For City Council Meeting May 27, 2025
TO: Honorable Mayor and City Council
FROM: Tanya Williams, City Manager
AUTHOR: Tim Sullivan, Assistant City Manager
John Rossi, Interim Utilities Director
Title
Request the City Council/Rialto Utility Authority Board Authorize the release of Bids for the Automatic Meter Infrastructure Project.
Body
RECOMMENDATION
Staff recommends that the City Council/Rialto Utility Authority Board authorize the release of bids for the Automatic Meter Infrastructure Project.
BACKGROUND
The City of Rialto (City)/Rialto Utility Authority (RUA) has secured $8 million in grant funds to implement an Advanced Metering Infrastructure (AMI) Project: Department of Water Resources Urban Community Drought Relief Grant Funds for $6,000,000 and the U.S. Department of Interior, Bureau of Reclamation Grant Funds for $2,000,000.
ANALYSIS/DISCUSSION
Implementing an AMI water system offers operational, customer service, and financial benefits. AMI enables remote, real-time water meter reading, eliminating manual reads and reducing labor, vehicle use, and human error. The system provides timely data that improves billing accuracy, detects leaks early, and reduces non-revenue water losses.
Residents will have access to detailed usage data, allowing them to monitor water consumption, receive leak alerts, and manage water use proactively. In turn, this should lead to higher customer satisfaction of our residents. AMI also supports compliance with state water efficiency mandates (SB 606/AB 1668) and strengthens RUA’s state-mandated drought response and conservation programs.
While AMI requires upfront investment, it delivers long-term savings through operational efficiencies, improved revenue recovery, and enhanced planning capabilities. By securing substantial grant money, it is anticipated that much of the AMI project will be funded by these grants.
ENVIRONMENTAL IMPACT
The proposed action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has the potential to result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY
This action is consistent with Guiding Principle 3 in the General Plan:
Our City government will lead by example and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
LEGAL REVIEW
The City Attorney's Office has reviewed the staff report.
FINANCIAL IMPACT
Operating Budget Impact
The proposed action will have no impact on the Operating Budget.
Capital Improvement Budget Impact
Staff will return to the City Council/RUA Board to amend the budget and accept $6,000,000 from the Department of Water Resources Urban Community Drought Relief Program and $2,000,000 from the U.S. Department of the Interior, Bureau of Reclamation when a contract is ready for award.
Licensing
This action does not require a business license.