Item 223/2025
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Ursula Luna-Reynosa
Dept:
City Manager Dept: Economic Development and
Housing Department
Date: 06/24/2025
Subject: Approval of A ddendum No.1 to the Delegated Maintenance Agreement (DMA) with Caltrans for additional funding of $200,000, and approval of an Amendment to the agreement with The Sayler Group in the amount of $100,000, for debris abatement services under the DMA. (Action Item)
OBJECTIVE
Approval of the Addendum to the Delegated Maintenance Agreement (DMA) between the City and Caltrans in the amount of $200,000 for fiscal years 2025-2026 and 2026-2027; and an Amendment to The Sayler Group’s agreement in the amount of $100,000 for debris abatement under the DMA.
BACKGROUND
The Caltrans Fencing Improvement Project (CFIP), also known as “the Project”, is a collaborative initiative between Caltrans and the City of Garden Grove to address the increase of homeless encampments under Caltrans right -of-ways within the City’s jurisdi ction. In September 2023, the City entered the DMA with Caltrans which obligates the City to provide debris abatement and emergency fencing maintenance and repairs to keep the identified fencing areas under the Cooperative Agreement in a safe and operational condition. Under this DMA, the City receive s an ongoing annual amount of $116,000 to execute the aforementioned scope. The City awarded the contract to The Sayler Group on November 12, 2024 for debris removal, and to Quality Fence on February 11, 2025 for emergency fencing maintenance and repair services.
DISCUSSION
In June 2025, Caltrans notified the City of additiona l funding for the DMA for fiscal years 2025–2026 and 2026–2027. An addendum to the DMA will provide an additional $200,000 for two fiscal years to su pport debris abatement services – increasing the total amount to $216,000 per fiscal year.
Item 223/2025
As fiscal year 2024 –2025 concludes, The Sayler Group has delivered strong performance.
They successfully completed their scope of work on time and within budget, while maintaining consistent communication with the Special R esource Team (SRT) and City staff. With the current contract nearing expiration, the City intends to extend the Sayler Group’s contract by $100,000 for fiscal year 2025–2026, with an option to extend the contract for an additional $100,000 in fiscal year 2026–2027. This extension aligns with the increased funding provided through the DMA addendum.
FINANCIAL IMPACT
There is no net fiscal impact to the City. Caltrans will fully reimbursement $100,000 to perform debris abatement service under the DMA.
RECOMMENDATION
It is recommended that the City Council:
Approve Addendum No. 1 to the Delegated Maintenance Agreement (DMA) in the amount of $200,000; $100,000 for Fiscal Year 2025-2026 and $100,000 for Fiscal Year 2026-2027;
Direct the Finance Director to appropriate $200,000 per Addendum No. 1 to the DMA over two (2) fiscal years; Fiscal Year 2025-2026 and Fiscal Year 2026- 2027;
Approve Amendment No. 1 to the Sayler Group's existing agreement, in the amount of $100,000, for Fiscal Year 2025-2026, with an option to extend the contract for additional years as stated in the existing agreement; and Authorize the City Manager, or designee(s), to execute the agreement, and make minor modifications, on behalf of the City, as appropriate there to.
ATTACHMENT(S)
Addendum No. 1 to DMA
Amendment – The Sayler Group