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City Council Agenda Report
Meeting Date: October 21, 2025
From: Todd Dusenberry, General Manager of Public Utilities Department: Public Utilities
Submitted by: Adriana Ramos, Senior Management Analyst
Subject
Interconnection Facilities Agreement with Southern California Edison Company Recommendation
A. Find that the proposed action is categorically exempt from California Environmental Quality Act (CEQA) review, in accordance with CEQA Guidelines Section 15301, because the project consists of the maintenance, repair or minor alteration of existing power poles and electric facilities and involves negligible or no expansion of an existing use; B. Approve and authorize the City Administrator to execute an Interconnection Facilities Agreement with Southern California Edison Company (SCE), in substantially the same form as submitted, for SCE to perform construction-related work to Interconnection Facilities, Distribution Upgrades, and Network Upgrades, in an amount not-to-exceed $15,807,553; and C. Authorize a contingency amount of ten percent (10%) or $1,580,755 for unforeseen changes in costs or other expenses not included in the proposal, and grant authority to the City Administrator to issue change orders for an amount up to the contingency amount, if necessary.
Background
The City is proposing to provide new electric service to several large commercial projects currently under development, which requires that up to 150 megawatts of new electric load be constructed at different locations in Vernon. The potential new electric loads will demand service from the City’s 66kV sub-transmission system that is interconnected with the Southern California Edison Company (SCE) Laguna Bell Substation (the Project).
In accordance with the Laguna Bell – Vernon Interconnection Service Agreement (IA), adopted on September 16, 1997, via Resolution No. 7017, Vernon Public Utilities (VPU) submitted a request to SCE for Interconnection Service and Transmission Service. Although the service request was made under the existing IA, SCE concluded that a System Impact Study and a Facilities Study were required to determine the adequacy of SCE’s electrical system including, but not limited to, the portion of SCE’s electrical system that is part of the California Independent System Operator (CAISO) Grid. Accordingly, on September 20, 2022, the City entered into the Laguna Bell-Vernon Interconnection Service Agreement Combined System Impact and Facilities Study Agreement with SCE. SCE has completed the study, and the Interconnection Facilities Study Report (Report) was published on September 7, 2023. The Report detailed the upgrades necessary for the SCE system to accommodate the new electric load and includes enhancements to facilities at the Laguna Bell Substation and two (2) sub-transmission source lines from SCE’s Laguna Bell Substation to the City boundaries.
On April 16, 2024, the City Council approved a Letter Agreement with SCE (Letter Agreement) to support the goal of increasing the City’s electric load capacity for potential new development projects. Following City Council approval, SCE and the City executed a Letter Agreement with revised start dates for project commencement and an updated payment schedule. On May 21, 2024, City Council ratified the executed Letter Agreement. The Letter Agreement involves necessary engineering and procurement work for Interconnection Facilities, Distribution Upgrades, and Network Upgrades, scheduled to be completed in two phases. .
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Phase 1 of the project includes engineering and material procurement by SCE, as outlined in the Letter Agreement. The estimated cost to complete Phase 1 is $14,024,895, of which the City has paid $11,682,326 to date through sixteen (16) monthly payments.
VPU staff recommends proceeding to Phase 2 of the Project and entering into an Interconnection Facilities Agreement with SCE to complete the construction portion of the Project in the amount of $15,807,553, which will be paid in twenty-one (21) monthly installments. Additionally, staff recommends a contingency amount of ten percent (10%) or $1,580,755 for unforeseen changes in costs or other expenses not included in the proposal. The Letter Agreement will be terminated upon the execution of the Interconnection Facilities Agreement.
Estimated Cost for Phases 1 and 2: $27,489,879
Payments issued for Phase 1: ($11,682,326)
Outstanding amount for Phase 2:
$15,807,553 (includes the remaining balance from Phase
1 ($2,342,569) and the estimated construction costs for Phase 2 ($13,464,984)
VPU staff has included the Project funding for the remaining balance of $15,807,553 as part of the Fiscal Year 2025-26 budget and will budget accordingly in subsequent years. The outstanding amount will be paid to SCE through twenty-one (21) monthly payments. Pursuant to Vernon Municipal Code (VMC) Sections 3.32.110 (A)(2) and 3.32.110 (B)(1), the proposed work is exempt from competitive bidding and competitive selection, as SCE is the City’s transmission service provider, and the construction work related to Interconnection Facilities, Distribution Upgrades, and Network Upgrades can only be performed by SCE. Pursuant to VMC Section
3.32.030(A), City Council approval is required for the proposed agreement as the total value of the contract exceeds $100,000.
The SCE Interconnection Facilities Agreement has been reviewed and approved as to form by the City Attorney’s Office.
Fiscal Impact
The fiscal impact is not-to-exceed $17,388,308. Sufficient funds are available in the Electric Fund, Engineering, Capital Outlay, Account No. 055-050-585-660000 for the current fiscal year and will be budgeted in subsequent years.
Attachments
1. SCE - Interconnection Facilities Agreement
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Title Page
Southern California Edison Company FERC FPA Electric Tariff Tariff Title: Wholesale Distribution Access Tariff
Tariff Record Title:
DATA CENTERS TWO PROJECT
WHOLESALE DISTRIBUTION LOAD
INTERCONNECTION FACILITIES AGREEMENT
BETWEEN
CITY OF VERNON
AND
SOUTHERN CALIFORNIA EDISON COMPANY
Contract Effective Date: 10/21/2025 Tariff Record Proposed Effective Date: xx/xx/xxxx xxx.xxx.x Version Number: 0.0.0
WDT1810 Option Code: A
.
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Page No. 1
DATA CENTERS TWO INTERCONNECTION PROJECT
WHOLESALE DISTRIBUTION LOAD
INTERCONNECTION FACILITIES AGREEMENT BETWEEN
CITY OF VERNON
AND
SOUTHERN CALIFORNIA EDISON COMPANY
TABLE OF CONTENTS
1. Parties: ....................................................................................................................................2
2. Recitals:...................................................................................................................................2
3. Agreement:..............................................................................................................................3
4. Definitions:..............................................................................................................................4
5. Effective Date And Term: .....................................................................................................6
6. Agreement Pursuant To The WDAT:..................................................................................6
7. Creditworthiness:...................................................................................................................7
8. Interconnection Facilities:.....................................................................................................8
9. Capital Additions:..................................................................................................................9
10. Removal Of Interconnection Facilities: .................................................................................9
11. Other Taxes: ...........................................................................................................................10
12. Charges: ..................................................................................................................................10
13. Billing And Payment:.............................................................................................................10
14. Addresses For Billing And Payment:...................................................................................13
15. Disputes:..................................................................................................................................13
16. Audits:.....................................................................................................................................14
17. Operating Representatives:...................................................................................................14
18. Regulatory Authority: ...........................................................................................................14
19. No Dedication Of Facilities: ..................................................................................................15
20. No Third Party Rights:..........................................................................................................15
21. Relationship Of Parties: ........................................................................................................15
22. Waivers: ..................................................................................................................................15
23. Governing Law:......................................................................................................................15
24. Notices:....................................................................................................................................15
25. Severability:............................................................................................................................15
26. Entire Agreement:..................................................................................................................16
27. Ambiguities:............................................................................................................................16
28. Signature Clause:...................................................................................................................17 ........................................................................................................................................................23 .
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DATA CENTERS TWO PROJECT
WHOLESALE DISTRIBUTION LOAD
INTERCONNECTION FACILITIES AGREEMENT BETWEEN
CITY OF VERNON
AND
SOUTHERN CALIFORNIA EDISON COMPANY
1. Parties:
The Parties to this Interconnection Facilities Agreement are the City of Vernon, (“Vernon or “Interconnection Customer”), a municipality in the State of California, and Southern California Edison Company (“SCE”), a California corporation, hereinafter sometimes referred to individually as “Party” and collectively as “Parties.”
2. Recitals:
This Agreement is made with reference to the following facts, among others:
2.1. SCE is a California public utility engaged in the business of generating and transmitting electric energy in the States of Arizona, California, Nevada, and New Mexico. SCE is further engaged in the business of distributing such energy in the State of California.
2.2. Interconnection Customer is a municipality in the state of California.
2.3. Interconnection Customer and SCE are parties to the existing Laguna Bell-Vernon Interconnection Service Agreement, entered into on September 16, 1997, tracked as SCE’s Service Agreement Number 472, and filed at FERC under Docket Number ER06-1009-000 (“Existing IA”).
2.4. On February 2, 2022, Interconnection Customer submitted a request to SCE for Interconnection Service and Transmission Service, pursuant to the Existing IA, requesting to interconnect two new 50 MW loads (“Data Centers Load Project”) to SCE’s existing Laguna Bell 66 kV Substation. The load request describes the projected amount of load growth, the general location of the load, and the estimated in-service date for each load (“Data Centers Load Project Request”).
2.5. Upon review of the Interconnection Customer’s completed Data Centers Load Project Request, SCE concluded that a System Impact Study and a Facilities Study were required to determine the adequacy of SCE’s electrical system, including, but not limited to, that portion of SCE’s electrical system that is part of the ISO Grid, required to provide Distribution Service to the Data Centers Load Project. The results of such studies are published in a report titled “City of Vernon 100 MW System Impact Study and Facilities Study” published August 30, 2022 (“Study Report 1”).
2.6. On May 12, 2022, Vernon submitted a separate load Interconnection Request to SCE, in which it requested to interconnect three additional 50 MW loads to SCE’s existing Laguna Bell 66 kV Substation (“Data Centers Two Load Project”). The load request describes the projected amount of load growth, the general location of the load, and the estimated in-service date for each load (“Data Centers Two Load Project Request”) .
