IMPORTANT NOTICE
This is a hybrid meeting and will be held in-person at the Town Council Chambers at 110 E. Main Street and virtually through Zoom Webinar (log-in information provided below). You may watch the Council meeting without providing public comment on Comcast cable channel 15 or at www.LosGatosCA.gov/TownYouTube. Members of the public may provide public comments for agenda items in-person or virtually by following the instructions listed at the end of the agenda.
To watch and participate via Zoom, please go to:
https://losgatosca-gov.zoom.us/j/86730363468?pwd=pfKQoh92JnbwOYwFvZqIdSSWpjxYoK.1 Enter Passcode: 577971
CALL MEETING TO ORDER
ROLL CALL
PLEDGE OF ALLEGIANCE
PRESENTATIONS
i. Santa Clara County: Impact of Federal Budget Cuts to Residents CONSENT ITEMS (Consent Items are considered routine Town business and may be approved by one motion. Any member of the Council may remove an item from the Consent Items for comment and action. Members of the public may provide input on any or multiple Consent Item(s) when the Mayor asks for public comments on the Consent Items. If you wish to comment, please follow the Participation Instructions located at the end of this agenda. If an item is removed, the Mayor has the sole discretion to determine when the item will be heard.)
1. Approve the Minutes of the September 2, 2025, Town Council Closed Session Meeting.
RECOMMENDATION: Approve the Minutes of the September 2, 2025, Town Council Closed Session Meeting.
2. Approve the Minutes of the September 2, 2025, Town Council Meeting.
RECOMMENDATION: Approve the Minutes of the September 2, 2025, Town Council Meeting.
TOWN OF LOS GATOS
COUNCIL MEETING AGENDA
SEPTEMBER 16, 2025
110 EAST MAIN STREET AND TELECONFERENCE
TOWN COUNCIL CHAMBERS
7:00 PM
Matthew Hudes, Mayor
Rob Moore, Vice Mayor
Mary Badame, Council Member
Rob Rennie, Council Member
Maria Ristow, Council Member
3. Receive the Monthly Financial and Investment Report for July 2025 RECOMMENDATION: Receive the Monthly Financial and Investment Reports for July 2025.
4. Authorize the Town Manager to Execute the First Amendment to the Agreement with the Rotary Club of Los Gatos Regarding their Donation of an “Oak Grove” at Live Oak Manor Park
RECOMMENDATION: Authorize the Town Manager to Execute the First Amendment (Attachment 1) to the agreement with the Rotary Club of Los Gatos regarding their donation of an “Oak Grove” at Live Oak Manor Park.
5. Authorize the Town Manager to Execute an Agreement for Services with DLR Group and Make Associated Budget Adjustments
RECOMMENDATION: Authorize the Town Manager to execute an agreement for services (Attachment 1) with DLR Group in an amount not to exceed $98,100 for an assessment of the Police Operations Building (Legacy CIP No. 821-2404, New Project No. 4118735); and authorize an expenditure budget increase in the amount of $23,100 from the available General Fund Appropriated Reserves.
6. Authorize the Town Manager to Execute a Notice of Completion for the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (Legacy CIP No. 813-9921, New Project No. 4118120) and Authorize Staff to Record the Notice of Completion RECOMMENDATION: Accept the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (Legacy CIP No. 813-9921, New Project No. 4118120) and authorize the Town Manager to execute a Notice of Completion; and direct staff to record the Notice of Completion.
7. Take Actions to Proceed with Executing an Agreement for Construction Services with Casey Construction, Inc. to Complete the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) (Legacy CIP No. 25-816-0420; New Project No. 4618304, 4628305, 4638306)
RECOMMENDATION: Authorize the Town Manager to award and execute a public works contract with Casey Construction, Inc. (Attachment 1) in the amount of $101,052 for the Annual Storm Drain Improvements Project: Vasona Storm Drain Replacement (Phase 1) (Legacy CIP No. 25-816-0420; New Project No. 4618304, 4628305, 4638306); authorize the Town Manager to execute change orders in an amount not to exceed $15,158 which represents fifteen percent (15%) of the contract award amount for a total contract amount not to exceed $116,210; approve the project construction documents per Government Code 830.6 – Design Immunity; and find this project to be Categorically Exempt under Section 15302(c) (replace or reconstruct existing utility systems or facilities) of the California Environmental Quality Act.
8. Authorize the Town Manager to Purchase Replacement Police Department Mobile Data Computers from CDCE Incorporated for an Amount Not to Exceed $130,000.00 RECOMMENDATION: Authorize the Town Manager to purchase replacement Police Department Mobile Data Computers (MDCs) from CDCE Incorporated for an amount not to exceed $130,000.00. The purchase will be made utilizing available budgeted funds through a cooperative purchasing agreement.
9. Authorize the Town Manager or Designee to Enter into a Legal Services Agreement for Fiscal Year (FY) 2025-26 with the law firm of Goldfarb & Lipman for Land Use Counsel in an Amount Not to Exceed $100,000 and Amend the Goldfarb & Lipman Agreement (Term 07/21/2022 to 6/30/ 2025) to add $1,938.73
RECOMMENDATION: Authorize the Town Manager or designee to enter into a Legal Services Agreement for FY 2025-26 with the law firm of Goldfarb & Lipman for land use counsel in an amount not to exceed $100,000, and amend the Goldfarb & Lipman Agreement (Term 07/21/2022 to 6/30/ 2025) to add $1,938.73.
10. Adopt an Ordinance Amending Chapter 14, “Licenses and Miscellaneous Business Regulations,” Article V, “Police Alarms,” of the Town Code to Require Alarm Permits for Residences and Render Residential False Alarms Subject to Penalties Ordinance Title: An Ordinance of the Town Council of the Town of Los Gatos Amending Article V, “Police Alarms,” of Chapter 14, “Licenses and Miscellaneous Business Regulations,” of the Town Code
RECOMMENDATION: Adopt an Ordinance Amending Chapter 14, “Licenses and Miscellaneous Business Regulations,” Article V, “Police Alarms,” of the Town Code to Require Alarm Permits for Residences and Render Residential False Alarms Subject to Penalties.
VERBAL COMMUNICATIONS (Members of the public are welcome to address the Town Council on any matter that is not listed on the agenda and is within the subject matter jurisdiction of the Town Council. The law generally prohibits the Town Council from discussing or taking action on such items. However, the Council may instruct staff accordingly. To ensure all agenda items are heard, this portion of the agenda is limited to 30 minutes. In the event additional speakers were not heard during the initial Verbal Communications portion of the agenda, an additional Verbal Communications will be opened prior to adjournment. Each speaker is limited to no more than three (3) minutes or such time as authorized by the Mayor.) PUBLIC HEARINGS (Applicants/Appellants and their representatives may be allotted up to a total of five minutes for opening statements. Members of the public may be allotted up to three minutes to comment on any public hearing item. Applicants/Appellants and their representatives may be allotted up to a total of three minutes for closing statements.)
11. Consider a Request for Approval to Modify Planned Development Ordinance 1281 to Increase the Maximum Floor Area Ratio (FAR) and Lot Coverage for Property Zoned RM:5-12:PD. Located at 130 Vasona Oaks Drive. APN 424-42-008. Exempt Pursuant to CEQA Guidelines, Section 15061 Review for Exemption (b)(3). Planned Development
Amendment Application PD-25-002. Applicant: Elad Batito, Green Bay Remodeling Inc.
Property Owner: Ken MacDonald. Project Planner: Samina Merchant.
Ordinance Title: An Ordinance of the Town Council of the Town of Los Gatos Repealing and Replacing Planned Development Ordinance 1281 Establishing Development Standards and Allowable Uses for Lots within the Planned Development Overlay Zone Relative to the Maximum Floor Area Ratio and the Maximum Lot Coverage Allowed on Lot 8 in the Vasona Oaks Subdivision at Vasona Oaks Drive.
RECOMMENDATION: Accept the Planning Commission’s recommendation and introduce a new Ordinance repealing and replacing Planned Development Ordinance 1281 to increase the maximum floor area ratio (FAR) and lot coverage for property zoned R-M:5- 12:PD, located at 130 Vasona Oaks Drive.
OTHER BUSINESS (Up to three minutes may be allotted to each speaker on any of the following items.)
12. Authorize the Town Manager to Execute a Fourth Amendment with HdL Companies for Business License Discovery and Compliance Audit Services, Sales and Use Tax Management and Audit Services, and Transient Occupancy Tax (TOT) Audit Services with a Total Contract Not to Exceed of $451,500 plus CPI; and Approve a Resolution Granting a Waiver of Business License Late Fee Penalties for Businesses Undergoing the Business License Discovery and Compliance Audit Process.
RECOMMENDATION: Authorize the Town Manager to execute a Fourth Amendment with HdL Companies for Business License Discovery and Compliance Audit Services, Sales and Use Tax Management and Audit Services, and Transient Occupancy Tax (TOT) Audit Services with a Total Contract Not to Exceed of $451,500 plus CPI; and approve a resolution granting a waiver of Business License late fee penalties for businesses undergoing the Business License Discovery and Compliance Audit process.
13. Wildfire and Emergency Management Initiatives Update and Adopt the Updated Emergency Operations Plan
RECOMMENDATION: Receive an update on emergency preparedness initiatives and adopt a resolution approving the updated Emergency Operations Plan (EOP).
14. Adopt a Resolution to Modify Town Council Policy 1-08: “Transportation Impact Policy” to Update the Project List, Modify Charges for Affordable Housing and Allow for Charges on Accessory Dwelling Units in Excess of 750 Square Feet RECOMMENDATION: Adopt a Resolution (Attachment 1) to Modify Town Council Policy 1- 08: “Transportation Impact Policy” to Update the Project List, Modify Charges for Affordable Housing and Allow for Charges on Accessory Dwelling Units ADUs in Excess of 750 Square Feet.
COUNCIL / MANAGER MATTERS
. Councilmember Request to Discuss E-Bike Safety and Consider Direction Related to Education, Registration, Legislation, and Enforcement.
RECOMMENDATION: Discussion of E-bike safety and consideration to direct a future item being agendized regarding a proposal to enhance e-bike safety.
