The City has been contracting the maintenance of streetlights within Allen for several years.  The current streetlight maintenance contract (Siemens Industry, Inc.) has reached the end of its term and requires rebidding.  The contract consists of two components: 1) a monthly audit of streetlight operation and routine maintenance for 2,500+ streetlights (approximately $108,350); and 2) non-routine maintenance (knock down repair) as they occur over time, establishing unit prices for pole replacement, labor, and equipment. 

Bids were requested to establish prices for an initial term of one year with two one-year renewal options. The bid amount represents a 'hypothetical' total amount of expenditure only to establish pricing, and is not indicative of expected annual expense.  Two responses were received on October 25, 2017:

While the cost of the routine maintenance and audit component of the contract is fixed ($43.34 per streetlight per year), the non-routine maintenance component is unknown at this time because it is difficult to predict how many non-routine incidents will occur.  The contract is established to pay for monthly routine maintenance and non-routine/emergency repairs on an as-needed basis.  The funds for this service have already been included in the FY2018 Engineering Department budget.

Staff recommends that the City Council award bid and authorize the City Manager to execute an Annual Contract with Standard Utility Construction, Inc., for maintenance of City-owned street lights for an annual amount of $180,000 with two optional one-year renewals.

I make a motion to award bid and authorize the City Manager to execute an Annual Contract with Standard Utility Construction, Inc., for maintenance of City-owned street lights for an annual amount of $180,000 with two optional one-year renewals.