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2.7. Interconnection Customer and SCE entered into the Data Centers Load Project Letter Agreement, Service Agreement No. 472, on January 12, 2023 and filed at FERC on March 7, 2023 under FERC Docket Number ER23-1257-000 (“Letter Agreement 1”).
Letter Agreement 1 provides for the engineering and procurement of the Distribution System Upgrades and the Interconnection Facility Upgrades required to interconnect and provide Distribution Service to the two 50 MW loads described in Study Report 1 for the Data Centers Load Project.
2.8. SCE performed a Method of Service Study for the Data Centers Two Load Project based upon the Data Centers Two Load Project Request and provided Interconnection Customer with a Method of Service Study Sub transmission Assessment dated March 6, 2023, which describes the impacts to SCE’s electrical system from the Interconnection Customer’s Data Centers Two Load Project (“Method of Service Study Report”). As a result of the findings identified in the Method of Service Study Report, SCE performed an Interconnection Facilities Study and provided Interconnection Customer with a report dated September 7, 2023, which estimates the scope, cost and installation schedule of the required mitigations needed to accommodate the load requirements of the Data Centers Two Load Project (“Interconnection Facilities Study Report 2”). The Method of Service Study Report and the Interconnection Facilities Study Report 2 were provided to Interconnection Customer on September 7, 2023.
2.9. Interconnection Customer and SCE entered into the Data Centers Two Letter Agreement, Service Agreement No. 1339, on May 15, 2024 and filed at FERC on May 31, 2024 under FERC Docket Number ER24-2155-000. The Data Centers Two Letter Agreement provides for the engineering and procurement of the Distribution System Upgrades and the Interconnection Facilities Upgrades required to interconnect and provide Distribution Service to, the three 50 MW loads described in The Method of Service Study Report and the Interconnection Facilities Study Report 2.
2.10. The Parties desire to enter into this Agreement to specify the terms for SCE to provide interconnection of the Data Centers Two Load Project; for SCE to engineer, design, construct, install, own, operate and maintain the Distribution Upgrades and Interconnection Facilities; and for Interconnection Customer to pay for such facilities. as such is contemplated in the Data Centers Two Letter Agreement. For clarity, this Agreement does not specify the terms for SCE to provide these services for the Data Centers Load Project; those services are being provided pursuant to the Existing IA and Letter Agreement 1.
2.11. SCE and Vernon plan to execute a WDAT Service Agreement in connection with this Agreement to implement wholesale Distribution Service under SCE's WDAT.
2.12. Vernon desires to maintain its legacy load service, including the two 50 MW loads contemplated in Letter Agreement 1, through the Existing IA; through this Agreement, Interconnection Customer desires to receive 150 MW of new Wholesale Distribution Service, as contemplated in The Data Centers Two Letter Agreement.
3. Agreement:
In consideration of the promises and the mutual covenants and agreements contained herein, .
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the Parties agree as follows:
4. Definitions:
All terms with initial capitalization not otherwise defined herein shall have the meanings assigned to them in SCE’s WDAT as that Tariff may be amended from time to time. The following terms, when used herein with initial capitalization, whether in the singular or the plural, shall have the meanings specified:
4.1. Accounting Practice: Generally accepted accounting principles and practices applicable to electric utility operations.
4.2. Agreement: This Data Centers Two Project Wholesale Distribution Load Interconnection Facilities Agreement between the City of Vernon and Southern California Edison Company.
4.3. Capital Additions: Any Units of Property which are added to the Interconnection Facilities; the enlargement, modification or betterment of any Units of Property constituting a part of the Interconnection Facilities; or the replacement of any Units of Property constituting a part of the Interconnection Facilities, irrespective of whether such replacement constitutes an enlargement, modification or betterment of that which it replaces; the costs of which additions, enlargements, modifications, betterments or replacements in accordance with Accounting Practice would be capitalized and have not previously been included in the Interconnection Facilities Cost.
4.4. Capital Additions Cost: All costs, excluding ITCC and One-Time Cost, determined by SCE to be associated with the design, engineering, procurement, construction and installation of Capital Additions.
4.5. Capital Additions Payment: The sum of the Capital Additions Cost, associated ITCC and associated One-Time Cost.
4.6. CPUC: The California Public Utilities Commission, or its regulatory successor.
4.7. Credit Provider: Provider of any Credit Support.
4.8. Credit Support: Letter of credit, surety bond, or other security meeting the requirements of Section 7.2.
4.9. Customer-Financed Monthly Rate for Non-ISO-Controlled Facilities: The rate most recently adopted by the CPUC for application to SCE’s retail electric customers for customer-financed added facilities, which does not compensate SCE for replacement of added facilities. The Customer-Financed Monthly Rate for Non-ISO-Controlled Facilities is as provided in Attachment J of the WDAT.
4.10. Data Centers Load Project: All equipment and facilities comprising the 100 MW project, as described by Interconnection Customer in its February 2, 2022 Data Centers Load Project Interconnection Request.
4.11. Data Centers Two Load Project: All equipment and facilities comprising the 150 MW project, as described by Interconnection Customer in its May 12, 2022 Data Centers Two Load Project interconnection request.
4.12. Data Centers Two Load Project In-Service Date: The date upon which the construction of the Data Centers Two Load Project is complete and such facilities are successfully tested and ready for service.
4.13. Data Centers Two Load Project Loads: The two 50 MW loads to be interconnected to SCE’s Laguna Bell 66 kV Substation bus AB Section and one 50 MW load connected .
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to SCE’s Laguna Bell 66 kV Substation bus DE Section.
4.14. FERC: Federal Energy Regulatory Commission, or its regulatory successor.
4.15. Interconnection Facilities: Facilities, as specified in Exhibit A, owned by SCE to interconnect the Interconnection Customer’s distribution system serving the Interconnection Customer’s Data Centers Two Load Project interconnected at SCE’s Laguna Bell 66 kV Bus to the Distribution System, as such facilities may be modified during the term of this Agreement.
4.16. Interconnection Facilities Charge: The monthly charge to Interconnection Customer to recover the revenue requirements for the Interconnection Facilities, calculated as the product of the Customer-Financed Monthly Rate for Non-ISO-Controlled Facilities and the Interconnection Facilities Cost. The Interconnection Facilities Charge is provided in Exhibit B.
4.17. Interconnection Facilities Cost: All costs, excluding ITCC and One-Time Cost, determined by SCE to be associated with the design, engineering, procurement, construction and installation of the Interconnection Facilities. The Interconnection Facilities Cost is provided in Exhibit B.
4.18. Interconnection Facilities In-Service Date: The date upon which the construction of the Interconnection Facilities is complete and such facilities are successfully tested and ready for service.
4.19. Interconnection Facilities Payment: The sum of the Interconnection Facilities Cost, associated with those Interconnection Facilities constructed by SCE, and ITCC and One-Time Cost associated with the Interconnection Facilities. The Interconnection Facilities Payment is provided in Exhibit B.
4.20. ISO: The California Independent System Operator Corporation as defined in the Wholesale Distribution Access Tariff.
4.21. ITCC: The Income Tax Component of Contribution specified in the Preliminary Statement, Part M of SCE’s tariff on file with the CPUC, applicable to the Interconnection Facilities Cost and the Capital Additions Cost. The ITCC applicable to the Interconnection Facilities Cost is provided in Exhibit B.
4.22. Laguna Bell Substation: SCE’s Substation containing, among other things, a 66 kV bus with line positions devoted to serving the Vernon wholesale loads, and is located at 6301 S. Garfield Avenue, in Commerce, California
4.23. Letter Agreement 1: The agreement accepted and agreed to by Vernon and SCE on December 20, 2022, and filed with FERC in Docket No. ER23-1257-000, that provides for the commencement of engineering and procurement of the Data Centers Project Distribution Provider’s Interconnection Facilities.
4.24. Letter Agreement 2: The agreement accepted and agreed to by Vernon and SCE on May 15, 2024, and filed with FERC in Docket No. ER24-2155-000, that provides for the commencement of engineering and procurement of the Data Centers Two Load Project Distribution Provider’s Interconnection Facilities.
4.25. One-Time Cost: All costs determined by SCE to be associated with the installation of Interconnection Facilities or Capital Additions which are not capitalized. The Interconnection Facilities One-Time Cost is provided in Exhibit B.
4.26. Removal Cost: The actual cost SCE incurs for the removal of the Interconnection Facilities, which is calculated as the amount, if positive, of the costs of removal minus the salvage value of the Interconnection Facilities.
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4.27. Service Agreement: The Service Agreement for Wholesale Distribution Service, which is provided pursuant to, and subject to the terms of, the Wholesale Distribution Access Tariff. The Parties intend to execute a Service Agreement for the Data Centers Two Load Project.
4.28. Units of Property: As described in FERC's “List of Units of Property for Use in Connection with Uniform System of Accounts Prescribed for Public Utilities and Licensees” in effect as of the date of this Agreement, and as such list may be amended from time to time.
4.29. WDAT: SCE's Wholesale Distribution Access Tariff, with an effective date of June 15, 2021 under FERC Docket No. ER21-455-002.
5. Effective Date And Term:
5.1. This Agreement shall become effective upon the effective date ordered by FERC (“Effective Date”).
5.2. This Agreement shall terminate on the earliest of (i) the termination date of the Service Agreement, (ii) the date specified by Interconnection Customer upon one hundred eighty (180) calendar days advance written notice to SCE if the notice of termination is received by SCE on or after the Interconnection Facilities In-Service Date (iii) the date specified by Interconnection Customer upon thirty (30) calendar days advance written notice to SCE if the notice of termination is received by SCE before the Interconnection Facilities In-Service Date (iv) the date specified by SCE pursuant to Sections 8.8 or 13.4.
