City Council
City of Riverside 3900 Main St.
Riverside, CA 92522
(951) 826-5557
Agenda - Revised
Art Pick Council Chamber
Originally Published: February 9, 2017
2:00 PM
Publication Date: Friday, February 17, 2017
Meeting Date: Tuesday, February 21, 2017
MISSION STATEMENT
The City of Riverside is committed to providing high quality municipal services to ensure a safe, inclusive, and livable community
PLEASE NOTE --The numerical order of items on this agenda is for convenience of reference. Items may be taken out of order upon request of the Mayor or Members of the City Council.
Pursuant to the City Council Meeting Rules adopted by Resolution No. 23035, the Members of the City Council and the public are reminded that they must preserve order and decorum throughout the Meeting. In that regard, Members of the City Council and the public are advised that any delay or disruption in the proceedings or a refusal to obey the orders of the City Council or the presiding officer constitutes a violation of these rules.
SPEAKER CARDS --If you wish to address the City Council, please complete and submit a speaker card to the City Clerk. Speaker cards can be found at the east entrance to the Art Pick Council Chamber and City Hall lobby. Speaker cards will be accepted until conclusion of public comment on the agenda item. In accordance with the Public Records Act, any information you provide on this form is available to the public.
LISTENING ASSISTIVE DEVICES are available for the hearing impaired --please see City Clerk. The City of Riverside wishes to make all of its public meetings accessible to the public. Upon request, this agenda will be made available in appropriate alternative formats to persons with disabilities, as required by 42 U.S.C. §12132 of the Americans with Disabilities Act of 1990. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such request to the City's ADA Coordinator at (951) 826-5427 or TDD at (951) 826-5439 at least 72 hours before the meeting, if possible.
Agenda related writings or documents provided to the City Council are available for public inspection in the Office of the City Clerk, at www .engageriverside.com, and in the binder located at the Concierge desk in the City Hall lobby while the meeting is in session.
February 21, 2017City Council Agenda - Revised
2 P.M.
MAYOR CALLS MEETING TO ORDER
PUBLIC COMMENT
1 This is the portion of the meeting specifically set aside to invite your comments regarding Closed Session items and any matters within the jurisdiction of the City Council - Individual audience participation is limited to 3 minutes and you will be asked to state your name and city of residence. Please complete and submit a speaker card to the City Clerk.
COMMUNICATIONS
2 Intergovernmental relations and legislative update (All Wards)
DISCUSSION CALENDAR
This portion of the City Council Agenda is for all matters where staff and public participation is anticipated. Individual audience participation is limited to 3 minutes. 3 A Resolution of the City Council of the City of Riverside, California, setting forth City of Riverside ’s support for Riverside County ’s Broadband Fiber to the Premise Master Plan for deployment of gigabit fiber services to all homes, businesses and institutions countywide - Waive further reading (Innovation and Technology) ( All Wards)
Report
Resolution
Locations
Broadband Master Plan
Presentation
Attachments:
4 Happy or Not™ customer satisfaction measurement tool for $ 16,787 from various department budgets for two years (Innovation and Technology) (All Wards) Report
Locations and Survey Questions
Presentation
Attachments:
CLOSED SESSIONS
Time listed is approximate. The City Council may adjourn to the below listed Closed Sessions at their convenience during this City Council meeting.
February 21, 2017City Council Agenda - Revised
5 Pursuant to Government Code §54956.9(d)(1) to confer with and /or receive advice from legal counsel concerning Gregory Bowen, et al. v. City of Riverside, et al ., RCSC Case No. RIC 1508018
ReportAttachments:
5a Pursuant to Government Code §54956.9(d)(1) to confer with and /or receive advice from legal counsel concerning City of Riverside, et al. v. Greyhound Lines, Inc ., USDC Case No. 5:16-cv-00796-AB-SPx
ReportAttachments:
6 Pursuant to Government Code §54956.9(d)(2) to confer with and /or receive advice from legal counsel concerning one case of anticipated litigation ReportAttachments:
7 Pursuant to Government Code §54956.9(d)(4) to confer with and /or receive advice from legal counsel concerning one case of anticipated litigation ReportAttachments:
6:15 P.M.
INVOCATION - Councilmember Gardner
PLEDGE OF ALLEGIANCE TO THE FLAG - Colors presented by Girl Scout Troop 604
MAYOR/COUNCILMEMBER COMMUNICATIONS
8 Brief reports on conferences, seminars, and regional meetings attended by Mayor and City Council, Ward updates, and announcements of upcoming events
PRESENTATIONS
9 This item removed from the agenda
10 Mayor Bailey to call upon Riverside Public Library Foundation Grants Committee Chair Barbara Shackelton to present Library Director Tonya Kennon with a Library Grant to establish a Toy Lending Library
11 RIVERSIDE PRIDE Success Report - Riverside Plaza/Vestar (Ward 3) ReportAttachments:
February 21, 2017City Council Agenda - Revised
7 P.M.
PUBLIC COMMENT
12 This is the portion of the meeting specifically set aside to invite your comments regarding Consent Calendar items and any matters within the jurisdiction of the City Council - Individual audience participation is limited to 3 minutes and you will be asked to state your name and city of residence. Please complete and submit a speaker card to the City Clerk.
CONSENT CALENDAR
All matters listed under the CONSENT CALENDAR are considered routine by the City Council and may be enacted by one motion in the form listed below. There will be no separate discussion of these items unless, before the City Council votes on the motion to adopt, Members of the City Council or staff request specific items be removed from the Consent Calendar for separate action. Removed consent items will be discussed following the Discussion Calendar.
