REPORT TO COUNCIL
SUBJECT
Title
Award a Contract to Ray’s Electric in the Amount of $1,572,546.78 for Traffic Signal Hardware and Wiring at Fair Oaks/Olive and Maude/Pastoria Project and Finding of California Environmental Quality Act (CEQA) Categorical Exemption Pursuant to CEQA Guidelines Section 15301(c) (PW26-06)
Report
STAFF RECOMMENDATION
Recommendation
Take the following actions:
- Award a contract in substantially the same form as Attachment 2 to the report in the amount of $1,572,546.78 to Ray’s Electric of Oakland, CA;
- Make a finding of categorical exemption from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301(c);
- Authorize the City Manager to execute the contract when all necessary conditions have been met: and
- Approve a 10% contingency in the amount of $157,255.
Report
BASIS FOR RECOMMENDATION
The Traffic Signal Hardware and Wiring at Fair Oaks/Olive and Maude/Pastoria Project (TR-24-07) was advertised on PlanetBids on November 21,2025. Twenty-Five (25) prospective bidders requested bid documents. Sealed bids were opened on December 10, 2025, with six (6) bids received. Ray’s Electric submitted the lowest responsive and responsible bid of $1,572,546.78 (Attachment 1 - Bid Summary).
This project provides funding for design and construction to replace traffic signal underground conduits and signal pole structures at the end of their estimated lifespan. Underground cables and conduits have a life expectancy of approximately 35 years. Signals identified for replacement are evaluated by location-specific assessments based upon an inventory of traffic signal life cycles. The City has 138 traffic signals. Of these, approximately 72 percent are past their design life and are due for replacement. Underground conduits/substructures, as they age and corrode, become filled with dirt and water and cannot be cleaned. Failure to replace these systems may result in wire failures, with no quick replacement and signal shutdown for multiple days until replacement.
The project will also include curb extensions at three of the four corners of the Fair Oaks Avenue/Olive Avenue intersection near Ellis Elementary, consistent with the Safe Routes to Schools Improvements identified in the Active Transportation Plan. These improvements will reduce crossing distances and improve pedestrian visibility for approaching drivers.
ENVIRONMENTAL REVIEW
This project is exempt under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301(c), which applies to repairs, maintenance or minor alterations of existing streets, sidewalks and pedestrian trails and similar facilities, involving negligible or no expansion of the existing or former use thereof.
FISCAL IMPACT
Budgeted funds for Traffic Signal Hardware and Wiring at Fair Oaks/Olive and Maude/Pastoria are available in Fund 3201 - Infrastructure Fund - General Assets under Project 820190 and primarily funded with Gas Tax revenues. The project budget financial summary is attached as Attachment 3 to this report.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
_X_ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: David Battaglia, Purchasing Officer
Reviewed by: Matthew Paulin, Director of Finance
Reviewed by: Chip Taylor, Director of Public Works
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. Bid Summary
2. Draft General Construction Contract
3. Project Summary Sheet 820190