CC - Item 2F - Agreement with Republic Electric0
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ROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: ANDREW C. LAZZARETTO, CITY MANAGER -
DATE: JULY 11, 2006
SUBJECT: AGREEMENT WITH REPUBLIC ELECTRIC
SUMMARY
Republic Electric provides the City's traffic signal maintenance services. The
agreement is extended annually along with a cost-of-living adjustment. It is proposed
that the extension to the original agreement be executed thereby extending the contract
through June 30, 2007, and granting a 5.4% cost-of-living adjustment.
Staff Recommendation
Staff recommends that the City Council approve the extension to the Agreement
between Republic Electric and the City, authorizing a one-year contract extension and a
5.4% cost-of-living adjustment, effective June 1, 2006, and authorize the City Manager
or his designee to sign the agreement on behalf of the City.
ANALYSIS
Republic Electric, formally known as Signal Maintenance, Inc. and Peek Signal
Maintenance, Inc., has been providing the City's traffic signal maintenance services
since 1981. The company has established itself as a reputable and reliable contractor.
The agreement allows for extensions upon mutual consent. The current agreement
expired May 30, 2006.
Republic Electric has requested that the agreement to provide traffic signal
maintenance services be extended for additional year, with a rate increase of 5.4%.
Thus, the Extension of Agreement between Republic Electric and the City is being
presented for City Council review.
The proposed increase is in line with the last reported Los Angeles-Riverside-Orange
Counties annual CPI increase of 5.4%. The new monthly rates will be $51.56 per
month per intersection for preventative maintenance services.
APPROVED FOR CITY COUNCIL AGENDA:
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City Council Meeting
June 11, 2006
Page 2 of 2
FINANCIAL REVIEW
The cost for traffic signal maintenance services in FY 06-07 have been budgeted for FY
06-07 utilizing Gas Tax funds.
LEGAL REVIEW
The agreement has been reviewed as to form by the City Attorney.
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Submitted by:
Ken Rukavina, P.E.
City Engineer
Attachment A: Republic's Request for Extension dated June 26, 2006
Attachment B: Extension to Agreement between the City and Republic Electric
Attachment C: CPI
Republic
Electric
June 26, 2006
Ken Rukavina
City of Rosemead
8838 East Valley Blvd
Rosemead, CA 91770
Dear Ken Rukavina
•
Attachment "A"
Pursuant to the contract for Traffic Signal Maintenance between Republic Electric and
the City, Republic Electric annually adjusts our pricing each July to account for inflation.
Due to rising costs of labor, fuel, health insurance, and workers' compensation insurance,
Republic Electric requests an inflation price increase in our $/intersection per month price
with the City. Below is the calculation by Republic Electric for the $/intersection per
month to be effective as of July 2006. All other pricing for additional work performed
under the contract will be adjusted similarly.
Current Contract
% Increase
New Contract Price
Price
based CPI
Data
$48.92/intersection/
5.4
$51.56/intersection/mo
mo
$76.OOTechnician
5.4
$80. 1 OTechnic ian
$/Hr RT
$/Hr RT
$25.00 Bucket
5.4
$26.35Bucket
Truck/Hr
Truck/Hr
If you should have any questions regarding this price increase, or our methods of
calculation, please do not hesitate to contact me at 714 630-2100. Thank you in advance
for your assistance. We look forward to continuing to serve the City.
Sincerely,
Susan Fukushima
Administrative Manager
(714) 630-2 1()() FaN (-1.0 630-2828 1266 N. La Loma Circle Anaheim. CA 92806
13/)S'1 ON • DALL:%ti 9 Los ANGF.LF~ • SACRAMENTO • SAN DIFGU • SAN FRANCISCO
• Attachment "B"
EXTENSION OF AGREEMEN
This EXTENSION OF AGREEMENT is entered into effective the 1St day of June 2006, by and
between the CITY OF ROSEMEAD, a municipal corporation (hereinafter "CITY"), and
REPUBLIC ELECTRIC (hereinafter "CONTRACTOR").
WHEREAS, the parties have executed an Agreement dated March 1, 1981, in which
CITY agrees to contract with CONTRACTOR for the performance of certain traffic signal
maintenance and repair services: and
WHEREAS, said Agreement is attached hereto, marked "Exhibit A" and incorporated
herein by this reference; and
WHEREAS, the Agreement of March 1, 1981, provides for an annual extension of said
Agreement for a period of one year; and
WHEREAS, CONTRACTOR has thus far satisfactorily performed the services set forth
in the Agreement dated March 1, 1981; and
WHEREAS, CONTRACTOR has offered to perform the services required in the
agreement for a period of one year with a 5.4% increase in the current rate for services.