City Clerk
13 Minutes of February 3 and 7, 2017
2-3-17 Minutes
2-7-17 Minutes
Attachments:
14 Annual Board and Commission appointments for terms through March 1, 2021 (All Wards)
ReportAttachments:
15 Adopt an Ordinance of the City Of Riverside, California, amending Chapters
4.05.050, 4.05.060 and 4.05.080 of the Riverside Municipal Code -Public Meetings and Public Records known as Sunshine Ordinance expanding twelve -day agenda publication and supplemental agenda materials requirements to all boards and commissions, deleting conflicting section regarding special meeting notices, codifying current practices for agenda materials submitted by outside parties, and requiring videotaping of Budget Engagement Commission meetings - Waive further reading (Intro. on 2-7-17, All Wards)
OrdinanceAttachments:
City Council
February 21, 2017City Council Agenda - Revised
16 Public Safety Committee recommends introduction of an Ordinance of the City of Riverside, California, amending Chapter 5.52 of the Riverside Municipal Code regarding massage businesses to define terms and require State certification (All Wards)
Report
Ordinance
Attachments:
17 Announcement of committee meeting:
Mayor’s Nominating and Screening Committee at 2 p.m. on Tuesday, February 14, Art Pick Council Chamber
City Manager
18 Award Bid 7458 to VMI, Inc., Garden Grove, for $118,184.51 from Communications Public, Education, and Government Special Deposits Account for broadcast television equipment for Riverside TV control room - Supplemental appropriation (All Wards)
Report
Bid Recommendation
Attachments:
Human Resources
19 Amendment of Fiscal Year 2016-18 Two-Year Budget Personnel Detail for City Attorney’s Office to add Deputy City Attorney II classification for Measure Z Quality of Life Program - Fiscal Years 2016-17 and 2017-18 budget amendments of $56,250 and $ 225,000, respectively, from Measure Z funding (Fund 110) for Deputy City Attorney II position - Supplemental appropriation (All Wards) ReportAttachments:
Library
20 Donation of $ 60,000 from Riverside Public Library Foundation for Toy Lending collection - Supplemental Appropriation (All Wards)
ReportAttachments:
DISCUSSION CALENDAR
This portion of the City Council Agenda is for all matters where staff and public participation is anticipated. Individual audience participation is limited to 3 minutes.
February 21, 2017City Council Agenda - Revised
21 Governmental Affairs Committee recommends Southern California Public Power Authority participation update and report on expenditures (Public Utilities) ( All Wards)
Report
8-26-80 CC Report
Agreement
Presentation
Attachments:
COMMUNICATIONS
22 City Attorney report on Closed Session discussions
23 Items for future City Council consideration as requested by Mayor or Members of the City Council - City Manager/City Attorney reports
* * * * * * * * *
The next regular City Council meeting is scheduled for
Tuesday, February 28, 2017
City Council meetings broadcast with closed captioning available on AT&T Channel 99, Charter Spectrum Channel 3,
and Frontier Cable Channel 21
Rebroadcast Wednesdays at 9 p.m., Fridays at 1 p.m., and Saturdays at 9 a.m.
For live Webcast of the City Council Meeting:
http://riversideca.legistar.com/Calendar.aspx
or visit our website at
www.engageriverside.com
Follow on Twitter:
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* * * * * * * * *
City Council Memorandum
TO: HONORABLE MAYO R AND CITY COUNCIL DATE: FEBRUARY 21, 2017 FROM: PUBLIC UTILITIES DEPARTMENT WARDS: ALL
SUBJECT: UPDATE ON PARTICIPATION IN SOUTHERN CALIFORNIA PUBLIC POWER
AUTHORITY
ISSUE:
Receive an update on City of River side’s participation in Souther n California Public Power Authority.
RECOMMENDATIONS:
That the City Council:
1. Receive an update on City of Riverside’s participation and involvement in Southern California Public Power Authority;
2. Direct staff to provide a detail of proposed Southern Califo rnia Public Power Authority expenditures included within each object code of the Pub lic Utilities annual budget to the Board of Public Utilities and include in their budget recommendation to City Council; and
3. Direct staff to provide Bi-annu al Report to the Board of Public Utilities and City Council on Southern California Public Power Authority expenditures.
COMMITTEE RECOMMENDATION:
The Governmental Affairs Committee met on Sept ember 15, 2016, with Chair Melendrez, Vice Chair Gardner and Member Davis present, to cons ider the Update on Partic ipation in Southern California Public Power Authority. After discussi on, the Committee voted to receive and file the update. At the meeting, Mem ber Davis and Vice Chair Gar dner requested a City Council workshop to review the joint powers agreement with Southern California Public Power Authority.
LEGISLATIVE HISTORY:
Southern California Public Powe r Authority (SCPPA) is a joint power agency (JPA). A JPA is governed by the Joint Exercise of Power Act (G ov. Code sections 6500 et seq.) which provides the following:
“If authorized by their legislative or other governing bodies, two or more public agencies by agreement may jointly exercise any power co mmon to the contracting parties, including, Update on Participation in SCPPA ● Page 2
but not limited to, the authority to levy a fee, assessment, or tax, even though one or more of the contracting agencies may be located outside this state.” (Gov. Code section 6502) The Act further provides that a JPA has the opti on, but not the obligation, to require that the governing body of the JPA be compri sed of elected officials from the member agencies. (Gov.