CLOSED SESSION REPORT
ADJOURNMENT (Council policy is to adjourn no later than midnight unless a majority of Council votes for an extension of time.)
ADA NOTICE - In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the Clerk’s Office at (408) 354-6834.
Notification at least two (2) business days prior to the meeting date will enable the Town to make reasonable arrangements to ensure accessibility to this meeting [28 CFR §35.102-35.104].
NOTE: The ADA access ramp to the Town Council Chambers is currently under construction and will be inaccessible until further notice. Individuals who require the use of that ramp to attend meetings should contact the Clerk’s Office at least two (2) business days in advance to arrange for alternative accommodations.
NOTICE REGARDING SUPPLEMENTAL MATERIALS - Materials related to an item on this agenda submitted to the Town Council after initial distribution of the agenda packets are available for public inspection in the Clerk’s Office at Town Hall, 110 E. Main Street, Los Gatos and on the Town’s website at www.losgatosca.gov. Town Council agendas and related materials can be viewed online at https://losgatos-ca.municodemeetings.com/.
HOW TO PARTICIPATE
Members of the public may provide public comments for agenda items in-person or virtually through the Zoom Webinar by following the instructions listed below.
The public is welcome to provide oral comments in real-time during the meeting in three ways:
Zoom Webinar (Online): To participate from a PC, Mac, iPad, iPhone or Android device.
Please use this URL to join: https://losgatoscagov.zoom.us/j/86730363468?pwd=pfKQoh92JnbwOYwFvZqIdSSWpjxYoK.1 Passcode: 577971. You can also type in 867 3036 3468 in the “Join a Meeting” page on the Zoom website at www.zoom.us and use passcode 577971. When the Mayor announces the item for which you wish to speak, click the “raise hand” feature in Zoom.
Telephone: To participate by phone please dial 1 (408) 961-3927 or 1 (855) 758-1310 for US Toll-free and use conference code: 867 3036 3468. When the Mayor announces the item for which you wish to speak, press *9 on your telephone keypad to raise your hand.
In-Person: Please complete a “speaker’s card” located on the back of the chamber benches and submit it to the Town Clerk before the meeting or when the Mayor announces the item for which you wish to speak.
NOTES: Comments will be limited to three (3) minutes or less at the Mayor’s discretion. If you are unable to participate in real-time, you may email to [email protected] the subject line “Public Comment Item #__ ” (insert the item number relevant to your comment).
Deadlines to submit written comments are:
-11:00 a.m. the Thursday before the Council meeting for inclusion in the agenda packet. -11:00 a.m. the Friday and Monday before the Council meeting for inclusion in an addendum. -11:00 a.m. the day of the Council meeting for inclusion in a desk item.
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL CLOSED SESSION MINUTES
MEETING DATE: 09/16/2025
ITEM NO: 1
DRAFT
Minutes of the Town Council Special Meeting – Closed Session Tuesday, September 2, 2025
6:00 P.M.
The Town Council of the Town of Los Gatos conducted a special meeting in person to hold a Closed Session.
MEETING CALLED TO ORDER AT APPROXIMATELY 6:00 P.M.
ROLL CALL
Present: Mayor Matthew Hudes, Vice Mayor Rob Moore, Council Member Mary Badame, Council Member Rob Rennie, and Council Member Maria Ristow.
Absent: None.
VERBAL COMMUNICATIONS (ONLY ON ITEMS ON THE AGENDA)
No one spoke.
Gabrielle Whelan, Town Attorney, announced the closed session title as listed on the agenda.
THE TOWN COUNCIL MOVED TO CLOSED SESSION ON THE FOLLOWING ITEMS:
1. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION (Paragraph (1) of subdivision (d) of Government Code Section 54956.9)
Case Name: Ezgar v. Town of Los Gatos (Workers' Compensation Claim Nos. 2194500002; 2294500015)
There was no reportable action.
ADJOURNMENT
The meeting adjourned at approximately 6:17 p.m.
Attest: Submitted by:
___________________________ __________________________
Wendy Wood, Town Clerk Chris Constantin, Town Manager
ITEM NO. 1.
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 2
DRAFT
Minutes of the Town Council Meeting
Tuesday, September 2, 2025
The Town Council of the Town of Los Gatos conducted a regular meeting in person and via teleconference.
MEETING CALLED TO ORDER AT 7:00 P.M.
ROLL CALL
Present: Mayor Matthew Hudes, Vice Mayor Rob Moore, Council Member Mary Badame, Council Member Rob Rennie, Council Member Maria Ristow.
Absent: None.
PLEDGE OF ALLEGIANCE
Mayor Hudes invited Gabriel Oliveria to lead the Pledge of Allegiance. The audience was invited to participate.
PRESENTATIONS
John Tang, representative from San Jose Water Company, gave a presentation on Water Infrastructure and Rates.
Craig Gleason from the Midpeninsula Regional Open Space District gave a presentation on the District and provided updates on recent projects.
CONSENT ITEMS (TO BE ACTED UPON BY A SINGLE MOTION)
1. Approve the Minutes of the August 19, 2025, Town Council Meeting.
2. Appoint the Voting Delegate and Alternate for the League of California Cities Annual Conference the League of California Cities Annual Conference Scheduled for October 8 – 10, 2025, in Long Beach.
3. Authorize the Town Manager to Execute the First Amendment to the Agreement for Services with New Image Landscaping, Co. to include the Median Island Landscape Maintenance in Front of the North 40 Phase I.
4. Authorize Town Manager or Designee to Enter into a Three Year Legal Services Agreement with Jarvis Fay LLP for a Total Contract Amount Not to Exceed $120,000.
5. Authorize the Town Manager to Execute a Fourth Amendment to the Contract for Legal Services with the Law Firm of Goldfarb & Lipman to Increase the Contract Amount by $3,000, for a Total Contract Amount Not to Exceed $308,000.
6. Authorize the Town Manager or Designee to Enter into a Litigation Legal Services Agreement for FY 2025-26 with Goldfarb and Lipman in an Amount Not to Exceed
ITEM NO. 2.
PAGE 2 OF 4
SUBJECT: Draft Minutes of the Town Council Meeting of September 2, 2025 DATE: September 16, 2025
$200,000 and Authorize an Expenditure Budget Adjustment of $200,000 from the General Fund Unassigned Fund Balance.
7. Adopt an Interim Resolution to Redefine the Role of Youth Commissioners from Voting Members to Non-Voting Liaisons in All Commission Enabling Resolutions, Effective Until Formal Updates Are Adopted. RESOLUTION 2025-048
Council asked questions.
Mayor Hudes opened public comment.
Member of the Public
- Commented on concerns related to items one and five.
Mayor Hudes closed public comment.
MOTION: Motion by Vice Mayor Moore to approve items one through seven. Seconded by Council Member Ristow.
VOTE: Motion passed unanimously.
VERBAL COMMUNICATIONS
Ed Lucey
- Commented on concerns regarding tree removal requirements and requested an amendment to the Tree Ordinance.
Gus Who
- Commented on various concerns.
OTHER BUSINESS
8. Introduce an Ordinance Amending Chapter 14, “Licenses and Miscellaneous Business Regulations,” Article V, “Police Alarms,” of the Town Code to Require Alarm Permits for Residences and Render Residential False Alarms Subject to Penalties. Ordinance Title: An Ordinance of the Town Council of the Town of Los Gatos Amending Article V, “Police Alarms,” of Chapter 14, “Licenses and Miscellaneous Business Regulations,” of the Town Code.
Gabrielle Whelan, Town Attorney, presented the staff report.
Council discussed the item.
Mayor Hudes opened public comment.
No one spoke.
ITEM NO. 2.
PAGE 3 OF 4
SUBJECT: Draft Minutes of the Town Council Meeting of September 2, 2025 DATE: September 16, 2025
Mayor Hudes closed public comment.
MOTION: Motion by Council Member Ristow to introduce an ordinance amending Chapter 14, “Licenses and Miscellaneous Business Regulations,” Article V, “Police Alarms,” of the Town Code to require alarm permits for residences and render residential false alarms subject to penalties and include the wording “judicial or administrative hearing” at the end of section 14.50.095. Seconded by Council Member Badame.
VOTE: Motion passed unanimously.
MOTION: Motion by Council Member Ristow to make the effective date for the new false alarm ordinance be January 1, 2026. Seconded by Vice Mayor Moore.
VOTE: Motion passed unanimously.
9. Authorize Town Manager to Take All Necessary Steps and Execute Appropriate Documents to Participate in the Opioid Settlement Agreement with Purdue Pharma and the Sackler Family and Agree to the State Subdivision Agreements Gabrielle Whelan, Town Attorney, presented the staff report.
Mayor Hudes opened public comment.
No one spoke.
Mayor Hudes closed public comment.
Council discussed the item.
Mayor Hudes reopened public comment.
Carin Yamamoto
- Commented on concerns regarding youth opioid use.
Mayor Hudes closed public comment.
MOTION: Motion by Council Member Badame to authorize the Town Manager to execute, in substantially the form attached, the State Subdivision Agreement required for participation in the opioid settlement with Purdue Pharma and the Sackler family, and to take any other necessary steps and sign any other required agreements.
Seconded by Vice Mayor Moore.
ITEM NO. 2.
PAGE 4 OF 4
SUBJECT: Draft Minutes of the Town Council Meeting of September 2, 2025 DATE: September 16, 2025
VOTE: Motion passed unanimously.
COUNCIL/TOWN MANAGER REPORTS
Council Matters
- Council Member Badame stated she participated in Congressman Sam Liccardo’s Wildfire Safety Press Conference, the Council Policy Committee meeting, and spoke with constituents regarding a potential development.
- Council Member Ristow stated she participated in Congressman Sam Liccardo’s Wildfire Safety Press Conference and is working with the Vice Mayor to help increase safety for ebike riders and reduce the use of illegal e-motorcycles. - Vice Mayor Moore stated he participated in Congressman Sam Liccardo’s Wildfire Safety Press Conference; attended the Campbell State of the City; spoke with Los Gatos Scout Troop 2; participated in the Rotary Great Race; and made a request to add a future discussion on a proposal focused on education, registration, legislation, and enforcement of e-bikes and illegal e-motorcycles.
