REPORT TO COUNCIL
SUBJECT
Title
Action on the Award of Contract for the Great America Parkway Streetlight Replacement Project, Contract No. 2875-9661, to Bear Electrical Solutions LLC and Related Budget Amendment
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure
BACKGROUND
The City of Santa Clara’s Electric Department, Silicon Valley Power (SVP), issued a public works bid packet to support its Electric Department Capital Improvement Program (CIP) Great America Parkway Streetlight Replacement Project (Project), Contract No. 2875-9661. The proposed Project will replace approximately 170 aged steel square street light poles and luminaires along Great America Parkway with new aluminum round tapered street light poles and LED luminaires. New reinforced concrete foundations will be required as well as re-wiring the existing street lighting circuits to help balance the electrical load across the power sources.
DISCUSSION
On March 06, 2025, a competitive Request for Bid (RFB) was published on the City’s bid notification system, BidNet Direct, for the Project. On April 3, 2025, the Project bids were opened at the City Clerk’s office. The City received one (1) bid from Bear Electrical Solutions LLC (Bear Electric) in the amount of $5,356,147.20. The Bid Summary is included as Attachment 1.
As the sole bidder, Bear Electric was declared the lowest apparent bidder with a submitted bid in the amount of $5,356,147.20. SVP compared the bid to the Engineer’s Estimate of $1,666,430.20, and SVP found that the Engineer’s Estimate did not consider necessary Project work such as sidewalk repairs and increased traffic control on Great America Parkway. Additionally, the Engineer’s Estimate did not consider overtime and weekend work required to meet the Project deadline of October 2025. The Engineer’s Estimate was performed by an outside consulting firm. SVP performed a review of Bear Electric’s bid and found that the bid amount is justified based on its internal analysis.
Bear Electric’s bid was reviewed by SVP staff for compliance with the terms and conditions of the bid documents and has been determined to be the lowest responsive and responsible bid. Staff recommend awarding the contract to Bear Electric. Once awarded, this Project will be administered by Public Works.
Award of the contract will allow construction to commence to complete the Project. The contract includes Prevailing Wage requirements.
ENVIRONMENTAL REVIEW
Staff recommend that the City Council determine that the action being considered is exempt from the California Environmental Quality Act (“CEQA”) pursuant to the section 15302 (Class2-Replacement or Reconstruction) of Title 14 of the California Code of Regulations as the proposed work involves the replacement or reconstruction of existing utility facilities involving negligible expansion of capacity.
FISCAL IMPACT
The cost of the contract is $5,356,147.20, plus 25% contingency, or $1,339,036.80, for any potential change orders for a total not-to-exceed contract amount of $6,695,184. A contingency of 25% is recommended for unforeseen project costs.
The budget amendment below allocates funding from the available fund balance in the Electric Utility Fund to the Great America Street Light Replacement Project within the Street Lighting Capital Fund to fund the contract as recommended in this Report to Council. (Note that the Street Lighting Capital Fund budget reflected in the table below includes other projects in addition to the amount requested above for this Great America Street Light Replacement Project.)
Budget Amendment
FY 2024/25
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Electric Utility Fund (091) |
|
|
|
|
Transfers To |
|
|
|
|
Street Lighting Capital Fund |
$5,365,000 |
$5,000,000 |
$10,365,000 |
|
|
|
|
|
|
Fund Balance |
|
|
|
|
Unrestricted Ending Fund Balance |
$63,866,554 |
($5,000,000) |
$58,866,554 |
|
|
|
|
|
|
Street Lighting Capital Fund (534) |
|
|
|
Transfers From |
|
|
|
|
Electric Utility Fund |
$5,365,000 |
$5,000,000 |
$10,365,000 |
|
|
|
|
|
|
Expenditures |
|
|
|
|
Great America Street Light Replacement Project |
$7,027,641 |
$5,000,000 |
$12,027,641 |
COORDINATION
The report has been coordinated with the Finance Department and the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Determine the proposed actions are exempt from CEQA pursuant to section 15302 section 15302 (Class2 - Replacement or Reconstruction) of Title 14 of the California Code of Regulations;
2. Award the Public Works Contract for the Great America Parkway Streetlight Replacement Project, Contract No. 2875-9661, to the lowest responsive and responsible bidder, Bear Electrical Solutions LLC, in the amount of $5,356,147.20, and authorize the City Manager or designee to execute the contract and any and all documents in furtherance of the award, completion, and acceptance of the Project;
3. Authorize the City Manager to execute change orders up to approximately 25 percent of the original contract price, or $1,339,036.80, for a total not-to-exceed amount of $6,695,184; and
4. Approve the following FY 2024/25 budget amendments:
a) In the Electric Utility Fund, increase the transfer to the Street Lighting Capital Fund and decrease the Ending Fund Balance in the amount of $5.0 million (five affirmative Council votes required for the use of unused balances); and
b) In the Street Lighting Capital Fund, increase the transfer from the Electric Utility Fund and increase the Great America Street Light Replacement Project in the amount of $5.0 million (five affirmative Council votes required to appropriate additional revenue).
Staff
Reviewed by: Nico Procos, Acting Director of Electric Utility
Approved by: Jovan D. Grogan, City Manager
ATTACHMENTS
1. Bid Summary