06-01-12 BPU RPT 04 - Laserfiche WebLink

Home

W AT E R E N E R G Y .. . RIVERSIDE PUBLIC UTILITIES Board Memorandum PUBLIC UTILITIES BOARD OF PUBLIC UTILITIES DATE: June 1, 2012 ITEM NO: 4 SUBJECT: PROFESSIONAL SERVICES AGREEMENT FOR THE WATER ENERGY MANAGEMENT MASTER PLAN STUDY PROJECT ISSUE: That the Board of Public Utilities consider approval of a Professional Services Agreement for the Water Energy Management Master Plan Study Project with Kennedy/Jenks Consultants in an amount not-to- exceed $424,830. RECOMMENDATIONS: That the Board of Public Utilities: 1. Approve the expenditure of$550,000 for Work Order No. 1225882; and 2. Approve a Professional Services Agreement for the Water Energy Management Master Plan Study Project with Kennedy/Jenks Consultants in an amount not-to-exceed $424,830. BACKGROUND: The City of Riverside, Public Utilities Department (RPU) owns and operates a 110 million gallon per day (MGD) domestic water system serving a population of approximately 300,000 over 75 square miles. RPU also operates an irrigation water system, consisting of a lined canal and pump station, with two wholesale delivery points. The water is produced from groundwater wells and distributes the water via a system of pumps, pressure reducing valves and storage tanks. The annual system operation and maintenance budget totals approximately $10 million, not including personnel and water rights costs. Most of RPU's facilities are powered by electricity. The annual cost for electrical service is approximately $4 million and is split between Southern California Edison (SCE) and RPU Electric. The former provides service to most of the wells and treatment plants while the latter provides most of the service to the booster stations. Twelve of the Gage Canal Company domestic water wells are powered by natural gas engines. However, the energy costs for these and seven of their electric wells (on the order of $2 million/year) are not paid directly by RPU, but reimbursed through fees related to Gage stock owned by RPU. On February 13, 2012, RPU water staff issued a Request for Proposal (RFP) seeking consultants with expertise in the preparation of water energy management master plans to optimize energy use, minimize energy costs and, and develop alternative lower cost sources of energy where feasible. This master plan will assist in planning capital projects and operations that can conserve energy, reduce operating costs, comply with regulations, improve reliability, make responsible energy choices that reduce the environmental impacts of RPU's operations, identifying energy efficiency projects in the water system and develop renewable energy resources that can simultaneously lower costs and greenhouse gases and ensure a more sustainable future. Eighteen consultants were invited to submit their proposals and a total of five proposals were received from the following firms: