Citywide Sports Courts Resurfacing Project – Trueline Construction & Surfacing, Inc.
May 19, 2026
experience to successfully provide inspection services for the project. As such, staff intends to administratively issue a Purchase Order to TKE Engineering, Inc. in the amount of $29,700.
FISCAL REVIEW
The current proposed FY2025/2026 budget includes sufficient funding for this project. The budget allocations and project expenses/costs are as follows:
Project Funding Source
Government Building Internal Service Fund (General Fund) $255,000.00 Total Budget $255,000.00
Project Budget Allocations for Project No. 26019
Construction (Trueline Construction & Surfacing, Inc.) $125,720.98 10% Contingency $12,572.10
On-Call Construction Inspection Services (TKE Engineering, Inc.) * $29,700.00 Project Plans and Bid Documents Printing Costs $500.00
Total Project Cost $168,493.08
*Approved by City Council February 15, 2025
Note that, as in all of the City’s Public Works contracts, the contract itself provides the Director of Public Works authority to issue change orders of up to 10% of the original contract amount. When the Council approves the contract, it approves this authority. Ten percent is generally considered within the normal range of changed conditions on a Public Works construction project and, by providing change order authority upfront, Council helps to reduce the possibility of delay damages that could be incurred when a contractor must stop work and wait for authorization to proceed.
PUBLIC NOTIFICATION
Not applicable.
ENVIRONMENTAL IMPACT REVIEW
Not applicable.
ATTORNEY REVIEW
The Attorney for the City has reviewed and approved the Trueline Construction & Surfacing, Inc. contract for Project No. 26019 construction. The Attorney for the City has also reviewed and approved the TKE Engineering, Inc. (CON 1546) for construction inspection services.
ALTERNATIVES
Alternative No. 1: Accept the bid and award a construction contract to Trueline Construction & Surfacing, Inc. for the Citywide Sports Courts Resurfacing Project in the amount not-to-exceed $125,720.98.
Alternative No. 2: Reject the bid and do not move forward with the award of a contract.
This is not the recommended alternative as the bid received is a competitive bid and Trueline Construction & Surfacing, Inc. is a reputable
Citywide Sports Courts Resurfacing Project – Trueline Construction & Surfacing, Inc.
May 19, 2026
contractor that has completed many similar resurfacing projects throughout Southern California. Moving forward with this project will prevent further degradation of the courts.
RECOMMENDATION
It is recommended that the City Council approve Alternative No. 1, which is to:
1) Accept the bid and award a construction contract to Trueline Construction & Surfacing, Inc. for the Citywide Sports Courts Resurfacing Project, in the amount not-to-exceed $125,720.98.
Prepared by: Peter Nguyen, Engineering Technician II
Recommended by: Ryan Damon, Associate Engineer
Recommended by: Kyle Knoke, P.E., Senior Civil Engineer Reviewed by: Temo Galvez, P.E., Deputy Public Works Director / City Engineer
Approved by: Scott Smith, P.E., Director of Public Works Fiscal Review by: Ryan Smith, Finance Director / City Treasurer Approved by: Maggie Le, City Manager
Attachment 1: Trueline Construction & Surfacing, Inc. Public Works Construction Contract
CITY OF FOUNTAIN VALLEY
CITY COUNCIL
COUNCIL ACTION REQUEST
To: Honorable Mayor and Agenda Date: May 19, 2026
Members of the City Council
SUBJECT: Accept a $40,000 Fee Proposal from Onward Engineering for Design Services for the Rehabilitation and Resurfacing of Talbert Project and Authorize Staff to Issue a Purchase Order Change Order for a Total Purchase Order Amount Not-to-Exceed $138,753
Three-Year Strategic Goals
Cultivate a welcoming culture and safe environment that makes our community “A Nice Place to Live”
Ensure long-term fiscal stability by evaluating processes, and attract and retain revenue producing businesses/opportunities
Attract and retain quality staff through best practices and trends Maintain, build, plan for, and modernize infrastructure to support growth and future needs of the City
Not applicable
EXECUTIVE SUMMARY
On August 25, 2025, the City issued a purchase order to Onward Engineering under the City’s approved On-Call Roadway Design Contract in an amount not-to-exceed $98,753 to prepare a complete design and package a bid package for the Rehabilitation and Resurfacing of Talbert Avenue from East City Limit (ECL) to Ward Street Project (Project).
During the early design phase of the Project, staff applied for federal grant funding through the Southern California Association of Governments (SCAG) to support construction anticipated to begin in Winter 2026.
In December 2025, the City was notified that the Project was included on SCAG’s approved funding list, and in April 2026, SCAG confirmed the award of $2.64 million in grant funding for the Project’s construction, programmed for Federal Fiscal Year (FFY) 2026/2027, which begins October 1, 2026. To secure and utilize these funds, the City must complete additional federal requirements and documentation throughout the design and construction phases.
Staff is requesting approval of a change order to Onward Engineering’s existing purchase order in the amount not to exceed $40,000, increasing the total purchase order amount
Engineering Design Servies – Onward Engineering
May 19, 2026
to $138,753. This change order will fund the additional work necessary to ensure the Project’s plans, specifications, and estimates comply with all federal grant requirements.
The design of the Project is funded through Measure M, and sufficient funding is available in the FY 2025/26 Adopted Budget.
DISCUSSION
Founded in 1965, SCAG is a joint powers authority established under California law as a voluntary association of local governments and agencies to address regional issues.
SCAG is designated under federal law as a metropolitan planning organization and, under state law, as both a regional transportation planning agency and a council of governments. The SCAG region encompasses six (6) counties (Imperial, Los Angeles, Orange, Riverside, San Bernardino, and Ventura) and 191 cities, covering more than 38,000 square miles. SCAG is responsible for developing long-range regional transportation plans, including the sustainable communities strategy and growth forecast, regional transportation improvement programs, regional housing needs allocations, and portions of the South Coast Air Quality Management Plan. Additionally, SCAG plays a central role in administering and distributing federal transportation funds through the Surface Transportation Block Grant (STBG) and Congestion Mitigation and Air Quality Improvement (CMAQ) programs.
The STBG and CMAQ Program Guidelines establish the framework for selecting and allocating federal transportation funds within the SCAG region. These guidelines are based on Connect SoCal 2024 and the Federal Transportation Improvement Program (FTIP), which guide long-term transportation investments, ensure compliance with state and federal air quality requirements, and support strategies to reduce greenhouse gas and pollutant emissions. SCAG is responsible for developing the program guidelines, determining funding availability, and administering the competitive call for projects.
County transportation commissions collaborate closely with SCAG by prioritizing projects at the local level before submitting them for regional evaluation. SCAG then evaluates, scores, and selects projects based on federal eligibility requirements and regional priorities such as congestion reduction, air quality improvement, and system performance.
Funding availability for this cycle is based primarily on FY 2026/2027 and 2027/2028 apportionments, and project selection follows a multi-step process that includes eligibility screening, scoring, and ranking based on regional priorities, performance outcomes, and community benefits.
In May 2025, staff submitted four (4) Capital Improvement Projects for consideration:
Rehabilitation and Resurfacing of Talbert Avenue from East City Limit to Ward Street;
Rehabilitation and Resurfacing of Newhope Street, Ward Street, Ellis Avenue, and Slater Avenue;
Engineering Design Servies – Onward Engineering
May 19, 2026
Rehabilitation and Resurfacing of Edinger Avenue from Euclid Street to Newhope Street; and
Four (4) School Area Mid-Block Crosswalk Improvements
In December 2025, SCAG notified the City that the Rehabilitation and Resurfacing of Talbert Avenue Project was ranked “Highly Recommended” on the STBG/CMAQ Selected Projects List and awarded $2.64 million in funding. The City committed a 20% local match of $660,000 toward the estimated $3.3 million construction cost.
The Rehabilitation and Replacement of Newhope St, Ward St, Ellis Ave, and Slater Ave and the Four (4) School Area Mid-Block Crosswalk Improvements Projects were placed on the contingency list and may receive funding if additional resources become available.
The Rehabilitation and Resurfacing of Edinger Avenue from Euclid Street to Newhope Street Edinger Avenue Project was not recommended due to its reliance on coordination with the City of Westminster, which owns the majority of the right-of-way.
On April 6, 2026, SCAG confirmed that the STBG/CMAQ Selected Projects List was successfully programmed for FY 2026/2027 and 2027/2028. The Talbert Avenue Project is scheduled for construction in FY 2026/2027 and will be eligible to receive federal funding beginning October 1, 2026.
To meet federal funding requirements, additional environmental documentation, federal approvals, and updates to the project bid package are necessary. The City currently has a purchase order with Onward Engineering in the amount not-to-exceed $98,753 to prepare a complete bid package for the Project, however, this amount does not cover the additional work required to comply with federal requirements. Therefore, staff is requesting the approval of a $40,000 change order, increasing the total not-to-exceed amount of the purchase order to $138,753. The additional scope includes preparation of environmental documentation (Preliminary Environmental Study and NEPA Categorical Exemption), right-of-way and construction authorization (E-76), and incorporation of federal funding provisions into the Project’s specifications.
Staff anticipates the design of the Project will be completed in Fall 2026, with construction beginning in Winter 2026, although the schedule may be affected by federal review timelines. The project scope includes removal and reconstruction of deteriorated pavement sections, placement of rubberized asphalt concrete overlay, and associated concrete improvements. These improvements will enhance ride quality and extend the service life of Talbert Avenue.
FINANCIAL ANALYSIS
The adopted FY 2025/26 budget includes adequate funding for this project. The budget allocations and project expenses/costs are as follows:
Engineering Design Servies – Onward Engineering
May 19, 2026
FY2025/2026 Project No. 26008 Budget
Funding Source Project Budget Amount
Measure M $150,000
Total Budget $150,000
FY2025/2026 Project No. 26008 Expenses/Costs
Vendor/Item Amount
Project Design Budget $150,000
Engineering Design Services (Onward Engineering) ($98,753) Additional Engineering Services to Federalize Design (Onward Engineering)
($40,000)
Remaining Project Design Budget $11,247
Roadway Design Services; Onward Engineering (CON 1526)
Total On-Call Contract for Roadway Design Services for Onward Engineering* $600,000
Design Services for the Rehabilitation and Resurfacing of Talbert Ave ($98,753) Additional Engineering Services to Federalize Design of Rehabilitation and Resurfacing of Talbert Ave ($40,000)
Total Remaining in Contract $461,247
*Approved by City Council on December 17, 2024.
PUBLIC NOTIFICATION
Not applicable.
ENVIRONMENTAL IMPACT REVIEW
Not applicable.
ATTORNEY REVIEW
The Attorney for the City has reviewed and approved the Onward Engineering On-Call Roadway Design Services Contract CON 1526.
ALTERNATIVES
Alternative No. 1: Accept a $40,000 Fee Proposal from Onward Engineering for Design Services for the Rehabilitation and Resurfacing of Talbert Project and Authorize Staff to Issue a Purchase Order Change Order for a Total Purchase Order Amount Not-to-Exceed $138,753.
Alternative No. 2: Reject Onward Engineering’s fee proposal and do not move forward with a purchase order change order.
This is not the recommended alternative as the Project is vital to replace and rehabilitate Talbert Avenue and delays in meeting
Engineering Design Servies – Onward Engineering
May 19, 2026
federal requirements may cause the City to lose funding.
RECOMMENDATION
Staff is recommending that the City Council approve Alternative No. 1, which is to:
1) Accept a $40,000 Fee Proposal from Onward Engineering for Design Services for the Rehabilitation and Resurfacing of Talbert Project and Authorize Staff to Issue a Purchase Order Change Order for a Total Purchase Order Amount Not-toExceed $138,753.
Prepared by: Ryan Damon, Engineering Associate
Recommended by: Kyle Knoke, P.E., Senior Civil Engineer Reviewed by: Temo Galvez, P.E., Deputy Public Works Director / City Engineer
Approved by: Scott Smith, P.E., Director of Public Works Fiscal review by: Ryan Smith, Finance Director / City Treasurer Approved by: Maggie Le, City Manager
Attachment 1: Onward Engineering Design Services Proposal Attachment 2: Onward Engineering Services Proposal for Federalized Design
City of Fountain Valley June 10th, 2025
Attn: Ryan Damon, Assistant Engineer
10200 Slater Ave, Fountain Valley, CA 92708
Onward Engineering (OE) is pleased to submit our letter proposal to the City of Fountain Valley for the preparation of plans, specifications, and estimates for the FY25/26 Arterial Paving Project. We truly value our working relationship with the City, and we are excited to once again support your team in delivering high-impact street improvements to the community.
This project includes the rehabilitation of Talbert Avenue from Ward Street to the eastern City limit, and Bushard Street from Warner Avenue to Rose Avenue. Based on your preliminary scope, we understand this work will consist of a 3-inch asphalt grind, followed by a 1-inch leveling course and 2-inch cap, as well as ADA-compliant improvements to sidewalks, curb ramps, driveways, curb, and gutter. These upgrades will significantly improve pavement conditions, pedestrian safety, and overall mobility on two important arterial corridors.
Our familiarity with Fountain Valley’s streets is well established. Most recently, we provided design engineering for the City’s Arterial Street Improvement Project, which included Ellis Avenue, Ward Street, Newhope Street, and Slater Avenue. That project covered approximately 8,940 linear feet of roadway and included ARHM overlay with a leveling course, slurry seal, ADA ramp upgrades, sidewalk reconstruction, and curb and gutter improvements. Our team delivered high-quality plans and estimates on time, coordinated closely with utility agencies, and supported a smooth path to construction.
We are proposing the same experienced and dedicated team: Delfino “Chino” Consunji, PE as Project Manager, and Justin Smeets, PE, PLS, QSD as Lead Engineer. Chino brings more than three decades of engineering leadership, having served as City Engineer and Public Works Director for several Southern California cities. Justin offers strong design oversight, clear communication, and the ability to address constructability concerns proactively. He is also a PLS and will lead our survey team. This team has already proven its value on your prior arterial project and is ready to do so again.
Roadway rehabilitation is our firm’s primary focus. Since 2004, Onward Engineering has delivered major street improvement projects throughout Southern California. In Irvine, we designed and supported pavement rehabilitation on Irvine Center Drive and Red Hill Avenue (amongst others) both six-lane arterials with full-depth reconstruction, ARHM overlay, extensive concrete improvements, and agency coordination with Caltrans and Santa Ana. In Laguna Niguel, we managed the full rehabilitation of nearly two miles of Niguel Road, a corridor with steep grades, constrained access, and extensive ADA ramp design. In Lake Forest, our team developed phased PS&E packages for the resurfacing of 5.5 miles of Lake Forest Drive, including 152 ADA ramps and all supporting curb, gutter, and sidewalk improvements. We have also delivered large-scale street improvement programs for the Cities of La Mirada, Norwalk, Diamond Bar, Montebello, Downey, Eastvale, Placentia, Torrance, San Bernardino, Alhambra, and Hesperia.
This breadth of experience allows us to anticipate challenges and develop practical, field-informed solutions tailored to each City’s preferences and funding strategies.
To ensure smooth coordination and real-time visibility, we use ClickUp, our firmwide project management platform.
ClickUp allows both our team and City staff to monitor deliverables, assign tasks, and track progress without delay.
It enhances our responsiveness and gives our clients a transparent window into schedule, submittals, and action items—allowing you to stay informed without needing to follow up.
We are grateful for the opportunity to continue supporting the City of Fountain Valley. Should you have any forward to another successful collaboration.
Thank you,
Muhammad Ataya, MPA
President, Onward Engineering
Onward Engineering
300 S. Harbor Blvd., Suite 814
Anaheim, CA 92805
Cover Page
Request For Proposal, for the City of Fountain Valley,
Design Services for the FY 25/26 Arterial Paving Project
The following is our scope of work for design engineering services integrated with the site-specific tasks outlined in the City’s Request for Proposal, to which no exceptions are taken. - Meeting Minutes and Agenda (digital copies) - Updated Project Schedule (digital copies) OE will coordinate and lead the following meetings: • Kick-Off Meeting. • Bi-Weekly Progress Meetings (5 total). • 60% and 90% Plan Check Meetings. - Copies of Existing Records (digital copies) The OE team will compile and review all available records and documents from the City and other third-party sources including: • As-Built Plans/Atlas Maps (i.e. sewer, storm, water, traffic signals, utilities). • Survey Data (i.e. topography, aerial photographs, centerlines, monuments, property boundaries). • Pavement Management Plans. • Geotechnical Investigation Reports. - Utility contact matrix (digital copy) - First utility notice (digital copies) - Utility owner correspondence and records (digital copies) The utility research and notification will consist of the following tasks: • Compile a contact information list of potential utility owners utilizing City and DigAlert records. • Prepare the first utility notice following kick-off meeting to inform utility owners of the upcoming project and request information pertaining to their utilities such as verification of the sizes, depths, and locations of their underground lines, facilities, and substructures within the project vicinity. • Prepare the second utility notice following completion of 60% plans to provide utility owners with the plans and prompt them to identify any revisions they require to the information related to their utilities. • Prepare the final utility notice following completion of the 100% plans to provide utility owners with the final plans and notify them of the upcoming construction activities. • Create a utility contact matrix to summarize utility owner contact information and track receipt of asbuilt information. - Aerial photographs (digital copies) Aerial photographs will be taken within the project limits to document site features, utility appurtenance locations, striping configurations, as well as preparing base maps. - Survey data files (digital copies) - Autocad survey base map (digital copy) A topographic survey will be conducted by OE and will include the following tasks: • control referencing the North American Vertical Datum 1988. • Survey centerline monuments and ties to establish centerline and ROW alignments. • Survey street cross sections at 50-foot intervals. The standard cross-sectional data will consist of Rightof-Way, Back of Walk, Top of Curb, Flow Line, Gutter Lip, and Crown for both sides of the street. • Survey visible utility appurtenances within the street ROW.
Scope of Work
Request For Proposal, for the City of Fountain Valley,
Design Services for the FY 25/26 Arterial Paving Project
- Right-of-way, street, and utility AutoCAD base maps (digital copies) • Centerline and ROW (utilizing gis maps, tract maps). • Existing street layout (utilizing aerial photographs, field observations). • Existing utilities layout (utilizing atlas maps, and as-built plans). - Site evaluation notes and photographs (digital copies) OE will schedule a site evaluation following completion of the base maps to gather the following information: • Confirm base map accuracy. • Verify records drawings and data. • Evaluate existing site conditions. • Identify proposed improvements within the City and private property right-of-ways. • Inventory roadway signage and existing pavement markings. • Collect street level photographs of key project areas. - 60% Plans and Cost Estimate (digital copies) PLANS
The plans will be drafted using the City’s standard title block, notes, and formatting, as well as conventional line styles.
unless instructed otherwise by the City:
Sheet Type Horizontal Scale Vertical Scale
Title Sheet N/A N/A
NTS NTS
NTS NTS
1” = 80’ N/A
*Striping is limited, and it is assumed that all striping design and notes will be included on the street improvement plans.
Designs will adhere to the latest editions of the governing standards for each design component which may include the following:
Design Element
Americans with
Disabilities Act
Standards for
Accessible Design
Caltrans California
Manual on Uniform Caltrans
Standard Plans
City of
Fountain Valley
Standard Plans
Standard Plans for
Public Works
Construction
Pavement
Improvements X X
Concrete
Infrastructure
Reconstruction
X X X
Signing and
Striping X X
COST ESTIMATE
Development of the Cost Estimate will include the following tasks: • Review cost templates provided by the City to verify typical bid items and descriptions. • Compile quantities based on measurements from AutoCAD design files. • Develop unit rate construction costs from recently awarded projects based on data from the following sources: - PlanetBids. - Bid summaries from recent City projects. - Bid summaries from recent OE projects. - Caltrans Construction Cost Database.
SUBMITTALS
OE will submit electronic copies of the plans and cost estimate to the City for review and feedback. OE will coordinate a Plan Check Meeting with the City following completion of their review.
Scope of Work
Request For Proposal, for the City of Fountain Valley,
Design Services for the FY 25/26 Arterial Paving Project
- 60% Submittal Review Comments/Responses and Red-Lined Plans (digital copies) - 90% Plans, Cost Estimate, and Specifications (digital copies)
SPECIFICATIONS
Development of the Specifications will include the following tasks: • Acquire boilerplate templates from the City. •Update template text to include project specific information. •Update Project Bid Schedule to match cost estimate bid items and quantities. •Check that General Provisions and Special Provisions section numbering and titles match the referenced edition of the Standard Specifications for Public Works Construction (Greenbook). •Add pay clauses to Special Provisions that match Project Bid Schedule. •Add any additional provisions requested by the City or deemed necessary due to the project design and construction.
The 90% plans and estimate will be prepared and submitted for review following the same processes described in the 60% submittal task. OE will also prepare a summary of the submittal review comments and scanned red-lined plans in electronic format. - 90% Submittal Review Comments/Responses and Red-Lined Plans (digital copies) - 100% Plans (hard copy – 24” x 36” format on bond paper – signed and stamped) - 100% Specifications (hard copy – unbound)
- 100% Construction Cost Estimate (hard copy)
- Complete PS&E Package (digital copies – USB thumb drive) - AutoCAD and PDF design files (digital copies – USB thumb drive) Once the City has completed the final review of the PS&E, OE will incorporate the plan check comments into the 100% PS&E Submittal. If upon submittal of the 100% PS&E package it is noted that minor changes are needed, OE will incorporate all necessary changes. - Responses to design inquiries (digital copies) - As-built drawings (hard copy - 24” x 36” format on bond paper – signed and stamped) - Autocad and PDF design files (digital copies – USB thumb drive) OE will provide the following ongoing support services during the bid and construction phases:
BID PHASE • Attend pre-bid meeting. • Prepare responses to Requests for Information (4 RFIs). • Prepare contract addenda (2 addenda).
CONSTRUCTION PHASE • Attend pre-construction meeting. • Conduct field inspections as requested (2 inspections). • Respond to RFIs (4 RFIs). • Prepare contract change orders (2 change orders). • Review submittals (12 submittals). • Revise plans and prepare addenda for errors and omissions. • Prepare as-built plans.
Revisions to the PS&E package or providing additional administrative support can be done at the City’s request on a time and material basis using the hourly rates in our fee proposal. Additionally, we can provide full-service construction management and inspection services upon City request.
Scope of Work
Request For Proposal, for the City of Fountain Valley,
Design Services for the FY 25/26 Arterial Paving Project
1 5 10 15 20 25 30 10 15 20 25 30 1 5 10 15 20 25 30 1 5 10 15 20 25 30 1 5 10 15 20 25 30 1 5 10 15 20 25 30 1 5 5 6/30/25 7/4/25
1 1 6/30/25 6/30/25
2 2
3 (First Notice) 266 7/3/25 10/2/25 4 1 5 15 6 10 Site Evaluation 3 8/8/25 8/12/25 8 60% PS&E 22 8/13/25 9/11/25 9 (Second Notice) 2 9/12/25 9/15/25 10 Submit 60% PS&E to City 1 9/12/25 9/12/25
11 15 9/12/25 10/2/25 39 10/3/25 11/26/25
12 90% PS&E 14 10/3/25 10/22/25
13 Submit 90% PS&E to City 1 10/23/25 10/23/25
14 15 10/23/25 11/12/25
15 100% PS&E 8 11/13/25 11/24/25
16 Submit 100% PS&E to City 1 11/25/25 11/25/25
(Final Notice) 1 11/26/25 11/26/25
Schedule
Anaheim, CA. 92805 Request For Proposal, for the City of Fountain Valley, Design Services for the FY 25/26 Arterial Paving Project Page 558 1 12 20 10 42 $7,400.00 $7,400.00 2 1 8 16 25 $3,880.00 $3,880.00 2 5 20 27 $4,100.00 $4,100.00 15 33 46 94 $15,380.00 $15,380.00 2 2 8 8 20 $3,200.00 $3,200.00 5 4 8 48 48 108 $17,200.00 $17,200.00 6 2 6 40 48 $7,080.00 $7,080.00 7 Site Evaluation 4 10 14 $2,120.00 $2,120.00 8 8 24 98 130 $19,640.00 $19,640.00 10 40 158 56 56 320 $49,240.00 $49,240.00 9 90% PS&E 10 20 78 108 $16,520.00 $16,520.00 10 100% PS&E 2 6 20 28 $4,280.00 $4,280.00 12 26 98 136 $20,800.00 $20,800.00 11 16 8 24 $4,000.00 $4,000.00 16 8 24 $4,000.00 $4,000.00 12 $9,333.00 $9,333.00 $9,333.00
$9,333.00 $9,333.00 $9,333.00
37 115 310 56 56 574 $89,420.00 $9,333.00 $9,333.00 $98,753.00 Cost Proposal
Request For Proposal, for the City of Fountain Valley,
Design Services for the FY 25/26 Arterial Paving Project
April 28, 2026
Ryan Damon
City of Fountain Valley
10200 Slater Ave
Fountain Valley, CA 92708
Subject: CCO#1 - Additional Design Services for Preparation of Federal Funding Documents including PES, Right-of-Way (R/W) Certification and Request for Authorization (RFA) for Construction for the Talbert Avenue Improvement Project
Scope of Services:
1. Environmental Assessment
2. R/W Certification, PS&E Certification and RFA for Construction Authorization
3. Update Specifications with Federal Funding Documents Dear Ryan,
The City of Fountain Valley requested a change order proposal for the preparation of additional federal funding documents for the Talbert Avenue from Ward Street to East City Limits Project.
