AGENDA
MUNICIPAL SERVICES COMMITTEE
MEETING NOTICE
APRIL 23, 2024
PUBLIC MEETING 4:00 P.M.
MEMBERS
Felicia Williams, Chair, District 2
Tyron Hampton, Councilmember, District 1
Justin Jones, Councilmember, District 3
Jason Lyon, Councilmember, District 7
STAFF
David Reyes, Acting General Manager
Lisa Hosey, Assistant City Attorney
Jerice Kenebrew, Recording Secretary
MISSION STATEMENT
The City of Pasadena is dedicated to delivering exemplary municipal services, responsive to our entire community and consistent
with our history, culture and unique character.
In compliance with the Americans with Disabilities Act of 1990, Assistive Listening Devices are available from the City Clerk’s Office with a 24-hour advance notice.
Please call (626) 744-4124 to request use of a listening device.
Language translation services are available for this meeting by calling (626) 744-4124 at least 24 hours in advance.
Habrá servicio de interpretación disponible para éstas juntas llamando al (626) 74
4-4124 por lo menos con 24 horas de anticipación.
Items on the agenda may not be called in order listed.
Agendas and supporting documents are available on the Internet at http://ww5.cityofpasadena.net/commissions/city-council-municipal-services-committee/ Materials related to an item on this Agenda submitted to the Municipal Services Committee after distribution of the agenda packet will be posted online and listed as: “Supplemental Agenda Material Received after the Posting of the agenda”.
PUBLIC COMMENT AT THE MUNICIPAL SERVICES COMMITTEE MEETING FOR APRIL 23, 2024, AT 4:00 P.M. WILL BE ACCEPTED IN-PERSON AND BY VIDEOCONFERENCE/TELECONFERENCE.
Link to City Meeting Policy:
cityofpasadena.net/CityCouncilMeetingPolicy
TO VIEW A LIVE STREAM OF THE MEETING:
http://pasadena.granicus.com/MediaPlayer.php?publish_id=9 AND
WWW.PASADENAMEDIA.ORG
In order to facilitate public participation at meetings the City will accept public comment in the following manner:
1. Whether participating in-person or virtually at the meeting, members of the public may provide public comment by submitting a speaker card prior to the start of public comment on that item, at the following webpage:
www.cityofpasadena.net/commissions/public-comment/
If a public comment speaker wishes to speak on more than one agenda item, please indicate which items on the online form (multiple item speakers will be handled according to the process posted on the agenda and as specified in the City meeting policy). Public comments are limited to 3 minutes each, and the Chair and Committee may limit this time if reasonable under the circumstances.
2. In-person Meeting Participation: Complete an online speaker card at the following website: www.cityofpasadena.net/commissions/public-comment/ After submitting a public speaker card, members of the public may attend the meeting in-person by coming to the Pasadena City Council Chamber, Room S249 at City Hall at the date and start-time of the posted meeting.
Virtual Meeting Participation: For virtual participants, you may attend by connecting to the meeting using a computer, other electronic device, or by telephone. Please review the agenda to identify the published start time for the meeting and connect to the meeting just prior to, or at the start of the meeting.
To participate in public comment for an item and to be recognized to speak, it is required that the speaker login to the meeting using the same name or telephone number used on the Speaker Card form. This will allow City staff to locate and promote the speaker into the meeting when it is time for their public comment.
Participants’ phone calls to the Committee meeting will be recorded as part of the Committee meeting. By staying on the line and making public comment during the Committee meeting by phone, you are agreeing to have your phone call recorded. Following is the connectivity information for virtual participation:
Computer or electronic devices, join the meeting at: cityofpasadena.net/cczoom Telephone only dial-in: 1-669-900-6833, Meeting ID: 161 482 446
3. Speaker Card Help Line: I f a public comment speaker needs assistance in completing a speaker card, please call the City Clerk’s Office at: (626) 744-4124. The helpline will open 30 minutes prior to the posted start time of the meeting.