5.3. Any obligations of one Party to the other, including payment obligations, as a result of this Agreement, which accrued prior to or as a result of termination of this Agreement, shall survive termination.
5.4. If Interconnection Customer has given notice of termination and a filing with FERC is required to terminate this Agreement, Interconnection Customer shall support such filing before the FERC if requested by SCE.
5.5. Upon termination of this Agreement, Interconnection Customer shall pay SCE any remaining balance owed for SCE’s costs incurred or irrevocably committed to be incurred pursuant to this Agreement as of the effective date of termination within sixty (60) calendar days following receipt of a billing from SCE requiring such payment.
Such billing shall reflect all payments received by SCE, which shall be credited against the amount of SCE's costs and expenses incurred or irrevocably committed to be incurred in accordance with this Agreement.
6. Agreement Pursuant To The WDAT:
This Agreement provides terms regarding Interconnection Facilities, Delivery Upgrades, Distribution System Facilities and Reliability Upgrades associated with wholesale Distribution Service pursuant to the WDAT. Accordingly, the rights and obligations of the Parties pursuant to this Agreement are subject to applicable provisions of the WDAT, including without limitation its provisions regarding Indemnification and Uncontrollable Force, in addition to the provisions of this Agreement. In case of a conflict in the terms contained in this Agreement and the terms in the WDAT, the terms of the WDAT shall .
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apply. Interconnection Customer has read and is familiar with the terms of the WDAT.
7. Creditworthiness:
7.1. Upon the Effective Date and until all payment obligations of Vernon to SCE under this Agreement and the Service Agreement, including any obligation to pay the Removal Cost in accordance with Section 12.1, have been finally and irrevocably paid after the termination date pursuant to Section 5, Vernon shall either maintain an unsecured long-term debt rating of Baa1 or higher from Moody’s Investor Service, Inc. (“Moody’s”) or A or higher from Standard and Poor’s Corporation (“S&P”) and provide and maintain security. Such security shall meet the requirements described in Section 7.2 clauses (b) through (e).
7.2. Upon the Effective Date, Vernon shall provide to SCE, in a form that is acceptable to SCE in its sole discretion, (a) evidence that Vernon has one of the ratings specified in Section 7.1 and one of; (b) an unconditional and irrevocable letter of credit in US dollars from a depository institution organized under the laws of the United States of America or any State (or any domestic branch of a foreign bank), which (i) has either (A) a long-term unsecured debt rating of A or higher by S&P or A2 or higher by Moody’s or (B) a certificate of deposit rating of A-1+ by S&P and P-1 by Moody’s, and (ii) whose deposits are insured by FDIC, together with evidence of such ratings; or (c) an unconditional and irrevocable surety bond in US dollars issued by an insurance company that has and maintains an Insurance Financial Strength rating of A2 or higher from Moody’s or A or higher from S&P, and is rated no less than A- (with a minimum size rating of VIII) by Best’s Insurance Guide and Key Ratings, together with evidence of such ratings or (d) other security that is acceptable to SCE in its sole discretion.
7.3. Until all payment obligations of Vernon to SCE under this Agreement and the Service Agreement, including any obligation to pay the Removal Cost in accordance with Sections 10.2, 12.1 and 13.2, have been finally and irrevocably paid after the termination date pursuant to Section 5, Vernon shall provide to SCE, within ten (10) calendar days after June 30 and December 31 of each year, evidence of the then current applicable ratings of Vernon or the Credit Provider of any Credit Support being maintained for the benefit of SCE hereunder; and if any such applicable rating is reduced at any time, Vernon shall notify SCE in writing within five (5) calendar days after such reduction.
7.4. Any Credit Support provided hereunder shall be payable in at least the amount specified in Section 7.5, and shall be issued in favor of or for the benefit of SCE and its successors and assignees, and shall state that it may be drawn upon in whole or in part by SCE or its successors or assignees at any time (i) if a substitute Credit Support meeting the requirements of Section 7.2 is not provided within fifteen (15) calendar days after any reduction in the applicable rating of the Credit Provider meeting the requirements of Section 7.2 below the level specified herein; (ii) if a substitute Credit Support has not been provided at least thirty (30) calendar days before any expiration of the Credit Support; or (iii) upon any failure by Vernon to make any payment required by this Agreement and the Service Agreement when due and following the expiration of any applicable cure period, pursuant to Section 13.4. .
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7.5. The amount available to be drawn under any Credit Support shall be equal to $5,000,000 in 2025 dollars. The disposition of any released Credit Support shall be directed by Vernon.
7.6. In addition to the provisions described above, any Credit Support provided hereunder shall contain such terms, conditions, waivers, representations, covenants, and other provisions as may be customary for similar instruments delivered in the State of California, as approved by SCE in its reasonable discretion.
7.7. Vernon agrees to provide documentation that describes its authority, ability, and obligation to fix, prescribe and collect rates and charges from its rate base which shall be sufficient to meet all financial obligations of Vernon, which would include this Agreement, specifcally to pay for the Interconnection Facilitites pursuant to Exhibit D and maintain the payment schedule pursuan to Exhibit C.
8. Interconnection Facilities:
8.1. Vernon is responsible for engineering and constructing the distribution systems and interconnection facilities it will own at its cost.
8.2. Vernon shall make all necessary arrangements for easements required in order for SCE to comply with its obligations under this Agreement. SCE shall provide forms of easement agreements for execution by affected property owners. Notwithstanding any other provision of this Agreement, SCE shall have no obligation to install the Interconnection Facilities prior to the effective date of such easement agreements.
8.3. Vernon shall perform the environmental, licensing, and permitting activities for the Data Centers Two Load Project as set forth in Exhibit A Section 1.ix.2 and make all necessary arrangements for easements required in order for SCE to comply with its obligations under this Agreement. SCE shall provide forms of easement agreements for execution by affected property owners. Notwithstanding any other provision of this Agreement, SCE shall have no obligation to install the Interconnection Facilities prior to the effective date of such easement agreements.
8.4. SCE is responsible for performing the Scope of Work by SCE for the Data Centers Two Load Project as set forth in Exhibit A Section 1 pursuant to Good Utility Practice and apply for any regulatory approvals necessary for the construction, operation and maintenance of the Data Centers Two Load Project.
8.5. SCE shall use commercially reasonable efforts to complete the Scope of Work by SCE as set forth in Exhibit A hereof, successfully test and declare ready for service the described facilities on or before twenty-five (25) months from the Effective Date.
However, Vernon understands and acknowledges that such dates are only estimates and that equipment and material lead times, labor availability, outage coordination, regulatory approvals, or other unforeseen events could delay the actual in-service date(s) beyond those specified. SCE’s efforts to complete the Scope of Work by SCE is contingent upon Vernon’s timely completion of the work required to be performed by it in accordance with Section 8.1; thus, any delay by Vernon in performing Work To Be Performed By Vernon as described in Exhibit A may cause delay in completion of the Scope of Work by SCE.
8.6. SCE shall own, operate and maintain the Distribution Provider’s Interconnection .
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Facilities.
8.7. The maximum capacity of the Distribution Provider’s Interconnection Facilities made available by SCE to Vernon for the purpose of interconnecting and delivering energy and other services from the ISO under this Agreement shall be 150,000 kW. Vernon acknowledges that if Vernon wishes to increase the amount of Distribution Service provided pursuant to this Agreement and the Service Agreement, Vernon shall be required to submit a new application for Distribution Service in accordance with the terms and conditions of the WDAT.
8.8. Vernon shall not cause its distribution system serving the Data Centers Two Load Project to operate in parallel with or to interconnect to any other electrical facilities, which facilities shall include, but not be limited to, Vernon’s distribution systems served under other WDAT interconnection facilities agreements or service agreements, any generating facilities, other SCE facilities, or any facilities served by other electric utilities without receiving prior review and authorization from SCE. If Vernon fails to comply with the requirements set forth in this Section 8.8, then SCE shall have the right to terminate this Agreement, subject to FERC acceptance or approval.
8.9. Vernon shall cause its electrical facilities to be a balanced system across all three phases.
8.10. This Agreement governs the facilities required to interconnect Vernon’s distribution system serving the Data Centers Two Load Project to SCE’s Laguna Bell 66 kV Substation. Vernon shall be responsible for making all necessary operational arrangements with the ISO, including, without limitation, arrangements for obtaining transmission service from the ISO, and for scheduling delivery of energy and other services from the ISO Grid.
9. Capital Additions:
9.1. SCE shall engineer, design, construct, install, own, operate and maintain all Capital Additions pursuant to Good Utility Practice.
9.2. Except as otherwise provided in Section 9.3, whenever Capital Additions are required by SCE pursuant to Good Utility Practice (which may include compliance with system or regulatory requirements), Vernon shall pay all charges associated with such Capital Additions in accordance with Section 13.
9.3. In the event that Capital Additions are required in order to benefit SCE, or because of damage caused by negligence or willful misconduct of SCE, Vernon shall not bear cost responsibility for such Capital Additions. No adjustment will be made to the Interconnection Facilities Cost and no Capital Additions Cost, ITCC, or One-Time Cost will be charged to Vernon for such Capital Additions.
