HomeMy WebLinkAbout07 - Streetlight LED Retrofit NOCCITY OF
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°LIF R City Council Staff Report
March 28, 2017
Agenda Item No. 7
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Peter Tauscher, Senior Civil Engineer
ptauscher@newportbeachca.gov
PHONE: 949-644-3316
TITLE: Streetlight LED Retrofit — Notice of Completion of Contract No. 6427
(Project No. 16V11)
ABSTRACT:
On May 10, 2016, City Council awarded Contract No. 6427 for the Streetlight LED
Retrofit project to Express Energy Services, Inc. (Express Energy). The total contract
award was $1,061,780.00 plus $106,219.00 allowance for contingencies. The required
work is complete and staff requests City Council acceptance and close out of the
contract.
RECOMMENDATION:
a) Accept the completed work and authorize the City Clerk to file a Notice of
Completion for the project. On May 10, 2016, City Council found this project exempt
from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section
15302(c) (Reconstruction of existing facility involving negligible or no expansion of
capacity) because it has no potential to have a significant effect on the environment;
b) Authorize the City Clerk to release the Labor and Materials Bond 65 days after the
Notice of Completion has been recorded in accordance with applicable portions of
the Civil Code; and
c) Release Faithful Performance Bond one (1) year after acceptance by the City
Council.
FUNDING REQUIREMENTS:
Funds for the construction contract were expensed from the following account:
Account Description Account Number Amount
General Fund 01201928-980000-16V11 $ 1,067,765.82
Total: $ 1,067,765.82
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Streetlight LED Retrofit — Notice of Completion of Contract No. 6427
(Project No. 16V11)
March 28, 2017
Page 2
DISCUSSION:
The City owns and maintains over 6,000 streetlights and intersection lights. To date,
after a series of multi-year projects including this project, the city has now converted a
total of 3,587 streetlights to LED fixtures. This latest conversion project, which
converted 3,061 light fixtures to LED, has the potential to save the City over
$100,000.00 annually in energy costs. Additionally, the City will realize reduced
maintenance costs over the next 15 -year lifespan of these LED fixtures, which is
estimated at $55,000.00 per year. The estimated payback period is less than four
years.
Through the efforts of the Public Works and Municipal Operations staff, the City secured
grants and financing for this project. With the completion of this project, Southern
California Edison (SCE) will provide energy efficiency incentives as reimbursement back
to the City's general fund through the Energy Leader Partnership Program. The
incentive amount will offset approximately 50 percent of the total project cost. The
remaining project costs will be refunded to the City through Southern California Edison's
On -Bill Financing (OBF) program. This program allows public agencies to finance
qualifying energy-efficient projects with zero interest and loan repayment as part of their
utility bills.
Overall Contract Cost/Time Summary
Awarded
Final Cost at
Contingency
Actual
%Due to
% Due to
Contract
Completion
Allowance
Contract
Directed
Unforeseen
Amount
Change
Change
Change
$1,061,780.32
$1,067,765.82
10% or less
+0.56%
-3.5%
+4.0%
Allowed Contract Time + Approved
75
Actual Time
-2
Extensions days) =
Under (-) or Over (+)
Contract No. 6427, Streetlight LED Retrofit project has now been completed to the
satisfaction of the Public Works Department. A summary of this contract's construction
cost is as follows:
Original bid amount: $1,061,780.32
Actual Cost of Bid Items Constructed: $1,025,075.82
Total Change Orders: $ 42,690.00
Final contract cost: $1,067,765.82
The actual cost of bid items constructed was $1,025,075.82, which was less than the
original bid amount primarily due to decreasing the quantity of LED luminaires needed
to complete the project.
There was one change order totaling $42,690.00, which amounted to four percent of the
original contract amount and within the contingency allowance. That change order
included providing 43 additional new LED luminaries which will be stored in the City's
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Streetlight LED Retrofit — Notice of Completion of Contract No. 6427
(Project No. 16V11)
March 28, 2017
Page 3
Utilities Yard; replacing 25 fuses; providing 300 photocells and installing numerous
house side shields per the direction of staff.
A summary of the project schedule is as follows:
Estimated Completion Date per Baseline Schedule December 30, 2016
Project Awarded for Construction May 10, 2016
Contract Completion Date with Approved Extensions December 8, 2016
Actual Substantial Construction Completion Date December 6, 2016
The project was substantially complete as of December 6, 2016. With this closeout of
the construction contract, staff will now finalize repayment from the Southern California
(SCE) energy efficiency incentives including funding grants and the on -bill financing
program.
ENVIRONMENTAL REVIEW:
On May 10, 2016, City Council found this action exempt from the California
Environmental Quality Act (CEQA) pursuant to Section 15302(c) (Replacing or
reconstructing of existing utility system and/or facility involving negligible or no
expansion of capacity).
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
None
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