ITEM 4. 15
CITY MANAGER' SREPORT
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
DSS COMPANY DBA KNIFE RIVER CONSTRUCTION
FOR CONSTRUCTION OF BULBOUTS ON 5TH STREET,
CIP PS 25- 16
RECOMMENDATION: Adopt Resolution to Accept Public Improvements Constructed by DSS Company dba Knife River
Construction for Bulbouts on 5th Street, CIP PS 25-
16, and Authorize the Filing of a Notice of
Completion, Release of Contract Retention, and
Release of Performance and Payment Bonds
SUMMARY:
DSS Company, doing business as Knife River Construction ( Knife River), has completed construction of Capital Improvement Project ( CIP) PS 25- 16 - Bulbouts on 5t" Street (Project). The scope of work included the construction of raised concrete bulbouts on 5th Street near the intersection with Louise Avenue, the application of Type II microsurfacing, and the installation of Class II bike lanes from Louise Avenue to Mingo Way.
City staff has inspected the work, and the City Engineer has determined that the improvements have been completed in accordance with the approved plans and specifications. Knife River has submitted lien releases confirming that all subcontractors and suppliers have been paid in full. In addition, a one- year warranty bond, equal to 10% of the construction contract amount, has been provided to ensure the continued integrity of the improvements.
Staff requests that the City Council accept the improvements completed by Knife River for the Project. Staff also requests that Council authorize the following actions:
Filing of the Notice of Completion with the San Joaquin County Clerk; and Release of contract retention in the amount of $ 6, 358 to Knife River, to occur within forty-ive (45) days after the Notice of Completion is recorded; and Release of the performance and payment bonds associated with the Project.
BACKGROUND:
On January 13, 2025, the City Council established CIP PS 25- 16 and approved a construction contract with Knife River for the implementation of the Project. The scope of work included the construction of 8 -inch raised concrete bulbouts on both sides of 5th Street, the application of Type II microsurfacing, and the installation of green pavement striping for Class II bike lanes from Louise Avenue to Mingo Way.
CITY MANAGER' S REPORT PAGE 2
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY DSS COMPANY DBA KNIFE RIVER CONSTRUCTION FOR CONSTRUCTION OF BULBOUTS ON 5T" STREET, CIP PS 25- 16
Knife River has completed construction of the Project. City staff conducted a final inspection, and the City Engineer has determined that all improvements were completed in accordance with the approved plans and specifications.
The construction costs referenced below capture all expenditures.
A. Construction Contract Amount
B. Approved Change Order 1
Total Construction Cost
117, 815
9, 332
127,47
Staff requests City Council accept the public improvements constructed by Knife River for the Project. Staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to Knife River in the amount of $ 6, 358 within forty-ive (45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
REASON FOR RECOMMENDATION:
Upon City Council' sacceptance of the improvements, the performance and payment bonds ( Bond No. 190- 056- 272/ 108078559) will be released and replaced with a oneyear warranty bond in the amount of $ 12, 715 (Bond No. 190- 056- 272/ 108078559).
The warranty bond ensures coverage for any necessary repairs or replacements due to defective materials or workmanship discovered within one year from the date of acceptance.
FISCAL IMPACT:
The original construction contract was approved in the amount of $ 117, 815. During construction, a change order in the amount of $ 9, 332 was issued, resulting in a final construction cost of $ 127,47. Sufficient funds were allocated for this Project within the approved Fiscal Year 2025-6 budget for CIP PS 25- 16 to fully cover all expenses and close out the Project. Upon completion, staff requests that any unused project funds be transferred back to the General Fund Street Repair Reserves ( Fund 1010).
