Redding City Council
May 20, 2025

Agenda
Regular Meeting
Redding City Council
Council Chambers
777 Cypress Avenue, Redding, CA
May 20, 2025
6:00 PM

1. CALL TO ORDER - MAYOR JACK MUNNS
A. Pledge of Allegiance
B. Invocation - Pastor Tom Winslow, Family Celebration Center C. Roll Call

3. PUBLIC COMMENT - for non-agendized matters within the city’s jurisdiction.

4. CONSENT CALENDAR
The Consent Calendar contains items considered routine and/or which have been individually scrutinized by City Council Members and are anticipated to require no further deliberation. If a member of the public wishes to address an item on the Consent Calendar, please enter your name in the electronic kiosk located in the lobby before the Consent Calendar is considered. It shall be the prerogative of any Council Member, before the Consent Calendar is acted upon, to: (1) comment on an item; (2) respond to any public comment on an item; (3) request the record reflect an abstention or nay vote on an item; or (4) remove an item and place it on the Regular portion of the agenda for delivery of a staff report and/or an extended discussion or deliberation.

PURSUANT TO THE BROWN ACT, CITY COUNCIL CANNOT TAKE ACTION ON PUBLIC

COMMENT ITEMS
The City Council will allocate up to a maximum of three minutes per speaker for 30 minutes total, at the beginning of the meeting for Public Comment for non-agendized matters within the City’s jurisdiction.

The Mayor will determine the order of the speakers. If 30 minutes is not adequate to accommodate all of the individuals who have submitted a Speaker Request Form to the City Clerk, the Council will trail this item to the end of the open session agenda. The remaining speakers will address the City Council at that time.

If anyone wishes to address the City Council on any item considered at this meeting before or during Council’s consideration of that item, please enter your name in the electronic kiosk located in the lobby. The City Council will allocate up to a maximum of three minutes per speaker for each agenda item. Staff reports are available on-line at the City’s web site at www.cityofredding.gov or in the Public View binder located on the podium at the north side of the Chambers.

PLEASE SILENCE YOUR CELL PHONES. THANK YOU.

Redding City Council May 20, 2025

4(a). Approve City Council Minutes: Special Meeting – Closed Session of May 6, 2025; and Regular Meeting of May 6, 2025.
4(b). Accept City of Redding Accounts Payable Register No. 10.

4.1(a). Authorize and approve the following actions:
(1) Accept update regarding the proclamation declaring a local emergency due to flooding and, pursuant to Public Contract Code 20168 and 22050(c)(1), make a determination by a four-fifths vote that there is a need to continue the emergency; and
(2) Adopt the 79th Amendment to City Budget Resolution No. 2023-060 appropriating $3,750,000 for the South Bonnyview Storm Drain Project due to flooding and approve internal loan from City of Redding (City) Wastewater Utility to the City’s Storm Drain Utility for Fiscal Year 2024-25. The loan will be paid annually, every June 30th- amortized annually over a 20-year term at the average pooled cash rate calculated at the time of payment.

4.1(b). Authorize the City Manager to execute a contract with International City/County Management Association (ICMA) TV – WebsEdge in the amount of $26,300 to profile the City of Redding in a marketing video at the 2025 ICMA Annual Conference.

4.1(c). Authorize and approve the following:
(1) Approve the Real Estate Purchase and Sale Agreement (PSA) with Amazon.com Services LLC, for 34.06 acres of City of Redding-owned property located at 5855 Venture Parkway, Stillwater Business Park Parcel 11B (Assessor’s Parcel Numbers 054-220-031 & 054-260-003), for $2,554,500; and
(2) Authorize the Mayor to sign the PSA and other documents needed to complete the sale and transfer of the property.

4.2(a). Authorize and approve the following actions:
(1) Approve the License Agreement and Operating Permit for Peer-to-Peer Vehicle Sharing Concession (Agreement) with Turo Inc. at the Redding Regional Airport;
(2) Authorize the City Manager, or designee, to sign and execute the Agreement; and
(3) Find that the action is Categorically Exempt from environmental review under the California Environmental Quality Act, pursuant to Section 15301 – Existing Facilities.

4.2(b). Authorize the City Manager, or designee, to issue a loan between the City of Redding General Fund and the Airports Division Enterprise Fund in order to fund the Redding Regional Airport Passenger Terminal Parking Lot Reconstruction Project in an amount not to exceed $1.5 million – the loan will be amortized annually over a 10-year term at the averaged pooled cash rate with annual payments of $145,325 and a projected balloon payment of $355,000.

Redding City Council May 20, 2025

4.5(a). Authorize staff to exercise Optional Compliance Measure Section 3.2(C) within the Redding Electric Utility RPS-100 Renewables Portfolio Standard (RPS) Enforcement Program and Procurement Plan for Compliance Period 4 in order to meet California’s RPS Mandate set by the California Energy Commission.

4.5(b). Approve the following related to the sole-source purchase of an Arborist Backyard Lift and trailer for City of Redding Electric Utility:
(1) Authorize purchase of one 2021 Arborist Backyard Lift TDA-58 and one trailer from Global Rental Company, Inc. for $176,581.76, including all applicable taxes and fees; and
(2) Authorize the City Manager to approve future pricing adjustments, terms, and Department of Motor Vehicles registration fees, as needed, up to a total of $5,000.00.

4.5(c). Authorize and approve the following actions for the City of Redding Electric Utility:
(1) Approve Second Amendment to City of Redding Construction Services Contract (C-9962) with Basin Enterprises and renew the Contract for an additional one-year term in an amount not to exceed $6 million for electric utility line construction services; and
(2) Authorize the City Manager, or designee, to approve project construction change orders up to, and not-to-exceed, $1,200,000 - 20 percent of the contract amount.

4.6(a). Authorize and approve the following actions relative to Request for Proposals (RFP) Schedule No. 5589 for Janitorial Services at City of Redding facilities:
(1) Award RFP to Peerless Building Maintenance, Inc.;
(2) Authorize the City Manager, or designee, to execute a Consulting and Professional Services Contract with Peerless Building Maintenance Inc. for an amount not to exceed $694,096.32; and
(3) Authorize the City Manager, or designee, to approve any amendments up to $35,000.

4.10(b). Approve setting a Public Hearing on June 17, 2025, at 6:00 p.m., in the City Council Chambers, 777 Cypress Avenue, Redding, California, to consider adjustments to the City of Redding’s Schedule of Fees and Service Charges.

4.11(a). Authorize and approve the following relative to the South Street Water Main at Railroad Emergency Replacement Project (Project):
(1) Accept update regarding the Project; and
(2) Pursuant to Public Contract Code Section 22050(c)(1), make a determination by a four-fifths vote that there is a need to continue the emergency work.

4.11(b). Adopt Resolution accepting the City of Redding’s List of Projects for Fiscal Year 2025-26 funded by Senate Bill 1: The Road Repair and Accountability Act of 2017.

Redding City Council May 20, 2025

4.11(c). Authorize and approve the following actions relative to Request for Proposal (RFP) Schedule No. 5512, Consultant to Update Local Road Safety Plan and Identify Projects for Future Grant Applications:
(1) Award RFP Schedule No. 5512 to Whitlock & Weinberger Transportation, Inc., (dba W-Trans);
(2) Authorize the Mayor to execute a Consulting and Professional Services Contract for a not-to-exceed fee of $237,900 with W-Trans, to update the Local Road Safety Plan and identify projects for future grants; and (3) Authorize the City Manager to approve Contract amendments not-toexceed $50,000.

4.11(d). Authorize and approve the following:
(1) Approve and ratify the City Manager’s signature accepting grant funding in the amount of $4,091,013 from CalRecycle to replace and upgrade the existing Solid Waste Utility’s Material Recovery Facility sort line; and (2) Adopt Resolution approving and adopting the 78th Amendment to City Budget Resolution No. 2023-060 appropriating $4,091,020 in state grant funds for the project.

4.11(e). Authorize and approve the following actions relative to Request for Proposals (RFP) - Schedule No. 5518, Construction Management and Inspection Services for the Old Oregon Trail Shoulder Widening Project (Project):
(1) Award RFP to TRC Companies;
(2) Authorize the Mayor to execute a Consulting and Professional Services Contract for a not-to-exceed fee of $346,440.93 with TRC Companies to provide Construction Management and Inspection Services for the Old Oregon Trail Shoulder Widening Project; and
(3) Authorize the City Manager to approve Contract amendments not-toexceed $50,000.

RECOMMENDATION: ACCEPT, ACKNOWLEDGE, ADOPT, APPROVE,
AND/OR AUTHORIZE ALL ITEMS ON THE CONSENT CALENDAR.

9. REGULAR CALENDAR: REPORTS & COMMUNICATIONS OF DEPARTMENTS,

BOARDS, COMMISSIONS AND COMMITTEES
Assistant City Manager

9.2(c). Consider NorCal Continuum of Care Administrative entity resignation.

Recommendation:

Authorize and approve the following:
(1) The City Manager, or designee, to sign a letter giving notice to the NorCal Continuum of Care that the City of Redding will no longer serve as the interim Administrative Entity effective December 31, 2025; (2) Find that applying for and administering grant funding is not considered a project under the California Environmental Quality Act; and (3) Find that applying for and administering grant funding is an exempt activity under the National Environmental Policy Act under 24 CFR

58.34(a)(3).

Redding City Council May 20, 2025

Development Services

9.4(a). Consider the Redding Riverfront Specific Plan Emerging Concepts by the City of Redding.

Recommendation:

Accept presentation regarding Redding Riverfront Specific Plan Project updates and Emerging Redding Riverfront Concepts; and provide staff with feedback and direction for development of the Redding Riverfront Specific Plan.

Electric Utility

9.5(d). Consider approval of Redding Electric Utility's 2025 Wildfire Mitigation Plan.

Recommendation:

Approve Redding Electric Utility’s updated and revised 2025 Wildfire Mitigation Plan pursuant to California Senate Bill 901.

Community Services

9.6(b). Consider Round-Up Campaign for Parks and Recreation Programs.

Recommendation:

Authorize and approve the following actions:
(1) Adopt Resolution approving the creation of the City of Redding Utility Round Up for Recreation Program; and
(2) Authorize the City Manager, or designee, to appropriate funds should donations be received.

Police Department

9.9(a). Consider the Redding Police Department Military Equipment Report; and Uncodified Ordinance to provide guidelines regarding military equipment pursuant to Assembly Bill 481.

Recommendation:

Authorize and approve the following relative to the Redding Police Department Military Equipment:
(1) Accept the Redding Police Department Military Equipment Report; (2) Adopt an Uncodified Ordinance adopting and approving a policy to provide guidelines for the approval, acquisition and reporting requirements for military equipment for first reading by title only and waive the full reading; (3) Authorize the City Attorney to prepare a summary ordinance, and the City Clerk to publish the same in accordance with law; and
(4) Authorize the Redding Police Department to purchase up to eight additional Def-Tech 40mm kinetic energy launchers at $2,225 per unit and related equipment.

Redding City Council May 20, 2025

City Attorney

9.14(a). Consider Committee recommendations regarding updating the tree management ordinance to impose a development impact fee to fund tree planting on City of Redding-owned property.

Recommendation:

Authorize and approve the following:
(1) Direct staff to either:
(a) Draft a program to plant trees on City of Redding (City) owned property, hire a consultant to perform a nexus study, and recommend appropriate development impact fees; or
(b) Discontinue work on a tree-planting program and bring a draft ordinance incorporating the Tree Committee’s other recommendations for Planning Commission’s consideration.

11. COUNCIL TRAVEL REPORT(S)
City Council Member attendance at conference/meetings reimbursed at City expense. {Requirement of Assembly Bill 1234}
[A-050-060]
Information Only

12. SUGGESTIONS FROM COUNCIL MEMBERS RELATIVE TO POTENTIAL TOPICS

FOR FUTURE CITY COUNCIL MEETINGS

13. ADJOURNMENT
Redding City Council May 20, 2025

Pursuant to the Brown Act, non-confidential materials related to an item on this agenda submitted to the City Council after distribution of the agenda packet are available for inspection during normal business hours at the Office of the City Clerk, 3rd Floor, City Hall, 777 Cypress Avenue, Redding, California.

City Council Meetings will be televised live on Shasta Community Access Channels via Charter/Spectrum Cable channel 181, and will be rerun on Thursday at 12:30 p.m. during the week in which the meeting is held. Additionally, the meeting can be viewed online at the following: https://www.shastaartscouncil.org/scactv; and the City’s YouTube Channel https://www.youtube.com/cityofredding. Video of the City Council meetings can also be viewed on the City’s web site at http://www.cityofredding.gov/. Open the Services tab, and select City Council Videos.

In compliance with Title II of the Americans with Disabilities Act, the City of Redding will make available to persons with disabilities modifications or accommodations including auxiliary aids or services necessary to participate in public meetings. A person needing assistance should contact the Redding City Clerk by telephone at (530) 225-4447 or in person, or by mail at 777 Cypress Avenue, 3rd Floor, Redding, California 96001 at least three (3) working days in advance.

The City of Redding will ensure that no person shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination under any of its projects, activities, services, or business opportunities on the basis of race, color, national origin, age, sex, or disability, as afforded by Title VI of the Civil Rights Act of 1964 and related statutes as amended. All persons, regardless of their citizenship status, are covered under this regulation.

Questions, complaints, or requests for accommodations or additional information may be forwarded to the ADA & Title VI Coordinator at 777 Cypress Avenue, Attn: Personnel Dept., Redding, California 96001, Phone (530) 225-4065.

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve City Council Minutes: Special Meeting – Closed Session of May 6, 2025; and Regular Meeting of May 6, 2025.

Attachments
^Unofficial -Special Meeting - Closed Session of May 6, 2025 ^Unofficial - Regular Meeting of May 6, 2025 Final - ST MEETING DATE: May 20, 2025
ITEM NO. 4(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4(a)--Approve City Council Minutes.

Sharlene Tipton, City Clerk
Packet Pg. 8
41 5/6/2025
Unofficial Minutes Redding City Council, Special Meeting Civic Center Council Chambers
777 Cypress Avenue
Redding, CA 96001
May 6, 2025, 5:15 P.M.

The meeting was called to order by Mayor Jack Munns with the following Council Members present: Tenessa Audette, Mike Littau, and Erin Resner. Council Member Dr. Paul Dhanuka arrived at 5:38 p.m.

Also present: City Attorney Christian M. Curtis, City Manager Barry Tippin, City Clerk Sharlene Tipton, Assistant City Clerk Anette Cates, and Executive Assistant Erin Barnhart.

PUBLIC COMMENT
Mayor Munns determined that no one present wished to address the items agendized for Closed Session.

CLOSED SESSION
At the hour of 5:20 p.m., Mayor Munns opened the Special Meeting and announced that the Council would adjourn to Closed Session.

At the hour of 5:59 p.m., Mayor Munns reconvened the Special Meeting to Open Session and reported that in reference to:
3A. Closed Session pursuant to California Government Code Section 54957.6:

CONFERENCE WITH LABOR NEGOTIATOR
Designated Agency Representative: Personnel Director Kibler Employee Organizations:
(1) Redding Independent Employees’ Organization - Clerical, Technical and Professional Unit; and
(2) Redding Independent Employees’ Organization - Supervisory & Confidential Unit Pursuant to Government Code Section 54957.1(a), the City Council took no reportable action on this item.

ADJOURNMENT
There being no further business at the hour of 6:02 p.m., Mayor Munns declared the meeting adjourned.

APPROVED:
_______________________________
Jack Munns, Mayor
ATTEST:
_______________________________
Sharlene Tipton, City Clerk
Packet Pg. 9
Attachment: ^Unofficial -Special Meeting - Closed Session of May 6, 2025 (4(a)--Approve City Council Minutes) 42 05/06/2025
Unofficial Minutes Redding City Council, Regular Meeting Civic Center Council Chambers
777 Cypress Avenue
Redding, CA 96001
May 6, 2025, 6:00 PM
The meeting was called to order at 6:03 p.m. by Mayor Jack Munns with the following Council Members present: Tenessa Audette, Dr. Paul Dhanuka, Mike Littau, and Erin Resner.

Also present: City Attorney Christian M. Curtis, City Manager Barry Tippin, City Clerk Sharlene Tipton, Assistant City Clerk Anette Cates, and Executive Assistant Erin Barnhart.

The Pledge of Allegiance was led by Vice Mayor Littau.

The Invocation was provided by Debbie Ivey, Redding Police and Fire Departments’ Chaplain.

PUBLIC COMMENT
Mayor Munns determined that no one present wished to address any non-agendized matters.

CONSENT CALENDAR
The following matters were considered inclusively under the Consent Calendar and each Report to City Council (staff report) is incorporated herein by reference:
4(a). Approve City Council Minutes: Special Meeting – Closed Session of April 15, 2025; and Regular Meeting of April 15, 2025.
4(b). Accept City of Redding Accounts Payable Register No. 9 for the period March 1, 2025, through March 31, 2025, in the amount of $26,470,482.11. 4(c). Adopt Ordinance No. 2676, an uncodified ordinance of the City of Redding, adopting the State of California Fire Hazard Severity Zone Map pursuant to Government Code Section 51179.

4.1(a).Accept update regarding the proclamation declaring a local emergency due to flooding and, pursuant to Public Contract Code 20168 and 22050(c)(1), make a determination by a fourfifths vote that there is a need to continue the emergency.

4.1(b).Authorize and approve the following: (1) approve the Real Estate Purchase and Sale Agreement (PSA) with Technisoil Industrial Inc., for 25.41 acres of City of Redding-owned property located at 6155 Venture Parkway, Stillwater Business Park Parcel 12 (Assessor’s Parcel Number 054-260-004), for the appraised value; and (2) authorize the Mayor to sign the PSA and other documents needed to complete the sale and transfer of the property.

4.1(c).Authorize the Mayor to send a letter of opposition for Assembly Bill 647 (Gonzalez) which disregards state-mandated local housing elements and forces cities to allow up to eight housing units on lots with an existing single-family home without any environmental review or public input.

4.1(d).Authorize the Mayor to sign a letter of opposition to Senate Bill 634 (Pérez), which prohibits local jurisdictions from adopting or enforcing ordinances to address homelessness.

Jaclyn Treadway expressed concern regarding homeless individuals on the autism spectrum, and encouraged finding ways that they can be appropriately housed and developed so they become assets to society. Resources are available through Developing Diamonds Community’s website: www.developingdiamondscommunity.org.

4.2(a).Adopt Resolution No. 2025-028, a resolution of the City Council of the City of Redding, approving and adopting the 76th Amendment to City Budget Resolution No. 2023-060 increasing the Airports Division budget by $86,000 in order to satisfy regulatory requirements from the Central Valley Water Quality Control Board and the Federal Aviation Administration.

4.4(a).Authorize staff to draft and publish a request for proposal seeking qualified consultants for planning and evaluation of the City of Redding's emergency evacuation routes.

Packet Pg. 10
Attachment: ^Unofficial - Regular Meeting of May 6, 2025 Final - ST (4(a)--Approve City Council Minutes) 43 05/06/2025

4.5(a).Approve the following actions related to the Long-Term Parts, Services and Inspections Contract (C-5661) with Siemens Energy Inc. for repairs at the City of Redding Power Plant:
(1) approve Change Order 48 to Contract 5661 to replace Generating Unit 5’s start motor in the amount of $1,019,902; (2) authorize the City Manager, or designee, to sign any documentation or change orders necessary to finalize the project; (3) adopt Resolution No. 2025-029, a resolution of the City Council of the City of Redding, approving and adopting the 75th Amendment to City Budget Resolution No. 2023-060 appropriating $1,019,900 for the Unit 5 start motor replacement; and (4) find that Change Order 48 is categorically exempt from review under the California Environmental Quality Act pursuant to Sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction).

4.9(a).Adopt Resolution No. 2025-030, a resolution of the City Council of the City of Redding, proclaiming May 15, 2025, as California Peace Officers' Memorial Day; May 15, 2025, as Shasta County Peace Officers' Memorial Day; and May 11-17, 2025, as National Police Week in the City of Redding.

4.11(a).Authorize and approve the following relative to the South Street Water Main at Railroad Emergency Replacement Project (Project): (1) accept update regarding the Project; and (2) pursuant to Public Contract Code Section 22050(c)(1), make a determination by a fourfifths vote that there is a need to continue the emergency work.

4.11(b).Authorize and approve the following actions related to the Hartnell Commercial Complex located at the southeast corner of Hartnell Avenue and Shasta View Drive: (1) authorize the Mayor to execute the Transportation Infrastructure Agreement with North State Grocery, Inc.; (2) adopt Resolution No. 2025-031, a resolution of the City Council of the City of Redding, approving and adopting the 77th Amendment to City Budget Resolution No. 2023-060 appropriating funds in the amount $2,477,350 for Fiscal Year 2024-25; (3) authorize the City Manager,or designee, to approve amendments; and (4) find that the action is categorically exempt from environmental review under the California Environmental Quality Act Guidelines, pursuant to Section 15301 – Existing Facilities.

A MOTION WAS MADE by Council Member Resner, seconded by Council Member Littau, that the foregoing items on the Consent Calendar be accepted, acknowledged, adopted, approved, and/or authorized as recommended.

The Vote:

AYES: Council Members – Audette, Dhanuka, Littau, Resner, and Munns NOES: Council Members – None
ABSTAIN: Council Members – None
ABSENT: Council Members – None
Ordinance No. 2676, and Resolution Nos. 2025-028 through 2025-031, are on file in the Office of the City Clerk.

APPOINTMENTS

5.1. Mayor's appointment to the Shasta County Commission on Aging.

Mayor Munns summarized the Report to City Council (staff report), incorporated herein by reference.

A discussion amongst the Council ensued.

A MOTION WAS MADE by Council Member Dhanuka, seconded by Council Member Resner, to appoint Michael Brokloff to the Shasta County Commission on Aging (COA) to fill an unexpired two-year term beginning May 7, 2025, through January 12, 2026, pursuant to the Shasta County COA Bylaws. The Vote: Unanimous Ayes.

PUBLIC HEARINGS

6.1. Public Hearing to consider Resolution for submission of 2025-29 Consolidated Plan and Annual Action Plan to the United States Department of Housing and Urban Development.

Community Development Manager Nicole Smith summarized the Report to City Council (staff report), and provided a PowerPoint presentation, both incorporated herein by reference.

Packet Pg. 11
Attachment: ^Unofficial - Regular Meeting of May 6, 2025 Final - ST (4(a)--Approve City Council Minutes) 44 05/06/2025
The hour of 6:22 p.m. having arrived, Mayor Munns opened the Public Hearing.

Mayor Munns determined that no one present wished to address this matter and closed the Public Hearing.

The Affidavit of Publication – Notice of Public Hearing is on file in the Office of the City Clerk.

A discussion amongst the Council ensued.

A MOTION WAS MADE by Council Member Dhanuka, seconded by Council Member Resner, to: (1) adopt Resolution No. 2025-032, a resolution of the City Council of the City of Redding, approving the submission of the 2025-2029 Consolidated Plan and the 2025- 2026 Annual Action Plan to the United States Department of Housing and Urban Development; (2) authorize the City Manager, or designee, to sign all necessary documents and forward the Consolidated Plan and Annual Action Plan to the United States Department of Housing and Urban Development; (3) find that adopting a resolution and submission of a Consolidated Plan is not considered a project under the California Environmental Quality Act; and (4) find that adopting a resolution and submission of a Consolidated Plan is an exempt activity under the National Environmental Policy Act under Title 24 CFR 58.34(a)(3).

The Vote:

AYES: Council Members – Audette, Dhanuka, Littau, Resner, and Munns NOES: Council Members – None
ABSTAIN: Council Members – None
ABSENT: Council Members – None
Resolution No. 2025-032 is on file in the Office of the City Clerk.

REGULAR CALENDAR: REPORTS & COMMUNICATIONS OF DEPARTMENTS,

BOARDS, COMMISSIONS AND COMMITTEES
Mayor Pro Tempore Resner left Council Chambers at 6:24 p.m. and returned at 6:25 p.m.

9.1(e). Amended Lease Agreement with the Redding Rodeo Association (RRA) for the Redding Rodeo Grounds.

City Manager Tippin provided an overview of the Report to City Council (staff report), incorporated herein by reference.

The following spoke in favor of the Lease Agreement: RRA President Ted Bambino, Steve Kohn, and former Council Member Joshua Johnson.

A discussion amongst the Council ensued.

A MOTION WAS MADE by Council Member Dhanuka, seconded by Council Member Resner, to authorize the Mayor to sign the Lease Amendment Agreement with RRA for a 25-year term with two, 10-year options at an annual rate of $50.

The Vote: Unanimous Ayes.

9.10(a).Preliminary Draft General Fund Biennial Budget for Fiscal Years Ending 2026 and 2027.

City Manager Tippin and Finance Director Greg Robinett highlighted the Report to City Council (staff report), and provided a PowerPoint presentation, both incorporated herein by reference.

In response to Council Member Audette’s question, City Manager Tippin advised that the budget presented to the Council is considered balanced.

Leslie Sawyer shared her concerns regarding discrepancies within the draft budget as presented and urged the City Council to further review the information.

As a member of the Sons of Italy, Jim Giacomelli expressed his concern, regarding the ramifications of proposed water restrictions included in the biennial budget that could affect various annual events such as Paesano Days held in South City Park.

Packet Pg. 12
Attachment: ^Unofficial - Regular Meeting of May 6, 2025 Final - ST (4(a)--Approve City Council Minutes) 43 05/06/2025
Council Member Audette requested that the Council receive new Financial Quarterly Reports that replicate the information included in the 2023 reports before the new Oracle system was implemented.

A discussion amongst the Council ensued.

A MOTION WAS MADE by Council Member Resner, seconded by Council Member Munns, to direct staff to return for review and discussion at its meeting on May 20, 2025, to include potentially reducing revenue projections a half-percent from 2.5 percent to 2 percent for both fiscal years regarding the General Fund and Internal Service Fund budgets for Fiscal Years Ending 2026 and 2027.

The Vote:

AYES: Council Members – Dhanuka, Littau, Resner, and Munns NOES: Council Members – Audette
ABSTAIN: Council Members – None
ABSENT: Council Members – None

9.11(c).Award Bid Negotiation No. 5451 Redding Regional Airport Runway 16-34 and Taxiway Connectors Rehabilitation and MAGVAR Improvements.

Public Works Director Michael Webb summarized the Report to City Council (staff report), incorporated herein by reference.

In response to Council Member Littau’s questions: (1) Director Webb affirmed that the City is confident that the grant will be awarded as expected as this project is Federal Aviation Administration’s number one priority in the western United States; and (2) City Manager Tippin stated that it is unknown whether United Airlines would try to use some of the Minimum Revenue Guarantee funds for the one-month period (September 23, 2025, through October 28, 2025) while the airport is closed.

In response to Council Member Audette, Director Webb noted that the potential risk to the City would be approximately $2 million if the grant is not awarded.

A discussion amongst the Council ensued.