The scope of services for this change order is as follows:
1 Environmental Assessment
Onward Engineering (OE) will prepare the Preliminary Environmental Study (PES) following Caltrans guidelines in the Local Assistance Procedures Manual (LAPM). It is assumed that no technical studies will be required. Documents anticipated to be required for environmental clearance include:
1. Preliminary Environmental Study (PES).
2. NEPA Categorical Exclusion
Deliverables
- PES (digital copy)
- CE Checklist (digital copy)
2 R/W, PS&E Certification and RFA for Construction Authorization OE will prepare the R/W Certification, PS&E Certification and RFA for Construction Authorization for the City. First, the design team shall ensure that all plans, specifications, and estimates are complete and
follow the scope of work that was prepared in the approved grant funding application and that Caltrans Standards are followed. The specifications must include the PS&E checklist items required for federally funded projects. Once the PS&E package has been prepared with all the necessary documents, the RFA for Construction documents are prepared to formally request permission from Caltrans to proceed with construction. This requires ensuring that all required environmental clearances, permits, and any other necessary documentation are in place. OE will work with the City and Caltrans in coordinating approval of RFA for Construction and issuance of E-76 documents.
Deliverables
- Prepare required LAPM exhibits to secure Caltrans R/W Certification. - Prepare required LAPM exhibits for RFA for Construction (digital copies) 3 Update Specifications with Federal Funding Documents
OE will prepare the project specifications so that the federal funding requirements are in accordance with the LAPM. We will incorporate the federal funding exhibits and latest Davis Bacon prevailing wages into the final bid package.
Deliverables
- Final Specification package with federal funding forms. 4 Unforseen Conditions (Optional Task)
As an optional task, OE will provide additional design services as may be required due to unforeseen conditions. These conditions may include attending coordination meetings, performing technical studies, preparation of additional LAPM exhibits, etc. as may be required for issuance of E-76 documents.
Ryan, per your instructions we have prepared this request for CCO#1. We prepared this change order in the amount of $32,000 with an optional task for additional services that may due to unforeseen conditions in the amount of $8,000. The fee breakdown by task is included on the following sheet.
Please review the attached fee and let us know if you have any questions.
Sincerely,
Delfino R. Consunji, PE
Project Manager
Attachment
TOTAL CCO#1 WITH OPTIONAL TASK $40,000
The hourly rates above are our fee schedule. Any additional work will be negotiated utilizing those hourly rates.
CITY OF FOUNTAIN VALLEY
CITY COUNCIL
COUNCIL ACTION REQUEST
To: Honorable Mayor and Agenda Date: May 19, 2026
Members of the City Council
SUBJECT: Approve Amendment No. 3 to YUNEX LLC Contract No. 22-08 (MUNIS CON 1140) to:
1. Increase the current contract in the amount of $75,000.00 for a total contract amount of $727,016.25; and,
2. Extend the contract for an additional six (6) months, beginning July 1, 2026 through December 31, 2026. __________________________________________________________________________ Three-Year Strategic Goals Three-Year Strategic Goals
Cultivate a welcoming culture and safe environment that makes our community “A Nice Place to Live”
Ensure long-term fiscal stability by evaluating processes, and attract and retain revenue producing businesses/opportunities
Attract and retain quality staff through best practices and trends Maintain, build, plan for, and modernize infrastructure to support growth and future needs of the City
Not applicable
EXECUTIVE SUMMARY
Due to expenditures associated with unforeseen maintenance and repair events, such as traffic signal knockdowns and emergency repairs, City staff requests approval of contract Amendment No. 3 to increase the current YUNEX LLC contract (CON 22-08; Munis CON 1140) in the amount of $75,000.
Staff is currently developing a new RFP for traffic signal maintenance services that is anticipated to be advertised in June 2026.
Therefore, City staff also requests approval of an extension to the contract for an additional six (6) months, beginning July 1, 2026, through December 31, 2026, to continue traffic signal maintenance and repairs beyond June 30, 2026, until the new agreement is in place.
YUNEX LLC Amendment No. 3
May 19, 2026
Services rendered for traffic signal maintenance and repairs are funded by the General Fund.
There is adequate funding in the proposed FY 2025/2026 and FY2026/2027 adopted budgets for these services.
DISCUSSION
The City is responsible for operating and maintaining fifty-five (55) traffic signals. The City has managed the operations and maintenance of all the existing traffic signals citywide via a traffic signal maintenance contractor. YUNEX LLC is currently providing traffic maintenance and repair services for the City of Fountain Valley under the contract awarded via the 2021 Traffic Signal Maintenance RFP. Traffic signal maintenance services are needed for the following:
Routine preventative maintenance,
Extraordinary maintenance (i.e. accidents and knockdowns), Underground Service Alert (i.e. dig-alert/USA),
Repair of faded traffic signal equipment,
Repainting of traffic signal steel poles for pole preservation, and mast arm, Repainting traffic signal indicator back plates for device preservation, Removal and replacement of traffic signal mounted street name signs as needed, and Other repair and maintenance of traffic signal equipment as needed.
In October 2021, a Request for Proposals (RFP) for Traffic Signal Maintenance and Repair Services was posted on PlanetBids to invite qualified contractors per the City's Municipal Code and Purchasing Policy (FVMC chapter 2.30.020). Of the proposals received, YUNEX LLC demonstrated the best understanding and approach to the City’s traffic signal infrastructure and on February 15, 2022, the City Council awarded a contract for Traffic Signals Maintenance and Repair services to YUNEX LLC.
On February 15, 2022, City Council awarded the Traffic Signal Maintenance and Repair Services contract to YUNEX LLC (CON 22-08 (Munis CON 1140)) for an amount not-toexceed $270,000, which was planned to expire on February 14, 2024. On October 17, 2023, City Council concurrently approved Amendment Nos. 1 and 2 to YUNEX LLC CON 1140, which provided an increase that resulted in a TOTAL CONTRACT SUM of $652,016.25; and extended the contract to June 30, 2026.
The scope of the Traffic Signal Maintenance is comprised of two (2) primary categories:
Maintenance Services and Repair Services. Maintenance Services, which includes monthly intersection inspections, is a fixed monthly fee with an annual cost of $38,900. Repair Services, which includes responses to emergency repairs and traffic signal knockdowns, has ranged from approximately $55,000 to $160,000 per year. The total annual cost for both Maintenance and Repair Services has ranged from approximately $66,000 to $196,000 per year.