4. M embers of the public may submit correspondence of any length prior to the start of the meeting, at the following email address:
c
[email protected]
C
orrespondence will be forwarded to the Committee prior to the start of the meeting, posted online, and made part of the legislative record for the item.
LIVESTREAM WITH CAPTIONING IS AVAILABLE AT WWW.PASADENAMEDIA.ORG, AND ALSO AT WWW.CITYOFPASADENA.NET/COMMISSIONS/AGENDAS, I
F YOU NEED A REASONABLE MODIFICATION OR ACCOMMODATION PURSUANT TO THE
AMERICANS WITH DISABILITIES ACT
BECAUSE YOU ARE UNABLE TO PARTICIPATE ELECTRONICALLY AS SET FORTH ABOVE, CONTACT THE CITY CLERK’S OFFICE
AS SOON AS POSSIBLE AT (626) 744-4124 OR [email protected].
CITY OF PASADENA
MEETING OF
THE MUNICIPAL SERVICES COMMITTEE
APRIL 23, 2024
PUBLIC MEETING: 4:00 PM
PASADENA CITY HALL, COUNCIL CHAMBER
100 NORTH GARFIELD AVENUE, ROOM S249
NOTICE IS HEREBY GIVEN that the special meeting of the Municipal Services Committee will be held on Tuesday, April 23, 2024, at 4:00 p.m., to discuss matters on the attached agenda.
I HEREBY CERTIFY that this agenda in its entirety, was posted on the Internet at https://www.cityofpasadena.net/commissions/city-council-municipal-services-committee/ and on the Council Chamber Bulletin Board, Room S249, and the Bulletin Board in the rotunda area; City Hall, 100 North Garfield Avenue, this April 18, by 6:30 p.m. and that copies hereof were faxed, emailed or delivered to each member of the City Council and to each local newspaper of general circulation, radio or television station requesting notice in writing, all of which recipients are identified on the distribution herein below.
Susana Castro
DISTRIBUTION:
MSC Committee Members Central Library General Manager Pasadena Weekly City Council City Clerk Director of Planning and Permitting Pasadena Star-News City Manager Director of Public Works Los Angeles Times Pasadena Now City Attorney Public Information Officer La Opinion Pasadena Journal
In compliance with the Americans with Disabilities Act of 1990, listening assistive devices are available from the City Clerk's Office with a 24-hour advance notice.
Please call (626) 744-4124 to request use of a listening device. Language translation services may be requested with 24-hour advance notice.
Habra servicio de interpretacion disponible para estas juntas llamando al (626) 744-4124 por lo menos con 24 horas de anticipación.
MEETING AGENDA
MUNICIPAL SERVICES COMMITTEE
APRIL 23, 2024
Public Meeting: 4:00 P.M.
Council Chamber, Pasadena
City Hall 100 North Garfield Avenue, Room S249
APPROVAL OF MINUTES
Februar
y 27, 2024 (Regular Meeting)
March 12, 2024 (Regular Meeting)
1. ME
TROPOLITAN WATER DISTRICT PRESENTATION BY CYNTHIA KURTZ
2. AUTHORIZATION TO ENTER INTO A CONTRACT WITH NEWGEN STRATEGIES AND
SOLUTIONS, LLC FOR ELECTRIC COST-OF-SERVICE ANALYSIS AND RATE DESIGN SERVICES (“ELECTRIC RATE STUDY”) FOR AN AMOUNT NOT-TO-EXCEED $258,042
FOR THE WATER AND POWER DEPARTMENT
3. ESTABLISH A PLAYHOUSE PARKING METER ZONE ADVISORY COMMISSION,
AMEND THE MUNICIPAL CODE EXPANDING THE PLAYHOUSE PARKING METER
ZONE BOUNDARIES, AND ADOPT AN UPDATED METER RATE STRUCTURE PUBLIC MEETING - 4:00 P.M.
ROLL CALL
PUBLIC COMMENT
INFORMATION ONLY
ADJOURN
NEW BUSINESS
1 01 02/27/2024
CITY OF PASADENA
MUNICIPAL SERVICES COMMITTEE MINUTES
PASADENA CITY HALL
100 NORTH GARFIELD AVENUE
CITY HALL COUNCIL CHAMBER – S249
February 27, 2024
MEETING
OPENING The Chair called the meeting of the Municipal Services Committee to order at 4:07 p.m.
ROLL CALL:
S
taff:
Councilmember Felicia Williams, Chair
Councilmember Tyron Hampton (Arrived 4:30 p.m.)
Councilmember Justin Jones
Councilmember Jason Lyon
David Reyes, Acting General Manager of Water and Power
Tony Olmos, Director of Public Works
Kelly Nguyen, Assistant General Manager of Water and Power Kris Markarian Deputy Public Works Director/City Engineer , of Public Works
Lisa Hosey, Assistant City Attorney
Jerice Kenebrew, Recording Secretary
PUBLIC COMMENT No one appeared for public comment on matters not on the agenda.
APPROVAL OF MINUTES It was moved by Councilmember Lyon, seconded by Councilmember Jones, to approve the minutes of January 23, 2024 , as submitted. (Motion unanimously carried) (Absent: Councilmember Hampton)
NEW BUSINESS INITIAL PROPOSAL FOR REVIEW AND CONSIDERATION TO
ENTER INTO A CONTRACT WITH ENERGY AND ENVIRONMENTAL
ECONOMICS INC (“E3”) FOR CONSULTING SERVICES FOR THE
DEVELOPMENT OF AN INTEGRATED STRATEGIC PLAN FOR
ACHIEVING THE CARBON-FREE GOALS OF RESOLUTION 9977
David Reyes, A cting General Manager of Water and Power provided introductory comments, and Kelly Nguyen, Assistant General Manager of Water and Power summarized the staff report as part of the PowerPoint presentation, with both responding to questions.
Jerice Kenebrew, Recording Secretary, reported that the City Clerk’s Office received nine letters of correspondence expressing concerns with the staff recommendation and/or providing comments on the matter, which were distributed to the Committee, and posted online.
The following individuals provided comment on the matter:
Peter Eisenhardt , N eighborhood UU C hurch of Pasadena Environmental Committee
Genette Foster, Pasadena Resident
Cynthia Cannady, Pasadena 100
Sam Berndt, Pasadena 100
David Weeshoff, Pasadena Audubon Society
2 02 02/27/2024
Councilmember Hampton
arrived 4:30 p.m. Councilmember Lyon expressed concerns with the proposed scope of work, as the Committee asked staff to ensure the contract be positioned with the City Manager’s Office in order for an independent check be made on the information provided by Water and Power ; and for the vendor, Energy and Environmental Economics Inc., (E 3) to be comfortable to “push back” and report to the City Council/Committee with additional options related to developing the Integrated Resource Plan (IRP) . In addition, he believes placing the Contract under the preview with the Office of the City Manager, will assist with overcoming institutional biases, as he believes the Water and Power Department (W&P) has a preference for long term external large energy contracts.
Councilmember Lyon stated that he believes staff is off to a good start with moving forward in developing the W&P’s I RP, and asked staff to amend the scope of work to include the four goals detailed in Resolution No. 9977; and advocated for the completion of the development of the IRP prior to starting the City’s rate study.
Councilmember Jones asked staff to include the City’s carbon -free goals to E3’s scope of work and to amend the name of the Integrated Strategic Plan to Optimized Strategic Plan (OSP).
David Reyes, Acting General Manager of Water and Power stated that staff will renegotiate with E3 a revised scope of work , costs and schedule, and return to the Committee with an updated schedule, and responded to questions.
Nick Schlag, Partner with Energy and Environmental Economics Inc., (E3), provided information on IRP’s, OSP’s, Integrated Strategic Plans, and Action Plans and responded to questions.
Chair Williams, echoed comments related to revising the scope of work to include the goals of Resolution 9977, change the name of the Integrated Resource Plan to Optimized Strategic Plan (OSP), and return to the Committee with an update in six months.
Motion: Following discussion, it was moved by Councilmember Jones, and seconded by Councilmember Lyon, to incorporate the feedback given by the Committee, as detailed a bove, and direct staff to amend the proposed scope of work, negotiate with E3, and forward the item to the City Council for consideration:
AYES: Councilmembers Hampton, Jones, Lyon, Vice Mayor
Williams
NOES: None
ABSENT: None
ABSTAIN: None
INFORMATION ONLY UNPERMITTED MOSAIC TILE INSTALLATIONS IN THE PUBLIC
RIGHT-OF-WAY
Tony Olmos, Director of Public Works, provided introductory comments and Kris Markarian Deputy Public Works Director/City Engineer , of Public Works presented a PowerPoint presentation on the item, and responded to questions.
3 03 02 /27/2024
Jerice Kenebrew, Recording Secretary, reported that the City Clerk’s Office received four letters of correspondence in opposition to the removal of mosaic tiles from the public right -of way , which were distributed to the Committee, and posted online.
The following individuals provided comment on the matter:
Justin “Flaco” Diedrich, Pasadena Resident
JoAnne Jackson, Pasadena resident
Janet Whaley, Pasadena Resident
Mary Fitzgerald, Pasadena Resident
Councilmembers Jones and Hampton advocated for staff to work with the artists and community members to allow approved and permitted mosaic tiles/public art as part of the sidewalk repair process throughout the city.
Chair Williams asked staff to identify potential areas for art installation, develop criteria, standards and permits, obtain an eligible list of artists through an RFP process, information on liability issues, and return to the committee with an update.
Following discussion, on the order of the Chair, and by consensus of the Committee, the information was received and filed.
ADJOURNMENT On the order of the Chair, the meeting of the Municipal Services Committee was adjourned at 5:36 p.m.
ATTEST:
____________________
Jerice Kenebrew
Recording Secretary
__________________________
Councilmember Felicia Williams, Chair
Municipal Services Committee
4 01 03/12/2024
CITY OF PASADENA
MUNICIPAL SERVICES COMMITTEE MINUTES
PASADENA CITY HALL
100 NORTH GARFIELD AVENUE
COUNCIL CHAMBER – ROOM S249
March 12, 2024
MEETING
The regular meeting of the Municipal Services Committee, scheduled for Tuesday, March 12, 2024, at 4:00 p.m., was cancelled as ordered on March 7, 2024, and was posted.
ATTEST:
____________________
Jerice Kenebrew
Recording Secretary
__________________________
Vice Mayor Felicia Williams, Chair
Municipal Services Committee
5 ITEM #2
6 7
8 9
10 11
12 Municipal Services Committee (MSC)
April 23, 2024
Item # 2
Authorization to Enter into a Contract with
NewGen Strategies and Solutions, LLC
for Electric Cost-of-Service Analysis and
Rate Design Services ("Electric Rate Study")
for an Amount Not-to-Exceed $258,042 for the
Water and Power Department
Pasadena Water & Power
13 Purpose of the Electric Rate Study
2 Develop rates that ensure revenue adequacy and fair allocation of costs, while balancing customer satisfaction
Challenges
•Power Supply Cost
Increase
•Integration of
Customer Generation
•Prop 26 Constraints
•Financial
Performance Targets
Trade-Offs
•Long-Term
Infrastructure
•Power Supply
Commitments
•Customer Satisfaction
•Data to Support
Decision Making
Data-
Informed
Strategy
•Customer/Load Data
Analysis
•Five-Year Revenue
Requirement Projection
•Dynamic 10-Year Financial
Forecast Model
•Rate Design
•Public Participation
14 Economic Development Division – City Manager’s Office Why Now?
3 Pasadena Water & Power
• Best practice is to conduct an electric rate study every 5- 10 years or with significant industry change;
comprehensive electric rate study completed in 2014
• Many portions of Pasadena’s electric rate ordinance
untouched since “Deregulation” in the early 2000’s
• Financial modeling has made significant improvements
• Result will be a dynamic financial planning
model
w
ith rates for 3-5 years that can be integrated with
ot
her studies and plans
• Updated policy goals (City Council Resolution 9977)
Image from Vox.com.
