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Staff ReportpWN pF !ps GATES COUNCIL AGENDA REPORT DATE: APRIL 23, 2015 TO: MAYOR AND TOWN COUNCIL FROM: LES WHITE, INTERIM TOWN MANAGE MEETING DATE: 05/05/15 ITEM NO: 5� SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AGREEMENT FOR SERVICES WITH ST. FRANCIS ELECTRIC, INC. TO PROVIDE ANNUAL TRAFFIC SIGNAL AND STREET LIGHT MAINTENANCE AND REPAIR SERVICES, AND UNDERGROUND SERVICE ALERT (USA) SERVICES IN AN AMOUNT NOT TO EXCEED $120,000. RECOMMENDATION: Staff recommends that the Town Council authorize the Town Manager to execute an Agreement for Services with St. Francis Electric, Inc. to provide annual traffic signal and street light maintenance and repair services, and Underground Service Alert (USA) marking services in an amount not to exceed $120,000. BACKGROUND: The Town of Los Gatos utilizes contractors to provide maintenance and repair for traffic signals, street lighting, parking lot lighting, and also for Underground Service Alert (USA) marking services. The structure of street light maintenance includes a monthly rate per light, covering inspection and lamp replacement. Traffic signal maintenance includes routine inspection and testing. Additional services like traffic signal timing and coordination would not be a service under this contract and is contracted directly with a traffic engineering company or conducted in house. USA marking provides for the identification of Town underground infrastructure associated with construction projects and serves to protect our infrastructure from damage. DISCUSSION: Staff prepared a Request for Proposal (RFP) for traffic signal and street lighting maintenance and repair services. The scope of work included traffic signal, street lights, parking lot lights, and USA markings. Siemens Industry has been providing the services to the Town for the past 13 PREPARED BY: MATT MORLEY Reviewed by: Director of Parks and Public Town Manager Attorney -15Z&,Einance PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: ANNUAL TRAFFIC SIGNAL AND STREET LIGHT MAINTENANCE AND REPAIR SERVICES DATE: APRIL 23, 2015 DISCUSSION (cont'd): years, but did not submit a proposal in response to this recent RFP due to changes in their business model. The following four proposals were received in response to the RFP: 1. St. Francis Electric, Inc.: $61,356.96 per year, plus extra repair costs and USA tickets. 2. Aegis ITS: $75,954.72 per year plus extra repair costs and USA tickets. 3. Cal West Lighting and Signal Maintenance: $84,996.00 per year plus extra repair costs and USA tickets. 4. Bear Electrical Solutions: $94,737.00 per year plus extra repair costs and USA tickets. The base contract amount covers routine and preventive maintenance of the identified equipment. Additional episodic work has been included on a time and material basis, including one hour emergency response for traffic signal repairs. Based on a review of the extra work and USA tickets for the last year, staff estimates the extra repair costs will be approximately $50,000 per year and the cost for USA tickets will be approximately $5,000 annually. Staff has reviewed the proposals, interviewed the top two contractors, and determined that St. Francis Electric, Inc. is the most responsive entity and has the ability to provide a wide range of maintenance resources to the Town, both during normal operations and during emergencies. Additionally, their overall cost is substantially less than the other contractors. CONCLUSION: Staff recommends that the Town Council authorize the Town Manager to execute an Agreement for Services with St. Francis Electric, Inc. to provide annual traffic signal and street light maintenance and repair services, and Underground Service Alert (USA) marking services in an amount not to exceed $120,000 for a period of one year with an option to extend the contract up to four additional years. ALTERNATIVES: The Council could reject all bids and provide direction to staff on how to proceed with obtaining this service. FISCAL IMPACT: Funding for this contract is included in the proposed FY 2015/16 Parks and Public Works Operating Budget. Execution of this contract will be contingent upon the Town Council's approval of the proposed budget. ENVIRONMENTAL ASSESSMENT: This is a project as defined under CEQA but is Categorically Exempt under Section 15301(c). A Notice of Exemption will not be filed.