- Council Member Rennie stated he met with the North 40 Phase II developer; attended the Silicon Valley Clean Energy Risk Oversight Committee meeting, and the Valley Water Advisory meeting.
- Mayor Hudes stated he participated in Congressman Sam Liccardo’s Wildfire Safety Press Conference; attended a Federal Funding briefing; participated in the Wildfire Resilience meeting; met with the Los Gatos Thrives Board of Directors; attended the last Music in the Park for 2025’ participated in the Council Policy meeting, West Valley Manager and Mayor meeting, the Silicon Valley back-to-school night; and taught the Ham Cram Exam at El Camino Hospital.
Town Manager Matters
- Spoke about Congressman Sam Liccardo’s Wildfire Safety Press Conference. - Announced that on September 8 and 9, from 9:00 a.m. to 3:00 p.m., Caltrans will close lane two of Hwy 17, from Redwood Estates to Summit Road, for roadside vegetation control.
Closed Session Report
- Gabrielle Whelan, Town Attorney, stated that the Town Council met in closed session to discuss a workers’ compensation claim submitted by Mr. Ezgar. The meeting was held pursuant to Government Code section 54956.9 (d)(1), and there is no reportable action.
ADJOURNMENT
The meeting adjourned at 9:04 p.m.
Respectfully Submitted:
_____________________________________
Keara Johnson, Deputy Town Clerk
ITEM NO. 2.
PREPARED BY: Eric Lemon
Finance and Accounting Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 3
DATE: September 9, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Receive the Monthly Financial and Investment Report for July 2025 RECOMMENDATION: Receive the Monthly Financial and Investment Reports for July 2025.
FISCAL IMPACT:
There is no fiscal impact from the receipt of this report.
STRATEGIC PRIORITY:
This item aligns with the strategic priority to ensure prudent financial management.
BACKGROUND:
California Government Code Section 41004 requires that the Town Treasurer submit to the Town Clerk and the legislative body a written report and accounting of all receipts, disbursements, and fund balances. The Finance Director assumes the Town Treasurer role.
Attachment 1 contains the July 2025 monthly Financial and Investment Report, which fulfills this requirement.
The July 2025 Monthly Financial and Investment Report was received by the Finance Commission at its September 8, 2025, regular meeting.
DISCUSSION:
The July 2025 Monthly Financial and Investment Report includes a Fund Balance Schedule, representing estimated funding available for all funds at the beginning of the fiscal year and at the end of the respective month.
ITEM NO. 3.
PAGE 2 OF 3
SUBJECT: Monthly Financial and Investment Report for July 2025 DATE: September 9, 2025
As operations fluctuate month to month, there are differences between balances in one month and balances in another. Such differences may be significant due to the type of activity in those months and the timing of any estimates used in the presentation, based on the information available. This is demonstrated by the attached July 31, 2025, fund balance report.
In the case that the differences are extraordinary and unanticipated, we will ensure we present more information to explain the differences.
The difference between the July 31, 2025, and June 30, 2025, estimated fund balances is due to normal day-to-day fluctuations in revenues and expenditures.
Please note that the amount in the Fund Schedule differs from the Portfolio Allocation and Treasurer’s Cash Fund Balances Summary schedule because assets and liabilities are components of the Fund Balance.
As illustrated in the summary below, Ending Fund Balance = Cash + Assets - Liabilities, which represents the actual amount of funds available.
As of July 31, 2025, the Town’s financial position (Cash Plus Other Assets $91.52M, Liabilities $31.05, and Fund Equity $60.47) remains strong, and the Town has sufficient funds to meet the cash demands for the next six months.
As of July 31, 2025, the Town’s weighted portfolio yield for investments under management was 4.39%, which was 13 basis points above the Local Agency Investment Fund (LAIF) yield of
4.26% for the same reporting period. Currently, the LAIF portfolio’s weighted average maturity (WAM) is 248 days as of June 30, 2025, versus the Town’s longer WAM of 600 days as of July 31, 2025. The Town’s assets under management reflect the Town’s selection of the 1-3 year benchmark investment strategy through the Town’s investment advisor to lock in higher yields at the top of the interest rate cycle. The longer maturities are balanced with shorter-term yields available on investments held with the State’s LAIF. The Town’s weighted average rate of return on investments under management of 4.39% was consistent with the average rate of return on June 30, 2025.
Since July 2024, LAIF yields decreased from 452 basis points (4.52%) to 426 basis points (4.26%) through the end of July 2025. The State LAIF pool typically lags the market when current market yields are either increasing or decreasing.
ITEM NO. 3.
PAGE 3 OF 3
SUBJECT: Monthly Financial and Investment Report for July 2025 DATE: September 9, 2025
Following the rate adjustment in July 2023, the Federal Open Market Committee (FOMC) maintained the same rates until their September 18, 2024, meeting, where they approved a reduction of 50 basis points, lowering the rate from 5.5% to 5.0%. Subsequently, on November 7, 2024, the Federal Reserve voted to implement an additional decrease of 25 basis points, bringing the rate down to 4.75%. The latest adjustment occurred during the December 2024 meeting, where another 25 basis point reduction was approved, resulting in a new rate of
4.50%. These adjustments align with the FOMC's objective to promote maximum employment and achieve a year-over-year inflation target of 2%.
Labor market data continued to be moderate. The first estimate of monthly payrolls for June showed the economy added 147,000 new jobs. However, job growth was increasingly limited to certain categories such as government and healthcare and social assistance, the former of which may have been subject to residual seasonality. The unemployment rate fell from 4.2% to
4.1%, due to a second consecutive monthly drop in the labor force participation rate from
62.4% to 62.3%.
The Town's investments are in compliance with the Town's Investment Policy dated March 18, 2025, and are also in compliance with the requirements of Section 53600 et seq. of the California State Code. Based on the information available, the Town has sufficient funds to meet the cash demands for the next six months.
CONCLUSION:
Receive the Monthly Financial and Investment Report for July 2025.
Attachments:
1. Financial and Investment Report (July 2025)
ITEM NO. 3.
Weighted Average YTM Portfolio Yield on Investments
under Management 4.39%
Weighted Average Maturity (days) 600
This Month Last Month One year ago
Portfolio Allocation & Treasurer's Cash Balances $70,742,567 $81,558,113 $72,350,241 Managed Investments $51,835,227
Local Agency Investment Fund $12,339,746
Reconciled Demand Deposit Balances $6,567,594
Portfolio Allocation & Treasurer's Cash Balances $70,742,567 Benchmarks/ References:
Town's Average Yield 4.39% 4.39% 4.46%
LAIF Yield for month 4.26% 4.27% 4.52%
3 mo. Treasury 4.34% 4.29% 5.29%
6 mo. Treasury 4.27% 4.25% 5.09%
2 yr. Treasury 3.96% 3.72% 4.26%
5 yr. Treasury 3.97% 3.80% 3.91%
10 Yr. Treasury 4.37% 4.23% 4.03%
Town of Los Gatos
Summary Investment Information
July 31, 2025
0 - 1 year
41%
1 - 2 years
15%
2 - 3 years
24%
3 - 5 years
20%
Portfolio Maturity Profile
Compliance: The Town's investments are in compliance with the Town's investment policy dated March 18, 2025, and also in compliance with the requirements of Section 53600 at seq. of the California State Code. Based on the information available, the Town has sufficient funds to meet the cash demands for the next six months. 1 ATTACHMENT 1 Page 15
ITEM NO. 3.
Month YTD
Cash & Investment Balances - Beginning of Month/Period $ 81,558,113.19 $ 81,558,113.19 Receipts 11,668,481.33 11,668,481.33
Disbursements (22,484,027.26) (22,484,027.26)
Cash & Investment Balances - End of Month/Period $70,742,567.26 $70,742,567.26 Portfolio Allocation Amount % of Portfolio
Max. % or $ Allowed
per State Law or Policy
BNY MM $867,783.91 1.35% 20% of Town Portfolio
US Treasury Notes $18,751,101.64 29.22% No Max. on US Treasuries Government Agency Debenture Notes $17,464,856.81 27.21% No Max. on Non-Mortgage Backed Corporate Medium Term Bonds $14,751,484.50 22.99% 30% of Town Portfolio Local Agency Investment Fund $12,339,746.03 19.23% $75 M per State Law Subtotal - Investments 64,174,972.89 100.00%
Reconciled Demand Deposit Balances 6,567,594.37
Total Portfolio Allocation & Treasurer's Cash Balances $70,742,567.26
0.0401
0.0388
Town of Los Gatos
Portfolio Allocation & Treasurer's Cash Balances
July 31, 2025
BNY MM
1.35%
US Treasury Notes
29.22%
Government Agency Debenture
Notes
27.21%
Corporate Medium Term Bonds
22.99%
Local Agency Investment Fund
19.23%
Portfolio Investment Allocation
$72.4 M $70.7 M
$0.0 M
$10.0 M
$20.0 M
$30.0 M
$40.0 M
$50.0 M
$60.0 M
$70.0 M
$80.0 M
$90.0 M
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul-25 Treasurer's Fund Balances
2
ITEM NO. 3.
July 2025 July 2025 July 2025
Beginning Deposits Interest/ Ending
Balance Realized Gain/Adj. Earnings Withdrawals Balance Non-Treasury Funds:
Cert. of Participation 2002 Ser A Reserve Fund $ 697,231.88 $ - $ 2,160.86 $ - $ 699,392.74 Note 1 Cert. of Participation 2010 Ser Lease Payment Fund 177,115.56 981,367.35 279.59 - 1,158,762.50 Note 2 Cert. of Participation 2002 Ser A Lease Payment Fund 16,094.13 567,780.87 49.93 - 583,924.93 Note 1 Cert. of Participation 2010 Ser Reserve Fund 1,277,062.50 4,646.78 - 1,281,709.28 Note 2 Total Restricted Funds: $ 2,167,504.07 $ 1,549,148.22 $ 7,137.16 $ - $ 3,723,789.45 CEPPT IRS Section 115 Trust 3,090,730.98 - 397.89 - $ 3,091,128.87 Note 3 Grand Total COP's and CEPPT Trust $ 5,258,235.05 $ 1,549,148.22 $ 7,535.05 $ - $ 6,814,918.32 These accounts are not part of the Treasurer's fund balances reported elsewhere in this report, as they are for separate and distinct entities.
