STAFF REPORT
15 Meeting Date:
August 12, 2025
SUBJECT: AWARD OF CONSTRUCTION CONTRACT FOR SEWER MANHOLE
ADJUSTMENTS ON SOUTH COAST HIGHWAY
RECOMMENDATION: It is recommended that the City Council:
1. Award and authorize the City Manager to execute a contract with EBS UTILITIES ADJUSTING, INC, in the amount of $92,790 for the Sewer Manhole Adjustments on South Coast Highway project;
2. Authorize the City Manager to approve project-related expenses and construction change orders for unforeseen circumstances in an amount not to exceed $10,000; and
3. Find the project categorically exempt from the California Environmental Quality Act pursuant to Section 15301 (Existing Facilities) of the CEQA Guidelines.
Appropriation: $0 Fund: N/A
Submitted By: Mark McAvoy Approved:
Mark McAvoy, Director of Public
Works & Utilities
Dave Kiff, City Manager
SUMMARY OF THE MATTER
This report recommends that the City Council award a construction contract to EBS Utilities Adjusting Inc. in the amount of $92,790 for the Sewer Manhole Adjustments on South Coast Highway, from Ruby Street to Country Club Drive. The project will raise several sewer manholes to grade in coordination with a Caltrans paving project along South Coast Highway.
The project is funded by the City’s Sewer Fund and is included in the Adopted Budget. The project supports the City’s infrastructure improvement goals by ensuring sewer facilities remain functional and accessible after Caltrans completes resurfacing. The project has been reviewed under the California Environmental Quality Act (CEQA) and is categorically exempt under Section 15301 (Existing Facilities).
DISCUSSION
In coordination with the Caltrans 12-0P690 SR-1 (South Coast Highway) ADA South Project (Ruby Street to 7th Avenue), the City is required to adjust the City’s sewer manholes for the paving operation phase of the project. The City previously budgeted for this work, as well as other betterments along the corridor, and the remaining budget for the Caltrans Sidewalk project betterments is $321,131. The locations for the sewer manhole adjustments on South Coast Highway are as shown in Attachment 1. The project scope of work includes manhole adjustments, both before and after the construction of paving operations. Construction
AWARD OF CONSTRUCTION CONTRACT FOR SEWER MANHOLE ADJUSTMENTS ON
SOUTH COAST HIGHWAY
August 12, 2025
bids for the project have been received, and contract awards for construction and inspection are being recommended.
Staff completed a public bid process for the project in accordance with California Public Contract Code requirements. On July 31, 2025, two (2) bids were received. The following is a summary of the bids sorted by bid amount:
Table of Bid Results
Bidder Total Bid Amount
1. EBS UTILITIES ADJUSTING INC. $92,790
2. Gentry General Engineering, Inc. $138,240
Following a review of the bids, staff determined that the lowest bidder, EBS UTILITIES ADJUSTING INC., is qualified, properly licensed, and responsive. EBS UTILITIES ADJUSTING INC., has performed projects for other cities in the past with excellent responses to reference checks. Therefore, staff recommends that the contract be awarded to EBS UTILITIES ADJUSTING INC.in the amount of $92,790.
It is also recommended that funding be provided to cover change orders due to unforeseen conditions. These costs are not to exceed $10,000; therefore, it is also recommended that the City Manager be authorized to approve change orders for unforeseen circumstances in the amount not-to-exceed $10,000. Construction is anticipated to begin in September 2025 and be completed by December 2025.
FINANCIAL ANALYSIS
The total project cost is estimated at $102,790, which includes the construction contract amount of $92,790 and a contingency of $10,000 to address unforeseen conditions. There is sufficient funding available in the project budget. No additional appropriation is required.
ENVIRONMENTAL ANALYSIS
The project is categorically exempt under the California Environmental Quality Act (CEQA) Section 15301(c), for repairs and maintenance to existing facilities. The environmental impacts of the overall Caltrans ADA South Improvements Project, including the adjustment of the sewer manholes, were previously addressed when the Planning Commission approved Design Review 21-8883 and Coastal Development Permit 21-8884 on May 5, 2021.
ATTACHMENTS
1. Project Location Map (Pg. 3)
2. Professional Services Agreement for EBS UTILITIES ADJUSTING INC. (Pgs. 4-8) Report Prepared By: Coordinated With:
Joshua Mcdonald, Associate Civil Engineer Frank Lopez, Assistant City Engineer