The total contract amount for YUNEX LLC CON 1140 is insufficient to continue traffic signal maintenance and repair services through the end of the current contract, which is June 30, 2026. This is due to various unforeseen traffic signal repair events, including a significant
YUNEX LLC Amendment No. 3
May 19, 2026
increase in traffic signal knockdowns. Since the start of FY 25/26, there have been a total of eight (8) traffic signal knockdowns and emergency repairs, where the cost of these types of repairs typically ranges from approximately $6,000 to $25,000 per occurrence. As such, City staff is recommending an additional increase to the current contract in the amount of $75,000, which will result in a TOTAL CONTRACT SUM of $727,016.25.
It should be noted that the City has a process in place to pursue reimbursement from the respective insurance companies of those who cause damage to the traffic signals. The City’s Risk Manager is currently pursuing $52,498.49 in reimbursement and has recovered approximately $11,000 to date for damage to traffic signals.
City staff is requesting the City Council approve Amendment No. 3 to YUNEX LLC CON 1140 to extend the agreement an additional six (6) months from July 1, 2026, and end on December 31, 2026. These additional six months are recommended while the City advertises the Traffic Signals Maintenance and Repair RFP to procure a qualified contractor for these services.
FISCAL REVIEW
FY 2025-2026 Budget for Traffic Signals Maintenance and Repair Services General Fund (100.50.50503.53038) $225,000.00
FY 2025-2026 YUNEX LLC Expenditures ($100,284.76)
FY 2025-2026 YUNEX LLC Encumbrances ($27,173.57
FY 2025-2026 Traffic Signs Expenditures ($9,406.56)
FY 2025-2026 Emergency Vehicle Preemption Maintenance
Encumbrance
($10,354.00)
Amendment No. 3 to YUNEX LLC Contract ($75,000.00)
Total Remaining Budget (100.50.50503.53038) $2,781.11
FY 2026-2027 Budget for Traffic Signals Maintenance and Repair Services General Fund (100.50.50503.53038) $225,000.00
Total Remaining Budget (100.50.50503.53038) $225,000.00 YUNEX LLC CON 22-08 (MUNIS CON 1140)
Original Agreement Amount (February 15, 2022 to February 14, 2024)*
$270,000.00
Amendment No. 1 to CON 22-08 (MUNIS CON 1140) (October
17, 2023 to February 14, 2024)**
$45,000.00
Amendment No. 2 to CON 22-08 (MUNIS CON 1140)
(February 15, 2024 to June 30, 2026)**
$337,016.25
Amendment No. 3 to CON 22-08 (MUNIS CON 1140) (July 1,
2026 to December 31, 2026)***
$75,000.00
Proposed Total Contract Amount $727,016.25
*Approved by City Council on February 15, 2022
YUNEX LLC Amendment No. 3
May 19, 2026
**Approved by City Council October 17, 2023
***Presented to City Council on May 19, 2026
PUBLIC NOTIFICATION
Not applicable.
ENVIRONMENTAL IMPACT REVIEW
Not applicable.
ATTORNEY REVIEW
The Attorney for the City reviewed and approved Amendment No. 3 to YUNEX LLC CON 22- 08 (MUNIS CON 1140).
ALTERNATIVES
Alternative No. 1: Approve Amendment No. 3 to YUNEX LLC Contract No. 22-08 (MUNIS CON 1140) to:
1. Increase the current contract in the amount of $75,000.00 for a total contract amount of $727,016.25; and
2. Extend the contract for an additional six (6) months, beginning July 1, 2026, through December 31, 2026.
This is the recommended action to continue reliable and timely traffic signals maintenance and repair services for the City. In addition, City staff is requesting a time extension to allow staff to issue a Request for Proposal for Traffic Signal Maintenance and Repair Services to procure a qualified contractor for these services.
Alternative No. 2: Do not approve Amendment No. 3 to YUNEX LLC Contract No. 22-08 (MUNIS CON 1140) to:
1. Increase the current contract in the amount of $75,000.00 for a total contract amount of $727,016.25; and,
2. Extend the contract for an additional six (6) months, beginning July 1, 2026 through December 31, 2026.
This is not the recommended action because the City would not be able to provide uninterrupted and a reliable means for traffic signals maintenance and repair services.
RECOMMENDATION
Staff is requesting City Council:
Approve Amendment No. 3 to YUNEX LLC Contract No. 22-08 (MUNIS CON 1140) to:
1. Increase the current contract in the amount of $75,000.00 for a total contract amount of $727,016.25; and,
2. Extend the contract for an additional six (6) months, beginning July 1, 2026 through December 31, 2026.
YUNEX LLC Amendment No. 3
May 19, 2026
Support by: Terri Phan, Management Aide
Prepared by: Jessenia Penaloza, Assistant Engineer
Recommended by: Kyle Knoke, P.E., Senior Civil Engineer Reviewed by: Temo Galvez, P.E., Deputy Public Works Director / City Engineer Approved by: Scott Smith, P.E., Director of Public Works Fiscal review by: Ryan Smith, Finance Director / City Treasurer Approved by: Maggie Le, City Manager
Attachment 1: YUNEX LLC Amendment No. 3 to CON 22-08 (Munis CON 1140) Attachment 2: YUNEX LLC CON 22-08 (Munis CON 1140)
CITY OF FOUNTAIN VALLEY
CITY COUNCIL
COUNCIL ACTION REQUEST
To: Honorable Mayor and Agenda Date: May 19, 2026
Members of the City Council
SUBJECT: Accept the ABM Building Solutions, LLC proposal and award a construction contract in a total not-to-exceed amount of $169,089 for City Hall Rooftop Ductwork Replacement.
Three-Year Strategic Goals
Cultivate a welcoming culture and safe environment that makes our community “A Nice Place to Live”
Ensure long-term fiscal stability by evaluating processes, and attract and retain revenue producing businesses/opportunities
Attract and retain quality staff through best practices and trends Maintain, build, plan for, and modernize infrastructure to support growth and future needs of the City
Not applicable
EXECUTIVE SUMMARY
The City maintains numerous facilities throughout Fountain Valley that are needed to provide services to the community. Due to limited funding, certain building maintenance items have been deferred for an extended period. One of these items is the City Hall rooftop ductwork which is part of the City Hall HVAC (heating, ventilation, and air conditioning) system.
Although staff patched the ductwork and made minor repairs and replacements as needed over the years, the condition of the rooftop ductwork at City Hall has deteriorated past the point of feasible repair. This has allowed rainwater to leak through the ductwork into the interior of the building. To prevent ongoing water intrusion and possible further damage to the interior of City Hall, staff is recommending that the rooftop ductwork be replaced.
Staff is requesting that City Council accept the ABM Building Solutions, LLC (ABM) proposal and award a construction contract in a total not-to-exceed amount of $169,089 for City Hall Rooftop Ductwork Replacement. As allowed by Fountain Valley Municipal Code (FVMC) §
2.36.70 (a)(4), the proposed contract and the associated proposal from ABM are based on an existing cooperative contract available through OMNIA Partners (OMNIA).
City Hall Rooftop Ductwork Replacement
May 19, 2026
The Adopted Biennial Budget (FY 2025-26 & FY 2026-27) includes sufficient funding for the proposed ductwork replacement, which will be funded by the General Fund.
DISCUSSION
In summer 2025, the City completed a Facility Condition Assessment (FCA) to identify and document current and forecasted conditions of approximately 228,693 square feet of facilities and 162 acres of parks. Through the FCA, roof-covering systems at 19 City-maintained facilities, including City Hall, were evaluated. Although the roof covering at City Hall was in good condition, the rooftop ductwork was identified as being beyond its recommended useful life due to age and environmental degradation, and was recommended as a high priority for replacement.
The Public Works Department Government Buildings staff have been aware of this deficiency for several years. They have patched the ductwork and made minor replacements and repairs as needed to prevent water intrusion, but the rooftop ductwork has deteriorated to the point that this is no longer a feasible solution. Damaged areas are currently covered by plastic and duct tape in an attempt to keep rainwater from entering the building through the ductwork and causing water damage to the interior of the building.
If approved, this project is anticipated to start during the summer of 2026 and be completed by the fall. Work will be scheduled on Friday and Saturday, between the hours of 6:00 a.m. and 3:00 p.m., to ensure safety during construction and minimize the impact on business operations. Steps will be taken to prohibit dust and outside particles from entering ductwork and the facility during construction.
