Staff Report
City Council
Item No. 3.H
Meeting Date: July 9, 2025
From: John A. Corella, Director of Public Works
Title: Notice of Completion for the Fiscal Year 2024-2025 City Streets Pavement Reconstruction Projects
RECOMMENDATION:
To accept and approve the Fiscal Year 2024-2025 City Streets Pavement Reconstruction Projects at Shifting Sands Trail (C08688), Sky Blue Water Trail (C08689), 33rd Avenue (C08690), Ventura Drive (C08691), and Avenida Quintana (C08692) as complete; authorize the City Manager to file a notice of completion (NOC) with the Riverside County Recorder’s Office; and authorize the release of retention funds to Hardy and Harper, Inc. upon expiration of the notice of completion.
BACKGROUND:
On December 11, 2024, the City Council approved a construction contract with Hardy and Harper, Inc. in the amount of $1,432,000.00 with a fifteen percent (15%) contingency of $214,800.00 for unforeseen construction costs, thereby bringing the total construction budget to $1,646,800.00.
The project involved the reconstruction of five residential street segments, selected as the most cost-effective based on data from the city’s pavement management program (PMP) and available funding. Each street section underwent asphalt concrete resurfacing, involving the removal and replacement of 1.5 to 3 inches of pavement.
In addition to roadway improvements, eight curb ramps along Shifting Sands Trail and Sky- Blue Water Trail were upgraded to meet Americans with Disabilities Act (ADA) standards.
New street striping was installed throughout the project area, and water infrastructure was adjusted to grade in accordance with Coachella Valley Water District (CVWD) design standards.
On January 22, 2025, prior to the commencement of construction, a reimbursement agreement was executed with the Coachella Valley Water District (CVWD) in the amount of $197,050.00. This agreement, based on the bid alternate cost, provides for reimbursement related to the planning, design, and construction of the CVWD’s portion of the project.
DISCUSSION:
Construction started on March 3, 2025, and was completed on April 22, 2025.
As a result of the pavement reconstruction project, the condition of the roadways has improved significantly. The table below highlights the pavement condition ratings before and after reconstruction:
Street Section PCI
Before
PCI
After
Shifting Sands Trail from 33rd Avenue to Whispering Palms Trail 42 96 Sky Blue Water Trail from 33rd Avenue to Dinah Shore Drive 29 96 33rd Ave. from Shifting Sands Trail to Cathedral Canyon Drive 32 96 Ventura Drive from Peineta Road to Verona Road 58 95
Avenida Quintana from Vista Chino to Verona Road 57 94
City staff reviewed and inspected the improvements and found the projects were built in accordance with all contract requirements and therefore recommend the City Council accept the projects as complete.
City Council acceptance is required to approve the project’s final contract amount and release retention funds. Retention funds are monies earned by the contractor withheld from progress payments pending satisfactory completion and final acceptance of the project.
Additionally, City Council acceptance of the project requires filing an NOC with the Riverside County Recorder’s office. The NOC is a written notice issued by the owner of a project, or their agent, to notify concerned parties that all work on the project has been completed. This notice also sets the period, which is thirty-five (35) days from the date the NOC is filed, within which concerned parties may exercise their lien rights against one another. Once the thirty- five (35) day period has expired, and provided no claims or liens are received, the City can release retention funds.
City staff recommends the City Council accept and approve the Fiscal Year 2024-2025 City Streets Pavement Reconstruction Projects at Shifting Sands Trail (C08688), Sky Blue Water Trail (C08689), 33rd Avenue (C08690), Ventura Drive (C08691), and Avenida Quintana (C08692) as complete; authorize the City Manager to file a notice of completion (NOC) with the Riverside County Recorder’s Office; and authorize the release of retention funds to Hardy and Harper, Inc. upon expiration of the notice of completion.
FISCAL IMPACT:
Authorized Construction Funding
The table below outlines the construction funding approved by the City Council on December 11, 2024.
FISCAL YEAR DESCRIPTION
GENERAL
LEDGER
ACCOUNT
CODES
PROJECT
CODE AMOUNT ONE TIME or
ONGOING
2024-2025 RMRA/SB-1 248-100-150-
156-8800-8802
C08688
C08689 $697,800.00 ONE TIME
C08690
2024-2025 CDBG 251-100-150-
156-8800-8802
C08688
C08689
C08690
$461,000.00 ONE TIME
2024-2025 Assessment
District 96-1
348-100-150-
156-8800-8802
C08691
C08692 $488,000.00 ONE TIME
2024-2025 Total $1,646,800.00
Total Construction Cost
The total construction expenditures were in the amount of $1,473,791.30, which includes change orders in the amount of $41,791.30.
Base Contract Amount $1,432,000.00
Change Orders $41,791.30
Total Construction Expenditures $1,473,791.30
CVWD will be reimbursing the city their portion of the project. The final reimbursement amount from CVWD will be $192,050.00. This reimbursement will offset a portion of the total construction expenditure, thereby reducing the fiscal impact to the funding sources.
The total construction cost is summarized below:
Total Construction Expenditures $1,473,791.30
CVWD reimbursement $192,050.00
Total Construction Cost $1,281,741.30
Provided there are no claims or disputes related to the completed work, the final retention payment (5% retention) in the amount of $73,689.57, will be released to Hardy & Harper, Inc. thirty-five (35) days following the filing date of the NOC.
FIVE-YEAR STRATEGIC PLAN:
GOAL B: COMMUNITY INVESTMENT
Objective: Cathedral City roads, gateways, public spaces, and other city infrastructure are well planned, designed, constructed, and maintained.
ATTACHMENTS:
1. Notice of Completion - Hardy & Harper