NOW, THEREFORE, the parties agree:
1. This EXTENSION OF AGREEMENT shall be effective as of June 1, 2006.
2. The AGREEMENT of March 1, 1981, is hereby extended to June 30, 2007, at the
rates as listed on "Exhibit B".
IN WITNESS WHEREOF, the parties have executed this EXTENSION OF
AGREEMENT on the date set forth below.
CITY OF ROSEMEAD REPUBLIC ELECTRIC
By
CITY MANAGER
By:
Dated: Dated:
ATTEST:
By:
CITY CLERK
APPROVED AS TO FORM
By:
CITY ATTORNEY
PRESIDENT
• EXHIBIT "A" •
pr:nPOS!,L FOR Tr;AFFIC SIGN7L P'/AINTENANC%
FOR TIRE CITY OF ROSEIIEAU, CALIIORNIA
The undersigned declares that he has examined the signal location- contained herein
and proposes to perform the following services for the unit prices as submitted.
1. EFINITIONS
a) The word "City manager" shall mean the City Manager of the City of Rosemead,
acting personally or through his duly authorized agents, each agent acting
only within the scope of authority delegated to him.
b) The word "Police Chief" shall mean the Eiead of the City's LEiw Enforcement
Tigency of the City of Rosemead, acting personally or through his duly authorized
agents, each agent acting only within the scope of authority delegated to him.
2. AU'I?:OkITi' OF THE CITY MANAGER
a) The City manager shall decide any and all questions which may arise as to the
quality or acceptability of materials furnished and work performed, and as to the
manner of performance and rate of progress of the work; all questions which arise
as to the acceptable fulfillment of the hyreement on the part of the Company;
and all questions as to claims and compensations.
b) The City manager's decision sha].l be final and he shall have executive authority
to enforce and make effective such decisions and orders as the Company fails to
carry out promptly.
c) At no time will any changes in timing or progression of the signals be made
except under the direct supervision of the City Manager.
3. SERVICES
Traffic Signals: company shall service, maintain and overhaul, traffic signal
devices; i.e., electro mechanical and solid state type including type 170
controllers, fixed time, semi-actuated, fully actuated traffic signals, and
at the locations set forth on Exhibit "A", and at such uther locations where
such devices inay from time to time be installed within the City. All said labor,
services, materials and equipment shall be furnished and work performed and
completed, subject to the inspection and approval of the City, the City manager's
office, or inspectors or their representatives. When City desires to acid traffic
signal devices, to be serviced and inaintained, it shall notify Company thereof
at least fourteen (14) days in advance of the time such service shall commence.
The services to be performed shall consist of a preventive maintenance program
including, but not limited to, the following:
1. The inspection, cleaning and adjustment of each controller unit, and the repair
and replacement of any and alldefective parts; such inspection, cleaning and adjustment
shall take place as to each unit at least once per calendar month.
{
n The relamIpin9 Period
ainping b::
Thc, Ccvmpa ;J, shall rp o a oup rel
shall bcr }.cased os; a dcplc.Li.or, curve, not to cXcC,'eu t~•aelvc (12) moi"iths. Lamps shall
be Genc,ral Electric, Sylvania, Westinghouse or approved equal.
3. The replacement and/or repair of any and all defective parts of the controller
r.
mec2,anisms of any unit, or any part thereof, as may be necessary for the operation thereof .
4. The cleaning, polishing, and ij)spectlon of all lenses and reflectors in each
unit at the time the signals are relamped. All broken or deteriorated parts will be
replaced or changed as necessary.
5. Daily visual inspections at intersections throughout the City to insure the
prompt replacement of burned out lamps including highway safety lighting, illuminated street
name. signs, and repair of controller malfunctions, pedestrian push buttons, detectors,
etc., and to insure the traffic signal progression of all units according to timing
relationships determined by the City Manager.
6. The servicing of the signal systems on an emergency basis in the event of
malfunctions of the controller or signal system.
4. ANSWERING SERVICE CALLS,
The company shall maintain a 24-hour emergency service so that he may be contacted
at any hour of the day or night with no exceptions to holidays and weekends and will
be r.equireci to answer different types of calls, as specified belov, within certain
time limits. The Company shall supply the City manager and the Police Chief with a
telephone number from which his radio operator may be contacted at all hours. If
this telephone number is a toll number, the City will reverse the charges.
