Staff Report
City Council
Item No. 6.C
Meeting Date: April 23, 2025
From: John A. Corella, Director of Public Works
Title: Contract Award for HSIP Cycle 9A: Traffic Signal Improvements at Twelve Intersections Project (C08752)
RECOMMENDATION:
To award a construction contract to Elecnor Belco Electric, Inc. in the amount of $850,888 for the construction of Highway Safety Improvements Program (HSIP) Cycle 9A: Traffic Signal Improvements at Twelve Intersections project (C08752); and, approve a twenty-three percent (23%) contingency in the amount of $200,512 for any unforeseeable construction costs; making the total encumbrance $1,051,400; and authorize the City Manager to execute the contract documents; and authorize the City Engineer to request bonds and insurance for the project and issue the notice to proceed.
BACKGROUND:
In December 2018, Cathedral City was awarded a $1,302,500 HSIP Cycle 9 grant to design and install advanced dilemma zone detection equipment, left turn phases, and pedestrian countdown heads at signalized intersections.
The City of Cathedral City entered into an agreement for design professional services for traffic signal upgrades at ten (10) intersections, federal project number HSIPL-5430(034) and city CIP project number 8752, with Advantec Consulting Engineers, Inc. (design consultant) on June 24, 2020. The list of the 10 intersections included:
1. Ramon Road and Whispering Palms Trail
2. Ramon Road and Cathedral Canyon Drive
3. Vista Chino and Avenue Quintana
4. Gerald Ford Drive and Plumley Road
5. East Palm Canyon Drive and El Dorado
6. Ramon Road and Desert Vista Road
7. Ramon Road and Da Vall Drive
8. Date Palm Drive and Via Olivera
9. Dinah Shore Drive and Plumley Road
10.Landau Boulevard and 30th Avenue
In February 2022, the City Council approved Amendment No. 1 to the agreement with the design consultant for two (2) additional intersections to the project because of the overlapping scope of work with the Coachella Valley Association of Governments’ (CVAG’s) Regional Traffic Signal Synchronization Project (CV Sync). The additional intersections included:
11.Date Palm Drive and Gerald Ford Drive
12.Dinah Shore Drive and Cathedral Canyon Drive
In January 2024, the City Council approved Amendment No. 2 to the agreement with the design consultant to accommodate the bidding and construction phase of the project.
Additionally, California Department of Transportation (Caltrans) approved the city’s request for allocation (RFA) of HSIP construction (CON) funds.
In March 2024, the City Council awarded a professional services agreement to Z&K Consultants, Inc. (construction engineering consultant) for construction engineering support services for the project.
On July 7, 2024, the city advertised an invitation to bid, requesting qualified contractors to perform the scope of work described in bid number B24-58E, which includes the plans and specifications for these projects. This solicitation was made available to contractors for twenty-three (23) calendar days and advertised in the Desert Sun, PlanIt Print Works and the city’s website.
On July 30, 2024, the city received three bid proposals for the project. Due to inflation and the increase in construction costs since 2018, the lowest bidder’s bid price was higher than the HSIP funds awarded for the construction of the project.
City staff worked with NAI Consulting (state/federal project support on-call consultant) and Albert A. Webb and Associates (traffic engineering on-call consultant) to submit a cost and scope change request to CalTrans for additional funding, which was approved on November 19, 2024.
On October 23, 2024, the City Council rejected all bids received on July 30, 2024, and directed staff to make the necessary revisions to the project specifications and to readvertise for construction bids.
On January 14, 2025, the city readvertised the invitation to bid. This solicitation was made available to contractors for twenty-three (23) calendar days and advertised in the Desert Sun, PlanIt Print Works and the City’s website.
On February 6, 2025, the City received five (5) bid proposals for this project. Due to an error in the bid opening process, the bids were rejected by the City Council on February 26, 2025.
DISCUSSION:
City staff readvertised the invitation to bid on Sunday, March 2, 2025, requesting qualified contractors to perform the scope of work described in bid number B24-75E, which includes the plans and specifications for these projects. This solicitation was made available to contractors for twenty-three (23) calendar days and advertised in the following locations:
Desert Sun - Published on March 2 and March 12, 2025
PlanIt Print Works - From March 2, 2025, until March 25, 2025 City’s Website - From March 2, 2025, until March 25, 2025 On March 25, 2025, the City received seven (7) bid proposals for this project.