Code section 6508). The Act requires that all members of a JPA be party to the agreement that formed the JPA. (Gov. Code section 6502).
The SCPPA Board of Directors is comprised of the general managers of the member utilities, not elected officials. On August 26, 1980, the River side City Council adopted a resolution to join SCPPA and approved the SCPPA Joint Powers Agreement (SCPPA Agreement) (Attachment 1).
The SCPPA Agreement provides the following as to governance:
SECTION 9. BOARD OF DIRECTORS. The Authority shall be administered by a governing board (the "Board of Directors") which shall consist of one Director representing each Member. The Director representing each Member shall be the chief executive officer of the electric utility of such Member or the designee of such chief executive officer.
Each Director will serve in his individual capacity as a member of the Board of Directors.
The SCPPA Agreement can only be amended by the unanimous approval of the governing bodies of each member agency (SCPPA Agreement, Section 18). Alternatively, a member agency can withdraw from the JPA. (SCPPA Agreement, Section 14).
BACKGROUND:
WHAT IS SCPPA?
The purpose of SCPPA’s formation was to create a separate public entity (in this case a joint powers agency) to capture the economies-of-scale by working together to undertake the planning, financing, development, acquisition, constructi on, reconstruction, betterment, operating and maintenance of electric generation and transmission facilities. Current SCPPA members include municipal utilities of the cities of Anaheim, Azusa, Banning, Burbank, Cerritos, Colton, Glendale, Los Angeles, Pasadena, Riverside, Vernon and the Imperial Irrigation District. SCPPA members collectively serve nearly five million residents in Southern California.
SCPPA is a public agency subject to the Brown Act and the California Public Records Act.
SCPPA’s Board meetings are open to the public and Board meeting minutes are available on its website. SCPPA is subject to an independent financial audit.
Under the JPA, SCPPA was granted certain powers on behalf its members. These powers include, but are not limited to: the authority to own, oper ate and manage generation and transmission projects, buy and sell properties, make and enter into contracts, hire employee and consultants, borrow money, and file litigation in its own name.
SCPPA offers a flexible, voluntary “cafeteria-style” program to its members, so that members only participate in and pay for those projec ts or activities of their choice. If a member chooses not to participate, it is not responsible for the asso ciated costs. The SCPPA Agreement can only be amended by the unanimous approval of the governing bodies of each member. A member agency can withdraw from the JPA.
SCPPA PROCUREMENT POLICIES
The SCPPA Board of Directors has adopted proc urement policies which require competitive procurement for goods, services and construction. Section 5 of the SCPPA Agreement sets forth the powers of SCPPA, and includes the following:
Update on Participation in SCPPA ● Page 3
“Such [JPA] powers shall be exercised in the manner provided in Section 6509 of the Government Code of the State of California, as amended, subject only to such restrictions upon the manner of exercising such powers as are imposed upon the City of Riverside, California, in the exercise of such powers.”
This section does not mean that SC PPA is required to follow Rive rside’s procurement policies.
Rather, this section means that SCPPA is subject to the same state law restrictions as Riverside, not the restrictions that Ri verside places upon itself. This makes sense, because to hold otherwise would mean that one agency to a JPA could control the entire JPA through self-imposed restrictions.
The process for forming a JPA is set forth in the Government Code. Government Code section 6509 provides that the power of a JPA “is subject to the restrictions upon the manner of exercising the power of one of the contracting parties, which party shall be designated by the agreement.” To meet this requirement, SCPPA designated Riverside.
Case law provides that the restrictions referenced in Section 6509 are imposed upon the designated “contracting party” by another entity, such as the state, not re strictions self-imposed by the designated contracting party. ( Zack v. Marin Emergency Radio Authority (2004) 118 Cal.App.4th 617; Cooper v. Mountains Recreat ion and Conservation authority (1998) 61 Cal.App.4th 1115.) For example, in Zach, the court held the JPA did not have to obtain building permits for constructing an emergency radio system, because the city JPA member who had been designated in the JPA agreement pursuant to Go vernment Code section 6509 was not required to obtain such permits.
RIVERSIDE’S PARTICIPATION IN SCPPA
On September 16, 1980, the City Council adopted a Resolution approving Riverside’s participation in SCPPA and approved the SCPPA Agreement (Attachment 1).
On November 1, 1980, after receiving approvals by all SCPPA members’ governing bodies, the JPA became effective (Attachment 2).
EARLY PROJECTS
One of the primary adv antages of being a SCPPA me mber is joint participation in projects with other municipal utilities in order to achiev e economies-of-scale to benefit the member’s ratepayers. Pursuant to the SCPPA Agreement, the City Council approved Riverside’s joint participation in the following five (of SCPPA’s six) original generation and transmission projects to continue to self-provide electric power for Riverside’s energy needs.
Palo Verde Nuclear Generation Station (1981) Hoover Uprating Project (1986)
Update on Participation in SCPPA ● Page 4
SCPPA financed the construc tion of Southern Transmissi on System (1983), and the Mead- Adelanto and Mead-Phoenix Transmission projects (both 1992). Riverside participates in all three transmission projects. The transmission agreement s allowed for the delivery of power from specific generation projects (in which Riverside had entitlements) located long distances from the City.
