Title
Contract Change Order: Franklin Boulevard Complete Street (T15165500)
End
FileID
File ID: 2025-02004
End
Location
Location: Franklin Boulevard between Sutterville Road/12th Avenue and 32nd Avenue, District 5
End
Recommendation
Recommendation: Pass a Motion authorizing the City Manager or designee to execute construction Contract Change Order No. 4 to City Agreement No. 2024-1493 with George Reed, Inc., for the Franklin Boulevard Complete Street Project (T15165500) for zero-cost change.
End
Contact
Contact: Megan Johnson, Senior Engineer, (916) 808-1967, mejohnson@cityofsacramento.org; Judy Matsui-Drury, Supervising Engineer, (916) 808-7610, jmatsui-drury@cityofsacramento.org; Ofelia Avalos, Engineering Manager, (916) 808-5054, oavalos@cityofsacramento.org; Department of Public Works
End
Presenter
Presenter: None
End
Attachments
Attachments:
1-Description/Analysis
2-Change Order No. 4 to City Agreement No. 2024-1493
End
Description/Analysis
IssueDetail
Issue Detail: The Franklin Boulevard Complete Street Project was formed through a community-driven effort in coordination with local businesses, residents, partner agencies, and the City to transform the roadway into an active transportation corridor that serves all modes of transportation. Franklin Boulevard currently has four travel lanes, a center turn lane, and no bicycle lanes. The existing sidewalks have no landscaping or City street trees, and the pedestrian crossings of the street are long. This project will provide two travel lanes, a center turn lane, and install Class IV separated bikeways (using raised curbs and islands for separation from moving traffic); new and modified traffic signals and intersections; trees, landscaping and irrigation; pedestrian-scale lighting; and accessible sidewalk and curb ramps for all users.
On November 19, 2024, City Council awarded the construction contract to George Reed, Inc (Motion No. 2024-0339). The project construction schedule shows an anticipated duration of 18 months, including a winter suspension period to address weather conditions. Recognizing the long-lead times needed to obtain traffic signal and streetlighting equipment that is in high demand and made-to-order, the project contract special provisions directed the Contractor to order the materials as the first order of work. The material orders were placed in January 2025, accounting for the long durations involved to order, fabricate, and deliver materials. The installation of these items began on July 28, 2025, and are anticipated to be finished in April 2026, in coordination with the sequence of construction activities along the project corridor.
Per City Standard Specifications Section 8-2 “Scope of Payment,” payment for materials purchased is not allowed until the materials are installed and incorporated into the work. Due to the magnitude and complexity of the project as well as the volume of advanced material procurement for electrical items required specifically for this project, the Contractor resources are being overextended. An estimated $595,935 in electrical materials have been procured for this project that are pending installation due to other preceding items of work that need to be completed along the corridor. In effort to partner with the Contractor a modification to the contract is necessary.
The California Department of Transportation (Caltrans) State Standard Specifications Section 9-1.16C “Materials on Hand” provides allowances for payments of materials on hand which have been furnished but have not been incorporated into the work. This State Standard Specification may be used by local agencies. This Contract Change Order changes the bid documents to modify the special provisions to: 1) incorporate Section 9-1.16C of the State Standard Specifications; and 2) strikeout Section 8-2 of the City Standard Specification, so that payment of materials on hand could be made for this project.
Staff does not have the authority to amend Section 8 of the City Standard Specifications. City Council adopted Resolution No. 2020-0354, which approved the revised City of Sacramento Standard Specifications for Public Construction. The Resolution delegated authority to the City Manager or designee to approve future revisions and additions to the technical specifications and drawings in sections 10 through 38 of the Standard Specifications. Any revisions or requests to suspend application of sections 1 through 9 of the City Standard Specifications, requires the approval of City Council. City Council approval of the Contract Change Order No. 4 to modify the bid documents and suspend application of section 8.2 of the Standard Specifications for this particular project is required to allow for the partial payments. This Change Order is a zero-cost change and does not increase the total contract value.
End
PolicyConsiderations
Policy Considerations: The recommendations in this report are in accordance with City Standards and Specifications, which require City Council approval for modifications to or to suspend application of Sections 1-8 on a specific construction project.