10. Removal Of Interconnection Facilities:
10.1. Following termination of this Agreement, SCE will remove the Interconnection Facilities from service to Vernon.
10.2. On or before the date one year following termination of this Agreement, SCE shall notify Vernon whether SCE intends to physically remove the Interconnection Facilities or any part thereof. If SCE intends to physically remove the Interconnection .
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Facilities or any part thereof, then SCE shall physically remove such facilities within two years from the date of notification of intent, and Vernon shall pay the Removal Cost in accordance with Sections 12.1 and 13.2. If SCE does not intend to physically remove the Interconnection Facilities or any part thereof, then Vernon shall have no obligation to pay such Removal Cost.
11. Other Taxes:
Vernon shall be solely responsible for any taxes (including, but not limited to, property tax, sales and use tax, excise tax, and document transfer tax) that are asserted against any payments or asset transfers made by Vernon to SCE under this Agreement for Interconnection Facilities and Capital Additions. SCE and Vernon shall cooperate in good faith to appeal, protest, seek abatement of, or otherwise contest other taxes associated against payments or asset transfers made by Vernon to SCE under this Agreement for Interconnection Facilities and Capital Additions.
12. Charges:
12.1. Vernon shall pay to SCE the following charges in accordance with this Agreement: (a) Interconnection Facilities Payment; (b) Interconnection Facilities Charge; (c) Capital Additions Payment; (d) any reimbursable FERC fees pursuant to Section 18.3; (e) Removal Cost pursuant to Section 13.2; (f) other taxes pursuant to Section 11; and (g) termination charges pursuant to Section 5.5.
12.2. The Interconnection Facilities Cost, Capital Additions Cost, One-Time Cost, ITCC and Removal Cost shall be compiled in accordance with Accounting Practice.
12.3. If, during the term of this Agreement, SCE executes an agreement to provide service to another entity (other than retail load) which contributes to the need for the Interconnection Facilities, the charges due hereunder may be adjusted to appropriately reflect such service based on SCE’s cost allocation principles in effect at such time and shall be subject to FERC approval.
13. Billing And Payment:
13.1. Billing Procedure.
13.1.1. Except as otherwise specifically provided herein, commencing on or following the Effective Date, SCE will render bills to Vernon for charges under this Agreement, and Vernon shall pay such bills, in accordance with the Billing and Payment provisions of the WDAT.
13.1.2. Vernon shall make payments to SCE for the Interconnection Facilities Payment according to the payment schedules shown in Exhibit C. The amount of such Interconnection Facilities Payment is based on SCE’s cost estimates and shall be subject to later adjustment pursuant to Sections
13.1.9.3 and 13.1.9.4.
13.1.3. Commencing on or following the Interconnection Facilities In-Service Date, each month SCE will render bills to Vernon for the Interconnection Facilities Charge. The Interconnection Facilities Charge payments shall initially be .
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based on the estimated Interconnection Facilities Cost and such payments shall be subject to later adjustment pursuant to Sections 13.1.9.3 and
13.1.9.4. The Interconnection Facilities Charge for the first and last month of service hereunder shall be pro-rated based on the number of days in which service was provided during said months.
13.1.4. SCE will bill Vernon for the Capital Additions Payment prior to commencing any work on any Capital Additions in accordance with Section 9.2; provided that, at SCE’s sole discretion, SCE may bill Vernon for the Capital Additions Payment after commencing such work if SCE determines that Capital Additions are required in accordance with safety or regulatory requirements or to preserve system integrity or reliability. Such billing shall initially be based on SCE's cost estimates and shall be subject to later adjustment pursuant to Sections 13.1.9.1 and 13.1.9.2.
13.1.5. Except as otherwise provided in Section 9.3, if certain Interconnection Facilities are removed to accommodate such Capital Additions and such removal results in a change in the Interconnection Facilities Cost, the Interconnection Facilities Charge shall be adjusted as of the in-service date of such Capital Additions to reflect the change in the Interconnection Facilities Cost.
13.1.6. Except as otherwise provided in Section 9.3, if such Capital Additions result in an increase in the Interconnection Facilities Cost, then the Interconnection Facilities Charge, shall be adjusted as of the in-service date of such Capital Additions to reflect the change in such costs.
13.1.7. Commencing on the Effective Date, SCE will render bills to Vernon for any reimbursable FERC fees in accordance with Section 18.3. Such billing shall be for any reimbursable FERC fees or costs incurred since the preceding billing.
13.1.8. Within twelve (12) months following the Interconnection Facilities InService Date, the Data Centers Two Project In-Service Date, or the in-service date of any Capital Additions, as the case may be, SCE shall determine the actual recorded Interconnection Facilities Cost or the Capital Additions Cost, including the associated One-Time Cost and ITCC, and provide Vernon with a final invoice.
13.1.8.1. If the amounts paid for the estimated Interconnection Facilities Payment, or the Capital Additions Payment are less than the amounts due for the Interconnection Facilities Payment, or the Capital Additions Payment as determined from the actual recorded Interconnection Facilities Cost or the Capital Additions Cost, including the associated One-Time Cost and ITCC, SCE will bill Vernon for the difference between the amounts previously paid by Vernon and the actual recorded costs, without interest, within twenty (20) calendar days of the date of such invoice.
13.1.8.2. If the amounts paid for the estimated Interconnection Facilities Payment or the Capital Additions Payment are greater than the amounts due for the Interconnection Facilities Payment or the .
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Capital Additions Payment as determined from the actual recorded Interconnection Facilities Cost or the Capital Additions Cost, including the associated One-Time Cost and ITCC, SCE will refund Vernon the difference between the amounts
previously paid by Vernon and the actual recorded costs, without interest, within twenty (20) calendar days of the date of such invoice.
13.1.8.3. If the amounts paid for the Interconnection Facilities Charge are less than the amounts due for the Interconnection Facilities Charge as determined from the actual recorded Interconnection Facilities Cost, SCE will bill Vernon for the difference between the amounts previously paid by Vernon and the amounts which would have been paid based on actual recorded costs, without interest, on the next regular billing.
13.1.8.4. If the amounts paid for the Interconnection Facilities Charge are greater than the amounts due for the Interconnection Facilities Charge as determined from the actual recorded Interconnection Facilities Cost, SCE will credit Vernon the difference between the amounts previously paid by Vernon and the amounts which would have been paid based on actual recorded costs, without interest, on the next regular billing.
13.1.9. Charges for payments upon termination shall be billed and paid as provided in Section 5.
13.2. Removal Cost.
13.2.1. If, in accordance with Section 10.2, SCE decides to physically remove the Interconnection Facilities, SCE shall render a bill to Vernon for the Removal Cost. Vernon shall pay the Removal Cost in accordance with Section 12.1.
Such billing shall be initially based on SCE’s estimate of the Removal Cost.
Within 12 months following the removal of the Interconnection Facilities, SCE shall determine the recorded Removal Cost and provide Vernon with a final invoice.
13.2.2. If the amount paid for the Removal Cost is less than the amount due for the Removal Cost as determined from the actual recorded Removal Cost, SCE will bill Vernon for the difference between the amount previously paid by Vernon and the amount which would have been paid based on actual recorded costs, without interest, within twenty (20) calendar days of the date of such invoice.
13.2.3. If the amount paid for the Removal Cost is greater than the amount due for the Removal Cost as determined from the actual recorded Removal Cost, SCE will refund Vernon the difference between the amount previously paid by Vernon and the amount which would have been paid based on actual recorded costs, without interest, within twenty (20) calendar days of the date of such invoice.
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13.3. Interest On Unpaid Balances.
Interest on any unpaid amounts shall be calculated in accordance with the methodology specified in the Interest on Unpaid Balances provision of the WDAT.
13.4. Default And Billing Dispute.
Any default or billing dispute shall be handled in accordance with the methodology specified in the Customer Default provision of the WDAT, including, without limitation, the provision for termination upon default, subject to FERC approval.
14. Addresses For Billing And Payment:
14.1.All payments to be made by Vernon to SCE shall be sent to:
Southern California Edison Company
Accounts Receivable
Box 600
Rosemead, California 91770-0600
SCE may, at any time, by written notice to Vernon pursuant to Section 6 of the Service Agreement for Wholesale Distribution Service, change the address to which payments will be sent.
14.2. All billings to be presented by SCE to Vernon shall be sent to:
Vernon Public Utilities
Att: Utilities Engineering Manager
Vernon City Hall
4305 Santa Fe Ave.
Vernon, Ca. 90058
Vernon may, at any time, by written notice to SCE pursuant to Section 6 of the Service Agreement for Wholesale Distribution Service, change the address to which billings will be sent.
15. Disputes:
With the exception of any billing dispute as provided pursuant to Section 13.4 herein, or as otherwise limited by law, the Dispute Resolution Procedures set forth in the WDAT shall apply to all disputes between Vernon and SCE which arise under this Agreement; provided, however, that the Dispute Resolution Procedures set forth in the WDAT shall not apply as to disputes regarding whether rates and charges set forth in this Agreement are just and reasonable under the Federal Power Act.
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16. Audits:
16.1. SCE will maintain records and accounts of all costs incurred in sufficient detail to allow verification of all costs incurred, including, but not limited to, labor and associated labor burden, material and supplies, outside services, and administrative and general expenses.
16.2. Vernon shall have the right, upon reasonable notice, at a reasonable time at SCE's offices and at its own expense, to audit SCE’s records and accounts as necessary and as appropriate in order to verify costs incurred by SCE. Any audit requested by Vernon shall be limited to the costs reflected in the final invoice as set forth in Sections 13.1.8 or 13.2.1, and shall be completed, and written notice of any audit dispute provided to SCE pursuant to Section 6 of the Service Agreement, within one hundred eighty (180) calendar days following receipt by Vernon of such final invoice.
