To:
CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
Honorable Mayor and Council Members
FROM: Jacki Scott, Public Works Director/City Engineer
February 17, 2026 DATE:
SUBJECT: Approval of Amendment No.1 to the Professional Services Agreement with GHD, Inc., for the South Forbes Road/Oso Creek Trail Active Transportation Enhancements Project, CC24-12
RECOMMENDATION
Staff recommends the City Council:
1. Approve Amendment No.1 to the Professional Services Agreement with GHD, Inc. (GHD), for the South Forbes Road/Oso Creek Trail Active Transportat ion Enhancements Project, CC24-12, with a base fee of $66,311;
2. Approve a not-to-exceed 15% contingency to the base fee for Amendment No. 1 in the amount of $9,947 for unforeseen conditions or extra work, and authorize the Public Works Director/City Engineer to approve additional work, for a total not-to exceed Amendment No. 1 amount of $76,258, if needed; and,
3. Authorize the City Manager to execute Amendment No. 1 to the Professional Services Agreement with GHD, Inc., subject to the City Attorney making non substantive changes.
BACKGROUND
On July 3, 2024, the City received grant funding under the federal Surface Transportation Block Grant Program (STBGP) to design and construct active transportation improvements on South Forbes Road, from the end of cul-de-sac to the southern City boundary as shown on the Location Map (Attachment "A"). The grant-funded project, known as the South Forbes Road I Oso Creek Trail Active Transportation Enhancements Project, is located within the City's Gateway Specific Plan area (Gateway Area). The City has been implementing the Gateway Specific Plan since its adoption in 2011 to transform the Gateway Area into a vibrant area.
The Project is comprised of three sections: 380 feet of sidewalk gap closure along the easterly side of South Forbes Road; 3,100 feet extension of the Oso Creek off-street (Class I) paved trail to the southern City boundary at Camino Capistrano; and intersection
improvements at the South Forbes Road cul-de-sac, including a pedestrian crossing.
Subsequent to the award of grant funding for the Project, the City engaged in discussions with the Orange County Flood Control District (OCFCD) to memorialize a License Agreement that is mutually beneficial for both parties. This agreement which was executed on March 17, 2025 authorized the City to utilize the existing Oso Creek Flood Control Right-of-Way for public access and to extend the Oso Creek Trail south to the City limits. As a result of this Project, the County will benefit from these trail improvements providing improved maintenance access to their facilities. The License Agreement identifies desired trail widening improvements for the County and the City.
Once the License Agreement was approved and design was allowed to begin, several site constraints were discovered around the Paseo de Colinas bridge footing area, which required an alternatives analysis to determine the most-cost effective project design to maintain OCFCD access and serve the public access. Unforeseen site constraints included, aging infrastructure , bridge footing locations, retaining wall locations and unknown soil conditions that present limits to meet the requirements in the License Agreement. To complete the alternatives analysis , the City requires additional geotechnical investigation , surveying, and engineering to investigate the most cost effective design to meet City and County needs. The alternatives will be presented to the OCFCD for consideration and integrated into the final design under the existing License Agreement.
ANALYSIS
On March 24, 2025, the City entered into a Professional Services Agreement with GHD, Inc., to perform the Project Approval and Environmental Document (PA&ED) phase of the Project design. To facilitate the alternatives analysis and to comply with the federal grant requirements , an Amendment is required to the agreement with GHD (Attachment B).
Approval of Amendment No. 1 to the Professional Services Agreement with GHD, Inc., is necessary to further the Project objectives. GHD has provided the City with a proposal of costs for the additional alternatives analysis. The fee for this additional work is $66,311 to which a 15% contingency of $9,947 is recommended , bringing the total not-to-exceed amount for the Amendment No. 1 services to $76,258.
ALTERNATIVES CONSIDERED
The City Council may decide not to approve Amendment No. 1 to the Professional Services Agreement with GHD, Inc. This alternative is not recommended because the City requires OCFCD approval in order to construct the South Forbes Road/ Oso Creek Trail Active Transportation Enhancements Project.
FISCAL REVIEW
The adopted Fiscal Years 2025-27 Public Works' operating budget includes sufficient funds to perform the additional alternatives analysis.
Page3
LEGAL REVIEW
The City Attorney's Office has reviewed the Amendment and has approved the document as to form .
CONCLUSION
Staff recommends the City Council :
1. Approve Amendment No.1 to the Professional Services Agreement with GHD, Inc., for the South Forbes Road/Oso Creek Trail Active Transportation Enhancements Project , CC24-12, with a base fee of $66,311 ;
2. Approve a not-to-exceed 15% contingency to the base fee for Amendment No. 1 in the amount of $9,947 for unforeseen conditions or extra work , and authorize the Public Works Director/City Engineer to approve additional work, for a total not-to exceed Amendment No. 1 amount of $76,258, if needed; and,
3. Authorize the City Manager to execute Amendment No. 1 to the Professional Services Agreement with GHD, Inc., subject to the City Attorney making non substantive changes .
~ to~ e~
City Manager
~~~ Harrin Martin
Senior Civil Engineer
Attachments :
A. Location Map
cott
lie Works Director/City Engineer
B. Amendment No. 1 to Professional Services Agreement with GHD, Inc.
ATTACHMENT A
Location Map
Oso Creek Trail
Location Map
South Forbes Road / Oso Creek Trail Active Transportation Improvements PAED and PSE Laguna Niguel
ATTACHMENT B
Amendment No. 1 to Professional Services Agreement
with GHD, Inc.
AMENDMENT NO. 1 TO AGREEMENT
FOR PROFESSIONAL SERVICES
BETWEEN CITY OF LAGUNA NIGUEL AND
GHD INC.
