City Council Agenda Report
Meeting Date: August 1, 2023
From: Daniel S. Wall, P.E., Director of Public Works
Department: Public Works
Submitted by: Cynthia Cano, Administrative Secretary
Subject
Change Order No. 1 with Bear Electrical Solutions, Inc., Contract No.CS-1303: Citywide Traffic Signal Maintenance and Repair
Recommendation
A. Find that approval of the proposed action is categorically exempt under the California Environments Quality Act (CEQA) in accordance with CEQA Guidelines Section 15301, Existing Facilities, Class 1, maintenance, because this project only consists of maintenance and repair of the City’s traffic signals and involves negligible or no expansion of an existing use; and B. Approve and authorize the City Administrator to execute Change Order No. 1 for Contract No.
CS-1303 with Bear Electrical Solutions, Inc. for a total amount not-to-exceed $215,000 for traffic signal maintenance and emergency repairs.
Background
On March 16, 2021, following a formal bid process, City Council awarded a three-year contract to Bear Electrical Solutions, Inc. (Bear) for $348,000 to conduct citywide maintenance and repairs of the City’s 41 traffic signals and authorized a contingency of $50,000 in the event of unexpected repairs. At the time, the annual cost for the desired services was estimated at $116,000. As part of its maintenance program, Bear conducts monthly inspections and maintenance of traffic signals, and makes on-call emergency repairs of damaged and non-functioning equipment, including the repair and replacement of failed components and equipment damaged by traffic collisions. A total of $144,878.48 was spent during the first year, and a total of $197,831.09 was spent during the second year of the contract. Winter storms in late 2022 and early 2023 caused a significant increase in malfunctioning equipment and repairs needed due to automobile accidents resulting in an unanticipated increase in repair costs and exhausting most of the remaining Bear contract funds.
Staff requests approval to process a Change Order adding $215,000 to the contract amount, which includes a previously approved contingency of $50,000 in order to cover expenses that may be incurred during the final year of the contract, set to expire on April 30, 2024. The proposed increase will result in a total contract not-to-exceed value of $563,000. Pursuant to Vernon Municipal Code Section 3.32.030(B), City Council approval of the proposed Change Order for Bear. is required, as total payments to Bear would exceed $100,000.
Fiscal Impact
The fiscal impact is estimated at $215,000. Sufficient funds are available in the General Fund, Public Works Department, Street Operations Division, Repairs and Maintenance Account No. 011-040-430-529000 for the current fiscal year.
Attachments
1. Change Order No. 1 - Bear Electrical Solutions, Inc.