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Agenda packet, regular meeting

Palm Desert City Council
October 8, 2026

Document
Agenda packet, regular meeting
Meeting
October 8, 2026
Body
Palm Desert City Council
Pages
17
Original file
116.9 MB
Text extracted from the city's file for reading and search. Open the original on pub-palmdesert.escribemeetings.com. That file is the official record.

BUDGET APPROACH | COST CONTROL
Estimation and Pricing Philosophy -
Best Signs Inc. approaches every project with a time-tested, highly predictable business model. Our estimation process relies strictly on our proprietary time-and-material formulas. This methodology allows us to deliver competitive, market-accurate bidding while guaranteeing that projects are delivered on time and to exact specifications. Because our model is optimized for internal efficiency and consistent quality, Best Signs Inc. operates strictly under fixed-price or standard commercial jobcosting structures

WAYFINDING AND

ENTRY MONUMENT

IMPROVEMENTS
MAY 30, 2026

Page 17 ends

BUDGET APPROACH | COST CONTROL
Estimation and Pricing Philosophy -
Best Signs Inc. approaches every project with a time-tested, highly predictable business model. Our estimation process relies strictly on our proprietary time-and-material formulas. This methodology allows us to deliver competitive, market-accurate bidding while guaranteeing that projects are delivered on time and to exact specifications. Because our model is optimized for internal efficiency and consistent quality, Best Signs Inc. operates strictly under fixed-price or standard commercial jobcosting structures Resolving uncertainty through design and development -
Public projects often feature variables that impact the bottom line, and 2026-RFP-016 contains several ambiguities that must be resolved to protect project execution. Specifically, the installation methods for the 60 sign structures within the Right-of-Way and the handling of sandstone slabs require validation.

Rather than accepting these uncertainties or risking future change orders, Best Signs Inc. utilizes a strict pre-construction protocol to finalize costs before manufacturing begins:
- meet with stakeholders to gain clear understanding of project objectives - substantiate viable processes
- value engineer where possible
- provide working drawings allowing for accurate computations - present the City with a fact based quote
Labor and regulatory compliance -
Our financial controls are optimized to handle the administrative rigors of publicly funded and municipal projects. Best Signs Inc. is fully versed in prevailing wage documentation and reporting. Our administrative team maintains an unblemished record of 100% compliance with certified payroll submissions and regulatory audits across all past municipal and grantfunded projects.

Operational and financial agreement -
While we recognize the City’s intent behind requesting material receipts, markup limitations, and a preset 10% profit cap, compliance with these specific oversight mechanisms contradicts our corporate operating and accounting policies. Best Signs Inc. maintains standard commercial autonomy over our margins and cost structures. Therefore, we formally request to opt out of the receipt-submission and profit-cap requirements.

Ultimately, it is our belief and contention that the best way to protect this publicly funded project is to substantiate the upfront work of design and development that allows for accurate job costing, material, and labor estimation. The most effective way for the City to ensure public funds are spent wisely is to secure a partner capable of stabilizing this front-end phase. By awarding this project to Best Signs Inc., the City tightens the project's structural ambiguities and produces precise engineering data that eliminates financial waste at the source.

Best Signs, Inc. respectfully requests clarification regarding any requirements related to profit limitations, material receipt disclosure, or cost-plus style accounting provisions. Our proposal is based upon a fixed-price design-build delivery methodology utilizing proprietary estimating, procurement, fabrication, and installation practices. Any provisions requiring disclosure of internal pricing methodologies, vendor invoices, or contractor profit limitations would require further discussion and mutual agreement prior to contract execution.

Confirming project details through design development - j As with many design-build projects, certain details will be confirmed during design development. These include the installation methods for the proposed wayfinding signs and the fabrication and installation approach for the sandstone slabs.

Best Signs Inc. will use its preconstruction process to confirm these details before manufacturing begins. This process will include:
- Meeting with stakeholders to confirm project objectives - Validating feasible fabrication and installation methods - Identifying value-engineering opportunities where appropriate - Preparing working drawings to support accurate calculations and project coordination - Confirming that the proposed approach is consistent with the approved scope and budget Operational and financial agreement -
Best Signs' proposal is based on a fixed-price design-build delivery method utilizing its internal estimating, procurement, fabrication, and installation practices. This approach includes confirming engineering, materials, installation methods, and other project details during design development before manufacturing begins.

To align the agreement with this delivery method, Best Signs respectfully requests removal of the requirements to submit material or vendor receipts and application of the 10 percent profit limitation to work included within the fixed-price contract.

Best Signs also requests that it not be required to disclose proprietary internal estimating or pricing methodologies.

Any documentation, cost-control, or markup requirements applicable to City-authorized change orders or work outside the approved scope will be addressed in the final agreement. Any change to the contract scope, price, or schedule will require prior written authorization from the City.
593

FEE PROPOSAL

PROPOSAL SUBMITTED TO PHONE DATE
City of Palm Desert (760) 776-6447 6/3/2026

ADDRESS JOB NAME
73510 Fred Waring Drive Wayfinding and Entry Monument Improvements

CITY, STATE, ZIP LOCATION
Palm Desert, CA 92260 Citywide, Palm Desert

ST DESCRIPTION QTY UNIT COST UNIT TOTAL

A01 Gateway Monument – Location 1 1 $ 129,330.00 $ 129,330.00 A02 Gateway Monument – Location 2 1 $ 83,365.00 $ 83,365.00 A03 Gateway Monument – Location 3 1 $ 97,450.00 $ 97,450.00 B01 Vehicle Direction Large $ 11,290.00 $
B02 Vehicle Direction Medium $ 8,830.00 $
B03 Vehicle Direction Small 3 $ 7,110.00 $ 21,330.00
B04 Pedestrian Directory Static 4 $ 7,400.00 $ 29,600.00 Survey / Site Verification $ 16,280.00
Engineering / Structural Calculations $ 23,475.00
Utility Coordination / USA Dig $
Permits /Submittals / Revisions $ 31,700.00
Project Management $ 49,970.00
Removal / Disposal of Existing Signage $ 124,450.00
Relocation of (2) Public Art Monuments $ 143,150.00
Traffic Control $ 72,270.00
Electrical Coordination $ 12,925.00
Installation Labor $ 738,290.00
Equipment / Crane / Rentals $ 68,345.00
Freight / Fuel Escalation $ 22,720.00
Payment & Performance Bond $ 65,000.00
Punch List / Sign Off $ 9,928.00
Tax $ 83,471.06
Total $2,434,054.06
Project Representative:

Name: Jim R. Cross
Phone: 760.250.2693
Email: [email protected]
Estimate Assumptions and Qualifications
This fee proposal is based on the City of Palm Desert RFP documents, Master Sign Plan, and identified sign quantities. Pricing is based on currently available information and assumes reasonable site access, standard permitting requirements, and existing conditions as represented. 22 248,380.00
29 256,070.00
106,555.00
Any adjustment to the contract price or schedule shall be limited to changes authorized in writing by the City in accordance with the final agreement. Unit pricing is provided for evaluation purposes only and does not alter the lump-sum nature of the proposed contract. 594

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