THIS AMENDMENT NO. 1 TO AGRE EMENT FOR PROFESSIONAL SERVICES ("Amendment ") is made and entered into ________ by and between CITY OF LAGUNA NIGUEL , a California municipal corporation ("City ") and GHD INC., a California Corporation ("Consultant "). City and Consultant may be referred to individually as "Party" or coUectively as "Parties. "
RECITALS
l . City and Consultant entered into a professional services agreement on March 24, 2025 to provide engineering design services for the South Forbes Road / Oso Creek Trail Active Transportation Enhancements Project - Project Approval and Environmental Documentation (PA&ED) Phase ("Agreement "). The initial term of the Agreement terminates upon completion of the services.
2. City and Consultant now desire to amend the Agreement to add services to the Scope of Services and value to the Contract Sum.
TERMS
1. Agreement Changes. The Agreement is amended as follows:
A. Section 2.1, "Contract Sum," shall be amended to read in its entirety (new text is identified in bold italics , deleted text in strike through) as follows:
"Subject to any limitations set forth in this Agreement , City agrees to pay Consultant the amounts specified in the "Schedule of Compensation " attached hereto as Exhibit C and incorporated herein by this reference. The total compensation (excluding the Contingency Sum), including reimbursement for actual expenses , shall not exceed Three Hundred Forty-Seven Thousand Nine Hundred Seventy-SixTv, 'o Hllndred Eighty One Thousand 8iJ( Hundred 8iJ(t)' Five Dollars ($347,976281 ,665) ("Compensation Sum"), unless additional compensation is approved pursuant to Section 1.5. This Agreement includes a contingency amount equal to Thirty-Eight Thousand One Hundred Fourteen Dollars ($38,114) l O percent of the Compensation 8um ("Contingency Sum") to account solely for additional work, or unforeseen conditions , related to the services. The total compensation (including the Contingency Sum), including reimbursement for actual expenses , shall not exceed Three Hundred Eighty-Six Thousand Ninety DollarsThrne Hundred Nine Thousand Eight Hundred Thirty Two Dollars ($386,090309 ,832) ("Contract Sum") , unless additional compensation is approved pursuant to Section 1.5. The Consultant shall obtain written approval from the City for any use of the Contingency Sum. Compensation may include reimbursement , for actual and necessary expenditures , if both specified in the Schedule of Compensation , as well as approved by City in advance. Upon expiration of original term of the Agreement , if term is extended (pursuant to Section 3 .2 or otherwise) , fees and rates may only be increased both pursuant to Section 9.4 as well as subsequent to negotiation between the Parties on such increase shall be no greater than the CPI increase (Orange County area) for the applicable period of time. City has no obligation or duty to provide any such increase. The Contract Sum shall include the attendance of Consultant at all project meetings reasonably deemed necessary by City.
Consultant agrees that if Consultant becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services, Consultant shall promptly notify the City Representative of said fact, circumstance, teclmique or event and the estimated increased or decreased cost related thereto." B. Exhibit A, "Scope of Services ," is amended in its entirety (new text is identified in bold italics , deleted text in strike through) as follows :
"I. All work product is subject to review and acceptance by City, and must be revised by Consultant without additional charge to City until found satisfactory and accepted by City.
II. Consultant will perform services , described in Consultant's Proposal , Consultant's Amendment 1 Proposal and City 's RFP (refer to Section 1.2 for conflicts). " C. Exhibit C, "Schedule of Compensation ," is amended in its entirety (new text is identified in bold italics , deleted text in strike through) as follows:
" I. City will compensate Consultant for the services performed upon submission of a valid invoice, as described in Section 2.2.
II. The total compensation for the services shall not exceed the total of the Contract Sum, as provided in Section 2.1 of this Agreement.
III. Consultant will be compensated for services provided pursuant to this Agreement in accordance with description in Consultant's Proposal and Consultant's Amendment 1 Proposal. "
D. Exhibit D, "Schedule of Perfonnance ," is amended in its entirety (new text is identified in bold italics , deleted text in strike through) as follows:
"I. Consultant shall perform all services and deliver all work products timely in accordance with the schedule described in Consultant's Proposal, Consultant's Amendment 1 Proposal and City ' s RFP (refer to Section 1.2 for conflicts). "
2. Continuing Effect of the Agreement. Except as amended by this Amendment No. 1, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment , whenever the tenn "Agreement" appears in the Agreement, it shall mean the Agreement, as amended by this Amendment No. 1.
3. Affirmation of the Agreement. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each Party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation.
4. Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the perfonnance of the obligations they have undertaken pursuant to this Amendment.
5. Authority. The persons executing this Amendment on behalf of the Parties hereto warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment on behalf of said Party, (iii) by so executing this Amendment , such Party is fonnally bound to the provisions of this Amendment , and (iv) entering into this Amendment does not violate any provision of any other agreement to which said Party is bound. [SIGNATURES ON FOLLOWING PAGE]
IN WITNESS WHEREOF , the Parties hereto have executed this Amendment on the date and year first-above written.
ATTEST:
Marissa J. Asistin, City Clerk
APPROVED AS TO FORM BY THE
CITY ATTORNEY FOR THE
CITY OF LAGUNA NIGUEL,
CALIFORNIA:
Scott C. Smith, City Attorney
CITY:
CITY OF LAGUNA NIGUEL, a California
municipal corporation
Tamara S. Letourneau, City Manager
CONSUL TANT:
GHD INC., a California Corporation
By:--------------
Name:
Title:
By: ______________ _
Name:
Title:
Address: ------------
Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairperson of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. (Cal. Corp. Code § 313.) APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE
BYLAWS , ARTICLES OF INCORPORATION , OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULT ANT'S BUSINESS ENTITY.