City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: DECEMBER 2, 2025 FROM: PUBLIC UTILITIES DEPARTMENT WARDS: ALL SUBJECT: SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY SEMI-ANNUAL EXPENDITURE REPORT FOR FISCAL YEAR 2024-25 ISSUE:
Receive an update on the Southern California Public Power Authority semi-annual expenditures for Fiscal Year 2024-25.
RECOMMENDATION:
That the City Council receives the Southern California Public Power Authority semi-annual expenditure report for Fiscal Year 2024-25.
BOARD OF PUBLIC UTILITIES RECOMMENDATION:
On November 17, 2025, the Board of Public Utilities voted unanimously to recommend that the City Council receives and files this Southern California Public Power Authority semi-annual expenditure report for Fiscal Year 2024-25.
BACKGROUND:
Riverside Public Utilities (RPU) is a member of the Southern California Public Power Authority (SCPPA), a joint powers authority, formed to capture the economies of scale by collectively working with 12 local publicly owned utilities.
RPU’s participation in SCPPA activities is voluntary and undertaken only when participating through SCPPA is expected to add value in the form of 1) cost savings as compared to Riverside acting individually; and/or 2) staff savings achieved by collaborating on common issues and avoiding the duplication of effort at each utility.
The majority of RPU’s expenditures associated with SCPPA relate directly to its participation in the generation, transmission, and renewable projects where there is joint interest by other utilities. These projects are approved by the RPU Board and Council when initiated. After approval, the City Manager or designee signs the Power Purchase Agreement and/or Power Sales Contracts associated with the projects. Ongoing costs associated with these projects are included in the Electric Fund’s bi-annual budget. RPU has the choice to participate in other joint member utility services such as energy efficiency programs, training, association dues, and legislative or regulatory advocacy where services are procured using economies-of-scale pricing from the collective buying power of SCPPA members, resulting in significant ratepayer savings. These other services are often memorialized through a Task Order with SCPPA.
On February 21, 2017, the City Council received an update on RPU’s participation and involvement in SCPPA and directed staff to provide a semi-annual report to the Board of Public Utilities (Board) and the City Council on expenditures. The City Council also directed staff to seek Board and City Council approval for services procured through SCPPA over $50,000. Services between $25,000 and $100,000 are approved by the City Manager and services up to $25,000 are approved by the Utilities General Manager.
DISCUSSION:
This SCPPA semi-annual expenditure report covers 12 months of expenditures for Fiscal Year 2024-25. The expenditures are summarized in the table below:
SCPPA Category
Jul – Dec
2024
Jan – Jun
2025
Fiscal Year
Total
Joint Power Supply & Transmission
Generation Projects
$1,948,124
$2,025,056
$3,973,180
Joint Power Supply & Transmission
Transmission Projects
4,469,444
4,219,494
8,688,938
Joint Power Supply & Transmission
Renewable Projects
4,893,597
8,630,435
13,524,032
Other Member Services
Training
14,213
17,486
31,699
Other Member Services
Legislation & Regulatory
-
-
-
Other Member Services
Energy Efficiency Programs
-
-
-
Total Actual Expenditures
$11,325,378
$14,892,471
$26,217,849
Existing joint generation, transmission, and renewable project agreements approved by the Board and City Council represent approximately 100% of SCPPA expenditures and less than 1% of other member services. All expenditures were included in the Electric Utility’s budget and approved by the Board and City Council as part of the budget process.
SCPPA Project Approvals
Generation, Renewable and Transmission Projects:
Pursuant to the SCPPA Agreement, the City Council approved Riverside’s joint participation in the following four original generation and transmission projects to provide electric power for Riverside’s energy needs. The transmission agreements allowed for the delivery of power from specific generation projects (in which Riverside had entitlements) located long distances from the City.
Palo Verde Nuclear Generation Station (1981) – Generation Southern Transmission System (1983) – Transmission
Mead-Adelanto Transmission Project (1992) – Transmission Mead-Phoenix Transmission Project (1992) – Transmission Beginning in 2012, to cost-effectively meet California’s renewable portfolio standard mandates, Riverside expanded its project participation in SCPPA from the original four generation and transmission projects, to include renewable, Power Sales Agreements and Buyers Joint Project Agreements, approved by the Board and City Council. These agreements also provide economies-of-scale pricing similar to the initial generation and transmission projects.
Columbia II Solar, approved by City Council on 9/24/2013 – Renewable Kingbird B, approved by City Council on 9/24/2013 – Renewable Summer Solar, approved by City Council on 1/8/2013 – Renewable Antelope Big Sky Ranch, approved by City Council on 1/8/2013 – Renewable Antelope DSR 1, approved by City Council on 7/28/2015 – Renewable Coso Geothermal, approved by City Council on 1/5/2021 – Renewable Roseburg Biomass, approved by City Council on 3/17/2020 – Renewable Training and Legislative/Regulatory Services:
SCPPA members have been able to secure economies-of-scale pricing on member services such as training and for legislative and regulatory services.
Training: SCPPA can provide training on relevant industry topics, host workshops facilitated by industry experts, and has hired consultants to provide important market updates, 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 workforce retirements, the need for training has become even more urgent and vital. RPU only pays for training attended by RPU staff members.
Legislative and Regulatory Services: The electric utility industry is transforming due to rapid changes in both technology and in legislation and regulation. To assist all member agencies, including RPU, SCPPA has secured both legislative and regulatory services from consultants that have expertise in the electric utility industry and with the regulations and issues facing SCPPA members. RPU pays a proportional share for these services. As the chart reflects, there are no specific task orders to provide legislative and regulatory services directly for Riverside.
Energy Efficiency Program Support:
Beginning in Fiscal Year 2019-20, RPU opted to procure all energy efficiency programs through the City of Riverside’s procurement process. This fiscal year, there are no charges against Energy Efficiency Program Support.
FISCAL IMPACT:
There is no fiscal impact associated with receipt of this report.
Prepared by: David A. Garcia, Utilities General Manager Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Rafael Guzman, Assistant City Manager Approved as to form: Rebecca McKee-Reimbold , Interim City Attorney Attachment: Presentation
SCPPA Semi-Annual Expenditures for Fiscal Year 2024-25 ● Page 3