DISCUSSION:
Publicly owned utilities (POUs) ar e regulated by their governing bodies. For RPU, the elected City Council and the appointed Board of Public Utilities are the re gulatory body. Since the early 2000’s, California’s regulatory mandates for POUs vastly increas ed, primarily to insure the reduction of greenhouse gases, increase in renewable power production, increase in and energy efficiency, increase in energy storage, and a ssociated compliance reporting for all these mandates. The following table includes some of the recent legislation or regulatory bodies (since mid-2000s) that now impact RPU and other POUs, creating increasing mandates and complexity to operations:
Table 1. Recent Legislation of Regulatory Agencies Impacting RPU:
AB32 SB1368 SB1037
AB2021/AB2227 SB350 SBX1-2
SB1 AB2514 CEC
CFTC NERC USEPA
SCAQMD CAISO CARB
Notable amongst these is Senate Bill (SB) 1037 (2005), establishing a loading order (also known as preferred resources) for resource procurement. SB 1037 required that utilities looking for new sources of supply—prior to procuring fossil fuel re sources, must first look to energy efficiency and demand reduction, followed by renewable resources:
“Each local publicly owned electric utility, in procuring energy to serve the load of its retail end-use customers, shall first acquire all available energy efficiency and demand reduction resources that are cost effective, reliable, and feasible.” (Pub. Util. Code section 9615.)
Fossil fueled generation was the source of last re sort. This legislation merged the demand side management (customer side) with the power supply side for resource planning purposes, and accelerated the requirements fo r energy efficiency and conservati on to meet state-established targets.
Update on Participation in SCPPA ● Page 5
RENEWABLE ENERGY PROJECTS
Since 2012, in order to cost-effectively meet California’s renewable portfolio standard mandates, Riverside expanded its project participation in SCPPA from th e original five generation and transmission projects, to include renewable power purchase agreements (PPA) approved by the Board and City Council. These PPAs also prov ide economies-of-scale pricing. These solar projects are all currently online:
Table 2. RPU’s Renewable Projects through SCPPA
Renewable Project
Date Approved
by City Council
Capacity
MW
Dominion Columbia II Solar 9/24/13 11
First Solar Kingbird B 9/24/13 Up to 14
SPower Summer Solar 1/8/13 10
SPower Antelope Big Sky Ranch 1/8/13 10
SPower Antelope DSR 1 7/28/15 25
Rate Payer Benefit: An example of the economies-of-scale pricing, for the SPower Antelope DSR 1 project alone, the estimated cost savings was approximately $4 million dollars over the 20-year project by participating with other SCPPA members.
RPU Procurement Process through SCPPA - Power Supply/Transmission: The City Council approves all new joint participation generation, transmission, and renewable projects entered into with SCPPA. Once new projec ts and associated PPA’s are approved by the City Council, the City Manager or his designee will sign the PPA to initiate the project with SCPPA. Ongoing costs associated with these projects are included in the Electric Fund’s bi-annual budget which is approved by the Board of Public Utilities and City Council.
ENERGY EFFICIENCY PROGRAMS
In the early 2000’s, RPU began offering energy efficiency programs to its customers. Due to the requirements set forth in SB 1037, energy efficiency (EE) has become the lowest cost energy resource that can be procured within the RPU service territory. RPU has focused much of its EE outreach efforts on its commercial customers as they represent approx imately 10% of the customer base but account for over 60% of the entire City’s load. To effectively capitalize on the EE opportunities that these commercial customers represent, RPU has utilized the services of various outside vendors that have entered into contracts with SCPPA. SB350, passed by the California legislature in 2015, is considered the most significant c limate and clean energy legislation since the passage of AB32. In addition to increasing California’s renewable electricity procurement goal, SB350 requires the state to double statewide energy efficiency savings in electricity and natural gas end uses by 2030.
The first EE program offered by RPU was appl iance recycling and was approved by the City Council on March 7, 2000. Subsequently, on Oc tober 2, 2001, the Cit y Council approved the Load Profiler Program that provided access of interval meter data to our large load customers.
On August 14, 2007, the City Council unanim ously approved the use of SCPPA for the procurement of EE and conservati on programs and services. At that time, the City Council authorized a not-to-exceed amount of $100,000 per program annually from Public Benefits Fund.
On October 20, 2009, February 7, 2012, March 4, 2014 and most recently December 16, 2016, Update on Participation in SCPPA ● Page 6
the City Council approved various new EE programs and campaigns geared to our residential and non-residential customers ranging in amounts between $100,000 and $350,000.
The following table summarizes the total number of EE Programs offered by RPU to customers:
Table 3. Number of Programs and Total Budget
for RPU’s Energy Efficiency (EE) Programs
# of Programs FY 16/17 CC
Approved Budget
RPU EE Programs - Direct 54 $9,763,500
RPU EE Programs through SCPPA 10 $2,575,000
Total Programs – Direct & SCPPA 64 $12,338,500
The EE programs approved by the Cit y Council that currently rely on the services of SCPPA approved vendors are as follows:
Table 4. Current Energy Efficiency Programs through SCPPA
Program
Service
Date New
Program
Approved
by CC
Original
Amount
Approved by
CC
FY 16/17
Program
Budget
Approved by
CC
Appliance Recycling (ARCA)
Refrigerator/Freezer Recycling
Program
3/7/2000 $150,000 $45,000
Auto Meter Reading
Load Profiler Program
provides access to interval
meter data to large energy
customers
10/2/2001 $360,000 $30,000
Home Energy Analysis
Online Energy Audit Tool for
residential customers
8/14/2007 $100,000 $25,000
Energy Management Services
Online Energy Audit Tool for
commercial customers
8/14/2007 $100,000 $25,000
Small Business Direct Install
Program (SBDI)
Lighting and HVAC
improvements to small
businesses
2/7/2012 $350,000 $1,500,000
Multifamily & Mobile Home
Direct Installation
Energy efficiency direct
installations
3/4/2014 $100,000 $150,000
Key Account Energy Efficiency
Program (KEEP)
Tier 2 facility audits for large
commercial customers
3/4/2014 $100,000 $100,000
Upstream High Efficiency
HVAC Program
Instant HVAC rebates at the
distributor level
3/4/2014 $300,000 $150,000
LED Buy Down Program
LED customer incentives
offered at participating retailers
3/17/2015 $300,000 $300,000
Customer Engagement
Program
Enhance interaction with
customers by providing
resources to manage energy
usage to encourage efficiency.