Note 1: The three original funds for the Certificates of Participation 2002 Series A consist of construction funds which will be expended over the next few years, reserve funds which will guarantee the payment of lease payments, and a third fund for the disbursement of lease payments and initial delivery costs.
Note 2: The 2010 COP Funds are all for the Library construction, reserves to guarantee lease payments, and a lease payment fund for the life of the COP issue. The COI fund was closed in September 2010.
Note 3: The CEPPT IRS Section 115 Trust was established as an irrevocable trust dedicated to accumulate resources to fund the Town's unfunded liabilities related to pension and other post employment benefits.
Town of Los Gatos
Non-Treasury Restricted Fund Balances
July 31, 2025
3
ITEM NO. 3.
July 2025 $ 238,713.97
August 2025 $ -
September 2025 $ -
October 2025 $ -
November 2025 $ -
December 2025 $ -
January 2026 $ -
February 2026 $ -
March 2026 $ -
April 2026 $ -
May 2026 $ -
June 2026 $ -
$ 238,713.97
Town of Los Gatos
Statement of Interest Earned
July 31, 2025
4
ITEM NO. 3.
Original Issue Market Value Maturity Yield to Interest Interest Interest Days Deposit Par Original (Discount) Market Above (Under) Purchased Date or Maturity Received Earned Earned to Institution CUSIP # Security Coupon Date Value Cost Premium Value Cost Interest Call Date or Call to Date Prior Yrs. Current FY Maturity Apple 037833DB3 Corporate Bond 2.90% 12/20/2022 1,300,000.00 1,228,591.00 (71,409.00) 1,269,827.00 41,236.00 6/21/2027 4.19% $ 83,987.22 $ 135,426.07 $ 4,548.44 690 Home Depot 437076BM3 Corporate Bond 3.00% 8/4/2022 1,000,000.00 991,960.00 (8,040.00) 991,210.00 (750.00) 1/1/2026 3.04% $ 79,750.00 $ 94,051.74 $ 2,747.98 154 FFCB 3133EN5V8 Gov. Agency Debenture 4.13% 1/17/2023 236,000.00 239,174.20 3,174.20 235,837.16 (3,337.04) 1/11/2027 3.76% $ 24,175.25 $ 21,918.24 $ 759.18 529 US Treasury 91282CBT7 US Treasury Note 0.75% 9/30/2022 800,000.00 712,565.18 (87,434.82) 781,688.00 69,122.82 3/31/2026 4.14% $ 15,000.00 $ 85,193.12 $ 2,630.46 243 FFCB 3133ENP95 Gov. Agency Debenture 4.25% 9/30/2022 900,000.00 900,939.60 939.60 899,595.00 (1,344.60) 9/30/2025 4.14% $ 95,625.00 $ 104,352.97 $ 3,222.05 61 JP Morgan Chase 46625HRS1 Corporate Bond 3.20% 9/23/2022 500,000.00 474,660.00 (25,340.00) 495,000.00 20,340.00 3/15/2026 4.70% $ 43,644.44 $ 64,505.94 $ 1,977.93 227 FHLB 3135G05X7 Gov. Agency Debenture 0.38% 6/10/2022 1,200,000.00 1,102,952.40 (97,047.60) 1,196,760.00 93,807.60 8/25/2025 3.04% $ 12,187.50 $ 106,169.42 $ 2,949.15 25 FHLB 3130AQF65 Gov. Agency Debenture 1.25% 11/30/2022 1,300,000.00 1,160,559.40 (139,440.60) 1,250,873.00 90,313.60 12/21/2026 4.15% $ 41,572.92 $ 130,709.25 $ 4,296.91 508 FHLB 3130APJH9 Gov. Agency Debenture 1.00% 1/17/2023 1,000,000.00 907,010.00 (92,990.00) 976,350.00 69,340.00 10/28/2026 4.17% $ 23,354.17 $ 84,829.28 $ 2,938.22 454 FFCB 3133EN5N6 Gov. Agency Debenture 4.00% 2/8/2023 1,700,000.00 1,706,732.00 6,732.00 1,697,977.00 (8,755.00) 1/6/2028 3.91% $ 163,955.56 $ 159,363.33 $ 5,658.95 889 Freddie Mac 3137EAEX3 Gov. Agency Debenture 0.38% 5/1/2023 750,000.00 689,032.50 (60,967.50) 745,582.50 56,550.00 9/23/2025 3.97% $ 5,328.12 $ 61,146.74 $ 2,396.40 54 American Honda 02665WED9 Corporate Bond 4.70% 5/11/2023 600,000.00 608,856.00 8,856.00 602,964.00 (5,892.00) 1/12/2028 4.34% $ 61,178.33 $ 56,288.41 $ 2,234.24 895 US Treasury 91282CEF4 US Treasury Note 2.50% 6/9/2023 1,500,000.00 1,416,626.12 (83,373.88) 1,463,850.00 47,223.88 3/31/2027 4.09% $ 67,827.87 $ 122,333.72 $ 5,043.01 608 US Treasury 91282CGA3 US Treasury Note 4.00% 6/20/2023 2,100,000.00 2,080,558.59 (19,441.41) 2,098,383.00 17,824.41 12/15/2025 4.40% $ 166,852.46 $ 186,379.78 $ 7,797.26 137 Colgate-Palmolive 194162AR4 Corporate Bond 4.60% 7/14/2023 500,000.00 504,655.00 4,655.00 506,075.00 1,420.00 2/1/2028 4.37% $ 37,502.79 $ 43,173.83 $ 1,866.65 915 FannieMae 3135G06G3 Gov. Agency Debenture 0.50% 7/14/2023 500,000.00 455,157.00 (44,843.00) 494,845.00 39,688.00 11/7/2025 4.63% $ 4,534.72 $ 42,871.33 $ 1,853.57 99 FFCB 3133EPQC2 Gov. Agency Debenture 4.63% 7/17/2023 500,000.00 501,957.50 1,957.50 502,175.00 217.50 7/17/2026 4.48% $ 46,250.00 $ 43,961.07 $ 1,908.67 351 FFCB 3133EPBM6 Gov. Agency Debenture 4.13% 7/14/2023 600,000.00 596,220.00 (3,780.00) 600,702.00 4,482.00 8/23/2027 4.29% $ 39,806.25 $ 50,424.13 $ 2,180.12 753 PNC Bank 69353RFJ2 Corporate Bond 3.25% 7/25/2023 1,000,000.00 921,490.00 (78,510.00) 974,800.00 53,310.00 12/23/2027 5.23% $ 64,729.17 $ 97,247.67 $ 4,270.08 875 US Treasury 91282CFU0 US Treasury Note 4.13% 7/31/2023 1,300,000.00 1,290,660.60 (9,339.40) 1,305,278.00 14,617.40 10/31/2027 4.31% $ 93,843.75 $ 107,052.11 $ 4,740.88 822 Toyota Motor Credit 89236TKL8 Corporate Bond 5.45% 8/25/2023 1,600,000.00 1,617,168.00 17,168.00 1,641,872.00 24,704.00 11/10/2027 5.16% $ 148,966.67 $ 153,725.55 $ 7,059.99 832 US Treasury 912810FE3 US Treasury Note 5.50% 10/3/2023 1,200,000.00 1,238,207.14 38,207.14 1,255,596.00 17,388.86 8/15/2028 4.76% $ 90,211.96 $ 101,335.84 $ 4,939.33 1111 Pepsico Inc 713448DF2 Corporate Bond 2.85% 10/16/2023 1,000,000.00 947,570.00 (52,430.00) 991,310.00 43,740.00 11/24/2025 5.24% $ 38,633.33 $ 91,065.84 $ 4,531.37 116 FFCB 3133EPUW3 Gov. Agency Debenture 4.75% 10/13/2023 1,000,000.00 994,338.00 (5,662.00) 1,005,310.00 10,972.00 9/1/2026 4.96% $ 65,708.33 $ 84,828.57 $ 4,200.78 397 US Treasury 91282CEW7 US Treasury Note 3.25% 10/16/2023 1,000,000.00 950,039.06 (49,960.94) 987,030.00 36,990.94 6/30/2027 4.73% $ 55,461.96 $ 78,477.53 $ 3,904.98 699 US Treasury 91282CEN7 US Treasury Note 2.75% 10/31/2023 1,300,000.00 1,214,336.39 (85,663.61) 1,272,882.00 58,545.61 4/30/2027 4.82% $ 53,625.00 $ 100,336.49 $ 5,115.84 638 US Treasury 91282CCH2 US Treasury Note 1.25% 12/21/2023 900,000.00 798,647.55 (101,352.45) 835,065.00 36,417.45 6/30/2028 3.99% $ 17,180.71 $ 51,319.84 $ 2,856.22 1065 FNMA 3135G0Q22 Gov. Agency Debenture 1.88% 12/21/2023 900,000.00 845,676.00 (54,324.00) 877,473.00 31,797.00 9/24/2026 4.22% $ 21,234.38 $ 55,770.03 $ 3,103.90 420 US Treasury 91282CFB2 US Treasury Note 2.75% 1/2/2024 1,000,000.00 960,354.91 (39,645.09) 977,030.00 16,675.09 7/31/2027 3.95% $ 43,417.12 $ 57,605.73 $ 3,276.66 730 US Treasury 91282CHE4 US Treasury