STAFF REPORT TO THE CITY COUNCIL
DATE: Regular Meeting of October 14, 2025
TO: Mayor and Members of the City Council
VIA: Dante Hall, City Manager
SUBMITTED BY: Glenn Dombeck, Public Works Director
SUBJECT: Authorize an Amendment to the Professional Services Agreement with SNG & Associates, Inc. to provide Construction Management, Inspection, and Quality Assurance Testing Services for the Falcon Way Pavement Rehabilitation Project RECOMMENDED ACTION:
Adopt a Resolution authorizing the City Manager to execute an amendment to the City’s December 3, 2024 Professional Services Agreement with SNG & Associates, Inc. (SNG) to provide Construction Management, Inspection and Quality Assurance Testing Services for the Falcon Way Pavement Rehabilitation Project, including Wren Court and Finch Court Additions to the Scope of the Project, Increasing the Cost by $109,169 to a Total Cost of $168,289.
BACKGROUND:
SNG prepared the design for the Falcon Way Pavement Rehabilitation Project. During the 95 percent design review, at the request of the City, SNG incorporated the design of a cape seal application (an asphalt-rubber chip seal layer followed by a slurry seal surface coat) for two road segments peripheral to Falcon Way that were identified as being in poor (Wren Court) and very poor (Finch Court) condition in the 2022 pavement condition assessment. These road segment rehabilitations were included in the construction documents as alternate bid items to allow the City the option to include them in the work as budget allows. The $11,242 cost for this late design addition is included in this contract amendment.
On September 2, 2025, the City received bids for the Falcon Way Pavement Rehabilitation Project, which includes asphalt pavement grinding, asphalt pavement removal, asphalt overlay placement, cape seal application, utility and monument cover adjustments, pavement striping, and traffic sign installation on Falcon Way, between Wren Court and Refugio Valley Road, and the two alternate bid items for provision of cape seal on Wren Court and Finch Court.
The City anticipates a continued need for SNG’s services to support management of the construction for this project. This includes the following construction management functions:
Serve as the primary liaison between the City, contractor, and utility agencies.
Conduct pre-construction conference and coordination meetings.
Review the contractor's baseline schedule and monthly updates.
Track project budget, schedule, and scope compliance.
Monitor and document construction progress.
Maintain project documentation (RFIs, submittals, daily reports, change orders, etc.) Support the City during progress payment reviews and closeout.
Assist with punch list preparation and verification.
Coordinate final inspection and prepare project completion report.
Provide electronic and hard-copy documentation archive to the city.
SNG’s services also include the provision of inspection services during the major construction activities. The purpose and objectives of inspection services are to:
Verify compliance with approved plans, specifications, and City standards.
Coordinate and monitor materials testing and special inspections.
Track quantities and oversee traffic control, SWPPP, and safety compliance.
Document daily activities, labor, equipment, and issues encountered.
SNG will provide quality assurance and laboratory testing services through their subconsultant, Pavement Engineering, Inc. (PEI). PEI will provide laboratory testing and quality assurance for hot mix asphalt, aggregate base, fiberized slurry seal and concrete testing.
ANALYSIS:
To ensure uninterrupted support throughout construction of the Falcon Way Pavement Rehabilitation Project, staff requested a proposal from SNG for construction management services inclusive of all inspection and testing. The contract amendment also includes the addition of cape seal application on Wren and Finch Courts to the design. SNG’s scope of work includes:
Construction Management
Inspection Services
Post-Construction Closeout
Quality Assurance and Laboratory Testing (PEI Subconsultant) Wren Court and Finch Court Cape Seal Application addition to design The professional services will be provided on an as-needed basis under a time-and-expense agreement, not to exceed $109,169.00. SNG’s team consists of experienced engineers ensuring high-quality technical oversight and construction management support.
FISCAL IMPACT:
The proposed budget for the Falcon Way Pavement Rehabilitation Project is as follows:
Funding Sources:
General Fund/Capital Reserves $920,505
SB1 RMRA $400,000
Solid Waste Fund $250,000
Total Revenue $1,570,505
Expenditures accounts:
Construction Contract $ 770,982.96
10% Contingency $ 77,098.30
Engineering Services During Construction (SNG) $109,169.00 Total Expenditures $957,250.26
This project was included in the 2025 Capital Improvement Program along with other Facilities and Parks improvements. In anticipation of the associated cost, funding has been allocated from the General Fund/Capital Reserves, SB1 RMRA funds, and Solid Waste funds. As a result of this prudent financial planning, there is sufficient funding available to manage the expenses associated with this contract, as outlined in the adopted FY 25-26 Budget.
ATTACHMENTS:
Attachment 1 - Resolution
Attachment 2 - Amendment No. 1 to the December 3, 2024 Professional Services Agreement with SNG & Associates, Inc.
Accounting Information
(Finance Department Use Only)
Description: Falcon Way Pavement Rehabilitation Project (Project #63074) SNG contract amendment of not-to-exceed amount of $109,169 Funding Source: SB1 RMRA
Expense Account #268-5432-642.05-20
Budget Recap:
Total Estimated cost: $109,169 New Revenue: N/A
Amount Budgeted: $1,570,505 Lost Revenue: N/A
New funding required: N/A New Personnel: N/A
Council Policy Change: Yes No