Last updated: 05.03.2023
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
DEPARTMENT: Hetch Hetchy Water and
Power Division
AGENDA NUMBER: 7a
MEETING DATE June 23, 2026
Calendar: Consent Calendar
Project Manager: Edward Allen
Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs
Summary of
Proposed
Commission
Action:
Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs, to the responsible bidder that submitted the lowest responsive bid, Njiric h & Sons, Inc., in the amount of $ 13,577,969, and with a contract duration of 365 consecutive calendar days (approximately one year), to perform repairs to roads, embankments, and drainage facilities for Hetch Hetchy Water and Power that were damaged due to recent adverse wet weather events. The Planning Department has determined that this Project is exempt from the California Environmental Quality Act (CEQA), and t he Commission will rely on the determination to ma ke its decision on this action. This action constitutes the Approval Action for the Project for the purposes of the CEQA pursuant to San Francisco Administrative Code Section 31.04(h).
Background: On January 4, 2023, Governor Newsom issued State of Emergency Proclamations following severe winter storms caused by a series of atmospheric river systems that struck California, bringing high winds, substantial precipitation, flooding, and power outages. Additionally, o n March 22, 2023, the San Francisco Public Utilities Commission (SFPUC) issued an Emergency Declaration following widespread storm damage to Hetch Hetchy Water and Power (HHWP) transportation networks and infrastructure. The storms also res ulted in damage on SFPUC fee -owned lands and rights-of-way, and associated access routes to critical water and power transmission infrastructure. These storms caused widespread damage to highways and roads, triggered landslides, and damaged trees, requiring repairs to roads, embankments, and drainage facilities (Project) for Hetch Hetchy Water and Power (HHWP).
This Project addresses permanent repair locations resulting from the 2023 storms that are required to protect public health and safety and to maintain access to HHWP system facilities that provide essential public services.
Scope of
Contract:
The contract includes 11 locations along various existing roads, access roads, road drainages, and culverts in Alameda, San Joaquin, and Tuolumne counties. These sites provide access to numerous critical assets within the HHWP
system, including dams, reservoirs, powerhouses,
transmission lines, tunnels, pipelines, and penstocks. The sites are either Agenda Title: Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs Commission Meeting Date: June 23, 2026
Bid Rank Base Bid Amount LBE Bid
Discount Adjusted Bid Final Rank
1. K.W. Emerson, Inc. $13,210,241 n/a $13,210,241 -
2. Njirich & Sons, Inc. $13,577,969 2% $13,306,410 1
3. Marinship Development
Interests, LLC $14,296,910 2% $14,010,972 2
4. SMCI / Obayashi Joint Venture $14,449,948 n/a $14,449,948 3
5. JDB & Sons Construction Inc. $16,217,767 2% $15,893,412 4
6. Teichert Construction $17,065,555 n/a $17,065,555 5
paved, fully or partially graded and graveled, or comprised of natural exposed rock and gravel.
The contract work includes the following:
1. Site restoration including hydroseeding;
2. Soil and rock excavation;
3. Rock and debris removal;
4. Asphalt pavement removal, repair, and replacement;
5. Repair or replacement of existing drainage systems including ditches and culverts;
6. Embankment and slope protection construction consisting of rock gabion walls and soldier pile retaining wall; and
7. Removal, repair and replacement of unimproved access road sections.
Funding and
Costs:
Funding Source: Hetch Hetchy Water Capital Improvement Program , Project Nos.:
10040030 - 2023 January Winter Storm Water
10040031 - 2023 March Winter Storm Joint
10040936 - 2023 March Winter Storm Water
10040937 - 2023 January Winter Storm Power
10040001 - 2023 Feb-March Storms Tuolumne
Engineer’s Estimate: $16,000,000
Award Amount: $13,577,969
Schedule: Estimated Notice-to-Proceed Date: July 2026
Estimated End Date: July 2027
Duration: 365 consecutive calendar days (305 consecutive calendar days to Substantial Completion and an additional 60 consecutive calendar days to Final Completion)
Bid History:
Advertised: January 22, 2026
Bids Received: On March 12, 2026, the SFPUC received and publicly opened six sealed bids, as follows:
Agenda Title: Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs Commission Meeting Date: June 23, 2026
The Contract Monitoring Division determined that the apparent low bidder, K.W. Emerson, Inc., was non- responsive for failing to demonstrate the required commitment to Chapter 14B Local Busi ness Enterprise ( LBE) subcontractor participation. As a result, Njirich & Sons , Inc., became the lowest responsive bidder and eligible for a bid discount.
