HomeMy WebLinkAbout2010-06-08; City Council; 20254; Contract PWGS482 Inductive St Light ReplacementCITY OF CARLSBAD - AGENDA BILL
AB#20.254
MTG. 6/8/10
DEPT. IRAN
AWARD OF CONTRACT FOR CITY-WIDE INDUCTIVE
STREET LIGHT REPLACEMENT PROJECT,
CONTRACT NO. PWGS482 CITY MGR.
RECOMMENDED ACTION:
Adopt Resolution No. 2010-136 accepting bids and awarding the contract to Republic ITS for
the City-Wide Inductive Street Light Replacement Project, Contract No. PWGS4.82.
ITEM EXPLANATION:
The conversion to energy efficient inductive street lights from high pressure sodium will reduce the
city's current power consumption for street lighting from 5.1 million kilowatt hours per year to 2.0
million kilowatt hours per year. This is a 60% annual reduction. This project will result in the reduction
of 1,240 tons of greenhouse gas per year, which is the equivalent of taking 170 cars off the road or
planting 124,046 trees.
The technology used in inductive lighting greatly reduces the amount of mercury used, resulting in
diminished need for costly hazardous waste disposal. Approximately one-tenth of the amount of
mercury used in the older high pressure sodium lighting is used in the newer inductive lighting.
Furthermore, the mercury used in inductive lighting is a solid and is easier to recover and recycle as
opposed to the liquid or gas form of mercury found in high pressure sodium lighting.
On September 22, 2009, City Council approved Resolution 2009-235 accepting Energy Efficiency and
Conservation Block Grant (EECBG) funds from the US Department of Energy to partially fund the city-
wide conversion of street lights to energy efficient inductive technology. On January 26, 2010, City
Council approved Resolution 2010-018 authorizing the purchase of energy efficient inductive street
lights from US Lighting Tech, Inc. based on a Best Value evaluation of 21 responsive bids.
The services of a contractor are now required to install the inductive street lights that have been
purchased on existing street light mast arms and poles. Staff prepared bid documents and in
accordance with Section 3.28.050 of the Carlsbad Municipal Code, the City Clerk published a Notice
Inviting Bids for the City-Wide Inductive Street Light Replacement Project. On May 10, 2010, a
mandatory pre-bid meeting was held to inform prospective bidders on the specific requirements of this
project and exhibit examples of the energy efficient inductive lighting equipment. Twenty contractors
attended the mandatory meeting in order to qualify to submit a bid for this project. On May 19, 2010,
ten bids were received, opened, witnessed and recorded. The bids ranged from $234,260 to
$875,580 and are shown in the following Table 1.
DEPARTMENT CONTACT: John Kim (760) 602-2757 john.kim@carlsbadca.gov
FOR CITY CLERKS USE ONLY
COUNCIL ACTION: APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
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CONTINUED TO DATE SPECIFIC
CONTINUED TO DATE UNKNOWN
RETURNED TO STAFF
OTHER -SEE MINUTES
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TABLE 1 - CITY BIDS RECEIVED, CONTRACT NO. PWGS482
CONTRACTOR
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Republic ITS
HP Communications, Inc.
Manuel Bros., Inc.
Ace Electric
Lekos Electric, Inc.
HMS Construction
DBX, Inc.
JFL Electric
RL Electric, Inc.
Southern Contracting Company
BID LUMP SUM
$234,260
$433,160
$446,949
$498,431
$569,070
$650,611
$723,996
$741,084
$770,973
$875,580
Based on the specificity of the contract documents, staff conducted a Best Value evaluation of the
submitted bids based solely on cost. Bid documents submitted by the lowest bidder, Republic ITS,
were determined to be responsive and acceptable based on staff review of the contract documents.
Staff recommends awarding the contract to Republic ITS, in the amount of $234,260.
ENVIRONMENTAL IMPACT:
The project is exempt from the California Environmental Quality Act (CEQA) per State CEQA
Guidelines Section 15301(c) - minor alteration of existing facilities involving negligible or no
expansion.
