HomeMy WebLinkAbout91609 CMR Request for Additional FundingCity of San Luis Obispo, City Manager Report
Final City Manager Approval Approver Name Date Approved
City Administration Shelly 7/1/21
Reviewer Routing List Reviewer Name Date Reviewed
City Attorney MJ 7/1/21
Finance & Information Technology NH 7/1/21
June 18, 2021
FROM: Matt Horn, Director of Public Works MH 6/29/2021
PREPARED BY: Matt Crisp, Transportation Planner/Engineer
SUBJECT: Broad/Woodbridge Pedestrian Hybrid Beacon, Specification No. 91609
Request for Additional Funds
RECOMMENDATION
1. Receive notice that over 75% of available contingency funds have been used for the
Broad/Woodbridge Pedestrian Hybrid Beacon (PHB) project (Specification No. 916 09).
2. Approve a Budget Amendment Request (BAR) for the Broad/Woodbridge PHB project
(Specification No. 91609) to add an additional $20,000 in contingency funds by transferring
funds from the Transportation Safety and Operations project account (Project No. 1000073).
DISCUSSION
On March 17, 2020, Council authorized advertisement of the Broad/Woodbridge PHB (Specification
No. 91609). The contract was subsequently advertised and awarded to Lee Wilson Electric on
December 21, 2021. The original contract award was within the publicly disclosed amount authorized
by the City Council. With award of the construction contract, $40,421 in project funds remained
available for construction contingencies (11% of construction contract cost).
Construction of the Broad/Woodbridge PHB began June 1, 2021. As work was underway, unforeseen
but necessary modifications to the project designs were identified, resulting in the need to utilize most
of the available construction contingency budget. The purpose of this staff report is to (a) notify the
City Manager that over 75% of project contingency funds will be expended, and (b) to request
approval to transfer $20,000 in additional funds to the project account to provide additional
emergency contingency funds to cover any additional unforeseen costs that may arise through
completion of the project.
Additional Work Related to PG&E
On Friday May 21st, PG&E informed the City of a necessary modification to the location PG&E
would pull power to service the project. There was a miscommunication from PG&E during the
design phase of this project about which utility pole would be used to pull electrical service, where
Broad/Woodbridge PHB, Spec. No. 91609 Request for Additional Funds Page 2
PG&E provided a schematic design showing the correct pole location, but sent a photograph of the
incorrect pole. To correct for this error, the City’s contractor will now need to extend an underground
electrical conduit an additional 70 feet to the correct point of service. While there is no additional cost
associated with PG&E for this change, this does result in the need for extra work by the City’s
contractor. The additional cost to the City for this change order is $16,173.
Additional Work Related to Signal Pole Foundation Unknown Conflict
On June 11th, the contractor confirmed that a 4-foot diameter storm drain was too close to the
location of one of the PHB signal pole foundations, and the pole would need to either be relocated
slightly or a custom signal foundation design would need to be approved to work around the utility
conflict. While staff was aware of the potential utility conflict and had this storm drain located on
the signal designs, there appeared to be sufficient clearance between the new signal foundation
and utility conflict based initial review and USA utility markings. Following further underground
excavation and review by the contractor, it was clear that the signal pole could not be shifted to
avoid the conflict completely and a custom foundation design would be required. Structural
engineering services were necessary to modify the design, resultin g in additional unforeseen costs
to the project. The cost of the new structural design for the modified foundation was $10,869. In
addition to the engineering costs there were also additional construction costs associated with this
modification. The additional construction costs were $11,533, bringing the total additional cost
for this item to $22,402.
In total, $38,575 in project contingency funds are required to fund these additional expenses, which
leaves only $1,846 in remaining contingencies (4.7% of original contingency budget).
FISCAL IMPACT
With addition of the abovementioned expenditures , only $1,846 in contingency funds will remain
in the project account. While staff does not anticipate any additional significant cost increases, it
would be prudent to ensure that some additional contingency funds are available if needed. For
this reason, staff is recommending that $20,000 in funds be transferred from the Transportation
Safety and Operations Account (Project No. 1000073) to the Broad/Woodbridge PHB project
account (Spec. No. 91609) to provide sufficient contingency budget through completion of project
construction.
The Transportation Safety and Operations account funds minor traffic safety and signal operations
improvements. The Transportation Safety and Operations project account has a current balance of
$100680. Staff believes that with the proposed $20,000 funds transfer, sufficient funds will remain
in this project account to deliver the minor traffic safety and signal operations improvements
already planned and in progress within the current transportation work program. Any funds unused
from this additional $20,000 contingency will be returned to the Transportation Safety and
Operations project account following completion of the Broad/Woodbridge PHB.
Construction Funding Sources Amount
Existing Funds in Broad/Woodbridge PHB Project Account
General Fund (Local Revenue Measure) $35,000
Infrastructure Investment Fund $80,000
Broad/Woodbridge PHB, Spec. No. 91609 Request for Additional Funds Page 3
State Grant (Urban State Highway Account) $140,000
Transportation Impact Fees (Citywide) $ 152,135
Subtotal $407,135
Additional Funds Requested
Transportation Safety and Operations Project Account
(Local Revenue Measure)
+$20,000
New Total $427,135
Project Costs
Construction Costs $366,714
Construction Contingencies $38,575
Total Costs $405,289
Project Funding
Original Project Funding $407,135
Additional Funding Request +$20,000
Remaining Funds $21,846
ALTERNATIVES
Deny the additional contingency. The City Manager could choose to deny the request for additional
contingency funding. Staff does not recommend this alternative as the project is under construction
and additional delays could result in even more incurred costs to the City.
ATTACHMENTS
1. Budget Amendment Request (BAR)
2. CMR – Project Award
https://slocitycloud.sharepoint.com/sites/SLOHub/Administration/citymanagersreports/Shared Documents/Public
Works/2021/Transportation/Broad Woodbridge PHB/91609 CMR Request for Additional Funding.docx