A MOTION WAS MADE by Council Member Resner, seconded by Council Member Littau, to authorize and approve the following regarding Bid Negotiation No. 5451 (Job No. 9944-33), Redding Regional Airport Runway 16-34 and Taxiway Connectors Rehabilitation and MAGVAR Improvements Project (Project): (1) award the Project to Redding Airport Constructors in the amount of $20,111,190 for the Base Bid, and an additional $7,666,587 for Additive Alternate 1 for a total amount of $27,777,777; (2) authorize the City Manager, or designee, to approve, execute, and appropriate funds for amendments up to 15 percent of the final Federal Aviation Administration Airport Improvement Program grant for contract change orders or other eligible contract modifications; (3) approve $270,000 for the cost of City administration and $1,717,000 in construction administration and inspection fees for Mead & Hunt Inc. for a total amount of $1,987,000; (4) approve $1,573,336 for project development fees; (5) authorize City Manager, or designee, to sign and execute an Authorization of Services (tentatively numbered 25-06) in the amount of $1,717,000 for the purpose of Construction Administration Services for the Project with Mead & Hunt Inc. (C-8976); and (6) find that the Project is categorically exempt from environmental review under the California Environmental Quality Act, pursuant to Section 15301, Existing Facilities; Section 15302, Replacement or Reconstruction; and Section 15303, New Construction or Conversion of Small Structures. The Vote: Unanimous Ayes.

COUNCIL TRAVEL REPORT(S)
City Council Member attendance at conference/meetings reimbursed at City of Redding’s expense. {Requirement of Assembly Bill 1234}
Council Member Erin Resner, as liaison to Redding Electric Utility and a Commissioner for the Northern California Power Agency (NCPA) , along with Redding Electric Director Nick Zettel, attended the NCPA/Northwest Public Power Association 2025 Federal Policy Conference in Washington, D.C., held April 27, 2025, through Thursday, May 1, 2025.

Packet Pg. 13
Attachment: ^Unofficial - Regular Meeting of May 6, 2025 Final - ST (4(a)--Approve City Council Minutes) 44 05/06/2025

SUGGESTIONS FROM COUNCIL MEMBERS RELATIVE TO POTENTIAL TOPICS FOR

FUTURE CITY COUNCIL MEETINGS
At Vice Mayor Littau’s suggestion, a consensus of the Council directed staff to bring back an item to a future Council meeting for discussion regarding preparation of a letter of intent with the County of Shasta regarding the allocation of funds for the Sheriff’s Department’s Alternative Custody Division, dependent upon the certification and establishment of an election should the citizen-led sales tax initiative receive the required number of qualified signatures for placement on the ballot.

ADJOURNMENT
There being no further business at the hour of 9:36 p.m., Mayor Munns declared the meeting adjourned.

APPROVED:
______________________________
Jack Munns, Mayor
ATTEST:
____________________________
Sharlene Tipton, City Clerk
Packet Pg. 14
Attachment: ^Unofficial - Regular Meeting of May 6, 2025 Final - ST (4(a)--Approve City Council Minutes)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Accept City of Redding Accounts Payable Register No. 10.

Fiscal Impact
There is no fiscal impact to accepting the register.

Alternative Action
The City Council could choose to not accept the register and provide alternate direction to staff.

Background/Analysis
Attached is the following Accounts Payable Register:

Accounts Payable:
(1) Register No. 10 for the period April 1, 2025 – April 30, 2025, in the amount of $22,460,340.21.

Environmental Review
This is not a project defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• This agenda item is a routine operational item.

Attachments
Accounts Payable Register No. 10
MEETING DATE: May 20, 2025
ITEM NO. 4(b)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4(b)--City of Redding Accounts Payable Register.

Greg Robinett, Director of
Finance/City Treasurer
Packet Pg. 15
Packet Pg. 16
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 17
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 18
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 19
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 20
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 21
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 22
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 23
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 24
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 25
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 26
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 27
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 28
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 29
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 30
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10) Packet Pg. 31
Attachment: Accounts Payable Register No. 10 (4(b)--Accounts Payable Register No.10)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following actions:
(1) Accept update regarding the proclamation declaring a local emergency due to flooding and, pursuant to Public Contract Code 20168 and 22050(c)(1), make a determination by a four-fifths vote that there is a need to continue the emergency; and (2) Adopt the 79th Amendment to City Budget Resolution No. 2023-060 appropriating $3,750,000 for the South Bonnyview Storm Drain Project due to flooding and approve internal loan from City of Redding (City) Wastewater Utility to the City’s Storm Drain Utility for Fiscal Year 2024-25. The loan will be paid annually, every June 30th- amortized annually over a 20-year term at the average pooled cash rate calculated at the time of payment.

Fiscal Impact
The City, to date, has not been notified of any potential emergency aid funding from the state or federal authorities. Below is a table of identified emergency repair locations/projects with estimated costs and current funding sources.

Location/Project Contractor Estimated Costs1 Funding Source3 South Bonnyview Storm Drain J.F Shea $3,750,000 Wastewater Utility2 Parkview Sewer Siphon M5 $1,000,000 Wastewater Utility
Various Location - Parks TBD $625,5254 Unidentified
MEETING DATE: May 20, 2025
ITEM NO. 4.1(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.1(a)--Confirmation of Continued Local Emergency Due to Flooding and Adopt Budget Resolution
Jason Gibilisco, Management
Assistant to the City Manager
Packet Pg. 32
Report to Redding City Council May 13, 2025
Re: 4.1(a)--Confirmation of Continued Local Emergency Due to Flooding and Adopte Budget Resolution Page 2
Notes:

1. Estimated Costs include construction contract, contingency, environmental, design and construction management.

2. As proposed, Wastewater utility will loan the Storm Drain utility the funds for the South Bonnyview Storm Drain Project. The loan will be paid annually, every June 30th and will be amortized annually over a 20-year term at the average pooled cash rate calculated at the time of payment.

3. If any state/federal funding is received for the respective project the reimbursed amount shall be due and payable immediately to the various funding sources.

4. Parks costs are conservative and assume meeting emergency aid funding requirements.

These costs may be significantly reduced if completed by City crews.

Alternative Action
The City Council (Council) could choose not to confirm that conditions of a local emergency continue to exist. Under Public Contract Code section 22050(c)(1) the local emergency can only be terminated by a four-fifths vote of the Council. To that end, the Council’s prior determination of a local emergency will remain unless an affirmative vote of the Council is made to terminate the local emergency.

Background/Analysis
On February 2, 2025, a storm event occurred in the City, ultimately causing conditions beyond the immediate control of local resources, services, personnel, equipment, and facilities. These winter storms brought heavy rain to all areas of Shasta County which in turn caused a significant increase in releases from Shasta Dam resulting in localized flooding, water rescues, and damage to roadways, trail systems, storm water systems, and other infrastructure.

Due to these events and weather conditions, a local emergency was proclaimed on February 11, 2025, and on February 18, 2025, the Council ratified this proclamation and will continue the declaration until such time that the threat of these storms has subsided, there is no longer an elevated risk to life and property, and the emergency restoration of facilities has been completed.

The local emergency was declared by the City Manager serving in his capacity as Director of Emergency Services under RMC 9.12.030. The Proclamation of the Director of Emergency Services is attached.

The South Bonnyview Boat Launch access road remains closed due to the failed culvert. Staff has constructed a temporary access road for the boat launch and reopened the boat launch for public use. Staff believes that approximately 200 feet of the overall 700-foot-long, 10-foot diameter culvert is damaged. Staff and J.F. Shea Construction, Inc. (J.F. Shea) have completed the additional exploratory efforts and staff is currently finalizing the details of the design for the South Bonnyview Storm Drain Project. Staff has also obtained the necessary access from private property owners to facilitate the repairs. There is currently a six-week lead time for the piping materials and staff anticipates construction to begin in late June 2025.

Packet Pg. 33
Report to Redding City Council May 13, 2025
Re: 4.1(a)--Confirmation of Continued Local Emergency Due to Flooding and Adopte Budget Resolution Page 3
Nur Pon Open Space remains closed. The flood waters damaged the bridges, kayak boat launch area, and trails. Parks staff performed some repairs to the open space focusing on the first walking bridge closest to the parking area, the bathrooms, the parking lot facility, and the kayak boat launch area of the park. Staff began preliminary work to import repair materials and repair bridge abutments. Staff also reset a bridge deck that was knocked off its abutments in the flood.

The majority of the walking loop will remain closed until the appropriate fix can be identified by Public Works’ Engineering Division and Parks Staff and the work is completed. The Parks division worked with Public Works’ Engineering Division to identify the appropriate repair strategies and install delineators to limit public access to damaged areas along the Sacramento River Trail in Caldwell Park. The Parks division is working on gathering the required materials to complete the repairs in this location.

The Parkview Sewer Siphon located within the Linden Creek channel was also affected by the rain events and flood waters resulting in a landslide that exposed the existing sewer siphon just west of Parkview Avenue. Currently, the sewer siphon remains operational but the stream embankments must be repaired and stabilized to ensure the situation does not worsen. Staff has completed a design for the soil stabilization repairs and are currently working to obtain the necessary permits from the associated resources agencies. Additionally, staff has solicited M5 Excavation (M5) for the embankment repairs within the channel based on their technical knowledge of slope stabilization and previous performance on projects of similar size and scope.

Staff is currently negotiating a contract with M5 and anticipates beginning construction in midMay 2025.

California Governor’s Office of Emergency Services (CalOES) has requested estimates for damages to both private and public sites. Staff has met with CalOES and has sent them information on the damage and associated costs. The current damage is estimated to be $7.15 million. This cost could go up as staff continues to monitor and identify damaged areas to determine the level of repair necessary.

Environmental Review
This is not a project as defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• Public Safety – “Work to improve all aspects of public safety to help people feel secure and safe where they live, work, and play in the City of Redding” Attachments
^Resolution
Previous Staff Report - 021825 Declaring local emergency Resolution No. 2025-011 - Declare Local Emergency with Proclamation Packet Pg. 34
Resolution No. 2025 - ____________

A RESOLUTION OF THE CITY OF REDDING APPROVING AND ADOPTING THE 79 th AMENDMENT TO CITY BUDGET RESOLUTION NO. 2023-060 APPROPRIATING $3,750,000 FOR THE DAMAGED CULVERT PROJECT DUE TO FLOODING AND

APPROVE INTERNAL LOAN FROM WASTEWATER UTILITY TO THE STORM DRAIN UTILITY FOR FISCAL YEAR 2024-25.

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF REDDING THAT Budget Resolution No. 2023-060 be and is hereby amended as follows:

FUND DIVISION DESCRIPTION INCREASE DECREASE
241 6791 Storm Drain – Capital Outlay $3,750,000
THAT account titles and numbers requiring adjustments by this Resolution are as follows:

USE SOURCE

OF FUNDS OF FUNDS
Increase (Decrease) Beginning Balance
231-6301-2900001-00000 3,750,000
Increase (Decrease) Revenue
231-6301-3560001-00000 Advances to Internal $ (3,750,000) 241-6701-3560101-00000 Advances from Internal $ 3,750,000 Increase Expenditures
241-6791-6000301-00000 Bonnyview and Boat Ramp Storm Drain $ 3,750,000 Total $ 3,750,000 $ 3,750,000
THAT the purpose is to appropriate $3,750,000 for the Damaged Culvert Project due to flooding and approve internal loan from Wastewater Utility to the Storm Drain Utility for fiscal year 2024-25.

I HEREBY CERTIFY that the foregoing Resolution was introduced at a regular meeting of the City Council of the City of Redding on the 20th day of May, 2025 and was duly adopted at said meeting by the following vote:

Packet Pg. 35
Attachment: ^Resolution (4.1(a)--Confirmation of Continued Local Emergency Due to Flooding and Adopte Budget Resolution) AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

JACK MUNNS, Mayor
ATTEST: FORM APPROVAL:

SHARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney Packet Pg. 36
Attachment: ^Resolution (4.1(a)--Confirmation of Continued Local Emergency Due to Flooding and Adopte Budget Resolution)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Adopt Resolution by a four-fifths vote to confirm and ratify the Proclamation of the Director of Emergency Services declaring a local emergency and authorizing the City Manager to repair or replace public facilities and procure the necessary equipment, services, and supplies for those purposes without solicitation of competitive bids in accordance with Public Contract Code 20168 and 22050.

Fiscal Impact
Adoption of the resolution could have a positive fiscal impact of an indeterminate amount as it will facilitate the recovery of the community and the receipt of emergency aid from state, and possibly federal, authorities if it becomes available.

Alternative Action
The City Council (Council) could choose not to adopt the resolution or provide alternate direction. Failure to adopt the resolution will result in a legal finding that the local emergency has ceased and will likely negatively impact the receipt of aid from state and/or federal authorities, and the City of Redding’s (City) ability to immediately repair or replace damaged infrastructure.

Background/Analysis
On February 2, 2025, a storm event arrived in the City of Redding, ultimately causing conditions to be beyond the immediate control of local resources, services, personnel, equipment, and facilities. These winter storms have brought heavy rain to all areas of Shasta County which in turn have caused a significant increase in releases from Shasta Dam resulting in localized flooding, water rescues, and damage to roadways, trail systems, storm water systems, and other infrastructure. At this time, continued high-water flows are expected with not all areas having MEETING DATE: February 18, 2025
ITEM NO. 9.1(b)
FROM:
***APPROVED BY***
[email protected]
[email protected]
SUBJECT: 9.1(b)--Consider Resolution to confirm and ratify the City of Redding Proclamation declaring a local emergency due to flooding.

Barry Tippin, City Manager
Packet Pg. 254 Packet Pg. 37 Attachment: Previous Staff Report - 021825 Declaring local emergency (4.1(a)--Confirmation of Continued Local Emergency Due to Flooding Report to Redding City Council February 12, 2025
Re: 9.1(b)--Adopt Resolution to Confirm and Ratify the Proclamation Declaring a Local Emergency Page 2
been fully assessed. The current forecast calls for continued storms and additional snow and rainfall which could further exacerbate the damage and increase the difficulty of recovery efforts.

As the rain continues, the Bureau of Reclamation will be required to continue its high releases from Shasta Dam. There is potential for additional local flooding and infrastructure damage.

Due to these events and weather conditions, a local emergency was proclaimed on February 11, 2025, and it is recommended that the Council ratify this proclamation and continue the declaration until such time that the threat of these storms has subsided, there is no longer an elevated risk to life and property, and the emergency restoration of facilities has been completed.

The local emergency was declared by the City Manager serving in his capacity as Director of Emergency Services under RMC 9.12.030. The Proclamation of the Director of Emergency Services is attached.

Pursuant to Government Code section 8630, the Proclamation is valid for seven days. As such, if the Council does not act to adopt a resolution which confirms and ratifies the existence of a local emergency, the declaration of local emergency made under the Proclamation will lapse. A declaration of local emergency provides several benefits in time of emergency. Under Government Code section 8634, it permits a local agency to immediately promulgate orders and regulations necessary to protect the public health and safety. It further permits the State and local agencies to provide mutual aid to the City and makes the costs of such aid incurred by other agencies chargeable to the State. Lastly, the declaration of local emergency facilitates payment to the City by the State under the Disaster Assistance Act (Gov. Code section 8680 et seq.).

The resolution contains all the needed findings to continue the declaration of local emergency under the California Emergency Services Act (Government Code section 8550 et seq.). In the absence of action under Public Contract Code, the Council could declare an emergency under the California Emergency Service Act by a simple majority vote.

However, the resolution also seeks authorization under RMC 4.22.120 and Public Contract Code sections 20168 and 22050. As such, a fourth-fifths vote of the Council will be required to adopt the resolution. These sections provide authority which the Government Code, addressed above, does not. Public Contract Code sections 20168 and 22050 collectively provide authority to repair or replace a public facility, and procure the necessary equipment, services and supplies for those purposes without competitive bidding. While notice and competitive bidding are very beneficial in non-emergency situations, these processes are entirely too untimely if we are to immediately protect the public health and safety by restoration of public services and facilities. This is necessary due to the immediate need to repair or replace the 120-inch culvert that failed at the entrance to the Reginato Boat Ramp. This ramp serves as a critical entry point for river access for public safety agencies to effectuate river rescues and to access areas along the river that are otherwise inaccessible. Additionally, river guides and other river related businesses utilize this ramp extensively and prolonged closure will cause significant economic hardship as well as impeding life saving efforts by the Redding Police Department and the Shasta County Sheriff.

It should be noted that RMC 4.22.120 delegates authority to the City Manager to make a finding that the emergency will not permit the delay resulting from a competitive solicitation of bids and that immediate action is necessary to respond to the emergency. However, that authority is only valid for a period of seven days. By making this finding now by means of adoption of the resolution, the Council avoids the unfortunate circumstance whereby the immediate action sought by the City Manager to repair or replace public infrastructure will lapse absent an Packet Pg. 255 Packet Pg. 38 Attachment: Previous Staff Report - 021825 Declaring local emergency (4.1(a)--Confirmation of Continued Local Emergency Due to Flooding Report to Redding City Council February 12, 2025
Re: 9.1(b)--Adopt Resolution to Confirm and Ratify the Proclamation Declaring a Local Emergency Page 3
immediate, emergency Council meeting. In order to ensure Council oversight, RMC

4.22.120(C)(1) requires review of action under Public Contract Code sections 20168 and 22050 at every regular meeting until such time as the emergency ceases.

In summary, the resolution serves two important functions. It facilitates coordination with other public agencies assisting the City in responding to the local emergency and is a necessary precondition to receipt of state and federal aid. It also provides authority to the City to use its own resources in accomplishing repair or replacement of damaged public infrastructure in a timely and efficient manner while ensuring Council oversight of all such activity.

Environmental Review
This is not a project as defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• Public Safety – “Work to improve all aspects of public safety to help people feel secure and safe where they live, work, and play in the City of Redding.” Attachments
^Emergency Declaration Flood of February 2025
^Resolution - Local Emergency Declaration 02-2025
Packet Pg. 256 Packet Pg. 39 Attachment: Previous Staff Report - 021825 Declaring local emergency (4.1(a)--Confirmation of Continued Local Emergency Due to Flooding SfILUTItJN tJ. Z{ 25- t}1
RESOLUTION Ct NFI IN G EXISTEl I E ( 7 F A LOCAL EMER+GEI T4CY HE A5, Gt vernment Code secti an 8642 provides that whenever a state c r Iocal emergency exists, the governing bcrdy ofthe local govemmental entity shall meet as soon as possible;; and WHE AS, Redding Municipal Code sections 9, 12. 03C1, and 14.24. 02, generally empower the City Manager, as Director of Emerg ncy Services, tc proclaim the existence or threa en d existence of a local emergency when the City is affected or likely to be affected by a public calamity and the City Cc uncil is not in session5 and
W IE AS, Redding Municipal Cc de section 9. 12.030(C) provides that the decisic n of the City Manager tt declare a locaZ emergency must be ratified by the City Gouncil within seven ( 7} calendar days of th City Manager' s action ar it s iall haVe no further force or effect; and WHEREAS, R dding Municipal Cade section 4.22. 120 and P'ublic Contract Cade sectians 20168 and 22050 allow the City Cauncil to e pend public monies withc ut competiti e solicitation when safeguarding life, health, ar safety wi11 nt t permit delay; nd EFtEA, the City M nager, as L}irector of Emergency ` Servicea of the City of Redding, praclaimed the existence of a local emergency, as defined in Government Code section 8558( c), within the City on the 11th day of February, 2t?25, as evidenced by the Pr ciamation of the I irectflr of Emergenc Services attached and incarporated herein; and
E AS; the Proclamation ofthe Director ofEmergency Services dated February 1 l, 2025, was ser t to the County irector of Emergency Services on February 11, 2C}25; and WHE AS, conditions c#' extreme peril to the safety c f persans and prc perty have arisen within the City which were caused by flooding caused by severe winter storms which began on February 2, 2 25, and
HEREAS, the flooding has continued through increased releases from Shasta Dam inundating and dan aging land, raads, trails and other facilities, in particular the callapse of a 120" culvert acr ss the access rc ad t the Reginato Bc at Ramp whieh prc ides river access to public s fety agencies, an F bruary 9, 025, at which time the City Council of the City of Redding was nr t in session; and E AS, there is immediate need to repair tir replace the 20" culvert that failed at the entrance to the Reginato Sc at Ramp as this ramp serves as a critical entry point fc r river access fc r public s fety agencies tc effectuate river rescues and ta acce s areas along th river that are otherwise inaccessible.

Additionally, river guides and other river related businesses utilize this ramp extensively and prolanged closure will cause significant ecanomic hardship as well as impeding lifesaving efforts by the R.edding Pc lice Departrnent and the Shasta Cuunty Sheriff; and
WHE AS, the Baard of upervisor"s for the County af Shasta ratified a proclamation af a Local Emergency far hasta Caunty on February 1l, 2fl25, anci direeted that the prc clamation be sent tc the Governr r af the State of California and the Secretary ofthe +Office of Emergency Services requesting they proclaim the County c f Shasta to be in a state of emergency; and Packet Pg. 40
Attachment: Resolution No. 2025-011 - Declare Local Emergency with Proclamation (4.1(a)--Confirmation of Continued Local Emergency Due to W IE A, the conditions caused by the flc ading are beyond the cantrol afthe services, personnei, equipment and facilities of the City ofRedding, and
WHE A, the City Ccruncil hereby finds that the afQresaid conditians of extreme peril did warrant and necessitate the proclam tion af the existence af a local emergency, 1 10W, THE F() , IT IS HE BY PRt CLAIIY ED AND ERED as follows:

1. The recitals s ated abave are true, correct, and are adopted herein.

2. The Prc clamation of the Directar t f Emergency Services dated February 11, 2025, is hereby confirmed and ratified.

3. That, pursuant to Government Code section 630{}, a local emergency withiz the meaning of Governrnent Cc de section 8558( c} exists within the jurisdictional limits of the City c f R dding.

4. That, pursuant to Public Contract Code section 20I68 and 22050, the public inter st nd riecessity d mand th immediate expenditure of public rr oney to safeguard life, health and property, the 1oca1 emergency will n t permit a delay resulting from a ct mpetitive solicitation fc r bids; immediate actic n is necessary to respond ta the lc cal emergency, and the City Manager is authc rized to repair or replace a public facility, take any directly related and immediate action required by the Ic cal emergency; and procure the necessary equipment, services and supplies for those purpt ses without giving notice fc r bids tc let contracts,

5. That, pursuant to Public Contract Code section 22050( c( 1}, the tate of local ernergency shall e deeTned to continue tcr exist until its termination is proclairned by a resolutian adapted by a fourthfifths vote af the City Council.

6. That, pursuant to Government Code section 863{ e} and Fuhlic Contract ode section 22450( c}( 1); the City Cauncil shall review the need for continuing the lacal emergeney at every regularly scheduled meeting of the City Cauncil until the City Council terminates the local emergency:

I IE Y CERTIFY that the faregoing resalutic n was introduced and adopted at a regular meeting of the City Council f the City nf Redding on the 1 Sth day af February, 2025, by the following votei A'i'ES: CQiTNCIL MEMBEIYS: - r. Dha auka, Littau, Resner, and Munns N? ES: CfJIJN+CIi:.ME ERS. - Nane
ABSENT: COUN+CTL lYIE ERS: - Au ette
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ABSTA l': COUI ICIL ME ERS. - Nane
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JA+C MUNI iS,' ayar
ATTEST; PPRt V lD AS TO F'U :
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SHARLENE TIP' TI N, City Clerk CHRIS7C'I N M. CUR' IS, ity Attorney Packet Pg. 41
Attachment: Resolution No. 2025-011 - Declare Local Emergency with Proclamation (4.1(a)--Confirmation of Continued Local Emergency Due to A PR(}+ LAM TIC} l'd UF
Tx Dr eTc + F m re s r vrcEs c F
CITI' QF RET)DIN, CALIFC1Rl TIA
W EREAS, Redding Municipal { RMC} sectian 9. 12. 030 and RMC 9. 12. 020 provide for the preparation and carrying aut of plans far the pratection af persons and property within the City 't the event af an emergency, and,
WHEPEAS, KMC sectic n 9. 12. t}30 states that the City Manager is the Director of Emergency Services and the ssistant ity Manager is the Assistant Uirectar of Ernergency S rvices, and, WHEREA,S; RMC-section 9. 12. t}30 empowers the Director car Assistant I3irectar of Emergency Servzces ta proclaitn the existence r threatened existence of a local e nergency when the City Cc uncit is not in se sion, and;
WFl"E1tEAS, the I3irector of Emergency Services of the City of Redding does hereby fnd that conditians af extreme peril tc the safaty af pers€ns and prc perty have arisen within the City ofRedding, caused by flooding; which be an on the 2nd day of Febniary, 2025 and; WHEREAS, these c4nditiions are or are likely to be be ond the cantrot ofthe servicesy persont el, equipment, and facilities ofthe Ciiy of Redding, and; W IEREAS, the City Council af the City of Redding is not in session and cannot immediately be called inta session.
1VCtW, TH REFURL', IT IS HEREBY PRUC' A ELD, that a local emergency now exists througho it the City c f Redding, and;
IT IS FII 2THER PRO` Z;AY112"ED ANTI l7R ERE that durin the existence af said laca[ ernergency the pawers, functions and duties of the emergency organizatian afthe City of Redding shall be those prescribed by the state law, by ordinances, and Y esolutions ofthe City t f Redding; and that this emergency proclarnation shall expire 7 days after issuance unless confirmed and ratified by the City Cauncil of the City csf Redding.

IN T' STIMCINY WH E+1JF, Z HEREUNT() SET MY HAND ANU C.A€ISE THE SEAL l)F HE ITY CIF PEDTIING TU I`E AFF'IXE1) TH S llti AY( 1;' FEI R tIARY, 2025. a'i
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7 Packet Pg. 42
Attachment: Resolution No. 2025-011 - Declare Local Emergency with Proclamation (4.1(a)--Confirmation of Continued Local Emergency Due to

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the City Manager to execute a contract with International City/County Management Association (ICMA) TV – WebsEdge in the amount of $26,300 to profile the City of Redding in a marketing video at the 2025 ICMA Annual Conference.

Fiscal Impact
The total cost of the International City/County Management Association (ICMA) TV – WebsEdge contract is $26,300. To date, staff has received funding commitments from The McConnell Foundation, Redding Tourism and Marketing Group, and K2 Development Companies in the combined amount of $20,000. Staff believes the remaining $6,300 will be committed from additional community partners and the City of Redding (City) Solid Waste and Wastewater Divisions.

This project will not impact the General Fund.

Alternative Action
The City Council (Council) could choose not to authorize the contract and the City of Redding would not be profiled at the 2025 ICMA Annual Conference.

Background/Analysis
Since 2022, staff has been working with International City/County Management Association (ICMA) TV- WebsEdge to produce a film that showcases the City. Staff has postponed ICMAs request as we waited for downtown Redding to be further developed.

MEETING DATE: May 20, 2025
ITEM NO. 4.1(b)
FROM:
***APPROVED BY***
[email protected]
[email protected]
SUBJECT: 4.1(b)--International City/County Management Association (ICMA) - City of Redding Film
Barry Tippin, City Manager
Packet Pg. 43
Report to Redding City Council May 14, 2025
Re: 4.1(b)--ICMA - City of Redding Film Page 2
ICMA is interested in cities that have used an innovative approach to advance economic development, community growth, community engagement, sustainability and resilience. ICMA believes the City would be an exceptional fit with their focus areas at the 2025 ICMA Annual Conference to be held in October 2025. Each year at the Annual ICMA Conference a selected number of cities are highlighted through a 5-minute video and a 1-minute highlight video with content of the profile city, which can be used for further marketing.

Staff and the ICMA film producing representative have reviewed various City projects that include: downtown Redding, the City’s pyrolysis project, The Peaks project; and Stillwater Business Park. As proposed, the video would highlight the projects and our partnerships along with testimonials. The video will be in 4k resolution completed by a professional film crew between June and August/September 2025 with a completed video in time for the Annual ICMA Conference in October in Florida. All cities/counties participating in the conference will see the video, have the opportunity to have a copy of the video, and the video will be posted on ICMAs webpage and YouTube channel. The ICMA conference will bring a lot of attention to the City of Redding and our partners.