9) Emergency Calls. Whenever the signal is malfunctioning in any manner, the Company
shall answer the call immediately, regardless of the fact that the controller may
have been switched to flashing operation by the Police Department. The word
"immediately" is construed to mean with all possible haste, and shall not exceed
two hours. The above will also apply to any calls indicating the existence of
danger to the motoring public caused by the signal control or the lack thereof.
b) Light out calls. Two separate indications will be required for each direction
of traffic at all times. when this number falls below two, or if one red
indicator is out, the Company shall answer the light out call as soon as
possible, not to exceed 2 hours, day or night. In the event a light out call
is received with the report that two indicators are still remaining, the Company
shall answer the call within 24 Hours.
c) other emergency service. The services shall include, but not be limited to, part
replacement or repair, including burned out lamps, lenses, reflectors, visors,
light contacts, repairable relays, back plates, push button signs, controllers,
coordinatinTrj units, interconnect units, time switches, head orientations, etc.
d) Illuminated street name signs. The illuminated street name signs shall be
serviced and maintained at locations shown in Appendix "B". Burned out lamps,
and ballast shall be replaced within 72 hours, since the delivery of panels
by the vendor requires 3-4 weeks, panel. replacements shall be ordered by the
Company within five (5) days.
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e) Highway safety li.cjhtir,cT. The highway safety lights shall be serviced and main-
tai ned at locations: 5110%•m in Appendj_i: "B". Burned out lamps anO/ or. ballast shall
be replaced ~,,ithi.n 72 hours. The luminaire reflector and/or refractor shall be
cleaned at the. time of lamp replacement.
f) Equipment required. The Company shall be equipped with spare parts sufficient
to place the signal back in operation for ordinary trouble calls. In those
cases where a complex controller or component has to be repaired, the Company
shall be required to furnish and install a substitute controller or component
until the defective controller or component is repaired or replaced to its
original condition as originally installed. The Company after performing any
temporary emergency work shall have thirty (30) days in which to complete
permanent repairs. All permanent repairs shall be to the level that e>:isted'
prior to the need of the emergency work.
5. EXTRAOMINARY MAINTENAVCE
Whenever any part of the signal system is damaged by.collision, Acts of God, or
malicious mischief, excepting damage resulting from the negligence of the Company
while on the job, the repair of such dam3ce will be paid for as extraordinary
maintenance. In addition to this, the replacement of vehicle detectors, per-'estrian
signal neon tubes and transformers, emergency service calls, flourescent street nai:,e
signs, highway safety lights, or any revision work the City may request the Company
to perform will be paid for as extraordinary maintenace. All extraordinary maintenance
will be subject to the prior approval of the City Manager.. If the Company receives a
night call that requires the replacement of damaged equipment, he shall put the signal
in a temporary operating condition if damage is of a minor nature, otherwise the
Company shall, if unable to restore temporary operation, place the signal on flashing
operation if possible. If. the signals are damaged to the extent that they 1,1ave to be
shut down, the Company shall call the Police Chief to provide traffic control until
the signal can be repaired. In no case will the Company perfoznn extraordinary main-
tenance without first obtaining the prior approval of the City Manager.
6. COMPENSATION
City shall pay to Company the sum of $42-8 8 per month for each intersection
as set forth on Exhibit "A" for the traffic signal preventive maintenance program.
Company shall be entitled to additional compensation for extraordinary maintenance.
Billing for extraordinary maintenance shall include only the following:
a) Company's invoiced material cost plus 15 per cent.
b) Company's labor costs established as N/A per hour to be reviewed annually
by the City Manager. Please see schedule A & B attached.
c) Equipment rental to be revised annually by the city manager.
upon receipt of each monthly invoice and certification by the City Mianager, the City
will, within thirty (30) days after receipt of such invoice, pay to the Company all
certified sums. In addition, the Company will furnish to the City a monthly summary
of all work performed within the City, with the location of service, the day and
apprOXirnate time, the reason for the service, whether routine or emergency, and the
hours --pent.
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7. IIJ5URAI~CL•' R7;'nUIRla9.ENTS 114 CAST OF n-('ORTR7\CT
Company shall carry public liability and property damage insurance covering its
operations and obligations hercundcr in an amount not less than $1,000,000 for
injuries, including accidental death, for any one person, and subir•••t to the same
limit for eac), person in an amount not less than $500,000, and pro;. -ty damage
insurance in an alnoul;t not less than $100,000 per each occurrence. The Company
shall also ta):e out and maintain during the life of this contract, Wo-.6ur,an's
Compensation insurance covering all of his employees on the project, with a
company satisfactory to the City and shall furnish to the City certificates issued
by such companies showing that all of the above mentioned insurance has been issued
and is in full force and effect prior to commencing won): in accordance with this
agreement. The Company shall be responsible for the insurance coverage as herein
provided of all employees of said Company. Said insurance shall provide that the
same in non-cancellable except upon ten (10) days' written notice to the City.