12/16/2016 $250,000 $250,000
Total $2,575,000
The largest EE program offered through SCPPA are RPU’s direct in stallation programs which reach customer segments such as multi-fam ily, mobile home parks and small businesses which were previously difficult to reach, underserved cu stomer segments. Direct installation programs are very effective in meeting customer ener gy efficiency needs and generate significant kWh savings. The demand for direct installation programs has grown exponentially since inception of Update on Participation in SCPPA ● Page 7
the program in 2012. Combined, these SCPPA vendor contracts account for approximately 20%- 30% of RPU’s annual energy savi ng goals reported to the Calif ornia Energy Commission as required under SB 1037.
Rate Payer Benefit: Annual savings utilizing SCPPA for these EE programs range between 4%- 35% depending on the specific program. This amounts to an estimated savings of approximately $470,000 per year for all RPU energy efficiency programs administered through SCPPA outlined in Table 4.
RPU Procurement Process through SCPPA – EE Programs: All new EE programs are approved by the City Council prior to implementation. Once the new program and initial budget is approved by the City Council, a SCPPA Task Order is approv ed by the General Manager to accept these services from SCPPA, exercising his authority as approved in the JPA between SCPPA and the City of Riverside. In subsequent years, ongoing annual costs a ssociated with continuation of existing EE programs are included in the Public Benefits Fund budget which is approved by the Board of Public Utilities and City Council. A RPU SCPPA Procurement Request Form is submitted to the RPU Chief Financial Officer to ensure budget availability. A SCPPA task order to accept services from SCPPA is then approved by the General Manager or his designee.
SCPPA’S SERVICE EXPANSION – OTHER SCPPA MEMBER SERVICES
SCPPA Working Groups:
With advanced technology and the transformative changes in the industry, SCPPA has increased the services to its members by creating a number of voluntary committees/working groups to:
1. Better understand the continuously evolving industry changes;
2. Change impacts to the members;
3. Advocate positions on regulations that are the least harmful or most beneficial; and
4. Share best practices and knowledge rela ting to common areas of challenges or opportunities.
The following table outlines SCPPA’s current working groups and t he number of member participants that utilize this resource:
Table 5. SCPPA Working Groups (number of participants from member agencies) Generation (37) Electric Vehicl es (21) Community Solar (39) Customer Service (33) Legisl ative (55) & Regulatory (44) Public Benefits (32) Resource Planning (69) Renewable Projects (63) Transmission (37) Engineering & Operations (27) Natural Gas Reserves (32) Risk Management (24) Rate Design (15) Key Acco unts (22) Greenhouse Gas (100) Energy Storage (25) Mutual Aid (25) Safety (21)
In April 2014, Riverside had a failure of a portion of 69 kV cable and was able to get a replacement through a working group member that minimized our outage time. Similarly, in February 2015, Riverside provided its staff expertise for a gas turbine control system software failure in Pasadena that minimized their outage time.
Update on Participation in SCPPA ● Page 8
Training and other Member Services:
SCPPA also provides training on relevant industry topics, hosts workshops facilitated by industry experts, and has hired consultants to provi de important market updat es, conduct studies of common interest, and represent its interest in various regulatory or legislative matters. Due to the rapid changes occurring in the industry and workfo rce retirements, the need for training has become even more urgent and vital. Over the la st three years SCPPA has increased training events from 15 to 29 and the net savings has increased from $633,575 to $1,129,808. In 2016 a total of 1,036 SCPPA-member em ployees participated in 29 training events with net savings of $677 per participant per day.
Services are procured using ec onomies-of-scale pricing from the collective buying power of SCPPA members, resulting in significant ratepayer savings. These services are authorized by the SCPPA Board via resolution. SCPPA will enter into contracts with vendors to provide services to its member agencies. Many of the services are optional, such that members pay only for the services they use. RPU has judiciously used this mechanism to procure needed services. Past examples include:
1. Various joint utility-related traini ng at significantly discounted prices
2. Specialized training for RPU’s staff in preparation for CAISO market changes
3. Specialized professional services in preparation for industry restructuring
4. Specialized software to analyze electric market activity
5. Financial expertise for joint proj ect bond issuances and credit monitoring
6. Joint legislative and regulatory advocacy, analysis and representation
7. Legal representation for specific projects or regulatory matters Rate Payer Benefit: Providing training at SCPPA’s Glendora facilities, on current industry topics, is more cost effective than sending staff to distant training centers and incurring additional costs for travel, lodging and meals. On average, RPU is saving $67 7 per participant sending our employees locally to SCPPA versus sending them to other parts of the state or out of state for utility specific training.