Note 3.63% 1/17/2024 1,800,000.00 1,775,185.72 (24,814.28) 1,786,788.00 11,602.28 5/31/2028 3.97% $ 89,317.63 $ 102,986.91 $ 6,023.76 1035 JP Morgan Chase 46647PDG8 Corporate Bond 4.85% 2/1/2024 1,400,000.00 1,396,528.00 (3,472.00) 1,411,088.00 14,560.00 7/25/2027 4.93% $ 100,739.10 $ 97,231.80 $ 5,852.79 724 US Bancorp 91159HJF8 Corporate Bond 4.55% 2/5/2024 1,000,000.00 989,200.00 (10,800.00) 1,001,450.00 12,250.00 7/22/2027 4.89% $ 66,577.67 $ 68,041.60 $ 4,127.77 721 Treasury 91282CHB0 US Treasury Note 3.63% 2/23/2024 1,175,000.00 1,151,962.92 (23,037.08) 1,169,724.25 17,761.33 5/15/2026 4.56% $ 52,189.05 $ 71,517.53 $ 4,497.05 288 FHLB 3130AXB31 Gov. Agency Debenture 4.88% 2/27/2024 1,000,000.00 1,003,060.00 3,060.00 1,003,770.00 710.00 3/13/2026 4.72% $ 51,729.17 $ 63,303.13 $ 4,013.08 225 FFCB 3133EP5U5 Gov. Agency Debenture 4.13% 3/28/2024 1,700,000.00 1,687,981.00 (12,019.00) 1,708,942.00 20,961.00 3/20/2029 4.28% $ 68,566.67 $ 91,219.09 $ 6,160.77 1328 US Treasury 9128285M8 US Treasury Note 3.13% 4/30/2024 1,200,000.00 1,123,832.14 (76,167.86) 1,171,308.00 47,475.86 11/15/2028 4.69% $ 39,045.34 $ 63,313.82 $ 4,607.34 1203 Cisco Systems 17275RBR2 Corporate Bond 4.85% 5/15/2024 1,000,000.00 999,130.00 (870.00) 1,019,620.00 20,490.00 1/26/2029 4.87% $ 37,856.94 $ 54,820.58 $ 4,134.89 1275 Home Depot 437076CW0 Corporate Bond 4.90% 5/17/2024 1,000,000.00 1,001,790.00 1,790.00 1,021,920.00 20,130.00 4/15/2029 4.86% $ 44,644.44 $ 54,498.76 $ 4,130.71 1354 Treasury 91282CJR3 US Treasury Note 3.75% 5/31/2024 1,200,000.00 1,154,629.02 (45,370.98) 1,193,808.00 39,178.98 12/31/2028 4.68% $ 48,708.79 $ 59,398.06 $ 4,661.62 1249 American Honda 02665WEY3 Corporate Bond 4.95% 6/27/2024 1,000,000.00 995,640.00 (4,360.00) 1,001,330.00 5,690.00 1/9/2026 5.25% $ 51,287.50 $ 52,766.88 $ 4,445.04 162 FHLB 3130B1BT3 Gov. Agency Debenture 4.88% 7/2/2024 1,150,000.00 1,150,966.00 966.00 1,155,336.00 4,370.00 6/12/2026 4.82% $ 47,341.67 $ 55,261.42 $ 4,719.30 316 Citibank 17325FBK3 Corporate Bond 4.84% 8/15/2024 1,250,000.00 1,263,062.50 13,062.50 1,270,587.50 7,525.00 7/6/2029 4.60% $ 28,725.62 $ 50,520.38 $ 4,909.50 1436 FNMA 3135G05Y5 Gov. Agency Debenture 0.75% 9/10/2024 1,100,000.00 1,010,724.00 (89,276.00) 1,028,159.00 17,435.00 10/8/2027 3.56% $ 4,766.67 $ 29,915.45 $ 3,165.12 799 US Treasury 91282CFL0 US Treasury Note 3.88% 12/3/2024 1,100,000.00 1,088,144.31 (11,855.69) 1,097,679.00 9,534.69 9/30/2029 4.12% $ 13,817.99 $ 25,813.46 $ 3,828.79 1522 FHLB 3130ATUT2 Gov. Agency Debenture 4.50% 2/12/2025 505,000.00 508,253.21 3,253.21 513,100.20 4,846.99 12/14/2029 4.35% $ 7,701.25 $ 8,337.70 $ 1,872.96 1597 FFCB 3133ER5X5 Gov. Agency Debenture 3.88% 3/12/2025 1,000,000.00 998,480.00 (1,520.00) 995,950.00 (2,530.00) 538.19 3/7/2028 3.93% $ (538.19) $ 11,831.34 $ 3,334.29 950 Treasury 91282CJF9 US Treasury Note 4.88% 3/31/2025 1,100,000.00 1,130,167.75 30,167.75 1,132,142.00 1,974.25 10/31/2028 4.04% $ 4,444.06 $ 11,273.90 $ 3,840.56 1188 State Street Corp 857477CD3 Corporate Bond 5.27% 4/30/2025 800,000.00 811,184.00 11,184.00 806,488.00 (4,696.00) 10,192.53 8/3/2026 4.04% $ (10,192.53) $ 5,565.50 $ 2,828.37 368 Freddie Mac 3134HAW33 Gov. Agency Debenture 4.75% 4/30/2025 1,000,000.00 1,005,644.00 5,644.00 1,003,920.00 (1,724.00) 12/18/2029 4.23% $ 6,993.07 $ 7,735.00 $ 3,930.90 1601 US Treasury 91282CNG2 US Treasury Note 4.00% 6/30/2025 660,000.00 665,184.24 5,184.24 661,392.60 (3,791.64) 2,163.92 5/31/2030 3.82% $ (2,163.92) $ - $ 2,152.71 1765 Subtotal $ 52,326,000.00 $ 50,967,442.95 $ (1,358,557.05) $ 52,087,842.21 $ 1,120,399.26 $ 12,894.64 $ 2,457,102.97 $ 3,557,215.87 $ 192,246.52 BNY MM Money Market 867,783.91 867,783.91 0.00 0.00% 1
LAIF State Investment Pool 12,339,746.03 12,354,532.87 14,786.84 4.26% 43,785.53 1 64,174,972.89 $65,310,158.99 $1,135,186.10 $12,894.64 $ 2,457,102.97 $ 3,557,215.87 $ 236,032.05 Matured Assets
US Treasury 91282CAB7 US Treasury Note 0.25% 11/15/2023 675,000.00 623,900.39 (51,099.61) 7/31/2025 4.92% $ 2,884.34 $ 51,302.62 $ 2,681.92 Total Investments "Matured" $ 2,681.92
Total Interest FY 24_25 Matured and Current $ 238,713.97 Maturity Profile Amount Percent
0-1 year $ 26,366,511.63 41%
1-2 years $9,767,534.17 15%
2-3 years $15,174,901.78 24%
3-5 years $ 12,866,025.31 20%
$64,174,972.89 100%
Town of Los Gatos
Investment Schedule
July 31, 2025
5
ITEM NO. 3.
Date Cusip/Id Description Transaction Type Trade Date Settlement Date Par Coupon Maturity Date Price Principal Interest Transaction
Total
7/2/2025 Cash-USD Cash-USD
SHORT TERM INVESTMENT
FUND INCOME 7/2/2025 7/2/2025 733.67 0.000% 100.00 - - 733.67 7/7/2025 3133EN5N6
FEDERAL FARM CREDIT BANK 4%
06JAN2028 BOND INTEREST 7/6/2025 7/6/2025 1,700,000.00 4.000% 1/6/2028 - - 34,000.00 34,000.00 7/9/2025 02665WEY3
AMERICAN HONDA FINANCE 4.95%
09JAN2026 BOND INTEREST 7/9/2025 7/9/2025 1,000,000.00 4.950% 1/9/2026 - - 24,750.00 24,750.00 7/11/2025 3133EN5V8
FEDERAL FARM CREDIT BANK 4.125%
11JAN2027 BOND INTEREST 7/11/2025 7/11/2025 236,000.00 4.125% 1/11/2027 - - 4,867.50 4,867.50 7/14/2025 02665WED9
AMERICAN HONDA FINANCE 4.7%
12JAN2028 BOND INTEREST 7/14/2025 7/14/2025 600,000.00 4.700% 1/12/2028 - - 14,100.00 14,100.00 7/17/2025 3133EPQC2
FEDERAL FARM CREDIT BANK 4.625%
17JUL2026 BOND INTEREST 7/17/2025 7/17/2025 500,000.00 4.625% 7/17/2026 - - 11,562.50 11,562.50 7/22/2025 69353RFJ2
PNC BANK NA 3.25% 22JAN2028
(CALLABLE 23DEC27) BOND INTEREST 7/22/2025 7/22/2025 1,000,000.00 3.250% 1/22/2028 - - 16,250.00 16,250.00 7/22/2025 91159HJF8
US BANCORP 4.548% 22JUL2028
(CALLABLE 22JUL27) BOND INTEREST 7/22/2025 7/22/2025 1,000,000.00 4.548% 7/22/2028 - - 22,740.00 22,740.00 7/25/2025 46647PDG8
JPMORGAN CHASE & CO 4.851%
25JUL2028 (CALLABLE 25JUL27) BOND INTEREST 7/25/2025 7/25/2025 1,400,000.00 4.851% 7/25/2028 - - 33,957.00 33,957.00 7/31/2025 91282CFB2 USA TREASURY 2.75% 31JUL2027 BOND INTEREST 7/31/2025 7/31/2025 1,000,000.00 2.750% 7/31/2027 - - 13,750.00 13,750.00 7/31/2025 91282CAB7 USA TREASURY 0.25% 31JUL2025 REDEMPTION 7/31/2025 7/31/2025 675,000.00 0.000% 7/31/2025 100.00 675,000.00 - 675,000.00 7/31/2025 91282CAB7 USA TREASURY 0.25% 31JUL2025 BOND INTEREST 7/31/2025 7/31/2025 675,000.00 0.000% 7/31/2025 - - 843.75 843.75 Town of Los Gatos
Investment Transaction Detail
July 31, 2025
6
ITEM NO. 3.