Protest: On March 19, 2026, the SFPUC received protest letters from Sierra Mountain Construction, Inc./Obayashi Joint Venture and Njirich & Sons, Inc., both protesting the apparent low bidder, K.W. Emerson, Inc. On the same date, Sierra Mountain Construction, Inc. / Obayashi Joint Venture additionally protested the next two lowest ‑ranked bidders, Njirich & Sons, Inc., and Marinship Development Interest , LLC. On March 25, 2026, the SFPUC received supplemental protest letters from Sierra Mountain Construction, Inc. / Obayashi Joint Venture protesting the three lowest‑ranked bidders.
On April 3, 2026, the Contract Monitoring Division determined that the apparent low bidder, K.W. Emerson, Inc., was non‑ responsive for failing to demonstrate the required commitment to Chapter 14B LBE subcontractor participation. As a result, Njirich & Sons, Inc. became the lowest responsive bidder.
On March 27, 2026, and April 2, 2026, Njirich & Sons, Inc. submitted response letters addressing the protest s against it. On May 18, 2026, after reviewing the protest, responses, and rebuttals, the Contract Administration Bureau, in consultation with the City Attorney ’s Office and the Contract
Monitoring Division, determined the protest to be without merit and issued a determination letter. Njirich & Sons, Inc., was deemed the responsible bidder that submitted the lowest responsive bid.
Environmental
Review:
On August 12, 2025, the Planning Department determined the Project to be statutorily exempt from environmental review under the CEQA Guidelines Section 15269( a-c) (Emergency Projects) (Case No. 2025- 007085ENV).
View the exemption determination.
This action constitutes the Approval Action for the Project for the purposes of the CEQA pursuant to San Francisco Administrative Code Section
31.04(h).
Local
Business
Enterprise
Utilization and
Non-
Discrimination
in
Contracting:
The Contract Monitoring Division established a 15% Local Business Enterprise (LBE) subcontracting requirement for this contract. The contractor committed to a 15.47% LBE subcontractor participation with its bid submittal.
Agenda Title: Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs Commission Meeting Date: June 23, 2026
Attachment(s): 1. Contract Monitoring Division Memorandum Agenda Title: Award Contract No. HH-1019, 2023 Storms Remaining Road Repairs Commission Meeting Date: June 23, 2026
LOCATION MAPS
The following three maps illustrate: 1) work locations in the Upcountry Area of Tuolumne County, identified by six label markers; 2) State of California boundary map showing counties where the work will be performed, identified by three black arrows; 3) work locations in the Coast Range Area, Alameda and San Joaquin Counties, identified by six label markers.
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO. __________________
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) owns and maintains fee- owned lands and right s-of-way and associated access routes to critical water and power transmission infrastructure; and
WHEREAS, On January 4, 2023, Governor Newsom issued State of Emergency Proclamations following severe winter storms caused by a series of atmospheric river systems that struck California, bringing high winds, substantial precipitation, flooding, and power outages; and
WHEREAS, On March 22, 2023, the SFPUC issued an Emergency Declaration following widespread storm damage to the Hetch Hetchy Water and P ower (HHWP) transportation networks and infrastructure. These storms caused widespread damage to highways and roads, triggered landslides, and damaged trees; and
WHEREAS, The SFPUC seeks construction services to repair this damage from the 2023 storms as required to protect public health and safety and to maintain access to HHWP system facilities that provide essential public services; and
WHEREAS, On January 22, 2026, SFPUC advertised Contract No. HH- 1019, 2023 Storms Remaining Road Repairs; and
WHEREAS, The Engineer’s Estimate is $16,000,000 for this construction work to perform repairs to roads, embankments, and drainage facilities for HHWP that were damaged due to recent adverse wet weather events; and
WHEREAS, The contract duration is 365 consecutive calendar days; and
WHEREAS, On March 12, 2026, SFPUC received and publicly opened six bids; and
WHEREAS, SFPUC staff and the Contract Monitoring Division (CMD) review ed the bids and the application of bid preferences and have determined that Njirich and Sons, Inc. (Njirich) is the responsible bidder with the lowest responsive bid; and
WHEREAS, The CMD established a 15% Local Business Enterprise (LBE) subcontracting requirement for this contract, and Njirich committed to 15.47 % LBE subcontractor participation in its bid submittal; and
WHEREAS, On August 12, 2025, the Planning Department determined the Project to be statutorily exempt from environmental review under the California Environmental
Quality Act Guidelines Section 15269( a-c) (Emergency Projects) (Case No. 2025- 007085ENV); and
WHEREAS, Funds are available from Hetch Hetchy Water Capital Improvement Program, Project No s. 10040030, 10040031, 10040936, 10040937, 10040001, 2023 Winter Storms; now, therefore, be it
RESOLVED, That this Commission hereby awards Contract No. HH -1019, 2023 Storms Remaining Road Repairs , in the amount of $13,577,969, and with a duration of 365 consecutive calendar days , to the responsible bidder that submitted the lowest responsive bid, Njirich and Sons, Inc.
I hereby certify that the foregoing resolution was adopted by the San Francisco Public Utilities Commission at its meeting of June 23, 2026.
__________________________________
Director of Commission Affairs
San Francisco Public Utilities Commission
City & County of San Francisco
Daniel Lurie, Mayor
Office of the City Administrator
Carmen Chu, City Administrator
Contract Monitoring Division
Regina Chan, Director
MEMORANDUM
Date: May 13, 2026
To:
Monique Johnson, SFPUC
Alex Burns, SFPUC
From: Jason Chow, CMD
Subject: CMD Review of Bids Submitted on 3/12/2026 for HH-1019 Storm Damage Remaining Road Repairs
**Note to (The San Franciso Public Utilities) -- Please use the tables with the blue headers for your Peoplesoft project team entry.
Bids and Bid Discount
KW Emerson is the apparent low bidder after the bid discount.
The bid discount was applied to bidders who are certified by the Contract Monitoring Division, (“CMD”) as an LBE in the type of work that is specified for the bidder by the Contract Awarding Authority.
Bidder LBE Status,
Type and Size Base Bid
Bid Discount Adjusted Bid
with
Bid Discount
KW Emerson
Non- LBE
$12,210,241.00
n/a $13,210,241.00
Njirich & Sons PUC LBE- WBE
(Micro)
$13,577,969.00 2.00% $13,306,409.62
Marinship
Development
Interests, LLC
SF LBE- MBE
(Small)
$14,296,910.00
2.00% $14,010,971.00
SMCI/Obayashi JV
Non- LBE $14,449,948.00 n/a $14,449,948.00
JDB & Sons
SF LBE- OBE
(Micro) $16,217,767.00 2.00% $15,893,411.66
Teichert Construction Non- LBE $17,065,555.00 n/a $17,065,555.00
CMD deemed the apparent low bidder, KW Emerson, non-responsive for failing to meet the established LBE subcontracting participation requirement. As such, Njirich and Sons becomes the lowest and responsible bidder.
LBE Subcontracting Participation Requirement
Njirich and Sons satisfactorily demonstrated how they will meet the LBE subcontractor participation requirement.
A combination of SF and/or PUC Micro-LBE and Small-LBE participation will count toward LBE subcontractor participation compliance. Njirich and Son’s commitment for this contract:
Requirement % Commitment %
Micro/Small LBE 15.00% 15.47%
In their bid, Njirich and Sons listed the following subcontractors on this contract.
Supplier Name Scope of Work
LBE
LBE Size
LBE
Percent
Percent
Of
Work
Amount
Mountain Methods General Engineering
Construction “A” PUC-LBE Micro
100%
15.47% $2,100,600.00
Central Coast Financial
Group
(Partial) Solid Pile
Wall, Gabions, CIP
Walls & Culvert Install
29.98%
$4,070,790.00
Ford Construction
(Partial) RSP Install,
Grading, Gabions &
Drain Piping
23.32% $3,166,131.00
“Good Faith Efforts” Requirement
Njirich and Sons satisfied the “Good Faith Efforts” requirement.
Njirich and Sons utilized Approach A on Form 2B by utilizing its own performance as an LBE for the 35% exemption.
CMD Determination
CMD finds Njirich and Sons is responsive to pre-award requirements of Chapter 14B. Once awarded, the contract will be monitored for compliance with the LBE subcontractor participation commitment, as well as other 14B requirements.
Primary CMD contact for the contract: Jason Chow, [email protected].
CMD must be contacted immediately for:
- Subcontractor addition/substitution;
- Contract modification that cumulatively increases the original contract value by 20%; - Prompt payment issues;
- Any other issues pertaining to LBE subcontractor participation
Noncompliance may result in penalties, including monetary fines. Please communicate with CMD early. [cco/JC]