ADMINISTRATIVE REPORT
MEETING DATE: November 19, 2025 AGENDA CATEGORY: Consent - Bids TO: Honorable Mayor and City Council
FROM: Zachary Meyer, Public Works Director
DATE: November 5, 2025
SUBJECT: Sewer Improvements on Eye Street from Wall Street to 23rd Street:
1. Accept bid and approve contract with GHC Pipeline LLC ($1,805,200.50) for the project;
2. Authorize staff to approve, as necessary, up to $175,000 in City-controlled contingency for unforeseen conditions encountered during construction of the project. (Ward 2)
RECOMMENDATION:
Staff recommends acceptance of low bid , approval of contract , and approval of City -controlled contingency.
BACKGROUND:
The work to be performed consists, in general, of the furnishment and installation of a new 24 -inch PVC sewer line to replace the existing 20 -inch sewer line, which will be abandoned in place. The work also includes connecting e xisting sewer laterals from the existing line to the new alignment, furnishing and installing eight new manholes, re-channeling three existing manholes, abandoning one manhole in place and removing and disposing of four manholes associated with the existing sewer line.
Item No. 1. This project is funded through Sewer Enterprise Funds (SEF). The engineer’s estimate for this project was $1,365,000.00.
On October 9, 2025, the City received five bids for this project. Four bids received are deemed acceptable and one bid was withdrawn. Those acceptable bids are as follows:
GHC Pipeline LLC
18641 Newman Ave
Riverside, CA 92508
in the amount of
$1,805,200.50
Sierra Construction & Excavation, Inc.
7117 Charity Avenue
Bakersfield, CA 93308
in the amount of
$1,859,928.00
Grbcon, Inc.
5114 Elton Street
Baldwin Park, CA 91706
in the amount of
$2,354,885.00
West Valley Construction Company
603 Campbell Technology Pkwy
Campbell, CA 95008
in the amount of
$2,364,259.00
Staff recommend acceptance of the bids and approval of the construction contract to the lowest responsive and responsible bidder, GHC Pipeline LLC.
Item No. 2. Bakersfield Municipal Code section 3.20.105(E) authorizes Public Works Contract Amendments to be executed via Change Order, provided that Change Orders which exceed $10,000 must be approved by the City Council. Staff is requesting pre -approval of up to $1 75,000 for City -controlled contingency for unforeseen conditions encountered during construction of this proje ct, to be executed via authorized Change Order(s). Any costs which exceed the City Council approved contingency, cumulative or otherwise, would require action and approval from the City Council. This City-controlled contingency will save staff time by not having to prepare multiple Council reports for individual routine change orders throughout the project, should they arise. All remaining contingency funds not used will be returned to the fund balance at the end of the project.
FISCAL IMPACT:
This project is funded with Sewer Enterprise Funds; therefore, there is no impact to the City General Fund with the award of this project. Staff will complete an internal budget transfer to move savings from another Sewer Enterprise Fund (SEF) project (25PWDE07). Project No. 25PWDE07 has significant savings which can be used to fully fund project E4K302. Once the budget transfer is completed, t here will be sufficient funds in project (E4K302) to award the contract , pay for City -controlled contingency and construction engineering.
COUNCIL GOAL:
Reliable Infrastructure
ATTACHMENTS:
Agreement