16.3. SCE shall provide Vernon with quarterly statements, updating the estimated Interconnection Facilities Cost, including the One-Time Costs and ITCC. Such quarterly statements shall be provided to Vernon within sixty (60) days of the end of each quarter.
17. Operating Representatives:
The responsibilities assigned to the Operating Representatives appointed pursuant to Section 3 of Attachment B to the Tariff shall extend to the activities required under this Agreement.
18. Regulatory Authority:
18.1. No later than thirty (30) calendar days following the execution of this Agreement, SCE shall tender this Agreement for filing with FERC with a request that it be made effective upon acceptance without suspension, and Vernon shall support SCE in obtaining all necessary authorizations and approvals for this Agreement.
18.2. Nothing contained herein shall be construed as affecting in any way: (i) the right of SCE to unilaterally make application to the FERC for a change in rates, charges, classification, or service, or any rule, regulation, or contract relating thereto, under Section 205 of the Federal Power Act and pursuant to the Rules and Regulations promulgated by FERC thereunder; (ii) the right of Vernon to oppose such changes under Section 205 of the Federal Power Act; (iii) the right of Vernon to file a complaint requesting a change in rates, charges, classification, or service, or any rule, regulation or contract relating thereto, or rate methodology or design relating to services provided hereunder, under Section 206 of the Federal Power Act and pursuant to the rules and regulations promulgated by the FERC thereunder; or (iv) the right of SCE to oppose such complaint by Vernon under Section 206 of the Federal Power Act.
Any change shall become effective pursuant to Section 205 of the Federal Power Act.
18.3. Vernon shall reimburse SCE for all fees and charges imposed on SCE by the FERC attributable to the service provided under this Agreement and the Service Agreement, or any amendments thereto.
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19. No Dedication Of Facilities:
Any undertaking by one Party to the other Party under this Agreement shall not constitute the dedication of the electrical system or any portion thereof of the undertaking Party to the public or to the other Party, and it is understood and agreed that any such undertaking by a Party shall cease upon the termination of its obligations hereunder.
20. No Third Party Rights:
Unless otherwise specifically provided in this Agreement, the Parties do not intend to create rights in or grant remedies to any third party as a beneficiary of this Agreement or of any duty, covenant, obligation, or undertaking established hereunder.
21. Relationship Of Parties:
The covenants, obligations, and liabilities of the Parties are intended to be several and not joint or collective, and nothing contained in this Agreement shall ever be construed to create an association, joint venture, trust, or partnership, or to impose a trust or partnership covenant, obligation, or liability on or with regard to either Party. Each Party shall be individually responsible for its own covenants, obligations, and liabilities as provided in this Agreement. Neither Party shall be under the control of or shall be deemed to control the other Party. Neither Party shall be the agent of or have a right or power to bind the other Party without such other Party's express written consent.
22. Waivers:
Any waiver at any time by either Party of its rights with respect to a default under this Agreement, or with respect to any other matter arising in connection with this Agreement, shall not be deemed a waiver with respect to any other or subsequent default or other matter arising in connection therewith. Any delay, short of any statutory period of limitation, in asserting or enforcing any right, shall not be deemed a waiver of such right.
23. Governing Law:
Except as otherwise provided by federal law, this Agreement shall be governed by and construed in accordance with, the laws of the state of California.
24. Notices:
Any notice, demand, or request provided in this Agreement, or served, given, or made in connection with it, shall be made in accordance with Section 6 of the Service Agreement.
25. Severability:
In the event that any term, provision, covenant, or condition of this Agreement or the application of any such term, covenant, or condition shall be held invalid as to any person, .
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entity, or circumstance by any court, arbitration, or regulatory authority having jurisdiction, the invalidity of such term, covenant or condition shall not affect the validity of any other term, provision, condition or covenant and such term, provision, covenant or condition shall remain in force and effect as applied to this Agreement to the maximum extent permitted by law. The Parties hereto further agree to negotiate in good faith to establish new and valid terms, conditions and covenants to replace any found invalid so as to place each Party as nearly as possible in the position contemplated by this Agreement.
26. Entire Agreement:
This Agreement and the Service Agreement constitute the complete and final expression of the agreement between the Parties and are intended as a complete and exclusive statement of the terms of their agreement which supersedes all prior and contemporaneous offers, promises, representations, negotiations, discussions, communications, and other agreements which may have been made in connection with the subject matter of this Agreement and the Service Agreement.
27. Ambiguities:
Ambiguities or uncertainties in the wording of this Agreement shall not be construed for or against any Party, but will be construed in the manner that most accurately reflects the Parties’ intent as of the date they executed this Agreement. .
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28. Signature Clause:
The signatories hereto represent that they are authorized to enter into this Agreement on behalf of the Party for whom they sign. This Agreement is hereby entered into on October 21, 2025.
SOUTHERN CALIFORNIA EDISON COMPANY
By: _____________________________
Name: Shinjini Menon
Title: Senior Vice President, System Planning and Engineering
CITY OF VERNON
By: _____________________________
Name: Brian Saeki
Title: City Administrator
ATTEST:
____________________________________
Genoveva Rocha, City Clerk
APPROVED AS TO FORM:
_____________________________________
Zaynah N. Moussa, City Attorney
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EXHIBIT A
SCOPE OF WORK
This Exhibit A, Scope of Work provides a description of the Work to be performed by SCE. A one-line diagram of the interconnection is included.
SCE’s Interconnection Facilities described in this Exhibit A to the Agreement are based on SCE’s preliminary engineering and design and were derived from the Interconnection Facilities Study Report 2.
The Work to be performed under this Agreement is solely the detailed design, engineering, procurement, and construction of the Interconnection Facilities described below.
1. Interconnection Facilities:
(i) Laguna Bell Substation (DE Section for 50 MW of the 150 MW) Perform relay coordination study
(ii) Laguna Bell Substation (AB Section for 100 MW of the 150 MW)
1. Install facilities for two (2) new 66 kV switch rack positions. This work includes the following for each of the new positions:
a. One (1) 66 kV dead-end switchyard structure.
b. Two (2) 66 kV voltage transformers with steel pedestal support structures. c. Three (3) 66 kV line drops.
d. Two (2) 66 kV circuit breakers.
e. Four (4) 66 kV group operated disconnect switches, one with grounding attachment.
2. Install the following relays to protect the new line position:
Two (2) line current differential relays. The make and type of current differential relays will be specified by SCE during final engineering of SCE Interconnection Facilities.
(iii) Laguna Bell-P.S.33 66 kV line (AB Section for 100 MW of the 150 MW).
1. Utilize approximately 3.75 miles of existing idle line. Use of this existing idle line will require pole replacements, pole head frames, and insulator replacements which will be determined during execution of the project.
2. Install new overhead and underground facilities to complete the line into Laguna Bell Substation (AB section). The actual scope will be determined during execution of the project. This study assumed the following:
a. Installation of three (3) tubular steel riser poles
b. Installation of three (3) underground vaults
c. Installation of approximately 1,500’ of duct bank
d. Installation of approximately 5,700’ of underground cable e. Installation of ten (10) wood poles
f. Thirty-three (33) pole head reframes
g. Thirteen (13) pole head insulator replacements
h. Approximately 2,500’ of overhead conductor
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(iv) Laguna Bell-P.S.20-P.S.38 66 kV line. (AB Section for 100 MW of the 150 MW)
1. Utilize approximately 3.25 miles of existing idle line. Use of this existing idle line will require pothead replacements, pole head frames, and insulator replacements which will be determined during execution of the project.
2. Install new overhead and underground facilities to complete the line into Laguna Bell Substation (AB section). The actual scope will be determined during execution of the project. The Interconnection Facilities Study Report assumed the following:
a. Installation of two (2) tubular steel riser poles
b. Installation of six (6) underground vaults
c. Installation of approximately 5,700’ of duct bank
d. Installation of approximately 19,000’ of underground cable e. Installation of one (1) pole switch
f. Forty-one (41) pole head reframes
g. Sixteen (16) pole head insulator replacements
h. Two (2) tubular steel pole pothead replacements
i. One (1) tubular steel pole replacement
(v) Telecommunications. (AB Section for 100 MW of the 150 MW)
1. Install all required lightwave, channel banks, and associated equipment (including terminal equipment), supporting line protection and the RTU requirements at the Laguna Bell Substation.
2. Install fiber optic cable from Laguna Bell Substation to the City of Vernon boundary along the existing Laguna Bell-P.S.33 66 kV line. The Study assumed the installation of approximately 300’ of underground fiber optic cable from Laguna Bell Substation to outside the fence line and rise up with approximately 3.75 miles of overhead fiber optic cable to the City of Vernon boundary.
3. Install fiber optic cable from Laguna Bell Substation to the City of Vernon boundary along the existing Laguna Bell-P.S.20-P.S.38 66 kV line. The Study assumed the installation of approximately 300’ of underground fiber optic cable from Laguna Bell Substation to outside the fence line and rise up with approximately 3.25 miles of overhead fiber optic cable to the City of Vernon boundary. (vi) Metering. (AB Section for 100 MW of the 150 MW).
Install meters required to meter the retail load at the City of Vernon. Notwithstanding that the meters will be located on the Interconnection Customer’s side of the Point of Change of Ownership, SCE shall own, operate and maintain such facilities as part of the SCE’s Interconnection Facilities.
(vii) Power System Controls. (AB Section for 100 MW of the 150 MW).
Add points to existing RTU at Laguna Bell Substation to include points for new protection relay/status/alarm/control.