FISCAL IMPACT:
Staff estimates that the conversion to inductive street lights will reduce energy costs by approximately
$189,328 annually. Additionally, the maintenance costs are projected to decrease by an additional
$100,000 annually due to extended life spans and warranties for inductive lighting. The total
anticipated annual savings from this project are $289,328.
There are sufficient funds in the project budget for this project. City Council has previously
appropriated funds for the Energy Efficiency and Conservation Block Grant and Loan amounts shown
in Table 2. Additionally, the CDBG allocation was previously appropriated during the FY2009-10
CDBG/HUD program funding authorization process.
TABLE 2 - FUNDING SOURCES, CONTRACT NO. PWGS482
Funding Source
Energy Efficiency and Conservation Block Grant
CDBG Allocation
SDG&E Incentives
Maximum Loan Amount*
Total Funds Available
Amount
$938,900
$327,087
$230,325
$1,543,000
$3,039,312
*The 1% reimbursement loan from the California Energy Commission was signed 1/19/10. Loan funds will be drawn down as needed to
cover project expenditures.
PageS
Table 3 shows the estimated costs for the City-Wide Inductive Street Light Replacement Project.
TABLE 3 - ESTIMATED COSTS, CONTRACT NO. PWGS482
Item
Purchase of Inductive Street Lights
Installation of Inductive Street Lights
Installation Contingency (20%)
Installation of Inductive Safety Lights at Traffic Signals (Estimated)
Photocells and Other Supplies
Total Cost
Available Funds
Amount
$1,688,153
$234,260
$46,852
$50,000
$50,000
$2,069,264
$3,039,312
As shown in the tables above, there are sufficient funds available to complete this project. Due to
extremely competitive bidding, costs are lower than expected, and as a result of the lower costs, staff
is now projecting a payback cycle of just over two years for this project. The anticipated lower project
cost will also reduce the amount of the 1% loan necessary to help finance this project and increase
the benefit to the Citizens of Carlsbad and the lighting district rate payers. This is a prevailing wage
project.
EXHIBITS:
1. Resolution No. 2010-136 accepting bids and awarding the contract to Republic ITS for
the City-wide Inductive Street Light Replacement Project, Contract No. PWGS482.
1 RESOLUTION NO. 2010-136
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, ACCEPTING BIDS AND AWARDING
3 A CONTRACT FOR THE CITY-WIDE INDUCTIVE STREET
LIGHT REPLACEMENT PROJECT. CONTRACT NO. PWGS482.
4
5 WHEREAS, ten 10) sealed bids were received on May 19, 2010, by the city for the City-
6 wide Inductive Street Light Replacement Project; and
WHEREAS, the lowest responsive and responsible bid to construct said project was
8 submitted by Republic ITS in the amount of $234,260; and
9 WHEREAS, the City Council of the City of Carlsbad, California, has determined it
necessary, desirable, and in the public interest to accept bids and award a contract for the City-
1 1 wide Inductive Street Light Replacement Project; and
WHEREAS, funding for said project has been appropriated and is sufficient; and
WHEREAS, the City Manager is hereby authorized to approve change orders in the
cumulative amount equal to the contingency hereby set at fifteen percent (15%) of the contract
15 award.
16 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad,
California, as follows:
1 ft 1. That the above recitations are true and correct.
1Q 2. That the bid amount of $234,260 submitted by Republic ITS is hereby accepted
20 and the Mayor is hereby authorized to execute a contract with Republic ITS for the City-wide
21 Inductive Street Light Replacement Project, Contract No. PWGS482, in accordance with plans,
22 specifications, and contract documents referred to herein.
23 3. That the award of contract is contingent upon the bidder submitting the lowest
24 responsive bid executing the required contract and submitting the required bonds and insurance
25 policies, as described in the contract, within twenty (20) days of adoption of this resolution. The
26 City Manager may grant reasonable extensions of time.
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council
of the City of Carlsbad on the 8th day of June, 2010, by the following vote to wit:
AYES: Council Members Lewis, Kulchin, Hall, Packard, Blackburn
NOES: None
ABSENT: None
ATTEST:
I/ORRA))NE M
/
(SEAL)
OD, City Clerk (U