Inflation Prompts City Council to Approve 2027 Tax, Fee Hikes

As part of Monday’s consent calendar, the Pasadena City Council on Monday approved the Fiscal Year 2027 Schedule of Taxes, Fees and Charges.

The changes will raise a range of city fees by nearly 3% to reflect inflation, according to a staff report from the Department of Finance, including a 2.9320% increase to flat-rate taxes, fees and charges based on changes in the Consumer Price Index for the Los Angeles-Long Beach-Anaheim metropolitan area between March 1, 2025, and March 1 of this year.

The adjustments will affect items including Residential Impact Fees, Construction Tax, Business License Taxes, Utility User Taxes and Animal License Fees.

The city is required to annually adjust taxes, fees and charges tied to inflation each July 1. The city’s Consumer Price Index adjustment formula was originally adopted in 1978, according to the report.

Finance staff said the proposal does not include changes to percentage-based tax rates because such increases would require voter approval under Proposition 218.

The changes are projected to generate approximately $165,000 in additional General Fund revenue during FY 2027, along with $1.4 million in the Sewer Fund and another $280,000 in other city funds. The sewer revenue increase reflects the third year of an existing five-year rate adjustment plan.

$323,080 Fleet Lighting Equipment Contract

A five-year contract worth up to $323,080 for vehicle warning, safety and work lighting equipment used by the city’s municipal fleet.

The agreement will authorize the city manager to enter into a contract with Los Angeles Truck Centers LLC, doing business as Velocity Vehicle Group, after the Whittier-based company submitted the lowest responsive bid in a competitive procurement process.

According to a Department of Public Works report, the equipment supports vehicles used in refuse collection, street maintenance and other municipal operations that rely on warning and work lighting systems for visibility and safety.

City officials said amber warning lights help improve safety in active work zones and low-light conditions by alerting motorists and pedestrians to nearby maintenance activity.

Funding for the contract would come from the Fleet Maintenance Fund, with no impact to the city’s General Fund, according to the report.

Sewer Pump Station Modernization Contract

A nearly $3.8 million contract to modernize two aging sewer pump stations that city officials say no longer meet current reliability and operational standards.

The proposed contract authorizes the city manager to enter into an agreement with Houalla Enterprises Ltd., doing business as Metro Builders & Engineers Group Ltd., for upgrades to the Busch Garden and Rosemont sewer pump stations. The recommended contract includes a base bid of about $3.3 million and a contingency of nearly $495,000 for unforeseen construction conditions.

According to the Department of Public Works, the Rosemont and Busch Garden stations were originally built in the 1940s and have seen few major upgrades in more than 70 years. Officials said the facilities lack backup generator connections, remote monitoring systems and updated electrical infrastructure, increasing the risk of service interruptions during power outages and emergencies.

The project will replace outdated mechanical and electrical systems, install new pumps and monitoring technology, and demolish and rebuild the Busch Garden pump station building. A temporary bypass system would keep sewer service operating during construction.

Metro Builders & Engineers Group of Newport Beach submitted the lowest responsive bid at $3,299,524, approximately 3% below the engineer’s estimate.

Construction is expected to begin in May 2027 following material procurement scheduled for July 2026. The project will be funded entirely through the Sewer Fund and will not affect the city’s General Fund, according to the report.

Pasadena Considers $1.37 Million Energy Modeling Software Contract

A contract worth up to $1.37 million for energy modeling software designed to help the city transition to carbon-free electricity by 2030.

The proposed agreement will authorize the city manager to enter into a contract with Colorado-based Yes Energy LLC for production cost modeling software and related services for up to five years. The contract includes a three-year base term valued at about $749,000, along with contingency funding and two optional one-year extensions.

According to Pasadena Water and Power (PWP) officials, the software will support implementation of the city’s 2023 Integrated Resource Plan (IRP) and its Optimized Strategic Plan (OSP), which outline Pasadena’s goal of sourcing 100% of its electricity from carbon-free resources by the end of 2030.