This project will remedy the ongoing water intrusion issue that’s the result of leaking rooftop ductwork, which is part of the City Hall HVAC (heating, ventilation, and air conditioning) system, and support the City’s strategic goal of maintaining, building, and modernizing infrastructure to support growth and future needs of the City.
PROCUREMENT
Cooperative purchasing agreements meet the public contract code by leveraging competitively solicited, publicly awarded contracts from a lead agency, eliminating the need for each entity to run its own lengthy solicitation process. These contracts comply with procurement laws by ensuring the initial bid was formal, transparent, and awarded to the most responsible bidder.
The City of Fountain Valley Municipal Code allows for several bid exceptions. It specifically states in § 2.36.70 (a)(4) that bidding may be dispensed with when participating in a cooperative contract with another government agency.
The proposed contract and the associated proposal from ABM are based on an existing cooperative contract (Contract #02-122) available through OMNIA. OMNIA is a cooperative purchasing organization in public procurement. The City has been a member of OMNIA since 2005. As a member, the City can utilize its competitively bid public contracts to benefit from similar or better pricing.
City Hall Rooftop Ductwork Replacement
May 19, 2026
To ensure competitive pricing, staff obtained an additional proposal from a second prominent and reputable HVAC contractor, ACCO Engineered Systems (ACCO). The ACCO proposal was approximately $130,000 more than the ABM proposal.
FISCAL REVIEW
The adopted budgets for FY 2025-26 and FY 2026-27 include sufficient funding for the project.
Surplus funds originally allocated to the Capital Improvement Fund for Project #26004 – Citywide Facilities Roofing, will be transferred to Project #26004.CH for the City Hall Rooftop Ductwork Replacement project with funding from Government Buildings.
FY 2025-2027 Project Budget for Citywide Facilities Roofing (General Fund) FY 25/26 Capital Improvement Fund 300, Project #26004 $2,275,000 FY 26/27 Capital Improvement Fund 300, Project #26004 $1,661,000 Total $3,936,000
Contract #1683 for Citywide Facilities Roofing Replacements and Repairs for Various City Facilities (including contingency) $2,651,118
Remaining Budget $1,284,882
Cost for Project #26004.CH for City Hall Rooftop Ductwork Replacement Removal and Replacement of Existing Ductwork $169,089
Construction Contingency (10%) $16,909
Total Project Cost $185,998
*Purchase Order to be issued administratively
Note that, as in all the City’s Public Works contracts, the contract itself provides the Director of Public Works authority to issue change orders of up to 10% of the original contract amount.
When the Council approves the contract, it approves this authority. Ten percent is generally considered within the normal range of changed conditions on a Public Works construction project and, by providing change order authority upfront, Council helps to reduce the possibility of delay damages that could be incurred when a contractor must stop work and wait for authorization to proceed.
PUBLIC NOTIFICATION
Not applicable.
ENVIRONMENTAL IMPACT REVIEW
Not applicable.
ATTORNEY REVIEW
The Attorney for the City has reviewed and approved the contract.
City Hall Rooftop Ductwork Replacement
May 19, 2026
ALTERNATIVES
Alternative No. 1: Accept the ABM Building Solutions, LLC proposal and award a construction contract in a total not-to-exceed amount of $169,089 for City Hall Rooftop Ductwork Replacement.
Alternative No. 2: Do not award a construction contract and continue to defer replacement of rooftop ductwork at City Hall.
RECOMMENDATION:
Staff recommends that the City Council approve Alternative No. 1, which is to accept the ABM Building Solutions, LLC proposal and award a construction contract in a total not-to-exceed amount of $169,089 for City Hall Rooftop Ductwork Replacement.
Prepared by: Christine Smith, Senior Management Analyst Reviewed by: Mark Sprague, Field Services Manager
Approved by: Scott Smith, Director of Public Works
Fiscal review by: Ryan Smith, Finance Director / City Treasurer Approved by: Maggie Le, City Manager
Attachment:
1. Contract
CITY OF FOUNTAIN VALLEY
CITY COUNCIL
COUNCIL ACTION REQUEST
To: Honorable Mayor and Agenda Date: May 19, 2026
Members of the City Council
SUBJECT: A Resolution of the City Council of the City of Fountain Valley approving the Fiscal Year 2026-2027 Project List for SB1 Funds in the amount of $1,602,871 for the:
Residential Roadway Rehabilitation Project in City Quadrant B4, bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street ($225,000); Residential Roadway Rehabilitation Project in City Quadrants B5 & B6, bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street, and Ellis Avenue, Newland Street, Talbert Avenue, and Magnolia Street, respectively ($1,377,871 – Forecasted for construction in Fiscal Year 2027-2028)
Three-Year Strategic Goals
Enhance the culture and environment of “A Nice Place to Live” Achieve fiscal stability by evaluating processes, and attract and retain revenue producing businesses/opportunities
Attract and retain quality staff through best practices and trends Maintain, build, and modernize infrastructure to support growth and future needs of the City
Not applicable
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt a Resolution of the City Council of the City of Fountain Valley approving the Fiscal Year 2026-2027 Project List for Senate Bill 1 (SB1) Funds, in the amount of $1,602,871 for the:
Residential Roadway Rehabilitation Project in City Quadrant B4, bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street ($225,000); and Residential Roadway Rehabilitation Project in City Quadrants B5 & B6, bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street, and Ellis Avenue, Newland Street, Talbert Avenue, and Magnolia Street, respectively ($1,377,871 – Forecasted for construction in Fiscal Year 2027-2028)
To be eligible for receipt and use of SB1 funds, agencies must adopt a resolution that identifies each year projects that will utilize SB1 funding. In addition, there are specific and separate annual financial reporting requirements, as well as a continued Maintenance of Effort (MOE)
SB1 Resolution FY 2026-27_Local Streets and Roads Program May 19, 2026
General Fund spending to ensure that these new SB1 revenues supplement and do not supplant existing spending.
DISCUSSION
On April 28, 2017, the Governor signed into law SB1, the Road Repair and Accountability Act of 2017. Administered through the Roadway Maintenance and Rehabilitation Account (RMRA), SB1 provides an additional approximately $5.4 billion annually statewide to improve California’s pavement and transportation infrastructures. Of this appropriation, $1.5 billion is allocated for local streets and roads maintenance, repair, and safety improvements. The major focus of the funding is for pavement rehabilitation to improve the condition of roadways throughout the State. The major revenue-generating sources for this new funding are increases in gasoline and diesel fuel taxes, varying increases in vehicle registration fees, and the initiation of two new vehicle fees for owners of zero emissions vehicle(s).
Pavement Condition Index (PCI) is a metric that is common to all agencies throughout the State and is used to provide a measure of the condition of the pavement of each roadway and roadways’ cumulative measure for each agency. It is based upon a scale of 0-100 with 100 representing a brand new or recently rehabilitated street.
To receive SB1 funds, agencies must meet the eligible project expenditures commensurate with their PCI, as well as some additional financial commitment and reporting requirements, including:
Transparency – The City will be required to submit a list of projects annually to the California Transportation Commission (CTC) via the City’s Capital Improvement Program (CIP).
Complete Streets – To the extent beneficial, cost-effective, practicable, and where feasible, projects should incorporate complete street elements that improve the quality of bicycle and pedestrian facilities and that improve safety for all users of transportation facilities.
Maintenance of Effort (MOE) – The City cannot use this funding to supplant historical funding from its General Fund and must maintain the average General Fund expenditures for transportation-related projects.
The eligible projects include roadway rehabilitation, safety projects, complete street components (such as bike lanes and pedestrian facilities), and traffic control devices. For agencies whose pavement condition index (PCI) has a weighted PCI of less than 80 (on a scale of 0 to 100), the eligible projects are restricted to those listed above. For agencies whose PCI is greater than 80, the eligible list of projects includes not only those listed above, but can also include additional project categories such as roadway capacity improvement projects.
