2026-04-28; City Council; 01; Accept Bids and Award Contract to Southern Contracting, Inc. for the Street Lighting Replacement Program Phase IV Project

CA Review TL
Meeting Date: April 28, 2026
To: Mayor and City Council
From: Geoff Patnoe, City Manager
Staff Contact: Michael O’Brien, Public Works Superintendent [email protected], 442-339-2996
Subject: Accept Bids and Award Contract to Southern Contracting, Inc. for the Street Lighting Replacement Program Phase IV Project
Districts: All
Recommended Action
Adopt a resolution accepting bids and awarding a contract to Southern Contracting, Inc. for the Street Lighting Replacement Program Phase IV Project in an amount not to exceed $603,053.

Executive Summary
The City Council is being asked to award a contract for the fourth phase of the city’s Street Lighting Replacement Program to Southern Contracting, Inc., which staff have determined is the lowest responsive and responsible bidder with a bid in an amount of $603,053.

The City Council’s approval is required under Carlsbad Municipal Code Sections 3.28.080(C) and

3.28.080(I)(6), which require the City Council’s approval for all formally bid construction contracts when the value exceeds $220,000.

Explanation and Analysis
Overview
The city converted all its high-pressure sodium streetlight fixtures to induction lighting fixtures in 2010. The current induction lighting fixtures are reaching the end of their useful life and are being replaced throughout the city in a phased approach under the Street Lighting Replacement Program, Capital Improvement Program Project No. 6062, which was established to fund the necessary replacements.
•Phase I replaced 1,497 safety lights at all signalized intersections and the cobra-head style streetlights on all arterial streets, employment/transit connector streets, arterial connector streets and coastal streets, as identified in the city’s General Plan Mobility Element.
•Phase II converted 2,172 aging induction lighting fixtures to new improved light-emitting diode, or LED, roadway lighting fixtures at locations near the Barrio and the Village and in cul-de-sacs throughout the city.

April 28, 2026 Item #1 Page 1 of 7
Docusign Envelope ID: C8FD231B-A5CE-427D-A25E-F10CA61CB5F6

•Phase III converted 161 aging induction lighting fixtures in Landscape and Lighting District II to new improved LED roadway lighting fixtures. •The current phase, Phase IV, Project No. 6062-25, will upgrade the 1,085 remaining Mission Bell light fixtures citywide and the Contempo-style lights in the La Costa area to new LED lights.

The streetlight location map is provided as Exhibit 2.

Bidding process
•The City Council adopted the plans and specifications for the project and authorized advertising for construction bids on Jan. 13, 2026, with an engineer’s estimate of $991,000. (An engineer’s estimate is used to obtain an estimate that will be as close to the actual costs as possible.)
•The project was then advertised using the city’s formal bidding procedures. •Staff received 12 bids for construction of the project on Feb. 25, 2026, with the bid range of $603,053 to $899,599; all 12 bids were below the engineer’s estimate. •Staff reviewed the bid documents and determined that Southern Contracting, Inc. was the lowest responsive and responsible bidder to perform the specified work.

Staff recommend that the City Council accept the bids and award the construction contract to Southern Contracting, Inc. for the project in an amount not to exceed $603,053.

Fiscal Analysis
Sufficient funds are available to complete the project, with an expected total cost of $663,053 including construction contingency. The project’s funding consists of TransNet1 and General Capital Construction funds.
1 TransNet is a countywide sales tax collected to fund regional transportation projects.

Funding for Street Lighting Replacement Program
Capital Improvement Program Project No. 6062
Total appropriation to date $3,644,269
Total expenditures and encumbrances to date -$2,071,405 Total available funding $1,572,864
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Docusign Envelope ID: C8FD231B-A5CE-427D-A25E-F10CA61CB5F6

This project is anticipated to be eligible for a grant from the Federal Energy Efficiency and Conservation Block Grant Program. Staff will submit the required documentation to request reimbursement of up to $168,000 once the Phase IV project is complete.

Carlsbad Municipal Code Section 3.28.040(C)(5) allows the City Manager or designee to approve change orders in an amount equal to the contingency set at the time of project award, which for this project is $60,000.

Next Steps
With the City Council’s approval, staff will award the construction contract to Southern Contracting, Inc. Work to replace the existing streetlights with new energy-efficient LED lights is anticipated to start this summer and be completed by November 2026.

Staff anticipate the remaining LED conversion of this program will include small sections of residential streets that staff will address as needed.