RPU Procurement Process through SCPPA – Other SCPPA Member Services - SCPPA services such as training, association dues, legislative or regulatory advocacy are included in the Electric Fund’s annual budget that is approved by the Board of Public Utilities and City Council. A RPU SCPPA Procurement Request Form is submitted to the RPU Chief Financial Officer to ensure proper justification and budget availability. A SC PPA task order to accept services from SCPPA is then approved by the General Manager or his designee.
A monthly report is provided to the Board of Public Utilities detailing these SCPPA expenditures.
All Board packets are provided to the City Council which includes this information.
Update on Participation in SCPPA ● Page 9
The following graphs provide the scope of expenditures paid through SCPPA by the Electric Fund:
Update on Participation in SCPPA ● Page 10
COMPLIANCE WITH CITY CHARTER
At the September 15, 2016 GAC m eeting, committee members rais ed questions as to whether RPU had complied with the City Charter in procuring services through SCPPA:
1. How has the RPU General Ma nager been delegated aut hority to order services through SCPPA?
The City Charter provides the following:
Sec. 406. City powers vested in Council; exceptions.
All powers of the City shall be vested in the City Council ex cept as otherwise provided in this Charter.
By joining the SCPPA JPA and approving that the General Manager shall be the City’s voting representative on the SCPPA governi ng board, the City Council has delegated authority to the General Manager to act on behalf of the City at SCPPA.
One of the SCPPA powers is contracting:
Section 5. Powers. The Authority shal l have the power to finance, acquire, construct, maintain and operate one or more Projects. The Authority is hereby authorized and empowered, in its own name, to do or cause to be done all acts necessary for the exercise of said power, including but not limited to any or all of the following:
(e) To make and enter into other contra cts of every kind with its Members, the United States, any state or political subdi vision thereof, and any individual, firm, association, part nership, corporation or any other organization of any kind.
There is nothing in the SCPPA JPA which pr ohibits SCPPA from obtaining services from third parties on behalf of its member agencies, including energy efficiency services.
2. In ordering such services from SCPPA, does the City Manager’s $50,000 limitation set forth in Resolution No. 22576 apply?
The City Charter requires that the City Council approve all agreements and delegate signature authority for such agreements.
Sec. 419. Same--Execution.
The City shall not be bound by any contract except as hereinafter provided unless the same shall be made in writing, approved by t he City Council and signed on behalf of the City by the Mayor and City Clerk or by such other officer or officers as shall be designated by the City Council. Any of said officers shall sign a contract on behalf of the City when directed to do so by the City Council.
For contracts between the City and a third party, the City Council has adopted Resolution 22576, which delegates authority to the City Manager to execut e contracts of $50,000 or less for goods, services and construction. This applies to agreements between the City and a third party, this contra ct is between SCPPA and a thir d party, therefore Resolution No. 22576 does not apply.
Update on Participation in SCPPA ● Page 11
3. Has the City complied with City Charter section 1202 in ordering services through SCPPA?
Section 1202(b) provides the following:
Sec. 1202. Same--Powers and duties.
The Board of Public Utilities shall have the power and duty to:
(b) Authorize, and let public works contracts in compliance with Section 1109, within the limits of the budget of the Department of Public Utilities, any purchase of equipment, materials, s upplies, goods or services, or any acquisition, construction, improvement, extension, enlargement, diminution, or curtailment of all or any part of any public utility system when the amount exceeds $50,000, and author ize the City Manager, or his designee, to execute contracts or issue purchase orders for the same.
The City can only order services through SCPPA if the expenditure has been approved by the RPU Board. As noted above, both the Board of Public Utilities an d City Council have approved programs for EE services and approved budgets for such programs. In ordering such EE service, the City cannot exceed the amount s budgeted for such programs and set forth in the approved budget.
The City Charter does not preclude the City Council from placing limits on how the City procures services such as EE services through SCPPA.
SUMMARY:
1. SCPPA has authority to enter into contracts to provide services for EE, training and other programs.
2. Board and City Council approves all new PPAs for power supply and transmission programs, as well as EE programs to be offered by RPU either directly or through SCPPA.
3. Board and City Council approve annual budget for all expenditures, including power supply, transmission costs, EE programs and other services provided by SCPPA.
4. RPU General Manager has Council-approved authority to approve SCPPA task orders within budget approved by the Board of Public Utilities and City Council.
5. RPU implemented a formal process to centra lize review by the RPU Chief Financial Officer of all requests by division to utilize SCPPA for services. The process includes documenting a clear justification for use of SCPPA, budget verification, and approval by Division Assistant General Manager.
6. RPU will be increasing the budget details in the presentati on to Board to highlight the projected SCPPA expenditures included in the budget for the upcoming fiscal year, as well as, request the Board to recommend the SCPPA expenditure budget to the City Council with the Proposed Two-Year Budget.
7. RPU will be provide a Bi-annual Report to t he Board of Public Utilities and City Council on SCPPA expenditures.
Update on Participation in SCPPA ● Page 12
8. The cost savings for SCPPA membership and program participation are significant, estimated at over $1 million annually.
FISCAL IMPACT:
Costs for the various SCPPA activities are budgeted in the appropriate RPU cost center. Previous Board and City Council approval of SCPPA administration and oper ation of the generation and transmission projects are contract ual obligations to pay the pr oportionate share of the project costs. Participation in other SCPPA products and services such as energy efficiency programs, renewable energy Power Purchase Agreements and training are voluntary, and the cost savings are significant.