(viii) Real Properties. (AB Section for 100 MW of the 150 MW).
Obtain easements and/or acquire land for the installation of SCE’s Interconnection Facilities.
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(ix) Environmental Activities, Permits, and Licensing. (AB Section for 100 MW of the 150 MW)
Perform and/or coordinate the required environmental activities and obtain required licensing and permits for the installation of SCE’s Interconnection Facilities, including any associated telecommunication equipment, if applicable.
1. SCE Scope of Work
i. SCE will act as the lead for regulatory agency communication for permits issued to SCE covering such SCE facilities.
ii. SCE environmental activities may include, but are not limited to, the following:
a. Perform all environmental studies and construction monitoring of SCE internal substation construction activities and provide study results to the City of Vernon for inclusion in its environmental documents, if applicable.
b. Collaborate with the City of Vernon during the environmental study phase on the City of Vernon’s proposed study methodologies and findings, as studies are being planned and performed for SCE’s scope of work.
c. Review City of Vernon’s CEQA and/or National Environmental Policy Act (“NEPA”) documents, technical studies, surveys, and other environmental documentation to ensure SCE’s scope of work is adequately described in such documents (City of Vernon will include SCE’s scope of work in its environmental documents. If the City of Vernon’s CEQA and/or NEPA documents do not sufficiently incorporate SCE’s scope of work, SCE’s assumed environmental work and permitting level of effort may increase, resulting in the need to update cost and duration estimates, and potentially amend the Interconnection Agreement).
d. Review SCE’s internal existing technical reports/documents when available.
e. Prepare SCE’s project description, including scope changes during permitting/preconstruction or construction.
f. Communicate scope changes to the City of Vernon’s environmental team and discuss/approve subsequent actions including new surveys as necessary.
g. Complete General Order 131-D Consistency Determination and Environmental Evaluation.
h. Regulatory agency communication, consultation, reporting, and acquisition of SCE permits addressing SCE's facilities and scope of work. i. Prepare environmental requirements for construction clearance. j. Develop communication plan.
k. Perform pre-construction coordination field visit.
l. Provide Environmental Awareness/Worker Environmental Awareness Program (“WEAP”) training.
m. Perform construction monitoring oversight.
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n. Complete construction and post-construction site assessments.
2. City of Vernon Scope of Work
i. City of Vernon will perform all environmental studies and prepare draft environmental permit applications related to the installation of such SCE facilities, except for the SCE internal substation activities as described above. The City of Vernon’s responsibilities include as applicable, but are not limited to:
notifications to the Native American Heritage Commission (“NAHC”) and follow up notifications to the tribes and individuals in the NAHC contact list; performing cultural and paleontological resources records searches, cultural resources inventories (survey and recording), testing and evaluation and/or data recovery of archaeological sites, and appropriate documents in the form of inventory reports, research design, and/or data recovery reports; cultural and paleontological monitoring when/if required, and arranging curation agreements for artifacts and fossil specimens collected; performing a California Natural Diversity Database search, habitat assessment, and protocol or focused surveys for species with the potential of occurring in identified suitable habitat; conducting jurisdictional delineations for wetlands and other regulated waters; preparing draft environmental permit applications, pre-construction biological resource surveys for such SCE facilities, biological resource monitoring during construction of such SCE facilities; mitigation costs including, but not limited to, offsite/compensatory mitigation and onsite restoration, and developing mitigation plans or other environmental reports or submittals to support installation of such SCE facilities.
ii. Prior to commencing work and during execution of work, the City of Vernon should collaborate and obtain SCE concurrence on all work outlined above.
Should the City of Vernon-performed environmental studies, surveys, or construction monitoring not meet the Federal or State industry standards in accordance with Applicable Laws and Regulations, and as determined by SCE, the City of Vernon shall be obligated to remedy deficiencies under SCE’s direction.
In the event the assumptions presume that Vernon, as the Interconnection Customer, performs part of the environmental activities on SCE’s behalf, the Interconnection Customer will be required to:
1. Provide SCE the Environmental Services Costs Declaration of the actual costs incurred for work performed.
2. Remedy any and all deficiencies under SCE’s direction, should the environmental studies and resulting reports not comply with industry standards established by State of California and/or Applicable Laws and Regulations, as determined by SCE.
2. Point of Change of Ownership, Point of Interconnection and One-Line Diagram of Interconnection:
For purposes of the Work to be performed under this Agreement, the following assumptions .
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shall apply with respect to the Point of Change of Ownership and Point of Interconnection:
i. Point of Change of Ownership.
(i) Laguna Bell-P.S.33 66 kV Line: The Point of Change of Ownership shall be the point where the conductors of the Laguna Bell-P.S.33 66 kV Line are attached to the Last Structure at the City of Vernon boundary. The City of Vernon shall own and maintain the Last Structure, the conductors, insulators, and jumper loops from such Last Structure to the City of Vernon facilities. SCE will own the insulators that are used to attach the SCE owned conductors to the Last Structure. (ii) Laguna Bell-P.S.33 66 kV Line telecommunication fiber optic cable: The Point of Change of Ownership shall be the point designated by SCE where the Interconnection Customer’s fiber optic cable is attached to the SCE owned fiber optic cable at the City of Vernon boundary.
(iii) Laguna Bell-P.S.20-P.S.38 66 kV Line: The Point of Change of Ownership shall be the point where the conductors of the Laguna Bell-P.S.33 66 kV Line are attached to the Last Structure at the City of Vernon boundary. The City of Vernon shall own and maintain the Last Structure, the conductors, insulators, and jumper loops from such Last Structure to the City of Vernon facilities. SCE will own the insulators that are used to attach the SCE owned conductors to the Last Structure. (iv) Laguna Bell-P.S.20-P.S.38 66 kV Line telecommunication fiber optic cable: The Point of Change of Ownership shall be the point designated by SCE where the Interconnection Customer’s fiber optic cable is attached to the SCE owned fiber optic cable at the City of Vernon boundary.
ii. Point of Interconnection. SCE’s Laguna Bell 66 kV Substation. iii. One-Line Diagram of Interconnection.
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EXHIBIT B
ESTIMATED COST OF THE WORK AND FINANCIAL SECURITY
a. Estimated Cost
Element- Interconnection
Facilities Cost
One-Time
Cost
ITCC Total
Distribution Provider’s Interconnection
Facilities
Laguna Bell-P.S.33 66kV Line $4,926,323 $0 $1,182,318 $6,233,061 Laguna Bell-P.S. 20-P.S.38 66 kV Line $8,052,670 $0 $1,932,641 $10,188,687 Laguna Bell Substation Switch rack $6,516,760 $0 $1,564,022 $8,245,366 Power System Controls $0 $31,172 $0 $31,808
Metering Services $121,605 $0 $29,185 $153,868
IT Telecommunications $390,992 $0 $93,838 $494,704
Laguna Bell-P.S.33 66kV Line
Transmission Telecommunication $776,047 $0 $186,251 $981,896 Laguna Bell-P.S. 20-P.S.38 66 kV Line
Transmission Telecommunication $802,121 $0 $192,509 $1,014,895 Environmental and Licensing $230,335 $0 $55,280 $291,431 Real Properties $225,419 $0 $54,101 $285,214
Laguna Bell Relay Coordination $126,290 $128,859
Total $22,042,272 $157,462 $5,290,145 $27,489,879
Note 1: All amounts shown above are in nominal dollars.
Note 2: The estimated costs provided in the table above are based on the Interconnection Facilities Study Report and have been adjusted to reflect solely the Work SCE will perform for the Facilities as provided in Exhibit A of this Agreement.
b. Actual Interconnection Facilities Payment (This table to be completed once the actual recorded Interconnection Facilities Cost have been determined).
Element Interconnection
Facilities Cost
One Time
Cost ITCC Total Cost
Actual Interconnection Facilities Payment = (SCE-Constructed Interconnection Facilities Costs + ITCC + One-Time Cost)
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c. Monthly Charges:
Effective Date
CustomerFinanced
Monthly
Rate for
Non-ISOControlled
Facilities
Estimated
Interconnection
Facilities Cost
Interconnection
Facilities Charge
Based on Estimated
Cost
Actual
Interconnection
Facilities Cost
Interconnection
Facilities Charge
Based on
Actual Cost
Interconnection
Facilities InService Date:
See Section
4.1 of
Attachment J
to the
WDAT* $22,042,272
Customer-Financed
Monthly Rate for
Non-ISOControlled
Facilities x
Interconnection
Facilities Cost
Customer-Financed
Monthly Rate for
Non-ISOControlled
Facilities x
Interconnection
Facilities Cost
*Attachment J to the WDAT is available at the following link: https://www.sce.com/openaccess d. Estimated Tax Liability.
Pursuant to Section 6 of this Agreement, the Interconnection Customer’s estimated tax liability is as follows:
Estimated tax liability for Distribution Provider’s Interconnection Facilities = The sum of the product of (i) the applicable ITCC rate for the year payments are to be received, and (ii) the total of the payments to be received for the Interconnection Facilities Cost for that year.
Year(s) payments
to be received
Applicable ITCC
rate
Total payments to be
received for
Interconnection
Facilities Cost
ITCC for Distribution
Provider’s
Interconnection
Facilities
2023 & beyond See Section 4.4 of
Attachment J to
the Tariff
$22,042,272 Applicable ITCC rate x
Total payments to be
received for
Interconnection
Facilities Cost
*The rate(s) applicable to the Tax Security is in accordance with Attachment J to the WDAT.
