REPORT TO COUNCIL
SUBJECT
Title
Action on Award of Contract for the Homestead Road and Lick Mill Boulevard Signal Timing Project and Related Budget Amendment
Report
BACKGROUND
On November 21, 2017, City Council approved and authorized the City Manager to execute a Congestion Management Program Transportation Fund for Clean Air Agreement with the Santa Clara Valley Transportation Authority for a grant of $300,000 for the Homestead Road Signal Timing Project and $166,000 for the Lick Mill Boulevard Signal Timing Project. To support the grant applications for these two projects, the City offered local funding match amounts of $300,000 for the Homestead Road Signal Timing Project and $314,000 for the Lick Mill Boulevard Signal Timing Project. This results in total project funding of $600,000 for the Homestead Road Signal Timing Project and $480,000 for the Lick Mill Boulevard Signal Timing Project. To advance the project and provide economies of scale for this work, staff managed both projects as one, the Homestead Road and Lick Mill Boulevard Signal Timing Project (Project) for the purposes of design, bid, award, and construction for a total Project budget of $1,080,000. In January 2018, the City contracted with Kimley-Horn and Associates to perform the design work for the Project and on December 19, 2018, the Project was advertised for public bid.
This Project is designed to improve signal timing, vehicle progression, and travel times for vehicles and transit along these corridors while reducing vehicle emissions and allowing for remote monitoring of traffic signals. Specifically, the Project will upgrade traffic signal controller equipment, install traffic signal communications with fiber optic cables and conduits, and implement traffic signal coordination timing on these corridors. The Project boundaries include Homestead Road from San Tomas Expressway to Lafayette Street and Lick Mill Boulevard from Montague Expressway to Tasman Drive, as seen in the Project Location Maps 1 and 2 included as Attachments 1 and 2, respectively.
DISCUSSION
On January 9, 2019, bids were opened for construction of the Project. Four (4) bids were received ranging from $873,295 to $1,926,198. The Bid Summary is included as Attachment 3.
The lowest bid in the amount of $873,295 submitted by Bear Electric Solutions, Inc., is approximately 18% above the Engineer’s Estimate of $740,000. The bids were prepared in a competitive environment with multiple contractors bidding for the project; therefore, the bid prices reflect the current market condition in the Bay Area. While the bids are higher than the Engineer’s Estimate, staff recommends awarding the contract as there is no guarantee that re-bidding the Project in the current economic climate would produce a substantially lower bid result. Bear Electric Solutions, Inc. was reviewed for compliance under the terms and conditions of the Project Contract Documents and has been determined to be the lowest responsive and responsible bidder. The Project is scheduled for completion in summer 2019.
ENVIRONMENTAL REVIEW
The Project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Section 15301(c) Existing Facilities, as the activity consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities involving negligible or no expansion of use beyond that existing at the time of the lead agency’s determination.
FISCAL IMPACT
The Homestead Road and Lick Mill Boulevard Signal Timing Project
(533-1207 and 533-1208) was funded at $1,080,000. However, the cost of the contract is $873,295, plus a 10% contingency of $87,330, for a total not-to-exceed amount of $960,625. Further, in January 2018, the City executed design contracts with Kimley-Horn and Associates for the not-to-exceed amount of $62,300 and $43,700 for Homestead Road Signal Timing Project and Lick Mill Signal Timing Project, respectively. Due to grant funding deadlines, the City procured $211,500 in traffic signal equipment in advance to ensure successful schedule completion. Finally, bid and advertisement costs are $3,486. This results in a total project cost of $1,281,611 with a funding need of $201,611.
Therefore, in order to complete the project, staff recommends an additional appropriation of $202,000. The additional funding need of $202,000 is available in the City’s CIP Santa Clara Citywide ITS Project 1 (533-1385) and Traffic Signal Controller Replacement Project (533-1223) which both have adequate funding to support the Project. The Homestead and Lick Mill Boulevard Signal Timing Project supports and implements the improvements generally described in the Citywide ITS Project 1, so there is no impact to this project. For the Traffic Signal Controller Replacement Project, which is an annual maintenance/replacement project, due to the proposed minor shift in funding there may be an increase in time to replace aging equipment.
BUDGET AMENDMENT
FY 2018/19
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Streets and Highways Fund (533) |
|
|
|
|
|
|
|
|
|
Expenditures |
|
|
|
|
Santa Clara Citywide ITS Project1 (533-1385) |
$456,890 |
($172,000) |
$204,890 |
|
Traffic Signal Controller Replacement Project (533-1223) |
$108,260 |
($30,000) |
$70,260 |
|
Homestead Road and Lick Mill Boulevard Signal Timing Project (533-1207 and 533-1208) |
$1,080,000 |
$202,000 |
$1,282,000 |
COORDINATION
This 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 <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Award the Public Works Contract for the Homestead Road and Lick Mill Boulevard Signal Timing Project (CE 17-18-11) to the lowest responsive and responsible bidder, Bear Electric Solutions, Inc., in the amount of $873,295, and authorize the City Manager to execute and all documents associated with and necessary for the award, completion and acceptance of the Project;
2. Authorize the City Manager to execute change orders up to approximately 10% of the original contract price, or $87,330, for a total not-to-exceed amount of $960,625; and
3. Approve the related budget amendment transferring $172,000 from the CIP Santa Clara Citywide ITS Project 1 (533-1385) and $30,000 from the Traffic Signal Controller Replacement Project (533-1223) to the Homestead Road and Lick Mill Boulevard Signal Timing Project.
Staff
Reviewed by: Craig Mobeck, Director of Public Works
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Project Location Map 1 - Homestead Road
2. Project Location Map 2 - Lick Mill Boulevard
3. Bid Summary