Council Report

City Council Report 
 
Date: 
August 17, 2026 
To: 
City Council 
Through: 
Michael Kennington, Deputy City Manager/Chief Financial Officer 
From: 
Edward Quedens, Business Services Director 
 
Kristy Garcia, Procurement Administrator 
Subject: 
Three-Year Term Contract with Two-Year Renewal Options for Electric 
Substation Infrastructure Work for the Energy Resources Department (Sole 
Source) (Citywide) 
 
Recommendation 
 
Council is requested to approve the award as recommended. 
 
The Energy Resources Department and Procurement Services recommend awarding the 
contract to the sole source vendor, Reinhausen Manufacturing Inc., in an amount not to 
exceed $1,000,000 annually, with an annual increase allowance of up to 5% or the 
adjusted Consumer Price Index.   
 
Background / Discussion 
 
This contract is for specialized substation engineering, construction support, and technical 
services for the expansion, modification, and integration of electric substation infrastructure. 
Work includes coordination with existing substation design standards, protection and 
control schemes, equipment layout, and system integration to ensure compatibility with the 
City's current substation fleet and operational practices. 
 
Reinhausen Manufacturing Inc. has constructed, tested, and commissioned all the City's 
substations and has provided ongoing support for these facilities. As a result, they possess 
extensive, hands-on understanding of the design, equipment, layouts, protection schemes, 
and operational characteristics of the City's substation system.  
 
Use of an alternate contractor would require additional time for design interpretation, 
increase the potential for errors in installation and testing, and could impact the 
performance and reliability of substation infrastructure. This contract is specific to 
substation expansion, modification, equipment installation, testing, commissioning, and 
integration with existing facilities where direct experience with the City's system is critical. 
The City will continue to utilize competitively procured contracts for general construction 
and non-specialized work where appropriate.

2 
 
Purchase Information 
 
Action: Award 
Procurement Type: Sole Source 
Contract Number: 2026166 
Local Consideration: Policy did not apply to this procurement method 
Protests Received: None   
Initial Contract Term: Three years 
Possible Renewals: Up to a maximum of two years, subject to Administrative review and 
approval  
Funding Source: Energy Resources Department budget through Electric Utility Operating 
and/or Utility Revenue Obligations Fund