CUSIP Security description Maturity
date Par/Shares Total market value ($) S&P rating Moody's rating Insight ESG
rating Environment Social Governance
02665WEY3 AMERICAN HONDA FINANCE 4.95% 09JAN2026 1/9/2026 1,000,000 1,004,362 A- A3 3 3 4 3 02665WED9 AMERICAN HONDA FINANCE 4.7% 12JAN2028 1/12/2028 600,000 604,567 A- A3 3 3 4 3 037833DB3 APPLE INC 2.9% 12SEP2027 (CALLABLE 12JUN27) 9/12/2027 1,300,000 1,284,509 AA+ Aaa 5 2 5 5 17275RBR2 CISCO SYSTEMS INC 4.85% 26FEB2029 (CALLABLE 26JAN29) 2/26/2029 1,000,000 1,040,609 AA- A1 2 1 3 3 17325FBK3 CITIBANK NA 4.838% 06AUG2029 (CALLABLE 06JUL29) 8/6/2029 1,250,000 1,300,183 A+ Aa3 3 1 2 4 194162AR4 COLGATE-PALMOLIVE CO 4.6% 01MAR2028 (CALLABLE 01FEB28) 3/1/2028 500,000 515,758 A+ Aa3 3 3 3 3 437076CW0 HOME DEPOT INC 4.9% 15APR2029 (CALLABLE 15MAR29) 4/15/2029 1,000,000 1,036,318 A A2 3 3 3 2 437076BM3 HOME DEPOT INC 3% 01APR2026 (CALLABLE 01JAN26) 4/1/2026 1,000,000 1,001,228 A A2 3 3 3 2 46625HRS1 JPMORGAN CHASE & CO 3.2% 15JUN2026 (CALLABLE 15MAR26) 6/15/2026 500,000 497,066 A A1 3 2 3 4 46647PDG8 JPMORGAN CHASE & CO 4.851% 25JUL2028 (CALLABLE 25JUL27) 7/25/2028 1,400,000 1,412,402 A A1 3 2 3 4 713448DF2 PEPSICO INC 2.85% 24FEB2026 (CALLABLE 24NOV25) 2/24/2026 1,000,000 1,003,752 A+ A1 3 2 2 4 69353RFJ2 PNC BANK NA 3.25% 22JAN2028 (CALLABLE 23DEC27) 1/22/2028 1,000,000 975,811 A A2 3 3 3 3 857477CD3 STATE STREET CORP 5.272% 03AUG2026 (CALLABLE 03JUL26) 8/3/2026 800,000 827,154 A Aa3 2 1 2 2 89236TKL8 TOYOTA MOTOR CREDIT CORP 5.45% 10NOV2027 11/10/2027 1,600,000 1,661,530 A+ A1 3 1 2 5 91159HJF8 US BANCORP 4.548% 22JUL2028 (CALLABLE 22JUL27) 7/22/2028 1,000,000 1,002,804 A A3 3 3 4 3 Total Corporate / weighted average 14,950,000 15,168,055 3 2 3 3 ESG ratings are from 1 to 5, with 1 as the highest rating and 5 as the lowest. All ratings are weighted by industry rankings, based on the importance of the category within the individual industry
TOWN OF LOS GATOS, CA
Insight ESG ratings as of July 31, 2025
7
ITEM NO. 3.
Fund Schedule
Fund
Number Fund Description
Current
Revenue
Current
Expenditure
Transfer
In
Transfer
Out
GENERAL FUND
Non-Spendable:
Loans Receivable 159,000 - - - - 159,000
Restricted Fund Balances:
Pension 2,188,659 - - - - 2,188,659
Land Held for Resale 344,338 - - - - 344,338
Committed Fund Balances:
Budget Stabilization 6,736,781 - - - - 6,736,781
Catastrophic 6,736,781 - - - - 6,736,781
Pension/OPEB 300,000 - - - - 300,000
Measure G District Sales Tax 590,581 - - - - 590,581
Assigned Fund Balances:
Open Space 410,000 - - - - 410,000
Sustainability 140,553 - - - - 140,553
Capital/Special Projects 8,651,059 - - - - 8,651,059
Carryover Encumbrances 85,861 - - - - 85,861
Compensated Absences 1,555,478 - - - - 1,555,478
ERAF Risk Reserve 1,430,054 - - - - 1,430,054
Market Fluctuations 1,712,246 - - - - 1,712,246
Council Priorities - Economic Recovery 20,684 - - - - 20,684 Unassigned Fund Balances:
111 Other Unassigned Fund Balance Reserve (Pre YE distribution) 5,051,458 3,158,967 (3,265,172) - - 4,945,253 General Fund Total 36,113,533 3,158,967 (3,265,172) - - 36,007,328 * Interfund transfers and Council Priorities/Economic Recovery funding allocation to be performed as part of the fiscal year end closing entries.
July 2025 Prior Year
Carryforward
7/1/2025*
Estimated Fund
Balance
7/31/2025*
8
ITEM NO. 3.
Fund Schedule
Fund
Number Fund Description
Current
Revenue
Current
Expenditure
Transfer
In
Transfer
Out
SPECIAL REVENUE
211/212 CDBG 166,653 - - - - 166,653
222 Urban Runoff (NPDES) 643,711 16,133 (9,017) - - 650,827 231-236 Landscape & Lighting Districts 190,600 908 - - - 191,508 251 Los Gatos Theatre 557,352 15,070 (215) - - 572,207
261-264,269 Library Trusts 569,584 - (3,593) - - 565,991 Special Revenue Total 2,127,900 32,111 (12,825) - - 2,147,186
CAPITAL PROJECTS
411 GFAR - General Fund Appropriated Reserve 16,023,597 137,616 (872) - - 16,160,341 412 Community Center Development 800,834 - - - - 800,834 421 Grant Funded Projects (2,084,552) 81,064 - - - (2,003,488) 461-463 Storm Basin Projects 2,650,986 16,444 - - - 2,667,430 471 Traffic Mitigation Projects 509,491 - - - - 509,491 472 Utility Undergrounding Projects 3,597,927 - - - - 3,597,927 481 Gas Tax Projects 2,158,621 156,215 - - - 2,314,836
Capital Projects Total 23,656,904 391,339 (872) - - 24,047,371
INTERNAL SERVICE FUNDS
611 Town General Liability (588,784) - (1,466,790) - - (2,055,574) 612 Workers Compensation 98,692 64,041 (445,922) - - (283,189) 621 Information Technology 2,450,302 7,688 (235,346) - - 2,222,644 631 Vehicle & Equipment Replacement 3,890,428 - - - - 3,890,428 633 Facility Maintenance 865,566 2,158 (43,212) - - 824,512 Internal Service Funds Total 6,716,204 73,887 (2,191,270) - - 4,598,821 Trust/Agency
942 RDA Successor Agency (4,589,733) 36 (1,742,759) - - (6,332,456) Trust/Agency Fund Total (4,589,733) 36 (1,742,759) - - (6,332,456) Total Town 64,024,808 3,656,340 (7,212,898) - - 60,468,250 * Interfund transfers and Council Priorities/Economic Recovery funding allocation to be performed as part of the fiscal year end closing entries.
Deposit Accounts of Interest:
111-23541 General Plan Update deposit account balance $493,687.50 111-23521 BMP Housing deposit account balance $4,039,055.78 Prior Year
Carryforward
7/1/2025*
July 2025 Estimated Fund
Balance
7/31/2025*
9
ITEM NO. 3.
PREPARED BY: Nicolle Burnham
Director of Parks and Public Works
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 4
DATE: September 11, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Authorize the Town Manager to Execute the First Amendment to the Agreement with the Rotary Club of Los Gatos Regarding their Donation of an “Oak Grove” at Live Oak Manor Park
RECOMMENDATION: Authorize the Town Manager to Execute the First Amendment (Attachment 1) to the agreement with the Rotary Club of Los Gatos regarding their donation of an “Oak Grove” at Live Oak Manor Park.
STRATEGIC PRIORITIES:
This item is not associated with a Strategic Priority.
FISCAL IMPACT:
There is no direct fiscal impact associated with this project. The donation will result in additional park landscaping and infrastructure, which will increase ongoing maintenance costs.
These future costs will be evaluated and incorporated into the Parks and Public Works Operating Budget following project completion.
BACKGROUND:
The Rotary Club of Los Gatos (Rotary) contacted staff in early 2024 and proposed a donation to the Town to celebrate its centennial. On June 18, 2024, the Town Council received a presentation from Los Gatos Rotary and their consultant regarding the concept design for the donation. The Town Council voted unanimously to accept the donation.
On September 3, 2024, the Town Council authorized the Town Manager to execute an agreement with Rotary to memorialize the project concept and fundraising plan.
ITEM NO. 4.
PAGE 2 OF 2
SUBJECT: First Amendment to Rotary Agreement of Live Oak Manor Park Enhancements DATE: August 14, 2025
DISCUSSION:
Rotary has been working with its design team to finalize the design and complete fundraising.
Design was completed in late 2024, and Rotary requested construction cost estimates from contractors. The costs were higher than anticipated, so adjustments to the plan are being considered. This amendment extends the term of the agreement from September 30, 2025 to September 30, 2027, providing Rotary additional time to refine the project and complete fundraising.
CONCLUSION:
The proposed project will provide an enhancement to Live Oak Manor that will be enjoyed for generations.
COORDINATION:
This report was coordinated with the Town Manager’s Office, the Town Attorney, and the Finance Director.
ENVIRONMENTAL ASSESSMENT:
The proposed project qualifies as a project under CEQA but is Categorically Exempt (Section 15304), Minor Alterations to Land. A Notice of Exemption will/will not be filed with the County Clerk depending on the final project scope.
Attachments:
1. First Amendment to Agreement with Rotary Club of Los Gatos
2. Original Agreement for Services - Rotary Club of Los Gatos
ITEM NO. 4.
Amendment to Agreement
Rotary Club of Los Gatos
AMENDMENT TO AGREEMENT
PREAMBLE
This First Amendment to Agreement for Services is dated for identification on this 19th Day of August 2025, and amends that certain Agreement for Services dated September 3, 2024, made by and between the Town of Los Gatos, ("Town,") and the Rotary Club of Los Gatos (“Donor”) identified as a 501(c)4 Corporation and whose address is PO Box 1018 Los Gatos, CA 95031.
RECITALS
A. Town and Consultant entered into an Agreement for Services on September 3, 2024, 2024 (“Agreement”), incorporated by reference.
B. Town desires to amend the Agreement to extend the time of the agreement.
I. AMENDMENT
A. Section 2.2 Term and Time for Performance is amended to extend the term to September 30, 2027.
B. All other terms and conditions of the Agreement remain in full force and effect.
ATTACHMENT 1 Page 26
ITEM NO. 4.
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
AGREEMENT FOR SERVICES
THIS AGREEMENT is dated for identification on September 3, 2024 by and between TOWN OF LOS GATOS, a California municipal corporation, ("Town") and Rotary Club of Los Gatos ("Donor), a 501(c)4 Corporation , whose address is PO Box 1018 Los Gatos, California 95031. This Agreement is made with reference to the following facts.
