To:
CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
Honorable Mayor and Council Members
FROM: Kevin X. O'Connor, Acting Public Works Director
August 18, 2026 DATE:
SUBJECT: Award of Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc. for Construction Management and Inspection Services for the Annual Residential Overlay Program Fiscal Year 2025-26
RECOMMENDATION
Staff recommends that the City Council:
1. Award Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc. to provide construction management and inspection services for the Annual Residential Overlay Program Fiscal Year 2025-26 for a not-to exceed amount of $95, 146;
2. Approve a not-to-exceed 15% contingency in the amount of $14,272 for unforeseen conditions or extra work, and authorize the Public Works Director to approve additional work, for a total not-to-exceed amount of $109,418, if needed; and,
3. Authorize the City Manager to execute Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc., subject to the City Attorney making non-substantive changes.
BACKGROUND
On August 4, 2026, the City Council approved plans and specifications for the Annual Residential Overlay Program Fiscal Year 2025-26, Cash Contract 25-07, and awarded the construction contract to JB Bostick, LLC. The Annual Residential Overlay Program places a new layer of asphalt on the existing roadway, with or without removal and reconstruction of the existing pavement section, and is used on streets with more advanced deterioration. The streets included in this project are Richmond Hill, Copps Hill Street, Alcott Place, and Middleton Place (Attachment A).
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The project includes pavement grinding and removal, an asphalt overlay, and concrete improvements to curbs and gutters. It also includes adjusting surface utilities to the final pavement grade and installing roadway markings, striping, and signage.
The City now seeks professional services to facilitate the construction management and inspection for this project. Completion of the Annual Residential Overlay Program Fiscal Year 2025-26 supports City Council Goal 4 (Infrastructure and Technology) of the City's adopted Strategic Plan.
ANALYSIS
The City requested proposals from firms on its On-Call List for construction management and inspection services for the Annual Residential Overlay Program Fiscal Year 2025-
26. In response to the request, the City received proposals from two qualified consultants.
The proposals were evaluated and ranked on the following six categories: understanding of the scope of work, experience with similar work, qualifications of staff, demonstrated technical ability, financial accounting, and schedule control.
Pursuant to Laguna Niguel Municipal Code Section 3-6-8, professional services contracts shall be awarded on the basis of the demonstrated competence of the service providers, and on the service provider's professional qualifications necessary for the satisfactory performance of the services required, and on the fairness and reasonableness of the cost of the services to the City and shall not be awarded solely on the basis of cost.
The following table displays the consulting firms and the evaluation ranking for all of the proposals received.
Psomas
After a thorough evaluation, it was determined that Ardurra Group, Inc., is the most qualified firm to lead this effort. Their expertise and experience with similar roadway rehabilitation projects within Orange County and large-scale capital improvement projects make them the best equipped consultant to provide these services. The City also received positive reference checks for Ardurra Group, lnc.'s past project performance. Staff negotiated a fee with Ardurra Group, Inc. to obtain the best overall value for the requested services.
Staff recommends that the City Council approve Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc. in the amount of $95,146 for the Annual Residential Overlay Program Fiscal Year 2025-26 (Attachment "B"). Staff is also recommending that the City Council approve a 15% contingency for any unforeseen circumstances or extra work, in the amount of $14,272, for a total not-to-exceed contract amount of $109,418. The project is expected to begin in late Summer 2026 with completion estimated by the end of Fall 2026.
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ALTERNATIVES CONSIDERED
The City Council may decide not to approve Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc. and instead request new proposals from firms on the City's On-Call List. Staff believes that requesting new proposals will not result in more desirable proposals. Additionally, this may create delays to the project schedule.
FISCAL REVIEW
The adopted Capital Improvement Program includes sufficient funding in the Annual Residential Overlay Program Fiscal Year 2025-26 to execute Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc.
LEGAL REVIEW
The City Attorney's Office has reviewed this report and Amendment No. 8 to the On-Call Professional Services Agreement and has approved both documents as to form.
CONCLUSION
Staff recommends that the City Council:
1. Award Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc. to provide construction management and inspection services for the Annual Residential Overlay Program Fiscal Year 2025-26 for a not-to exceed amount of $95,146;
2. Approve a not-to-exceed 15% contingency in the amount of $14,272 for unforeseen conditions or extra work, and authorize the Public Works Director to approve additional work, for a total not-to-exceed amount of $109,418, if needed; and,
3. Authorize the City Manager to execute Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc., subject to the City Attorney making non-substantive changes.
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City Manager
Kevin X. O'Connor
Acting Public Works Director
Attachments:
A. Location Map
Scott C. Smith
City Attorney
Hrion Martin
Senior Civil Engineer
B. Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc.