The following table ranks each qualified bidder by total price:
RANK CONTRACTOR AMOUNT
1 Elecnor Belco Electric, Inc. (Chino, CA) $ 850,888.00 2 Crosstown Electrical & Data, Inc.
(Irwindale, CA)
$ 899,687.00
3 Alfaro Communications Construction, Inc.
(Compton, CA)
$ 1,014,344.46
4 Econolite Systems, Inc. (Anaheim, CA) $ 1,090,958.86
5 PTM General Engineering Services, Inc.
(Riverside, CA)
$ 1,181,180.00
6 DBX, Inc. (Temecula, CA) $ 1,181,858.00
7 Yunex LLC (Riverside, CA) * $ 807,995.00*
*Disqualified for non-responsive bid.
The bid tabulation prepared by the Engineering Division is attached to this report for reference.
On March 26, 2025, Elecnor Belco Electric, Inc. (Belco) submitted a formal bid protest to the City, challenging the apparent low bid submitted by Yunex LLC (Yunex). Belco’s protest alleged that Yunex failed to meet the Disadvantaged Business Enterprise (DBE) participation goal due to issues related to the qualification of one of its listed subcontractors.
In response, City staff conducted a thorough review of the protest in coordination with Caltrans and Z&K Consultants (construction engineering support consultant). Based on this review and federal DBE requirements, it was determined that Yunex did not meet the DBE goal and failed to provide sufficient good faith efforts to do so.
As Yunex was unable to refute the claims outlined in the protest, the city deemed Yunex’s bid non-responsive. Therefore, based on the bids received, the lowest responsive and responsible bidder is Elecnor Belco Electric, Inc. (Belco) from Chino, CA.
All construction work will be performed within the existing city right-of-way. The construction work is scheduled to start in January 2026 and is estimated to be completed by May 2026.
ENVIRONMENTAL ANALYSIS:
This project is categorically excluded under the National Environmental Policy Act (NEPA) process for federally funded projects per 24CFR58.35 (a)(1), and categorically exempt under the California Environmental Quality Act (CEQA), Section 15301 for “Existing Facilities”.
City staff recommends the City Council award a construction contract to Elecnor Belco Electric, Inc. in the amount of $850,888 for the construction of HSIP Cycle 9A: Traffic Signal Improvements at Twelve Intersections project (C08752); and, approve a twenty-three percent (23%) contingency in the amount of $200,512 for any unforeseeable construction costs; making the total encumbrance $1,051,400; and authorize the City Manager to execute the contract documents; and authorize the City Engineer to request bonds and insurance for the project and issue the notice to proceed.
FISCAL IMPACT:
The total grant funding obligated from HISP Cycle 9 included funds for preliminary engineering (PE), construction engineering (CE), and construction, in the amount of $1,489,100.
The PE phase has been completed, leaving a balance of HSIP grant funds in the amount of $1,217,100 for CE and CON of the Project.
Construction Engineering (CE) $165,700
Construction (CON) 1,051,400
HSIP Grant Total 1,217,100
On March 27, 2024, the City Council awarded the CE contract to Z&K Consultants in the amount of $209,124 with a ten percent (10%) contingency of $20,912; bringing the total construction engineering budget for this Project to the amount of $230,036. The CE contract with Z&K Consultants is partially funded with the HSIP 9A grant Funds and Measure A Funds as shown below.
HSIP 9A Funds $165,700
Measure A Funds $ 64,336
CE Budget $230,036
The balance of HSIP grant funds for the construction of the project is in the amount of $1,051,400.
Belco’s bid was in the amount of $850,888. City staff propose to include a 23% contingency, in the amount of $200,512, for an estimated construction budget of $1,051,400.
Belco’s Bid Proposal $850,888
Contingency (23%) $200,512
Total Construction Budget 1,051,400
The following table summarizes the budget allocations for the construction of the project.
FISCAL
YEAR DESCRIPTION
GENERAL
LEDGER
ACCOUNT
CODES
PROJECT
CODE AMOUNT ONE TIME or
ONGOING
2024-2025 HSIP 9A Funds 331-100-150-156-
8800-8802 C08752 $850,888 ONE TIME
2024-2025 Contingency (23%) 331-100-150-156-
8800-8802 C08752 $200,512 ONE TIME
2024-2025 Total $1,051,400
FIVE-YEAR STRATEGIC PLAN:
Goal B: Community Investment
Objective: Cathedral City roads, gateways, public spaces, and other city infrastructure are well planned, designed, constructed, and maintained.
ATTACHMENTS:
1. Project Location
2. Bid Tabulation - HSIP Cycle 9A
3. Contract – Elecnor Belco Electric, Inc.