TO:Andrew P. Powers, City Manager
FROM:Nader Heydari, Public Works Director
DATE:February 24, 2026
SUBJECT: Electrification and Energy Resiliency Projects at the Municipal Service Center
RECOMMENDATION:
1. Adopt resolution making certain findings required under Government Code Section 4217 et seq., that the proposed energy services agreement will result in lower costs than if the project were not built, and that the agreement is in the best interest of the City.
2. Award a Design and Build Contract for energy services and the design and construction of energy conservation facilities and energy resiliency facilities, under Government Code section 4217.10 et seq. procurement process, including solar power delivery from an existing solar photovoltaic system, battery energy storage, and generator backup systems, as well as electric vehicle supply equipment and the associated electrical infrastructure and load management systems, to RavenVolt, Inc., an ABM Company (RavenVolt/ABM) (Los Angeles, CA) in the amount of $14,169,921.66, plus a contingency of $708,496.08, for a total of $14,878,417.74, with a term ending January 31, 2028.
3. Approve First Amendment to Professional Services Agreement (Contract No. 13946-2025) with Optony, Inc. (Optony) (Santa Clara, CA), for additional consulting services related to fleet electrification and battery energy storage projects in the amount of $150,000, for a revised not-to-exceed amount of $345,000.
4. Approve budget appropriation for FY 2025-26 in the amount of $3,237,596 and for FY 2026-27 in the amount of $795,724, as outlined in the report.
5. Authorize expenditure in the amount of $15,278,423, as outlined in the report.
6. Authorize acceptance of a Fiscal Year 2023 Legislative Pre-Disaster Mitigation (LPDM) Grant in the amount of $1,853,625 from the Federal Emergency Management Agency (FEMA) as administered by California Governor’s Office of Emergency Services (Cal OES) for the Municipal Service Center (MSC) Microgrid and Backup Power Project (CI 5585).
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7. Delegate authority to the City Manager to approve Early Procurement Amendments, Early Construction Amendments, Guaranteed Maximum Price Amendments, and Change Orders up to the project-approved contingency amount.
8. Delegate authority to the City Engineer to approve Phase 1 Design Task Orders, as well as work directives, and change orders, as authorized, up to the project- approved contingency amount.
9. Find that this project is exempt from the California Environmental Quality Act (CEQA) pursuant 14 C.C.R. Section 15301.
LEVINE ACT ITEM: Yes
FINANCIAL IMPACT:
$4,033,320 Increase to Adopted FY 2025-27 Capital Improvement Program Budget. A $4,033,320 increase to the Adopted FY 2025-26 and FY 2026-27 Capital Improvement Program Budget is requested for the MSC Microgrid & Backup Power Project (CI 5585), MSC Fleet Electric Vehicle Charging Project (CI 5710), MSC Transit Battery Energy Storage Project (CI 5726), MSC Transit EV Charging Infrastructure Project (CI 5473), and MSC Fleet Emergency Generator and Battery Energy Storage Project (CI 5760) across the General Fund ($974,648), Lighting Fund ($61,758), Landscape Fund ($677,529), Water Fund ($189,458), Water Capital Program Fund ($145,858), Water Capital Facilities Replacement Fund ($472,984), Wastewater Fund ($189,458), Wastewater Capital Fund ($618,842), Solid Waste Fund ($102,785), and Transportation Fund ($600,000).
The FY 2025-27 Capital Improvement Program Budget for these projects totals $11,245,103, which includes $7,189,375 in FY 2025-26, and $475,000 in FY 2026- 27, in addition to $3,799,908 in Carryover budget.
BACKGROUND:
The California Air Resources Board’s (CARB) Innovative Clean Transit (ICT) regulation, adopted in December 2018, requires all public transit agencies to gradually transition to a 100 percent zero-emission bus (ZEB) fleet. Beginning in 2029, 100 percent of new purchases by transit agencies must be ZEBs, with a goal for full ZEB transition by 2040. The requirement applies to all transit agencies that own, operate, or lease buses with a gross vehicle weight rating (GVWR) greater than 14,000 pounds. The CARB Advanced Clean Fleets (ACF) rules also require 50 percent of vehicles over 8,500 pounds purchased by state and local Electrification and Energy Resiliency Projects at the MSC February 24, 2026
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government fleets between 2024 and 2027 (which may be extended to 2030 based on updated State Legislation) to be ZEB and 100 percent thereafter. City Council adopted the ZEB Rollout and Implementation Plan in July 2023, and the Climate and Environmental Action Plan (CEAP) on May 7, 2024. The CEAP included three transportation (TR) measures to support the municipal transition to electric vehicles (EV):
TR 2.7 sets goals for the City to transition the municipal fleet to EV and states that beginning in 2024, 50 percent of the City’s fleet vehicle purchases will be electric, with the ultimate goal of purchasing 100 percent EV by 2027.