ATTACHMENT A
Location Map
- eopp Hill Street
Annual Residential Overlay Program
Fiscal Year 2025-26
LEGEND
Project Area
N
ATTACHMENT B
Amendment No. 8 to the On-Call Professional Services Agreement with Ardurra Group, Inc.
AMENDMENT NO. 8 TO AGREEMENT
FOR ON-CALL PROFESSIONAL SERVICES
BETWEEN CITY OF LAGUNA NIGUEL AND
ARDURRA GROUP, INC.
FOR
RESIDENTIAL OVERLAY PROGRAM FISCAL YEAR 2025-26,
CASH CONTRACT NO. 25-07
THIS AMENDMENT NO. 8 TO -AGREEMENT FOR ON-CALL PROFESSIONAL SERVICES ("Amendment") is made and entered into ______ by and between CITY OF LAGUNA NIGUEL, a California municipal corporation ("City") and Ardurra Group, Inc., a Florida corporation ("Consultant"). City and Consultant may be referred to individually as "Party" or collectively as "Parties."
RECITALS
1. City and Consultant entered into an on-call professional services agreement on July 1, 2023 to provide on-call professional services ("Agreement"). The initial term of the Agreement terminates on June 30, 2026. Amendment 5 exercises the first option year extending the term of the Agreement to June 30, 2027.
2. City and Consultant have entered into amendment(s) to the Agreement as detailed in "Prior Amendments to Agreement" attached hereto as Exhibit E-8.
3. City has requested construction management and inspection services for the Residential Overlay Program Fiscal Year 2025-26, Cash Contract No. 25-07 ("Project") from the Consultant pursuant to the terms of the Agreement.
4. Consultant submitted a written project proposal for the above requested services ("Project Proposal") pursuant to the terms of the Agreement.
5. Consultant has the qualifications and experience to render the requested services.
6. City and Consultant now desire to enter into Amendment No. 8 to the Agreement for the performance by Consultant of the requested services for the Project.
AGREEMENT
In consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:
1. Project Term. This Amendment No. 8 shall become effective as of the date stated above and, unless earlier terminated in accordance with Article 7 of the Agreement, shall continue in full force and effect until June 30, 2027, or completion of services, whichever is first. -1-
2. Consultant Project Proposal. The Project Proposal from Consultant, dated July 24, 2026, for this Amendment No. 8 to the Agreement, shall be incorporated herein by this reference as though fully set forth herein. The Scope of Services shall include the scope of services or work included in the Project Proposal. In the event of any inconsistency or any conflict between the terms of the Project Proposal, and the Agreement or this Amendment No. 8, the terms of the Agreement or this Amendment No. 8, respectively, shall govern. No other terms and conditions from the Project Proposal, other than description of scope of services or work, shall apply to this Amendment No. 8 or the Agreement, unless specifically agreed to by City in writing.
3. Project Scope of Services. In compliance with all terms and conditions of the Agreement and this Amendment No. 8, Consultant shall provide those services specified in the "Scope of Services" attached hereto as Exhibit A-8 and incorporated herein by this reference, which may be referred to herein as the "services" or "work" hereunder.
4. Project Special Requirements. Additional terms and conditions of this Amendment No. 8, if any, which are made a part hereof are set forth in the "Special Requirements" attached hereto as Exhibit B-8 and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit B-8, and any other provisions of this Amendment No. 8 or the Agreement, the provision~ of Exhibit B-8 shall govern.
5. Project Compensation and Contract Sum. Subject to any limitations set forth in the Agreement and this Amendment No. 8, City agrees to pay Consultant the amounts specified in the "Schedule of Compensation" attached hereto as Exhibit C-8 and incorporated herein by this reference. The total compensation ( excluding the Contingency Sum), including reimbursement for actual expenses, shall not exceed Ninety-Five Thousand One Hundred Forty-Six Dollars ($95,146) ("Compensation Sum"), unless additional compensation is approved pursuant to Section 1.5 (Additional Services and Compensation). This Agreement includes a contingency amount equal to Fourteen Thousand Two Hundred Seventy-Two Dollars ($14,272) ("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 One Hundred Nine Thousand Four Hundred Eighteen Dollars ($109,418) ("Contract Sum"), unless additional compensation is approved pursuant to Section 1.5 of the Agreement (Additional Services and Compensation) .. 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 either the Schedule of Compensation (Exhibit C-8 to this Amendment No. 8) or the Schedule of On-Call Compensation (Exhibit C to the Agreement), as well as approved by City in advance. 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, technique or event and the estimated increased or decreased cost related thereto.
