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HomeMy WebLinkAboutItem 11l - Reject Bids for Downtown Lighting Improvement Project
DATE: April 15, 2025
TO: Honorable Mayor and City Council
FROM: Jason Kruckeberg, Assistant City Manager/Development Services Director
Kevin Merril, City Engineer
By: Simon Vuong, Economic Development Manager
SUBJECT: REJECT ALL BIDS RECEIVED FOR THE DOWNTOWN LIGHTING
IMPROVEMENT PROJECT AND DIRECT STAFF TO RE-BID THE
PROJECT
CEQA: Not a Project
Recommendation: Approve
SUMMARY
In Fiscal Year 2023-2024, the Downtown Lighting and Streetscapes Improvement Project,
now known simply as the Downtown Lighting Improvement Project, (“Project”) was added
to the Capital Improvement Program (“CIP”) to improve the Huntington Drive corridor
within the Downtown Arcadia Community Benefit District (“CBD”) between Santa Clara
Street and Fifth Avenue The planned improvements include tree lighting replacement,
new over-the-street banner poles, and other streetscape improvements for a total of
$225,000 authorized in the Fiscal Year 2023-24 CIP Budget.
The Project was advertised for bids and bids were opened on March 6, 2025. Only two
bids were received, and both bids were significantly higher than the budget. It is
recommended that the City Council reject all bids received for the Downtown Lighting
Improvement Project and direct staff to re-bid the Project with changes to reduce costs
and allow additional bidders to qualify to bid. Even with potential cost-saving measures
and increasing the pool of qualified bidders, it is possible that an additional appropriation
will be required after re-bid, or the scope will need to be further adjusted.
BACKGROUND
During the 2023-24 Fiscal Year Budget Process, a new program to enhance the
Downtown area was proposed utilizing American Rescue Plan Act (“ARPA”) funds, which
included the following elements:
Downtown Lighting Improvement Project
April 15, 2025
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• Replacing existing uplights, tree-mounted power boxes, and electrical conduit for
68 palm trees in Downtown Arcadia that were originally installed in the 1990's as
part of the Downtown 2000 Beautification Project and have reached the end of
their lifecycle.
• Addition of a new over-the-street banner support installation on First Avenue
between Huntington Drive and Alta Street for use by community organizations to
promote events.
• Other improvements to existing Downtown streetscape infrastructure to refresh or
repair, including planters, signage, and other decorative streetscape treatments
installed as part of the Downtown 2000 project.
At the June 6, 2023, City Council Meeting, the City Council adopted Resolution No. 7501
adding the Downtown Lighting Improvement Project to the Fiscal Year 2023-24 CIP
Budget. A Professional Services Agreement (“PSA”) was entered between the City’s on-
call engineering consultant, Kreuzer Consulting Group (“KCG”), on April 14, 2024, to
develop and produce base plans, lighting design and imagery, electrical design and
lighting plans, and banner pole design and calculations. Design plans were completed
and finalized in January 2025.
After consulting with the Downtown Arcadia Improvement Association (“DAIA”) and
evaluating the funding limitations, it was determined that the focus of the project should
be on the tree lights along Huntington Drive, with other project elements taking less
priority. Therefore, the scope of the bid focused only on the tree lights, with the over-the-
street banner poles to be addressed separately and other streetscape improvements
removed.
In coordination with KCG, many alternatives of the tree lighting options were discussed,
including uplighting vs. wrapped lighting, number of trees lit, existing conduit and
infrastructure usage, etc. Based on the various designs presented, the estimated costs
ranged from $259,618 to $410,815. Given the funding limitations, the preferred option
was the less expensive option, and this was reflected in the Notice Inviting Bids.
DISCUSSION
The Notice Inviting Bids was published on February 14, 2025. On March 6, 2025, the City
received two (2) bids, summarized below:
Bidder Location Bid Amount
Crosstown Electrical & Data, Inc. Irwindale, CA $696,955.00
Servitek Electric, Inc. Norwalk, CA $1,041,448.50
All bids are well above the City’s budget. In the analysis of the bid package, it was
determined that the bid package restricted a range of potential bidders due to licensing
requirements. In addition, the size of the project is challenging in that it is a minor project
Downtown Lighting Improvement Project
April 15, 2025
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for large firms and a significant project for smaller, niche firms. Due to these issues, it has
been determined that the scope of the work could be scaled back to attract the right firm
to bid on work that would be in line with their qualifications and project experience, such
as firms who specialize in the technical space of lighting, electrical installation and
streetscape beautification. To attract additional interest and potentially lower costs, it is
recommended that the current bids be rejected. It is anticipated that the Project will be
re-bid as a lump sum, expanding the license types of qualifying bidders, and require a
pre-bid site walk for bidders to gain a better understanding of the scope of the work
involved.
ENVIRONMENTAL ANALYSIS
Rejecting this proposal does not constitute a project under the California Environmental
Quality Act (“CEQA”), as it can be seen with certainty that it will have no impact on the
environment.
FISCAL IMPACT
American Rescue Plan Act Funds in the amount of $225,000 have been budgeted in the
Fiscal Year 2023-24 Capital Improvement Program for this project. The bids received
were considerably higher than the budgeted amount, and even with potential cost-saving
measures mentioned previously, it is likely that an additional appropriation will be required
after re-bid. There are additional ARPA funds that may be available for this project should
the City Council wish to allocate them.
RECOMMENDATION
It is recommended that the City Council determine that this action does not constitute a
project under the California Environmental Quality Act (“CEQA”); reject all bids received
for the Downtown Lighting Improvement Project and direct staff to re-bid the Project.