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EXHIBIT C
PAYMENT SCHEDULE
SCE will include a schedule(s) of the amount, and due date, for the payments and financial security, as applicable, reflected in Exhibit B.
a. Payment Schedule
The payment amounts shown below are based on an estimate of the monthly incurred costs for the scope of Work identified in Exhibit A.
Payment
No.
Payment Due
Date
Interconnection
Facilities Cost
OneTime
Cost
ITCC Project
Payment
Paid
pursuant
to the
Letter
Agreement
2 As of 9/8/2025 $9,367,268 $66,914 $2,248,144 $11,682,326 1 10/1/2025 $181,311 $1,296 $43,515 $226,121
2 11/1/2025 $243,654 $1,741 $58,477 $303,872
3 12/1/2025 $323,554 $2,311 $77,653 $403,519
4 1/2/2026 $420,940 $3,007 $101,026 $524,973
5 2/1/2026 $538,997 $3,850 $129,359 $672,206
6 3/1/2026 $672,246 $4,803 $161,339 $838,388
7 4/1/2026 $811,466 $5,796 $194,752 $1,012,015
8 5/1/2026 $941,730 $6,727 $226,015 $1,174,473
9 6/1/2026 $1,044,280 $7,461 $250,627 $1,302,368
10 7/1/2026 $1,101,137 $7,866 $264,273 $1,373,276
11 8/1/2026 $1,101,137 $7,866 $264,273 $1,373,276
12 9/1/2026 $1,044,280 $7,461 $250,627 $1,302,368
13 10/1/2026 $941,730 $6,727 $226,015 $1,174,473
14 11/1/2026 $811,466 $5,796 $194,752 $1,012,015
15 12/1/2026 $672,246 $4,803 $161,339 $838,388
16 1/2/2027 $535,119 $3,823 $128,429 $667,371
17 2/1/2027 $417,912 $2,985 $100,299 $521,196
18 3/1/2027 $319,722 $2,285 $76,733 $398,740
19 4/1/2027 $240,768 $1,720 $57,784 $300,273
20 5/1/2027 $179,163 $1,279 $42,999 $223,442
21 6/1/2027 $132,142 $944 $31,714 $164,800
Total $22,042,272 $157,462 $5,290,145 $27,489,879
All amounts shown above are in nominal dollars.
*Interconnection Facilities Payment (Interconnection Facilities Costs $22,042,272 + One-Time Cost $157,462 + ITCC $5,290,145) = $27,489,879 (based on Estimated Cost) .
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b. Letter Agreements
1. Letter Agreement 1.
Letter Agreement 1 shall terminate upon the Effective Date of this Agreement.
2. Letter Agreement 2.
This Agreement shall supersede Letter Agreement 2 and Letter Agreement 2 shall terminate upon the Effective Date of this Agreement.
Any remaining facilities, studies, or obligations of SCE shall roll over to this Agreement and have become part of the Scope of Work set forth in Exhibit A.
Any remaining payments or obligations of Vernon shall roll over to this Agreement and have been included in the Estimated Cost set forth in Exhibit B, and the Payment Schedule set forth in Exhibit C.
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EXHIBIT D
MILESTONES
SCE will include a list of relevant milestones applicable to the Work.
Item Milestone Responsible Party Due Date
(a) Submittal of written
authorization to proceed with
design, procurement, and
construction of the Distribution
Provider’s Interconnection
Facilities, Distribution Upgrades
and Network Upgrades to SCE
Interconnection
Customer
Within thirty (30)
Calendar Days after
the Effective Date of
this Agreement
(b) Submittal of debt rating and
Credit Support pursuant to
Section 7 of this Agreement.
Interconnection
Customer
Upon the Effective
Date of this Agreement
(c) Provide documentation that
describes the City’s obligation
to fix, prescribe and collect rates
and charges which shall be
sufficient to meet all financial
obligations of the City, which
would include this Agreement
pursuant to Section 7.7 of this
Agreement
Interconnection
Customer
Within thirty (30)
Calendar Days after
the Effective Date of
this Agreement
(d) Submittal of initial
specifications for the
Interconnection Customer’s
Interconnection Facilities
including System Protection
Facilities
Interconnection
Customer
Within thirty (30)
Calendar Days after
the Effective Date of
this Agreement
(e) Review of and comment on the
Interconnection Customer’s
initial specifications
SCE
Within thirty (30)
Calendar Days after
the Interconnection
Customer’s submission
of initial specifications
(f) Submittal of initial information
including SCE’s Transmission
System information necessary to
allow the Interconnection
Customer to select equipment SCE
Within ninety (90)
Calendar Days after
the Effective Date of
this Agreement
(g) Submittal of final specifications
for the Interconnection
Customer’s Interconnection
Interconnection
Customer
At least twelve (12)
months prior to
completion of the
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Item 13 Page 31 of 393
Page No. 29
Item Milestone Responsible Party Due Date
Facilities including System
Protection Facilities, to SCE
Distribution Provider’s
Interconnection
Facilities, Distribution
Upgrades and Network
Upgrades
(h) Review of and comment on the
Interconnection Customer’s
final specifications
SCE
Within thirty (30)
Calendar Days after
the Interconnection
Customer’s submission
of final specifications
(i) Submittal of updated
information by the
Interconnection Customer,
including manufacturer
information
Interconnection
Customer
No later than one
hundred eighty (180)
Calendar Days prior to
In-service date
(j) Completion of the Distribution
Provider’s Interconnection
Facilities *
SCE
Within Twenty-four
(24) months following
the Effective Date of
this Agreement
(k) In-Service Date* Interconnection
Customer July 1, 2027
* Note: SCE shall use commercially reasonable efforts to complete the Work described in Exhibit A to support a September 1, 2027, In-Service Date assuming this Agreement is executed by September 1, 2025; however, pursuant to Section 4 of the Agreement, the timeline in this Exhibit D is dependent on the Interconnection Customer coordinating with SCE to complete the milestones as specified in a timely manner. SCE does not warrant that such Work will be completed in time to meet such date, and the Interconnection Customer acknowledges and understands that such date is only an estimate and therefore, SCE shall not be liable for any cost or damage incurred by the Interconnection Customer as a result of or due to any delay in the completion of the Work provided for in this Agreement. In the event SCE reasonably expects that it will not be able to complete the Distribution Provider’s Interconnection Facilities, by the specified date, SCE shall promptly provide written notice to the Interconnection Customer and shall undertake commercially reasonable efforts to meet the earliest date thereafter. .
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Item 13 Page 32 of 393
Page No. 30
Exhibit E
Project Description for Environmental Review
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Item 13 Page 33 of 393
7/10/2025
'Exhibit E'
WDT1810 EXP – Vernon Data Centers
Project Description for Environmental Review
Below is the project description that has been developed for the Vernon Data Centers Project environmental review. Please note that this is high level with approximate values and is based on job-walk findings and preliminary engineering. Currently, the project is in the design phase.
The City of Vernon anticipates needing to serve up to 150 megawatts (MW) of new electrical load. The increase in load requires service from the City’s 66kV subtransmission system, which is interconnected at Southern California Edison’s (SCE) Laguna Bell Substation. SCE performed an Interconnection Facilities Study and determined it needs to construct electrical facilities to support the City’s anticipated increase in electrical load. SCE would essentially construct two new 66kV source lines from Laguna Bell Substation to the City of Vernon’s city boundary and related facilities as detailed below. An existing 66kV source line would be able to serve a portion of the load increase.
➢ Project Description for Vernon Data Centers Project
• Substation
• Distribution Upgrades
• Equip 66 kV Position 8 and Position 11 each with the following:
• Two (2) new 72.5 kV, 2000A, 50 kA, 125V DC CBs equipped with two (2) trip coils • One (1) set of 66 kV, 2000A, vertical mounted, group-operated disconnect switches with grounding attachment
• One (1) set of 66 kV, 2000A, vertical mounted, group-operated disconnect switches • Two (2) sets of 66 kV, 2000A, horizontal mounted, group-operated disconnect switches
• Interconnection Facility
• Install one (1) new dead-end structure for Position 11 only. • Equip 66 kV Position 8 and Position 11 each with three (3) wye-connected potential transformers (PTs).
• Install one (1) new 19” relay rack equipped with one (1) SEL-411L and one (1) D60 each for 66 kV line Position 8 and Position 11.
• All the substation work is done within the existing substation fence. • Sub-transmission
• Install new underground (UG) conduits, vaults, and conductors, relocate overhead (OH) conductors to UG, install new OH conductors, and utilize existing conductors for the new Laguna Bell–New Sub.1 line and the new Laguna Bell–New Sub.2 line. • All pole types and heights are estimates and may be adjusted through final engineering. • Laguna Bell-New Sub.1 Line
• Remove one existing temporary riser pole.
• Install approximately 5,100 linear feet of six (6) 5” conduits, six (6) 12’ x 22’ underground vaults, and 66kV UG conductors along Randolph St. starting just south of the railroad tracks near the north-east corner of the Laguna Bell Substation. • Remove 2 sets of approximately 5,400 linear feet of existing OH 66kV conductors and four (4) wood poles, cut down three (3) wood poles from 70’ tall to 26’ tall, and cut down twenty-six (26) wood poles from 70’ tall to 50’ tall. • Install two (2) new 80’ high riser TSPs within franchise. • Install one (1) new 75’ high wood pole with disconnect switch within franchise. • Utilize two sets of existing OH conductors, approximately 16,500 linear feet each. One . .
Item 13 Page 34 of 393
WDT1810 EXP – Vernon Data Centers 7/10/2025
Project Description for Environmental Review
set of conductors will end at an existing TSP on S Downey Rd. The other set of conductors will end at a new wood pole with a disconnect switch described above.