In case any employee engages in hazardous wor3: under this contract and i:- not
protected under the Workman's Compensation Act, the company shall provide or cause
to be provided, appropriate insurance for the protection of all such employees not
otherwise protected. The Company shall likewise obtain public liability and property
damage insurance to cover vehicles used or maintained by him in the performance of
said wor): connected withthis Agreement, with liability limits of not less than
$500,000 for any one person, and $500,000 for any one accident, and property damage
of $100,000.
If the Company fails to maintain such insurance, the City may obtain such insurance
to cover any damages which said City or its principals may bn liable to pay through
any of the operations and deduct and retain, the amount of the premiums for such
insurance from any sums due.
l.othing herein contained shall be construed as limiting in any way thexten,rproperty
which the Company may be held responsible for payment of dainagr_' persons or resulting from his operations or any operations of any subcontractors under him.
Company will be required to indemnify and hold harmless City and its officers aria
employees from any claims, dwnages or expenses, including attorney's fees and court
costs, arising out of Company's performance. The City to be named as an additional
insured on the Company's master policy.
E. ?~SS~G1~1~iE1dT
Gr a17'' )Ortlon hereof, w:thout first obtaining
pi_ aSS:C~n this Ii^rC.EIIClit
Cau(pany shall 1'I 1
the written consent of City. if such assignment :i.s made or attempted by Company,
city, at its sole option, may terminate this Agreement upon the giving of a 24-hour
written notice to Company of such termination.
9. TERIM
This Agreemc-nt shall be in full force and effect for a period of one (1) year, and
may be c::ten6 cl upon, mutual cor:se.It of 1)oth parties.
• •
7. INSURANCE
Company shall carry public liabil.ity and property dzAmage insurance covering its
operations and obligations hereundcr in z,n amount not less than $1,000,000 for
injuries, including accidental death, for any one person, and subjr-t to the sane
limit for each person in an amount not less than $500,000, and pro. ---ty damage
insurance in an amount not less than $100,000 per each occurrence. The Coinpany
shall also take out and maintain during the life of this contract, Worl-.man's
Compensation insurance covering all of his employees on the project, with a
company satisfactory to the City and shall furnish to the City certificates issued
by such companies showing that all of the above mentioned insurance has been issued
and is in full force and effect prior to commencing wor)z in accordance with this
agreement. The Company shall be responsible for the insurance coverage as herein
provided of all employee- of said Company. Said insurance shall provide that t_he
same in non-cancellable except upon ten (10) days' written notice to the City.
In case any employee engages in hazardous work under this contract and i:y not
protected under the Wor)unan's Compensation Act, the Company shall provide or cause
to be provided, appropriate insurance for the protection of all such employees not
otherwise protected. The Company shall likewise obtain public liability and property
damage insurance to cover vehicles used or maintained by him in the performance of
said wort: co;inected withthis Agreement, with liability limits of not less than
$500,000 for any one person, and $500,000 for any one accident, and property damage
of $100,000.
If the Company fails to maintain such insurance, the City may obtain such insurance
to cover any damages which said City or its principals may bc: liable to pay through
any of the operations and deduct and retain, the amount of the premium: for such
insurance from any sums due.
V othing herein contained shall be construed as limiting in any way the extent towhich the Company may be held responsible for payment of dwiages to persons or property
resulting from his operations or any operations of any subcontractors udder him.
Company will be required to indemnify and hold harmless City and its officers and
employees from any claims, damages or expenses, including attorney's fees and court
costs, arising out cf Company's performance. The City to be named as an additional
insured on the Company's master policy.
S. ASSIGNMENT
Company shall not assign this Agreement or any portion hereof, without first obtaining
the written consent of City. If such assignment is made or attempted by Company,
City, at its sole option, may terminate this Agreement upon the giving of a 24-hour
written notice to Company of such termination.
9. TEEN
This Agreement shall. be in full force and effect for a perio3 of one (1) year, and
may be extended upon mutual consent of both parties.
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10. TI:MMINATION OF CONTIOICI'
0
a) In the event that any of the provisions of this contract are violated by
the Company, the City way terminate the Contract by serving t•;r C.':ten notice
upon the Company of its intention to terminate such Contract ai:d, unless
within ten (10) days sifter the serving of such notice, such violation shall
cease, the Contract shall, upon the expiration of said ten (10) days, cease
and terminate. As to violations of the provisions of this Contract whiciI
cannot be re-medied or corrected within ten (10) days, said Contract- shall be,
at the option of this City, ceased and terminated upon the giving of like
notice. In the e-,ent of any such termination of any of the reasons above
mentioned, the City may take over the work and prosecute the same to
compl-'.ion by contract or otherwise for the amount and at the expense of
the Company.
b) if the Company should neglect to prosecute the work properly or fail to perform
any provisions of contract, the City, after three (3) days' written notice to
the Company may, without prejudice to any other remedy it may have, make good
such deficiencies, and may deduct the cost thereof from the payment then or
thereafter due the Company, provided, however, the City Manager of said City
shall approve such action and certify the amount thereof to be charged to the
Company.
