City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: JUNE 23, 2026 FROM: PUBLIC UTILITES DEPARTMENT WARDS: ALL
SUBJECT: APPROVE THE EXPENDITURE WITH UNDERGROUND SERVICE ALERT OF SOUTHERN CALIFORNIA, FROM JULY 1, 2026, TO JUNE 30, 2031, IN THE AMOUNT OF $345,000 ISSUE:
Approve the expenditure with Underground Service Alert of Southern California, from July 1, 2026, to June 30, 2031, in the amount of $345,000.
RECOMMENDATION:
That the City Council approve the expenditure with Underground Service Alert of Southern California, from July 1, 2026, to June 30, 2031, in the amount of $345,000.
BOARD RECOMMENDATION:
On June 8, 2026, the Board of Public Utilities, with all members present, voted unanimously to recommend that the City Council approve the expenditure with Underground Service Alert of Southern California, from July 1, 2026, to June 30, 2031, in the amount of $345,000.
LEGISLATIVE HISTORY:
California Government Code Sections 4216 – 4216.24 requires excavators to contact DigAlert (Underground Service Alert) prior to breaking ground, so the utility can mark their lines prior to the excavation. Underground Service Alert is a non-profit, funded solely by utility members.
BACKGROUND:
Since 1976, the State of California has utilized the DigAlert program to protect underground installations as well as public health and safety. California Government Code Sections 4216 – 4216.24 outlines the specific requirements for DigAlert. The code section requirements apply to both operators of underground installations as well as individuals or contractors who are digging or excavating with power equipment or when a permit is required. Underground installations include, among other things, cables, water and electric infrastructure and as such, Riverside Public Utilities (RPU) is required to comply with the Code’s requirements as an operator.
The DigAlert program provides anyone who needs to dig or excavate, as specified, with a single call number to request that underground installations at their dig site be located and marked at no cost. Anyone performing digging or excavating is required to contact DigAlert and have underground installations identified at their site. DigAlert is administered by a non-profit mutual benefit corporation funded completely by utility members. In Southern California, DigAlert is administered by a sole program provider – Underground Service Alert.
As an operator of underground installations, RPU is required to support the costs associated with DigAlert. Specifically, RPU is required to be a member of, participate in, and share the costs of a regional notification center that supports the DigAlert program. Total annual costs for DigAlert vary annually because they are based on the number of calls for service. RPU provides payment for this service monthly.
Additionally, the California Underground Facilities Safe Excavation Board or Dig Safe Board, as part of Underground Service Alert, was created by the Dig Safe Act of 2016, following two deadly explosions in California’s Central Valley. The Dig Safe Board is responsible for coordinating the state’s education, developing safety standards, investigating dig-in accidents, enforcing violations of the Dig Safe Law, and making enforcement recommendations to the Contractors State License Board, the Public Utilities Commission, and the Office of the State Fire Marshall.
A new state regulator fee was established to fund the Dig Safe Board’s daily operations. Government Code 4216.16 (b) authorizes the Board to levy this fee on California’s DigAlert members. This fee is also variable and based on the number of calls DigAlert receives each year for the City of Riverside.
DISCUSSION:
Historical fees for Underground Service Alert are as follows:
Combined Total DigAlert Program Costs 2020 through 2024 for RPU YEAR
DIGALERT PROGRAM FEES
DIG SAFE BOARD FEES
TOTAL ANNUAL
2024
$36,626.05
$14,710.29
$51,336.34
2023
$35,128.75
$13,219.82
$45,348.57
2022
$42,223.19
$11,615.89
$53,839.08
2021
$42,452.60
$16,549.81
$59,002.41
2020
$37,801.45
$16,766.35
$54,567.80
Purchasing Overview
This action is pursuant to Purchasing Resolution 24101, Section 702 which states, “Exceptions. Competitive Procurement through the Informal Procurement and Formal Procurement process shall not be required in any of the following circumstances…(g) Where payment for Services is to be made to a Federal, State, and/or other public entity.” The Purchasing Manager concurs that the recommended action is compliant with Purchasing Resolution No. 24101.
FISCAL IMPACT:
The total fiscal impact is $345,000 spread evenly over the next five years. Sufficient funds are budgeted and available in the FY 2026-2028 Biennial Budget that will be presented to Council for adoption in June 2026 in the Public Utilities Electric Fund, Electric Field Account No. 6105000-421000 and Public Utilities Water Fund, Water Field Account No. 6205000-421000. Funding for the remaining three years will be included in future budget requests.
Prepared by: Daniel Honeyfield, Utilities Assistant General Manager Approved by: David A. Garica, Utilities General Manager Certified as to
availability of funds: Julie Nemes, Interim Finance Director Approved by: Gilbert Hernandez, Interim Assistant City Manager Approved as to form: Rebecca McKee-Reimbold, Interim City Attorney Attachment: Presentation
Underground Service Alert Five Year Sole Source ● Page 2