To:
FROM:
DATE:
SUBJECT:
CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
Honorable Mayor and Council Members
Jacki Scott, Public Works Director/City Engineer
April 21 , 2026
Approval of Amendment No. 2 to the On-Call Professional Services Agreement with lteris, Inc. for the La Paz Road and Cabot Road Regional Traffic Signal Synchronization Program Projects
RECOMMENDATION
Staff recommends that the City Council:
1. Approve Amendment No. 2 to the On-Call Professional Services Agreement (On Call PSA) with lteris, Inc. to provide project management, design, and construction support services for the La Paz Road and Cabot Road Regional Traffic Signal Synchronization Program Projects for a not-to-exceed amount of $587,41 O;
2. Approve a not-to-exceed 10% contingency in the amount of $58,741 for unforeseen conditions or extra work, and authorize the Public Works Director/City Engineer to approve additional work, for a total not-to-exceed amount of $646,151, if needed; and,
3. Authorize the City Manager to execute Amendment No. 2 to the On-Call PSA with lteris, Inc., subject to the City Attorney making non-substantive changes.
BACKGROUND
In 1990, Orange County voters approved Measure M, a 20-year half-cent local transportation sales tax. Then in 2006, Orange County voters approved the renewal of the Measure M half-cent transportation sales tax, known as Measure M2, through 2041.
The Orange County Transportation Authority (OCTA) distributes Measure M2 funds on a formula basis or through a competitive process. The Comprehensive Transportation Funding Programs (CTFP) is the mechanism by which OCTA administers competitive funding for streets and roads projects. The Regional Traffic Signal Synchronization Program (RTSSP) under CTFP provides funds to improve traffic flow, reduce congestion, and reduce greenhouse gas emissions along key corridors and across multiple jurisdictions in Orange County.
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La Paz Road Regional Traffic Signal Synchronization Project In April 2025, OCTA approved approximately $1 .9 million in CTFP grant funding for the La Paz Road RTSSP, led by the City of Laguna Niguel in partnership with Caltrans, City of Laguna Hills, City of Aliso Viejo, and City of Mission Viejo. This regional corridor is approximately 8 miles long from Olympiad Road/Felipe Road to Crown Valley Parkway and includes a total of 33 signalized intersections, 8 of which are in the City of Laguna Niguel. A vicinity map of the signalized intersections along La Paz Road is provided as Attachment "A". The project includes new fiber optic communication, signal cabinets, traffic signal controllers, closed-circuit television (CCTV) cameras, and hybrid video/radar vehicle detection equipment at several intersections along the corridor within Laguna Niguel.
La Paz Road is identified as a project corridor in OCTA's adopted Traffic Signal Synchronization Master Plan and the City's adopted Local Signal Synchronization Plan.
Cabot Road Regional Traffic Signal Synchronization Project OCTA also approved approximately $829,000 in CTFP grant funding last year for the Cabot Road RTSSP, also led by the City of Laguna Niguel in partnership with Caltrans, City of Laguna Hills, and City of Mission Viejo. This regional corridor is approximately 3.5 miles long from La Paz Road to Paseo De Colinas and includes a total of 16 signalized intersections, 8 of which are in the City of Laguna Niguel. A vicinity map of the signalized intersections along Cabot Road is provided as Attachment "B". The project includes new fiber optic communication, signal cabinets, traffic signal controllers, closed-circuit television (CCTV) cameras, and hybrid video/radar vehicle detection equipment at several intersections along the corridor within Laguna Niguel.
Cabot Road is identified as a project corridor in OCTA's adopted Traffic Signal Synchronization Master Plan and the City's adopted Local Signal Synchronization Plan.
These grant-funded capital improvement projects support City Council Goal 2 (Fiscal Sustainability) and Goal 4 (Infrastructure and Technology) of the City's adopted Strategic Plan.
ANALYSIS
In November 2025, the City issued a Request for Proposals (RFP) to provide project management and engineering services for the combined La Paz Road and Cabot Road RTSSP Projects. The scope of work to deliver the project includes but is not limited to the following tasks:
• Project management during the design, construction, and maintenance phases; • Development of Cooperative Agreements with participating agencies; • Development of plans, specifications, and estimates (PS&E); • Monthly progress meetings with participating agencies; • Project cost tracking and weekly status reports;
• Permitting and regulatory compliance;
• Grant administration, reporting, and invoicing;
• System training and commissioning; and,
• Development of a Final Report.
