Furnish & Install 6’ Chain Link Fence with
Privacy Slats 62 LF $120.00 $7,440.00 $270.90 $16,795.80 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-6 Furnish & Install 6’ Chain Link Gates with
Privacy Slats 2 EA $2,030.00 $4,060.00 $8,896.00 $17,792.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-7 Furnish & Install Shower / Eye Wash Station 1 EA $4,225.00 $4,225.00 $6,359.00 $6,359.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-8 Furnish & Install Hose Bib with 2” Schedule 80
PVC Piping 1 EA $1,225.00 $1,225.00 $3,369.00 $3,369.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-9 Furnish & Install LED Area Lighting and Light
Pole 1 EA $6,500.00 $6,500.00 $18,881.00 $18,881.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-10 Construct Sewer Lift Station Wet Well-72”
precast concrete, concrete key and coating 1 EA $85,092.00 $85,092.00 $119,562.00 $119,562.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-11
Furnish and Install dewatering system
including pumps, discharge piping and
groundwater discharge disposal
1 LS $156,000.00 $156,000.00 $184,317.00 $184,317.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-12 Furnish and Install Lift Station Pumps 2 EA $22,695.00 $45,390.00 $19,922.00 $39,844.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-13
Furnish and Install Lift Station discharge
piping, fittings, check valves, plug valves, rail,
pipe supports
1 LS $55,115.00 $55,115.00 $54,674.00 $54,674.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-14 Furnish and Install pump electrical, electronic
controls, and appurtenances 4 EA $14,300.00 $57,200.00 $9,918.00 $39,672.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 3-15
Furnish and Install 1” Copper Water Service
W/ Backflow with H-20 Rated Box & Cover for
Lift Station and Install 3/4“ City-Furnished
Meter
1 EA $8,450.00 $8,450.00 $9,349.00 $9,349.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,702,584.00 $2,690,830.40 $0.00 $0.00 $0.00
Indicates Staff correction of the math.

Indicates Apparent Low Bidder
TOTAL
Bid Schedule The Van Dyke Corp TriStar Contracting Contractor 3 Contractor 4 Contractor 5

Item 37.

Project Location

Item 37.