The actions requested herein are consistent with the City’s goals of improving and expanding public safety and enhancing livability. Specific General Plan goals the project addresses are as follows:
M-1.11 Increase Bicycling and Walking. The City shall strive to increase bicycling and walking citywide so that it can meet its equity, reduced vehicle miles traveled and sustainability goals.
M-1.11 Bicycling Safety. When designing projects, the City shall prioritize designs that strengthen the protection of people bicycling such as improvements that increase visibility of bicyclists, increase bikeway widths, raise bikeways, design safer intersection crossings and turns, and separate bikeways from driving traffic wherever feasible.
These improvements will accommodate cyclists of varying experience levels and abilities, will improve pedestrian safety, and may calm traffic speeds. This project is also consistent with the City’s Vision Zero efforts, the goal of which is to eliminate traffic fatalities and serious injuries (Resolution No. 2017-0032). These streets are on the High Injury Network, and in addition to installing bicycle facilities, the project will also improve visibility to pedestrians and bicyclists at intersections.
End
EconomicImpacts
Economic Impacts: None.
End
EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act (CEQA): The City Council adopted the Franklin Boulevard Complete Street Mitigated Negative Declaration and Monitoring Plan on February 4, 2020 (Resolution 2020-0039).
This project is federally funded. In compliance with the National Environmental Policy Act (NEPA), Caltrans issued a Categorical Exclusion for the Franklin Boulevard Complete Street project on March 16, 2020.
End
Sustainability
Sustainability: The proposed project supports City Council’s sustainability priorities. The transportation sector accounts for 57% of community-wide greenhouse gas emissions, the largest single sector in the community. The City’s Climate Action Plan includes several implementation measures to reduce vehicle trips. The project would increase active transportation, reduce vehicular trips, and help ensure more efficient vehicular flow. These actions will reduce greenhouse gas emissions and help improve local air quality.
End
Commission/Committee Action
Commission/Committee Action: The project was presented to the Disabilities Advisory Commission (DAC) on June 7, 2023, to receive and provide feedback. The DAC was supportive of the project and emphasized the need for the project’s improvements.
The project was presented to the City County Bicycle Advisory Committee (now, the Active Transportation Commission) on November 9, 2017, during the environmental review phase. Committee members provided feedback on the concepts being considered, with preference for street-level Class IV bikeways, and were supportive of complete street improvements on Franklin Boulevard.
The project was also presented to the Active Transportation Commission on November 20, 2025 during the construction phase, as an informational update. Commission members were supportive of the project and look forward to its completion.
End
RationaleforRecommendation
Rationale for Recommendation: Staff recommends the City Council approve Change Order No. 4 with George Reed, Inc. for City Agreement No. 2023-1493 for zero-cost change. The proposed Change Order modifies the special provisions in the construction contract to allow for partial payments for materials on hand for the Franklin Boulevard Complete Street Project. This modification only applies to this specific construction contract.
This Contract Change Order changes the bid documents to modify the special provisions to: 1) incorporate Section 9-1.16C of the State Standard Specifications; and 2) strikeout Section 8-2 of the City Standard Specification, so that payment of materials on hand could be made for this project.
This is consistent with State Standard Specifications, which is recommended by Staff due to the magnitude and complexity of the project as well as the volume of advanced material procurement for electrical items required specifically for this project.
Should Staff decide to bring forward a permanent revision to the Standard Specifications that will apply to all future public construction contracts, it will have any changes or additions reviewed by the City Standard Specifications Review Committee and bring a separate item to City Council for review and consideration of a modification to the Standard Specifications.
End
FinancialConsiderations
Financial Considerations: The estimated total cost the Franklin Boulevard Complete Streets (T15165500), Phase 1 and 2 is approximately $29.6 million. There is sufficient funding to award Change Order No. 4 to George Reed, Inc. for a zero-cost change and cover the remaining construction management and other project-related costs.
End
LocalBusinessEnterprise
Local Business Enterprise (LBE): The contract with George Reed, Inc. is federally funded. The City’s LBE policy is held in abeyance.
End