FROM:
Engineering
SUBJECT:
Approve an Increase to the Contract Not-To-Exceed Amount for Traffic Signal Maintenance and Repair Services (DE-24-211-SP)
Title
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RECOMMENDATION:
Recommendation
Approve and authorize the City Manager to increase the annual amount of not-to-exceed of $350,000 annually for both Bear Electrical Solutions, Inc. and Yunex Traffic to provide as-needed traffic signal maintenance and repair services.
Authorize the City Manager to execute any future amendments to the Maintenance Services Agreements not to exceed $35,000.
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EndCOUNCIL GOALS:
- To invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.
- To invest in the City’s infrastructure (streets, sewers, parks, etc.) by focusing on relief of traffic congestion.
- To invest in the City’s infrastructure (streets, sewers, parks, etc.) by utilizing Measure-I Funds wisely.
DISCUSSION:
On June 25, 2024, the City Council authorized the City Manager to execute a Maintenance Services Agreement with Bear Electrical Solutions, Inc. and Yunex Traffic for a not-to-exceed amount for each contractor of $120,000 individually, as well as a combined net total annual not-to-exceed amount of $120,000 in total annual expenditures for Traffic Signal Maintenance and Repair Services.
In order to allow for extraordinary responses such as the efforts following the January 2025 Santa Ana wind event, account for an increase in collisions causing extensive damage to signal equipment, and account for an increasing quantity of equipment surpassing its service life, the amount of extraordinary maintenance needs surpasses the current annual not-to-exceed contract amount.
The City’s Risk Management staff diligently pursue cost recovery efforts for those costs incurred due to traffic collisions where a responsible party is identified. Traffic Signal Maintenance staff balance the allocation of City staff resources and contractor support services to perform on-going preventative maintenance work, extraordinary repair work, and project-based work to ensure excellent experience for the community in the most cost-effective manner.
Increasing the annual contract amount will allow the City to continue to maintain prompt and efficient signal maintenance and operations, and to respond to large-scale events without delay.
FISCAL IMPACT:
The fiscal impact associated with the approval of this item is an increase in expenditures of $230,000.00 and is included in the FY 2025/26 current budget in Measure I 2010-2040 Local Fund 246 in accounts 24637516-8013, 24637517-8130, 24637518-8130, and 24637518-8030.
MOTION:
Approve staff recommendation.