ITEM 4. 20
CITY MANAGER' S REPORT
AUGUST 10, 2026 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
GCJ, INC. FOR SANGALANG PARK WASTEWATER LIFT
STATION ACCESS MODIFICATIONS, CIP WW 24- 14
RECOMMENDATION: Adopt Resolution to Accept Public Improvements Constructed by GCJ, Inc. (GCJ) for Sangalang Park
Wastewater Lift Station Access Modifications, CIP
WW 24- 14, and Authorize the Filing of a Notice of
Completion, Release of Contract Retention, and
Release of Performance and Payment Bonds
SUMMARY:
GCJ, Inc. ( GCJ), has completed construction of Sangalang Park Wastewater Lift Station Access Modifications, Capital Improvement Project ( CIP) WW 24- 14 (Project).
City staff have inspected the work, and the City Engineer has determined that the improvements have been completed in accordance with the approved plans and specifications. GCJ has submitted lien releases confirming that all subcontractors and suppliers have been paid in full. A one- year warranty bond equal to 10% of the construction contract amount been provided for the improvements being accepted.
Staff request that City Council accept the public improvements completed by GCJ for the Project. Staff also request that Council authorize the filing of the Notice of Completion with the San Joaquin County Clerk, release of contract retention totaling 3, 258 to GCJ within forty-ive (45) days after the Notice of Completion is recorded and the release of performance and payment bonds associated with the Project.
Following acceptance, staff request that any unused project funds be returned to the CTF- MBR (Fund 6080).
BACKGROUND:
On September 17, 2025, the City Manager approved a construction contract with GCJ for $ 60, 810, approved a 15% construction contingency of $ 9, 122 for construction of the Project and authorized staff to spend up to the amount of the contingency as necessary to achieve the goals of the Project. The Project consisted of enlarging the vehicle gate portal and replacement of the overhead door with a set of double doors.
CITY MANAGER' SREPORT PAGE 2
AUGUST 10, 2026 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY GC), INC. FOR
SANGALANG PARK WASTEWATER LIFT STATION ACCESS MODIFICATIONS, CIP WW 24- 14
REASON FOR RECOMMENDATION:
GCJ has completed the Project pursuant to the contract documents dated September 17, 2025. Staff has inspected the improvements, and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
GCJ 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 subcontractors 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' s acceptance of the improvements.
FISCAL IMPACT:
The awarded contract was for $ 60, 810, with an authorized 15% construction contingency of $ 9, 122, for a total construction budget of $ 69, 932. During construction, two ( 2) change orders totaling $ 4, 339 were issued, resulting in a final contract cost of $ 65, 149. Sufficient funds were allocated to CIP WW 24- 14 in the adopted Fiscal Year 2026-7 budget to fund all expenses and close out the Project.
Following acceptance, staff request that any unused project funds be returned to the Wastewater Capital Replacement Fund ( 6060).
ATTACHMENTS:
A. Resolution to Accept Public Improvements Constructed by GCJ, Inc. for Sangalang Park Wastewater Lift Station Access Modifications, Capital Improvement Project ( CIP) WW 24- 14, and Authorize the Filing of a Notice of Completion, Release of Contract Retention, and Release of Performance and Payment Bonds
B. Notice of Completion - Sangalang Park Wastewater Lift Station Access Modifications, Capital Improvement Project ( CIP) WW 24- 14 Finance Director
CITY MANAGER' S REPORT PAGE 3
AUGUST 10, 2026 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY GC), INC. FOR
SANGALANG PARK WASTEWATER LIFT STATION ACCESS MODIFICATIONS, CIP WW 24- 14
APPROVALS:
26 7 , z 9 { z6
Steven Hollenbeak Date
Assistant Engineer
Fog
Brad Taylor Date
Public Works Director / City Engineer
1. 3c'. 2oz(,,
7/• 41ZOZ(4
Date
113- o/Z(t*
Thomas Hedegard Date
Deputy City Manager
30. 2. ozc.
Michael King Date
Assistant City Manager
S• 14 -2G,
Salvador Navarrete Date
City Attorney
Stephen J. Salvatore Date
City Manager
RESOLUTION NO. 26 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP TO ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY GCJ, INC. FOR SANGALANG PARK WASTEWATER LIFT STATION ACCESS MODIFICATIONS, CIP WW 24- 14 AND
AUTHORIZE THE FILING OF A NOTICE OF COMPLETION, THE RELEASE OF
CONTRACT RETENTION, AND THE RELEASE OF PERFORMANCE AND PAYMENT BONDS
WHEREAS, on September 17, 2025, the City Manager approved a contract with GCJ, Inc. (GCJ) for construction of Sangalang Park Wastewater Lift Station Access Modifications, Capital Improvement Project ( CIP) WW 24- 14 (Project) in the amount of $ 60, 810, approved a 15% construction contingency of $ 9, 122 and authorized staff to spend up to the amount of the contingency as necessary to achieve the goals of the Project; and
WHEREAS, the scope of work included enlarging the vehicle gate portal and replacement of the overhead door with a set of double doors; and WHEREAS, City staff have 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, GCJ has submitted lien releases confirming that all subcontractors and suppliers have been paid in full, and a one- year warranty bond equal to 10% of the construction contract amount for the improvements being accepted; and WHEREAS, staff request that City Council accept the public improvements constructed by GCJ for the Project; and
WHEREAS, staff also request that City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to GCJ in the amount of $3, 258 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. 101612705) will be released and replaced with a one- year warranty bond in the amount of $ 6, 515 ( Bond No. 101612705); 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, during construction, two ( 2) change orders for $ 4, 339 were issued, bringing the final contract cost to $ 65, 149; and WHEREAS, following acceptance, staff request that any unused project funds be transferred back to the Wastewater Capital Replacement Fund ( 6060).
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby accept the public improvements constructed by GCJ, Inc. (GCJ) for Sangalang Park Wastewater Lift Station Access Modifications, CIP WW 24- 14; and BE IT FURTHER RESOLVED, that City Council authorizes the filing of the Notice of Completion with the San Joaquin County Clerk, release of contract retention to GCJ in the amount of $ 3, 258 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 authorizes the return of unused project funds into the Wastewater Capital Replacement Fund ( 6060).
The foregoing resolution was passed and adopted this 10th day of August 2026, 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
EXHIBIT
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 10th day of August 2026 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: Norgo Engineering, Inc.
6. That the name and address of the transferor is:
NAME STREET AND NO. CITY STATE
GCJ, Inc. 3508 Shamrock Way Tracy, CA 95377
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:
Sangalang Park Wastewater Lift Station Access Modifications, CIP WW 24- 14 That the undersigned has knowledge of the contents herein and states under penalty of perjury that the foregoing is true and correct.
CITY OF LATHROP
By:
Stephen J. Salvatore, City Manager Date
By:
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 August 10, 2026 by GCJ, Inc to the City of Lathrop, 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 resolution of the City Council adopted on August 10, 2026, and the grantee consents to recordation thereof by its duly authorized officer.
Dated By
Stephen J. Salvatore, City Manager