Environmental Review
This is not a project as defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• Government of the 21st Century - “Be relevant and proactive to the opportunities and challenges of today’s residents and workforce. Anticipate the future to make better decisions today.”
Packet Pg. 44

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following:
(1) Approve the Real Estate Purchase and Sale Agreement (PSA) with Amazon.com Services LLC, for 34.06 acres of City of Redding-owned property located at 5855 Venture Parkway, Stillwater Business Park Parcel 11B (Assessor’s Parcel Numbers 054-220-031 & 054-260-003), for $2,554,500; and
(2) Authorize the Mayor to sign the PSA and other documents needed to complete the sale and transfer of the property.

Fiscal Impact
The sale of the property is expected to be approximately $2,554,500, subject to adjustments for closing costs, escrow fees, and broker’s fee. The net proceeds will be deposited into the City of Redding’s (City) General Fund.

Alternative Action
The City Council (Council) could alter the terms of the Purchase and Sale Agreement or choose not to sell the property at this time. Any alterations of the terms would need to be considered by Amazon.com Services LLC (Amazon) which may delay the close of escrow.

Background/Analysis
Amazon has submitted an offer to purchase a portion of City-owned property located at 5855 Venture Parkway (Assessor’s Parcel Numbers 054-220-031 & 054-260-003), also known as Stillwater Business Park Parcel 11B and depicted in the attached location map. Amazon is planning to build a 95,000 square foot distribution facility on the site to serve the City and surrounding communities.

MEETING DATE: May 20, 2025
ITEM NO. 4.1(c)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.1(c)--Purchase and Sale agreement with Amazon.com Services LLC Jason Gibilisco, Management
Assistant to the City Manager
Packet Pg. 45
Report to Redding City Council May 13, 2025
Re: 4.1(c)--Purchase and Sale agreement with Amazon.com Services LLC Page 2 The listed property is a part of the Stillwater Business Park planned development. The basic terms and conditions of the agreement include:
• Refundable deposit of $50,000;
• Payment of $75,000 an acre or $2,554,500;
• Due diligence and inspection period of 180 days;
o Option to extend the inspection period up to five additional periods of 30 days each with a $15,000 nonrefundable extension fee;
• Split escrow fees;
• Right of First Refusal for five years on the remaining 22 acres; • Closing shall occur on or before 30 days following due the diligence and inspection period; and
• The City will pay a broker’s fee of six percent on the purchase price.

The Property was declared exempt surplus property on June 1, 2021, by Resolution 2021-061.

Environmental Review
An Environmental Impact Report (EIR) was adopted as a part of the approved Stillwater Business Park Planned Development project. The proposed project does not exceed the adopted EIR’s environmental thresholds. Therefore, the proposed project is covered under the previously adopted EIR. Therefore, the project is in compliance with CEQA.

Council Priority/City Manager Goals
• Economic Development – “Facilitate and become a catalyst for economic development in Redding to create jobs, retain current businesses and attract new ones, and encourage investment in the community.”
Attachments
^Location Map
Agreement - unsigned
Packet Pg. 46
Location
±
Source: Esri, Maxar, Earthstar Geographics, and the GIS User Community 0 0.05 0.1 0.2 mi
The County of Shasta provides this data as a public resource of general information for use "as is." The County of Shasta Geographic Information System (GIS) provides this information with the understanding that it is not guaranteed to be accurate, correct or complete and any conclusions drawn from such information are the sole responsibility of the user. Further, the County of Shasta GIS makes no warranty, representation or guaranty as to the content, sequence, accuracy, timeliness or completeness of any of the spatial or database information provided herein. While every effort has been made to ensure the content, sequence, accuracy, timeliness or completeness of materials presented within these pages, the County of Shasta GIS assumes no responsibility for errors or omissions, and explicitly disclaims any representations and warranties, including, without limitation, the implied warranties of merchantability and fitness for a particular purpose.

Printed from the Shasta County Web Map at www.shastacounty.gov on 9/11/2024 10:48 AM Packet Pg. 47 Attachment: ^Location Map (4.1(c)--Purchase and Sale agreement with Amazon.com Services LLC) Packet Pg. 48
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Attachment: Agreement - unsigned (4.1(c)--Purchase and Sale agreement with Amazon.com Services LLC)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following actions:
(1) Approve the License Agreement and Operating Permit for Peer-to-Peer Vehicle Sharing Concession (Agreement) with Turo Inc. at the Redding Regional Airport; (2) Authorize the City Manager, or designee, to sign and execute the Agreement; and (3) Find that the action is Categorically Exempt from environmental review under the California Environmental Quality Act, pursuant to Section 15301 – Existing Facilities.

Fiscal Impact
The License Agreement and Operating Permit (Agreement) provides a 10 percent concession on gross receipts from the permitted activity. Currently, Turo Inc. (Turo) activity at the Redding Regional Airport (Airport) is minimal, however this agreement satisfies regulatory requirements for Turo, and provides compensation to the Airport for use of property and facilities for Turo’s commercial activities. Anticipated revenue is currently less than $10,000 per year to the Airport but could grow if Turo activity substantially increases at the Airport. There is no impact to the General Fund with the recommended action.

Alternative Action
City Council may choose not to approve this agreement and provide alternate direction to staff.

Background/Analysis
Turo operates a “peer-to-peer vehicle sharing” platform which connects vehicle owners with prospective renters, allowing its users - vehicle owners - to make money by renting their own personal vehicle at their convenience. Turo operates at many airports around the country and in California and previously has done so without the requirement to obtain licenses or operating permits.

MEETING DATE: May 20, 2025
ITEM NO. 4.2(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.2(a)--Authorize and Approve a License Agreement and Operating Permit for Peer-to-Peer Vehicle Sharing Concession with Turo Inc. at the Redding Regional Airport.

Steve Bade, Assistant City
Manager
Packet Pg. 81
Report to Redding City Council May 14, 2025
Re: 4.2(a)--Approve License Agreement and Operating Permit with Turo Inc. Page 2 Assembly Bill 893 went into effect on July 1, 2024, with new requirements for operators such as Turo and other peer-to-peer car rental platforms to adhere to the same rental car company regulations as traditional car rental operators. These changes included the requirement for rental car operators to obtain permits from airport operators where they wish to do business.

As a result, Turo approached the City of Redding’s Airports Division to begin the process of becoming permitted in order to continue doing business at the Airport. This agreement would satisfy those requirements, formalize the relationship between Turo and the City, and provide additional revenue from car rental concessions made by Turo to the Airports Division.

Revenue from this agreement is considered an “airport revenue” under the Federal Aviation Administration Revenue Use Policy and must be used for the operations, maintenance, or improvement of the local airport system from which it was generated.

Environmental Review
Staff has reviewed the action and determined that it is Categorically Exempt from environmental review under the California Environmental Quality Act, pursuant to Section 15301 – Existing Facilities. Class 1 exemptions include the permitting, leasing, and operation of public or private structures, facilities, mechanical equipment, or topographical features that involve negligible or no expansion of existing or former use. The action will not result in expansion of use, as TURO, Inc. currently operates at the Redding Regional Airport. The License Agreement and Operating Permit will allow TURO, Inc. to satisfy the regulatory requirements of Assembly Bill 893. This action has no potential to have a significant effect on the environment.

Council Priority/City Manager Goals
• Economic Development – “Facilitate and become a catalyst for economic development in Redding to create jobs, retain current businesses and attract new ones, and encourage investment in the community.”
Attachments
TURO License Agreement
NOE Lic Agmt and Op Permit_TURO, Inc.

Packet Pg. 82
Packet Pg. 83
Attachment: TURO License Agreement (4.2(a)--Approve License Agreement and Operating Permit with Turo Inc.) Packet Pg. 84
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Attachment: NOE Lic Agmt and Op Permit_TURO, Inc. (4.2(a)--Approve License Agreement and Operating Permit with Turo Inc.)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the City Manager, or designee, to issue a loan between the City of Redding General Fund and the Airports Division Enterprise Fund in order to fund the Redding Regional Airport Passenger Terminal Parking Lot Reconstruction Project in an amount not to exceed $1.5 million – the loan will be amortized annually over a 10-year term at the averaged pooled cash rate with annual payments of $145,325 and a projected balloon payment of $355,000.

Fiscal Impact
If approved, the City Manager would issue a loan to the Airports Division’s Enterprise Fund from the General Fund in the amount of $1.5 million. As proposed, the Airports Division would make annual payments of $145,325 for a 10-year term at the average pooled cash rate at the time of the loan with an anticipated balloon payment of $355,000. At the end of the term, the balloon payment will be analyzed based on Airports Division revenues and a refinance of the balloon payment will be presented to City Council (Council) for consideration.

Alternative Action
Council may choose not to authorize the City Manager to issue the loan and provide staff alternate direction.

Background/Analysis
The Redding Regional Airport (RDD) Passenger Terminal Parking Lot is in overall poor condition due to wear and tear from increased passenger traffic and its lack of eligibility for preservation or rehabilitation funding from traditional airport grant funding sources. The Airports Division has utilized operating funds to initiate the design for the parking lot reconstruction and is requesting a City of Redding (City) General Fund loan to enable the project to proceed in fall 2025 concurrent with the Runway Rehabilitation project in order to minimize further disruptions MEETING DATE: May 20, 2025
ITEM NO. 4.2(b)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.2(b)--Authorize Loan between City of Redding General Fund and Airports Division Enterprise Fund
Steve Bade, Assistant City
Manager
Packet Pg. 106
Report to Redding City Council May 14, 2025
Re: 4.2(b)--Authorize Loan between City General Fund and Airports Enterprise Funds Page 2 to RDD customers. Parking lots are typically difficult for small and medium airports to maintain because of the overall costs, disruption to services, and lack of eligibility for federal and state grant funding for airports.

The Airports Division contracts with a parking management company to operate the paid parking areas which generate a significant portion of airport revenues. Rental car parking and employee parking are not part of this oversight. As part of the City’s Master Fee Schedule update, the Airports Division is proposing an increase to the parking lot daily rates from $10 per day to $12 per day which will be used towards the financing costs associated with the proposed loan.

In addition, the parking lot concession agreement is due for renegotiation and the Airports Division anticipates receiving more favorable concession rates from the operator which would further increase revenues from paid parking. As part of the design for the reconstruction, the Airports Division has also incorporated infrastructure updates to enable the airport or its parking operator to install and utilize license plate reader technology to enhance the security of the parking lot and ensure the highest effective capture rate of parking revenues. There are no current plans to make changes to short-term parking rate, which is currently free for the first four hours in order to facilitate public access to airport concessionaires such as the restaurant operated by a private party.

Environmental Review
This activity, internal loan negotiation and execution, is not a project as defined by the California Environmental Quality Act (CEQA). If funded, the parking lot reconstruction project will be reviewed for compliance with CEQA. No further action is required at this time.

Council Priority/City Manager Goals
• Budget and Financial Management – “Achieve balanced and stable 10-year Financial Plans for all funds.”
Packet Pg. 107

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize staff to exercise Optional Compliance Measure Section 3.2(C) within the Redding Electric Utility RPS-100 Renewables Portfolio Standard (RPS) Enforcement Program and Procurement Plan for Compliance Period 4 in order to meet California’s RPS Mandate set by the California Energy Commission.

Fiscal Impact
Exercising the Cost Limitation for Expenditures Optional Compliance Measure (OCM) for Compliance Period 4 results in $9.3M in compliance savings.

Alternative Action
The City Council (Council) may choose not to exercise the Cost Limitation for Expenditures OCM in the Redding Electric Utility (REU) Renewable Portfolio Standard (RPS) Procurement and Enforcement Program for Compliance Period 4 (CP4) and provide alternative direction to staff.

Background/Analysis
REU is required to procure 60 percent of its retail electricity sales from eligible renewable energy resources by 2030 under California’s RPS. To comply, REU must meet interim targets and follow strict procurement rules set by the California Energy Commission (CEC).

REU staff regularly evaluates the renewable energy credits (RECs) for compliance with the CEC’s RPS requirements. REU forecasts the number of RECs required to meet the compliance targets and develops long-term plans to satisfy those obligations, which can include using banked Excess Procurement RECs, executing long-term renewable energy procurements, as well as negotiating long- and short-term REC purchases. CP4 covers a four-year span, running from 2021 to 2024.

MEETING DATE: May 20, 2025
ITEM NO. 4.5(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.5(a)--Approval to exercise Renewables Portfolio Standard Optional Compliance Measure 3.2(C)
Nick Zettel, Director of
Redding Electric Utility
Packet Pg. 108
Report to Redding City Council May 13, 2025
Re: 4.5(a)--Approval to exercise Renewables Portfolio Standard Optional Compliance Measure 3.2(C) Page 2
In 2022, the CEC notified REU that during the Compliance Period 3 (CP3) verification process, over 121,000 RECs were deemed ineligible due to an administrative error in the reporting tool.

REU staff worked with CEC staff to appeal the decision and reinstate the ineligible RECs.

However, CEC staff is not permitted to move RECs once they are retired in the software system, thus ultimately, CEC staff determined the RECs would remain ineligible. Several other publiclyowned electric utilities encountered the same administrative error, causing the CEC to subsequently update the reporting software to avoid future mishaps. As a result, REU staff utilized RECs earmarked for CP4 compliance and applied them to CP3, avoiding a shortfall in that Compliance Period.

On March 21, 2023, the Council approved REU’s updated RPS Procurement Program and Enforcement Plan. This change aimed to clarify how REU may use OCMs if “factors beyond reasonable control interfere with its ability to meet the procurement requirements outlined in § 3206 of the RPS regulations.” In particular, REU updated the Cost Limitation provision by adding the following application scenarios:
• As written in REU’s RPS Procurement Program and Enforcement Plan, any changes not attributed to a load forecast deviation; or
• Any increase in cost that exceeds the budgeted amount can lead to the use of an OCM.

Compliance Period 4 Activities to meet RPS Obligations
The CEC’s determination on the ineligible RECs, along with additional impacts beyond REU’s control, have affected REU’s ability to meet the compliance target for CP4. Other contributing factors include:
• Load Forecast: The 2024 load forecast for CP4 (2021-2024) is 5.9 percent higher than the 2021 forecast for the same period. This results in nearly 90,000 additional RECs (an 8.3 percent increase) required to meet the RPS target for CP4; and
• Unit 9: Maintenance at the Whiskeytown hydro generation facility forced the unit offline during the latter part of 2024, resulting in a loss of roughly 5,500 forecasted RECs.

As a result, REU staff have taken additional steps to mitigate the shortfall:
• REC Purchase: In 2021, before CP4 began, staff assessed the load forecast and available resources, identifying a projected shortfall. To address this, the team arranged the purchase of 100,000 RECs from Shell Energy North America. This Index transaction was finalized in 2021 at $15.00 per REC; • CP4 REC Request for Offer: To verify that the cost of replacement RECs exceeded the forecasted costs adopted in REU’s power supply budget, staff issued a formal solicitation for 175,000 vintage 2024 Portfolio Content Category 1 and Portfolio Content Category 3 RECs in December 2024. Of the three responses, none were sufficient to satisfy the entirety of the CP4 shortfall.

Packet Pg. 109
Report to Redding City Council May 13, 2025
Re: 4.5(a)--Approval to exercise Renewables Portfolio Standard Optional Compliance Measure 3.2(C) Page 3
Despite these actions, REU is still six percent short of meeting CP4 compliance obligations without intervention. REU currently has over 30,000 Excess Procurement RECs banked for future compliance. While REU intended to use them for CP4, the banked amount will not satisfy the deficiency. In October 2024, REU staff met with the CEC’s RPS Verification and Compliance staff to discuss whether REU could retain its banked RECs without penalty. In parallel, staff sought legal review from internal and external experts to determine whether this was a legally available option.

Next Steps
Based on the analysis, discussion with the CEC, and legal review, REU staff recommends the following actions to meet RPS Compliance:

1. Exercise Cost Limitation Optional Compliance Measure Based on the qualifying criteria for available Optional Compliance Measures, staff recommends exercising the Cost Limitations for Expenditure clause in the RPS Procurement Plan and Enforcement Program 3.2.C(2), ref § 3206 (a)(3) of the RPS POU regulations.

2. Retain Excess Procurement Banked RECs
Staff recommends retaining the roughly 30,000 banked excess procurement RECs for use in a future compliance period. The CEC and legal counsel found that carrying forward excess procurement RECs would have no negative impact on REU’s compliance with the RPS regulations. Based on the CEC’s guidance and legal affirmation, REU staff recommends retaining the current bank of RECs to meet the RPS target in a future compliance period.

If the Council approves, REU staff will submit the request to utilize a Cost Limitation OCM in the CEC’s Annual RPS Report, due July 1, 2025.

Environmental Review
This is not a project defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
This agenda item is a routine operational item.

Attachments

4.5(a)--Redding RPS Procurement Plan and Enforcement Program Packet Pg. 110

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve Version 6 of the Redding Electric Utility’s Renewables Portfolio Standard Procurement Plan and Enforcement Program ( RPS Plan) procedure RPS- 001, updating language to Section

3.2(C), Cost Limitations for Expenditures, to provide added assurance of rate predictability and stability for Redding Electric Utility customers.

Fiscal Impact
No immediate fiscal impact is associated with adopting the attached revised Renewables Portfolio Standard Procurement Plan and Enforcement Program ( RPS Plan). However, the updated language to Section 3.2(C), Cost Limitations for Expenditures, provides added assurance of rate predictability and stability for Redding Electric Utility (REU) customers.

Alternative Action
The City Council ( Council) could suggest additional modifications to the attached revised RPS Plan and request staff to return the modified version to Council for consideration at a later date.

Background/Analysis
Senate Bill 100 required California electric utilities to acquire 60 percent of their annual energy needs from renewable resources by 2030. Furthermore, Senate Bill 100 included a policy statement that eligible renewable energy resources and zero-carbon resources should comprise 100 percent of retail sales of electricity to California end- use customers by December 31, 2045.

MEETING DATE: March 21, 2023
ITEM NO. 4.5(a)
FROM:

APPROVED BY***
[email protected] btippin@cityofredding. org
SUBJECT: 4.5(a)-- Redding RPS Procurement Plan and Enforcement Program Nick Zettel, Director of
Redding Electric Utility
Packet Pg. 111 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard Report to Redding City Council March 16, 2023
Re: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program Page 2 Since passage of earlier legislation requiring procurement of renewable energy, the California Energy Commission (CEC) developed procedures for enforcement of the RPS Plan for publicly owned utilities. As part of that enforcement authority, on June 12, 2013, the CEC adopted Enforcement Procedures for local, publicly- owned electric utilities ( RPS Enforcement Regulation). The RPS Enforcement Regulations require utilities to adopt RPS Plans and file them with the CEC. On October 15, 2013, the City adopted an RPS Plan – when substantive changes are made to the RPS Plan, REU provides continual updates.

As required by regulations, the CEC uses Renewable Energy Credits (RECs) to track compliance with RPS regulations. One REC represents one megawatt- hour ( MWh) of electricity generated from a renewable energy source. In 2022, REU staff was notified by the CEC that over 121,000 of its RECs that were retired for the 2020 Compliance Period were deemed ineligible due to an administrative error in the CEC’s online reporting tool. Staff has continued working diligently with utility partners to appeal the CEC’ s decision, which is currently pending. In response to the CEC’ s current conclusion, REU has evaluated its available resource options with the goal of avoiding any potential undue cost burden to ratepayers.

The RPS Enforcement Regulations allow for exemptions to avoid disproportionate rate impacts on utility customers. Updated language has been added to the RPS Plan’s Optional Compliance Measure - Cost Limitation section to clarify the characterization and applicability of Cost Limitation criteria. The proposed updates to the RPS Plan ensure REU can leverage those Optional Compliance Measures in the event a situation potentially warrants doing so. REU staff is optimistic about reaching a positive outcome with the CEC that will not require the use of the Cost Limitation provision; however, it is important to ensure the option is available in the event it needs to be exercised.

Environmental Review
This is not a project defined under California Environmental Quality Act (CEQA), and no further action is required.

Council Priority/ City Manager Goals
This agenda item is a routine operational item
Attachments
RPS- 001 RPS Policies and Procedures 3-21-2023
DRAFT Redding RPS Procurement Plan & Enforcement Program 3-21-23 (Redlines) Packet Pg. 112 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 1 Procedure No:

RPS- 001
Version:
6 Approval Date:
3/ 21/ 2023
RPS Policies &
Effective Date: March 21, 2023 Procedures
Document Owner: Lisa Casner

REDDING ELECTRIC UTILITY
Resources Division
RPS- 001 Renewables Portfolio
Standard Enforcement Program and
Procurement Plan
Reviewed By:

Lisa Casner ( Electric Manager – Resources), Nicholas Zettel ( Electric Utility Director)
Adopted By: Redding City Council
Date: March 21, 2023
Packet Pg. 113 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 2 TABLE OF CONTENTS

1. Introduction ........................................................................................................... 3

2. RPS Procurement Plan ............................................................................................ 3

2.1 Purpose .................................................................................................................. 3

2.2 Compliance Periods ............................................................................................... 4

2.3 Portfolio Content Categories ( RPS Enforcement Regulation § 3203) ................... 6

2.4 Procurement Requirements ( RPS Enforcement Regulation § 3204) .................... 9

2.5 Redding’s Plan for RPS Compliance ..................................................................... 11

3. RPS Enforcement Program .................................................................................... 11

3.1 Enforcement Policy .............................................................................................. 11

3.2 Optional Compliance Measures .......................................................................... 12

4. Review and Updating Requirements .................................................................... 14 Packet Pg. 114 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 3 1. Introduction
Senate Bill 2 in the First Extraordinary Session ( SBX1- 2)1defines the California Renewables Portfolio Standard ( RPS) and imposes minimum renewable energy procurement targets for all retail sellers and publicly-owned utilities (POUs), including the City of Redding ( Redding).

SBX1- 2 authorized the California Energy Commission ( CEC) to develop procedures for enforcement of the RPS for POUs. As part of that enforcement authority, the CEC adopted Enforcement Procedures for the Renewables Portfolio Standard for Local, Publicly-Owned Electric Utilities” ( RPS Enforcement Regulations) 2and updated regulations were subsequently adopted in 2021. This document describes Redding’ s RPS Procurement and Enforcement Plan, as required by the Public Utility Code (PUC) section 399.30(a), which must be approved by the Redding City Council.

1.1 Utility Code
Redding maintains compliance with a multitude of state laws that govern certain aspects of utility energy portfolio requirements. These include the following code sections, which relate to California’s Renewable Portfolio Standard:

Renewable Portfolio Standard requirement PUC § 399.30(a) Compliance Period and Procurement Targets PUC § 399.30(b) and (c) Portfolio Content Categories PUC § 399.16(b) and (c)
RPS POU Compliance PUC § 399.30(n)
Optional Compliance Measures PUC § 399.30(d) and PUC § 399.33

2. RPS Procurement Plan

2.1 Purpose
The purpose of the RPS Procurement Plan is to identify the policies and procedures for Redding to meet the RPS requirements and any future adopted state-defined renewable goals. SB350 was signed by Governor Brown in 2015, mandating that 50 percent ( 50%) of retail sales must be served by RPS eligible resources by 2030. SB350 also mandated Redding to produce an Integrated Resource Plan that will guide the Procurement Plan as allowed by PUC section 399.17(d). In 2018, SB100 was signed by Governor Brown, which increased the RPS goals to 60% by 2030, and in 2021, the CEC approved updates to the RPS regulations. 1 SBX1- 2 (Simitian, Stats. 2011, Ch. 1) was signed by California’ s Governor on April 12, 2011. 2 The CEC adopted the RPS Enforcement Regulations on June 12, 2013, in Order No. 13 -0612- 5.

Packet Pg. 115 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 4 2.2 Compliance Periods
Compliance periods are defined by multi-year percentage targets mandated by law.

Compliance Periods 1, 2, and 3 have passed; however, they are included below for reference:

A. Compliance Period 1
1) During Compliance Period 1, January 1, 2011, to December 31, 2013, Redding shall procure, at a minimum, renewable energy resources equivalent to an average of 20 percent of retail sales over the three (3) years of the compliance period.

Expressed as:

EP2011 + EP2012 + EP2013 . 20 (RS2011 + RS2012 + RS2013) Where:

RSX = total retail sales made by Redding for the specified year X.

EPX = electricity products procured for the specified year X; this may include excess procurement and historic carryover that the POU has chosen to apply to the compliance period containing year X.

B. Compliance Period 2
1) For Compliance Period 2, January 1, 2014, to December 31, 2016, Redding shall procure renewable energy resources to meet or exceed the sum of 20 percent of retail sales for each of 2014 and 2015, and 25 percent of retail sales for 2016.

Expressed as:

EP2014 + EP2015 + EP2016 0.20 (RS2014) + 0.20 (RS2015) + 0.25 (RS2016) C. Compliance Period 3
1) For Compliance Period 3, January 1, 2017, to December 31, 2020, Redding shall procure renewable energy resources to meet or exceed 33 percent of retail sales by 2020. During the intervening years of Compliance Period 3, Redding shall increase procurement to reflect an imputed compliance obligati on.

Expressed as:

EP2017 + EP2018 + EP2019 + EP2020)

0.27 (RS2017) + 0.29 (RS2018) + 0.31 (RS2019) + 0.33 (RS2020) Packet Pg. 116 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 5 D. Compliance Period 4
1) For the compliance period beginning January 1, 2021, and ending December 31, 2024, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 35.75 percent of its 2021 retail sales, 38.50 percent of its 2022 retail sales, 41.25 percent of its 2023 retail sales, and 44.00 percent of its 2024 retail sales.

Expressed as:

EP2021 + EP2022 + EP2023 + EP2024)

0.3575 (RS2021) + 0.3850 (RS2022) + 0.4125 (RS2023) + 0.4400 (RS2024) Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

E. Compliance Period 5
1) For the compliance period beginning January 1, 2025, and ending December 31, 2027, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 46.00 percent of its 2025 retail sales, 50.00 percent of its 2026 retail sales, and 52.00 percent of its 2027 retail sales.

Expressed as:

EP2025 + EP2026 + EP2027

0.4600(RS2025) + 0.5000(RS2026) + 0.5200(RS2027)
Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

F. Compliance Period 6
1) For the compliance period beginning January 1, 2028, and ending December 31, 2030, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 54.67 percent of its 2028 retail sales, 57.33 percent of its 2029 retail sales, and 60.00 percent of its 2030 retail sales.

Expressed as:

EP2028 + EP2029 + EP2030

0.5467(RS2028) + 0.5733(RS2029) + 0.6000(RS2030)
Packet Pg. 117 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 6 Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

G. Compliance Periods Beginning on and after January 1, 2031 1) Compliance periods beginning on and after January 1, 2031, shall be three years in length starting on January 1 and ending on December 31. For each compliance period beginning on or after January 1, 2031, Redding shall demonstrate it has procured electricity products within the compliance period sufficient to meet or exceed an average of 60.00 percent of Redding’ s retail sales over the three calendar years of the compliance period.

Expressed as:

EPX1 + EPX2 + EPX3 0.6000 (RSX1) + 0.6000 (RSX2) + 0.6000 (RSX3) Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

2.3 Portfolio Content Categories (RPS Enforcement Regulation § 3203) In addition to meeting the renewable energy procurement target, the RPS established Portfolio Content Categories ( PCC) that outline the eligible renewable energy resource products that must be procured to ensure compliance with minimum and maximum values as summarized in Table 2.