City officials said the modeling system will help utility planners analyze energy costs, forecast operational impacts and evaluate long-term resource strategies while maintaining affordability and reliability.

Pasadena Water and Power received proposals from three firms following a July 2025 request for proposals. Yes Energy received the highest evaluation score based on ease of use, compatibility with existing software and pricing structure.

The software contract will be funded through the Power Capital Fund and will not affect the city’s General Fund, according to the report.

$413,931 Water Treatment Services Contract for Glenarm Power Plant

A contract worth up to $413,931 for water treatment support services at the Glenarm Power Plant, according to a report from the Water and Power Department.

The proposed agreement will authorize the city manager to enter into a three-year contract with J Harris Industrial Water Treatment Inc. of Oxnard to provide reverse osmosis, degasification and ion exchange system support services at the city-owned power facility.

City officials said the Glenarm Power Plant relies on demineralized water for processes tied to electricity production and requires specialized treatment systems to maintain safe and efficient operations. The plant includes five natural gas-fueled combustion turbines used to generate electrical power.

“To ensure that a water treatment system is in place, the Plant contracts with qualified vendors to treat the Plant’s water to make it suitable for use in a power production application,” the report stated.

According to the report, J Harris has held 11 previous city contracts since 2010 related to water conditioning system inspection, monitoring and maintenance at the plant.

$1.9 Million EV Charging Software Contract

A contract worth up to $1.9 million for software and operational support services tied to the city’s expanding electric vehicle (EV) charging network.

The proposed agreement will authorize the city manager to enter into a contract with San Diego-based PowerFlex Systems LLC for back-office software and operations support for Pasadena’s public EV charging infrastructure for up to seven years.

According to Pasadena Water and Power, the software platform is intended to modernize management of the city’s EV charging network by improving operational efficiency, monitoring charger performance and integrating charging infrastructure with the electrical grid.

City officials said the platform will provide real-time monitoring, remote diagnostics and automated payment processing while helping users locate available charging stations through mobile and web applications.

Officials also said the system’s load management technology would help distribute electricity demand across chargers to reduce strain on the grid and avoid costly infrastructure upgrades.

“This intelligent distribution allows the City to expand its charging network without the immediate need for costly and disruptive physical infrastructure upgrades,” the report stated.

The contract will be funded through the Electric Vehicle Charging Infrastructure capital budget and the Power Operating Fund, with no impact to the city’s General Fund.

Water Treatment Contract for Glenarm Power Plant

A contract worth up to $322,500 for chemical water treatment services at the Glenarm Power Plant, according to a report from Pasadena Water and Power.

The proposed agreement will authorize the city manager to enter into a contract with Carlsbad-based Hydrovida for an initial three-year term with the option for two additional one-year extensions. The contract would provide chemical treatment services for cooling water, bearing cooling water and chilled water systems used at the natural gas-powered facility.

City officials said the treatment program is necessary to maintain safe and efficient operations at the Glenarm plant, which relies on water treatment systems to limit corrosion, mineral buildup and microbiological growth that could damage equipment.

“A well-maintained chemical water treatment program will help ensure efficient and reliable operation of the power generating units,” the report stated.

The contract will be funded through the Power Operating Fund and would not affect the city’s General Fund.

$1.55 Million Water Main Repair Services Contract

A five-year contract worth up to $1.55 million for water main line stopping services used in infrastructure projects and emergency repairs throughout the city.

The agreement authorizes the city manager to enter into a contract with Montebello-based Koppl Pipeline Services LLC for specialized work that allows crews to isolate damaged sections of water pipeline without shutting down the entire water system.

Pasadena Water and Power officials said the service is critical for both capital improvement projects and emergency water main repairs because it allows faster and safer maintenance operations while minimizing disruptions to customers.

“Line stopping allows the isolation of damaged pipeline sections without shutting down the entire system, enabling faster and safer repairs,” the report stated.

The city first sought bids for the work in May 2025 and received one proposal from Koppl Pipeline Services. That bid was later withdrawn after the company reported difficulty obtaining required labor, materials and performance bonds.