Pasadena Water & Power
15 Community Partners Engagement
Overview of Study Plan
Where relevant and useful, the
study plan will leverage findings
and information from previous
planning efforts (Integrated
Resource Plan, Power Delivery
Master Plan, Operating Budget,
Capital Improvement Budget)
Pasadena Water & Power Preparatory
Analysis
Review of Prior
Studies/
Reports
Cost Allocation
by Function
Financial Model
Core Assumptions
and Budget Input
Community
Value
Discussion
Rate
Development
Customer Class
Cost Recovery
by Rate
Component
(Fixed or
Variable)
Scenario
Analysis
Benchmarking/
Market Trend
Analysis
Rate
Adoption
Pricing
Development
Scenario
Selection
Customer Rate
Impact Analysis
Final Report
16 Economic Development Division – City Manager’s Office Plan Integrations and Dependencies
Task May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Optimized Strategic Plan
Preparatory Studies
Portfolio Development
Cost Impacts
Optimized Plan
Community Partners Engagement
Electric Rate Study
Preparatory Analysis
Rate Development
Rate Adoption
Community Partners Engagement
Operating Budget Development
Capital Budget Development
2027Power Delivery Master Plan
2028Integrated Resources Plan
2029
Annually with 5-year forecasts
Annually with 5-year plan
Where relevant, all planning efforts will
work in concert to leverage the
available resources and use the best
available information for decision-
making.
PWP will coordinate closely to avoid
confusion to customers.
FY 2024 FY 2025 FY 2026
Pasadena Water & Power
17 Economic Development Division – City Manager’s Office About NewGen
6 NewGen is a nationally-recognized consulting firm
• Founded in 2012
• O
ver 60 Professionals and Support Staff
• 13 Offices Across the U.S.
• Utility Expertise
Electric
Water
Natural Gas
• Projects Include:
Load Forecasting
Appraisals
Feasibility Studies
Regulatory Matters
Utility Financial Planning
• Extensive Experience with California Publicly-Owned Utilities 18 Economic Development Division – City Manager’s Office Competitive Selection Results
Firm Name Location
Evaluated Score
(Out of 100)
NewGen Strategies and Solutions, LLC Lakewood, CO 85.2
1898 & Co., part of Burns & McDonnell Kansas City, MO 76.4 MCR Corporate Services, Inc. Deerfield, IL 59.6
AIP Capital Markets Rolling Hills Estates, CA 50.5
7 • NewGen obtained the highest average score
Depth and range of cost-of-service analysis and rate design services Solid expertise:
Proposition 26 and other California-specific policy issues Hands-on work with recent rate design efforts in local markets Pasadena Water & Power
19 Economic Development Division – City Manager’s Office Fiscal Impact
Two-year contract with two optional one-year extensions 8 Fiscal Impact Summary
Contract $ 215,035
Contingency for necessary change orders $ 43,007
Total Fiscal Impact: $ 258,042
Pasadena Water & Power
20 Pasadena Water & Power
Staff Recommendations
1. Find that the proposed action is not a project subject to the Califo
rnia Environmental Quality Act (“CEQA”) pursuant to
Section 21065 of CEQA and Sections 15060(c)(2), 15060(c)(3) and 15378 of the State CEQA Guidelines and, as such, no
environmental document pursuant to CEQA is required for the project; and
2. Authorize the City Manager to enter a contract, as a resul t of a
co
mpetitive selection process, as specified by Section 4.08.047 of the Pasadena Municipal Code, with NewGen Strategies and Solutions, LLC (“NewGen”) for an amount not-to-exceed
$258,042, which includes a base contract amount of $215,035 a
nd a contingency of $43,007, to provide for any necessary change orders, for two years, with two optional one-year ex
tensions.
9 Pasadena Water & Power
21 ITEM #3
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39