RESOLUTION NO. 26-123
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CLEMENTE, CALIFORNIA, AUTHORIZING AN EXEMPTION TO THE FORMAL SOLICIATION PROCESS, AWARDING A CONTRACT THROUGH A COOPERATIVE PROCESS TO PROCURE AMERICA, LLC FOR UTILITY COST RECOVERY AND REDUCTION SERVICES, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT WHEREAS, the City of San Clemente utilizes electricity and natural gas accounts to support a variety of municipal operations and is committed to proactively managing utility costs through ongoing evaluation of utility rates, tariff structures, and energy procurement strategies; and WHEREAS, utility tariff schedules, rate classifications, eligibility criteria, and regulatory requirements change over time, creating opportunities for cost savings through professional review and optimization of utility accounts; and WHEREAS, Procure America, LLC specializes in utility cost recovery, utility tariff optimization, billing analysis, and rate negotiation services for public agencies; and WHEREAS, Procure America, LLC conducted a utility tariff rate optimization review of the City's utility accounts and identified approximately thirty-six (36) utility accounts with potential annual savings opportunities totaling approximately $116,700; and WHEREAS, a previous engagement with Procure America, LLC resulted in approximately $2.5 million in utility savings to the City through utility tariff modifications and optimization efforts; and WHEREAS, the proposed agreement provides for ongoing utility cost recovery and reduction services, including utility billing analysis, tariff optimization, cost recovery, rate review, and monitoring of utility accounts to identify and implement additional savings opportunities; and WHEREAS, compensation under the proposed agreement is performance-based and limited to thirty percent (30%) of verified realized savings resulting from City-approved recommendations implemented under the agreement, for a period not to exceed sixty (60) months; and WHEREAS, the City is utilizing County of Orange Contract No. RCA-017-19010018 solely as a cooperative purchasing vehicle for pricing, scope of services, and technical specifications; and WHEREAS, the pricing, scope of services, and technical specifications of County of Orange Contract No. RCA-017-19010018 were competitively procured through a Request for Proposals process conducted by the County of Orange; and WHEREAS, Section XI.A.1.4 of the City's Procurement Policy No. 201-2-1 authorizes an exemption from the formal solicitation process when goods or services may be obtained through a competitively awarded contract established by another public agency at equal or better pricing; and WHEREAS, utilizing County of Orange Contract No. RCA-017-19010018 is in the best interest of the City because it provides a cost-effective and efficient means of obtaining specialized utility cost recovery and reduction services without duplicating procurement efforts and the County has made a continue effort to leverage interagency procurement collaboration and has added such language to the contract.
NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:
SECTION 1. The City Council hereby finds that the recitals above are true and correct and are incorporated fully herein by reference.
SECTION 2. Pursuant to Section XI.A.1.4 of City Procurement Policy No. 201-2-1, the City Council authorizes an exemption from the formal solicitation process and approves the use of County of Orange Contract No. RCA-017-1910018 as the basis for a cooperative purchasing process.
SECTION 3. The City Council hereby awards a Professional Services Agreement to Procure America, LLC for utility cost recovery and reduction services. Compensation under said Agreement shall be limited to thirty percent (30%) of verified realized savings attributable to City-approved and implemented recommendations, for a period not to exceed sixty (60) consecutive months following implementation of such recommendations, and shall be subject to verification by the City.
SECTION 4. The City Council hereby authorizes and directs the City Manager to execute a Professional Services Agreement for utility cost recovery and reduction services in a form substantially similar to that presented to City Council on June 16, 2026.
SECTION 5. City staff are authorized and directed to take all other and further actions as are necessary and proper to carry out the intent of this Resolution and implement the Agreement.
SECTION 6. The City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.
PASSED AND ADOPTED this _____ day of June, 2026.
ATTEST:
___________________________ __________________________
City Clerk of the City of Rick Loeffler, Mayor of the City San Clemente, California of San Clemente, California
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §
CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 26-123 was adopted at a regular meeting of the City Council of the City of San Clemente held on the _______ day of June 2026, by the following vote:
AYES:
NOES:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Clemente, California, this _____ day of _________________, ________. __________________________
CITY CLERK of the City of
San Clemente, California
Approved as to form:
___________________________
Elizabeth A. Mitchell, City Attorney
Resolution No. 26-123 Page 2
Attachment 1