REPORT TO COUNCIL
SUBJECT
Title
Award of Bid No. PW16-05 for Traffic Signal Reconstruction at Mathilda/Olive Avenues, Make a Finding of CEQA Categorical Exemption, and Approve Budget Modification No. 10 to appropriate $85,000 in grant funding
Report
REPORT IN BRIEF
Approval is requested to award a construction contract in the amount of $547,532 to Tennyson Electric Inc. of Livermore to reconstruct the traffic signal system at the intersection of Mathilda and Olive Avenues (Public Works Project No. TR-13/09-15). Approval is also requested for a 10% construction contingency in the amount of $54,753.
EXISTING POLICY
Section 1309 of the City Charter requires construction contracts to be awarded to the lowest responsive and responsible bidder.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) determination for this project is a categorical exemption pursuant to Class 1, Section 15301(a), for existing facilities.
BACKGROUND AND DISCUSSION
The reconstruction of this traffic signal was designed as part of a four-signal design package. Due to budgetary constraints, this project was deferred one year for construction. The scope of the project is to reconstruct the traffic signal to current standards, including decorative poles/lighting, tightening curb radii on the north-east corner of the intersection to straighten out and shorten the pedestrian crossing, new slurry seal and thermoplastic striping within the intersection, remove traffic signal equipment within median islands, upgrade accessible corner ramps, and installation of fiber optics communication cable.
The project was advertised in The Sunnyvale Sun on August 14, 2015, distributed to eighteen Bay Area Builder’s Exchanges, and published on the City’s website through the Demandstar public procurement network. Fifteen contractors requested bid documents. Sealed bids were opened on September 2, 2015, with three responsive bids received.
The lowest responsive and responsible bid was submitted by Tennyson Electric, Inc. of Livermore, in the amount of $547,532. The Bid Summary is attached. The Engineer’s Estimate was prepared utilizing the most recent cost data the City has on file related to this type of construction work. As a result of the current economic conditions and the large number of projects being constructed throughout the bay area, costs have risen and the low bid exceeded the Engineer’s Estimate, as well as the available budget. Consequently a budget modification is recommended in order to complete the work, as detailed below.
FISCAL IMPACT
Project costs consist of the base bid of $547,532 and a 10% contingency in the amount of $54,753, for a total of $602,285. The majority of the funding is available in Capital Project 820190, Traffic Signal Hardware & Wiring. $85,000 in grant funding has also been awarded for this project as part of a $370,000 Transportation Fund for Clean Air (TFCA) grant. Budget Modification No. 10 has been prepared to appropriate the portion of the grant attributable to this project. Staff will return to Council at a later date to appropriate the remainder of the TFCA funding to several other projects. Funds remaining in this project will be carried forward to fund other similar future traffic signal projects.
Funding Source
This project is funded by the Infrastructure Renovation and Replacement Fund through a General Fund transfer and a Transportation Fund for Clean Air grant.
Budget Modification No. 10
FY 2015/16
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Current |
Increase/ (Decrease) |
Revised |
|
Infrastructure Renovation and Replacement Fund |
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|
|
Revenues |
|
|
|
|
TFCA Comprehensive Pedestrian Infrastructure Improvements Grant |
$0 |
$85,000 |
$85,000 |
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Expenditures |
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|
|
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Project 820190 - Traffic Signal Hardware and Wiring |
$537,648 |
$85,000 |
$622,648 |
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
1) Make a finding of CEQA categorical exemption pursuant to Class 1 Section 15301(a) for existing facilities; 2) approve Budget Modification No. 10 to provide project funding; 3) award a contract, in substantially the same format as Attachment 2 to the report and in the amount of $547,532 to Tennyson Electric Inc.; and 4) approve a 10% construction contingency in the amount of $54,532.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Grace K. Leung, Director, Finance
Reviewed by: Manuel Pineda, Director, Public Works
Reviewed by: Jane Chambers, Interim Assistant City Manager
Approved by: Kent Steffens, Assistant City Manager
for Deanna J. Santana, City Manager
ATTACHMENTS
1. Bid Summary
2. Draft General Construction Contract