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Agenda Report
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April 13,2026
TO: Honorable Mayor and City Council
FROM: Water and Power Department
SUBJECT: AUTHORIZE THE CITY MANAGER TO ENTER INTO CONTRACTS TO
PROVIDE ENGINEERING SERVICES FOR THE POWER PLANT WITH
KEWO ENGINEERING CORPORATION FOR A GRAND TOTAL NOT-TO-
EXCEED AMOUNT OF $1,260,000 AND WORLEY GROUP, INC. FOR A GRAND TOTAL NOT-TO-EXCEED AMOUNT OF $1,260,000 FOR UP TO
SEVEN YEARS
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RECOMMENDATION:
It is recommended that the City Council:
1. Find that the action proposed herein is not a "project" subject to the California Environmental Quality Act ("CEQA") pursuant to State CEQA Guidelines Section 21065 and within the meaning of Section 15378(b);
2. Authorize the City Manager to enter into a contract, as a result of the competitive selection process, as specified by Section 4.08.047 of the Pasadena Municipal Code, with Kewo Engineering Corporation ("Kewo") to provide engineering services for the Power Plant for up to seven years for a grand total amount not-to-exceed $1,260,000, which includes the option for two additional one-year extensions or an amount not-to-exceed $360,000, whichever occurs first, at the discretion of the City Manager. Competitive price bidding is not required pursuant to City Charter Section 1002 (F) Contract for professional or unique sen/ices; and
3. Authorize the City Manager to enter into a contract, as a result of the competitive selection process, as specified by Section 4.08.047 of the Pasadena Municipal Code, with Worley Group, Inc. ("Worley") to provide engineering services for the Power Plant for up to seven years for a grand total amount not-to-exceed $1,260,000, which includes the option for two additional one-year extensions for an amount not-to-exceed $360,000, whichever occurs first, at the discretion of the City Manager. Competitive price bidding is not required pursuant to City Charter Section 1002 (F) Contract for professional or unique services.
I
MEETING OF 04/13/2026AGENDA ITEM NO.2
Authorization to Enter into Contracts with Kewo Engineering and Worley Group April 13, 2026
BACKGROUND:
Pasadena Water and Power ("PWP") is implementing various ongoing Power Plant projects that rely on the expertise of professional engineering services to ensure efficient and reliable plant operations, regulatory compliance, and maintenance and capital projects for the plant on an as-needed basis. To facilitate the simultaneous advancement of multiple projects, the Power Supply Division currently retains the services of two engineering consultants. As the contracts for the current professional engineering services are drawing to their end date, new contracts are needed to continue services.
On November 12, 2025, a Request for Proposals ("RFP") was posted on OpenGov for engineering services for the Power Plant to augment existing resources at PWP. A total of 60 vendors downloaded the specifications of which five were local. Six proposals were received by the December 15, 2025 due date, including one local firm. A PWP evaluation team made up of three representatives from the Power Plant evaluated and scored all six proposals based on criteria listed in the RFP, as shown in Table I.
Table 1: RFP Scoring Criteria
Scoring Criteria
Qualifications, capabilities, relevant experience
and safety record
Maximum 100 Points
30 Experience and References10
Company Staffing Assigned to the Project20
Cost Proposal30
Local Pasadena Business5
Small or Micro-Business5
A summary of the scoring is shown below in Table II.
Table II: Proposal Scores
ProposerLocation
Kewo Engineering CorporationDiamond Bar, CA
Average Total
Points
(Out of 100)
74.8 Worley Group, IncMonrovia, CA74.3
Yao Engineering, IncPasadena, CA69
E2 Consulting Engineers, Inc
Power-Tech Engineers, Inc
Emeryville, CA61
Walnut, CA53
SEL Engineering Sen/icesPullman, WA38
The evaluation team found that the proposals from Kewo and Worley met the requirements of the RFP and achieved the highest evaluation scores. Based on the scoring criteria, staff recommends awarding two separate contracts with Kewo and Worley to provide Authorization to Enter into Contracts with Kewo Engineering and Worley Group April 13, 2026
engineering services for PWP. Each of the proposed contracts will have an initial five-year term and a not-to-exceed spending authority of $900,000 and two optional one-year extensions for an amount not-to-exceed $180,000 each, whichever comes first and subject to City Manager approval. Kewo has previously been awarded three City contracts, cumulatively valued at $1.24 million since 2019. Worley also has previously been awarded five City contracts, cumulatively valued at $1.68 million since 2015.
COUNCIL POLICY CONSIDERATION:
The proposed contracts are consistent with the Public Facilities Element of the General Plan and supports the City Council's goal to improve, maintain and enhance public facilities and infrastructure and to implement capital improvements that will maintain and rehabilitate infrastructure.
ENVIRONMENTAL ANALYSIS:
CEQA excludes, from environmental review, actions that are not "projects" as defined by CEQA Guidelines Section 21065 and within the meaning of Section 15378(b). Sections 21065 and 15378(b) define a project as an action which may cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. Section 15378 excludes from the definition of "project" continuing administrative or maintenance activities, such as purchases for supplies and services. The awarding of contracts for professional services (including on-call general engineering services) is an organizational and administrative activity and therefore is not a "project" as defined by CEQA. Since the action is not a project subject to CEQA, no environmental document is required.
Authorization to Enter into Contracts with Kewo Engineering and Worley Group April 13, 2026
FISCAL IMPACT:
The total cost of these contracts is $2,520,000, which includes a base contract amount of $900,000, and $360,000 for optional extensions for Kewo and a base contract amount of $900,000, and $360,000 for optional extensions for Worley. Funding for this action will be addressed by the utilization of existing and future appropriations in the Power Capital Fund 411. It is anticipated that $60,000 will be spent during the current fiscal year. Future costs will be budgeted as part of the department's annual capital budget. There is no impact to the General Fund. The contract summary is shown below in Table III.
Table III: Contract Summary
Contract ExpendituresAmount
Kewo Base Contract Amount
Kewo Optional Extensions
Worley Contract Amount
Worley Optional Extensions
Total Not-To-Exceed Amount
$900,000
$360,000
$900,000
$360,000
$2,520,000
Respectfully submitted,
DAVID M. REYES
General Manager
Water and Power Department
Prepared by:
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Kelly Nguyen
Assistant General Manager
Water and Power Department
Approved by:
'MARQUEZ
City Manager