A. PCC1: ( RPS Enforcement Regulations § 3203(a))
1) PCC1 electricity products must be bundled at the time of procurement to be classified as PCC1, and the POU may not resell the underlying electricity from the electricity product back to the eligible renewable energy resource from which the electricity product was procured. The electricity products must be generated by an eligible renewable energy resource that is interconnected to a transmission network within the Western Electricity Coordinating Council ( WECC) service territory. For purposes of this section 3203, the first point of interconnection to the WECC transmission grid is the substation, or, where generation tie lines interconnect from the eligible renewable energy resource to the network transmission grid.
a) Electricity products must be generated by an eligible renewable energy resource that has its first point of interconnection within the metered boundaries of a California balancing authority area, or Packet Pg. 118 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 7 b) Electricity products must be generated by an eligible renewable energy resource that has its first point of interconnection to an electricity distribution system used to serve end-users within the metered boundaries of a California balancing authority area. For purposes of this section 3203, the first point of interconnection to an electricity distribution system is within the service area boundaries of a utility distribution company.
c) Electricity products from the eligible renewable energy resource with a first point of interconnection outside the metered boundaries of a California balancing authority area must be scheduled into a California balancing authority area without substituting electricity from another source. For purposes of this section 3203, electricity generated by the eligible renewable energy resource must be scheduled into a Californ ia balancing authority area on an hourly or sub-hourly basis. The POU’ s governing board, or other authority as delegated by the POU governing board, must have approved an agreement before the electricity is generated to schedule the electricity from the eligible renewable energy resource into the California balancing authority area on an hourly or sub-hourly basis. If there is a difference between the amount of electricity generated within an hour and the amount of electricity scheduled into a California balancing authority area within that same hour, only the lesser of the two amounts shall be classified as PCC1. d) Electricity products must be subject to an agreement between a California balancing authority area and the balancing authority in which the eligible renewable energy resource is located and executed before the product is generated to dynamically transfer electricity from the eligible renewable energy resource into the California balancing authority area. 3) Electricity products originally qualifying in PCC1 that do not meet the criteria of section 3203 (a)(2)(A) and are resold – (D) shall not be counted in PCC1.

B. PCC2: ( RPS Enforcement Regulations § 3203(b))
1) PCC2 electricity products must be generated by an eligible renewable energy resource that is interconnected to a transmission network within the WECC service territory, and the electricity must be matched with incremental electricity that is scheduled into a California balancing authority area. 2) PCC2 electricity products must be bundled when procured and must meet all of the following criteria:
a) The first point of interconnection to the WECC transmission grid for both the eligible renewable energy resource and the resource providing the Packet Pg. 119 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 8 incremental electricity must be located outside the metered boundaries of a California balancing authority area.
b) The incremental electricity used to match the electricity from the eligible renewable energy resource must be incremental to the POU. For purposes of this section 3203, “incremental electricity” means electricity that is generated by a resource located outside the metered boundaries of a California balancing authority area; prior to the date of contract or ownership agreement, electricity is not in the portfolio of the POU claiming the electricity products for RPS compliance from eligible renewable energy resources with which the incremental electricity is being matched; is executed by the POU, or other authority, as delegated by the POU governing board.
c) The governing board, or other authority as delegated by the governing board, executes the contract or ownership agreement for the incremental electricity at the same time or after the contract or ownership agreement for the electricity products from the eligible renewable energy resource is executed. d) The incremental electricity must be scheduled into the California balancing authority area within the same calendar year as the electricity from the eligible renewable energy resource is generated.
e) The electricity from the eligible renewable energy resource must be available to be procured by the POU and may not be sold back to that resource.

C. PCC3: ( RPS Enforcement Regulations § 3203(c))
All unbundled renewable energy credits and other electricity products procured from eligible renewable energy resources located within the WECC transmission grid that do not meet the requirements of either PCC1 or PCC2 fall within PCC3.

D. PCC0: ( RPS Enforcement Regulations § 3202(a)(2))
1) Any contract or ownership agreement originally executed prior to June 1, 2010, shall count in full toward the procurement requirements if all of the following conditions are met:
a) The renewable energy resource met the Commission’ s RPS eligibility requirements that were in effect when the original procurement or ownership agreement was executed.

Packet Pg. 120 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 9 b) Any contract amendments or modifications occurring after June 1, 2010, do not increase the nameplate capacity, expected quantities of annual generation, or substitute a different renewable energy resource. c) If contract amendments or modifications after June 1, 2010, increase nameplate capacity or expected quantities of annual generation, increase the term of the contract, or substitute a different eligible renewable energy resource, only the MWhs or resources procured prior to June 1, 2010, shall count in full toward the RPS procurement targets. The remaining procurement that is additional due to the amendment must be classified into a portfolio content category and as long-term or short-term, and follow the portfolio balance requirements and long-term procurement requirement in accordance with RPS Enforcement Regulations section 3204 (c) and 3204 (d). d) The duration of the contract may be extended if the original contract specified a procurement commitment of fifteen (15) years or more.

2.4 Procurement Requirements (RPS Enforcement Regulation § 3204) A. RPS procurement targets for each compliance period
A POU shall demonstrate it has procured electricity products sufficient to meet or exceed the procurement requirements for the respective compliance periods listed below:

Table 1: RPS Renewable Requirement
To allow for market and load variations, Redding may procure additional RECs in each Compliance Period above the values listed in Table 1.

B. Exemptions and Adjustments

1. Adjustment for Large Hydroelectric Generation
Consistent with RPS Enforcement Regulations § 3204(b)(8), from January 1, 2019, through December 31, 2030, if Redding receives more than 40 percent (40%) of its retail sales from large hydroelectric generation during a given year of a compliance period, Redding is not required to procure electricity products that exceed the lesser Compliance Period 4 CP 5 CP 6 CP 7
2021 2022 2023 2024 … 2027 … 2030 2031…

35.75% 38.5% 41.25% 44% 52% 60% 60%
Packet Pg. 121 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 10 of the portion of the POU’s retail sales unsatisfied by the POU’s large hydroelectric generation, or the soft target for the relevant year of the compliance period.

2. Adjustment for Qualifying Gas-Fired Power Plant
If all requirements in RPS Enforcement § 3204(b)(11) are satisfied, Redding may reduce the amount of eligible renewable energy resources that it procures for a compliance period beginning January 1, 2025, if the gas-fired power plant is operating at or below a 20 percent ( 20%) capacity factor on an annual average basis during a given compliance period. This amount is calculated by the difference between the gasfired power plant’s actual generation for the compliance period if it had operated at a 20 percent ( 20%) capacity factor on an annual average during the compliance period. In order to participate, Redding was required to notify the CEC of its intent to act pursuant to this exemption by April 1, 2019. Redding submitted its notification to the CEC on March 12, 2019, and the CEC accepted it on July 31, 2019.

C. Portfolio Balance Requirements
Beginning in Compliance Period 4, at least seventy-five percent (75%) of Redding’ s RPS procurement shall be from PCC 1 contracts, with a maximum of 10 percent of Redding’ s RPS procurement from PCC 3 RECs ( PUC section 399.16). There is no direct restriction on the percentage of PCC 2.

REC
Classification
Compliance
Period 1
2011- 2013
Compliance
Period 2
2014- 2016
Compliance
Period 3
2017- 2020
Compliance
Period 4
2021- 2024
Compliance
Period 5
2025- 2027
Compliance
Period 6
2027- 2030
PCC 1 RECs
Minimum)
50% 65% 75% 75% 75% 75%
PCC 2 RECs
No Direct
Restriction)
n/ a n/ a n/ a n/ a n/ a n/ a
PCC 3 RECs
Maximum)
25% 15% 10% 10% 10% 10%
PCC 0 Not subject to portfolio balancing requirements
Table 2: RPS Balancing Requirement
D. Long-Term Portfolio Requirement
For the compliance period beginning January 1, 2021, and each compliance period thereafter, at least 65 percent of the electricity products applied toward the RPS procurement target shall be from contracts of 10 years or more in duration or ownership or ownership agreements for eligible renewable energy resources ( PUC section 399.13(b) and 399.30(d)).

Packet Pg. 122 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 11 Electricity products will be classified as long-term or short-term based on the contracts, ownership, or ownership agreements through which they are procured.

For the purpose of this section 3204 (d) subdivision, long-term procurement refers to procurement from long-term contracts (over ten years in duration), ownership, or ownership agreements, subject to criteria outlined in section 3204 (d).

2.5 Redding’ s Plan for RPS Compliance
In order to meet the RPS mandates, Redding plans to preserve its existing PCC0 resources, carry forward excess procurement from one compliance period to the next, and look for valuable opportunities to diversify and expand its RPS portfolio while protecting Redding’ s customers from excessive rate increases that could jeopardize economic growth and viability within the City.

The Integrated Resource Plan (IRP) will be the guiding document and framework used for future RPS energy procurement efforts. The IRP will be used as a procurement guide for RPS resource quantity, timing, location, and generation profiles. The IRP is filed with the California Energy Commission and will follow the required timely updates.

Redding plans to continue evaluating eligible renewable power resources and will initiate any necessary procurement solicitations consistent with the IRP.

3. RPS Enforcement Program

3.1 Enforcement Policy
In compliance with the requirement for the governing board of a POU to adopt a program for enforcement of the legislation prior to January 1, 2012, the Redding City Council passed Resolution 2011-197 “ Resolution of the City Council of the City of Redding to Revise the Renewable Portfolio Standard for the City of Redding’ s Electric System” on December 20, 2011.

Resolution 2011-197 adopted the following RPS targets:

An average of 20 percent in 2011 through 2013;
25 percent by 2016; and
33 percent by 2020 and thereafter.

Resolution 2011-197 also adopted the following Enforcement Policies:

Redding will make a reasonable effort in the context of Good Utility Practice to be in compliance with the requirements of SBX1- 2.

Packet Pg. 123 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 12 Redding will report to the City Council on its status of compliance with SBX1- 2 per PUC section 399.13.

Redding will notify the City Council of any potential for lack of compliance with the requirements that may be considered for a notice of violation and penalty imposition.

Redding will provide an explanation and analysis to the City Council on such potential for lack of compliance, as well as a plan of corrective action and timeframe for returning the City to compliant status.

The Redding City Council approved updated RPS goals on September 17, 2019 , due to the passing of SB 100, which accelerated RPS goals previously established in SB 350 as follows:
44 percent by 2024;
52 percent by 2027;
60 percent by 2030 and thereafter.

The Redding City Council approved the updated RPS procurement plan on March 21, 2023, modifying how Redding utilizes the plan’ s Optional Compliance Measures.

3.2 Optional Compliance Measures
Specific optional compliance measures are permitted and are adopted by Redding and the City Council. Redding adopts the following optional compliance measures, which may be utilized in the event that factors beyond reasonable control interfere with its ability to meet the procurement requirements set forth in § 3206 of the RPS Regulations.

A. Excess Procurement:

Redding shall be allowed to apply Excess Procurement from one compliance period to subsequent compliance periods using the criteria outlined in § 3206(a)(1) of the RPS Enforcement Regulations.

B. Delay of Timely Compliance:

Enforcement of timely compliance shall be waived if Redding demonstrates that any of the conditions defined in RPS Enforcement Regulations § 3206(a)(2) are beyond the control of Redding, and Redding would have met its RPS procurement requirements but for the cause of delay.

Packet Pg. 124 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 13 C. Cost Limitations for Expenditures:

The City of Redding’s current RPS policy requires that Redding pursue target levels of renewable purchases while ensuring that costs for renewable purchases do not result in disproportionate rate impacts to customers. To ensure customers do not face a disproportionate burden, Redding’s City Council has the authority to implement a Cost Limitation, which may result in the temporary suspension of RPS compliance activities.

In this section, Redding establishes a Cost Limitation on the procurement expenditures for all eligible renewable energy resources used to comply with the RPS, consistent with RPS Enforcement Regulations § 3206(a)(3). Potential reliance on this provision for compliance will be consistent with the City’s Renewables Portfolio Standard Procurement Plan and the schedule that satisfies the procurement requirements set forth in Section 2.4 of this document.

The following circumstances may result in disproportionate rate impacts to REU customers and may constitute cause for the application of the Cost Limitation Optional Compliance Measure:
1) An increase to the renewable energy procurement requirements for a given compliance period, as set forth in Section 2.4, not based on a change in electric retail sales, resulting in a deviation from Redding’s forecasted renewable energy procurement requirement.
2) Projected costs to meet renewable energy procurement requirements for a given compliance period exceed the forecasted costs adopted in Redding’s renewable energy procurement budget.

When estimating the considered RPS procurement expenditure , the following costs will also be included:
a) The costs associated with the energy, renewable attribute, firming and shaping, and/or storage, as needed for intermittent resources; and b) The costs associated with the delivery of renewable energy.

In the event that renewable energy procurement requirements meet the threshold for application of the Cost Limitation Optional Compliance Measure, Redding shall review its RPS Procurement Plan to ensure that alternatives are not available that would otherwise allow Redding to meet its RPS procurement requirement. Such review shall include an evaluation of:
current procurement commitments,
Packet Pg. 125 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 14 planned procurements,
long-term commitments, and
the availability of alternative resources in other portfolio content categories.

Based on this review, Redding reserves the right to refrain from entering into new contracts for renewable energy purchases that meet any of the exemptions listed in its Cost Limitation provisions.

D. Portfolio Balance Requirement Reduction:

The Portfolio Balance Requirement shall be reduced if Redding demonstrates that any of the conditions defined in RPS Enforcement Regulations § 3206(a)(4) are beyond the control of Redding, and Redding would have met its Portfolio Balance Requirements but for the cause of reduction.

4. Review and Updating Requirements ( RPS Enforcement Regulations § 3205(a) and (b))
Redding is required to complete an Integrated Resource Plan that will guide the Procurement plan. Redding will provide the following notice regarding new or updated renewable energy resources procurement and enforcement plans:

A. Renewable Energy Resources Procurement Plan
1) Redding shall post notice in accordance with Chapter 9 (commencing with § 54950) of Part 1, Division 2, Title 5 of the Government Code, whenever the City Council will deliberate in public on the RPS Procurement Plan.

B. Enforcement Plan
1) Redding shall provide notice regarding new or updated enforcement programs. The enforcement program must be adopted at a publicly noticed meeting offering all interested parties an opportunity to comment.
a. No less than 30 calendar days’ notice shall be given to the public of any meeting held for purposes of adopting the enforcement program. b. If the enforcement program is modified or amended, no less than 10 calendar days’ notice shall be given to the public before any meeting is held to make a substantive change to the enforcement program.

Packet Pg. 126 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 15 Revision No. Revision Date Summary of Changes
1 10/ 15/ 2013 Original version adopted by City Council on October 15, 2013 2 10/ 07/ 2014 Annual update: Removed Lewiston and added Colusa 3 6/ 05/ 2018 Combined Procurement and Enforcement plan. Included SB350 updates, removed Colusa biomass project, added cost limitation from stranded assets, and rearranged information for a clearer, concise document. 4 8/ 26/ 2019 Updated to include new legislation on: SB100, and SB1110. 5 4/ 20/ 2021 Updated to include new RPS regulatory language from updated regulations adopted by CEC in December 2020.
6 3/ 31/ 2023 Updated optional compliance measure language and corrected J:\ 14_RESOURCES\ 01_PROCEDURES AND FILINGS\ PROCEDURES\ RPS-001 RPS PROCUREMENT AND ENFORCEMENT PLAN Packet Pg. 127 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 1 CL1] Procedure No:

RPS- 001
Version:
56 Approval Date:
4/ 20/ 20213/ 21
2023 RPS Policies &
Effective Date: April 20, 2021March 21, 2023 Procedures Document Owner: Nathan AronsonLisa Casner

REDDING ELECTRIC UTILITY
Resources Division
RPS- 001 Renewables Portfolio
Standard Enforcement Program and
Procurement Plan
Reviewed By:

Nathan AronsonLisa Casner ( Electric Manager – Resources), Dan BeansNicholas Zettel ( Electric Utility Director)
Packet Pg. 128 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 2 Adopted By: Redding City Council
Date: April 20, 2021March 21, 2023
Packet Pg. 129 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 3 TABLE OF CONTENTS

1. Introduction ......................................................................................................... 43

2. RPS Procurement Plan .......................................................................................... 43

2.1 Purpose ................................................................................................................ 43

2.2 Compliance Periods ............................................................................................. 54

2.3 Portfolio Content Categories ( RPS Enforcement Regulation § 3203) ................. 76

2.4 Procurement Requirements ( RPS Enforcement Regulation § 3204) ................ 109

2.5 Redding’s Plan for RPS Compliance ................................................................. 1211

3. RPS Enforcement Program ................................................................................ 1211

3.1 Enforcement Policy .......................................................................................... 1211

3.2 Optional Compliance Measures ...................................................................... 1312

4. Review and Updating Requirements ................................................................ 1513 Packet Pg. 130 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 4 1. Introduction
Senate Bill 2 in the First Extraordinary Session ( SBX1- 2)1defines the California Renewables Portfolio Standard ( RPS) and imposes minimum renewable energy procurement targets for all retail sellers and publicly-owned utilities (POUs), including the City of Redding ( Redding).

SBX1- 2 authorized the California Energy Commission ( CEC) to develop procedures for enforcement of the RPS for POUs. As part of that enforcement authority, the CEC adopted Enforcement Procedures for the Renewables Portfolio Standard for Local, Publicly-Owned Electric Utilities” ( RPS Enforcement Regulations) 2and updated regulations were subsequently adopted in 2021. This document describes Redding’ s RPS Procurement and Enforcement Plan, as required by the Public Utility Code (PUC) section 399.30(a), which must be approved by the Redding City Council.

1.1 Utility Code
Redding maintains compliance with a multitude of state laws that govern certain aspects of utility energy portfolio requirements. These include the following code sections, which relate to California’s Renewable Portfolio Standard:

Renewable Portfolio Standard requirement PUC § 399.30(a) Compliance Period and Procurement Targets PUC § 399.30(b) and (c) Portfolio Content Categories PUC § 399.16(b) and (c)
RPS POU Compliance PUC § 399.30(n)
Optional Compliance Measures PUC § 399.30(d) and PUC § 399.33

2. RPS Procurement Plan

2.1 Purpose
The purpose of the RPS Procurement Plan is to identify the policies and procedures for Redding to meet the RPS requirements and any future adopted state-defined renewable goals. SB350 was signed by Governor Brown in 2015, mandating that 50 percent ( 50%) of retail sales must be served by RPS eligible resources by 2030. SB350 also mandated Redding to produce an Integrated Resource Plan that will guide the Procurement Plan as allowed by PUC section 399.17(d). In 2018, SB100 was signed by Governor Brown, which increased the RPS goals to 60% by 2030, and in 2021, the CEC approved updates to the RPS regulations. 1 SBX1- 2 (Simitian, Stats. 2011, Ch. 1) was signed by California’ s Governor on April 12, 2011. 2 The CEC adopted the RPS Enforcement Regulations on June 12, 2013, in Order No. 13 -0612- 5.

Packet Pg. 131 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 5 2.2 Compliance Periods
Compliance periods are defined by multi-year percentage targets mandated by law.

Compliance Periods 1, 2, and 3 have passed; however, they are included below for reference:

A. Compliance Period 1
1) During Compliance Period 1, January 1, 2011, to December 31, 2013, Redding shall procure, at a minimum, renewable energy resources equivalent to an average of 20 percent of retail sales over the three (3) years of the compliance period.

Expressed as:

EP2011 + EP2012 + EP2013 . 20 (RS2011 + RS2012 + RS2013) Where:

RSX = total retail sales made by Redding for the specified year X.

EPX = electricity products procured for the specified year X; this may include excess procurement and historic carryover that the POU has chosen to apply to the compliance period containing year X.

B. Compliance Period 2
1) For Compliance Period 2, January 1, 2014, to December 31, 2016, Redding shall procure renewable energy resources to meet or exceed the sum of 20 percent of retail sales for each of 2014 and 2015, and 25 percent of retail sales for 2016.

Expressed as:

EP2014 + EP2015 + EP2016 0.20 (RS2014) + 0.20 (RS2015) + 0.25 (RS2016) C. Compliance Period 3
1) For Compliance Period 3, January 1, 2017, to December 31, 2020, Redding shall procure renewable energy resources to meet or exceed 33 percent of retail sales by 2020. During the intervening years of Compliance Period 3, Redding shall increase procurement to reflect an imputed compliance obligati on.

Expressed as:

EP2017 + EP2018 + EP2019 + EP2020)

0.27 (RS2017) + 0.29 (RS2018) + 0.31 (RS2019) + 0.33 (RS2020) Packet Pg. 132 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 6 D. Compliance Period 4
1) For the compliance period beginning January 1, 2021, and ending December 31, 2024, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 35.75 percent of its 2021 retail sales, 38.50 percent of its 2022 retail sales, 41.25 percent of its 2023 retail sales, and 44.00 percent of its 2024 retail sales.

Expressed as:

EP2021 + EP2022 + EP2023 + EP2024)

0.3575 (RS2021) + 0.3850 (RS2022) + 0.4125 (RS2023) + 0.4400 (RS2024) Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

E. Compliance Period 5
1) For the compliance period beginning January 1, 2025, and ending December 31, 2027, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 46.00 percent of its 2025 retail sales, 50.00 percent of its 2026 retail sales, and 52.00 percent of its 2027 retail sales.

Expressed as:

EP2025 + EP2026 + EP2027

0.4600(RS2025) + 0.5000(RS2026) + 0.5200(RS2027)
Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

F. Compliance Period 6
1) For the compliance period beginning January 1, 2028, and ending December 31, 2030, Redding shall demonstrate it has procured electricity products within that period sufficient to meet or exceed the sum of 54.67 percent of its 2028 retail sales, 57.33 percent of its 2029 retail sales, and 60.00 percent of its 2030 retail sales.

Expressed as:

EP2028 + EP2029 + EP2030

0.5467(RS2028) + 0.5733(RS2029) + 0.6000(RS2030)
Packet Pg. 133 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 7 Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

G. Compliance Periods Beginning on and after January 1, 2031 1) Compliance periods beginning on and after January 1, 2031, shall be three years in length starting on January 1 and ending on December 31. For each compliance period beginning on or after January 1, 2031, Redding shall demonstrate it has procured electricity products within the compliance period sufficient to meet or exceed an average of 60.00 percent of Redding’ s retail sales over the three calendar years of the compliance period.

Expressed as:

EPX1 + EPX2 + EPX3 0.6000 (RSX1) + 0.6000 (RSX2) + 0.6000 (RSX3) Redding may not apply Portfolio Content Category 3 RECs in excess of the maximum limit calculated in section 3204 ( c)(3)(A) toward its RPS procurement target for this period.

2.3 Portfolio Content Categories (RPS Enforcement Regulation § 3203) In addition to meeting the renewable energy procurement target, the RPS established Portfolio Content Categories ( PCC) that outline the eligible renewable energy resource products that must be procured to ensure compliance with minimum and maximum values as summarized in Table 2.

A. PCC1: ( RPS Enforcement Regulations § 3203(a))
1) PCC1 electricity products must be bundled at the time of procurement to be classified as PCC1, and the POU may not resell the underlying electricity from the electricity product back to the eligible renewable energy resource from which the electricity product was procured. The electricity products must be generated by an eligible renewable energy resource that is interconnected to a transmission network within the Western Electricity Coordinating Council ( WECC) service territory. For purposes of this section 3203, the first point of interconnection to the WECC transmission grid is the substation, or, where generation tie lines interconnect from the eligible renewable energy resource to the network transmission grid.
a) Electricity products must be generated by an eligible renewable energy resource that has its first point of interconnection within the metered boundaries of a California balancing authority area, or Packet Pg. 134 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 8 b) Electricity products must be generated by an eligible renewable energy resource that has its first point of interconnection to an electricity distribution system used to serve end-users within the metered boundaries of a California balancing authority area. For purposes of this section 3203, the first point of interconnection to an electricity distribution system is within the service area boundaries of a utility distribution company.
c) Electricity products from the eligible renewable energy resource with a first point of interconnection outside the metered boundaries of a California balancing authority area must be scheduled into a California balancing authority area without substituting electricity from another source. For purposes of this section 3203, electricity generated by the eligible renewable energy resource must be scheduled into a Californ ia balancing authority area on an hourly or sub-hourly basis. The POU’ s governing board, or other authority as delegated by the POU governing board, must have approved an agreement before the electricity is generated to schedule the electricity from the eligible renewable energy resource into the California balancing authority area on an hourly or sub-hourly basis. If there is a difference between the amount of electricity generated within an hour and the amount of electricity scheduled into a California balancing authority area within that same hour, only the lesser of the two amounts shall be classified as PCC1. d) Electricity products must be subject to an agreement between a California balancing authority area and the balancing authority in which the eligible renewable energy resource is located and executed before the product is generated to dynamically transfer electricity from the eligible renewable energy resource into the California balancing authority area. 3) Electricity products originally qualifying in PCC1 that do not meet the criteria of section 3203 (a)(2)(A) and are resold – (D) shall not be counted in PCC1.

B. PCC2: ( RPS Enforcement Regulations § 3203(b))
1) PCC2 electricity products must be generated by an eligible renewable energy resource that is interconnected to a transmission network within the WECC service territory, and the electricity must be matched with incremental electricity that is scheduled into a California balancing authority area. 2) PCC2 electricity products must be bundled when procured and must meet all of the following criteria:
a) The first point of interconnection to the WECC transmission grid for both the eligible renewable energy resource and the resource providing the Packet Pg. 135 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 9 incremental electricity must be located outside the metered boundaries of a California balancing authority area.
b) The incremental electricity used to match the electricity from the eligible renewable energy resource must be incremental to the POU. For purposes of this section 3203, “incremental electricity” means electricity that is generated by a resource located outside the metered boundaries of a California balancing authority area; prior to the date of contract or ownership agreement, electricity is not in the portfolio of the POU claiming the electricity products for RPS compliance from eligible renewable energy resources with which the incremental electricity is being matched; is executed by the POU, or other authority, as delegated by the POU governing board.
c) The governing board, or other authority as delegated by the governing board, executes the contract or ownership agreement for the incremental electricity at the same time or after the contract or ownership agreement for the electricity products from the eligible renewable energy resource is executed. d) The incremental electricity must be scheduled into the California balancing authority area within the same calendar year as the electricity from the eligible renewable energy resource is generated.
e) The electricity from the eligible renewable energy resource must be available to be procured by the POU and may not be sold back to that resource.

C. PCC3: ( RPS Enforcement Regulations § 3203(c))
All unbundled renewable energy credits and other electricity products procured from eligible renewable energy resources located within the WECC transmission grid that do not meet the requirements of either PCC1 or PCC2 fall within PCC3.

D. PCC0: ( RPS Enforcement Regulations § 3202(a)(2))
1) Any contract or ownership agreement originally executed prior to June 1, 2010, shall count in full toward the procurement requirements if all of the following conditions are met:
a) The renewable energy resource met the Commission’ s RPS eligibility requirements that were in effect when the original procurement or ownership agreement was executed.

Packet Pg. 136 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 10 b) Any contract amendments or modifications occurring after June 1, 2010, do not increase the nameplate capacity, expected quantities of annual generation, or substitute a different renewable energy resource. c) If contract amendments or modifications after June 1, 2010, increase nameplate capacity or expected quantities of annual generation, increase the term of the contract, or substitute a different eligible renewable energy resource, only the MWhs or resources procured prior to June 1, 2010, shall count in full toward the RPS procurement targets. The remaining procurement that is additional due to the amendment must be classified into a portfolio content category and as long-term or short-term, and follow the portfolio balance requirements and long-term procurement requirement in accordance with RPS Enforcement Regulations section 3204 (c) and 3204 (d). d) The duration of the contract may be extended if the original contract specified a procurement commitment of fifteen (15) years or more.