Roadway capacity improvement projects are designed to increase the maximum throughput of roads and intersections and aim to reduce traffic congestion and improve travel time reliability (e.g., adding new lanes and implementing intelligent traffic systems that optimize existing pavement capacity). Based on the City’s current and approved 2026 Pavement Management Plan (PMP) Report, the overall PCI for Fountain Valley has a weighted PCI of 83.5. The overall PCI for residential pavement has a weighted PCI of 84.4, and the PCI for the arterial pavement system has a weighted PCI of 82.4. These strong PCIs provide additional transportation investment opportunities, and as such, staff recommends that the funds generated by SB1
SB1 Resolution FY 2026-27_Local Streets and Roads Program May 19, 2026
continue to be focused on the City’s residential and arterial highway rehabilitation and resurfacing projects. The City currently has a backlog of over $9.5 million of paving projects and will receive approximately $1 million per year over the life of SB1.
Potential Uses
The City has made significant investments in the City’s pavement network over the past two (2) decades. In turn, the current and approved 2026 PMP Report shows a weighted PCI of
83.5, where 97.0% of the City’s pavement condition network is categorized as either a very good, good, or fair condition. It would be prudent and consistent with City Council direction to continue financial investments into the City’s pavement network to maintain quality roadway conditions for the Fountain Valley community.
Residential Pavement Network – Due to the City’s financial investments in its residential pavement network over the last twenty years, the PCI for the residential pavement network has significantly increased from 63.6 in 2006 to a weighted PCI of 84.4 as identified in the current and approved 2026 PMP Report. The remaining few city quadrants that have not received the new structural asphalt cap are scheduled to be completed within the next few years.
Arterial Pavement Network – The City has also made strong financial investments in its arterial highway pavement network. Because of these investments, the City of Fountain Valley has among the best pavement conditions in the county. From 2016 to 2026, the PCI of the arterial network increased from 81.8 to 82.4. Previously, the City was able to benefit from an influx of Federal funds about every six (6) to seven (7) years. This provided a boost to the arterial paving condition. Without additional funding, the City’s Local Fair Share funds from Measure M are not adequate to keep pace with the arterial pavement network needs. Several arterial sections of pavement are showing signs of distress as they are nearing the end of the useful life of their previous pavement treatment; therefore, additional SB1 funding is proposed to be dedicated to improving the City’s arterial pavement PCI.
Staff recommends that the City Council adopt a Resolution approving the Fiscal Year 2026- 2027 Project List for SB1 Funds, in the amount of $1,602,871 for the:
Residential Roadway Rehabilitation Project in City Quadrant B4, bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street ($225,000); and Residential Roadway Rehabilitation Project in City Quadrants B5 & B6, bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street and Ellis Avenue, Newland Street, Talbert Avenue, and Magnolia Street, respectively ($1,377,871 – Forecasted for construction in Fiscal Year 2027-2028)
The City of Fountain Valley recently received a Surface Transportation Block Grant (STBG) for one of two projects identified for funding under SB1 Funds in Fiscal Year 2026-2027. The project, originally identified to be funded by SB1 Funds in Fiscal Year 2026-2027, the Talbert Avenue (East City Limit to Ward Street) Roadway Rehabilitation, is now being funded by STBG. As such, City staff will apply the Fiscal Year 2026-2027 SB1 funding allocation, that is now being replaced with STBG funding, towards the Residential Roadway Rehabilitation Project City Quadrants B5 & B6 in Fiscal Year 2027-2028. Any projects that will utilize Fiscal Year 2026-2027 SB1 Funds, even for forecasted projects such as the aforementioned B5 &
SB1 Resolution FY 2026-27_Local Streets and Roads Program May 19, 2026
B6 residential roadway rehabilitation projects, must be included in the Fiscal Year 2026-2027 SB1 Resolution that is brought forth for City Council adoption.
FISCAL REVIEW
Funding projections, which will vary due to changes in fuel consumption rates as well as the average cost of vehicles (including electric vehicles), are only available for three fiscal years.
Each year, City staff identifies and prioritizes the streets to maximize the PCI. City staff identified the Residential Roadway Rehabilitation Project in City Quadrant B4 and the Residential Roadway Rehabilitation Project in City Quadrants B5 & B6 as projects that will be constructed using Fiscal Year 2026-2027 SB1 funds. The latter residential project is a forecasted project, whereby construction is anticipated for Fiscal Year 2027-2028, and that will utilize Fiscal Year 2026-2027 SB1 funds.
Below is a summary of SB1 funding and SB1 funded projects:
Fiscal Year Approximate
Funding
Amount
Projects
2017-2018 $332,290 First Year of SB 1/Partial Year
2018-2019 $1,043,810 Euclid Street (Slater Avenue to Warner Avenue); and Residential Road Rehabilitation
2019-2020 $981,206 Residential Streets City Quad H3, J1, and J2 2020-2021* $1,069,977 Residential Streets City Quad D7, E1, and F1 2021-2022 * $1,107,246 Euclid Street (Edinger Avenue to Warner Avenue) 2022-2023 * $1,260,842 Heil Avenue (Euclid Street to Harbor Boulevard) and Ward Street (Edinger Avenue to Northern City
Limits); and
Residential Roadway Rehabilitation Project in City
Quadrant D3
2023-2024 * $1,413,157 Warner Avenue (Brookhurst Street to Bushard Street) and Ellis Avenue (Brookhurst Street to Bushard
Street)
2024-2025 * $1,462,013 Residential Roadway Rehabilitation Project in City Quadrant C3; and
Talbert Avenue (Brookhurst Street to Bushard Street)
& Euclid Street (Slater Avenue to Talbert Avenue) **
2025-2026 * $1,498,803 Newhope Street (Edinger Avenue to Heil Avenue), Ward Street (Apache River Avenue to Ellis Avenue),
Ellis Avenue (Brookhurst Street to Ward Street), &
Slater Avenue (Starfish Avenue to Ward Street) **
2026-2027 *
(Proposed)
$1,602,871 Residential Roadway Rehabilitation Project in City Quadrant B4; and
Residential Roadway Rehabilitation Project in
City Quadrants B5 & B6 ***
* City-Council Adopted Fiscal Year List of Projects via Resolution ** City staff reprogrammed construction of Talbert Avenue (Brookhurst Street to Bushard Street) & Euclid Street (Slater Avenue to Talbert Avenue) from FY2024-2025 to FY2025-2026, and then to FY2026-2027. City staff also reprogrammed construction of Newhope Street (Edinger Avenue to Heil Avenue), Ward Street (Apache River Avenue to Ellis Avenue), Ellis Avenue (Brookhurst Street to Ward Street), & Slater Avenue (Starfish Avenue to Ward Street) from FY2025-2026 to FY2026-2027. *** Project included in FY2026-2027 SB1 Resolution and forecasted for construction in FY2027-2028.
SB1 Resolution FY 2026-27_Local Streets and Roads Program May 19, 2026
It should be noted that the City cannot use SB1 funding to supplant historical funding from its “General Fund” and must maintain the average expenditures for transportation-related projects.
PUBLIC NOTIFICATION
Not applicable.
ENVIRONMENTAL IMPACT REVIEW
Not applicable.
ATTORNEY REVIEW
The Attorney for the City has reviewed and approved the Resolution Adopting a List of Projects for Fiscal Year 2026-2027 Funded by SB1: The Road Repair and Accountability Act of 2017.
ALTERNATIVES
Alternative No. 1: Adopt a resolution approving the Fiscal Year 2026-2027 Project List for SB1 funds in the amount of $1,602,871 for the:
o Residential Roadway Rehabilitation Project in City Quadrant B4, bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street ($225,000); and
o Residential Roadway Rehabilitation Project in City Quadrants B5 & B6, bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street and Ellis Avenue, Newland Street, Talbert Avenue, and Magnolia Street, respectively ($1,377,871 – Forecasted for construction in Fiscal Year 2027-2028)
Alternative No. 2: Adopt a resolution approving the Fiscal Year 2026-2027 Project List for SB1 funds in the estimated amount of $1,602,871 toward a different project type.
This is not recommended. Applying these funds to projects within the other eligible categories does not address the ongoing pavement rehabilitation needs going forward. It is important to continue the City’s long-term commitment to funding roadway maintenance to ensure that the City maintains high-quality infrastructure consistent with the City’s Pavement Management Plan.
