City Council Agenda Report
Meeting Date: October 20, 2026
From: Todd Dusenberry, General Manager of Public Utilities Department: Public Utilities
Submitted by: Adriana Ramos, Principal Management Analyst Subject
Southern California Public Power Authority (SCPPA) Task Order No. VPU-01 with Resource Innovations, Inc.
Recommendation
A. To the extent that the Task Order authorizes installation services, 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 facilities/equipment and involves negligible or no expansion of an existing use; and
B. Approve and authorize the City Administrator to execute SCPPA Task Order No. VPU-01 for services from Resource Innovations, Inc. to provide energy audits for utility customers, directinstallation of energy efficiency measures at City facilities/buildings, and technical support on utility efficiency programs for a total amount not-to-exceed $400,000, through March 19, 2028; with an option to extend the Task Order up to three years.
Background
With the enactment of California’s Assembly Bill (AB) 1890 in 1998, Vernon Public Utilities (VPU) has established several Public Benefit programs designed to encourage the efficient use of electricity at customer facilities. These long-standing, energy efficiency-focused initiatives require technical support from a third-party energy engineering consultant to ensure successful implementation.
To facilitate the implementation of these programs, following a Request for Proposal (RFP) process, the City Council approved a Services Agreement on December 5, 2023, with Richard Heath & Associates, Inc. (RHA) to provide energy audits, engineering support, and direct installation services through December 4, 2026. In February 2025, RHA was acquired by Resource Innovations, Inc. (RI).
As the current agreement with RI (formerly RHA) is set to expire in December 2026, VPU is looking to continue successfully executing its efficiency and electrification programs. This will require ongoing technical assistance, including on-site energy audits, energy-efficiency retrofit recommendations, and support for implementing utility programs. Additionally, the installation of energy-efficiency measures in City-owned buildings may also be required, on an as-needed basis, as determined by VPU.
Following a competitive solicitation process, on March 20, 2025, SCPPA entered into a Master Goods and Services Agreement (MGSA) with RHA (now RI) for energy-efficiency audits and direct installation services. This agreement has a three-year term with the option to extend it for up to three additional years.
As a member of SCPPA, VPU has the ability to contract with vendors that have completed SCPPA’s competitive bidding process for professional services. SCPPA is a public entity duly organized and existing under the Joint Exercise of Powers Act (Cal. Government Code sec. 6500 et seq.), under a Joint Powers Agreement (JPA) entered into by and among the cities of Anaheim, Azusa, Banning, Burbank, Cerritos, Colton, Glendale, Los Angeles, Pasadena, Riverside, Vernon, and the Imperial Irrigation District (Members) with authority to engage in various activities supportive of the Members’ electric utilities. The SCPPA Board of Directors is responsible for the general management of the affairs of SCPPA, and under the JPA, has the power, among other things, to make and enter into contracts for services specific to electric utility needs. This allows VPU and other member agencies to benefit from economies of scale and procure goods and services with volume discounts.
VPU staff recommends that the City Council approve the SCPPA Task Order No. Vernon-01 with RI (Attachment 1) to provide energy-efficiency audits, direct installation, and energy-efficiency program implementation services for a total amount not-to-exceed $400,000 through March 19, 2028; with an option to extend the Task Order up to three years. According to Vernon Municipal Code (VMC) Section 3.32.110(A)(5) and (B)(1), the proposed Task Order with RI is exempt from competitive bidding and competitive selection, as the services will be in cooperation with SCPPA, which offers participating members cooperative, competitively solicited contracts. Additionally, pursuant to VMC Section 3.32.030(A), City Council approval of the proposed Task Order is necessary since the cost exceeds $100,000.
SCPPA Task Order No. VPU-01 has been reviewed and approved as to form by the City Attorney’s Office. Exhibit B to the MGSA between SCPPA and RHA contains confidential and proprietary information and will be provided to the City Council under separate cover; a redacted version (Attachment 2) is included in the public Agenda Packet.
Strategic Plan Goals
Goal 3: Advance Sustainability and Environmental Stewardship Fiscal Impact
The total fiscal impact is not to exceed $400,000. Sufficient funds are available in the Electric Fund, Customer Programs, Public Benefit Rebate Program, Account No. 055-050-595-529702 for the current fiscal year and will be budgeted in subsequent years.
Attachments
1. SCPPA Task Order No. VPU-01 with Resource Innovations, Inc.
2. Master Goods and Services Agreement between SCPPA and Richard Heath Associates, Inc. (Redacted)