ITEM 4. 13
CITY MANAGER' SREPORT
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
ARROW DRILLERS INC. FOR CONSTRUCTION OF
GOLDEN VALLEY PARKWAY AND SADLER OAK DRIVE
FIBER OPTIC EXTENSION, CIP GG 22- 03
RECOMMENDATION: Adopt Resolution to Accept Public Improvements Constructed by Arrow Drillers, Inc. for Golden Valley
Parkway and Sadler Oak Drive Fiber Optic Extension,
CIP GG 22- 03 and Authorize the Filing of a Notice of
Completion and Release of Performance and
Payment Bonds
SUMMARY:
Arrow Drillers Inc. (Arrow Drillers) has completed construction of Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22- 03 (Project). Staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
Arrow Drillers has submitted lien releases confirming all subcontractors and suppliers have been paid in full and provided a one- year warranty bond ( based on 10% of the construction contract) for the improvements to be accepted.
Staff request City Council accept the completed improvements constructed by Arrow Drillers for the Project. Staff also request City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk and the release of performance and payment bonds.
BACKGROUND:
On March 10, 2025, City Council awarded a construction contract to Arrow Drillers for the construction of the Project in the amount of $ 123, 800 and approved a 20% construction contingency of $24, 760 and authorized staff to spend up to this amount to achieve the goals of the Project. The Project scope included the procurement and installation of new fiber optic pull boxes along Golden Valley Parkway extending from Towne Centre Drive to Sadler Oak Drive including directional boring and conduit installation from Mossdale pump station ( M3) across Golden Valley Pkwy to the median and across Brookhurst Blvd. This work will help integrate this area to the City network.
Contract change orders totaling $ 24, 625 were issued during the construction of the project; therefore, the final contract price of the Project is $ 148, 425. Upon acceptance of the improvements, the performance bond and payment bond ( Each identified as Bond No. 9470828, $123, 800) will be released and replaced with a one- CITY MANAGER' S REPORT PAGE 2
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY ARROW DRILLERS, INC.
FOR GOLDEN VALLEY PARKWAY AND SADLER OAK DRIVE FIBER OPTIC EXTENSION, CIP GG 22- 03
year warranty bond ( Bond No. 9470828, $14, 856) upon City Council' s acceptance of the improvements. The one- year warranty bond covers any repairs or replacements that may become necessary during the one- year period beginning with this acceptance due to any defective materials or workmanship in connection with the completed improvements. Arrow Drillers has also provided the necessary lien releases for the materials supplied and completed work.
Staff request City Council accept the improvements constructed by Arrow Drillers for the Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22-
03. Staff also request City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, and the release of performance and payment bonds.
REASON FOR RECOMMENDATION:
Arrow Drillers has completed the Project pursuant to the contract documents dated March 10, 2025. Staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
Arrow Drillers has submitted a one- year warranty bond for the improvements to be accepted ( based on 10% of the construction contract) and lien releases confirming all sub -contractors and suppliers have been paid in full. The warranty bond covers any repairs or replacements that become necessary during the one- year period, beginning with this acceptance, due to defective materials or workmanship in connection with the completed improvements.
The performance bond and payment bond will be released and replaced with the oneyear warranty bond upon City Council' sacceptance of the improvements.
FISCAL IMPACT:
The final construction contract amount with Arrow Drillers for the Project is $ 148, 425.
Adequate funds have been allocated to close out the Project. With the completion of the Project, staff request that unused funds be transferred back to the original funding source, Measure C Fund ( 1060).
CITY MANAGER' S REPORT PAGE 3
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY ARROW DRILLERS, INC.
FOR GOLDEN VALLEY PARKWAY AND SADLER OAK DRIVE FIBER OPTIC EXTENSION, CIP GG 22- 03
ATTACHMENTS:
A. Resolution to Accept Public Improvements Constructed by Arrow Drillers Inc. for the Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22- 03 and Authorize the Filing of a Notice of Completion, Release of Performance and Payment Bonds
B. Notice of Completion - Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22- 03
CITY MANAGER' SREPORT PAGE 4
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY ARROW DRILLERS, INC.
