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TO:Honorable Mayor and Members of the City Council
FROM:Ryan Smoot, City Manager
Len Gorecki, Assistant City Manager/Director of Public Works SUBJECT:Consideration and possible action to carry over the remaining Fiscal Year 2025-2026 project funds and appropriate additional funding for the Aquatic Center Outdoor Pool Improvements project (Specifications No. 23/24-06R); and authorize the City Manager to execute Amendment No. 1 to the Public Works Contract
(AFN 1111), in a form approved by the City Attorney, with California Waters Development, Inc., dba California Waters, for additional project work.
DATE:July 13, 2026
EXECUTIVE SUMMARY
This action would carry over the remaining Fiscal Year 2025-2026 project funds and appropriate additional funding for the Aquatic Center Outdoor Pool Improvements project and authorize the City Manager to execute Amendment No. 1 with California Waters, Inc. for additional work for the Aquatic Center Outdoor Pool Improvements (the “Project”).
RECOMMENDATION TO CITY COUNCIL
1) Carry over the remaining Fiscal Year 2025-2026 project funds and appropriate additional funds for the Aquatic Center Outdoor Pool Improvements project to Account No. 011-47220-9000-109; and
2) Authorize the City Manager, or designee, to execute Amendment No. 1 to the Public Works Contract (AFN 1111) with California Waters, Inc. for Specifications No. 23/24-06R, in a form approved by the City Attorney; or 3) Alternatively, discuss and take other action related to this item.
FISCAL IMPACT
A budget amendment is proposed to add additional funds in Account No. 011-47220- 9000-109 in the amount of $1,198,744 to provide for additional costs related to project design additions, structural investigation/design, construction management/inspection and construction costs to complete the rehabilitation of the Aquatic Center Outdoor Pool. This represents a 157% increase to the current General Fund Capital Projects Fund budget of $763,600. The revised total project budget, including a $300,000 grant from HUD, will be $2,262,344.
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Staff Report – Appropriate Additional Funding for the Aquatic Center Outdoor Pool Improvements (Specifications No. 23/24-06R) and amendment the Public Works Contract with California Waters Development Inc.
July 13, 2026
FISCAL IMPACT – Continued
Additionally, an amendment to the Public Works Contract with California Waters is necessary to perform additional construction work related to the expanded scope of the project. Amendment No. 1 in the amount of $857,104 will result in a cumulative increase of 106% from the current contract amount of $808,957. The revised contract amount would be $1,666,061.
DISCUSSION
On August 12, 2024, the City Council approved the plans and specifications for the Aquatic Center Outdoor Pool Improvements project and authorized staff to solicit bids for construction. On December 3, 2024, the City received three (3) bids, however all bids were rejected after the City received a Federal HUD grant which required specific Federal bid language to be incorporated into the project specifications. The project was readvertised and on September 22, 2025, the City Council awarded the project to California Waters. The contractor mobilized on site the week of January 26, 2026, to begin work.
Following the contractor’s mobilization and initiation of the scheduled work, there were several issues that came to light that required attention in order for the project to proceed forward and ultimately be deemed safe for public use by L.A. County Department of Public Health. Some of the more major issues include the following:
· Expansive degradation of the existing concrete pool decking · Erosion of the structural CMU block walls, pool filter foundation and pool heater foundation within the pool filter and chemical rooms
· Multiple leaks within the pool itself resulting in the reconstruction of the pool expansion joints
· Concrete degradation within the entire gutter system along the pool perimeter resulting in the reconstruction of the gutter system
· Significant rust issues within the structural rebar system for the pool gutter, pool decking and pool
· ADA required improvements to the adjacent restroom and weight room structures Beyond the increased scope of work for California Waters resulting from the unforeseen conditions, Public Works staff had to utilize an outside structural engineer that specializes in the means and methods to address these conditions, safely abate existing transite pipe discovered within the pool deck and gutter system, implement minor design modifications and extend the agreement with Southstar/DCCM for the overall construction management and inspection of the project as a result. As such, Public Works staff is requesting additional project funding in order to address the unforeseen conditions and safely complete the rehabilitation of the Aquatic Center Outdoor Pool to avoid costly piecemeal repairs in the future. -2-