TR 2.8 covers the transit fleet and states that all new bus purchases should be electric.
TR 2.9 directs the City to construct EV charging infrastructure to support the fleet and transit transition.
In addition, on June 19, 2018, City Council adopted the Sustainability Plan for Municipal Operations (Plan), which includes recommended strategies in managing the City’s resources. One key goal in the Energy section of the Plan is “Distributed Energy Resources: Increase clean, local and resilient energy supply,” which includes developing onsite solar generation at various City sites. This project will expand the use of an existing onsite solar system that was constructed in 2022, allowing solar energy to power MSC facilities and reduce reliance on the grid.
DISCUSSION/ANALYSIS:
The projects proposed here are expected to include the installation of the following key components as shown in Vicinity and Location Maps (Attachment #1):
Nine Level 2 ports and 20 Level 3 ports to serve Transit Fleet located on the south side of the MSC, under and adjacent to the existing solar canopies.
18 Level 2 ports and four Level 3 ports to serve MSC Fleet located adjacent to the western buildings at MSC and within the central Fleet parking area. Four additional Level 2 ports in the MSC visitors' parking lot and one in the maintenance building.
13 ports in the Household Hazardous Waste Facility parking lot for additional fleet and transit vehicle charging capability. Installation of EV charger load management systems.
Installation of Battery Energy Storage Systems (BESS) and generators for the MSC Building(s) power backup, Transit, and Fleet EV chargers.
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Budget and Grants
These five projects are being combined into one larger design and construction project due to the extensive underground electrical work and the need to coordinate the multitude of installations while minimizing impacts on the daily operations at the MSC. The estimated cost for the entire project is $15.3 million, budgeted across multiple funds.
The MSC EV Charger and Battery Storage Projects (CI 5710, CI 5726, CI 5473, and CI 5760) are proposed to be built with $4 million of existing Federal Transit Authority 5307 and TDA grant funds. On January 27, 2026, City Council approved acceptance of $600,000 in Senate Bill 125 (SB 125) Zero-Emission Transit Capital Program (ZETCP) grant funds, that was appropriated for transit EV charging infrastructure under capital project CI 5473 in FY 2026-27. In addition, in December 2024, FEMA approved the City’s subaward application for the Fiscal Year 2023 LPDM Grant, as administered by Cal OES in the amount of $1,853,625 for the MSC Microgrid and Backup Power Project (CI 5585). The budget appropriation and expenditure requests listed as Recommendation Nos. 4 and 5 in this report are detailed in Attachment #2.
Design and Build Agreement
This energy services project will take advantage of the procurement method authorized under Government Code 4217.10 et seq. specifically for energy conservation projects, which allows the City to select the entity with the best overall value for the project, and not be constrained solely by the lowest bidder, allowing one entity to do both the design and construction of the project. This process was utilized successfully for the CI 5265 solar carport project at the MSC.
The new microgrid and battery energy storage systems will be powered, in part, by the existing solar photovoltaic systems at the MSC. The existing solar system contributes to building power; however, without an energy storage system, solar power may be limited or unavailable at certain times (e.g., evenings, inclement weather, etc.). The installation of battery storage can conserve on-site generated solar energy or lower-priced grid energy for use, when the facility would otherwise need to purchase higher-priced electric grid energy. In addition, the installation of EV charging equipment will allow solar and battery-stored energy to be utilized to fuel EVs, greatly offsetting the cost of currently used petroleum-based fuels (EV procurement is not within the scope of this project). Furthermore, staff have determined that the anticipated cost to the public agency for electrical energy or conservation services provided by the energy conservation facility under the contract will be less than the anticipated marginal cost to the public agency of electrical energy that would have been consumed by the public agency in the absence of this project, and therefore award of this energy conservation contract is in the best interest of the City as memorialized in the proposed resolution (Attachment #3).
