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ADOPT RESOLUTION TO AUTHORIZE THE LED STREET LIGHTS CONVERSION, PHASE 6 PROJECT
recommended action
RECOMMENDATION
It is recommended that the City Council adopt a resolution to:
1. Approve the Notice of Exemption No. NOE61-23 under the California Environmental Quality Act for the LED Street Lights Conversion, Phase 6, Project No. WD23017.
2. Approve the plans and specifications for the LED Street Lights Conversion, Phase 6, Project No. WD23017.
3. Transfer funds in the amount of $20,675.03 from the LED Street Lights Conversion, Phase 5, Project No. WT22017, to the LED Street Lights Conversion, Phase 6, Project No. WD23017.
4. Transfer funds in the amount of $17,847.26 from the Residential Street Light LED Replacement, Project No. WT22005, to the LED Street Lights Conversion, Phase 6, Project No. WD23017.
5. Award a Construction Contract in the amount of $507,500 to Bear Electrical Solutions, Inc. of Alviso, CA, for the LED Street Lights Conversion, Phase 6, Project No. WD23017.
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The project will convert a portion of the City’s high-pressure sodium (HPS) residential street light inventory to light-emitting diode (LED) luminaires. HPS lights use substantially more energy and converting to LED luminaires will lower ongoing operating costs.
The LED Street Lights Conversion, Phase 6, Project No. WD23017, will include converting 1,500 HPS streetlights primarily north of the Calaveras River (Attachment A). Public Works estimates annual energy savings of approximately $87,800 from this Phase 6 conversion. The project was included in the 2022-27 Five-Year Capital Improvement Plan (CIP).
On November 30, 2023, the City received six bids for this project. Staff recommends that Council award a Construction Contract to the lowest responsive bidder, Bear Electrical Solutions, Inc., in the amount of $507,500. Staff also recommends that Council adopt a resolution approving Notice of Exemption No. NOE61-23 under the California Environmental Quality Act (CEQA) and approving the plans and specifications for the project.
Construction is anticipated to begin in spring 2024 and be completed by summer 2024, weather permitting.
DISCUSSION
Background
The City maintains approximately 19,000 streetlights. The majority of these lights utilize HPS as a light source, which until recently was the most efficient light source available. Recent improvements to LED technology have increased efficiency and reduced initial product cost, and LED streetlights are the new preferred light source. LED streetlights use less energy and have a longer luminaire lifetime than HPS, which reduces ongoing costs for electricity and general maintenance. Staff recognized the potential savings to be achieved by converting the City’s streetlight inventory and developed a plan for an incremental conversion starting with the higher wattage HPS streetlights located on arterial roads. Conversion of these lights generates the most significant reduction in electrical consumption with an average of 60 percent, which yields the greatest financial and carbon footprint impact.
Council previously authorized the LED Street Lights Conversion, Phase 1, 2, 3, and 5 projects, which provided the conversion of 4,100 (200-watt), 1,600 (150-watt), and 7,800 (100-watt) street light fixtures. Phase 4 of the project was canceled, and the funding was allocated to the Street Lights LED Replacement, Project No. WD19017, to replace failing LED lights with new LED fixtures supplied by the manufacturer. The number of street light fixtures converted each year depends on the amount of funding available. Prior phases have provided for the conversion of all residential streetlights in south Stockton, plus all streetlights located along arterial and collector roadways citywide.
The LED Street Lights Conversion, Phase 6, project will include converting 1,500 HPS streetlights primarily north of the Calaveras River (Attachment A). After completion of this phase, there will be approximately 1,900 street light fixtures remaining for future LED conversion.
On July 26, 2016, Council adopted a Community Workforce and Training Agreement (CWTA). The CWTA became effective August 25, 2016, and applies to all Public Works projects over $1 million that are bid after that date. On July 16, 2019, by Motion No. 2019-07-16-1403, Council extended the CWTA term to August 25, 2024. The CWTA was not applied to this project because the engineer’s estimate was less than $1 million.
Present Situation
On November 2, 2023, the LED Street Lights Conversion, Phase 6, Project No. WD23017, was advertised for bids. On November 30, 2023, six bids were received with the following results:
COMPANY NAME BID AMOUNT ADJUSTED BID AMOUNT
(local preference applied)
Bear Electrical Solutions, Inc. $507,500 $507,500
(Alviso, CA)
St. Francis Electric, LLC $532,500 $532,500
(San Leandro, CA)
Tennyson Electric, Inc. $594,500 $594,500
(Livermore, CA)
Ray’s Electric $710,000 $710,000
(Oakland, CA)
SCC Electric, Inc. $870,401 $870,401
(Novato, CA)
Collins Electrical Co., Inc. $960,000 $912,000
(Stockton, CA)
Engineer’s Estimate $495,000
The requirements of Stockton Municipal Code (SMC) section 3.68.090, Local Business Preference, apply to this project. Collins Electrical Co., Inc. is located within the City of Stockton and is entitled to a five percent bid preference. Application of the Local Business Preference has no effect on the bid order. The Local Employment Ordinance, SMC section 3.68.095, also applies to this contract.
The bid from Bear Electrical Solutions, Inc., the lowest responsive bidder, is regular in all respects and has the proper license to perform the work. Staff recommends Council approve the plans and specifications for the project and award a Construction Contract to Bear Electrical Solutions, Inc. of Alviso, CA, in the amount of $507,500.
The project is in conformance with the City’s General Plan, pursuant to California Government Code section 65402, and is categorically exempt from the requirements of CEQA as specified under Section 15301(c) of the CEQA guidelines. The activities related to this project constitute a discretionary project under the City’s jurisdiction and qualifies as a project that does not have a significant effect on the environment. The resolution will approve the filing of Notice of Exemption No. NOE61-23 under CEQA.
Construction is anticipated to begin in spring 2024 and be completed by summer 2024, weather permitting.
FINANCIAL SUMMARY
There are insufficient funds in the LED Street Lights Conversion, Phase 6, Project No. WD23017, to award a Construction Contract to Bear Electrical Solutions, Inc. in the amount of $507,500.
The resolution includes the following actions to provide sufficient funding to award a Construction Contract and to fund all other construction related costs to complete the project:
1. Transfer funds in the amount of $20,675.03 from the LED Street Lights Conversion, Phase 5, Project No. WT22017, to the LED Street Lights Conversion, Phase 6, Project No. WD23017.
2. Transfer funds in the amount of $17,847.26 from the Residential Street Light LED Replacement, Project No. WT22005, to the LED Street Lights Conversion, Phase 6, Project No. WD23017.
There is no impact to the City’s General Fund or any other unrestricted fund as a result of taking the recommended actions.
Attachment A - Vicinity Map