FOR GOLDEN VALLEY PARKWAY AND SADLER OAK DRIVE FIBER OPTIC EXTENSION, CIP GG 22- 03
APPROVALS:
Carlos
Management
Carrillo
Analyst
Date
D/ 4/ ao. t—
ernandes
Director of Information Systems
Brad yCaylor
City Engineer
6 7 - 0°x- 0 -
Date
Date
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Cari James Date
Finance Director
FarMic l:el King
Ass stant City Manager
S
6/ 6frag Date
Ie. 'B • Z5
Salvador Navar' ete Date
City Attorney
Stephen J. Salvatore Date
City Manager
RESOLUTION NO. 25-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP TO ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY ARROW DRILLERS, INC. FOR
GOLDEN VALLEY PARKWAY AND SADLER OAK DRIVE FIBER OPTIC
EXTENSION, CIP GG 22- 03 AND AUTHORIZE THE FILING OF A NOTICE OF
COMPLETION, AND RELEASE OF PERFORMANCE AND PAYMENT BONDS WHEREAS, on March 10, 2025, City Council awarded a construction contract to Arrow Drillers, Inc. (Arrow) for the construction of ( Project) in the amount of 123, 800 and approved a 20% construction contingency of $ 24, 760 and authorized staff to spend up to this amount to achieve the goals of the Project; and WHEREAS, the Project scope included the procurement and installation of new fiber optic cable pull boxes along Golden Valley Parkway extending from Towne Centre Drive to Sadler Oak Drive including directional boring and conduit installation from Mossdale Pump Station ( M3) across Golden Valley Pkwy to the median and across Brookhurst Blvd; and
WHEREAS, staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer; and
WHEREAS, contract change orders totaling $ 24, 625 were issued during the construction of the project; therefore, the final contract price of the Project is 148, 425; and
WHEREAS, Arrow Drillers has submitted lien releases confirming all subcontractors and suppliers have been paid in full and provided a one- year warranty bond ( based on 10% of the construction contract) for the improvements to be accepted; and
WHEREAS, the performance bond and payment bond ( Each identified as Bond No. 9470828, $ 123, 800) will be released and replaced with a one- year warranty bond Bond No. 9470828, $ 14, 856) upon City Council' s
acceptance of the improvements;
and
WHEREAS, the one- year warranty bond covers any repairs or replacements that may become necessary during the one- year period beginning with this acceptance due to any defective materials or workmanship in connection with the completed improvements; and
WHEREAS, adequate funds have been allocated in the budget to close out the Project. With the completion of the Project, staff request that unused funds be transferred back to the original funding source, Measure C Fund ( 1060); and WHEREAS, staff request City Council accept the public improvements constructed by Arrow for The Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22- 03; and
WHEREAS, staff also request City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, and the release of performance and payment bonds.
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby accept the completed public improvements constructed by Arrow for Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension, CIP GG 22- 03 pursuant to the contract documents dated March 10, 2025; and BE IT FURTHER RESOLVED, that the City Council of the City of Lathrop authorizes the filing of the Notice of Completion with the San Joaquin County Clerk and authorizes the release of the performance and payment bonds; and BE IT FURTHER RESOLVED, that the City Council of the City of Lathrop approves the transfer of unused funds back to the original funding source.
The foregoing resolution was passed and adopted this 13th day of October 2025 by the following vote of the City Council, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Teresa Vargas, City Clerk
Paul Akinjo, Mayor
APPROVED AS TO FORM:
5-
Salvador Navarrete, City Attorney
Attachment
RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:
CITY OF LATHROP
ATTN: CITY CLERK
390 TOWNE CENTRE DRIVE
LATHROP, CA 95330
Exempt from payment ofrecording fees ( GC 11922)
SPACE ABOVE THIS LINE FOR RECORDER' SUSE
NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN:
1. That the interest or estate stated in paragraph 3 herein in the real property herein described is owned by:
NAME STREET AND NO. CITY STATE
City of Lathrop 390 Towne Centre Drive Lathrop CA 95330 If more than one owner of the interest stated, the name and address of each must be stated)
2. That the full name and address of the owner of said interest or estate, if there is only one owner, and that the full names and addresses of all the co -owners who own said interest or estate as tenants in common, as joint tenants, or otherwise, if there is more than one owner, are set forth in the preceding paragraph.
3. That the nature of the title of stated owner, or if more than one owner, then of the stated owner and co - owners is fee title (e.g. fee title, leasehold, joint tenancy, etc.).
4. That on the 13th day of October 2025 a work of improvement on the real property herein described was completed.
5. That the name of the original contractor, if any, for said work of improvement was: Arrow Drillers, Inc.
6. That the name and address of the transferor is:
NAME STREET AND NO. CITY STATE
Arrow Drillers Inc. 17805 Comconex Rd. Manteca CA
7. That the real property herein referred to is situated in the City of Lathrop County of San Joaquin, State of California, and is described as follows:
Golden Valley Parkway and Sadler Oak Drive Fiber Optic Extension CIP GG 22- 03 That the undersigned has knowledge ofthe contents herein and states under penalty ofperjury that the foregoing is true and correct.
CITY OF LATHROP
By:
By:
Stephen J. Salvatore, City Manager Date
Teresa Vargas, City Clerk Date
CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by the NOTICE OF COMPLETION dated October 13, 2025 by Arrow Drillers, Inc. to the City of Lathrop, a political corporation and/ or governmental agency, is hereby accepted by the undersigned officer or agent on behalfofthe City Council pursuant to authority conferred by minute action of the City Council adopted on October 13, 2025, and the grantee consents to recordation thereof by its duly authorized officer.
Dated By
Stephen J. Salvatore, City Manager
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