2.4 Procurement Requirements (RPS Enforcement Regulation § 3204) A. RPS procurement targets for each compliance period
A POU shall demonstrate it has procured electricity products sufficient to meet or exceed the procurement requirements for the respective compliance periods listed below:

Table 1: RPS Renewable Requirement
To allow for market and load variations, Redding may procure additional RECs in each Compliance Period above the values listed in Table 1.

Compliance Period 4 CP 5 CP 6 CP 7
2021 2022 2023 2024 … 2027 … 2030 2031…

35.75% 38.5% 41.25% 44% 52% 60% 60%
Table 1: RPS Renewable Requirement
Compliance Period 4 CP 5 CP 6 CP 7
2021 2022 2023 2024 … 2027 … 2030 2031…

35.75% 38.5% 41.25% 44% 52% 60% 60%
Packet Pg. 137 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 11 B. Exemptions and Adjustments

1. Adjustment for Large Hydroelectric Generation
Consistent with RPS Enforcement Regulations § 3204(b)(8), from January 1, 2019, through December 31, 2030, if Redding receives more than 40 percent (40%) of its retail sales from large hydroelectric generation during a given year of a compliance period, Redding is not required to procure electricity products that exceed the lesser of the portion of the POU’s retail sales unsatisfied by the POU’s large hydroelectric generation, or the soft target for the relevant year of the compliance period.

2. Adjustment for Qualifying Gas-Fired Power Plant
If all requirements in RPS Enforcement § 3204(b)(11) are satisfied, Redding may reduce the amount of eligible renewable energy resources that it procures for a compliance period beginning January 1, 2025, if the gas-fired power plant is operating at or below a 20 percent ( 20%) capacity factor on an annual average basis during a given compliance period. This amount is calculated by the difference between the gasfired power plant’s actual generation for the compliance period if it had operated at a 20 percent ( 20%) capacity factor on an annual average during the compliance period. In order to participate, Redding was required to notify the CEC of its intent to act pursuant to this exemption by April 1, 2019. Redding submitted its notification to the CEC on March 12, 2019, and it was accepted by the CEC on July 31, 2019.

C. Portfolio Balance Requirements
Beginning January 1, 2021, within Compliance Period 4, at least sixtyseventy-five percent (765%) of Redding’s RPS procurement for each compliance period shall be from PCC 1 contracts, with a maximum of 10 percent of Redding’s RPS procurement from PCC 3 RECs of 10 years or more in duration or ownership or ownership agreements for eligible renewable energy resources (PUC section 399.136(b) and 399.30(d)). There is no direct restriction on the percentage of PCC 2.[CL2] REC
Classification
Compliance
Period 1
2011- 2013
Compliance
Period 2
2014- 2016
Compliance
Period 3
2017- 2020
Compliance
Period 4
2021- 2024
Compliance
Period 5
2025- 2027
Compliance
Period 6
2027- 2030
PCC1 RECs
Minimum)
50% 65% 75% 75% 75% 75%
PCC2 RECs
No Direct
Restriction)
n/ a n/ a n/ a n/ a n/ a n/ a
PCC3 RECs
Maximum)
25% 15% 10% 10% 10% 10%
PCC0 Not subject to portfolio balancing requirements
Table 2: RPS Balancing Requirement
Packet Pg. 138 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 12 D. Long-Term Portfolio Requirement
For the compliance period beginning January 1, 2021, and each compliance period thereafter, at least 65 percent of the electricity products applied toward the RPS procurement target shall be from contracts of 10 years or more in duration or ownership or ownership agreements for eligible renewable energy resources (PUC section 399.13(b) and 399.30(d)). long-term procurement.

Electricity products will be classified as long-term or short-term based on the contracts, ownership, or ownership agreements through which they are procured.

For the purpose of this section 3204 (d) subdivision, long-term procurement refers to procurement from long-term contracts (over ten years in duration), ownership, or ownership agreements, subject to criteria outlined in section 3204 (d).

2.5 Redding’ s Plan for RPS Compliance
In order to meet the RPS mandates, Redding plans to preserve its existing PCC0 resources, carry forward excess procurement from one compliance period to the next, and look for valuable opportunities to diversify and expand its RPS portfolio while protecting Redding’s customers from excessive rate increases that could jeopardize economic growth and viability within the City.

The Integrated Resource Plan (IRP) will be the guiding document and framework used for future RPS energy procurement efforts. The IRP will be used as a procurement guide for RPS resource quantity, timing, location, and generation profiles. The IRP is filed with the California Energy Commission and will follow the required timely updates.

Redding plans to continue evaluating eligible renewable power resources and will initiate any necessary procurement solicitations consistent with the IRP approved by the California Energy Commission.

3. RPS Enforcement Program

3.1 3.1 Enforcement Policy
In compliance with the requirement for the governing board of a POU to adopt a program for enforcement of the legislation prior to January 1, 2012, the Redding City Council passed Resolution 2011-197 “ Resolution of the City Council of the City of Redding to Revise the Renewable Portfolio Standard for the City of Redding’ s Electric System” on December 20, 2011.

Resolution 2011-197 adopted the following RPS targets:

Packet Pg. 139 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 13 An average of 20 percent in 2011 through 2013;
25 percent by 2016; and
33 percent by 2020 and thereafter.

Resolution 2011-197 also adopted the following Enforcement Policies:

Redding will make a reasonable effort in the context of Good Utility Practice to be in compliance with the requirements of SBX1-2.

Redding will report to the City Council on its status of compliance with SBX1- 2 per PUC section 399.13.

Redding will notify the City Council of any potential for lack of compliance with the requirements that may be considered for a notice of violation and penalty imposition.

Redding will provide an explanation and analysis to the City Council on such potential for lack of compliance, as well as a plan of corrective action and timeframe for returning the City to compliant status.

The Redding City Council approved updated RPS goals on September 17, 2019 , due to the passing of SB 100, which accelerated RPS goals previously established in SB 350 as follows:
44 percent by 2024;
52 percent by 2027;
60 percent by 2030 and thereafter.

The Redding City Council approved the updated RPS goalsprocurement plan on xxMarch 21/ xx, 2023, modifying how Redding utilizes the plan’ s Optional Compliance Measures.

3.2 Optional Compliance Measures
Specific optional compliance measures are permitted and are adopted by Redding and the City Council. Redding adopts the following optional compliance measures, which may be utilized in the event that factors beyond reasonable control interfere with its ability to meet the procurement requirements set forth in § 3206 of the RPS Regulations.

A. Excess Procurement:

Packet Pg. 140 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 14 Redding shall be allowed to apply Excess Procurement from one compliance period to subsequent compliance periods using the criteria outlined in § 3206(a)(1) of the RPS Enforcement Regulations.

B. Delay of Timely Compliance:

Enforcement of timely compliance shall be waived if Redding demonstrates that any of the conditions defined in RPS Enforcement Regulations § 3206(a)(2) are beyond the control of Redding, and Redding would have met its RPS procurement requirements but for the cause of delay.

C. Cost Limitations for Expenditures:

The City of Redding’ s current RPS policy requires that Redding pursue target levels of renewable purchases while ensuring that costs for renewable purchases do not result in disproportionate rate impacts to customers. To ensure customers do not face a disproportionate burden, Redding’ s City Council has the authority to implement a cost limitation, which may result in the temporary suspension of RPS compliance activities.

In this section, Redding establishes a Cost Limitation on the procurement expenditures for all eligible renewable energy resources used to comply with the RPS, consistent with RPS Enforcement Regulations § 3206(a)(3). Potential reliance on this provision for compliance will be consistent with the City’s renewable energy procurement plan and the schedule that satisfies the procurement requirements set forth in Section 2.4 of this document.

In applying the The Cost Limitation provision to each RPS procurement expenditure, Redding applied to each RPS procurement expenditure will consider the following:
1) Incorporating the annual RPS expenditure into Redding’s current portfolio should not require rate increases of more than 1.5 percent per year at any time during the life of the considered RPS procurement.

Redding wilshall develop an RPSa renewable energy procurement plan and schedule that satisfies the procurement requirements set forth in Section 2.4 herein. Procurement requirements in excess of this schedule that are not related to a change in electric retail sales will be considered an undue burden on customers.

R
1) Renewable energy procurement requirements exceeding this schedule that are not related to a change in electric retail sales will be considered a deviation from the forecast.

Packet Pg. 141 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 15 2) The projected cCosts incurred to meet renewable energy procurement mandates for the given compliance period causing that are above and beyond what is expected and included in the adopted budget any increase from the adopted budget shall be considered a disproportionate burden to customers. 2) The per-kilowatt-hour cost of the considered RPS procurement expenditure should not exceed, nor be projected to exceed, 75 percent of Redding’s current perkilowatt-hour retail residential energy charge. 3) When estimating the considered RPS procurement expenditure, the following costs will also be included:
a) The costs associated with the energy, renewable attribute, firming and shaping, and/ or storage, as needed for intermittent resources; and b) The costs associated with delivery of thethe delivery of renewable energy.

In the event that renewable energy procurement expenditures exceedrequirements meet the threshold for utilization of the adoptedthe Cost Limitation Optional Compliance Measure, Redding shall re-evaluatereview its RPS Procurement Plan to ensure that other options are not available that would otherwise allow Redding to meet its RPS procurement requirement. Such review will include an re-evaluation of current procurement commitments, planned procurements, long-term commitments, and the availability of alternative resources in other portfolio content categories. Based on this review, Redding reserves the right to refrain from entering into new contracts for renewable energy purchases or products that exceed the quantity limited threshold required in its listedthe Ccost Llimitation provisions. ….

D. Portfolio Balance Requirement Reduction:

The Portfolio Balance Requirement shall be reduced if Redding demonstrates that any of the conditions defined in RPS Enforcement Regulations § 3206(a)(4) are beyond the control of Redding, and Redding would have met its Portfolio Balance Requirements but for the cause of reduction.

4. Review and Updating Requirements (RPS Enforcement Regulations § 3205(a) and (b))
Redding is required to complete an Integrated Resource Plan that will guide the Procurement plan. Redding will provide the following notice regarding new or updated renewable energy resources procurement and enforcement plans:

Packet Pg. 142 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard 16 A. Renewable Energy Resources Procurement Plan
1) Redding shall post notice in accordance with Chapter 9 (commencing with § 54950) of Part 1, Division 2, Title 5 of the Government Code, whenever the City Council will deliberate in public on the RPS Procurement Plan.

B. Enforcement Plan
1) Redding shall provide notice regarding new or updated enforcement programs. The enforcement program must be adopted at a publicly noticed meeting offering all interested parties an opportunity to comment.
a. No less than 30 calendar days’ notice shall be given to the public of any meeting held for purposes of adopting the enforcement program. b. If the enforcement program is modified or amended, no less than 10 calendar days’ notice shall be given to the public before any meeting is held to make a substantive change to the enforcement program.

Revision No. Revision Date Summary of Changes
1 10/ 15/ 2013 Original version adopted by City Council on October 15, 2013 2 10/ 07/ 2014 Annual update: Removed Lewiston and added Colusa 3 6/ 05/ 2018 Combined Procurement and Enforcement plan. Included SB350 updates, removed Colusa biomass project, added cost limitation from stranded assets, and rearranged information for a clearer, concise document. 4 8/ 26/ 2019 Updated to include new legislation on: SB100, and SB1110. 5 4/ 20/ 2021 Updated to include new RPS regulatory language from updated regulations adopted by CEC in December 2020.
6 3/ 31/ 2023 Updated optional compliance measure language and corrected J:\ 14_RESOURCES\ 01_PROCEDURES AND FILINGS\ PROCEDURES\ RPS-001 RPS PROCUREMENT AND ENFORCEMENT PLAN Packet Pg. 143 Attachment: 4.5(a)--Redding RPS Procurement Plan and Enforcement Program (4.5(a)--Approval to exercise Renewables Portfolio Standard

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve the following related to the sole-source purchase of an Arborist Backyard Lift and trailer for City of Redding Electric Utility:
(1) Authorize purchase of one 2021 Arborist Backyard Lift TDA-58 and one trailer from Global Rental Company, Inc. for $176,581.76, including all applicable taxes and fees; and
(2) Authorize the City Manager to approve future pricing adjustments, terms, and Department of Motor Vehicles registration fees, as needed, up to a total of $5,000.00.

Fiscal Impact
This equipment purchase was not anticipated; however, sufficient funding is available in City of Redding Electric Utility’s (REU) Rolling Stock Fund. The current balance as of April 30, 2025, is approximately $2.6 million.

REU periodically evaluates its operational requirements and acquires vehicles or equipment that support overall organizational effectiveness. Fleet reliability and functionality are maintained through ongoing monitoring of both Rolling Stock and the Rolling Stock Fund to ensure appropriate resource allocation.

Alternative Action
The City Council (Council) could choose not to approve the purchase and provide alternative direction to staff.

MEETING DATE: May 20, 2025
ITEM NO. 4.5(b)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.5(b)--Authorize Sole-Source Purchase of a Backyard Arborist Aerial Lift and Trailer
Nick Zettel, Director of
Redding Electric Utility
Packet Pg. 144
Report to Redding City Council May 14, 2025
Re: 4.5(b)--Authorize Purchase of One Backyard Arborist Aerial Lift and OneTrailer Page 2 Background/Analysis
REU’s purchase of a backyard Arborist-designed aerial lift is to support its expanding vegetation management efforts and strengthened safety program. Following a recent indirect contact incident involving a service line, REU has prioritized enhanced safety measures to protect employees working near energized conductors. The compact, insulated TDA-58 lift offers a stable platform that allows arborists to inspect and trim vegetation with greater accuracy while maintaining safe distances in high-risk areas. This reduces the need for manual climbing, minimizes exposure to electrical hazards, and supports compliance with CPUC regulations. As REU ramps up safety protocols and works to mitigate wildfire risks across its service territory, this machine is essential for reducing injury potential, increasing access in restricted areas, and reinforcing a culture of safety and operational excellence.

The TDA-58 aerial lift is uniquely designed for safe operation in high-risk environments. Its double-insulated, ANSI A92.2-compliant platform protects operators near energized lines, while rubber tracks ensure stability on uneven or landscaped terrain. The compact design allows access to tight areas like rear easements, and the single-hand joystick control enhances operator safety by allowing one hand free for stabilization. These features make it an ideal and safe solution for vegetation management in both urban and rural areas with difficult access.

REU is requesting approval to purchase a low-hour, pre-owned, 2021 Arborist-designed TDA-58 aerial lift as a sole-source, non-bid procurement under Municipal Code §4.20.080 (6). Selecting the 2021 model over a new unit results in $114,000 in immediate cost savings while delivering the same service life, capabilities, and reliability. This purchase represents a fiscally responsible, long-term investment that supports the City of Redding’s (City) commitment to efficient spending and operational effectiveness. The TDA-58 will reduce labor and outage-related costs, improve productivity in hard-to-access areas, and minimize ongoing maintenance expenses— ultimately maximizing the City’s return on investment. In addition to the substantial upfront savings, this procurement aligns with the City’s goal of acquiring durable, high-performing equipment that delivers sustained value. The TDA-58’s specialized features will enhance REU’s ability to conduct critical vegetation management in challenging terrain, reduce reliance on manual labor, and increase overall crew efficiency. By securing this well-maintained 2021 unit at a significantly reduced cost, the City ensures both immediate financial benefit and long-term operational gains.

Environmental Review
This is not a project defined under California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
This agenda item is a routine operational item.

Attachments
^Rolling Stock Request
^Quote
Packet Pg. 145
Packet Pg. 146
Attachment: ^Rolling Stock Request (4.5(b)--Authorize Purchase of One Backyard Arborist Aerial Lift and OneTrailer) Global Rental Company, Inc.
33 Inverness Center Parkway, Suite 250
Birmingham, AL 35242
(205) 991-7972 Fax (205) 991-9377
Quotation
Customer Name
Date Issued
Expiration Date
Rental Start Date
Bill Through Date
Rental Rate
Customer PO
Customer Relationship #
Customer Equipment
Equipment Detail
Equipment Number
Serial Number
Equipment Model
Working Height
Front Bumper Winch
Over Center
Platform Size
Boom Winch
Material Handler
Insulated Boom
Chassis Detail
VIN
Horsepower
Year
Cab To Axle
Brakes
Drivetrain
Make
Model
Additional Specs

CITY OF REDDING (CA)
5/5/2025
6/15/2025
027-74262333
0321GC0402
TDA58
63'
No
No
24x24x42 One Man
No
No
Yes
2021
0 FEELING TRAILERS
FT22IT-I-TRL01
Purchase Price
Rental Credit
$ 163,930.00
$ 0.00
Transportation $ 715.00
Buy-Out $ 164,645.00
*This quote does not include City, County, State, or Federal taxes. Packet Pg. 147 Attachment: ^Quote (4.5(b)--Authorize Purchase of One Backyard Arborist Aerial Lift and OneTrailer)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following actions for the City of Redding Electric Utility:
(1) Approve Second Amendment to City of Redding Construction Services Contract (C9962) with Basin Enterprises and renew the Contract for an additional one-year term in an amount not to exceed $6 million for electric utility line construction services; and (2) Authorize the City Manager, or designee, to approve project construction change orders up to, and not-to-exceed, $1,200,000 - 20 percent of the contract amount.

Fiscal Impact
The Overhead/Underground Infrastructure Project was included in Redding Electric Utility’s (REU) Fiscal Year 2023-25 Biennial Budget and is anticipated to remain in the proposed Fiscal Year 2025-27 Biennial Budget.

In the five-year plan previously presented to the City Council (Council), funding for this, including General System Improvements, was anticipated to be funded by bond proceeds. Should capital expenditures related to this effort exceed the approved budget, staff will return to Council with recommendations for any necessary budgetary adjustments.

Alternative Action
The Council could reject the request to approve the Second Amendment to the Agreement with Basin Enterprises and provide staff with an alternate direction.

MEETING DATE: May 20, 2025
ITEM NO. 4.5(c)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.5(c)—Consider the Second Amendment to City of Redding Construction Services Contract with Basin Enterprises.

Nick Zettel, Director of
Redding Electric Utility
Packet Pg. 148
Report to Redding City Council May 15, 2025
Re: 4.5(c)--Second Amendment to Construction Services Contract with Basin EnterprisesPage 2 Background/Analysis
On July 18, 2023, Council approved the Construction Services Contract with Basin Enterprises for a two-year term, expiring May 31, 2025, with the option to renew for up to three successive one-year renewal terms. As part of the original Council approval, staff was to return to Council for approval of subsequent contract renewal terms.

Over the initial two-year contract term, REU has made significant progress with overhead and underground system replacements. During the initial contract period, significant progress was made with a 97 percent completion rate on wildfire mitigation infrastructure hardening efforts, reducing the backlog of pole replacements by over 90 percent, and approximately nine miles of aged underground cable replacement.

As envisioned in the 2026 Strategic Plan, this contract renewal will allow REU to continue progress on Goal 2 “Replace Aging Distribution System Infrastructure.” With wildfire mitigation hardening efforts substantially completed, the primary scope of work for this one-year contract extension will be centered on replacing REU’s aging underground cable with the ability to adjust scope as needed to optimize the contract workload.

Environmental Review
This activity is not a project as defined under the California Environmental Quality Act, and no further action is required. Approval of the amendment will allow each project to proceed through the environmental review phase.

Council Priority/City Manager Goals
• Government of the 21st Century – “Be relevant and proactive to the opportunities and challenges of today’s residents and workforce. Anticipate the future to make better decisions today.”
Attachments
C-9962 - Second Amendment 2025 Basin Enterprises, Inc
C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc.

C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc.

Previous Staff Report – July 18, 2023, item no. 9.5(c)--Construction Services Agreement with Basin Enterprises
Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan
Packet Pg. 149
Packet Pg. 150
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 151
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 152
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 153
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 154
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 155
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 156
Attachment: C-9962 - Second Amendment 2025 Basin Enterprises, Inc (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 157
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 158
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 159
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 160
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 161
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 162
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 163
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 164
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 165
Attachment: C-9962 - First Amendment - 12.6.2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Contract with Packet Pg. 166
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 167
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 168
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 169
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 170
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 171
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 172
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 173
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 174
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 175
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 176
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 177
Attachment: C-9962 - Construction Services Contract - 2023 - Basin Enterprises, Inc. (4.5(c)--Second Amendment to Construction Services Packet Pg. 178
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Packet Pg. 221
Attachment: Previous Staff Report – July 18, 2023, item no. 9.5(c)--Construction Services Agreement with

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve Redding Electric Utility’s 2026 Strategic Plan establishing new vision and mission statements, identifying core organizational values; and setting goals.

Fiscal Impact
There is no fiscal impact associated with accepting Redding Electric Utility’ s ( REU) 2026 Strategic Plan.

Alternative Action
The City Council (Council) could choose to not accept REU’ s 2026 Strategic Plan and provide alternative direction to staff.

Background/Analysis
The previous REU 2020 Strategic Plan was approved by the Council in 2015. At that time, REU embarked on a structural overhaul to better align the workforce with customer needs, and the strategic plan helped staff focus on several critical areas, including technology, workforce and culture, communications, and financial stability. To address today’ s fast pace of change to the utility industry, REU staff engaged in a new strategic planning effort.

With the assistance of Hometown Connections, Inc. ( HCI), an advisory team of community members, City of Redding staff, and members of the Council worked to develop the 2026 Strategic Plan (Plan). The strategic planning team examined REU’ s strengths and limitations to confirm the utility’ s mission and priorities that will serve as guideposts for long- term project development and planning.

MEETING DATE: August 17, 2021
ITEM NO. 9.5(c)
FROM:

APPROVED BY***
dbeans@cityofredding. org btippin@cityofredding. org
SUBJECT: 9.5(c)--Consider Redding Electric Utility's 2026 Strategic Plan.

Daniel Beans, Director of
Electric Utility
Packet Pg. 222 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to Report to Redding City Council August 10, 2021
Re: 9.5(c)-- Redding Electric Utility' s Strategic Plan Page 2 New vision and mission statements as well as six core organizational values were identified as part of the strategic plan development process. Additionally, nine strategic goals were identified to allow REU to successfully fulfill its vision and mission:

Complete Critical Wildfire Mitigation Projects
Replace Aging Distribution System Infrastructure
Initiate Distribution Modernization Program Element
Implement Distribution Risk Management Plan
Complete Energy Trading Modernization and Integrated Resource Plans Minimize Compliance Failures and Penalties
Align Revenue Collection with Cost-of-Service
Enhance Communication with Customers and the Community
Enhance Employee Development, Attraction, and Retention These goals were designed to aid REU staff in meeting the three strategic priorities identified within the Plan: mitigate risk, maximize reliability, and meet regulations.

Council Priority/ City Manager Goals
Government of the 21st Century – “Be relevant and proactive to the opportunities and challenges of today’s residents and workforce. Anticipate the future to make better decisions today.”
Attachments
REU's 2026 Strategic Plan (available online)
Packet Pg. 223 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to Strategic Plan
2021-2026
Redding
Electric Utility
Packet Pg. 224 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to Executive Summary
Proud of our History, Preparing for the Future
Vision, Mission & Core Values
Strategic Priorites
Goals
Acknowledgements
03 05
07 09
10 13
Contents
Packet Pg. 225 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to In 2021, Redding Electric Utility (REU) celebrates 100 years of service. REU takes great pride in helping to make the City of Redding and Shasta County a great place to live, work and play. Today, we continue to provide reliable and a ordable electric service to the residents and busin esse s of Redding, while developing the exibility and innovation to respond to the changing utility marketplace. We remain committed to providing strong value to the Redding community far into the future. 03 Executive
Summary
Redding and Shasta County powered
on through the Carr Fire of 2018 and
Snowmaggedon in 2019. The year 2020
represented another challenge for the electric
utility industry. The COVID- 19 pandemic
proved to be devastating to our community and
nation as citizens struggled to remain healthy
many parts of the nation as natural disasters
damaged equipment and disrupted lives.

Our employees worked together, as frontline responders, to keep the power on while keeping themselves and our customers safe
As we look ahead, we must continue to
think and act strategically, addressing
changes in technology, customer
expectations, regulations and the climate,
especially related to wildres. We must
continue to be proactive and adapt quickly
to the changes impacting the electric
utility industry to best serve the Redding
community for the next 100 years. Change
is a constant in the electric utility industry,
and we are determined to act in a way
that best serves our customers and the
community far into the future. As a local,
publicly- owned utility, we are invested in
the success of Redding.

REU completed its previous strategic plan
in 2015. At that time, the organization
embarked on a structural overhaul to
better align the workforce with our
customer needs, and the strategic plan
helped us focus on several critical areas,
including technology, workforce and
culture, communications and nancial
stability. To address today’ s fast pace
of change to the utility industry, we
engaged in a new strategic planning
face when possible, and virtually when
COVID- 19 restrictions reduced our ability
to meet in person. Several meetings were
conducted with City of Redding Council
stakeholders to update REU’ s strategic
plan and chart a course for the future.

The strategic planning team examined
our strengths and limitations, conrming
the utility’s mission and priorities that will
serve as guideposts for long-term project
development and planning.

Packet Pg. 226 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 04 The 2021 Strategic Plan includes several
important updates to our vision, mission and
priorities. The vision statement, identifying
the value we seek to bring to the Redding
community states:

REU makes Redding better by connecting
with our customers and being their trusted
and reliable, community- owned utility
The mission statement, which describes
what we will do to achieve that vision reads:

REU, in partnership with the Redding
community, is committed to improving the
public’ s safety and providing reliable, costeffective service Our organizational values will play a key
role in how we fulfill our mission and vision.

We have an obligation to the community to
act in its best interests. As such, we have
identified six core values which will drive
our actions:

Safety
Integrity
Customer Focus
Teamwork
Communication
Stewardship
Looking ahead to the coming years, we
have identified three key areas in which
we must excel for the utility to serve the
Redding community. They are:

Mitigate Risk
Maximize Reliability
Meet Regulations
We believe attention to these three
areas will position us to deliver valuable
service to the community for many years
to come. When the utility was formed
100 years ago, city leaders recognized
the wisdom of allowing the community to
control its own destiny by building and
managing its electric service. Today, the
City continues to deliver value to the
community through the local control of
utility services, maintaining high reliability
at very competitive rates, while keeping
dollars and jobs in the community.

We invite you to review this strategic plan
and share your thoughts with us about the
direction of the utility. You, the customer and
citizen, are the owners of Redding Electric
Utility. The ownership partnership formed in
1921 has been – and will remain – a key to
our success in the years ahead.

Executive
Summary
Packet Pg. 227 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 05 Proud of Our History,
Preparing for
the Future
The world has changed greatly since REU began distributing electricity to the people of Redding 100 years ago. The utility, too, has seen significant change from the days when it purchased all of its wholesale power from area investor-owned utilities.

Over the decades, we established greater
control over our power supply, contracting
with the federal government for low cost
hydroelectric power, partnering with other
agencies to access significant economies
of scale and building our own generation
facilities. These forward- looking steps by
past city and utility leaders ensured greater
reliability, rate stability and predictability.

As a result, Redding’ s lights remain on, bills
remain manageable and its owners’ best
interests are being supported.

And who are those owners? No, it is not Wall
Street investment firms, hedge funds and
other shareholders. It is you, the customers
of the utility and the citizens of Redding. As
a public power utility, rather than an investorowned utility, our owners are our customers.

This means decision- making on issues
important to you, such as rates, power supply,
reliability and customer service, are made
locally. The utility’ s governing board is the
Redding City Council, which embraces the
critical role that the utility plays in serving the
community.

