08-27-2018 BPU RPT 12 - Laserfiche WebLink

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W A T F R E N E R G Y L RIVERSIDE PUBLIC UTILITIES .�W& Board Memorandum P U B L I C U T I L I T I E S BOARD OF PUBLIC UTILITIES DATE: AUGUST 27, 2018 ITEM NO: 12 SUBJECT: SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY BI -ANNUAL EXPENDITURE REPORT FOR FISCAL YEAR 2017-18 ISSUE: Recommend that the City Council receive and file this Southern California Public Power Authority bi-annual expenditure report for fiscal year 2017-18. RECOMMENDATION: That the Board of Public Utilities recommend that the City Council receive and file this Southern California Public Power Authority bi-annual expenditure report for fiscal year 2017-18. BACKGROUND: Riverside Public Utilities (RPU) is a member of the Southern California Public Power Authority (SCPPA), a joint powers authority, formed to capture the economies of scale by collectively working with 12 local publicly owned utilities. RPU's participation in SCPPA activities is voluntary and undertaken only when participating through SCPPA is expected to add value in the form of: 1) cost savings as compared to Riverside acting individually, and/or 2) staff savings achieved by collaborating on common issues and avoiding the duplication of effort at each utility. The majority of RPU's expenditures associated with SCPPA relate directly to its participation in the generation, transmission, and renewable projects where there is joint interest by other utilities. RPU also participates in other joint member utility services such as energy efficiency programs, training, association dues, and legislative or regulatory advocacy where services are procured using economies -of -scale pricing from the collective buying power of SCPPA members, resulting in significant ratepayer savings. On February 21, 2017, the City Council received an update on RPU's participation and involvement in SCPPA. City Council directed staff to provide a bi-annual report to the Board of Public Utilities (Board) and the City Council on expenditures. City Council also directed staff to seek Board and City Council approval for services procured through SCPPA over $50,000. Consistent with the City's procurement process, services between $25,000 and $50,000 are approved by the City Manager and services up to $25,000 are approved by RPU General Manager. Page 250