Officials later revised and reissued the bid specifications to eliminate redundant services. The second solicitation drew two bids, with Koppl submitting the lowest responsive proposal at an annual amount of $282,000.

According to the report, Pasadena has awarded three contracts to Koppl Pipeline Services since 2020, with one contract currently active.

Funding for the contract would come from the Water Distribution Mains capital improvement budget, with approximately $282,000 expected to be spent during Fiscal Year 2027.

$465,751 Contract for Chlorine System Repairs and Maintenance

A five-year contract worth up to $465,751 for chlorine equipment parts, repairs and maintenance services used in the city’s water system.

The agreement will authorize the city manager to enter into a contract with El Monte-based Matt-Chlor Inc. to service chlorination systems used by Pasadena Water and Power to regulate chlorine levels in water storage reservoirs and system wells.

According to the staff report, the city’s chlorination systems include leak detectors tied to Pasadena Water and Power’s Supervisory Control and Data Acquisition (SCADA) system, which alerts operators to potential chlorine gas leaks. State regulations require chlorine safety and dispensing equipment to be serviced or replaced every two years.

“This contract provides replacement parts such as gaskets, nozzles, and chlorine gas leak sensors, and the ability to service the chlorination equipment,” the report stated.

City officials said Matt-Chlor’s pricing was consistent with industry standards and noted the company has held nine city contracts since 2016, with two currently active through Pasadena Water and Power.

Funding for the contract would come from the Water Distribution Mains capital improvement budget and would not affect the city’s General Fund.

$1.94 Million Purchase of Utility Fleet Vehicles

A nearly $1.94 million in contracts to replace aging Pasadena Water and Power utility vehicles with a mix of electric, compressed natural gas and internal combustion engine trucks.

The purchases include two pickup trucks, a crane truck, a valve truck, a flatbed truck and three dump trucks for use in water system maintenance, emergency repairs and infrastructure operations.

According to the staff report, many of the vehicles being replaced are roughly 20 years old and have accumulated significant maintenance costs, with some exceeding 100,000 miles.

Pasadena Water and Power officials said the department is attempting to expand its use of zero-emission and alternative fuel vehicles where operationally feasible. The proposal includes one electric pickup truck and one electric flatbed truck, along with three compressed natural gas dump trucks.

However, officials said some vehicles cannot yet be electrified because of operational and safety requirements tied to hauling hazardous materials and heavy utility equipment.

“Currently, there are no equivalent EV models available on the market due to safety concerns,” the report stated regarding a truck used to transport chlorine.

The city plans to purchase vehicles through cooperative purchasing agreements and statewide contracts rather than conducting separate competitive bids, citing supply chain delays and pre-negotiated pricing.

Funding for the purchases would come from the Water Fund capital improvement budget and would not impact the city’s General Fund, according to the report.

Water and Power Seeks to Repost Bid for Warehouse Storage Racks

The City Council rejected all bids submitted for a planned industrial storage rack system project after Pasadena Water and Power officials determined the sole responsive proposal failed to meet scheduling needs.

According to a staff report, Pasadena Water and Power developed specifications for new industrial storage rack systems at the utility’s warehouse facility on Vinedo Avenue and issued an Invitation for Bids on Feb. 13 through the city’s OpenGov procurement platform.

The solicitation generated interest from 39 vendors, though none were local firms. By the March 12 deadline, the city received only one responsive and responsible bid.

Water and Power officials said the proposal’s lead time was considered unacceptable because it would interfere with the department’s ability to properly warehouse materials needed to support ongoing utility projects.

“As such, PWP intends to republish the Invitation for Bids with a specified lead time to ensure the materials can be properly warehoused to maintain project schedule for Water and Power Projects,” the report stated.

City officials did not identify the bidder or disclose the proposed delivery timeline in the report.

The recommendation before the City Council calls for formally rejecting all bids received and authorizing staff to rebid the project with revised specifications addressing delivery requirements.