REU employs 193 people, who serve
44,905 residential and commercial
customers within the corporate boundries
of the City of Redding. Redding’ s
population and economy have remained
remarkably stable for many years. Most of
this century has seen modest growth in
population, lagging behind both California
and the U.S. population growth rates. Yet,
interest in Shasta County’ s vast natural
resources continues to drive strong tourism
as well as new residents, citing the area’ s
natural beauty as a draw.

The regional economic outlook is good,
having recovered fairly quickly from the
pandemic- fueled downturn. The local
industry is diversified, with the largest
employment sectors being healthcare, retail,
education, food, lodging and government.

Redding is well- positioned to remain
economically vibrant in the years ahead.

The utility must continue to adapt to
changes in our natural environment, new
state and federal regulations, technology
advancements and evolving customer
expectations.

For example, the wildfire “ season” is nearly
a year- round issue now. We recognize the
important role we must play in planning for and
responding to fires that may impact our service
territory. In 2021, technology and human
resources in the Redding Fire Department
and Parks Division have been provided
extraordinary tools to battle the wildfires
that continue to impact California. A stateof-the- art emergency operations center was established at our headquarters building
to allow first responders and leaders within
Packet Pg. 228 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 06 our community to work closely together
to prevent loss of life and property due
to catastrophic events. We work closely
with other Redding departments and rst
responders to ensure public safety.

Numerous other technological tools
are being implemented, including new
communication systems, IQ FireWatch
cameras, security cameras in and around
electric infrastructure and aerial imagery
for assessing the vegetation canopy. All of
these tools are congregated in the City of
Redding’ s new emergency operations center.

Looking within the utility, REU’s infrastructure,
reliability, and operations are generally in
good shape. However, many years of
deferred maintenance are resulting in more
frequent outages of longer duration. We
are at a pivotal time regarding our aging
distribution system, and signicant capital
maintenance and upgrades are needed in
order for us to continue providing reliable
community.
but we contend with higher wages at
utilities in Northern California which draw
from our workforce.

Financially, the utility is in solid shape,
with strong city council leadership and
diversied revenue.

REU’s system reliability is among the highest
in the state. Yet maintaining system reliability
is a never-ending process, and REU must
continue to evaluate its infrastructure and
ensure upgrades and technology are
manner.

In concert with a robust power generation,
transmission and distribution system, REU’s
Customer Services Division provides
outstanding service, continually going
above and beyond to help our customers.

In response to the COVID-19 pandemic,
our Customer Services team developed an
extensive community outreach program,
the Comprehensive Community Assistance
Program to inform our customers about
available resources.

These technologies improve operations,
reliability, safety and customer service.

By providing funding for reghters and
vegetation management personnel, we
have been able to carefully identify and
mitigate potential re hazards that could
impact or be caused by our utility. In
addition, we have funded a large goat
program as part of vegetation management.

Through proactive measure and working
closely with other city departments, we will
continue to reduce the large risks wildres
pose to our beautiful area.

Proud of Our History,
Preparing for
the Future
Packet Pg. 229 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 07 Vision, Mission
Core Values
Vision
an ideal future for the utility as it serves the
community. It can be thought of as a destination; we hope an ambitious one. With this as our responsibility, our vision statement reads:

REU makes Redding better by connecting
with our customers and being their trusted
and reliable, community-owned utility
High reliability, competitive rates, and excellent customer service are the foundation of our values proposition to the community. Yet
there is much more we can and will do as
we embrace this vision.

Mission
If a vision statement describes a destination,
the mission statement describes how an
organization will get there. What will we do
to attain that vision? Our mission reads:

REU, in partnership with the Redding
community, is committed to improving the
public’s safety and providing reliable,
We very much view our role in the community as a partnership, whether this is with other city departments or outside agencies
or organizations. For example, REU and the
Redding Fire Department and Parks Department coordinate their wildre prevention and business customers, REU must deliver
ally exploring ways to improve all aspects
of our operations.
its enduring mission, vision, and values.

Central to Redding Electric Utility’s planning for the future is ensuring all eorts align with Packet Pg. 230 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 08 Core Values
The vision and mission describe what we do
in order to support the Redding community.

But how will the utility act as it fulfills these
priorities? Establishing our core values is a
key part of defining who we are, how we will
serve our customers and how we will treat
each other. These are expectations we have
of ourselves, and to which we will hold each
other accountable. Below are outlined six
core values with corresponding behaviors
and actions.

Safety
We promote ownership and accountability
for safety within the department
We have an uncompromising commitment
for the public and employees’ safety
Through our safety committee, programs,
activities and other initiatives, we promote
a culture of safety
We promote public safety through
ongoing education, training, awareness
and compliance
We support an environment in which the
public can be served safely
Integrity
We are accountable, ethical, honest, and
transparent in everything we do
We will protect and maintain the goodwill
and trust our community has placed in us
We are loyal to the public interest and
fairness to all ratepayers
Customer Focus
REU employees consider the customer
first in every decision we make so that we
consistently exceed customer expectations
We listen to, anticipate and proactively
serve customer wants and needs
We focus on delivering what is most
beneficial to our internal and external
customers
Customers and their safety and
satisfaction are our highest priority
Teamwork
Our team consists of employees of the
Electric Utility, the City, the Redding
community and Joint Powers Agencies
We demonstrate the principles of Hungry,
Humble and Smart as explained by the
best- selling author Patrick Lencioni in his
book The Ideal Team Player
We are a cohesive unit that exists solely
for the benefit of the community we serve
We believe Teamwork is vital for success
We feel, act and behave as one big team
Open Communication
By actively listening to the needs of the
community, we provide timely responses,
create understanding of other’ s
perspectives and show we care
Through transparent communication,
we keep all stakeholders informed,
avoid unnecessary surprises and reduce
confusion
We are committed to action and follow up
when necessary, to help provide closure
for our stakeholders
Stewardship
We strive to represent and incorporate the
values and needs of the community in the
management of the utility
We focus on maximizing value for all
customers over the long term
We manage our physical assets to
maximize safety and reliability at the
lowest possible cost
We offer programs and education to help
our customers save money and/ or reduce
their impacts on the environment
We continuously decrease our impacts on
the environment while striving to maintain
affordable electric rates for our customers
Vision, Mission
Core Values
Packet Pg. 231 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 09 Strategic
Priorities
Three strategic priorities have been identied as points of emphasis in our strategic planning process. To take advantage of our organizational strengths and to address opportunities for growth and improvement, the following strategic priorities serve as the framework for our strategic plan.
01 Manage risk necessary to protect
our customers from physical and
nancial harm.

From wildres to pandemics, change is
the new normal. We continue to assess
the impacts, risks – and opportunities
that this change brings.
02 Provide best in class safety,
reliability and services to support
the needs of our community.

We will continue to take the steps
necessary to maintain and upgrade
our distribution system. Reliability
also means being a good corporate
citizen, acting in the best interests
of the community, being responsive
to customer needs, and continuing
to build trust among our many
stakeholders.
03 To comply with all mandated
regulations in a manner
to maximize reliability and
As the state and federal regulatory
landscape continues to change, the
comply with these regulations while
ensuring customer needs for reliability
Packet Pg. 232 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 10 Below are our initial goals that will be critical in allowing REU to successfully fulfill its vision to “make Redding better.” For most of these, related metrics will allow the utility to keep staff, the City Council, our customers and our community updated on their progress. We look forward to sharing that progress with you.

Goals
GOAL 1
Complete Critical Wildfire
Mitigation Projects
GOAL 2
Replace Aging Distribution
System Infrastructure
GOAL 3
Initiate Distribution
Modernization Program Element

STRATEGIC PRIORITIES

STRATEGIC PRIORITIES

STRATEGIC PRIORITIES
In order to continually manage wildfire risk and the threat to public safety, our Wildfire Mitigation Plan identified several technology and distribution system improvements as significant mitigating factors to the detection and prevention of future wildfires in our service territory. Due to the long lead time for planning and construction, several critical projects remain outstanding with targeted completion within the 5-year horizon. The majority of the technology improvements have been deployed, with the remainder focusing on vegetation inspection systems. Distribution system improvements range from circuit hardening and strategic underground to developing a more coordinated vegetation management program.

With a focus on reliability and completion of an internal aging infrastructure assessment, we identified several distribution system elements that require replacement as part of ongoing routine operations. The projects will center on underground, overhead and meter system replacement to ensure a solid platform is established for future modernization efforts. Key performance indicators such as total customers and outage minutes are used to gauge the effectiveness of aging asset replacement. Replacement of at- risk elements will reduce outage events while providing customers with a higher degree of reliable service.

New technologies are available for deployment on our system to provide faster outage detection, real- time situational awareness and modernized software solutions for system operators. By modernizing our distribution system, we can ensure outage times are minimized by faster detection and response by pinpointing the outage and focusing resources on the needed repairs. Communication systems will be bolstered by the deployment of fiber optic lines on our system with additional spare capacity for future use. Power quality will be enhanced with projects aimed at line capacity upgrades and power factor improvement. mitigate risk
mitigate risk
meet regulations
maximize reliability
maximize reliability
maximize reliability
Packet Pg. 233 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 11 GOAL 5
Complete Energy Trading
Modernization and Integrated
Resource Plans
GOAL 6
Minimize Compliance Failures
and Penalties

STRATEGIC PRIORITIES

STRATEGIC PRIORITIES
Our recent overhaul of the Energy Risk Management Policy requires detailed processes to ensure all policy requirements are achieved. To align the policy with day-to-day staff duties, a set of business rules will be developed to identify modeling and analytical methods used to provide energy trading and hedging recommendations to the Energy Risk and Risk Oversight Committees. Key performance indicators from this project will center on the ability to keep our energy portfolio metrics in compliance with the Energy Risk Policy. Separately, updated Integrated Resource Plans will be needed to address the future energy landscape in California, with particular focus paid to electrification of transportation and buildings. In addition to focusing on load growth from carbon reduction efforts, additional renewable energy resources will be required to maintain compliance with the State’s Renewable Portfolio Standard requirements.

As part of our North American Electric Reliability Corporation registration as a Transmission Owner and Operator, we are continually striving to develop a culture of compliance with a particular focus on regulatory best practices. To support a culture of compliance and the development of best practices, a Regulatory Compliance Internal Controls project will be completed to ensure any compliance failures are minimized. With the recent requirement to provide enhanced system security by SB699, we will be focusing on bolstering the security at our substations by adding additional layers of protection from sabotage or break- ins. mitigate risk
mitigate risk
meet regulations
meet regulations
maximize reliability
GOAL 4
Implement Distribution Risk
Management Plan

STRATEGIC PRIORITIES
Upon completion of our internal Operational Risk Assessment, we discovered several opportunities to improve our internal working systems to minimize risk from organization structures, inventory and workflow management techniques. In tandem with replacing aging equipment and installing new technologies to modernize the system, several projects have been selected to ensure the support systems are intact to minimize system risk. This includes a new inventory control system, workflow management systems and software, and organizational structure and staffing changes to reflect a more streamlined operations team. mitigate risk maximize reliability
Goals
Packet Pg. 234 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 12 Goals
GOAL 7
Align Revenue Collection with
Cost-Of-Service
GOAL 8
Enhance Communication with
Customers and the Community
GOAL 9
Enhance Employee Development,
Attraction and Retention

STRATEGIC PRIORITIES

STRATEGIC PRIORITIES

STRATEGIC PRIORITIES
Aligning revenues with the cost of providing electric service is imperative to mitigate risks.

REU will implement two projects to analyze and recommend a rate structure. The first project will consist of a cost- of-service study that analyzes electric consumption patterns of service. To garner support for the rate structure recommendation, a second project will ensure significant outreach and community engagement to gather comments, provide education and develop consensus.

Our Customer Focus Core Value is intended on meeting the needs of our customers and fostering an ownership relationship with the community. To support this core value, we must increase our communication channels, frequency of outreach and inclusion with our customers as we move through this Strategic Plan cycle. Two projects have been developed to meet this goal. A customer needs survey project will help us identify the areas requiring more attention and communication, while an updated communications plan project will ensure we are more effective at stakeholder processes and customer outreach. Future surveys will be used to gauge the effectiveness of these projects.

Because we value our employees, REU identified several employee training and procedure management projects to ensure our teams understand their roles and responsibilities in serving our customers. Furthermore, in order to attract and retain quality and dedicated team members, ongoing labor market analysis must occur to ensure the working environment of REU is one that attracts and maintains employees. This will include studies of pay and benefits and working conditions. These workforce initiatives are imperative to deliver the strategic plan successfully.
mitigate risk
mitigate risk
meet regulations
maximize reliability
mitigate risk
meet regulations
maximize reliability
Packet Pg. 235 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to 13 Acknowledgements
We wish to acknowledge the many contributions of Redding City Council Members and members of the public. This is a better strategic plan because of extensive discussion, debate and challenges that arose throughout this process. Our process relied heavily on an advisory team of stakeholders from within the City and the community for their perspectives. We thank all of you for your commitment and diligence.

ADVISORY TEAM
Chuck Aukland
Public Works Director
Steve Bade
Deputy City Manager
Tim Danielson
Salvation Army Captain
Nate Fairchild
Director of Science and Charter
School Administration
Jake Mangas
President & CEO, Chamber
of Commerce
Mark Mezzano
City Council
Kristen Schreder
City Council
Chad Scott
CEO of the Builder’s
Exchange
Jerrod Vanlandingham
Fire Chief
Packet Pg. 236 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to For more information:

City of Redding Electric Utility
3611 Avtech Parkway
Redding, CA 96002
530.339.7300
www.reupower.com
Packet Pg. 237 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan (4.5(c)--Second Amendment to

9.5(c) 2026 Strategic Plan
Presented to the Redding City Council
August 17, 2021
Presented by: Electric Utility Director Dan Beans
Packet Pg. 238 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's 100 Years of Redding Electric Utility
The City of Redding purchased the electric utility
from a predecessor of PG&E on December 21, 1921
for $57,356.18.
o In the first year ofoperations, the Citymade a
net gain of $29,820 and had a lower kWh rate
set than before being publiclyowned
o Redding was the first city in Northern California
to acquire a public electric utilitythrough
eminent domain proceedings
REUcontinues to create value and deliver
exceptional service through the challenges of
meeting an uncertain regulatory future.

Packet Pg. 239 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan Development Process
Packet Pg. 240 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Vision
REU makes Redding better by connecting
with our customers and being their trusted
and reliable, community-owned utility
Mission
REU, in partnership with the Redding
community, is committed to improving the
public’s safety and providing reliable, costeffective service.

Packet Pg. 241 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Core Values
Establishing core values isa key part of
defining who we are, how we will serve our
customers and how we will treat each other. o Safety o Integrity o Customer Focus o Teamwork o Communication o Stewardship These organizational values playa keyrole
in how we willfulfill our mission and values.

Packet Pg. 242 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Priorities
Three strategic priorities have been
identified as points of emphasis in our
strategic planning process.
o Mitigate Risk
o Maximize Reliability
o Meet Regulations
These Strategic Priorities serve as the
framework for our Strategic Plan.

Risk
Reliability
Regulation
Packet Pg. 243 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Strategic Plan Goals
o Complete Critical Wildfire Mitigation Projects
o Replace Aging Distribution System Infrastructure
o Initiate Distribution Modernization Program Element
o Implement Distribution Risk Management Plan
o Complete Energy Trading Modernization and Integrated
Resource Plans
o Minimize Compliance Failures and Penalties
o Align Revenue Collection with Cost- ofService
o Enhance Communication with Customers and the
Community
o Enhance Employee Development, Attraction and Retention Packet Pg. 244 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Thank you to our Strategic Plan Advisory Team
for your commitment and contributions
o Council Member MarkMezzano
o Council Member KristenSchreder
o Chuck Aukland, Public Works Director
o Steve Bade, Deputy City Manager
o Tim Danielson, Salvation Army Captain
o Nate Fairchild, Director of Science and Charter School Administration, Shasta County Office of Education
o JakeMangas, President & CEO, Chamber of Commerce
o Chad Scott, CEO, Shasta Builders’ Exchange
o JerrodVanlandigham, Fire Chief
Packet Pg. 245 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's Approve Redding Electric Utility’s 2026 Strategic Plan establishing new vision and mission statements, identifying core organizational values, and setting goals.

Recommendation
Packet Pg. 246 Attachment: Previous Staff Report - August 17, 2021, item no. 9.5(c)--Redding Electric Utility's

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following actions relative to Request for Proposals (RFP) Schedule No. 5589 for Janitorial Services at City of Redding facilities:
(1) Award RFP to Peerless Building Maintenance, Inc.;
(2) Authorize the City Manager, or designee, to execute a Consulting and Professional Services Contract with Peerless Building Maintenance Inc. for an amount not to exceed $694,096.32; and
(3) Authorize the City Manager, or designee, to approve any amendments up to $35,000.

Fiscal Impact
The Consulting and Professional Services Contract (Contract) for City of Redding (City) janitorial services is managed by the Building Maintenance Division, an internal service housed in the Community Services Department. The contract is funded by all other City departments that require the janitorial services. The annual cost of the contract is $347,048.16, or $694,096.32 for the two-year contract term total. The pricing is firm for the first two years, but may be annually escalated by the Consumer Price Index after completion of the initial term. This contract cost is within budget projections and is considered a fair, reasonable value.

Alternative Action
The City Council (Council) could choose not to award the contract to Peerless Building Maintenance Inc., and provide staff with an alternate direction.

MEETING DATE: May 20, 2025
ITEM NO. 4.6(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.6(a)--Award Request For Proposal No. 5589 and Authorize Execution of Consulting and Professional Services Contract for Janitorial Services at City Facilities Travis Menne, Director of
Community Services
Packet Pg. 247
Report to Redding City Council May 14, 2025
Re: 4.6(a)--Award RFP Schedule 5589 Page 2
Background/Analysis
On April 1, 2025, a formal Request for Proposal (RFP) No. 5589, outlining the scope of work for janitorial services at various City facilities, including City Hall, Avtech, Corporation Yard, the Dr. Martin Luther King Jr. Center, water treatment plants, and other locations further described in the RFP and contract. Proposals submitted included a scope of work and a proposed fee. An on-site inspection was also provided on April 17, 2025, to provide context of the work required for this bid. On April 30, 2025, proposals and fee schedules were received and reviewed from five firms, listed as follows:
• Siskiyou Opportunity Center;
• Mack Janitorial and Maintenance;
• Vested Solutions;
• Maui Bob’s; and
• Peerless Building Maintenance, Inc.

A three-member selection panel, consisting of City staff from the Building Maintenance and Community Services Administration Divisions, evaluated the proposals based on the criteria outlined in the RFP. The criteria consisted of compliance with proposal submittal requirements, experience and reference, cost, and interview/presentation. Applying the criteria to the proposals, the selection panel determined that Peerless Building, Maintenance, Inc., as their overall recommendation.

It was the opinion of the selection panel that Peerless demonstrated an ability to meet the objectives of the RFP and demonstrated best value. The contract will have an initial two-year term plus three optional one-year extensions.

Environmental Review
This action is not a project as defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• Economic Development – “Facilitate and become a catalyst for economic development in Redding to create jobs, retain current businesses and attract new ones, and encourage investment in the community.”
• Government of the 21st Century – “Be relevant and proactive to the opportunities and challenges of today’s residents and workforce. Anticipate the future to make better decisions today.”
Attachments
Professional Services Contract with Peerless Building Maintenance for Janitorial Services Packet Pg. 248
____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 1
Rev. 8/23

CITY OF REDDING

CONSULTING AND PROFESSIONAL SERVICES CONTRACT

THIS CONTRACT (“Contract”) is made at Redding, California, by and between the City of Redding (“City”), a municipal corporation, and Peerless Building Maintenance Inc., (“Contractor”) a private janitorial firm, for the purpose of providing janitorial services for various City of Redding facilities.

WHEREAS, City does not have sufficient personnel to perform the services required herein thereby necessitating this Contract for personnel services.

NOW, THEREFORE, the Parties collectively the “Parties” and individually “Party”, covenant and agree, for good consideration hereby acknowledged, as follows:

SECTION 1. CONTRACTOR SERVICES
Subject to the terms and conditions set forth in this Contract, Contractor shall provide to City the services described in Exhibit A, attached and incorporated herein. Contractor shall provide the services at the time, place and in the manner specified in Exhibit A.

SECTION 2. COMPENSATION AND REIMBURSEMENT OF COSTS
A. City shall pay Contractor for services rendered pursuant to this Contract, at the times and in the manner set forth in Exhibit B, attached and incorporated herein, in a total amount not to exceed three hundred forty-seven thousand and forty-eight dollars, and sixteen cents ($347,048.16), annually for the first two years of contract. This sum includes all out-of-pocket travel, lodging and incidental expenses incurred by Contractor that are reasonably associated with the provision of services under this Contract. The payments specified herein shall be the only payments to be made to Contractor for services rendered pursuant to this Contract.

B. Prices shall be firm for the initial contract period, through June 30, 2027. Prices fluctuations, if any, for the subsequent contract periods may be adjusted in direct proportion to the percentage change in the West – Size Class B/C, Consumer Price Index for all Urban Consumers (CPI-U), before seasonal adjustment, as reported by the U.S. Department of Labor, index base period (DECEMBER 1996=100), Series ID: CUURN400SA0, as reported by the Bureau of Labor Statistics of the U.S.

Department of Labor. The base index shall be the February 2025 index (196.261).

Price changes shall be based on the latest available first published index compared to the February 2025 index. Changes in prices will be no more frequent than every 12 months, if necessary.

Packet Pg. 249 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 2
Rev. 8/23
C. Contractor shall submit monthly invoices to City for work completed to the date of the invoice. All invoices shall be itemized to reflect the employees performing the requested tasks, the billing rate for each employee and the hours worked.

D. All correct, complete and undisputed invoices sent by Contractor to City shall be paid within thirty (30) calendar days of receipt.

SECTION 3. TERM AND TERMINATION
A. Contractor shall commence work on or about July 01, 2025 and complete said work no later than June 30, 2027. Time is of the essence.

B. If mutually agreed upon, with all prices (with allowed adjustments as noted in Section

2.B.), terms, and conditions remaining the same, the contract may be executed on an annual basis for three (3) consecutive one-year period, through June 30, 2030.

C. If Contractor fails to perform its duties to the satisfaction of City, or if Contractor fails to fulfill in a timely and professional manner its obligations under this Contract, then City shall have the right to terminate this Contract effective immediately upon City giving written notice thereof to Contractor.

D. Either Party may terminate this Contract without cause on thirty (30) calendar days’ written notice. Notwithstanding the preceding, if the term set forth in Section 3.A. of this Contract exceeds ninety (90) calendar days in duration, Contractor’s sole right to terminate shall be limited to termination for cause.

E. Contractor hereby acknowledges and agrees that the obligation of City to pay under this Contract is contingent upon the availability of City’s funds which are appropriated or allocated by the City Council. Should the funding for the project and/or work set forth herein not be appropriated or allocated by the City Council, City may terminate this Agreement by furnishing at least thirty (30) calendar days’ written notice of its intention to terminate. In the event of a termination pursuant to this subdivision, Contractor shall not be entitled to a remedy of acceleration of payments due over the term of this Agreement. The Parties acknowledge and agree that the power to terminate described herein is required by Article 16, Section 18, of the California Constitution, and that constitutional provision supersedes any law, rule, regulation or statute which conflicts with the provisions of this Section.

F. In the event that City gives notice of termination, Contractor shall promptly provide to City any and all finished and unfinished reports, data, studies, photographs, charts or other work product prepared by Contractor pursuant to this Contract. City shall have full ownership, including, but not limited to, intellectual property rights, and control of all such finished and unfinished reports, data, studies, photographs, charts or other work product.

Packet Pg. 250 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 3
Rev. 8/23
G. In the event that City terminates the Contract, City shall pay Contractor the reasonable value of services rendered by Contractor pursuant to this Contract; provided, however, that City shall not in any manner be liable for lost profits which might have been made by Contractor had Contractor completed the services required by this Contract. Contractor shall, not later than ten (10) calendar days after termination of this Contract by City, furnish to City such financial information as in the judgment of the City’s representative is necessary to determine the reasonable value of the services rendered by Contractor.

H. In no event shall the termination or expiration of this Contract be construed as a waiver of any right to seek remedies in law, equity or otherwise for a Party’s failure to perform each obligation required by this Contract.

SECTION 4. MISCELLANEOUS TERMS AND CONDITIONS OF CONTRACT A. City shall make its facilities accessible to Contractor as required for Contractor’s performance of its services under this Contract, and, upon request of Contractor, provide labor and safety equipment as required by Contractor for such access.

B. Pursuant to the City’s business license ordinance, Contractor shall obtain a City business license prior to commencing work.

C. Contractor represents and warrants to City that it has all licenses, permits, qualifications and approvals of any nature whatsoever that are legally required for Contractor to practice its profession. Contractor represents and warrants to City that Contractor shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Contract any licenses, permits and approvals that are legally required for Contractor to practice its profession.

D. Contractor shall, during the entire term of this Contract, be construed to be an independent contractor and nothing in this Contract is intended, nor shall it be construed, to create an employer/employee relationship, association, joint venture relationship, trust or partnership or to allow City to exercise discretion or control over the professional manner in which Contractor performs under this Contract. Any and all taxes imposed on Contractor’s income, imposed or assessed by reason of this Contract or its performance, including but not limited to sales or use taxes, shall be paid by Contractor. Contractor shall be responsible for any taxes or penalties assessed by reason of any claims that Contractor is an employee of City. Contractor shall not be eligible for coverage under City’s workers’ compensation insurance plan, benefits under the Public Employee Retirement System or be eligible for any other City benefit.

E. No provision of this Contract is intended to, or shall be for the benefit of, or construed to create rights in, or grant remedies to, any person or entity not a party hereto.

Packet Pg. 251 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 4
Rev. 8/23
F. No portion of the work or services to be performed under this Contract shall be assigned, transferred, conveyed or subcontracted without the prior written approval of City. Contractor may use the services of independent contractors and subcontractors to perform a portion of its obligations under this Contract with the prior written approval of City. Independent contractors and subcontractors shall be provided with a copy of this Contract and Contractor shall have an affirmative duty to assure that said independent contractors and subcontractors comply with the same and agree to be bound by its terms. Contractor shall be the responsible party with respect to all actions of its independent contractors and subcontractors, and shall obtain such insurance and indemnity provisions from its contractors and subcontractors as City’s Risk Manager shall determine to be necessary.

G. Contractor, at such times and in such form as City may require, shall furnish City with such periodic reports as it may request pertaining to the work or services undertaken pursuant to this Contract, the costs or obligations incurred or to be incurred in connection therewith, and any other matters covered by this Contract.

H. Contractor shall maintain accounts and records, including personnel, property and financial records, adequate to identify and account for all costs pertaining to this Contract and such other records as may be deemed necessary by City to assure proper accounting for all project funds. These records shall be made available for audit purposes to state and federal authorities, or any authorized representative of City.

Contractor shall retain such records for three (3) years after the expiration of this Contract, unless prior permission to destroy them is granted by City.

I. Contractor shall perform all services required pursuant to this Contract in the manner and according to the standards observed by a competent practitioner of Contractor’s profession. All products of whatsoever nature which Contractor delivers to City pursuant to this Contract shall be prepared in a professional manner and conform to the standards of quality normally observed by a person practicing the profession of Contractor and its agents, employees and subcontractors assigned to perform the services contemplated by this Contract.

