Loading...
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 DEPT. HEAD ^A^ CITY ATTY. <3& CITY MGRr^gp) W O ^PM OM H M U O 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 D D D D 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 w 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 11 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 /// 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 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) 5