REPORT TO COUNCIL
SUBJECT
Title
Approval of Budget Modification Number 3 for Hendy Avenue Complete Streets Project: Appropriate $400,000 in Santa Clara Valley Transportation Authority Vehicle Registration Fee Grant Funds; Increase Federal Transportation Program Grant Funds by $25,975; and Increase the Construction Contract Contingency by up to $400,000
Report
BACKGROUND
On January 28, 2014, City Council authorized the City Manager to execute a funding agreement between the City of Sunnyvale and the Santa Clara Valley Transportation Authority for 2010 Measure B Vehicle Registration Fee Countywide Program funds. The agreement allowed for up to $400,000 in Vehicle Registration Fees (VRF) to be transferred to the City for utilization on the Hendy Avenue Complete Street Improvements project for issues related to soil contamination. The construction activities associated with the soil contamination are not part of the original construction contract and are not covered by the Federal funds obtained for the street renovation. The agreement with the Valley Transportation Authority (VTA) was fully executed by both parties in February 2014 (see Attachment 1).
Also on January 28, 2014, City Council increased the project's construction contingency by $450,000 for installation of a new 12" water main in Hendy Avenue. The new water main design was completed by the engineer. However, construction costs received from the contractor, even after negotiations with staff, were well in excess of the available funding. Per the discussion of the staff report (14-0077 - Attachment 2), construction proceeded absent the construction of the new water main. The new Hendy water main will need to be constructed as part of a future water main replacement project. It will be included with all other City water main replacement needs and its priority will need to be determined based on available funding and overall City needs.
O'Grady Paving, Inc., the project's construc...
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