11. NOT AN AGENT Or CITY
It is expressly understood and agreed that the Company given the Contract will be
responsible for furnishing all labor, service, materials and equipment and
performing the work as provided for, is acting as an independent Company and not
as an agent, servant or employee of the City of Rosemead.
12. STA'.PEM-ENT OF QUALIFICATIONS
The contractor must be highly skilled and specialized in traffic signal systems
maintenance. Maintenance work should be the only business of the firm so that no
business conflict will arise between maintenance and construction. The contractor
must be familiar with a variety of equipment, have substantial parts inventory
and have sufficient equipment to adequately perform the contract. This can best
be assured by demonstrable past experience in the maintenance of traffic signal
systems similar to Rosemead's. A positive answer to the following question should
assure that this minimum requirement is met:
Has your firm been engaged for at least three years solely in the
maintenance of traffic signal systems in at least one jurisdiction
with equal ox' greater numbers of signal. installations than Rosemead?
Answer: Yes X No
if the answer is Yes, please list the following:
Total number of years' experience: Eighteen (18)
Juri_r.dicti.on Served
No. of. Fired.
No. of. Actuated
No. of Years Contract
Time Signals
Signals
with this jurisdiction
has been held
Monterey Park
11
27
18 Years
Montebello
22
35
16 Years
Covina
7
22
18 fears
13. TOTAL LAID PRICE P'OR ORDINARY MAINTi:NAr7CE SI AT..L BE:
a) Traffic signals, 32 at $42.88 per intersection, per month, for a
total of $1, 372 .16 per month, as of the bid date.
b) Safety lighting luminaires, at N/ A per luminaire, per month,
for a total of N A per month as of the bid date.
c) Total per month (a and b) above N/A
d) Total per hour labor for extraordinary maintenance, as of the bid date (Please
see schedule A & B attached).
Signed G
2720 E. Regal Park Drii~e
Anaheim, Ca. 92806
Date February 3, 1981
0 EXHIBIT B 0
Republic Electric
Proposed Rate Schedule
for
The City of Rosemead (FY 2006/2007)
Intersection rate per intersection per month $51.56
Contractor's cost for supplies plus 15%
Labor rates as indicated
Sales Tax rate
8.25%
Hourly labor rates
Straight time
Overtime
Operations Superintendent
$ 79.05
$ 79.05
Engineering Technician
$ 78.00
$116.99
Leadman
$ 78.00
$116.99
Signal Technician
$ 78.00
$116.99
Lab Technician
$ 35.22
$ 52.84
Equipment
Job trip
Pickup Truck
$ 15.33
$ 10.00
Service Truck
$ 15.33
$ 10.00
Service/ladder Truck
$108.02
$ 25.00
Paint Rig Truck
$108.02
$ 25.00
Air compressor w/tools
$168.39
$ 18.00
Water Truck
$ 69.10
$ 10.00
Big Concrete Saw
$ 69.10
$ 10.00
Note: Any equipment used, but not on the above schedule will be charged at the local prevailing rental rate.
Bureau of Labor Statistics
Attachement T"
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of Labor - t
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Statistics
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Data extracted on: June 27, 2006 (7:54:53 PM)
Consumer Price Index - All Urban Consumers
Series Id: CUURA421SAO
Not Seasonally Adjusted
Area: Los Angeles-Riverside-Orange County, CA
Item: All items
Base Period: 1982-84=100
Year San Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual HA
2005 195.4 197.4 199.2 201.1 201.5 200.7 201.4 203.1 205.8 206.9 205.6 203.9 201.8 119-
12 Months Percent Change
Series Id: CUURA421SAO
Not Seasonally Adjusted
Area: Los Angeles-Riverside-Orange County, CA
Item: All items
Base Period: 1982-84=100
Year
Jan
Feb
Mar
Apr
May
Tun
Jul
Aug
Sep
Oct
Nov
Dec
Annual
HALF1
HALF2
2005
3.7
3.8
4.0
4.8
4.2
3.6
4.1
5.2
5.8
5.4
4.4
4.5
4.5
4.0 1
4.9
2006
5.4
5.1
4.7
4.7
5.4
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