Prepared by: Girish Balachandran, P ublic Utilities General Manager Certified as to
availability of funds: Scott G. Miller, PhD., Chief Financial Officer/Treasurer Approved by: John A. Russo, City Manager
Approved as to form: Gary G. Geuss, City Attorney
Concurs with:
______________________________
Andy Melendrez, Chair
Governmental Affairs Committee
Attachments:
1. August 26, 1980 City Council Memorandum with Resolution
2. November 1, 1980 SCPPA Joint Powers Agreement
3. Presentation
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CITY COUNCIL
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TUESDAY, FEBRUARY 21, 2017, 2 P.M.
ART PICK COUNCIL CHAMBER
CITY HALL
3900 MAIN STREET
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7 R o l l C a l l : P r e s e n t X XAXXXX
Mayor Bailey called the meeting to order at 2 p.m., in the Art Pick Council Chamber with Councilmember Soubirous absent.
ORAL COMMUNICATIONS FROM THE AUDIENCE
Theresa Newham spoke regarding a music event at Papa Joe’s and a shopping center crime incident.
COMMUNICATIONS
LEGISLATIVE REPORT
Intergovernmental Relations Officer Lopez reported on Assembly Bills 37 and 162, and the last day to introduce bills in the Assembly and Senate.
Councilmember Soubirous arrived during the following item.
X
DISCUSSION CALENDAR
RIVERSIDE COUNTY BROADBAND FIBER TO THE PREMISE MASTER
PLAN - RESOLUTION
Following discussion, the City Council adopted a resolution to support and participate in Riverside County Countywide Broadband Fiber to the Premise Master Plan; whereupon, the title having been read and further reading waived, Resolution No. 23153 of the City Council of the City of Riverside, California, Setting Forth City of Riverside’s Support for Riverside County’s Broadband Fiber to the Premise Master Plan, was presented and adopted.
Motion
Second
All Ayes
X
X
HAPPY OR NOT™ CUSTOMER SATISFACTION MEASUREMENT TOOL
Following discussion, the City Council received and ordered filed the presentation on features, benefits, and locations of the new customer service measurement technology, Happy or Not™ .
Motion
Second
All Ayes
X
X
CLOSED SESSIONS
The Mayor and City Council recessed to the City Council Board Room for closed sessions pursuant to Government Code (1) §54956.9(d)(1) to confer with and/or receive advice from legal counsel concerning Gregory Bowen, et al. v. City of Riverside, et al., RCSC Case No. RIC 1508018; (2) §54956.9(d)(1) to confer with and/or receive advice from legal counsel concerning City of Riverside, et al. v. Greyhound Lines, Inc., USDC Case No. 5:16-cv-00796-AB-SPx; (3) §54956.9(d)(2) to confer with and/or receive advice from legal counsel concerning one case of anticipated litigation; and
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CITY COUNCIL
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TUESDAY, FEBRUARY 21, 2017, 2 P.M.
ART PICK COUNCIL CHAMBER
CITY HALL
3900 MAIN STREET
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7 (4) §54956.9(d)(4) to confer with and/or receive advice from legal counsel concerning one case of anticipated litigation.
RECESS
The Mayor and City Council recessed at 2:55 p.m., and reconvened at 6:15 p.m., in the Art Pick Council Chamber with Mayor Bailey presiding and all Councilmembers present.
The Invocation was given by Councilmember Gardner.
Girl Scout Troop 604 led the Pledge of Allegiance to the Flag.
MAYOR/COUNCILMEMBER COMMUNICATIONS
BRIEF STATUS REPORTS FOR REGIONAL ORGANIZATIONS,
CONFERENCES, SEMINARS, AND MEETINGS ATTENDED BY MAYOR
AND CITY COUNCIL - WARD UPDATES - ANNOUNCEMENTS
Councilmember Burnard reported on a Five Points community meeting and the Keep Riverside Clean and Beautiful event at Rutland Park.
Councilmember Mac
Arthur reported the Grow Riverside Conference.
Councilmember Melendrez reported on the 6th Annual LULAC Health Fair and his mother’s 91st birthday. Councilmember Gardner reported on the Dickens Festival. Councilmember Soubirous reported on the Victoria Avenue Forever tree planting. Councilmember Perry reported on rescheduling of the Walk with the Mayor in Ward 6. Councilmember Davis reported on Ward 4 community meetings, Orangecrest Pony Baseball opening day, and the Vegas in Villegas event at Villegas Community Center.
PRESENTATIONS
Mayor Bailey called upon Riverside Public Library Foundation Grants Committee Chair Barbara Shackelton who presented Library Director Tonya Kennon with a Library Grant to establish a Toy Lending Library.
RIVERSIDE PRIDE SUCCESS REPORT
Councilmember Soubirous reported on Riverside Plaza/Vestar in Ward 3.
ORAL COMMUNICATIONS FROM THE AUDIENCE
Phyllis Purcell spoke regarding Riverside Plaza, senior housing and nutrition, and contact information for Legislators. Theresa Newham spoke regarding a community meeting regardi ng crime at the strip mall on Grand
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CITY COUNCIL
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TUESDAY, FEBRUARY 21, 2017, 2 P.M.