6. Project Schedule of Performance. Consultant shall commence services pursuant to this Amendment No. 8 upon receipt of a written notice to proceed pursuant to Exhibit A-8 and shall perform all services within the time period(s) established in the "Schedule of Performance" -2-
attached hereto as Exhibit D-8 and incorporated herein by this reference ( and as applicable the "Schedule of Performance" attached as Exhibit D to the Agreement).
7. Prior Amendments to Agreement. Prior amendments to the Agreement, if any, are itemized in "Prior Amendments to Agreement," attached hereto as Exhibit E-8 and incorporated herein by this reference.
8. Consultant Representative for Proiect. The Consultant Representative for the work or services under this Amendment No. 8 is Lisa Penna, Regional Director, 949-922-2800, . [email protected], who is authorized to act on Consultant's behalf with respect to the work or services specified herein and to make all decisions in connection therewith. It is expressly understood that the experience, knowledge, capability and reputation of the representative was a substantial inducement for City to enter into this Amendment No. 8 to the Agreement. Therefore, the representative shall be responsible during the term of this Amendment No. 8 for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder.
For purposes of this Amendment No. 8, the representative may not be replaced nor may their responsibilities be substantially reduced by Consultant without the express written approval of City.
9. Continuing Effect of the Agreement. Except as amended by this Amendment No. 8, and Amendment Nos. 1 through 7, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 8, whenever the term "Agreement" appears in the Agreement, it shall mean the Agreement, as amended by this Amendment No. 8, and Amendment Nos. 1 through 7.
10. 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.
11. Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 8.
12. Authority. The persons executing this Amendment No. 8 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 No. 8 on behalf of said Party, (iii) by so executing this Amendment No. 8, such Party is formally bound to the provisions of this Amendment No. 8, and (iv) entering into this Amendment No. 8 does not violate any provision of any other agreement to which said Party is bound.
[SIGNATURES ON FOLLOWING PAGE]
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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
CONSULTANT:
Ardurra Group, Inc., a Florida 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 Treas,urer. (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 CONSULTANT'S BUSINESS ENTITY.
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EXHIBIT A-8
SCOPE OF SERVICES
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 the Project Proposal.
A-8(1)
EXHIBIT B-8
SPECIAL REQUIREMENTS
(Superseding Amendment Template)
NOT APPLICABLE
B-8(1)
EXHIBIT C-8
SCHEDULE OF COMPENSATION
I. City will compensate Consultant for the services performed upon submission of a valid invoice, as described in Section 2.2 of the Agreement.
II. The total compensation for the services provided pursuant to this Amendment No. 8 shall not exceed the total of the Contract Sum, as provided in Section 5 of this Amendment No. 8.
III. Consultant will be compensated for services provided pursuant to this Amendment No. 8 pursuant to the fees and rates in Exhibit C of the Agreement and in accordance with description in the Project Proposal.
C-8(1)
EXHIBITD-8
SCHEDULE OF PERFORMANCE
I. Consultant shall perform all services and deliver all work products timely in accordance with the schedule described in the Project Proposal, and/or as mutually agreed upon between City and Contractor (refer to Section 2 of this Amendment No. 8 (Consultant Project Proposal) for conflicts).
D-8(1)
EXHIBIT E-8
PRIOR AMENDMENTS TO AGREEMENT
1. Amendment No. 1 to Agreement, executed on July 1, 2023, provides As-Needed Multiyear Project and Program Management services from Consultant to City for a not-to-exceed Aggregate Contract Sum of $330,000.
2. Amendment No. 2 to Agreement, executed on July 1, 2023, provides As-Needed Multiyear Construction Management and Inspection services from Consultant to City for a not-to-exceed Aggregate Contract Sum of $330,000.
3. Amendment No. 3 to Agreement, executed on October 11, 2023, provides Civil Engineering Design services for the Golden Lantern Median Modifications at Serenity Lane Capital Improvement Project from Consultant to City for a not-to-exceed Contract Sum of $60,302.
4. Amendment No. 4 to Agreement modified Amendment No. 1, executed on February 20, 2024, to provide additional As-Needed Multiyear Project and Program Management services from Consultant to City for a not-to-exceed Aggregate Contract Sum of $870,000.
5. Amendment No. 5 to Agreement, executed on June 24, 2026, exercises Option Year 1 of the Agreement, extending the term to June 30, 2027, and updates Exhibit C, "Schedule of On-Call Compensation" fees and rates applicable to the Agreement.
6. Amendment No. 6 to Agreement modified Amendment No. 2, executed on June 24, 2026, exercises Option Year 1 for as-needed Construction Management & Inspection services, extending the term to June 30, 2027.
7. Amendment No. 7 to Agreement modified Amendment No. 4, executed on June 24, 2026, exercises Option Year 1 for as-needed Project & Program Management services, extending the term to June 30, 2027.
E-8(1)