Report Prepared by: Ian Sather, E.I.T, Assistant Engineer, Engineering Department
Title
SUBJECT: Award Bid to St. Francis Electric, LLC. for the Congestion Mitigation Air Quality Grant (CMAQ) (059) Merced Traffic Signal Synchronization Project Number CP220066, in the Amount of $1,386,770
REPORT IN BRIEF
Considers awarding a Construction Contract to St. Francis Electric, LLC. in the amount of $1,386,770 for the CMAQ (059) Merced Traffic Signal Synchronization Project.
RECOMMENDATION
City Council - Adopt a motion:
A. Awarding the CMAQ Merced Traffic Signal Synchronization Project CP220066 to St. Francis Electric, LLC, in the amount of $1,386,770; and,
B. Authorizing the City Manager to execute the necessary documents and to approve change orders not to exceed 15% of the total contract; and,
C. Authorizing the Finance Officer authorization to make necessary budget adjustments.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Article XI, Section 1109 - Contracts on Public Works.
Merced Municipal Code Chapter 3.04, Article IV - Public Works Contracts.
CITY COUNCIL PRIORITIES
As provided for in the 2025-26 Adopted Budget.
DISCUSSION
The work to be performed on the project includes upgrading the traffic signal equipment on city arterial roads to modern controllers, connecting the traffic signal cabinets to our cities fiber optic or wireless networks - allowing for centralized monitoring of traffic signal status and condition, upgrading inductive traffic loop system to a modern camera system, and adjusting and synchronizing the timing of traffic signal lights on R Street, M Street, Olive Avenue, Yosemite Avenue, and G Street North of Mercy Ave.
The combination of these improvements are designed to improve the flow of traffic throughout the city, provide increased safety to bicyclists with specific zones designed to detect bicycles at intersections, and reduce the costs of road maintenance and repairs.
On March 7, 2022, Council adopted Resolution 2022-12 granting CMAQ funds in the amount of $211,365 for Preliminary Engineering costs for the design of the traffic signal synchronization/timing project.
On September 16, 2024, City Council accepted $993,417 in CMAQ grant funding for construction costs of the traffic signal synchronization and allocated $128,708 towards matching funds.
On March 6, 2025, the project was originally advertised for 4 weeks. The bids received were rejected due to insufficient funding at the April 21, 2025, City Council Meeting.
On July 10, 2025, the project was sent out for re-bid with modifications to the plans and specifications. The revised engineer’s estimate was $1,160,000. This is also the first project to have the Project Labor Agreement (PLA) requirements added to the specifications.
On August 07, 2025, City staff received two (2) bids for the project, which were rejected on September 02, 2025; again due to insufficient funding for the project.
Staff prepared revised plans and specifications, and the project was advertised for bids. Bids were opened on January 29, 2026, with the following results for base bid and bid alternatives:
|
1 |
St. Francis Electric, LLC |
$ 1,386,770.00 |
|
2 |
Bear Electrical Solutions, LLC |
$ 1,405,745.00 |
|
3 |
Pacific Excavation, Inc. |
$ 1,630,831.00 |
|
4 |
Tennyson Electric, LLC |
$ 1,679,057.00 |
The Engineer’s Estimate for Construction of the Base Bid was $670,000 - $725,000. With all bid alternates accounted for, the Engineer’s Estimate was $1,630,000.
The following is the proposed budget for the project:
|
Construction |
$ 1,386,770.00 |
|
Contingency (15%) |
$ 208,015.50 |
|
Engineering, Testing & Inspection (5%) |
$ 69,338.50 |
|
TOTAL |
$ 1,664,124.00 |
The total available budget within the project currently is $1,189,032. With the increase of labor and materials, the project currently has a shortfall in funds of $475,092. Staff requested additional CMAQ funding from Merced County Association of Governments (MCAG) and was recently approved for an increase of $246,000 in additional CMAQ funding for the project.
Staff transferred Measure V Local Transportation funding from Project CP260002 - (Measure V Local Transportation - Projects to be Determined) to supplement the project, in the amount of $475,092 to award the contract while staff works on attaining the additional $246,000 CMAQ grant authorization from Caltrans. The authorization from Caltrans will go to City Council for approval and allocation to the project. After the grant funding is allocated to the project, Staff will prepare a budget transfer in the amount of the awarded grant back to Project CP260002 - (Measure V Local Transportation - Projects to be Determined).
IMPACT ON CITY RESOURCES
CP220066 has sufficient funding to cover the construction contract with St Francis Electric, LLC and does not require additional funding.
ATTACHMENTS
1. Bid Results
2. Location Map
3. Construction Contract