ATTACHMENTS:
A. Resolution to Accept Public Improvements Constructed by DSS Company dba Knife River Construction for Bulbouts on 5th Street, CIP PS 25- 16, and Authorize the Filing of a Notice of Completion, Release of Contract Retention, and Release of Performance and Payment Bonds
B. Notice of Completion - Bulbouts on 5th Street, CIP PS 25- 16 CITY MANAGER' SREPORT PAGE 3
OCTOBER 13, 2025 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY DSS COMPANY DBA KNIFE RIVER CONSTRUCTION FOR CONSTRUCTION OF BULBOUTS ON 5TH STREET, CIP PS 25- 16
APPROVALS:
Associate Engineer
Bra aylor
City Engineer
Cari Ja
Finance irector
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Date
Date
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Date
Michael King Date
Assistant City Manager
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Salvador Navarrete Date
City Attorney
Co - 2.
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 DSS COMPANY DBA KNIFE RIVER CONSTRUCTION FOR CONSTRUCTION OF BULBOUTS ON 5TH STREET, CIP PS 25- 16, AND AUTHORIZE THE FILING OF A NOTICE OF COMPLETION,
THE RELEASE OF CONTRACT RETENTION, AND THE RELEASE OF
PERFORMANCE AND PAYMENT BONDS
WHEREAS, DSS Company, doing business as Knife River Construction ( Knife River), has completed construction of Capital Improvement Project ( CIP) PS 25- 16 - Bulbouts on 5' h Street ( Project); and
WHEREAS, the scope of work included the construction of raised concrete bulbouts on 5th Street near the intersection with Louise Avenue, the application of Type II microsurfacing, and the installation of Class II bike lanes from Louise Avenue to Mingo Way; and
WHEREAS, City staff has inspected the work, and the City Engineer has determined that the improvements have been completed in accordance with the approved plans and specifications; and
WHEREAS, Knife River has submitted lien releases confirming that all subcontractors and suppliers have been paid in full. In addition, a one- year warranty bond, equal to 10% of the construction contract amount, has been provided to ensure the continued integrity of the improvements; and
WHEREAS, staff request City Council accept the public improvements constructed by Knife River for the Project; and
WHEREAS, staff also request City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to Knife River in the amount of $ 6, 358 within forty-ive (45) days after the recording of the Notice of Completion, and the release of performance and payment bonds; and WHEREAS, upon City Council' s
acceptance of the improvements, the
performance and payment bonds ( Bond No. 190- 056- 272/ 108078559) will be released and replaced with a one- year warranty bond in the amount of $ 12, 715 (Bond No. 190- 056- 272/ 108078559); and
WHEREAS, the warranty bond ensures coverage for any necessary repairs or replacements due to defective materials or workmanship discovered within one year from the date of acceptance; and
WHEREAS, the original construction contract was approved in the amount of 117, 815. During construction, a change order in the amount of $9, 332 was issued, resulting in a final construction cost of $ 127,47; and WHEREAS, sufficient funds were allocated for this Project within the approved Fiscal Year 2025-6 budget for CIP PS 25- 16 to fully cover all expenses and close out the Project. Upon completion, staff requests that any unused project funds be transferred back to the General Fund Street Repair Reserves ( Fund 1010).
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby accept the public improvements constructed by DSS Company dba Knife River Construction for Bulbouts on 5th Street, CIP PS 25- 16; 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, release of contract retention to Knife River in the amount of $ 6, 358 within forty-ive 45) days after the recording of the Notice of Completion, and release of performance and payment bonds; and
BE IT FURTHER RESOLVED, that City Council also authorizes the return of unused project funds into the General Fund Street Repair Reserves ( 1010).
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:
Paul Akinjo, Mayor
ATTEST: APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney
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' S USE
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: DSS Company dba Knife River Construction.
6. That the name and address of the transferor is:
NAME STREET AND NO.
DSS Company dba 655 W. Clay Street
Knife River Construction
CITY STATE
Stockton 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:
CIP PS 25- 16 Bulbouts on 5th Street
That the undersigned has knowledge of the 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 DSS Company dba Knife River Construction to the City ofLathrop, a political corporation and/ or governmental agency, is hereby accepted by the undersigned officer or agent on behalf of the 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