In response to the RFP, the City received proposals from four qualified consultants. The proposals were evaluated and ranked on the following five categories: key personnel, project approach, project schedule and controls, references and relevant experience, and cost. Pursuant to Laguna Niguel Municipal Code Section 3-6-8, professional services contracts shall be awarded on the basis of the demonstrated competence of the service providers, and on the service provider's professional qualifications necessary for the satisfactory performance of the services required, and on the fairness and reasonableness of the cost of the services to the City and shall not be awarded solely on the basis of cost.
The following table displays the consulting firms and the evaluation ranking for all of the proposals received.
Rank Consultant
1 lteris, Inc. (Recommended)
2 AGA EnQineers, Inc.
3 Kimley-Horn and Associates, Inc.
4 Advantec Consulting Engineers, Inc.
The top two consultants were interviewed by staff on January 29, 2026. After a thorough evaluation, it was determined that lteris, Inc., is the most qualified firm to lead this effort.
Their expertise and experience with similar projects within Orange County and their experience as the City's on-call traffic engineering consultant provides them with unique knowledge of the City to deliver exemplary service to the community. The City also received positive reference checks for lteris, lnc.'s past project performances. Staff negotiated a fee with lteris, Inc. to obtain the best overall value for the requested services.
Staff recommends that the City Council approve Amendment No. 2 to the On-Call Professional Services Agreement with lteris, Inc. in the amount of $587,410 for the La Paz Road and Cabot Road RTSSP Projects (Attachment "C"). Staff is also recommending that the City Council approve a 10% contingency for any unforeseen circumstances or extra work, in the amount of $58,741, for a total not-to-exceed contract amount of $646,151. The projects are expected to begin in June 2026 with an estimated completion in 2028.
ALTERNATIVES CONSIDERED
The City Council may decide not to approve Amendment No. 2 with lteris, Inc. and readvertise the RFP. Staff believes that reissuing the RFP will not result in more desirable proposals. Additionally, readvertising the project may create delays to the project schedule and put the City at risk of not meeting the mandatory OCTA milestone Page4
completion dates. Funds may be subject to forfeiture if the completion deadlines are not met.
FISCAL REVIEW
There is sufficient funding in the Fiscal Year 2025-26 Capital Improvement Program project budget to cover the cost of Amendment No. 2 to the On-Call PSA with lteris, Inc.
The City of Laguna Niguel, as the lead agency, is responsible for seeking reimbursement payments from OCTA and the participating agencies for completed work. Each participating city covers its proportionate share of the project costs.
La Paz Road Proiect Funding Summarv
Estimated Total Project Cost $2,416,000
Measure M2 Grant Funds $1,933,000
Other Cities' Match $350,000
City of Laguna Niguel's Match $133,000 (General Funds)
Cabot Road Project Funding Summary
Estimated Total Project Cost $1,036,000
Measure M2 Grant Funds $829,000
Other Cities' Match $114,000
City of Laguna Niguel's Match $93,000 (General Funds)
LEGAL REVIEW
The City Attorney's Office has reviewed Amendment No. 2 and has approved it as to form.
CONCLUSION
Staff recommends that the City Council:
1. Approve Amendment No. 2 to the On-Call Professional Services Agreement (On Call PSA) with lteris, Inc. to provide project management, design, and construction support services for the La Paz Road and Cabot Road Regional Traffic Signal Synchronization Program Projects for a not-to-exceed amount of $587,41 O;
2. Approve a not-to-exceed 10% contingency in the amount of $58,741 for unforeseen conditions or extra work, and authorize the Public Works Director/City Engineer to approve additional work, for a total not-to-exceed amount of $646,151, if needed; and,
3. Authorize the City Manager to execute Amendment No. 2 to the On-Call PSA with lteris, Inc., subject to the City Attorney making non-substantive changes.
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Tamara S. Letourneau i Scott
City Manager Public Works Director/City Engineer
Attachments :
A. La Paz Road Vicinity Map
B. Cabot Road Vicinity Map
C. Amendment No. 2 to the On-Call Professional Services Agreement with lteris, Inc.
ATTACHMENT A
La Paz Road Vicinity Map
Attachment A: La Paz Road Vicinity Map
Scale: 1:60,000 (
/ ~--...
