HomeMy WebLinkAboutItem 11d - Extraordinary Traffic Signal Maintenance Services Contract ExtensionExtend Traffic Signal
Extraordinary Maintenance Contract
February 15, 2022
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DATE: February 15, 2022
TO: Honorable Mayor and City Council
FROM: Paul Cranmer, Public Works Services Director
By: Tyler Polidori, General Services Superintendent
SUBJECT: EXTENSION TO THE CONTRACT WITH YUNEX LLC (PREVIOUSLY
KNOWN AS SIEMENS MOBILITY, INC.) FOR EXTRAORDINARY
TRAFFIC SIGNAL MAINTENANCE SERVICES IN THE AMOUNT OF
$78,047.80
Recommendation: Approve
SUMMARY
On January 15, 2019, the City Council approved a contract with the option of three one-
year extensions with Siemens Mobility, Inc. (now known as Yunex LLC) for extraordinary
traffic signal maintenance services in the amount of $73,630 annually. Yunex LLC has
reached the end of their second contract term and has submitted a written offer to extend
the contract for an additional year. The offer reflects a 6%, or $4,417.80, cost increase to
offset an increase in the consumer price index of goods related to their operations. This
will be Yunex’s third and final contract extension. All other terms and conditions will
remain in effect.
Based on the excellent services provided by Yunex LLC, it is recommended that the City
Council approve, authorize, and direct the City Manager to execute a one-year contract
extension with Yunex LLC (previously known as Siemens Mobility, Inc.) for extraordinary
traffic signal maintenance services in the amount of $78,047.80.
BACKGROUND
The Public Works Services Department (“PWSD”) is responsible for the maintenance and
repair of 64 signalized intersections within the City. This includes replacing burnt out
lamps, repairing safety lights, minor repairs to damaged signal heads, monthly inspection
of the signal controllers at all intersections, and field response to timing complaints and
blacked out intersections.
The purpose of the extraordinary traffic signal maintenance contract is to handle problems
that are beyond the expertise of the City’s Signal/Street Light Technicians. The contractor
Extend Traffic Signal
Extraordinary Maintenance Contract
February 15, 2022
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also responds when a traffic signal has been knocked down or there is a safety hazard to
traffic. The contract specifications also include testing conflict monitors at all intersections
to ensure that the traffic signals are functioning properly.
The extraordinary traffic signal maintenance contract functions primarily on an as-needed
basis with the City being billed for time and materials as work is performed. The City of
Arcadia experiences numerous traffic signal pole knockdowns per year resulting from
vehicle collisions. Repair costs for collision related pole replacements are billed to the
responsible party and reimbursed to the City. The traffic signal related expenses
impacting the City’s operational budget are annual conflict monitor testing and after-hours
response for traffic signal malfunctions.
DISCUSSION
On January 15, 2019, the City Council approved a contract, with the option of three one-
year extensions with Siemens Mobility, Inc. (now known as Yunex LLC) for extraordinary
traffic signal maintenance services in the amount of $73,630 annually. Yunex LLC has
reached the end of their second contract term and has submitted a written offer to extend
the contract for an additional year. The offer reflects a 6%, or $4,417.80, cost increase to
offset an increase in the consumer price index of goods related to their operations. The
rate increase is based on the calendar year 2021 Consumer Price Index (“CPI”) increase
of 6.6% among all goods and services in the Los Angeles Area. The items measured by
the CPI that directly affect the operations of Yunex LLC along with their specific CPI
increases are identified below:
Item CPI Increase - Calendar year 2021
Fuels and utilities (facilities) 14.2%
Motor Fuel 46.4%
New and use vehicle purchases 13.7%
Motor vehicle insurance 7.2%
Although the direct operational expenses incurred by Yunex LLC have escalated above
the CPI annual average among all sectors, Yunex LLC has only requested a 6% contract
increase to limit the fiscal impact and maintain a positive relationship with the City. Yunex
LLC has provided quality service to the City of Arcadia for several years and this is the
first contract increase requested since the contract originated in 2019. The City will re-bid
this contract in the coming year to ensure that prices and services remain competitive in
future years.
Extend Traffic Signal
Extraordinary Maintenance Contract
February 15, 2022
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ENVIRONMENTAL IMPACT
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the
environment. Thus, this matter is exempt under CEQA.
FISCAL IMPACT
The total contract cost will be set at a not-to-exceed amount of $78,047.80. Sufficient
funds have been budgeted for extraordinary repairs of traffic signals. All work performed
is on a time and materials basis and the contractor is only paid for work performed.
RECOMMENDATION
It is recommended that the City Council determine that this contract is exempt under the
California Environmental Quality Act (“CEQA”); and authorize and direct the City Manager
to execute a one-year extension to the contract with Yunex LLC (previously known as
Siemens Mobility, Inc.) for extraordinary traffic signal maintenance services in the amount
of $78,047.80.
Attachment: Proposed Amendment No. 3 to the Contract
AMENDMENT NO. 3 TO THE 2018/2019 TRAFFIC SIGNAL
MAINTENANCE SERVICES CONTRACT BY AND BETWEEN
THE CITY OF ARCADIA AND YUNEX LLC (PREVIOUSLY KNOWN AS
SIEMENS MOBILITY, INC.)
This Amendment No. 3 (“Amendment No. 3”) is hereby entered into this ______ day of
______________, 2022 by and between the City of Arcadia, a municipal corporation of the
State of California, and Yunex LLC, a California Corporation, with respect to that certain
Contract between the parties dated March 13, 2019 (“Agreement”), further amended by
Amendment No. 1 dated March 25, 2020, and further amended by Amendment No. 2 dated
March 9, 2021.
The Parties agree as follows:
1. Article 2, Section 2.1 the Contract Term is hereby extended to include the period from
March13, 2022 to and including March 13, 2023 (“Extended Term”).
2. Article 3 of the Contract, during the Extended Term the Contract Price shall not exceed
Seventy-Eight Thousand, Forty-Seven Dollars and Eighty Cents ($78,047.80).
3. All terms and provisions of the Contract not amended by this Amendment No. 3 are
hereby reaffirmed.
In witness whereof the Parties have executed this Amendment No. 3 on the date set
forth below.
CITY OF ARCADIA YUNEX LLC By: By: Dominic Lazzaretto City Manager Title: Dated: Dated: By: ATTEST: Title: Dated: City Clerk APPROVED AS TO FORM CONCUR: Stephen P. Deitsch Paul Cranmer City Attorney Public Works Services Director