Beyond these two points, the customer’s conductors will be utilized. • Additional work required on this line includes:
• Forty (48) pole-top reframes.
• Insulators replaced on eleven (11) poles.
• Replace Three (3) 70’ high wood poles, like for like. • Replace one (1) pole-top switch.
• Install one (1) new pole-top switch.
• Laguna Bell-New Sub.2 Line
• Install a total of approximately 2,300 linear feet of six (6) 5” conduits and five (5) 12’ x 22’ underground vaults from the existing substation rack, along Garfield Ave in SCE feeowned property, and then west along Randolph St. • Install one new 80’ high riser TSP within franchise.
• Install a new 100’ tall interset Light Weight Steel (LWS) Pole within franchise. • Install a new 40’ long span of new OH 66kV conductors. • Utilize approximately 19,600 linear feet of existing conductors to the final SCE wood pole just south of Fruitland Ave.
• The additional work on this line includes:
• Thirty-four (34) pole-top reframes.
• Insulators replaced on fifteen (15) poles.
• Replace seven (7) 70’ high wood poles, like for like. • Replace two (2) pole-top switches.
• Install one (1) new pole-top switch.
• Subtransmission Summary:
• 7,400 linear feet of new six (6) 5” UG conduits and conductors. • Eleven (11) new 12’ x 22’ UG Vaults.
• Remove 5,450 feet of existing OH conductors.
• Forty (40) linear feet of new OH conductors.
• Three (3) new 80’ high riser TSPs.
• Seventy-four (82) existing wood pole-top reframes.
• Replace insulators on twenty-six (26) existing wood poles. • Ten (10) like-for-like 70’ high wood pole replacements. • One (1) new 100’ high LWS interset pole.
• One (1) new 75’ high wood pole with pole top switch for SCE to Vernon POCO. • Replace four (4) existing wood-pole switches.
• Two (2) new pole-top switches.
• Replace potheads on two (2) existing TSP risers.
• Remove four (4) existing wood poles.
• Reduce the height of three (3) existing wood poles from 70’ to 26’ high. • Reduce the height of twenty-six (26) existing wood poles from 80’ high to 50’ high. • Telecommunication
• Install approximately 150’ of 24 ADSS with approximately 100’ of slack loops from an existing SCE pole to the City of Vernon’s existing wood pole. This pole will be used as the POCO for this fiber.
• SCE will place 2 anchors, one on each pole, to properly guy. . .
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WDT1810 EXP – Vernon Data Centers 7/10/2025
Project Description for Environmental Review
Project Maps
Location of substation rack work, positions 8 and 11.
Work associated with the Laguna Bell – New Sub 1 line
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WDT1810 EXP – Vernon Data Centers 7/10/2025
Project Description for Environmental Review
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WDT1810 EXP – Vernon Data Centers 7/10/2025
Project Description for Environmental Review
Work associated with the Laguna Bell – New Sub 2 line
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City Council Agenda Report
Meeting Date: October 21, 2025
From: Alice Hui, Director of Finance
Department: Finance
Submitted by: Alice Hui, Director of Finance
Subject
Potential Ballot Measure - Utility Users Tax
Recommendation
Receive and file a presentation on a potential Utility Users Tax ballot measure and provide input and direction to staff to continue analysis and development of the measure.
Background
The City’s existing 6% Utility Users Tax (UUT), passed by voters (Measure R) in 2018, is scheduled to sunset in 2028 unless renewed by the voters. The UUT generates approximately $14 million each year, which represents more than 15% of the City’s total revenues, making it the City’s second largest revenue source. This revenue source is a vital component of the City’s general fund and supports a wide range of essential services that keep the City functioning effectively, including public safety such as fire protection, paramedic, 9-1-1 emergency response, police and crime prevention, as well as the cleaning and maintenance of streets, sidewalks, infrastructure, and public facilities.
UUTs are taxes levied by local governments on the consumption of utility services, including electricity, gas, water, sewer, telecommunications, sanitation, and cable television. Currently, nearly 156 cities in California levy UUT, with rates typically ranging between 1% and 11%. The average rate in Los Angeles County is 6%. The City’s UUT applies to utility services used by commercial and industrial customers, including telephone, electricity, gas, water, fiber, cable, and video services, but excludes residential users.
The City’s UUT was first adopted by voters in 2013 (Measure M) at a 1% rate to stabilize financial conditions and support essential services. However, the revenue generated was not sufficient to fund the essential services provided by the City, forcing the City to rely on transfers from its utilities to bridge the gap. To ensure long-term fiscal stability, voters approved an increase to 6% in 2018 with a ten (10) year sunset clause.
Due to its unique industrial structure, the City does not benefit from the traditional levels of property or sales tax revenues that most municipalities rely on. Furthermore, this fiscal constraint is compounded by the way state and federal transportation funding is allocated. Road and street improvement dollars are typically allocated based on residential population, leaving cities like Vernon, despite its large industrial and business community, consistently underfunded. As a result, the UUT serves as one of the few reliable sources of revenue that the City can depend on to provide high-quality essential services.
Analysis
The City’s current general fund budget is $95 million, funding public safety – police & fire, health, public works, capital improvements, and other essential services. The $14 million in UUT revenue supports 15% of this budget. Without this revenue source, the City would face a significant fiscal gap and budget shortfall, making it difficult to provide vital services and programs . .
Item 14 Page 1 of 3
for residents and businesses. This would necessitate reductions in core services, suspension of capital projects, or the pursuit of alternative revenue sources.
The table below illustrates an across-the-board reduction for each General Fund department.
Since the fire services are contracted with Los Angeles County and cannot be reduced, the remaining departments would be subject to a 20% reduction:
Department FY 2025-26 Budget Required Budget Cut
Public Safety - Fire 24,168,393 -
Public Safety - Police 16,955,498 (3,353,159)
Health 3,630,489 (717,974)
Public Works 15,624,925 (3,090,022)
General Government 18,972,722 (3,752,090)
Capital Outlay 15,608,405 (3,086,755)
Total 94,960,432 (14,000,000)
To provide perspective, the reduction required in the Police Department may equate to the elimination of up to 20 sworn officers, representing nearly half of the current force. Such a reduction would significantly impair the City’s ability to provide essential public safety services.
Similarly, reductions within the Health Department would adversely affect the timeliness and effectiveness of health regulations and inspections, thereby diminishing the City’s capacity to safeguard community health. The City is also responsible for maintaining 47 miles of streets and 88 miles of sewers and storm drains. Any reduction in Public Works staffing or resources would severely hinder the City’s ability to maintain critical infrastructure, including streets, traffic signals, sewer and storm drain systems, and graffiti abatement. Current revenue constraints have already resulted in deferred street maintenance; further reductions would exacerbate this situation and prove detrimental to overall infrastructure conditions. Additionally, the City’s sewer system is approaching the end of its useful life, creating an urgent need for capital replacement. Because the City does not assess sewer fees, funding for this replacement must come entirely from the General Fund, placing an even greater strain on limited resources.
Action Plan and Next Steps
Because the UUT is time-limited and requires voter renewal to remain in effect, placing the measure on the April 2026 ballot allows the City to proactively prepare for its 2028 sunset. This will provide sufficient time for community engagement to clearly communicate the importance of maintaining this critical revenue source. Early and comprehensive planning will be essential to meet legal requirements, maintain transparency with residents, and foster community trust.
To support this effort, staff issued a Request for Proposals (RFP) on March 24, 2025 for Ballot Measure Outreach & Consulting Services and Public Opinion Polling Services. The RFP sought a consultant with a strong background in local government revenue measures, including experience with Proposition 218 compliance, strategic communications, public opinion research, and stakeholder engagement. The City received four (4) proposals in response to the RFP which were reviewed by a staff panel and evaluated based on experience with similar measures, understanding of relevant legal frameworks, qualifications of assigned team members, demonstrated success in voter education, and cost-effectiveness. Team CivX was determined to be the most qualified and capable firm to meet the City’s needs. The firm has an extensive history of working with cities throughout California on similar revenue measures. It will also partner with True North Research for reliable revenue measure feasibility polling and analysis. Its team has demonstrated success in planning and executing legally compliant public education campaigns, .
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Item 14 Page 2 of 3
conducting voter surveys to assess support and message effectiveness, and guiding jurisdictions through the complexities of ballot preparation and strategic timing.
Team CivX will assist the City to develop a ballot measure strategy, including message development and coordination with legal counsel. The consultant will also conduct voter opinion research to evaluate community understanding of the existing measure and to test potential ballot language. The results of the survey will be used to inform the City’s education and outreach strategy. Moreover, Team CivX will provide regular updates to staff and the City Council, manage project milestones, and coordinate closely with the City Attorney to ensure that all elements of the ballot measure process comply with state law.
If the City Council desires to submit the UUT renewal to the voters at the next General Election, the City Council must adopt a resolution placing the measure on the ballot. Staff plans to bring the general election resolution to the City Council on November 18, followed by the UUT ballot measure resolution on December 16, in order to provide sufficient time for analysis and surveys to be completed by the City’s ballot measure consultants.
Fiscal Impact
The UUT revenue has an approximately $14 million impact annually to the City’s General Fund.
The fiscal impact for the consultant agreement is not-to-exceed $97,350. Funds were not budgeted in the current fiscal year, however, funds will be included in the FY 2025-26 Mid-Year Budget Adjustment for Finance, Professional Services-Technical, Account No. 011-010-130- 529225.
Attachments
None.
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