HomeMy WebLinkAbout2006-07-11; City Council; 18631; Traffic Signal Maintenance Services CompensationCITY OF CARLSBAD - AGENDA BILL
AB# 18i63i
MTG. 7/11/06
DEPT. PW/GS
AUTHORIZATION TO AMEND THE ANNUAL
COMPENSATION FOR TRAFFIC SIGNAL
MAINTENANCE SERVICES
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RECOMMENDED ACTION:
Adopt Resolution No.2006-186 allowing the City Manager to amend the Traffic Signal
Maintenance Services agreement with Republic Electric, Inc., to an annual compensation amount not
to exceed five hundred thousand dollars ($500,000) and authorizing the City Manager to adjust the
maximum compensation by ten percent (10%) in subsequent agreement years to reflect actual
increase in expenditures.
ITEM EXPLANATION:
On December 7, 2004, the City Council approved Resolution 2004-385 awarding a contract for Traffic
Signal Maintenance Services to Republic Electric, Inc. The contract was bid on a unit price basis for
preventative maintenance services, as needed repairs to equipment that has failed due to age or
exposure to the elements or as-needed repairs to equipment damaged by automobile accidents.
The original agreement was bid and awarded with the intent of allowing Public Works the flexibility to
increase the annual contract amount to reflect actual expenditures realized. The resolution did not
clearly explain the intent to allow these anticipated increases to the agreement and indicated an
annual limit of two hundred eighty four thousand four hundred and fifty-three dollars ($284,453).
Actual expenditures have exceeded this amount due to several factors, including the installation of
signals at an additional twenty-two (22) intersections, new City Engineering Standards requiring video
detection, and the associated costs incurred to maintain and repair video detection systems,
increased cost for parts, annual negotiated increases in bid item prices, and additional replacement of
equipment that has been damaged in automotive accidents.
Actual repair expenses are somewhat unpredictable. Work orders for these repairs are generated by
reports provided by the contractor during preventative maintenance tasks, investigation of complaints
generated by citizens, malfunctions discovered by staff during their maintenance activities, and repair
or replacement of components damaged by traffic accidents. The City of Carlsbad does bill
individuals and insurers for components damaged by motorists when it is determined that the damage
has been caused by driver negligence. These recovered funds are deposited into the City's General
Fund.
Actual annual expenditures for this maintenance agreement are detailed in the Fiscal Impact section
of the agenda bill.
This agreement will address the Council Goals as described below.
Top Quality Service
"Ensure the effective and efficient delivery of exceptional services to our community on a daily basis."
ENVIRONMENTAL IMPACT:
This maintenance service agreement has been determined to be exempt from environmental review
per CEQA (14 Cal Code Reg §15301) - minor alteration of an existing facility.
Page 2
FISCAL IMPACT:
ANNUAL EXPENDITURES BY FISCAL YEAR FOR
TRAFFIC SIGNAL MAINTENANCE AGREEMENT
1999-00
2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
$160,736
$146,763
$195,739
$225,240
$329,738
$313,448
$434,473*
Year-to-date expenditures. June 2006 billing has not yet been received.
Annual expenditures for traffic signal maintenance from Fiscal Year 1999-00 through 2004-05 are
shown above. The current agreement covers the five-year time period from 7/1/04 to 6/30/09.
The FY2005-06 year-to-date total expenditure is also shown in the above table. Although actual
expenses for June 2006 are still outstanding and yet unknown, it is estimated that the total
expenditure for FY2005-06 will be $450,000. Staff is requesting that the City Manager be
authorized to increase the annual compensation to a not-to-exceed amount of $500,000 per
contract year and that the City Manager be authorized to adjust the not-to-exceed amount by 10%
in subsequent years. This amendment will accommodate increasing and unexpected
maintenance costs occurring between now and fiscal year 2008-09. Increasing the not-to-exceed
amount will not affect unit prices. They will continue to be controlled by the provisions of the
contract.
Sufficient funds are available for the contract amendment in the 2005-06 and 2006-07 General
Fund Street Department Traffic Signal Maintenance Budget. Future funding of the agreement and
increases in total allowable annual compensation are subject to approval in the budget process.
EXHIBITS:
1. Resolution No. 2006-186 allowing the City Manager to amend the Traffic Signal
Maintenance Services agreement with Republic Electric, Inc. to an annual compensation
amount not-to-exceed five hundred thousand dollars ($500,000) and authorizing the City
Manager to adjust the maximum compensation by ten percent (10%) in subsequent
agreement years to reflect actual increase in expenditures.
DEPARTMENT CONTACT: Thomas Moore, (760) 434-2939, tmoor@ci.carlsbad.ca.us
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION:APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
D
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CONTINUED TO DATE SPECIFIC D
CONTINUED TO DATE UNKNOWN D
RETURNED TO STAFF D
OTHER-SEE MINUTES D
FISCAL IMPACT:
ANNUAL EXPENDITURES BY FISCAL YEAR FOR TRAFFIC SIGNAL^
MAINTENANCE AGREEMENT f ^|
FISCAL YEAR
1999-00
2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
AMOUNT
$160,736
$146,763
$195,739
$225,240
$329,738
$313,448
$434,473
# OF SIGNALS
87
98
106
114
125
136
148
Year-to-date expenditures. June 2006 billing has not yet been received.
JUL 1 1 2006
CITY OF CARLSBAD
CITY CLERK'S OFFICE
For the Information of the:For CITYCOUN^rr
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RESOLUTION NO. 2006-186
2
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
3 CARLSBAD, CALIFORNIA, AUTHORIZING THE CITY MANAGER
TO AMEND THE TRAFFIC SIGNAL MAINTENANCE AGREEMENT
4 TO AN ANNUAL AMOUNT NOT-TO-EXCEED FIVE HUNDRED
THOUSAND DOLLARS AND TO ALLOW ANNUAL
5 COMPENSATION ADJUSTMENTS OF TEN PERCENT OF THE
TOTAL ANNUAL COMPENSATION IN SUBSEQUENT
6 AGREEMENT YEARS.
7 WHEREAS, the approved annual compensation amount for Traffic Signal Maintenance
o Services is not sufficient to fully fund the maintenance needs of the City; and
WHEREAS, the Public Works Department requests that the City Council authorize they
City Manager to increase the annual compensation for Traffic Signal Maintenance to an amount
10
not to exceed five hundred thousand dollars ($500,000); and
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WHEREAS, the Public Works Department requests that the City Council authorizes the
12 City Manager to increase the total annual compensation by ten percent (10%) in each subsequent
13 agreement year based on actual expenditures and approved funds in the Traffic Signal
14 Maintenance Budget; and
15 WHEREAS, sufficient funds are available for this agreement in the General Fund Traffic
16 Signal Maintenance budget.
17 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad,
..g California, as follows:
1. That the above recitations are true and correct,i y
2. That the City Manager is authorized to execute an amendment to the Traffic Signal
Maintenance Services agreement with Republic Electric, Inc., to an amount, not-to-exceed, five
22 hundred thousand dollars ($500,000) per agreement year.
23 3. That the City Manager is authorized to execute future amendments to the Traffic
24 Signal Maintenance Services agreement with Republic Electric, Inc. and is authorized to increase
2c the total compensation by an amount, not-to-exceed, ten percent (10%) of the current annual
26 compensation per agreement year contingent upon future approved funding in the Traffic Signal
27 Maintenance Budget.
28 ///
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council
of the City of Carlsbad on the 11th day of July, 2006, by the following vote:
AYES: Council Members Lewis, Hall, Kulchin, Packard, Sigafoose
NOES: None
ABSENT: None
ATTEST:
(SEAL)
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