RECOMMENDATION:
Staff recommends that the City Council approve Alternative No.1, which is to adopt a resolution approving the Fiscal Year 2026-2027 Project List for SB1 funds in the amount of $1,602,871 for the:
Residential Roadway Rehabilitation Project in City Quadrant B4, bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street ($225,000); and Residential Roadway Rehabilitation Project in City Quadrants B5 & B6, bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street and Ellis Avenue,
SB1 Resolution FY 2026-27_Local Streets and Roads Program May 19, 2026
Newland Street, Talbert Avenue, and Magnolia Street, respectively ($1,377,871 – Forecasted for construction in Fiscal Year 2027-2028)
Support by: Terri Phan, Management Aide
Recommended by: Kyle Knoke, P.E., Senior Civil Engineer Reviewed by: Temo Galvez, P.E., Deputy Public Works Director / City Engineer Approved by: Scott Smith, P.E., Director of Public Works Fiscal Review by: Ryan Smith, Finance Director / City Treasurer Approved by: Maggie Le, City Manager
Attachment 1: Fiscal Year 2026-2027 SB1 Resolution
Attachment #1
RESOLUTION NO._______
RESOLUTION ADOPTING A LIST OF PROJECTS FOR FISCAL YEAR 2026-2027 FUNDED BY
SB 1: THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017
WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017) was passed by the Legislature and signed into law by the Governor in April 2017 to address the significant multi-modal transportation funding shortfalls statewide; and
WHEREAS, SB 1 includes accountability and transparency provisions that are intended to ensure the residents of our City of Fountain Valley are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and WHEREAS, the City of Fountain Valley must adopt by resolution a list of projects proposed to receive fiscal year funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, which must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement; and
WHEREAS, the City of Fountain Valley, will receive an estimated $1,602,871 in RMRA funding in Fiscal Year 2026-2027 from SB 1; and
WHEREAS, this is the tenth year the City of Fountain Valley has received SB 1 funding which has enabled the City of Fountain Valley essential road maintenance and rehabilitation projects, safety improvements, repairing and replacing aging bridges, and increased access and mobility options for the traveling public that would not have otherwise been possible without SB 1; and
WHEREAS, the City of Fountain Valley conducted a robust public process to gather public input into our community’s transportation priorities and the resulting project list; and WHEREAS, the City of Fountain Valley used a Pavement Management System to develop the SB 1 project list to ensure revenues are being used on the highest priority, most cost-effective projects, that also meet the community’s priorities for transportation investment; and
WHEREAS, the funding from SB 1 will help the City of Fountain Valley maintain and rehabilitate Talbert Avenue (Brookhurst Street to Bushard Street) and Euclid Street (Slater Avenue to Talbert Avenue); Newhope Street (Edinger Avenue to Heil Avenue), Ward Street (Apache River Avenue to Ellis Avenue), Ellis Avenue (Brookhurst Street to Ward Street), and Slater Avenue (Starfish Avenue to Ward Street); City Quadrant B4; and City Quadrants B5 & B6
Attachment #1
throughout the City of Fountain Valley this year, and will help fund similar projects into the future; and
WHEREAS, the 2023 California Statewide Local Streets and Roads Needs Assessment found that the City of Fountain Valley’s streets and roads are in good condition, and this revenue will help us increase the overall quality of the City’s street and road system to an excellent condition over the next decade; and
WHEREAS, maintaining and preserving the local street and road system in good condition will reduce drive times and traffic congestion, improve bicycle safety, and make the pedestrian experience safer and more appealing, thereby reducing vehicle emissions, and supporting the State achieve its air quality and greenhouse gas emissions reduction goals; and WHEREAS, restoring roads before they fail also reduces construction time, which results in less air pollution from equipment, and less water pollution from site run-off; and WHEREAS, the SB 1 project list, and overall investment in the City’s local streets and roads infrastructure, with its focus on basic maintenance and safety, complete streets infrastructure, and cutting-edge technology, materials and practices, will have significant positive co-benefits statewide. SB 1 funds provide the much-needed resources to maintain valuable roadway infrastructure that contributes to the quality of life for the residents and visitors of the City of Fountain Valley.
NOW, THEREFORE, IT IS HEREBY RESOLVED, ORDERED AND FOUND by the City Council of the City of Fountain Valley, State of California, as follows:
1. The foregoing recitals are true and correct.
2. The following list of newly proposed projects will be funded in-part or solely with Fiscal Year 2026-2027 Road Maintenance and Rehabilitation Account revenues:
Project Title: Residential Roadway Rehabilitation Project, City Quadrant B4 Project Description: The scope of work consists of a combination of methods depending on the pavement conditions to either slurry seal or mill and overlay of asphalt concrete. Deteriorated cross gutters, curb and gutter will be replaced. Lifted sidewalk panels will be replaced to provide ADA pathway for pedestrians. In addition, this project will provide 30 ADA compliant curb ramps.
Project Location: City Quadrant B4, which is bounded by Slater Avenue, Newland Street, Warner Avenue, and Magnolia Street
Estimated Project Schedule: Start (07/2026) Completion (09/2026) – Estimated Project Useful Life: 10-15 years
Project Title: Residential Roadway Rehabilitation Project, City Quadrants B5 and B6
Attachment #1
Project Description: The scope of work consists of a combination of methods depending on the pavement conditions to either slurry seal or mill and overlay of asphalt concrete. Deteriorated cross gutter, curb and gutter will be replaced. Lifted sidewalk panels will be replaced to provide ADA pathway for pedestrians. In addition, this project will provide approximately 62 (in B5) and 68 (in B6) ADA compliant curb ramps.
Project Location: City Quadrant B5, which is bounded by Talbert Avenue, Newland Street, Slater Avenue, and Magnolia Street; and City Quadrant B6, which is bounded by Ellis Avenue, Newland Street, Talbert Avenue, and Magnolia Street Estimated Project Schedule: Start (07/2027) Completion (09/2027) – Estimated Project Useful Life: 10-15 years
3. The following previously proposed and adopted projects may also utilize Fiscal Year 2026-2027 Road Maintenance and Rehabilitation Account revenues in their delivery.
With the relisting of these projects in the adopted fiscal year resolution, the City of Fountain Valley is reaffirming to the public and the State our intent to fund these projects with Road Maintenance and Rehabilitation Account revenues:
Project Title: Rehabilitation and Resurfacing of Talbert Avenue from Brookhurst Street to Bushard Street & Euclid Street from Slater Avenue to Talbert Avenue Project Description: The scope of work for the project includes the removal and reconstruction of deteriorated sections of roadway and placement of rubber asphalt concrete overlay. The project will also include concrete improvements. These improvements will provide for a better ride quality and service life while also providing for ADA compliant pathways for pedestrians.
Project Location: Talbert Avenue from Brookhurst Street to Bushard Street & Euclid Street from Slater Avenue to Talbert Avenue
Estimated Project Schedule: Start Completion (10/2026) (0 8/2026)– Estimated Project Useful Life: 10-15 years
Project Title: Rehabilitation and Resurfacing of Newhope Street (Edinger Avenue to Heil Avenue), Ward Street (Apache River Avenue to Ellis Avenue), Ellis Avenue (Brookhurst Street to Ward Street), and Slater Avenue (Starfish Avenue to Ward Street) Project Description: The scope of work for the project includes the removal and reconstruction of deteriorated sections of roadway and placement of rubber asphalt concrete overlay. The project will also include concrete improvements. These improvements will provide for a better ride quality and service life while also providing for ADA compliant pathways for pedestrians.
Project Location: Newhope Street (Edinger Avenue to Heil Avenue), Ward Street (Apache River Avenue to Ellis Avenue), Ellis Avenue (Brookhurst Street to Ward Street), and Slater Avenue (Starfish Avenue to Ward Street)
Estimated Project Schedule: Start (09/2026) Completion (11/2026) – Estimated Project Useful Life: 10-15 years
Attachment #1
PASSED AND ADOPTED by the City Council of the City of Fountain Valley, State of California this 19th day of May, 2026, by the following vote:
Ayes:
Nays:
Absent:
Abstain:
ATTEST: _________________________
_________________________ Rick Miller, City Clerk Jim Cunneen, Mayor APPROVED AS TO FORM:
HARPER & BURNS LLP
_________________________ Attorneys for the City