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Since the previous CI 5265 project, the City has developed a more robust contract mechanism for Energy Conservation projects to implement the design-build alternative project delivery method. The updated Design and Build Contract form(Attachment #4) sequences the project into a Phase 1 Design Scope of Services, followed by Phase 2 Construction, which may begin after the Phase 1 Design is complete. The Design and Build Contract includes the Phase 1 Scope of Services as Exhibit A, where Exhibit B of the Contract includes the design services fees. The Phase 2 scope of work and cost is detailed in the Guaranteed Maximum Price (GMP) Amendment, included as Attachment #5. The GMP Amendment describes the construction cost of the project, which, in this case, is proposed as a lump sum, as negotiated and recommended by staff.
Design-Builder Selection
A Request for Proposals/Qualifications (RFP/Q) for CI 5710, CI 5726, CI 5473, and CI 5760 was released on July 18, 2025, with a due date of September 18, 2025.
Eight proposals were received as follows:
Proposer
1. bkm Office Environments, Inc.
2. Drew Investment Group
3. Macano Tech
4. Motive Energy Storage Systems, Inc.
5. OPTERRA Energy Services, LLC
6. PAR Western Line Contractors, LLC
7. RavenVolt, Inc. (an ABM Company)
8. SitelogIQ, Inc.
Staff evaluated each proposal for numerous factors, as described below. Three companies were invited to present additional information to the City’s evaluation team. As a result of this review process, RavenVolt/ABM was selected for the CI 5710, CI 5726, CI 5473, and CI 5760 solicitation award based on the following considerations:
1. Qualifications and Experience Criteria
2. Technical Criteria and Understanding and Approach
3. System Integration
4. Customization and Scalability
5. Project Management Skills
6. Availability of Personnel and Location of Company Offices
7. Risk Management
8. Client References and Portfolio
9. Innovative Solutions
10. Communication and Collaboration
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11. Acceptable Safety Record Criteria
12. Capital Cost
13. Project Schedule
A separate RFP/Q for CI 5585 was released on July 18, 2025, with a due date of September 18, 2025; and subsequently re-released with updated requirements on October 3, 2025, with a due date of November 17, 2025. Two proposals were received as follows:
Proposer
1. Gridscape Solutions, Inc. – Fremont, CA
2. RavenVolt, Inc. (an ABM Company) – Los Angeles, CA
After review by the panel assigned to this project, RavenVolt/ABM was also selected for the CI 5585 solicitation based on the following considerations:
1. Project understanding and approach.
2. Quality, clarity, responsiveness, conformance with the terms of the RFP/Q.
3. Qualifications and availability of key persons to be assigned to the contract.
4. Subcontractor qualifications.
5. Past experiences with the City.
6. Relevant experience (past similar scope and size projects).
7. Creativity and innovation.
8. Reasonableness of completion schedule and hours dedicated to each task.
9. Reasonableness of cost and compensation submittal.
10. Experience coordinating projects with Southern California Edison.
11. Client References.
After RavenVolt/ABM was separately selected as the preferred company for both solicitations, staff negotiated consolidation of the scopes of work of the multiple solicitations into one design and build contract for all five projects. Therefore, staff recommend the award of the Energy Services Agreement to RavenVolt/ABM.
The estimated costs and funding sources are listed below:
PROJECT COSTS:
Project/Facility Estimated Cost
MSC Microgrid & Backup Power Project (CI 5585) $ 3,542,480.42 MSC Fleet Electric Vehicle Charging Project (CI 5710) $ 2,125,488.25 MSC Transit Battery Energy Storage Project (CI 5726) $ 5,050,250.34 MSC Transit EV Charging Infrastructure Project (CI 5473) $ 2,164,028.93 Electrification and Energy Resiliency Projects at the MSC February 24, 2026
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Project/Facility Estimated Cost
MSC Fleet Emergency Generator & Battery Energy
Storage Project (CI 5760) $ 1,287,673.72
Total Design and Build Contract Value $14,169,921.66
Contract Contingency $ 708,496.08
Design and Project Management Support Services $ 400,000.00 Grand Total $15,278,417.74
FUNDING SOURCES:
Fund No. and Name Estimated Cost
001 - GENERAL FUND: $1,735,612.50
141 - CITY LIGHTING: $76,392.08
142 - AD 79-2 LANDSCAPE: $687,528.80
183 - GRANTS: $1,853,625.00
611 - WATER - GENERAL: $314,457.69
612 - WATER - CAPITAL PROGRAMS: $445,857.38
613 - WATER-CAPTL FACIL REPLACE: $584,883.97
621 - WASTEWATER - GENERAL: $314,457.69
624 - WASTEWATER - CAPITAL. PROGRAM: $1,030,741.35
631 - SOLID WASTE - GENERAL: $152,784.18
651 - TRANSPORTATION - GENERAL: $8,082,077.10
Grand Total $15,278,417.74
The RFP/Qs and Addenda are available for review by e-mail at [email protected] or by phone at (805) 449-2400.
