Staff Report
City Council
Item No. 6.B
Meeting Date: October 6, 2025
From: John A. Corella, Director of Public Works
Title: Authorize a Task Order to NAI Consulting, Inc. for the Design of the Landau Boulevard Public Alley Reconstruction Project (C02607) RECOMMENDATION:
Authorize a task order to NAI Consulting, Inc. (NAI), to provide design engineering services for the Landau Boulevard Public Alley Reconstruction Project (C02607), as part of the city’s on-call engineering support services contract in the amount not to exceed $76,708; and approve a twenty percent (20%) contingency for unforeseen design-related issues in the amount $15,342; thereby bringing the total design phase encumbrance for this project to $92,050; and authorize the City Engineer to execute the task order.
BACKGROUND:
Prior to Senate Bill 1 (SB-1), cities and counties across the state delayed or even cancelled road improvement projects due to insufficient funding; neglecting basic maintenance and repairs of local streets. The 2016 California Statewide Local Streets and Roads Needs Assessment found the condition of local streets, on average, were “at risk” or degraded to failing infrastructure.
On April 28, 2017, Governor Brown signed SB-1, known as the Road Repair and Accountability Act of 2017. This significant initiative was designed to provide revenue for the maintenance and repair of the state's roads, bridges, and other transportation infrastructure, including local streets and roads through the Local Streets and Roads Program (LSRP). The law generates funding through increases in fuel excise taxes, diesel fuel sales taxes, and vehicle registration fees, with rates subject to adjustments for inflation.
Proportions of the SB-1 funds generated are deposited into the Road Maintenance and Rehabilitation Account (SB-1/ RMRA) fund. A percentage of the SB-1/RMRA funding is apportioned to the City of Cathedral City by formula for road maintenance, rehabilitation, and critical safety projects.
In accordance with the requirements of SB-1/RMRA, all projects receiving funding through SB-1/RMRA must be incorporated into the city’s Capital Improvement Program (CIP). To satisfy this requirement, the City Council adopted Resolution No. 2017-43 on September 13, 2017, thereby initially incorporating a list of proposed SB-1/RMRA-funded projects into the Five-Year CIP. Subsequently, on May 14, 2025, the City Council adopted Resolution No. 2025-07, formally approving a list of projects for Fiscal Year 2025–26 to be funded through SB-1/RMRA and incorporated into the city’s biennial CIP budget:
East Palm Canyon Drive Widening
Whitewater Area Street Rehabilitation Between 33rd Avenue and Dinah Shore Drive Landau Boulevard Public Alley Reconstruction
The Landau Boulevard Public Alley Reconstruction Project is eligible for funding through SB- 1/RMRA and has a total estimated cost is $1,170,000. Located in the Panorama Neighborhood, the existing alley currently provides parking access to both multi-family and single-family residences. The proposed project includes the removal and full-depth reconstruction of the existing pavement within the public alley right-of-way, incorporating an inverted street section with a centerline ribbon gutter to improve surface drainage and structural performance.
To support the design and delivery of local infrastructure projects, the City Council, on May 14, 2025, awarded on-call professional services agreements to four qualified engineering consultant companies: Fomotor Engineering, Inc., HR Green, Inc., Interwest Consulting Group, and NAI Consulting, Inc. These companies assist the Engineering Division with a range of services, including design and construction support for minor capital projects. The design of the Landau Boulevard Public Alley Reconstruction Project is being completed under the scope of these on-call agreements.
DISCUSSION:
On September 4, 2025, city staff solicited proposals from the city’s list of on-call consultants for the design of the Landau Boulevard Public Alley Project. The on-call consultants submitted proposals including complete scope of services, schedule of work and cost. All proposals were submitted to the city by September 19, 2025.
Two (2) firms responded to the RFP and are listed below:
HR Green Pacific Corona, CA
NAI Consulting Cathedral City, CA
Proposals were reviewed and evaluated by a panel consisting of three staff members from the Engineering Department. The criteria for evaluation included the completeness of the response, scope of services to be provided, schedule of work and cost proposal. The panel cited both companies provided proposals that were responsive, qualified, and knowledgeable about the requirements for the project and the requirements for working in Cathedral City. The rating summary of the panel’s review is attached to this report (Attachment 2).
The proposal submitted by NAI received the highest evaluation scores from the review panel.
NAI presented a comprehensive work plan that offers clear assurance of the efficient execution of design tasks. Furthermore, the cost proposal submitted by NAI is consistent with prevailing market rates and aligns with the city’s expectations for the defined scope of services.
City staff are requesting City Council to authorize a task order to NAI, to provide design engineering services for the Landau Boulevard Public Alley Reconstruction Project (C02607), as part of the city’s on-call engineering support services for various city engineering division projects contract in the amount not to exceed $76,708; and approve a twenty percent (20%) contingency for unforeseen design-related issues in the amount $15,342; thereby bringing the total design phase encumbrance for this project to $92,050; and authorize the City Engineer to execute the task order.
FISCAL IMPACT:
FY 2025-2026 CIP Biennial Budget
The project is listed in the FY 2025-2026 Capital Improvement Program (CIP) with a total of $160,000 programmed for the design phase.
Design Budget
NAI Consulting’s design services are estimated at $76,708. To account for potential unforeseen design-related issues, City staff recommend a contingency of twenty percent (20%) in the amount of $15,342, which brings the total design budget to $92,050, as outlined below:
Design Services Cost (NAI) $76,708
20% Contingency $15,342
Design Budget $92,050
City staff are proposing to use programmed SB-1/ RMRA funds, in the amount of $92,050.
The following table summarizes the budget allocations for the construction of the project.
FISCAL
YEAR
DESCRIPTION GENERAL
LEDGER
ACCOUNT
CODES
PROJECT
CODE
AMOUNT ONE TIME or
ONGOING
2025-2026
Landau Boulevard Public
Alley Reconstruction
(Design Phase)
248-100-150-
156-8800-8601 C02607 $92,050 ONE TIME
2025-2026 Total $92,050
FIVE-YEAR STRATEGIC PLAN:
Goal B: Community Investment
Objective: Cathedral City roads, gateways, public spaces, and other infrastructure are well planned, designed, constructed and maintained.
Action B-13: Completed planned flooding control infrastructure projects, especially as part of street improvement projects.
ATTACHMENTS:
1. Project Vicinity Map
2. Panel’s Evaluation Rating and Scores
3. NAI Consulting, Inc. - Proposal