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Residents question Loomis gateway‑sign cost; staff point to right‑of‑way lease, insurance and public‑works rules

Town of Loomis Town Council · April 9, 2024
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Summary

Residents and council members raised concerns about the reported high cost of the new Plumas Town gateway sign; town staff said mandatory lease terms with Union Pacific, railroad insurance requirements, structural engineering plans, prevailing‑wage rules and sealed bidding explain the higher cost and that the lowest qualified structure bid was $38,000.

Residents and council members pressed town staff over the cost of a new Plumas Town gateway sign at Taylor and Sierra College after social‑media and local‑paper reports questioned the price tag.

A council member said multiple residents had asked why the sign cost seemed high and asked staff to explain procurement and cost drivers. Town manager Wes and a town engineer explained the site sits on Union Pacific Railroad right‑of‑way and is subject to a lease that specifies dimensions and high insurance requirements (railroad insurance that can be difficult to obtain). That combination, plus the need for sealed public‑works bids, prevailing‑wage labor classifications and licensed contractors, requires specialized design and procurement steps the town cannot shortcut.

On bids, staff said the structure component was bid separately from lighting and artwork. "The lowest bid was 38,000," the engineer said, and noted other bids clustered closely around that figure. The engineer said the project was bid in two pieces: a structural contractor for the engineered sign frame and a separate professional services package for lighting and lettering.

Some members of the public remained skeptical. Resident Dave Dolly told council, "That sign should have cost a third," and said local talent could have made it cheaper; he later challenged a separate $250,000 consultant contract. Staff replied that private‑project cost comparisons do not reflect public‑works requirements and that the town was required by law to accept the lowest qualified bid for the structure portion of the work.

Outcome: Council discussed the explanation and no formal motion to reopen procurement was made; staff reiterated the project followed applicable public‑works procurement rules and that the structural bid represented the lowest qualified response.