J. All completed reports and other data or documents, or computer media including diskettes, and other materials provided or prepared by Contractor in accordance with this Contract are the property of City, and may be used by City. City shall have all intellectual property rights including, but not limited to, copyright and patent rights, in said documents, computer media, and other materials provided by Contractor. City shall release, defend, indemnify and hold harmless Contractor from all claims, costs, expenses, damage or liability arising out of or resulting from City’s use or modification of any reports, data, documents, drawings, specifications or other work product prepared by Contractor, except for use by City on those portions of the City’s project for which such items were prepared.

Packet Pg. 252 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 5
Rev. 8/23
K. Contractor, including its employees, agents, and subcontractors, shall not maintain or acquire any direct or indirect interest that conflicts with the performance of this Contract. Contractor shall comply with all requirements of the Political Reform Act (Government Code § 8100 et seq.) and other laws relating to conflicts of interest, including the following: 1) Contractor shall not make or participate in a decision made by City if it is reasonably foreseeable that the decision may have a material effect on Contractor’s economic interest, and 2) if required by the City Attorney, Contractor shall file financial disclosure forms with the City Clerk.

SECTION 5. INSURANCE
A. Unless modified in writing by City’s Risk Manager, Contractor shall maintain the following noted insurance during the duration of the Contract:

Coverage Type Required Not Required
Commercial General Liability (CG-0001) X
($1,000,000)
per occurrence
($2,000,000)
general aggregate
Comprehensive Vehicle Liability (CA-0001) X - ($1,000,000) Workers’ Compensation and Employers’ Liability X - ($1,000,000) Professional Liability (Errors and Omissions) X
(Place an “x” in the appropriate box)
B. The following additional requirements apply to those coverage requirements specified above:

1. Commercial General Liability Insurance shall include but not be limited to bodily injury, personal injury and property damage. The coverage shall be for the amounts not less than the amounts stated in Section 5.A. of the Contract;

2. Comprehensive Automobile Liability Insurance, shall provide for at least the total limits specified above as combined single limits per accident applicable to all owned, non-owned and hired vehicles;

3. Both the Workers’ Compensation and Employers' Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents and volunteers;
Packet Pg. 253 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 6
Rev. 8/23

4. Professional Liability (Errors and Omissions) Insurance shall be appropriate to Contractor’s profession, against loss due to error or omission or malpractice.

5. The City does not accept insurance certificates or endorsements with the wording “but only in the event of a named insured’s sole negligence” or any other verbiage limiting the insured’s insurance responsibility.

6. For any category of insurance above as stated in Section 5.A. of the Contract with coverage amounts designated as “N/A,” “$0,” or “0,” insurance of that type is not required by this Contract.

C. Any deductibles or self-insured retentions must be declared to and approved by City.

At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its elected officials, officers, employees, agents and volunteers; or the Contractor shall procure a bond guaranteeing payment of losses and related investigations, claims administration and defense expenses.

D. The General Liability shall contain or be endorsed to contain the following provisions:

1. City, its elected officials, officers, employees, and agents are to be covered as additional insured as respects liability arising out of work or operations performed by or on behalf of Contractor; premises owned, leased or used by Contractor; or automobiles owned, leased, hired or borrowed by Contractor.

The coverage shall contain no special limitations on the scope of protection afforded to City, its elected officials, officers, employees, agents and volunteers.

2. The insurance coverage of Contractor shall be primary insurance as respects City, its elected officials, officers, employees, agents and volunteers. Any insurance or self-insurance maintained by City, its elected officials, officers, employees, agents and volunteers, shall be in excess of Contractor’s insurance and shall not contribute with it.

3. Coverage shall state that the insurance of Contractor shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

4. Each insurance policy required by this Contract shall be endorsed to state that coverage shall not be canceled except after thirty (30) calendar days' prior written notice has been given to City. In addition, Contractor agrees that it shall not reduce its coverage or limits on any such policy except after thirty (30) calendar days’ prior written notice has been given to City.

Packet Pg. 254 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 7
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E. Insurance is to be placed with insurers with a current A.M. Best rating of no less than A-VII.

F. Contractor shall designate the City of Redding, 777 Cypress Avenue, Redding, CA 96001 as a Certificate Holder of the insurance. Contractor shall furnish City with certificates of insurance and original endorsements effecting the coverages required by this clause. Certificates and endorsements shall be submitted electronically via the PINS Advantage system. A link will be provided for the Contractor, or their insurance agent, to enter and upload documents directly to PINS Advantage. The certificates and endorsements for each insurance policy are to be signed by a person authorized by the insurer to bind coverage on its behalf. All endorsements are to be received and approved in PINS Advantage by the City’s Risk Manager prior to the commencement of contracted services. City may withhold payments to Contractor if adequate certificates of insurance and endorsements required have not been submitted as described above or provided in a timely manner.

G. The requirements as to the types and limits of insurance coverage to be maintained by Contractor as required by Section 5 of this Contract, and any approval of said insurance by City, are not intended to and will not in any manner limit or qualify the liabilities and obligations otherwise assumed by Contractor pursuant to this Contract, including, without limitation, provisions concerning indemnification.

H. If any policy of insurance required by this Section is a “claims made” policy, pursuant to Code of Civil Procedure § 342 and Government Code § 945.6, Contractor shall keep said insurance in effect for a period of eighteen (18) months after the termination of this Contract.

I. If any damage, including death, personal injury or property damage, occurs in connection with the performance of this Contract, Contractor shall immediately notify City’s Risk Manager by telephone at (530) 225-4068. No later than three (3) calendar days after the event, Contractor shall submit a written report to City’s Risk Manager containing the following information, as applicable: 1) name and address of injured or deceased person(s); 2) name and address of witnesses; 3) name and address of Contractor’s insurance company; and 4) a detailed description of the damage and whether any City property was involved.

SECTION 6. INDEMNIFICATION AND HOLD HARMLESS
A. Consistent with California Civil Code § 2782.8, when the services to be provided under this Contract are design professional services to be performed by a design professional, as that term is defined under Section 2782.8, Contractor shall, to the fullest extent permitted by law, indemnify protect, defend and hold harmless, City, its elected officials, officers, employees, and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses, penalties and Packet Pg. 255 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 8
Rev. 8/23
expenses (including, but not limited to, reasonable attorney’s fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of, or resulting from, directly or indirectly, the negligence, recklessness, or willful misconduct of Contractor, its officers, employees or agents in the performance of professional services under this Contract, except when liability arises due to the sole negligence, active negligence or misconduct of the City.

B. Other than in the performance of professional services by a design professional, which is addressed solely by subdivision (A) of this Section, and to the fullest extent permitted by law, Contractor shall indemnify protect, defend and hold harmless, City, its elected officials, officers, employees, and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses, penalties and expenses (including, but not limited to, reasonable attorney’s fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of the performance of the services required under this Contract by Contractor its officers, employees or agents in the performance of professional services under this Contract, except when liability arises due to the sole negligence, active negligence or misconduct of the City.

C. The Contractor’s obligation to defend, indemnify and hold harmless shall not be excused because of the Contractor’s inability to evaluate liability. The Contractor shall respond within thirty (30) calendar days to the tender of any claim for defense and indemnity by the City, unless this time has been extended in writing by the City.

If the Contractor fails to accept or reject a tender of defense and indemnity in writing delivered to City within thirty (30) calendar days, in addition to any other remedy authorized by law, the City may withhold such funds the City reasonably considers necessary for its defense and indemnity until disposition has been made of the claim or until the Contractor accepts or rejects the tender of defense in writing delivered to the City, whichever occurs first. This subdivision shall not be construed to excuse the prompt and continued performance of the duties required of Contractor herein.

D. The obligation to indemnify, protect, defend, and hold harmless set forth in this Section applies to all claims and liability regardless of whether any insurance policies are applicable. The policy limits of said insurance policies do not act as a limitation upon the amount of indemnification to be provided by Contractor.

E. City shall have the right to approve or disapprove the legal counsel retained by Contractor pursuant to this Section to represent City’s interests. City shall be reimbursed for all costs and attorney's fees incurred by City in enforcing the obligations set forth in this Section.

Packet Pg. 256 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 9
Rev. 8/23
SECTION 7. CONTRACT INTERPRETATION, VENUE AND ATTORNEY FEES A. This Contract shall be deemed to have been entered into in Redding, California. All questions regarding the validity, interpretation or performance of any of its terms or of any rights or obligations of the parties to this Contract shall be governed by California law. If any claim, at law or otherwise, is made by either party to this Contract, the prevailing party shall be entitled to its costs and reasonable attorneys' fees.

B. This document, including all exhibits, contains the entire agreement between the parties and supersedes whatever oral or written understanding each may have had prior to the execution of this Contract. This Contract shall not be altered, amended or modified except by a writing signed by City and Contractor. No verbal agreement or conversation with any official, officer, agent or employee of City, either before, during or after the execution of this Contract, shall affect or modify any of the terms or conditions contained in this Contract, nor shall any such verbal agreement or conversation entitle Contractor to any additional payment whatsoever under the terms of this Contract.

C. No covenant or condition to be performed by Contractor under this Contract can be waived except by the written consent of City. Forbearance or indulgence by City in any regard whatsoever shall not constitute a waiver of the covenant or condition in question. Until performance by Contractor of said covenant or condition is complete, City shall be entitled to invoke any remedy available to City under this Contract or by law or in equity despite said forbearance or indulgence.

D. If any portion of this Contract or the application thereof to any person or circumstance shall be invalid or unenforceable to any extent, the remainder of this Contract shall not be affected thereby and shall be enforced to the greatest extent permitted by law.

E. The headings in this Contract are inserted for convenience only and shall not constitute a part hereof. A waiver of any party of any provision or a breach of this Contract must be provided in writing, and shall not be construed as a waiver of any other provision or any succeeding breach of the same or any other provisions herein.

F. Each Party hereto declares and represents that in entering into this Contract, it has relied and is relying solely upon its own judgment, belief and knowledge of the nature, extent, effect and consequence relating thereto. Each Party further declares and represents that this Contract is made without reliance upon any statement or representation not contained herein of any other Party or any representative, agent or attorney of the other Party. The Parties agree that they are aware that they have the right to be advised by counsel with respect to the negotiations, terms, and conditions of this Contract and that the decision of whether or not to seek the advice of counsel with respect to this Contract is a decision which is the sole responsibility of each of the Parties. Accordingly, no party shall be deemed to have been the drafter hereof, Packet Pg. 257 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 10
Rev. 8/23
and the principle of law set forth in Civil Code § 1654 that contracts are construed against the drafter shall not apply.

G. Each of the Parties hereto hereby irrevocably waives any and all right to trial by jury in any action, proceeding, claim or counterclaim, whether in contract or tort, at law or in equity, arising out of or in any way related to this Agreement or the transactions contemplated hereby. Each Party further waives any right to consolidate any action which a jury trial has been waived with any other action in which a jury trial cannot be or has not been waived.

H. In the event of a conflict between the term and conditions of the body of this Contract and those of any exhibit or attachment hereto, the terms and conditions set forth in the body of this Contract proper shall prevail. In the event of a conflict between the terms and conditions of any two or more exhibits or attachments hereto, those prepared by City shall prevail over those prepared by Contractor.

SECTION 8. SURVIVAL
The provisions set forth in Sections 3 through 7, inclusive, of this Contract shall survive termination of the Contract.

SECTION 9. COMPLIANCE WITH LAWS - NONDISCRIMINATION
A. Contractor shall comply with all applicable laws, ordinances and codes of federal, state and local governments.

B. In the performance of this Contract, Contractor shall not discriminate against any employee or applicant for employment because of race, color, ancestry, national origin, religious creed, sex, sexual orientation, disability, age, marital status, political affiliation, or membership or non-membership in any organization. Contractor shall take affirmative action to ensure applicants are employed and that employees are treated during their employment without regard to their race, color, ancestry, national origin, religious creed, sex, sexual orientation, disability, age, marital status, political affiliation, or membership or non-membership in any organization. Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training.

SECTION 10. REPRESENTATIVES
A. City’s representative for this Contract is Kevin Steele, telephone number (530) 245- 7147, email address [email protected]. All of Contractor’s questions pertaining to this Contract shall be referred to the above-named person, or to the representative's designee.

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Rev. 8/23
B. Contractor’s representative for this Contract is Terry Tuttle, telephone number (530) 222-6369, email address [email protected]. All of City’s questions pertaining to this Contract shall be referred to the above-named person.

C. The representatives set forth herein shall have authority to give all notices required herein.

SECTION 11. NOTICES
A. All notices, requests, demands and other communications hereunder shall be deemed given only if in writing signed by an authorized representative of the sender (may be other than the representatives referred to in Section 10) and delivered by e-mail, with a hard copy mailed first class, postage prepaid; or when sent by a courier or an express service guaranteeing overnight delivery to the receiving party, addressed to the respective parties as follows:

To City:

Building Maintenance
777 Cypress Ave.

Redding, CA 96001
To Contractor:

Peerless Building Maintenance
4665 Mountain Lakes Blvd
Redding, CA 96003
B. Either party may change its address for the purposes of this paragraph by giving written notice of such change to the other party in the manner provided in this Section.

C. Notice shall be deemed effective upon: 1) personal service; 2) two calendar days after mailing or transmission by facsimile, whichever is earlier.

SECTION 12. AUTHORITY TO CONTRACT
A. Each of the undersigned signatories hereby represents and warrants that they are authorized to execute this Contract on behalf of the respective parties to this Contract; that they have full right, power and lawful authority to undertake all obligations as provided in this Contract; and that the execution, performance and delivery of this Contract by said signatories has been fully authorized by all requisite actions on the part of the respective parties to this Contract.

B. When the Mayor is signatory to this Contract, the City Manager and/or the Department Director having direct responsibility for managing the services provided herein shall have authority to execute any amendment to this Contract which does Packet Pg. 259 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) ____________________________________________________________________________________________ Consulting and Professional Services Agreement Page 12
Rev. 8/23
not increase the amount of compensation allowable to Contractor or otherwise substantially change the scope of the services provided herein.

SECTION 13. EFFECTIVE DATE OF CONTRACT
The effective date of this Contract (“Effective Date”) shall be the date it is signed by City.

Packet Pg. 260 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) Packet Pg. 261
Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) Packet Pg. 262
Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) Packet Pg. 263 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) Packet Pg. 264 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589) Packet Pg. 265 Attachment: Professional Services Contract with Peerless Building Maintenance for Janitorial Services (4.6(a)--Award RFP Schedule 5589)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve setting a Public Hearing on June 17, 2025, at 6:00 p.m., in the City Council Chambers, 777 Cypress Avenue, Redding, California, to consider adjustments to the City of Redding’s Schedule of Fees and Service Charges.

Fiscal Impact
There is no fiscal impact to setting the public hearing.

Alternative Action
The City Council (Council) could choose not to set the public hearing and provide alternate direction to staff.

Background/Analysis
California Government Code Sections 66016 and 66018 require that a public hearing be noticed at least ten days prior to a proposed levy of, or increase in, municipal fees and service charges.

On an annual basis, and in accordance with City Council Policy No. 802, the Finance Division submits to the Council proposed changes, deletions, and additions to the schedule. In accordance with adopted City of Redding policy, staff requests that pursuant to Government Code requirements, a public hearing on the proposed adjustments be set for June 17, 2025.

Fees are determined based on cost analysis in accordance with Proposition 26. Once established, increases on some fees are based on the Consumer Price Index (CPI) or the Construction Cost Index (CCI).

Overall, most of the proposed adjustments are based on a 1.84 percent increase in the CPI for the 12-month period ended March 2025 for mid-sized western cities.

MEETING DATE: May 20, 2025
ITEM NO. 4.10(b)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.10(b)--Set Public Hearing regarding adjustments to Schedule of Fees and Service Charges
Greg Robinett, Director of
Finance/City Treasurer
Packet Pg. 266
Report to Redding City Council May 14, 2025
Re: 4.10(b)--Set Public Hearing regarding adjustments to Schedule of Fees and Service Charges Page 2
Water and wastewater fees related to new development are increased by 2.26 percent, which is the CCI for the 12-month period ended May 2025, Ordinance 16.20.050.

The schedule is subject to certain rounding conventions in the CPI/CCI calculation. The rounding conventions utilized in the schedule are as follows: for fees under $10.00 and for fees which are tiered, the fee is rounded to the nearest 10 cents. For fees $10.00 and above, the fee is rounded to the nearest whole dollar. As a result, some of the fees and service charges listed in the schedule may not realize an increase as a result of the CPI/CCI calculation. Note that the schedule also contains fees and service charges that do not have a CPI or CCI escalator which results in no change for those fees from the prior year. All new fee requests, corrections or proposed changes are reflected in the schedule in red.

The suggested effective date for all changes to fees and service charges is July 1, 2025.

Below is a list of the summary of changes other than CPI or CCI, by department/division where adjustments are present. If no adjustments beyond CPI or CCI are present in a specific department/division they are not listed below.

Finance Department
• No change.

City Manager
• No change.

City Clerk
• Language change.

City Treasurer
• No change.

Purchasing
• No change.

Community Services Department – Recreation Division
• New Fee: Baseball/Softball Field preparation fee for $40.00 per field; • New Fee amendment - Lake Redding Park Sand Volleyball Courts from $35.00 per two hour minimum to $17.50 per one hour minimum;
• New Fee: Pickle Ball Court user fee for 6 courts for $94.00 per two-hour session; • Remove fees Redding Aquatic Center replacement fee; and • Consolidate River Front Amphitheatre from multiple to single lines.

Fire Department
• Hazardous Material Response fee, First Responder fee, and Emergency Response to DUI collision fee - for the 2024-25 schedule an analysis was completed to determine the actual response cost. One third of the increase was being recognized on the 2024-25 schedule.

One third of the increase is being recognized on the 2025-26 schedule from $430.00 to $489.00; one third of the increase will be recognized on the 2026-27 schedule; and • Inspection Fees: Change from $143.00 per hour to $151.00 per hour.

Packet Pg. 267
Report to Redding City Council May 14, 2025
Re: 4.10(b)--Set Public Hearing regarding adjustments to Schedule of Fees and Service Charges Page 3
Police Department
• Massage permit new from $52.00 to $80.00; and
• Massage permit renewal from $29.00 to $30.00.

Electric Utility Department
• No change.

Public Works Department – Water
• No change.

Public Works Department – Wastewater
• No change.

Public Works Department – Engineering Division
• No change.

Development Services Department – Building Division
• New Fee: Residential Reroof fee for $290.00 per roof; • Language change to update authority from “AB 1414” to “AB1132”; • New Fee amendment: Photo Voltaic Systems – Commercial (251 KW and up) from $2,400 to $1,000;
• New Fee amendment: Commercial Sprinkler System Inspection and Test from $124.00 to $145.00;
• New Fee amendment: Commercial Sprinkler System Inspection and Test from $124.00 to $145.00;
• New Fee amendment: Consolidate residential and commercial replacement of heating appliance for $220.00 per each;
• New Fee amendment: Consolidate residential and commercial replacement of water heater for $220.00 per each;
• Removed reinspection fees assessed under provisions of section 108.8 C.B.C.; and • New Fee: Inspection where no separate fee is indicated for $97.00 per hour.

Development Services Department – Planning Division
• Split out user permit amendment from one line to multiple lines; • New Fee amendment: Site Development Permit – Director from $3,810.00 to $5,400.00; • New Fee amendment: Environmental assessment from 20 percent of total application fee to 50 percent of total application fee; and
• New fee: Senate Bill fees.

Information Technology Department – GIS Division
• New fee amendment: Custom Mapping or GIS analysis from $107 per hour to $111 per hour.

Public Works Department - Solid Waste Transfer / Recycling Facility • Increase to Microwave from $10.50 to $13.00;
Packet Pg. 268
Report to Redding City Council May 14, 2025
Re: 4.10(b)--Set Public Hearing regarding adjustments to Schedule of Fees and Service Charges Page 4
• Language change to add CPI to fluid removal, couch/large chair/table, mattress/box spring, motor removal, refrigerant removal, and mercury switch processing; • New Fee: Mater lock padlock for commercial waste receptacles for $14.75 each; and • New Fee amendment: Prohibited items fee from $42.00 to $43.00 Economic Development Department - Airports
• Split out Fuel Flowage Fee from one line to multiple lines; • New Fee: Terminal Building Rental Rate for $2.00 per square foot per month; • New Fee amendment: Land Fees from $1.50 to $1.65 per 1,000 lbs; • New Fee amendment: Non-scheduled passenger or freight aircraft from over $60,000 lbs. to 12,500 lbs.;
• Remove fee small package delivery vehicle user fee;
• New Fee amendment: Daily Parking Rate (compact, mid-size, and full-size cars, light & medium trucks) from $10.00 to $12.00;
• New Fee amendment: Daily Parking Rate for Vehicles Parked in Short-Term Parking over Four Hours from $20.00 to $24.00;
• New Fee amendment: Weekly rate from $60.00 to $72.00; • Consolidate Oversized Vehicle – Daily Rate and Weekly Rate from multiple lines to one line;
• New Fee amendment: Long-Term Parking from $120.00 annual to $30.00 per month; • New Fee amendment: SIDA Renewal from $20.00 to $35.00 annual per person; • New Fee amendment: Airport Operations Area Badge fee from $20.00 to $25.00 annual per person;
• New Fee amendment: Lost or damaged badge replacement fee from $25.00 to $50.00 per occurrence;
• New Fee: Badge audit non-compliance fee for $250.00 per occurrence; and • New Fee: Delivery Receiving/Loading/Unloading assistance fee for $150.00 per occurrence.

Housing & Economic Development Department - Housing and Community • No Change.

Environmental Review
This is not a project defined under the California Environmental Quality Act, and no further action is required.

Council Priority/ City Manager Goals
• This is a routine operational item.

Attachments
Proposed Draft FY 2025-26 Master Fee Schedule - red lined Packet Pg. 269

CITY OF REDDING

SCHEDULE OF FEES AND SERVICE CHARGES
Fiscal Year 2025-26
2024-25 2025-26 Last Changed
Type of Fee or Adopted Proposed Additional Information Inflation Resolution or Authority Service Charge Fee Fee Indicator Ordinance
F

FINANCE DEPARTMENT
Photocopies 0.25 0.25 Per Page Reso. 2006-90
General Account Receivable Late Fee 1.50% 1.50% 1.5% applied to unpaid balance / month Reso. 92-426 CC Policy 0415 Late Penalty (mailed, 15-day / first notice) 16.00 16.00 Reso. 2009-177 Disconnect Notice Penalty mailed,7-day/final notice 20.00 20.00 Reso. 2009-177 Proposition 4 Late Penalty (mailed, 15-day / first notice) Commercial 3.00% 3.00% Unpaid delinquent balance Reso. 2009-110 -

CITY MANAGER
Retail Cannabis Sales RFP fee 1,245.00 1,268.00 CPI Reso. 2018-036 R.M.C. 6.12 Dog License Fee
Unaltered
1-year license 30.00 30.00 Reso. 2007-175
2-year license 57.00 57.00 5% Savings of 2 1-year lic. Reso. 2007-175 3-year license 85.50 85.50 5% Savings of 3 1-year lic. Reso. 2007-175 Spayed or neutered
1-year license 15.00 15.00 50% Savings of Unaltered 1 year lic Reso. 2007-175 2-year license 28.50 28.50 5% Savings of 2 1-year lic. Reso. 2007-175 3-year license 42.75 42.75 5% Savings of 3 1-year lic. Reso. 2007-175 Replacement tag 5.00 5.00 Reso. 2007-175
Fees to seniors (60 or Older) 50% of stated fees 50% of stated fees Reso. 2006-90 Partial year (after 12/31), 1-year license only 50% of stated fees 50% of stated fees Reso. 2006-90 Late Penalty Fee 15.00 15.00 Reso. 2006-90
Dep. for redempt. of impounded dog when rabies 25.00 25.00 Ord. 1960 vaccine is required
Dog Kennel License
0-10 dogs 64.00 64.00 Reso. 2009-110
11 or more dogs 128.00 128.00 Reso. 2009-110
Dog Kennel License Penalty Fee 21.00 21.00 Reso. 2009-110 Dangerous Dog Licensing Fee 100.00 100.00 Reso. 2009-110 -

CITY CLERK
Business License Fee
Delinquency Penalty 10% 10% Per Month Ord. 1935 R.M.C.6.02.180 Noncompliance Penalty 25% 25% Of License Fee Ord. 2149
Duplicate License 10.00 10.00 Reso. 2006-90
Handbill Permit
Permit Fee 50.00 50.00 Per Quarter Reso. 2006-90 R.M.C.6.36.110 Filing Fee for Notice of Intent to Circulate Petition in Municipal Election
200.00 200.00 Reso 2006-06
E.C.§ 9202(b)
Photocopies 0.25 0.25 Per Page Reso. 2006-90 Proposition 4 Photocopies of FPPC Documents 0.10 0.10 Per Page Reso. 2006-90 G.C.§ 81008 (a) Photocopies from Microfiche/Microfilm 0.55 0.55 Per Page Reso. 2006-90 Proposition 4 Photocopies from Aperture Cards 2.00 2.00 Per Page Reso. 2006-90 Proposition 4 Photocopies on USB flash Drives 6.50 6.50 Per Flash Drive Reso. 2017-054 Community Room / Plaza -
Includes trash charge, tables and chairs as specified, whiteboard / easel and podium
Private Party Rates:

Full Day: 7 am to midnight * 437.00 429.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 533.00 523.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 613.00 602.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 Half Day: Any combination of between two and eight hours * 326.00 320.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 437.00 429.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 507.00 498.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 Minimum Day (up to 2 hours) * 136.00 134.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 253.00 248.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 326.00 320.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 * - All Private Party Rates represent non-weekend dates. Private Party Rates for weekends increase by $100 of stated rate.

