Staff Report
City Council
Item No. 3.J
Meeting Date: October 14, 2026
From: Andres D. Perez, Assistant Engineer
Title: Notice of Completion for HSIP Cycle 11D: Pedestrian Crossing Upgrades Project (C08757)
RECOMMENDATION:
To accept and approve the Highway Safety Improvements Program (HSIP) Cycle 11D:
Pedestrian Crossing Upgrades Project (C08757) as complete; authorize the City Manager to execute and file a notice of completion (NOC) with the Riverside County Recorder’s Office; and authorize the release of retention funds to Onyx Paving Company, Inc. upon expiration of the notice of completion.
BACKGROUND:
At its November 12, 2025, meeting, the City Council awarded a construction contract to Onyx Paving Company, Inc. in the amount of $306,000 for the Highway Safety Improvement Program (HSIP) Cycle 11D Pedestrian Crossing Upgrades Project. The City Council also approved a ten percent (10%) contingency in the amount of $30,600 for unforeseeable construction costs and project changes; bringing the total authorized construction budget to $336,600.
The project included the construction of curb bulb-outs, ADA-compliant curb ramps, flashing stop signs, school zone flashing beacons, and LED safety lighting at the intersection of 30th Avenue and San Eljay Avenue.
DISCUSSION:
Construction started on June 24, 2026, and was completed on August 12, 2026.
City staff provided construction oversight in accordance with the California Department of Transportation (Caltrans) Local Assistance Procedures Manual (LAPM) requirements for state-funded HSIP projects. Staff inspected the improvements and determined that the work was completed in accordance with the approved plans, specifications, and contract requirements. Accordingly, staff recommends that the City Council accept the project as complete.
City Council acceptance is required to approve the project’s final contract amount and authorize the release of retention funds. Retention funds are monies earned by the contractor that are withheld from progress payments pending satisfactory project completion and final acceptance.
Additionally, City Council acceptance also requires the filing of a notice of completion (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. Upon expiration of this thirty-five (35) day period, and provided no claims or liens are received, the city may release retention funds.
City staff recommend the City Council to accept and approve the Highway Safety Improvements Program (HSIP) Cycle 11D: Pedestrian Crossing Upgrades Project (C08757) as complete; authorize the City Manager to execute and file a notice of completion (NOC) with the Riverside County Recorder’s Office; and authorize the release of retention funds to Onyx Paving Company, Inc. upon expiration of the notice of completion.
FISCAL IMPACT:
The fiscal impact of the Highway Safety Improvements Program (HSIP) Cycle 11D:
Pedestrian Crossing Upgrades Project (C08757) is as follows:
Authorized Construction Budget
DESCRIPTION GENERAL
LEDGER
ACCOUNT
CODES
PROJECT
CODE
AMOUNT ONE TIME or
ONGOING
2026-2027 HSIP Funds
(Grant)
331-100-150-
156-8800-8802 C08757 $207,090.00 ONE TIME
2026-2027
Traffic Safety
Funds (Local
Match)]
233-100-150-
156-8800-8802 C08757 $53,025.00 ONE TIME
2026-2027
Traffic Safety
Funds
(Additional)
233-100-150-
156-8800-8802 C08757 $76,485.00 ONE TIME
2026-2027 Total $336,600.00
Construction Expenditures
A. Onyx Paving Company, Inc.- Construction Contract
The final construction expenditures with Onyx Paving Company, Inc. were $297,665.37, which included change orders resulting in a net decrease of $8,334.63. The net decrease resulted from a balancing change order that reconciled the estimated bid quantities with the actual quantities constructed in the field, resulting in a lower final construction cost than originally bid.
The final construction expenditures with Onyx Paving Company, Inc. are summarized below:
Base Contract Amount $306,000.00
Change Orders ($8,334.63)
Final Construction Expenditures (Onyx Paving Company, Inc.) $297,665.37 Should there be no claims or discrepancies in the work completed, the final invoice (5% retention) in the amount of $14,883.27 will be released to Onyx Paving Company, Inc. thirtyfive (35) days following the filing of the NOC.
B. LandMark Consultants Inc., (Material Testing Services) The final expenditure for material testing services provided by LandMark Consultants, Inc. totaled $840.00.
Final Construction Cost
The final construction cost is summarized below.
Construction Contract Cost (Onyx Paving Company, Inc.) $297,665.37 Material Testing Services (LandMark Consultant Inc.) $840.00 Final Construction Cost $298,505.37
“On Call” Federal and State Grant Support Services (Separate of Construction Cost) NAI Consulting, Inc. was awarded a task order in the amount of $8,262.50 to provide grant support services for the project. To date, NAI has expended $3,438.00, leaving a remaining encumbered balance of $4,824.50. The remaining funds will be used to prepare and complete the project close-out documentation required by Caltrans for the HSIP funded project.
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 – Onyx Paving Company, Inc.