AGENDA REPORT
Meeting Date: July 1, 2025
Item Number:
To: Honorable Mayor & City Council
From: Daren Grilley, Assistant Director of Public Works/City Engineer Tristan Malabanan, Project Manager
Subject: ACCEPTANCE OF THE CONTRACT WORK FOR
CONSTRUCTION OF THE GREGORY WELL AND LE DOUX
WELL PROJECT BY ENVIRONMENTAL CONSTRUCTION, INC.,
IN THE FINAL AMOUNT OF $4,985,812.76; AND
AUTHORIZATION OF CITY CLERK TO RECORD NOTICE OF
COMPLETION
Attachments: 1. Notice of Completion
RECOMMENDATION
Staff recommends that City Council accept the described contract work by Environmental Construction, Inc. in the final amount of $4,985,812.76 and authorize the City Clerk to record the attached Notice of Completion.
INTRODUCTION
This report provides information to City Council for the acceptance of the contract work in the final amount of $4,985,812.76 and authorization for the recordation of the Notice of Completion by the City Clerk with the Los Angeles County Recorder.
DISCUSSION
On February 6, 2024, a contract in the amount of $4,990,479.70 was awarded to Environmental Construction, Inc. for the Construction of Gregory Well and Le Doux Well project. Additionally, a contingency of $499,047.97 (10%) was approved for a total purchase order amount of $5,489,527.67. This project provided for the drilling of two potable water wells and related testing at La Cienega Park. The Le Doux well is located just west of Fenton Field, and the Gregory well is located just west of the City’s maintenance yard and east of Gale Drive. Extra work included redrilling the Le Doux well and additional zone testing, additional water quality testing for both well sites, an electrical conduit repair, and fencing modifications for the baseball field.
BEVERLV
HILLS
id
Meeting Date: July 1, 2025
During the initial drilling and testing phase of the Le Doux well early in 2024, the contractor encountered additional constituents not anticipated. Upon review of test results and deliberation with design consultant and Water Division staff, the decision was made to redrill the Le Doux well to perform additional zone tests and increase the battery of water quality tests (regulatory and non-regulatory) for both the Le Doux and Gregory Wells.
Engineering Division staff inspected all the work and is satisfied that the work was completed according to the contract documents approved for this project.
Next steps include design for equipping the wells and connection to the existing transmission main followed by construction, which is anticipated to begin in early 2026 and last approximately one year.
FISCAL IMPACT
The original construction contract purchase order (which included a contract amount of $4,990,479.70 plus a $499,047.97 contingency amount) was $5,489,527.67. With completed change order work adding $80,813.60 and quantity adjustments netting a deduction of $85,480.54, the final contract amount totaled $4,985,812.76, which is less than the original contract amount. With the contingency untouched, the purchase order is left with a balance of $503,714.90, which will be returned to the fund balance.
The current amount paid on the contract is $4,736,522.13 with a retention balance of $249,290.64 due to be paid 35 days after the recordation of the Notice of Completion.
Funds for this project are as follows:
FUNDING
SOURCE
P.O.
AMOUNT
AMOUNT
PAID
RETENTION
EARNED TOTAL P.O. BALANCE
La Brea
Basin WD $5,489,527.67 $4,736,522.13 $249,290.64 $4,985,812.76 $503,714.90 Shana Epstein,
Director of Public Works
Approved By
Attachment 1
THIS DOCUMENT IS OFFICIAL BUSINESS
OF THE CITY OF BEVERLY HILLS AND
ENTITLED TO FREE RECORDING UNDER
SECTION 6103 OF THE GOVERNMENT CODE
Requested by Huma Ahmed
AFTER RECORDING MAIL TO:
CITY CLERK'S OFFICE
Room 290, City Hall
455 North Rexford Drive
Beverly Hills, CA 90210
Space above this line for recorder's use
NOTICE OF COMPLETION
Notice is hereby given that:
1. The undersigned is owner of the interest or estate stated below in the property hereinafter described.
2. The full name of the undersigned is City of Beverly Hills
3. The full address of the undersigned is 455 North Rexford Drive, Beverly Hills, CA 90210
4. The nature of the title of the undersigned is: In fee.
5. The full names and addresses of all persons who hold title with the undersigned are:
None
6. A work of improvement on the property hereinafter described was completed on July 1, 2025
7. The name of the contractor, if any, for such work of improvement was ENVIRONMENTAL CONSTRUCTION, INC.
8. The property on which said work of improvement was completed is in the City of Beverly Hills, County of Los Angeles, and State of California, as is described as:
CONSTRUCTION OF THE GREGORY WELL AND LE DOUX WELL PROJECT (NTB 24-350-23)
9. The street address of said property is: None
Dated: City of Beverly Hills
STATE OF CALIFORNIA } Signature of }
COUNTY OF LOS ANGELES } Owner or Owners }
Huma Ahmed, being duly sworn, says: That she is the City Clerk of the City of Beverly Hills, the corporation that executed the foregoing notice as owner of the aforesaid interest or estate in the property therein described; that she makes this verification of behalf of said corporation; that she has read said notice and knows the contents thereof, and that the facts therein stated are true.
Signature of
Corporate Officer
Named Above X