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Report regarding a resolution approving Budget Amendment Number 26.063 and authorizing an increase to the Construction Contingency for the Contract with DC Electric Group, Inc. for the Downtown and Old Town Lighting Improvements Project (No. pk2307) (Jeffrey Chou, Senior Civil Engineer)
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RECOMMENDATION
Recommendation
Staff recommends that the City Council adopt a resolution approving Budget Amendment Number 26.063 and authorizing an increase to the Construction Contingency for the Contract with DC Electric Group, Inc. for the Downtown and Old Town Lighting Improvements Project.
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BACKGROUND/DISCUSSION
On May 14, 2025, the City Council awarded the construction contract for the Downtown and Old Town Lighting Improvements Project to DC Electric Group, Inc. The Project's goal and intent are to utilize Peninsula Clean Energy (PCE) Grant Funds awarded to the City to improve energy efficiency through the installation of LED lighting technology while reducing the City's electricity use and contributing to the City's climate action and sustainability goals.
In December 2023, the PCE Board of Directors authorized a one-time allocation of $11.5 million in surplus funds for member agencies to implement local energy projects. This funding opportunity was made available to PCE's member agencies, including cities, towns, and the County itself-for projects that advance energy efficiency, reduce greenhouse gas emissions, and support long-term sustainability goals. City staff applied and were awarded $1,263,372 in funding. The Downtown and Old Town Lighting Improvements Project was identified as the most competitive and impactful use of these grant funds because its energy efficiency goals best aligned with PCE's priorities.
As of December 2025, the contractor has completed the original or base scope of work, which included upgrading more than 220 streetlights along Grand Avenue (from Spruce Avenue to Airport Boulevard) and Linden Avenue (from Railroad Aven...
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