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CC Resolution 2025-028 Electrical Infrastructure Improvements & Equipment Procurement Funding and AgreementsRESOLUTION NO. 2025 – 028 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROPRIATING FUNDING, APPROVING THE TRANSFER OF FUNDING FROM THE CITY TO THE FINANCING AUTHORITY THROUGH A FINANCING AGREEMENT BETWEEN THE CITY OF LA QUINTA AND FINANCING AUTHORITY, AND APPROVING TWO AGREEMENTS RELATED TO ELECTRICAL INFRASTRUCTURE IMPROVEMENTS AND PROCUREMENT OF CERTAIN POWER EQUIPMENT WHEREAS, the City of La Quinta (“City”) has been working closely with Imperial Irrigation District (“IID”), Riverside County (“County”), and various developers to expand electrical capacity in the Coachella Valley; and WHEREAS, increasing population, new developments, electrical system reliability, aging infrastructure, capacity limitations, occasional power service outages, and enabling the timely implementation of electric power capital improvements are issues, among others, that have driven the need for Coachella Valley stakeholders to provide oversight on electrical service matters; and WHEREAS, addressing the growing electrical infrastructure needs in the Coachella Valley communities served by IID is an imperative priority for the City of La Quinta and the region; and WHEREAS, on March 18, 2025, the City Council at its regular meeting approved that certain Joint Powers Agreement (“JPA”) for the formation and governance of a new joint exercise of powers agency, the Coachella Valley Power Agency (“CVPA”), an independent public agency formed and operating under the powers and obligations pursuant to the Joint Exercise of Powers Act, California Government Code Section 6500 et seq., to authorize participating agencies to collectively address electrical infrastructure needs and related services; and WHEREAS, on April 1, 2025, the City Council at its regular meeting adopted Resolution No. 2025-007 authorizing La Quinta’s membership in the CVPA; and WHEREAS, members of the CVPA have the ability to exercise powers to promote, develop, conduct, operate, and manage energy generation and distribution in the eastern Coachella Valley toward achieving reliable, cost-effective public power; and WHEREAS, the City Council seeks to strengthen system reliability and facilitate new growth and development opportunities within the City’s boundaries and its sphere of influence through certain electrical infrastructure improvements for the existing IID Resolution No. 2025 – 028 Electrical Infrastructure Improvements & Equipment Procurement Funding and Agreements Adopted: December 16, 2025 Page 2 of 3 Avenue 58 Substation (“Project”), located north of Avenue 58 and west of Monroe Street in La Quinta; and WHEREAS, the City Council formed the La Quinta Financing Authority (“Authority”) to assist the City in the financing, acquisition, construction, improvements, and operation of public facilities and infrastructure; and WHEREAS, the Authority is a joint powers authority duly created, established, and authorized to transact business and exercise its powers under and pursuant to the Joint Exercise of Powers Act, Chapter 5 of Division 7 of Title 1 (commencing with Section 6500) of the Government Code of the State of California (the “JPA Law”); and WHEREAS, the Authority, among other powers, is authorized by the JPA Law to make loans to local public agencies; and WHEREAS, on November 18, 2025, the IID Board of Directors approved two agreements (1) Engineering and Procurement Agreement (for certain long lead-time equipment to be paid by the City) and (2) Funding and Reservation of Capacity Agreement for Avenue 58 Transformer Bank Addition, for the Project, estimated at $23.2 million, which includes adding a fourth transformer bank; and WHEREAS, the City Council wishes to appropriate $10 million dollars from General Fund Unassigned Reserves for the aforementioned Project, and to approve the transfer of these funds to the Authority pursuant to a Financing Agreement for purposes of executing the two aforementioned agreements and providing funding, pursuant to the terms of the agreements, for the Project; and WHEREAS, the City Manager is hereby authorized to further negotiate and modify any of said agreements identified in this Resolution to effectuate their purpose, provided the material terms relating to the amount appropriated and purpose for use of the funds are not modified unless prior approval from the City Council is obtained; furthermore, the City Manager is hereby authorized to execute said agreements on behalf of the City Council; and to ensure the funding thereof. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: SECTION 1. The foregoing recitals are true and correct, and constitute the findings of the City Council, and are incorporated herein by this reference. SECTION 2. The City Council’s adoption of this Resolution is not subject to the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines [California Code of Regulations Section 15378(b)(4)] because the adoption of this Resolution is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. SECTION 3. This Resolution shall go into effect upon adoption and the City Clerk shall certify to the adoption of this Resolution. SECTION 4. The City Manager, or designee, is hereby authorized and directed to take such other and further actions, and execute such other and further documents, as are necessary and proper in order to implement this Resolution on behalf of the City Council. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 16th day of December 2025, by the following vote: AYES: Councilmembers Fitzpatrick, McGarrey, Sanchez, and Mayor Evans NOES: NONE ABSENT: Councilmember Pena ABSTAIN: NONE ATTEST: ity Clerk City of La Quinta, California APPROVED AS TO FORM: LINDA EVANS, Mayor City of La Quinta, California WILLIXM7-t. IHRKE, City Attorney ------ City of La Quinta, California