Environmental Evaluation
The proposed action for construction of the Street Lighting Replacement Program Phase IV Project is categorically exempt from environmental review under the California Environmental Quality Act, or CEQA, Guidelines Section 15301 because it involves the maintenance, repair or minor alteration of existing facilities with negligible or no expansion of the existing or former use. No exceptions to the categorical exemption as set forth in CEQA Guidelines Section 15300.2 or Carlsbad Municipal Code Section 19.04.070(C) apply.

Exhibits

1.City Council resolution

2.Location map
Funding for Street Lighting Replacement Program Phase IV Capital Improvement Program Project No. 6062-25
Construction contract – Southern Contracting, Inc.

Construction contingency -$603,053
Total estimated construction costs -$663,053
Remaining balance $909,811
Additional appropriation needed $0
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Docusign Envelope ID: C8FD231B-A5CE-427D-A25E-F10CA61CB5F6

Exhibit 1
RESOLUTION NO. 2026-078 .

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,

CALIFORNIA, ACCEPTING BIDS AND AWARDING A CONTRACT TO SOUTHERN CONTRACTING, INC. FOR THE STREET LIGHTING REPLACEMENT PROGRAM PHASE IV PROJECT IN AN AMOUNT NOT TO EXCEED $603,053
WHEREAS, the City Council of the City of Carlsbad, California, has determined it necessary, desirable and in the public interest to upgrade the citywide street lighting system by replacing certain existing street lighting fixtures as part of the Street Lighting Replacement Program, Capital Improvement Program, or CIP, Project No. 6062; and
WHEREAS, Phase IV of the project includes continued replacement of Mission Bell-style luminaires and Contempo-style streetlights citywide, CIP Project No. 6062-25; and WHEREAS, on Jan. 13, 2026, the City Council adopted Resolution No. 2026-003, adopting the plans and specifications and authorizing advertisement of the Street Lighting Replacement Program Phase IV project, CIP Project No. 6062-25, for construction bids; and WHEREAS, on Feb. 25, 2026, staff received 12 bids for construction of the project; and WHEREAS, Southern Contracting, Inc. submitted the lowest responsive and responsible bid in an amount not to exceed $603,053; and
WHEREAS, sufficient funding consisting of TransNet and General Capital Construction funds are available in CIP Project No. 6062 to complete Phase IV; and WHEREAS, Carlsbad Municipal Code sections 3.28.080(C) and 3.28.080(I)(6), which govern purchasing in construction contracts, require the City Council to award all formally bid contracts when the value exceeds $220,000; therefore, the project is subject to this requirement.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows:

1.That the above recitations are true and correct.

2.That the City Council has determined that the proposed action for construction of the Street Lighting Replacement Program Phase IV Project is categorically exempt from environmental review under the California Environmental Quality Act, or CEQA, Guidelines Section 15301 because it involves the maintenance, repair or minor alteration of existing facilities with negligible or no expansion of the existing or former April 28, 2026 Item #1 Page 4 of 7
Docusign Envelope ID: C8FD231B-A5CE-427D-A25E-F10CA61CB5F6

use. No exceptions to the categorical exemption as set forth in CEQA Guidelines Section 15300.2 or Carlsbad Municipal Code Section 19.04.070(C) apply.

3.That the bid of $603,053 submitted by Southern Contracting, Inc. for Street Lighting Replacement Program Phase IV Project is accepted, and the Mayor is hereby authorized to execute the contract for the project.

4.That the contingency amount for this project is hereby set at $60,000 and the City Manager or designee is authorized to approve construction change orders up to the contingency amount for the project.

5.That the award of this contract is contingent upon Southern Contracting, Inc. executing the required contract and submitting the required bonds and insurance policies, as described in the contract, within 20 calendar days after adoption of this Resolution. The City Manager may grant reasonable extensions of time to execute the contract and assemble the required bonds and insurance policies.

PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 28th day of April, 2026, by the following vote, to wit:

AYES: Blackburn, Bhat-Patel, Burkholder, Shin.

NAYS:

ABSTAIN:

ABSENT:

None.

Acosta.

None.
_____________________________________
KEITH BLACKBURN, Mayor
______________________________________
SHERRY FREISINGER, City Clerk
(SEAL)
April 28, 2026 Item #1 Page 5 of 7
Docusign Envelope ID: C8FD231B-A5CE-427D-A25E-F10CA61CB5F6

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Exhibit 2
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