Ut; fl0"~
L A,G UN A
HI i.. L. S
I
JO
Mil es
Project Signals
Et Mission Viejo (91
• Caltrans 141
® Laguna Hills 141
® Aliso Viejo 111
0 Laguna Niguel (51
Proposed
Offset Signals
A Mission Viejo 121
A Laguna Hills 111
A Aliso Viejo (4)
& Laguna Niguel (31
La Paz Road
Project Corridor
La Paz Road RTSSP Project
ATTACHMENT B
Cabot Road Vicinity Map
Attachment B: Cabot Road Vicinity Map
,---,-'---------, L aQu , 1:1 H ill ~
Sca le: 1:35,000
LAGUNA HILLS
/ A LI 5 0
v1Eho
'""
0 '"
~ Mit es
•
Project Signals
IJ Mission Viejo 111
• Caltrans 111
8 Laguna Hillsl6)
8 Aliso Viejo IOI
0 Laguna Niguel 141
Proposed Offset
Signals
&l Mission Viejo IOI
• Coltrons(0I
(I Laguna Hills IOI
$ Aliso Viejo IOI
0 Laguna Niguol 141
- Cabot Road Project Corridor
_,__ ______ __;,:;_ ____ .,__ ____________ ~:.:.:.:.:..-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_--'_, Cabot Road RTSSP Project
ATTACHMENT C
Amendment No. 2 to the On-Call Professional Services
Agreement with lteris, Inc.
AMENDMENT NO. 2 TO AGREEMENT FOR ON-CALL PROFESSIONAL SERVICES
BETWEEN CITY OF LAGUNA NIGUEL AND
ITERIS, INC.
THIS AMENDMENT NO. 2 TO AGREEMENT FOR ON-CALL PROFESSIONAL SERVICES ("Amendment") is made and entered into __ by and between CITY OF LAGUNA NIGUEL, a California municipal corporation ("City") and Iteris, Inc., a Delaware corporation ("Consultant"). City and Consultant may be referred to individually as "Party" or collectively as "Parties."
RECITALS
1. City and Consultant entered into an on-call professional services agreement on July 1, 2023 ("Agreement").
2. City has requested La Paz Road and Cabot Road Regional Traffic Signal Synchronization Program Projects (RTSSP) design, implementation, and project management services pursuant to the terms of the Agreement.
3. Consultant submitted a written proposal for the above requested services ("Project Proposal") on January 8, 2026.
4. Consultant has the qualifications and experience to render the requested services.
5. City and Consultant have entered into amendment(s) to the Agreement as detailed in "Prior Amendments to Agreement" attached hereto as Exhibit E-2.
6. City and Consultant now desire to enter into Amendment No. 2 to the Agreement for the performance by Consultant of the requested services for City.
AGREEMENT
In consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:
1. Project Term. This Amendment shall become effective as of the date stated above and, unless earlier terminated in accordance with Article 7 of the Agreement, shall continue in full force and effect until the services have been completed.
2. Consultant Proiect Proposal. The Project Proposal from Consultant, for this Amendment to the Agreement, shall be incorporated herein by this reference as though fully set forth herein. The Scope of Services shall include the scope of services or work included in the Project Proposal. In the event of any inconsistency or any conflict between the terms of the Project Proposal, and the Agreement or this Amendment, the terms of the Agreement or this Amendment, respectively, shall govern. No other terms and conditions from the Project Proposal, other than -1-
description of scope of services or work, shall apply to this Amendment or the Agreement, unless specifically agreed to by City in writing.
3. Proiect Scope of Services. In compliance with all terms and conditions of the Agreement and this Amendment, Consultant shall provide on an as-needed basis those services specified in the "Scope of Services" attached hereto as Exhibit A-2 and incorporated herein by this reference, which may be referred to herein as the "services" or "work" hereunder.
4. Proiect Special Requirements. Additional terms and conditions of this Amendment, if any, which are made a part hereof are set forth in the "Special Requirements" attached hereto as Exhibit B-2 and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit B-2, and any other provisions of this Amendment or the Agreement, the provisions of Exhibit B-2 shall govern.
5. Project Compensation and Aggregate Contract Sum. Subject to any limitations set forth in the Agreement and this Amendment, City agrees to pay Consultant the amounts specified in the "Schedule of Compensation" attached hereto as Exhibit C-2 and incorporated herein by this reference. The total compensation (excluding the Contingency Sum), including reimbursement for actual expenses, shall not exceed Five Hundred Eighty-Seven Thousand Four Hundred Ten Dollars ($587,410) ("Compensation Sum"). This Amendment includes a contingency amount equal to Fifty-Eight Thousand Seven Hundred Forty-One Dollars ($58,741) ("Contingency Sum") to account solely for additional work, or unforeseen conditions, related to the services. The total compensation (including the Contingency Sum), including reimbursement for actual expenses, shall not exceed Six Hundred Forty-Six Thousand One Hundred Fifty-One Dollars ($646,151) ("Contract Sum"), unless additional compensation is approved pursuant to Section 1.5 of the Agreement. The Consultant shall obtain written approval from the City for any use of the Contingency Sum. Compensation may include reimbursement, for actual and necessary expenditures, if both specified in either the Schedule of Compensation (Exhibit C-2 to this Amendment) or the Schedule of On-Call Compensation (Exhibit C to the Agreement), as well as approved by City in advance. The Contract Sum shall include the attendance of Consultant at all project meetings reasonably deemed necessary by City. Consultant agrees that if Consultant becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services, Consultant shall promptly notify the City Representative of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto.