$1.5 Million Youth Service Corps Grant for Wildfire Recovery Jobs

Acceptance of a $1.5 million state grant to fund paid service and workforce training opportunities for young adults connected to wildfire recovery and community rebuilding efforts.

The funding comes through California Volunteers’ Youth Service Corps program and would support Pasadena’s Career Services Division through Dec. 31, 2027. City officials are also seeking approval for a $250,000 subcontract with Pasadena City College to provide recruitment, career counseling and wraparound support services.

According to the staff report, the program is designed to help youth facing barriers to employment while supporting recovery efforts tied to the Eaton Wildfires. Participants will work in supervised, nonhazardous roles related to wildfire recovery, climate resilience, infrastructure rebuilding and public service.

The program is expected to serve 95 participants between ages 16 and 30, with at least 75% meeting priority criteria such as low-income status, homelessness, foster care transition or justice system involvement.

Participants will earn $18.04 per hour, work up to 29 hours weekly and complete as many as 450 hours over roughly 16 weeks.

The initiative includes four service tracks: wildfire recovery support, skilled trades rebuilding, municipal services and community youth services. Participants interested in firefighting or construction careers may also enroll in Pasadena City College programs including the Wildland Fire Academy and Construction Trades Readiness Program.

Pasadena to Receive $418,646 for Del Mar-Kinneloa Traffic Signal Project

A funding agreement with the Los Angeles County Metropolitan Transportation Authority to receive $418,646 for a new traffic signal project at Del Mar Boulevard and Kinneloa Avenue.

The funding comes from Metro Proposition C fulfillment funds tied to previously unprogrammed federal Surface Transportation Program-Local balances that became inaccessible after federal corrective actions issued in 2021 and 2022.

According to the Department of Transportation, the project is intended to improve safety for pedestrians, bicyclists and motorists at the intersection, which currently includes an uncontrolled marked crosswalk across Del Mar Boulevard.

City officials said the signal will improve access to the Pasadena Community Urgent Care facility located on the south side of Del Mar Boulevard while adding several pedestrian safety features.

The project includes Leading Pedestrian Intervals, which allow pedestrians to enter the crosswalk before vehicles receive a green light, along with Accessible Pedestrian Signal push buttons that provide audible and vibrotactile cues for users with visual or mobility impairments.

Transportation officials also plan to install a video detection system capable of adjusting signal timing based on real-time traffic conditions.

The Del Mar-Kinneloa project is already included in the city’s Capital Improvement Program (CIP) and Measure M subregional transportation list. In addition to the Metro funding, the project is supported by $556,000 from the Local Alternative Transportation Improvement Program.

Changes to State Bill Governing SR-710 Surplus Properties

A state bill aimed at reshaping how former SR-710 corridor properties owned by California Department of Transportation (Caltrans) are transferred and sold, while seeking amendments to expand the legislation’s reach into Pasadena.

The proposal centers on Assembly Bill (AB) 2329, introduced by Assemblymember Mike Fong, which primarily addresses surplus residential properties in South Pasadena acquired decades ago for the now-abandoned SR-710 freeway extension project. Pasadena officials are asking to be added to the bill and are urging changes that would include Pasadena-owned surplus residential and nonresidential properties.

According to the staff report, the bill updates procedures governing property valuations, resale timelines and affordability requirements while creating pathways for tenants and first-time homebuyers to purchase former Caltrans-owned homes.

City staff said joining the legislation would provide Pasadena with “a ready-made legal structure” for managing the transfer of surplus properties while strengthening regional coordination with South Pasadena on long-running SR-710 property issues.

Pasadena is also requesting amendments allowing the city to recover administrative costs tied to managing escrows and assisting buyers, while preserving local discretion over tenant eligibility and property sale procedures.

Additional proposed amendments would address affordable housing deadlines, require homeownership education courses for buyers and establish clearer standards for property inspections and valuations.

If approved, the council would authorize the mayor to send letters supporting the bill with amendments.