ART PICK COUNCIL CHAMBER
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7 and Jurupa Avenues. Father John Conrad spoke regarding General Fund support for homelessness. Errol Koschewitz spoke regarding Treasury Bonds and CalPERS.
CONSENT CALENDAR
The following items were approved by one motion affirming the actions appropriate to each item and with the item regarding addition of a Deputy City Attorney II Classification for the Measure Z Quality of Life Program removed from the Consent Calendar for separate discussion.
Motion
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All Ayes
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MINUTES
The Minutes of the City Council meetings of February 3 and 7, 2017, were approved as presented.
BOARD AND COMMISSION APPOINTMENTS
The Mayor and City Council (1) appointed Joe Vasquez to the Ward 2 seat and Herman L. Greene to the Ward 6 seat on the Airport Commission and Dilesh R. Sheth to the Ward 2 seat and Frank L. Brown to the Ward 4 seat on the Transportation Board, with terms through March 1, 2021; and (2) reappointed Robert W. Moran to the Citywide seat on the Transportation Board with a term through March 1, 2021.
RIVERSIDE MUNICIPAL CODE - SUNSHINE ORDINANCE AMENDMENT
ADOPTED
The City Council adopted an ordinance amending Chapters 4.05.050,
4.05.060 and 4.05.080 of the Riverside Municipal Code-Public Meetings and Public Records known as the Sunshine Ordinance expanding the twelve-day agenda publication, supplemental agenda material requirements to all board and commissions, and deleting a conflicting section regarding special meeting notices, codifying current practices for agenda materials submitted by outside parties, and requiring videotaping of the Budget Engagement Commission meetings; whereupon, the title having been read and further reading waived, Ordinance No. 7369 of the City of Riverside, California, Amending Chapters 4.05.050, 4.05.060 and 4.05.080 of the Riverside Municipal Code-Public Meetings and Public Records, was presented and adopted.
MASSAGE ESTABLISHMENTS - ORDINANCE INTRODUCED
The City Council approved the City C ouncil Public Safety Committee recommendation to introduce and subsequently adopt an ordinance amending Riverside Municipal Code Chapter 5.52 regulating massage establishments; whereupon, an ordinance entitled, “An Ordinance of the City
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CITY COUNCIL
MINUTES
TUESDAY, FEBRUARY 21, 2017, 2 P.M.
ART PICK COUNCIL CHAMBER
CITY HALL
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7 of Riverside, California, Amending Chapter 5.52 of the Riverside Municipal Code Regarding Massage Businesses, was presented and introduced.
BID 7458 - BROADCAST TELEVISION EQUIPMENT - SUPPLEMENTAL
APPROPRIATION
The City Council (1) awarded Bid 7458 to VMI Inc., of Garden Grove, in the amount of $118,184.51 for broadcast equipment for the RiversideTV control room located in the City Council Chamber at City Hall; and (2) authorized a supplemental appropriation in the amount of $118,184.51 from Communications Public, Education, and Government Special Deposits Account 0000720-225066 to an account number as assigned by the Finance Department.
RIVERSIDE PUBLIC LIBRARY FOUNDATION DONATION - TOY
LENDING LIBRARY - SUPPLEMENTAL APPROPRIATION
The City Council (1) accepted funds in the amount of $60,000 from the Riverside Public Library Foundation for a Toy Lending Library at all Riverside Public Library locations; and (2) upon acceptance, authorized an increase in revenues in the amount of $60,000 and authorized the Chief Financial Officer or his designee to appropriate expenditures in the same amount into a project account to be established by the Finance Department for the Toy Lending Library.
DISCUSSION CALENDAR
SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY PARTICIPATION UPDATE
Following discussion, the City Council (1) received an update on City’s participation and involvement in Southern California Public Power Authority (SCPPA; (2) directed staff to provide a detail of proposed expenditures included within each object code of the Public Utilities annual budget to the Board of Public Utilities and include in their budget recommendation to City Council; (3) directed staff to provide a bi-annual report to the Board of Public Utilities and City Council on expenditures; and (4) required City Council approval of task orders over $50,000.
Motion
Second
All Ayes
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ADDITION OF DEPUTY CITY ATTORNEY CLASSIFICATION FOR
MEASURE Z QUALITY OF LIFE PROGRAM - SUPPLEMENTAL
APPROPRIATION
The City Council (1) approved addition of a Deputy City Attorney II classification to the City Attorney’s Office for the Measure Z Quality of Life Program; (2) authorized budget amendments to appropriate Measure Z funding (Fund 110) for Fiscal Year 2016-17 in the amount of $56,250 and for
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CITY COUNCIL
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TUESDAY, FEBRUARY 21, 2017, 2 P.M.
ART PICK COUNCIL CHAMBER
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7 Fiscal Year 2017-18 in the amount of $225,000 to fund the Deputy City Attorney II position in an account to be determined by the Chief Financial Officer or his designee; and (3) amended the Fiscal Years 2016-2018 Two-Year Budget Personnel Detail to add a Deputy City Attorney II position in a division to be determined by the Chief Financial Officer or his designee.
Motion
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All Ayes
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COMMUNICATIONS
CITY ATTORNEY REPORT ON CLOSED SESSIONS
City Attorney Geuss announced there was nothing to report on the closed sessions held earlier in the day.
ITEMS FOR FUTURE CITY COUNCIL CONSIDERATION
There were no future items to report at this time.
The City Council adjourned at 8:16 p.m.
Respectfully submitted,
COLLEEN J. NICOL
City Clerk