6. Project Schedule of Performance. Consultant shall commence the services pursuant to this Amendment upon receipt of a written notice to proceed pursuant to Exhibit A-2 and shall perform all services within the time period(s) established in the "Schedule of Performance" attached hereto as Exhibit D-2 and incorporated herein by this reference (and as applicable the "Schedule of Performance" attached as Exhibit D to the Agreement).
7. Prior Amendments to Agreement. Prior amendments to the Agreement, if any, are itemized in "Prior Amendments to Agreement," attached hereto as Exhibit E-2 and incorporated herein by this reference.
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8. Consultant Representative for Proiect. The Consultant Representative for the work or services under this Amendment is Naree Kim, Program Manager, 949-270-9565, [email protected], who is authorized to act on Consultant's behalf with respect to the work or services specified herein and to make all decisions in connection therewith. It is expressly understood that the experience, knowledge, capability and reputation of the representative was a substantial inducement for City to enter into this Amendment to the Agreement. Therefore, the representative shall be responsible during the term of this Amendment for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. For purposes of this Amendment, the representative may not be replaced nor may their responsibilities be substantially reduced by Consultant without the express written approval of City.
9. Continuing Effect of the Agreement. Except as amended by this Amendment No. 1, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment, whenever the term "Agreement" appears in the Agreement, it shall mean the Agreement, as amended by this Amendment No. 2.
10. Affirmation of the Agreement. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each Party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation.
11. Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment.
12. Authority. The persons executing this Amendment on behalf of the Parties hereto warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment on behalf of said Party, (iii) by so executing this Amendment, such Party is formally bound to the provisions of this Amendment, and (iv) entering into this Amendment does not violate any provision of any other agreement to which said Party is bound. [SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, the Parties hereto have executed this Amendment on the date and year first-above written .
ATTEST:
Marissa J. Asistin, City Clerk
CITY:
CITY OF LAGUNA NIGUEL, a California
municipal corporation
Tamara S. Letourneau, City Manager
CONSULTANT:
Iteris, Inc., a Delaware corporation
By:-- ----- - ------
Name :
Title:
By: _______ _ ____ __ _
Name:
Title:
Address: ---- ------ ---
Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairperson of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. (Cal. Corp. Code § 313.) APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE
BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULA TIO NS APPLICABLE TO CONSULT ANT'S BUSINESS ENTITY.
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EXHIBIT A-2
SCOPE OF SERVICES
I. All work product is subject to review and acceptance by City, and must be revised by Consultant without additional charge to City until found satisfactory and accepted by City.
II. Consultant will provide design, implementation, and project management services for the La Paz Road and Cabot Road RTSSP Projects as described in the Project Proposal dated January 8, 2026 (refer to section 1.2 of the Agreement for conflicts).
A-2(1)
EXHIBIT B-2
SPE_CIAL REQUIREMENTS
(Superseding Amendment Template)
NOT APPLICABLE
B-2(1)
EXHIBITC-2
SCHEDULE OF COMPENSATION
I. City will compensate Consultant for the services performed upon submission of a valid invoice, as described in Section 2.2 of the Agreement.
II. The total compensation for the services provided pursuant to this Amendment shall not exceed the Contract Sum, as provided in Section 5 of this Amendment.
III. Consultant will be compensated for services provided pursuant to this Amendment pursuant to the fees and rates in Exhibit C of the Agreement and in accordance with the Project Proposal.
C-2(1)
EXHIBITD-2
SCHEDULE OF PERFORMANCE
I. Consultant shall perform all services and deliver all work products timely and shall not receive additional compensation for work completed after the term of this Amendment.
D-2(1)
EXHIBITE-2
PRIOR AMENDMENTS TO AGREEMENT
1. Amendment No. 1 to Agreement, executed on February 20, 2024, provides Traffic Engineering services on an as-needed multiyear basis.
E-2(1)