Schedule
The tentative schedule for completion of the project is as follows:
Preliminary Engineering Spring 2026
Procurement of Long-Lead Equipment Spring 2026
Design and Engineering Summer 2026
Construction Start Fall 2026/Winter 2027
Completion Late 2027
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Consultant Support
Due to the complexity of the projects, substantial technical expertise is required to provide analysis, coordination, and project assistance throughout the design and construction processes. Optony has already provided expert review and guidance in refining the RFP/Q, reviewing proposals, and negotiating contract details and scope. Retaining Optony to assist in providing technical support during the construction and startup phase will ensure that the City has continual access to outside expertise on a complex project. Staff therefore recommend that City Council approve an amendment (Attachment #6) to Optony’s contract in the amount of $150,000, for a revised not-to-exceed amount of $345,000, to continue to provide services on the Electrification and Energy Resiliency Projects at the MSC.
CEQA
The City has reviewed this Project and determined that it is exempt from CEQA under a Class I categorical exemption (14 C.C.R. Section 15301) as the project consists of the installation of energy conservation facilities and energy resiliency facilities, including solar power delivery, battery energy storage, and generator backup systems, as well as electric vehicle supply equipment and the associated electrical infrastructure and load management systems within an existing campus of buildings and at an existing parking lot, where such similar facilities already exist, and existing vehicles are already parked and fueled. Further, the project involves the minor alteration of existing facilities with improvements that would lead to negligible or no expansion of use beyond the use existing at this time.
This project meets City Council’s Top Ten Priorities #8 and #9, “Environmental Sustainability” and “Public Works and Infrastructure Investments.” CIP PROJECT PRIORITY (as outlined in FY 2025-26 and FY 2026-27 CIP Program Budget)
Priorities One, Two, and Three – Ranging from Addresses Health and Safety, legal and regulatory requirements, or a top City Council Priority to necessary, but not essential, and there could be consequences if deferred, to nice to do and would contribute to quality of life, but not essential.
LEVINE ACT (California Government Code § 84308):
This item is subject to the Levine Act. City Councilmembers who have received a campaign contribution of more than $500 (aggregated) within the preceding 12 months from a party or their agent/representative, or a financially-interested participant involved in this proceeding may do either of the following: (1) disclose the contribution on the record and recuse themselves from this proceeding; or if applicable (2) return the portion of the contribution that exceeds $500 within 30 Electrification and Energy Resiliency Projects at the MSC February 24, 2026
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days from the time the official knew or should have known about the contribution, and participate in the proceeding.
All parties and their agents/representatives must disclose on the record of this proceeding any aggregated contribution of more than $500 made to any Councilmember within the preceding 12 months. Councilmembers are prohibited from accepting, soliciting, or directing a campaign contribution of more than $500 (aggregated) from a party, their agent/representative, or a financially-interested participant during a proceeding and for 12 months following the date a final decision is made. In addition, a party, their agent/representative, or a financially- interested participant is prohibited from contributing more than $500 (aggregated) to a Councilmember during a proceeding and for 12 months following the date a final decision is made. The Levine Act disclosure form for RavenVolt/ABM has been completed and is included as Exhibit C in Attachment #4. The Levine Act disclosure form for Optony has been completed and is included as Exhibit C in Attachment #6.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Ted Gerber, Deputy Public Works Director/City Engineer Attachments:
Attachment #1 – Vicinity and Location Maps
Attachment #2 – Budget Appropriation & Expenditure Requests Summary Attachment #3 – Resolution
Attachment #4 – Design and Build Contract with RavenVolt/ABM Attachment #5 – Guaranteed Maximum Price Amendment
Attachment #6 – First Amendment with Optony
DPW: 850\ev\Council\2026\022426\Electrification and Energy Resiliency Projects at the MSC staff report.docx