Government and Non-profit rates
Full Day: 7 am to midnight 275.00 270.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 396.00 389.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 478.00 469.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 Half Day: Any combination of between two and eight hours * 204.00 200.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 326.00 320.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 396.00 389.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 Minimum Day (up to 2 hours) 97.00 95.00 Includes 5 tables and 25 chairs CPI Reso 2020-082 222.00 218.00 Includes 10 tables and 75 chairs CPI Reso 2020-082 275.00 270.00 Includes 15 tables and 100 chairs CPI Reso 2020-082 Cleaning / Damage deposit 340.00 334.00 CPI Reso 2020-082 Council Chambers (Government Only) 37.00 38.00 Per Hour CPI Reso 2020-082

CITY TREASURER
Assessment Splits (resulting from parcel splits)
Two-to four-way splits 88.00 88.00 Reso. 2006-90 Proposition 4 Each additional lot over four in split 10.00 10.00 Reso. 2006-90 Proposition 4 Release of Assessment Lien Recording Fee (Auto-adjusted to Shasta County Fee Schedule) 20.00 20.00 Pass Through County Fee Reso. 2014-069 Proposition 4 Returned Payment Charge (checks, credit cards, etc.) 35.00 35.00 Reso. 2014-069 G.C.§ 6157 Residential Parking Permit 82.00 84.00 Per Quarter CPI Reso 2020-056 Senior Discount 40.00 41.00 Per Quarter CPI Reso 2020-056

PURCHASING
Photocopies 0.25 0.25 Per page Reso. 2020-082

CITY OF REDDING

SCHEDULE OF FEES AND SERVICE CHARGES
Fiscal Year 2025-26
2024-25 2025-26 Last Changed
Type of Fee or Adopted Proposed Additional Information Inflation Resolution or Authority Service Charge Fee Fee Indicator Ordinance
F

COMMUNITY SERVICES - RECREATION DIVISION
NOTE: For all Community Services Department reservations the following fees will apply when applicable:

Materials At Cost At Cost Reso. 2016-071
Additional Labor 55.00 56.00 Per Hour CPI Reso. 2020-082 Proposition 4 Cancellation Fee Charged on all Refunds 7.00 7.00 Reso. 2014-069 Cleaning/Damage Deposit (If Required) 425.00 433.00 CPI Reso. 2020-082 Proposition 4 Technology Surcharge 5.00% 5.00% Applies to all program registrations. Reso. 2010-164 Baseball / Softball Fields:

Preparation Fee per Field n/a 40.00 CPI
Light Fee Per Field 12.00 12.00 CPI Reso 2020-082 Proposition 4 Use Fee - Per 2 Hour Session 47.00 48.00 2 hour minimum CPI Reso 2020-082 Tiger Field
Light Fee 60.00 59.00 Per Reservation CPI Reso 2020-082 Proposition 4 Use Fee - Per Game 239.00 235.00 CPI Reso 2020-082
Soccer Fields:

Light Fee 12.00 12.00 CPI Reso 2020-082 Proposition 4
Use Fee - Per 2 Hour Session Per Field 47.00 48.00 2 hour minimum CPI Reso 2020-082 Lake Redding Park Sand Volleyball Courts
Use Fee - Per 2 1 Hour Session Per Court 35.00 17.50 2 1 hour minimum CPI Reso. 2021-076 Pickle Ball Court
Use Fee for 3 courts - Per 2 Hour Session 47.00 48.00 2 hour minimum CPI Reso 2020-082 Use Fee for 6 courts - Per 2 Hour Session 94.00 2 hour minimum CPI Enterprise Roller Hockey Rink
Use Fee - Per 2 hour block 48.00 47.00 2 hour minimum CPI Reso 2020-082 Park Site and Trail Reservation Fee per session (Except Lake Redding Gazebo & Pavilion, Whistle Stop Park, Sculpture Park and River Front Park Amphitheatre): 60.00 59.00 CPI Reso 2020-082 Diestelhorst Bridge 150.00 150.00 CPI Reso 2024-059
Whistle Stop Park 500.00 500.00 Per Session
Lake Redding Gazebo & Pavilion 106.00 106.00 Per Day CPI Reso 2024-059 Sculpture Park
Per Day 300.00 300.00 CPI Reso 2020-082 Proposition 4
Restroom - only available with Sculpture Park reservation 37.00 36.00 Per Hour CPI Reso. 2021-076

River Front Amphitheatre n/a 300.00 Proposition 4
Individuals and Local Non-Profit Reservation Fee 59.00 60.00 CPI Reso 2020-082 Proposition 4 Non-Local Non-Profit Reservation Fee 174.00 177.00 CPI Reso 2020-082 Proposition 4 Commercial (Standard) Use Fee 343.00 349.00 CPI Reso 2020-082 Proposition 4 Redding Aquatic Center:

Lost Card Replacement Fee 7.00 7.00 Per Card Replaced Reso. 2006-90 Caldwell Recreation Center:

Rental Fee (All day use during normal park hours; $222.50 due when making reservations with a completed Rental Application and $222.50 due 60 days prior to the event or at the time of making the reservation if less than 30 days prior to the event.) 548.00 538.00 CPI Reso 2024-059 Proposition 4
Class Cancellation Fee 7.00 7.00 Per Individual Per Session Reso. 2007-175 Sundial Bridge: Deck Lighting Policy
Special Requests from Community 150.00 150.00 Per Request Reso 2024-059

FIRE DEPARTMENT
AB 38 Inspection - Residential Defensible Space Inspection 85.00 83.00 Per Inspection CPI Reso 2023-059 Hazardous Material Response Fee 430.00 489.00 Per hour per response CPI Reso 2024-059 First Responder Fee 430.00 489.00 Per hour per non-emergency call for service CPI Reso 2024-059 Fire Prevention Inspection Report 65.00 66.00 Per report CPI Reso 2020-082 Proposition 4 Fire Hazard Mitigation Inspection - - No Fee Reso 2022-059 Land Clearing Permit - - No Fee Reso 2022-059 Proposition 4 Agricultural Burn Permit - - No Fee Reso 2022-059 Proposition 4 False Alarm Fee 819.00 834.00 CPI Reso 2020-082 Proposition 4 Emergency Response to DUI collision 430.00 489.00 Per hour per response CPI Reso 2024-059 Fire Inspection Third Time and Thereafter 143.00 151.00 Per hour, One hour minimum Reso 2022-059 Fire Inspection Fee
Fire Clearance Annual Inspection
R-2 Residential Occupancies: 3-5 Units 143.00 151.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 6-15 units 176.00 184.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 16-25 Units 211.00 219.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 26-60 Units 247.00 255.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 61-100 Units 282.00 290.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 101-200 Units 317.00 325.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 201-300 Units 352.00 360.00 Per Inspection CPI Reso 2023-059 R-2 Residential Occupancies: 301-400+ Units 388.00 396.00 Per Inspection CPI Reso 2023-059 Annual Licensed Care Inspection or Pre-Inspection
Facilities 7-25 occupants 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Facilities 26-50 occupants 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Facilities over 50 occupants 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Fire Safety Inspection
Drinking / Dining - Over 50 occupants 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Hotel, Motel, Apartment House 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Hazardous Occupancy - (High Risk Businesses) 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Other State Required Inspections 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Day Care
Commercial 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Residential - (Large Family Daycare) 143.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Hospitals, Surgical Centers, I-Occupancies 72.00 151.00 Per hour, One hour minimum CPI Reso 2022-059 Fire Code Annual Permits: All R.M.C.

Food Trucks 143.00 151.00 Per Inspection CPI Reso 2024-059 9.20.010 Aircraft Refueling Vehicles 143.00 151.00 Per Inspection CPI Reso 2023-059 Aircraft Repair Hangars 143.00 151.00 Per Inspection CPI Reso 2023-059 Automobile Wrecking Yards/Junk Yards 143.00 151.00 Per Inspection CPI Reso 2023-059 Candles and Open Flames in Public Assembly 143.00 151.00 Per Inspection CPI Reso 2023-059 CA Fire Code Combustible Fiber Storage 143.00 151.00 Per Inspection CPI Reso 2023-059 Chaper 1 Compressed Gases and Cryogens 143.00 151.00 Per Inspection CPI Reso 2023-059 105.2.2 Explosive and Blasting Permits: 151.00
Blasting 143.00 151.00 Per Inspection CPI Reso 2023-059 Powder Sales 143.00 151.00 Per Inspection CPI Reso 2023-059 Transportation 72.00 151.00 Per Inspection CPI Reso 2023-059

CITY OF REDDING

SCHEDULE OF FEES AND SERVICE CHARGES
Fiscal Year 2025-26
2024-25 2025-26 Last Changed
Type of Fee or Adopted Proposed Additional Information Inflation Resolution or Authority Service Charge Fee Fee Indicator Ordinance
F
FIRE DEPARTMENT (continued)
Flammable Liquids:

Storage, handling, or use of Class I liquids in excess of 5 gallons inside a building or 10 gallons not inside a building 143.00 151.00 Per Inspection CPI Reso 2023-059 Storage, handling, or use of Class II or III-A liquids in excess of 25 gallons in a building or 60 gallons not in a building 143.00 151.00 Per Inspection CPI Reso 2023-059 Install or alter any flammable liquid tank or piping 143.00 151.00 Per Inspection CPI Reso 2023-059 Garages 143.00 151.00 Per Inspection CPI Reso 2023-059
Motor vehicle fuel dispensing stations 143.00 151.00 Per Inspection CPI Reso 2023-059 Hazardous Materials 143.00 151.00 Per Inspection CPI Reso 2023-059 Hazardous Production Materials 143.00 151.00 Per Inspection CPI Reso 2023-059 High Piled Storage 143.00 151.00 Per Inspection CPI Reso 2023-059 Magnesium Working 143.00 151.00 Per Inspection CPI Reso 2023-059 Covered Mall, Special Uses 143.00 151.00 Per Inspection CPI Reso 2023-059 Places of Assembly 143.00 151.00 Per Inspection CPI Reso 2023-059 Welding or Cutting Operations 143.00 151.00 Per Inspection CPI Reso 2023-059 Storage and handling of Level 2 and 3 aerosol products in excess of 500 pounds 143.00 151.00 Per Inspection CPI Reso 2023-059 Tire Storage 143.00 151.00 Per Inspection CPI Reso 2023-059 Fire Code Event Permits
Bonfires or Rubbish Fires 72.00 151.00 Per Inspection CPI Reso 2023-059 Open-Air Public Assembly Permit Fee 143.00 151.00 Per Inspection CPI Reso 2023-059 Tents & Canopies 143.00 151.00 Per Inspection CPI Reso 2023-059 Air-Support Structures 143.00 151.00 Per Inspection CPI Reso 2023-059 Fireworks:

Public Display 248.00 151.00 Per Event CPI Reso 2020-082 Special Effects 134.00 151.00 Per Event CPI Reso 2020-082 Liquefied Petroleum Gas 143.00 151.00 Per Inspection CPI Reso 2023-059 Carnivals and fairs or festival 143.00 151.00 Per Inspection CPI Reso 2023-059 Other Required Fire Code Permits 143.00 151.00 Per Inspection CPI Reso 2023-059 Conference / Meeting Room
1 - 4 hours 39.00 38.00 CPI Reso 2020-082 Proposition 4

4.1 or more hours 77.00 78.00 CPI Reso 2020-082 Proposition 4 Photograph Copies 9.50 9.70 Per each copy CPI Reso 2020-082

POLICE DEPARTMENT
Fingerprint Rolling Fee 25.00 25.00 Reso. 2017-054 P.C. §13300 Police Report copies (pickup)
Paper copy 0.25 0.25 Per Page Reso. 2006-90
Microfilm copy 0.55 0.55 Per page microfilm copy Reso. 2006-90 Reports mailed to requester
40 pages and under 5.00 5.00 Reso. 2006-90
Over 40 pages 5.00 5.00 Plus $0.25 for each page over 40 pages Reso. 2006-90 Report copies on USB flash Drives 6.50 6.50 Per Flash Drive Reso. 2021-076 Log entries 0.25 0.25 Per Page Reso. 2006-90
License to sell firearms 30.00 30.00 Reso. 2009-110 PC 12071 License to sell firearms renewal 15.00 15.00 Reso. 2009-110 Concealed weapons permits:

New 74.00 73.00 Plus DOJ Fees CPI Reso 2020-082 P.C. §12054 Renewal 45.00 44.00 Plus DOJ Fees CPI Reso 2020-082 P.C. §12054 Second-hand dealer permit:

Initial Fee 84.00 82.00 Plus DOJ Fees CPI Reso 2020-082 Per employee 31.00 30.00 Plus DOJ Fees CPI Reso 2020-082 Renewal 84.00 82.00 Plus DOJ Fees CPI Reso 2020-082
Cardroom license, application 1,050.00 1,031.00 CPI Reso 2020-082 R.M.C.6.14.060 Cardroom table fee, per table , per year 423.00 415.00 Per table, per year CPI Reso 2020-082 R.M.C.6.14.060 Cardroom permit new (owner/employee) 54.00 53.00 Plus DOJ Fees CPI Reso 2020-082 R.M.C.6.14.100 Cardroom permit renewal 31.00 30.00 CPI Reso 2020-082 R.M.C.6.14.100 Massage permit new (owner/employee) 52.00 80.00 Plus DOJ Fees CPI Reso. 2021-076 R.M.C. 6.08.020 Massage permit renewal 29.00 30.00 CPI Reso. 2021-076 R.M.C. 6.08.020 Emergency response (DUI arrest & traffic collision) 123.00 121.00 Per hour per officer CPI Reso 2020-082 G.C. §53150-58 Taxi inspection (yearly) 21.00 21.00 Per Taxi Reso. 2006-90 Proposition 4 Taxi Driver applicant DOJ Fees + fingerprinting Reso. 2006-90 Proposition 4 Tow Truck inspection (yearly) 59.00 58.00 Per Truck CPI Reso 2020-082 Proposition 4 Topside 121.00 119.00 Per Truck CPI Reso 2020-082 Proposition 4 Underneath 247.00 243.00 Per Truck CPI Reso 2020-082 Proposition 4 HUD Applicant Clearance 43.00 43.00 Plus DOJ Fees Reso. 2014-069 Photograph Copies:

Black & White or Color 2.00 2.00 Per Photo Reso. 2006-90 G.C. §6257 Digital pictures on CD (includes mailing) 4.00 4.00 Per CD Reso. 2006-90 G.C. §6257 Digital pictures on USB flash Drives 6.50 6.50 Per Flash Drive Reso. 2021-076 Towed vehicle release fee 160.00 160.00 Reso. 2007-175 Ordinance 2226 Repossessed vehicle fee 15.00 15.00 Reso. 2006-90 G.C. §41612 Property return fee 16.00 16.00 Plus cost of C.O.D. Reso. 2006-90 Proposition 4 Publications / Equipment Usage:

Daily bulletin 0.25 0.25 Per Page Reso. 2006-90 Not required Firearms Training Simulator 23.00 23.00 Per hour (agencies only) Reso. 2006-90 Not required Late Payment Penalty 20.00 20.00 Reso. 2009-23

ELECTRIC UTILITY DEPARTMENT
On-site delivery of disconnect notification (door-hanger) 50.00 50.00 Reso. 2006-90 R.M.C.14.20.020 Field Collection 50.00 50.00 Reso. 2006-90 Proposition 4 Voltmeter Reading 75.00 75.00 MO 2011-108 Proposition 4 Meter Tampering Fee 500.00 500.00 Up to $500 Reso. 2006-90 Proposition 4 Priority Service Connection Fee when called after 11:00 am 50.00 50.00 Called after 11:00 am on day of connection Reso. 2017-104 Proposition 4 Watt-Hour Meter Testing Fee 75.00 75.00 MO 2011-108 Proposition 4 Credit Report 5.00 5.00 Reso. 2006-90 Proposition 4
Service Reconnection at Pole / Transformer 99.00 99.00 MO 2011-108 Service Disconnection at Pole / Transformer 99.00 99.00 MO 2011-108 Conference / Meeting Room:
1 - 4 hours 44.00 45.00 CPI Reso 2020-082 Proposition 4

4.1 - or more hours / day 86.00 88.00 CPI Reso 2020-082 Proposition 4 Temporary Power Connection and Meter Set Fee 64.00 65.00 With Permit CPI Reso 2020-082 DC Fast Charging - Public Fee
Energy Rate $ 0.20 / kWh $ 0.20 / kWh Reso. 2021-134
Parking Fee while Charging $ 0.05 / min $ 0.05 / min Reso. 2021-134 Parking Fee while Not charging $ 0.10 / min $ 0.10 / min After 5 minute grace period Reso. 2021-134 R.M.C.6.30.040 &
Proposition 4
C.V.C. §20012 &
G.C. §6257

CITY OF REDDING

SCHEDULE OF FEES AND SERVICE CHARGES
Fiscal Year 2025-26
2024-25 2025-26 Last Changed
Type of Fee or Adopted Proposed Additional Information Inflation Resolution or Authority Service Charge Fee Fee Indicator Ordinance
F

PUBLIC WORKS DEPARTMENT- MUNICIPAL UTILITIES
Water
Water Service Installation (includes meter)
Service Size, 5/8" meter 3,288.00 3,362.00 CCI Reso 2022-059 R.M.C.14.08.310 Service Size, 3/4" meter 3,320.00 3,395.00 CCI Reso 2022-059 R.M.C.14.08.310 Service Size, 1" meter 3,392.00 3,469.00 CCI Reso 2022-059 R.M.C.14.08.310 Service Size, 11/2" meter 4,214.00 4,309.00 CCI Reso 2022-059 R.M.C.14.08.310 Service Size, 2" - 12" meter Time and Material Time and Material Reso 2022-059 R.M.C.14.08.310 Water Meter Set Installation (meter only)
Meter Size, 5/8" meter 143.00 146.00 CCI Reso 2020-082 R.M.C.14.08.310 Meter Size, 3/4" meter 172.00 176.00 CCI Reso 2020-082 R.M.C.14.08.310 Meter Size, 1" meter 229.00 234.00 CCI Reso 2017-054 R.M.C.14.08.310 Meter Size, 11/2" meter 537.00 CCI 549.00 Reso 2020-082 R.M.C.14.08.310 Meter Size 2" - 12" meter Time and Material Time and Material Reso 2022-059 R.M.C.14.08.310 Paving Cut Charge (water service) 939.00 960.00 CCI Reso 2020-082 R.M.C.14.08.310 Water Service Split (multiple meters on parcel) 744.00 761.00 CCI Reso 2020-082 R.M.C.14.08.310 Installation of new water services by City utility crews is not available on designated arterial streets and State highways.

Installation of new water services in these areas will be the responsibility of the owner.

Reso. 2008-97
Backflow Prevention Assembly and Testing 4.00 3.90 Per month CPI Reso 2020-082 RMC 14.08.160 Commercial Fire Service Commodity Charge Four (4) times the regular service rate
Four (4) times the
regular service rate RMC 14.08.320
Hydrant Meter Charge $25 Non-refundable
Charge. ($225
Refundable Deposit)
$25 Non-refundable
Charge. ($225
Refundable Deposit) RMC 14.08.075
Private Fire Hydrant Service 6.60 6.50 Per Hydrant per month CPI Reso 2020-082 RMC 14.08.370 Private Fire Service Lines: RMC 14.08.320
Fixed Monthly service charge RMC 14.08.320
Line size 4" 5.40 5.30 CPI Reso 2020-082 RMC 14.08.320
Line size 6" 8.10 8.00 CPI Reso 2020-082 RMC 14.08.320
Line size 8" 10.00 10.00 CPI Reso 2020-082 RMC 14.08.320 Line size 10" 12.00 12.00 CPI Reso 2020-082 RMC 14.08.320 Line size 12" 15.00 15.00 CPI Reso 2020-082 RMC 14.08.320 Fire Hydrant Service Outside Incorporated area of City
Demand Charge 13.00 13.00 Per Month CPI Reso 2020-082
Maintenance Cost 17.00 17.00 Per Month CPI Reso 2020-082 Billing / Collection Charge 4.60 4.70 Per Month CPI Reso 2020-082 Surcharge / Monthly Service Fee times 1.5 17.00 17.00 Per Month CPI Reso 2020-082 City Council Policy
1411
Total per month 51.60 51.70
Wastewater
Wastewater Line Tap
Tap Fee, 4" lateral 265.00 g 271.00 CCI Reso 2020-082 R.M.C.14.16.205 Application Fee 500.00 500.00 Reso. 2006-90 R.M.C.14.16.250 Wastewater Groundwater or Surface Water Discharge Permit Renewal Fee 100.00 100.00 Reso. 2006-90 R.M.C.14.16.250 Wastewater Groundwater or Surface Water Discharge Service Charge 1 times the rate 1 times the rate
1 times the rate per volume discharged as listed in
R.M.C.14.16.240.A for consumption. Reso. 2006-90 R.M.C.14.16.250 Storm Drain
Drainage Basin Inlet Marker (installed) - Required on all new inlets 20.00 20.00 CCI Reso 2020-082

PUBLIC WORKS DEPARTMENT - ENGINEERING DIVISION
Technology Surcharge 5.00% 5.00% Applied to all fees except Transportation Permits Reso. 2007-175 Permit Processing Fees
Plan review of Public Improvement:

Permit Processing for improvements, landscape maintenance district formation, and final map review associated with new development (1% of the estimated cost of construction to be paid to the City at the time plans are submitted for review, the balance based on actual cost of review to be paid prior to the beginning of construction.)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as prepared in accordance with
cognizant agency) Reso. 2013-061
Change order (Paid prior to acceptance of improvements) Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as prepared in accordance with
cognizant agency) Reso. 2013-061
Public Works Inspection:

Inspection of public improvements associated with new
development to be paid by developer. At the time of permit issuance a deposit of 2% of the value of the construction shall be deposited with the City. The unused balance, if any, will be returned after final acceptance of the improvements. Cost not to exceed 2% of improvement cost.

Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as prepared in accordance with
cognizant agency) Reso. 2013-061 R.M.C.17.74.05
Reinspection - If during final inspection the work has not been approved, all subsequent inspections will be based on actual cost of inspection and are not subject to the 2% maximum inspection fee.

Final parcel map review fee (covers 2 plan checks)
519.00 510.00 CPI Reso 2020-082
R.M.C.17.16.030
& Prop 4
Lot merger / property line adjustments for 2 parcels with maximum of 2 plan checks 247.00 243.00 CPI Reso 2020-082
Third and subsequent checks
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as prepared in accordance with
cognizant agency) Reso. 2013-061

CITY OF REDDING

SCHEDULE OF FEES AND SERVICE CHARGES
Fiscal Year 2025-26
2024-25 2025-26 Last Changed
Type of Fee or Adopted Proposed Additional Information Inflation Resolution or Authority Service Charge Fee Fee Indicator Ordinance
F
PUBLIC WORKS DEPARTMENT - ENGINEERING DIVISION (continued) Lot merger / property line adjustment for 3 or more lots ($150 deposit due with application - balance due prior to recordation) Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as
prepared in accordance
with cognizant agency)
Cost
(includes overhead as prepared in accordance with
cognizant agency) Reso. 2013-061
Grading Permit:
50 to 1,000 yards 586.00 575.00 CPI Reso 2020-082 R.M.C.16.12.070 1,001 to 2,000 yards 710.00 697.00 CPI Reso 2020-082 R.M.C.16.12.070 2,001 to 3,000 yards 834.00 819.00 CPI Reso 2020-082 R.M.C.16.12.070 3,001 to 4,000 yards 956.00 939.00 CPI Reso 2020-082 R.M.C.16.12.070 4,001 to 5,000 yards 1,095.00 1,075.00 CPI Reso 2020-082 R.M.C.16.12.070 5,001 to 10,000 yards y 1,311.00 1,287.00 CPI Reso 2020-082 R.M.C.16.12.070 10,000 yards 253.00 248.00 CPI Reso 2020-082 R.M.C.16.12.070 Clearing (for grading):
1 to 2 acres 132.00 130.00 CPI Reso 2020-082 R.M.C.16.12.070

2.1 to 5 acres 190.00 187.00 CPI Reso 2020-082 R.M.C.16.12.070

5.1 to 10 acres 396.00 389.00 CPI Reso 2020-082 R.M.C.16.12.070 For each additional 5 acres or fraction thereof in excess of 10 acres 59.00 58.00 CPI Reso 2020-082 R.M.C.16.12.070
Appeals (for grading) 102.00 100.00 CPI Reso 2020-082 R.M.C.16.12.070 Encroachment permit fees (2% due at time of submittal for plan review, remaining 3% due when permit is issued. Exception:

Encroachment permit applications for public improvements of $500,000 or greater may request plan check and inspection fees be calculated based on the subdivision related improvement provisions of this schedule.) 106.00 104.00
$106 or 5% of Engineer's Estimate, whichever is
greater CPI Reso 2020-082 Proposition 4
Transportation Permit:

Single occurrence 16.00 16.00 Reso. 2006-175 V.C. 35795(b) Annual or repetitive occurrence 90.00 90.00 Reso. 2006-175 V.C. 35795(b) Sidewalk Vending Permit Application Fee 494.00 485.00 CPI Reso. 2019-116

DEVELOPMENT SERVICES DEPARTMENT - ALL DIVISIONS
Technology Surcharge 5.00% 5.00% Applies to all fees Reso. 2007-175

DEVELOPMENT SERVICES DEPARTMENT - BUILDING DIVISION
Building Permit Microfilming / Imaging Charge 1.90 1.90 CPI Reso 2020-082 Proposition 4 Abatements - Imposed when no response to attorney demand letter Imposed at full cost of procedure Reso. 88-364
Proposition 4
Permit Processing Fees
Building Permit Fees Total Valuation
$ 1 to $ 500 30.70 31.30 CPI Reso 2020-082
$ 501 to 2,000 30.70 31.30 Plus $4.27 for each additional 100 over first 500 CPI Reso 2020-082 $ 2,001 to 25,000 93.50 95.30 Plus $18.92 for each add'l 1000 over first 2,000 CPI Reso 2020-082 $ 25,001 to 50,000 520.30 530.40 Plus $13.75 for each add'l 1000 over first 25,000 CPI Reso 2020-082 $ 50,001 to 100,000 857.80 874.20 Plus $9.46 for each add'l 1000 over first 50,000 CPI Reso 2020-082 $ 100,001 to 500,000 1,321.20 1,347.30 Plus $7.31 for each add'l 1000 over first 100,000 CPI Reso 2020-082 $ 500,001 to 1,000,000 4,190.90 4,269.90 Plus $6.25 for each add'l 1000 over first 500,000 CPI Reso 2020-082 $ 1,000,001 and up 7,259.60 7,395.40 Plus $4.26 for each add'l 1000 over first 1,000,000 CPI Reso 2020-082 Temporary Certificate of Occupancy 322.00 322.00 Every 60 days CPI Reso 2024-059 Model Home Permit
Residential 423.00 415.00 CPI Reso 2020-082
Building Permit Prior to Subdivision Acceptance
Residential 352.00 346.00 CPI Reso 2020-082
Authorization to Start Work
Commercial 211.00 207.00 CPI Reso 2020-082
Water Efficient Landscape Documentation
2,500 square feet to 40,000 square feet of Landscaping 461.00 453.00 CPI Reso 2020-082 Ordinance 2449 Over 40,000 square feet of Landscaping 649.00 637.00 CPI Reso 2020-082 Ordinance 2449 Note: Plan check fees are 65% of building permit fees. Fees for repetitive plan checks (where the same plans are used in more than one location) may be adjusted at the discretion of the Director of Development Services or his designee. Typically 50% of cost of original plan check fee Plan Check - Outside normal business hours 148.00 145.00 Per Hour (2 hour minimum) CPI Reso 2020-082 Expedited Plan Review * 50% of Plan Check Fee Reso 2020-082 Permit Extension Fee
1st Extenstion 37.00 37.00 After 180 days CPI Reso 2024-059 2nd Extension and Subsequent 125.00 125.00 Each additional 180 days CPI Reso 2024-059 Application Extension Fee
1st Extenstion 37.00 37.00 After 180 days CPI Reso 2024-059 2nd Extension and Subsequent 125.00 125.00 Each additional 180 days CPI Reso 2024-059 Residential Reroof Fee n/a 290.00 Per roof CPI
Residential Window and Door Fee 25.00 25.00 Per window/door CPI Reso 2024-059 Electric Permit Fees
Permit Issuance - each permit 58.00 57.00 Per each permit CPI Reso 2020-082 Each supplemental permit 9.40 9.20 Per each supplemental permit CPI Reso 2020-082 System Fee Schedule
New Residential Building
Multi Family 0.068 0.067 Per square foot CPI Reso 2020-082 Single - two family 0.079 0.078 Per square foot CPI Reso 2020-082 New Non-residential Buildings
3,000 square fee 0.094 0.092 Per square foot CPI Reso 2020-082 3,001 to 10,000 square feet 0.079 0.078 Per square foot CPI Reso 2020-082 Over 10,000 square feet 0.060 0.059 Per square foot CPI Reso 2020-082 Private Swimming Pools 60.00 59.00 Per swimming pool CPI Reso 2020-082 Electric Service
1 - 200 amps 38.00 37.00 CPI Reso 2020-082
201 - 1000 amps 75.00 74.00 CPI Reso 2020-082
over 1000 amps 157.00 154.00 CPI Reso 2020-082
Photo Voltaic Systems - Residential
7 to 15 Kw 450.00 450.00 Reso. 2015-071 AB 1414
AB1132
16 Kw and up 450.00 450.00 Plus 15.00 per Kw or fraction there of above 15 Kw Reso. 2015-071 AB 1414 AB1132