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03.27 Streetlight LED Conversion1. SUBJECT Award of Contract Bid No. 189 -02; LS -1 City Purchased Streetlight LED Conversion (SP- 4068). 2. SUMMARY Bids for the SP -4068 were received and opened on August 2, 2018. Nine bidders responded to the Notice Inviting Bids. The apparent low bidder is International Line Builders, Inc. of Riverside, California in the amount of $1,039,777. 3. RECOMMENDED ACTION Award the contract in the amount of $1,039,777 to International Line Builders, Inc. of Riverside, California, and authorize the Mayor to execute and the City Clerk to attest the contract on behalf of the City. 4. FISCAL IMPACT The total expenditure for this contract is $1,039,777 and will be funded in LED Streetlight Conversion (20330) through the Reimbursable Capital Projects fund (550). 5. STRATEGIC PLAN GOAL(S) 2. Be fiscally healthy community— d. Effectively manage and develop City assets 3. Enhance and promote quality of life in the community — e. Develop and strengthen collaborative partnerships to enhance and promote quality of life programs, projects, and services. 6. GENERAL PLAN IMPLEMENTATION Natural Resources Element Goal 2.0 Protect air, water, and energy resources from pollution and overuse. Policy 2.9 — Promote City operations as a model for energy efficiency and green building. Natural Resources Element Goal 3.0 Prepare for and adapt to the effects of climate change and promote practices that decrease the City's contribution to climate change. 7. DISCUSSION and BACKGROUND The City's street lighting network consists of a mix of City and SCE streetlights, totaling 8,812. After the recently completed acquisition from SCE, the City now owns 7,466 (85 %) of the total count. Last year, the City completed converting the City owned (LS- 2 /LS -3) streetlights to LED fixtures. This is the second phase of the initial energy efficiency project which will retrofit 4,323 of those streetlights with LEDs to save energy costs. To fund the project, Public Works will apply for SCE energy efficiency incentives /rebates and has received acknowledgement that the City will be awarded an estimated $468,836. Due to accelerated SCE deadlines, this retrofit project needs to be completed by end of November 2018 to keep the same rebate amount. Public Works plans to secure zero - percent On -Bill- Financing (OBF) to fund the estimated remaining $571,000 for the streetlight LED retrofit project. The zero - percent OBF will be paid by future savings in electrical costs of over $378,723 per year. It is anticipated that through the on -bill financing the improvements will be paid off in two years. The City Council previously approved advertisement for bids on July 10, 2018. The bid solicitation was advertised on July 12 & 26, 2018 for a period of three weeks, and bids were opened on August 2, 2018. Nine bids were received as follows: 1) International Line Builders, Inc., Riverside . .....................$1,039,777 2) Siemens Industry, Inc., Riverside ................ .....................$1,085,590 3) KDC Inc. dba Dynalectric, Los Alamitos ..... .....................$1,163,822 4) Crosstown Electrical & Data, Inc., Irwindale ....................$1,226,670 5) Foddrill Construction Corp., Chino .............. .....................$1,283,668 6) California Professional Engr. Inc., La Puente ....................$1,329,102 7) PTM General Engr. Services, Inc. Riverside .....................$1,369,069 8) Alfaro Communication Const., Compton .... .....................$1,396,711 9) Elecnor Belco Electric, Inc, Chino ................ .....................$1,515,006 International Line Builders, Inc.'s (ILB) is a responsible bidder and their proposal complies in all material respects to the bid solicitation. ILB has successfully completed construction projects for the City in the past, and is the contractor for the Chapman Avenue and Lemon Street Traffic Signal Modifications. ILB has also completed similar street lighting projects for other local municipalities. ITEM 2 06/12/18 The scope of the streetlight conversion, in general, consists of traffic control, removing existing High Pressure Sodium Vapor (HPSV) fixture and replacing with new Leotek LED cobrahead fixture. The Engineer's estimate including 10% for contingencies and construction engineering is $1,480,114. The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) under CEQA Guidelines Article 19 Categorical Exemptions, Section 15301 (c) categorically exempts projects that involve the repair, maintenance, or minor alteration to existing facilities within public right -of -way including "Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities ". The LED retrofit will be within the existing right of way, and provides no expansion of an existing use; therefore the project is exempt. The Notice of Exemption has been filed with the County Recorder's Office. Construction is scheduled to begin in September 2018 and is expected to be completed by November 15, 2018. 8. ATTACHMENTS • Bid Abstract • Contract FS;JGS;cr ITEM 3 06/12/18