REPORT TO COUNCIL
SUBJECT
Title
Reject the Sole Proposal for Equipment Foundations for Sunnyvale SMaRT Station NextGen Project (F26-377)
Report
REPORT IN BRIEF
Approval is requested to reject the sole bid received in response to Invitation for Bids (IFB) F26-377 for the Equipment Foundations for Sunnyvale SMaRT Station NextGen Project. Staff recommend rejecting the bid and re-advertising the project after revising the scope of work to improve competition and better align project costs with available budget.
EXISTING POLICY
Pursuant to Section 2.08.140(b) of the Sunnyvale Municipal Code, the City Council may reject bids or proposals received in response to formal competitive bid solicitations. This section further provides that if all bids/proposals are rejected, the City has the discretion to re-advertise
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(4) in that it is a fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment.
BACKGROUND AND DISCUSSION
An Invitation for Bids (IFB) for the Equipment Foundations for Sunnyvale SMaRT Station NextGen Project was advertised on the City’s PlanetBids procurement portal on February 25, 2026. A non-mandatory pre-bid site meeting was held on March 9, 2026, to review the project scope, discuss City requirements, and allow prospective bidders to visit the project site.
Sealed bids were due and publicly opened via the PlanetBids system on March 18, 2026. One responsive and responsible bid was received from WM Lyles Co. Following review of the bid and subsequent discussions with the bidder, staff determined that rejecting the sole bid and re-advertising the project would be in the City’s best interest to encourage greater competition and obtain more favorable pricing.
Staff recommend rejecting the sole bid and working with the Department of Public Works and the Environmental Services Department to revise the scope of work and bid documents prior to re-advertising the project.
FISCAL IMPACT
There is no fiscal impact associated with rejecting the bid. Project funding for SMaRT equipment foundations is available in Fund 6143 - SMaRT Station Equipment Replacement Fund under Project 828260 - SMaRT Post-2021 Rebuild. Any future construction contract award will be brought forward separately for Council consideration.
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.
RECOMMENDATION
Recommendation
Reject the sole bid in response to the Invitation for Bids (IFB) F26-377 for the Equipment Foundations for Sunnyvale SMaRT Station NextGen Project.
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
_X Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ 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: Mansour Nasser, Interim Director, Environmental Services Department
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager