DATE: July 20, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
FROM: Derek Schweigart, Parks and Recreation Director
Justin Lai, Senior Civil Engineer
DEPARTMENT: Parks and Recreation
SUBJECT: CONTRACT AMENDMENT NO. 2 FOR $35,000.00 WITH APEX TESTING LABORATORIES, INC. FOR ADDITIONAL TESTING
AND INSPECTION SERVICES ON THE FOSTER CITY
COMMUNITY CENTER REBUILD PROJECT (CIP301-678)
RECOMMENDATION
It is recommended that the City Council adopt the attached resolution authorizing: (1) The City Manager to execute the attached Contract Amendment No. 2 with Apex Testing and Laboratories, Inc. (Apex) in the amount not-to-exceed $35,000 to provide additional testing and inspection services on the Foster City Community Center Rebuild Project (Project) (CIP 301-678).
EXECUTIVE SUMMARY
Staff recommend that the City Council approve Contract Amendment No. 2 with Apex in the amount of $35,000 for final material testing and inspection services on the Project, bringing the total contract to $406,520. Apex provides critical quality assurance for the building, and their scope was expanded to include essential building waterproofing.
The fiscal impact of this amendment is $35,000, and sufficient funds are already available within the project budget (Account No. 301-0910-678-4251), as waterproofing costs were previously budgeted. Approval of this amendment will ensure Apex can complete all remaining inspections and successfully bring the Community Center to final project closeout.
BACKGROUND
On September 3, 2024, the City Council approved the request to award the construction of the Community Center Rebuild Project to BHM Construction LLC., along with executing a contract to Apex for testing and inspection services. Apex’s contract amount was $341,520 with a contingency of $30,000. Authority was given to the City Manager to execute contract amendments up to the contingency amount.
On April 15, 2026, Amendment No. One (1) was issued for $30,000 to add additional testing and inspection services.
ANALYSIS
Apex provides the majority of material testing and inspection services for the project, which are critical for quality assurance. When the contract was initially awarded, the construction management team anticipated that the baseline funding would likely be exhausted due to the rigorous inspection schedule required to ensure a high-quality build.
During construction, staff added specialized waterproof testing to Apex’s scope of work to ensure the building was properly sealed. Because waterproof testing was already accounted for in the overall project budget, those allocated funds will directly cover the cost of this amendment. While the initial contract contingency was known to be insufficient for the full duration of the project, this phased amendment allowed staff to accurately assess and project the exact remaining funds needed for completion.
The project is now in its final stages. Staff recommend approving Amendment No. 2 in the amount of $35,000. This approval will ensure Apex can complete all remaining testing and inspections, successfully bringing the project to final closeout.
CEQA
In July 2023, the City of Foster City, in accordance with the requirements of the California Environmental Quality Act (“CEQA”), the State CEQA Guidelines adopted by the Secretary of Resources, and the City of Foster City Environmental Review Guidelines, prepared an Initial Study and Mitigated Negative Declaration (SCH # 20231009) with Standards Conditions and Mitigation Monitoring and Reporting Program (SCAMMRP), and CEQA Findings (IS/MND) for the Recreation Center Rebuild Project.
On November 16, 2023, the City Planning Commission adopted the IS/MND and approved the Use Permit for the Project. Pursuant to Public Resources Code section 21166 and CEQA Guidelines section 15164(b), the City prepared an Addendum to the adopted Mitigated Negative Declaration for the temporary Modular Buildings portion of the work.
FISCAL IMPACT
The fiscal impact of this resolution is $35,000 with funds available in the overall project budget, account number 301-0910-678-4251. Any unspent funds revert to the originating fund balance following the closeout of the project. With Contract Amendment No. 2 executed, the total contract agreement with Apex would be $406,520.
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Facilities and Infrastructure
ATTACHMENTS:
Attachment 1 – Resolution
Attachment 2 – Contract Amendment No. 2