I. RECITALS
1.1 Donor has offered and Town agrees to accept the gift of an "Oak Grove" at Live Oak Manor Park.
1.2 The Donor represents and affirms that it is willing to perform the desired work pursuant to this Agreement.
1.3 Donor warrants it will provide the distinct professional skills, qualifications, experience, and resources necessary to timely perform the services described in this Agreement.
Donor acknowledges Town has relied upon these warranties to retain Donor.
II. AGREEMENTS
2.1 Scope of Services. Donor shall provide the labor, material and resources required to deliver the donation as shown on the project plans, which is hereby incorporated by reference and attached as Exhibit A as a donation that is free of charge to the Town. Town understands that Donor may seek donated services from professional firms to complete the work. Donor warrants that all work will be performed to professional construction standards using volunteer labor, equipment and materials. If Donor pays any workers, Donor agrees to pay prevailing wages as required by state law and to require that the employer of the paid workers be registered with the Department of Industrial Relations
2.2 Term and Time of Performance. This contract will remain in effect upon execution to September 30, 2025. Donor shall perform or otherwise provide the services described in this agreement and as required to complete the work shown on Exhibit A. If, for any reason, Donor is unable to complete the work shown in Exhibit A, Donor will restore the site to its original condition. Town and Donor reserve the right to terminate this Agreement upon 30 days' notice.
2.3 Compliance with Laws. The Donor shall comply with all applicable laws, codes, ordinances, and regulations of governing federal, state and local laws. Donor represents and warrants to Town that it has all licenses, permits, qualifications and approvals of whatsoever nature which are legally required for Donor to practice its profession. Donor shall maintain a Town of Los Gatos business license pursuant to Chapter 14 of the Code of the Town of Los Gatos.
Agreement for Services
Rotary Club of Los Gatos ATTACHMENT 2
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
2.4 Sole Responsibility. Donor shall be responsible for employing or engaging all persons necessary to perform the services under this Agreement.
2.5 2.6
2.7 2.7
2.8 2.9
Information/Report Handling. All documents furnished to Donor by the Town and all reports and supportive data prepared by the Donor under this Agreement are the Town's property and shall be delivered to the Town upon the completion of Donor's services or at the Town's written request. All reports, information, data, and exhibits prepared or assembled by Donor in connection with the performance of its services pursuant to this Agreement are confidential until released by the Town to the public, and the Donor shall not make any of the these documents or information available to any individual or organization not employed by the Donor or the Town without the written consent of the Town before such release. The Town acknowledges that the reports to be prepared by the Donor pursuant to this Agreement are for the purpose of evaluating a defined project, and Town's use of the information contained in the reports prepared by the Donor in connection with other projects shall be solely at Town's risk, unless Donor expressly consents to such use in writing. Town further agrees that it will not appropriate any methodology or technique of Donor which is and has been confirmed in writing by Donor to be a trade secret of Donor.
Compensation. Compensation by the Town for Donor's professional services shall be $0, inclusive of all costs.
Fund raising. Town acknowledges that Donor will perform private fundraising activities to support construction of the project in accordance with the schedule outlined in Exhibit B.
Funds raised shall be used for capital construction only. No money shall be provided to the Town by the Donor.
Responsibility of the Town: The Town agrees to work with the Donor throughout the course of project development, providing technical design guidance to ensure the completed Project meets the Town's design standards and maintenance requirements.
Town agrees to periodically observe and guide the project during construction, and provide minor construction support (e.g., locating existing irrigation, etc.) if requested.
Availability of Records. Donor shall maintain the records supporting the donation for not less than three years following completion of the work under this Agreement. Donor shall make these records available to authorized personnel of the Town at the Donor's offices during business hours upon written request of the Town.
Assignability and Subcontracting. The services to be performed under this Agreement are unique and personal to the Donor.
2.10 Independent Contractor. It is understood that the Donor, in the performance of the work and services agreed to be performed, shall act as and be an independent contractor and not an agent or employee of the Town. As an independent contractor he/she shall not Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA obtain any rights to retirement benefits or other benefits which accrue to Town employee(s). With prior written consent, the Donor may perform some obligations under this Agreement by subcontracting, but may not delegate ultimate responsibility for performance or assign or transfer interests under this Agreement. Donor agrees to testify in any litigation brought regarding the subject of the work to be performed under this Agreement. Donor shall be compensated for its costs and expenses in preparing for, traveling to, and testifying in such matters at its then current hourly rates of compensation, unless such litigation is brought by Donor or is based on allegations of Donor's negligent performance or wrongdoing.
2.11 Conflict of Interest. Donor understands that its professional responsibilities are solely to the Town. The Donor has and shall not obtain any holding or interest within the Town of Los Gatos. Donor has no business holdings or agreements with any individual member of the Staff or management of the Town or its representatives nor shall it enter into any such holdings or agreements. In addition, Donor warrants that it does not presently and shall not acquire any direct or indirect interest adverse to those of the Town in the subject of this Agreement, and it shall immediately disassociate itself from such an interest, should it discover it has done so and shall, at the Town's sole discretion, divest itself of such interest. Donor shall not knowingly and shall take reasonable steps to ensure that it does not employ a person having such an interest in this performance of this Agreement. If after employment of a person, Donor discovers it has employed a person with a direct or indirect interest that would conflict with its performance of this Agreement, Donor shall promptly notify Town of this employment relationship, and shall, at the Town's sole discretion, sever any such employment relationship.
2.12 Equal Employment Opportunity. Donor warrants that it is an equal opportunity employer and shall comply with applicable regulations governing equal employment opportunity.
Neither Donor nor its subcontractors do and neither shall discriminate against persons employed or seeking employment with them on the basis of age, sex, color, race, marital status, sexual orientation, ancestry, physical or mental disability, national origin, religion, or medical condition, unless based upon a bona fide occupational qualification pursuant to the California Fair Employment & Housing Act.
Ill. INSURANCE AND INDEMNIFICATION
3.1 Minimum Scope of Insurance:
i. Donor agrees to have and maintain, for the duration of the contract, General Liability insurance policies insuring him/her and his/her firm to an amount not less than: two million dollars ($2,000,000) combined single limit per occurrence for bodily injury, personal injury and property damage. ii. Donor agrees to provide evidence of and maintain for the duration of the contract, non-owned Automobile Liability insurance policy ensuring him/her Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA and his/her staff to an amount not less than one million dollars ($1,000,000) combined single limit per accident for bodily injury and property damage. iii. Donor shall provide to the Town all certificates of insurance, with original endorsements effecting coverage. Donor agrees that all certificates and endorsements are to be received and approved by the Town before work commences.
General Liability:
i. The Town, its elected and appointed officials, employees, and, agents are to be covered as additional insured as respects: liability arising out of activities performed by or on behalf of the Donor; products and completed operations of Donor, premises owned or used by the Donor. ii. The Donor's insurance coverage shall be primary insurance as respects the Town, its elected and appointed officials, employees, and agents. Any insurance or self-insurances maintained by the Town, its officers, officials, employees or volunteers shall be excess of the Donor's insurance and shall not contribute with it.
iii. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the Town, its officers, officials, employees or volunteers.
iv. The Donor's insurance shall apply separately to each insured against whom a claim is made or suit is brought, except with respect to the limits of the insurer's liability.
3.2 All Coverages. Each insurance policy required in this item shall be endorsed to state that coverage shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the Town. Current certification of such insurance shall be kept on file at all times during the term of this agreement with the Town Clerk.
3.3 3.4
Workers' Compensation. In addition to these policies, Donor shall have and maintain Workers' Compensation insurance as required by California law and shall provide evidence of such policy to the Town before beginning services under this Agreement. Further, Donor shall ensure that all subcontractors employed by Donor provide the required Workers' Compensation insurance for their respective employees.
Indemnification. The Donor shall save, keep, hold harmless and indemnify and defend the Town its elected and appointed officials, agents, employees and volunteers from all damages, liabilities, penalties, costs, or expenses in law or equity that may at any time
Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
4.1 4.2
4.3 arise or be set up because of damages to property or personal injury received by reason of, or in the course of performing work which may be occasioned by a an act or omissions of the Donor, or any of the Donor's officers, employees, or agents or any sub-Donor.
IV. GENERAL TERMS
Waiver. No failure on the part of either party to exercise any right or remedy hereunder shall operate as a waiver of any other right or remedy that party may have hereunder, nor does waiver of a breach or default under this Agreement constitute a continuing waiver of a subsequent breach of the same or any other provision of this Agreement.
Governing Law. This Agreement, regardless of where executed, shall be governed by and construed to the laws of the State of California. Venue for any action regarding this Agreement shall be in the Superior Court of the County of Santa Clara.
Termination of Agreement. The Town and the Donor shall have the right to terminate this agreement with or without cause by giving not less than fifteen days (15) written notice of termination. In the event of termination, the Donor shall deliver to the Town all plans, files, documents, reports, performed to date by the Donor. In the event of such termination, Town shall pay Donor an amount that bears the same ratio to the maximum contract price as the work delivered to the Town bears to completed services contemplated under this Agreement, unless such termination is made for cause, in which event, compensation, if any, shall be adjusted in light of the particular facts and circumstances involved in such termination.
4.4 Amendment. No modification, waiver, mutual termination, or amendment of this Agreement is effective unless made in writing and signed by the Town and the Donor.
4.5 Disputes. In any dispute over any aspect of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, including costs of appeal.
Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
4.6 4.7
4.8 Notices. Any notice required to be given shall be deemed to be duly and properly given if mailed postage prepaid, and addressed to:
Town of Los Gatos
Attn: Town Clerk
110 E. Main Street
Los Gatos, CA 95030
Rotary Club of Los Gatos
PO Box 1018
Los Gatos, CA 95031
or personally delivered to Donor to such address or such other address as Donor designates in writing to Town.
Order of Precedence. In the event of any conflict, contradiction, or ambiguity between the terms and conditions of this Agreement in respect of the Products or Services and any attachments to this Agreement, then the terms and conditions of this Agreement shall prevail over attachments or other writings.
Entire Agreement. This Agreement, including all Exhibits, constitutes the complete and exclusive statement of the Agreement between the Town and Donor. No terms, conditions, understandings or agreements purporting to modify or vary this Agreement, unless hereafter made in writing and signed by the party to be bound, shall be binding on either party.
Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA IN WITNESS WHEREOF, the Town and Donor have executed this Agreement.
Town of Los Gatos by:
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_____
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1 _
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12 _
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Chris Constantin, Town Manager
Recommended by:
G::i"
� 10/30/2024
Nicolle Burnham
Director of Parks and Public Works
Approved as to Form:
�&� 11/1/2024
Gabrielle Whelan, Town Attorney
Attest:
11/7/2024
Donor by:
Recommended by:
09/03/2024 � A/o�
Mike Norcia
Pag� 7 of 7
Agreement for Services
Rotary Club of Los Gatos
ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
LANDSCAPE ARCHITECTURAL DRAWINGS
LIVE OAK MANOR PARK
TOWN OF LOS GATOS, CALIFORNIA
PLANS WERE DESIGNED BY REFERENCING:
1. GRADINGPLANSPREPAREDBY!:!M!::!DATED:AUGUST2 2024.
2. NO GEOTECHNK:AL REPORT PROVIDED.
NOTES
FOLLOWED
SOIL MANAGEMENT REPORT SHAL1 BE PROVIDED BY LANDSCAPE CONTRACTOR AND SOIL AMENDMENTS 51-W.l BE PER THE REPORT. PHYSICAL COPIES OF THE SOIL MANAGEMENT REPORT SHALL BE PROVIDED TO CLIENT, PROJECT LANDSCAPE ARCHITECT AND LOCAL AGENCY AS REQUIRED. SOIL MANAGEMENT REPORT SHAL1 CONFORM TO STATE AB1881 WATER EFFICIENT LANDSCAPE ORDINANCE OR AGENCY ADOPTED WB.O AS FOl.lOWS:
(1) SUBMIT SOIL SAMPLES TO A LABORATORY FOR ANALYSIS AND RECOMMENDATlONS. (A) SOIL SAMPLING SHAl.l BE CONDUCTED IN ACCORDANCE WITH LABORATORY PROTOCOL, INQ.UDING PROTOCOLS REGARDING ADEQUATE SAMPLING DEPTH FOR THE INTENDED PLANTS. (BJ mmJRE THE SOIL ANALYSIS MAY INCLUDE: SOIL TEXTURE, INAL TRATION RA.TE DETERMINED BY LABORATORY TEST OR SOIL INFILTRATlON RATE TABLE, PH, TOTAL SOLUBLE SALTS, SODIUM, PERCENT ORGANIC MATTER, AND RECOMMENDAOONS.
(2) THE PROJECT APPLICANT, OR HISA-IER DESIGNEE, SHALL COMPLY WITH ONE OF THE FOLlOWING:
(A) IF SIGNIFICANT W.SS GRADING IS NOT PLANNED, THE SOIL ANALYSIS REPORT stWJ. BE SUBMITTED TO THE LOCAL AGENCY M, PART OF THE LANDSCAPE DOCUMENTATION PACKAGE; OR (BJ IF SIGNIFICANT MASS GRADING IS PLANNED, THE SOIL ANALYSIS REPORT SHALL BE SUBMITTED TO THE LOCAL AGENCY M PART OF THE CERTIFICATE OF COMPLETION.
(3) THE SOIL ANALYSIS REPORT stWJ. BE MADE AVAILABLE, IN A TIMB. Y MANNER, TO THE PROFESSIONALS PREPARING THE LANDSCAPE DESIGN PLANS AND IRRIGATlON DESIGN PLANS TO MAKE /1,HY NECESSARY ADJUSTMENTS TO THE DESIGN PLANS.
(-4)THE PROJECT APPLICANT, ORHISA-IER DESIGNEE, SHALL SUBMIT OOCUMENTATION VERIFYING IMPLEMENTATION OF SOIL ANALYSIS REPORT RECOMMENDATIONS TO THE LOCAL AGENCY WITH CERTIFlr.ATE OF COMPLETION.
CONTRACTOR MUST PROVIDE AN IRRIGATION AUDIT IN ACCORDANCE WITH TITLE 23 BY THE STATE DEPARTMENT OF WATER RESOURCES SECTION-492.12, OR LOCAL AGENCY APPROVED ORDINANCE: IRRIGATlON AUDIT, IRRIGATION SURVEY, AND IRRIGATION WATER USE ANALYSIS PRIOR TO PROJECT ACCEPTANCE.
CONTRACTOR IS RESPONSIBLE FOR ENSURING THAT THE WORK IS COMPLETE AND IN COMPLIANCE WITH THE MOST CURRENT CODES, ORDINANCES AND REQUIREMENTS OF THE GOVERNING AGENCY. HMH IS NOT RESPONSIBLE FOR CHANGES WHICH OCCUR TO THE CODES. ORDINANCES OR REQUIREMENTS AFTER THE GOVERNING AGENCY'S APPROVAL OR DURING INSTAl.lATION.
CONTRACTOR IS SOLELY RESPONSIBLE FOR CONSTRUCTION MEANS, METHODS, TECHNIQUES, SEQUENCES OR PROCEDURES, OR FOR SAFETY PRECAUTlONS AND PROGRAMS IN CONNECTION WITH THE WORK. Ht.I-I IS NOT
RESPONSIBLE FOR THE CONTRACTOR'S FAILURE TO CARRY OUT THE WORK IN ACCORDANCE WITH THE CONSTRUCTION
CONTRACT DOCUMENTS, NOR RESPONSIBLE FOR ACTS OR OMISSIONS OF THE CONTRACTOR, SUBCONTRACTORS, OR THEIR AGENTS OR EMPLOYEES, OR OF ANY OTHER PERSONS PERFORMING PORTIONS OF THE WORK.
AS REQUESTED BY THE OWNER, HMH WILL VISIT THE SITE AT INTERVALS APPROPRIATE TO THE STAGE OF CONSTRUCTION
TO REVIEW THE PROGRESS AND QUALITY OF WORK AND TO DETERMINE IN GENERAL IF THE WORK IS BEING PERFORMED IN A MANNER INDICATING THA.TTHE WORK, WHEN COMPLETED, WILL BE IN SUBSTANTIAL CONFORMANCE WITH THE CONSTRUCTlON DOCUMENTS. HOWEVER, HMH Will NOT MAKE EXHAUSTIVE OR CONTINUOUS ON-SITE OBSERVATIONS TO CHECK QUALJTY OF THE WORK.
THERE IS NO WARRANTY OR GUARANTEE EITHER EXPRESSED OR IMPLIED BY HMH FOR THE COMPLETION OF THE WORK OR THE QUALITY OF PERFORMANCE OF THE CONSTRUCTION CONTRACTOR(S� CONTRACTOR stWJ. SUPERVISE AND DIRECT THE WORK, USING THE CONTRACTORS BEST SKILL AND ATTENTION.
CONTRACTOR StW.l BE SOL.ELY RESPONSIBLE FORAND HA.VE CONTROL OVER CONSTRUCTlON MEANS, METHODS, TECHNIQUES, SEQUENCES, AND PROCEDURES AND FOR COORDINATING All PORTIONS OF THE WORK.
CONTRACTOR stWJ. BE RESPONSIBLE TO THE OWNER FOR ACTS AND OMISSIONS OF THE CONTRACTOR'S EMPLOYEES,
SUBCONTRACTORS AND THEIR AGENTS AND EMPLOYEES, AND OTHER PERSONS PERFORMING PORTIONS OF THE WORK
UNDER A CONTRACT WITH CONTRACTOR
IN THE EVENT OWNER CONSENTS TO, ALlOWS, AlmtORIZES OR APPROVES OF CHANGES TO ANY PLANS, SPECIFICATIONS, RECOONIZES OR OTHER CONSTRUCTION DOCUMENTS, AND THESE ALTERATIONS ARE NOT APPROVED IN WRmNG BY HMH, OWNER THAT SUCH AL TERATlON AND THE RESULTS THEREOF ARE NOT THE RESPONSIBILITY OF HMH IN ADDITION, DAMAGE, OWNER AGREES, TO THE RA.LEST EXTENT PERMITTED BYLAW, TO INDEMNIFY AND HOLD HMH HARMLESS FROM ANY LIABILITY OR COST PNQ.UDING REASONABLE ATTORNEY'S FEES AND COSTS OF DEFENSE) ARISING FROM SUCH ALTERATIONS.
THE EXISTENCE AND LOCATION OF ANY UNDERGROUND UTILITIES SHOWN ON THE PLANS WERE OBTAINED FROM AVAILABLE RECORDS AT THE TIME THE PLANS WERE DRAFTED AND DO NOT CONSTITllTE A REPRESENTATION M TO THE ACCURACY OR COMPLETENESS OF THE LOCATION OR THE EXISTENCE OR NONEXISTENCE OF SUCH lITlLmES. IN NORTHERN CALIFORNIA, CONTRACTOR SHALl CONTACT UNDERGROUND SERVICES ALERT AT 1.«l0-642-2#4 PRIOR TO PERFORMING f1,N'f CONSTRUCTION WORK. IN OTHER AREAS, CONTRACTOR SHALl CONTACT A SIMILAR AGENCY/ORGANIZATION.
CONTRACTOR stW.l PROVIDE PROPER PROJECT t.WNTEIWICE AFTER THE PROJECT IS COMPLETE. ANY LACK OF OR lt.l'ROPER MAINTENANCE MAY RESULT IN DAMAGE TO PROPERTY OR PERSONS. CONTRACTOR SHALL BE RESPONSIBLE FOR THE RESULTS OF Afff LA.CK OF OR IMPROPER t.WNTENANCE. ✓S\TE
I
VICINITY MAP @
INDEX OF DRAWINGS
SHEET
L0.1
LDl
mLE
COVERSHEET
TREE PROTECTION PLAN
L0.3 TREE PROTECTION NOTES AND TREE PROTECTlON FENCING DETAIL L1.1 LANDSCAPE PLAN
L2.1 MATERIALS LIST, CONSTRUCTlON NOTES AND DETAILS
L3.1 PLANTING LEGEND AND NOTES
L3.2 PLANTING DETAILS
1.-4.1 IRRIGATION PLAN
1..4.2 IRRIGATION LEGEND AND NOTES
1.4.3 IRRIGATION DETAILS
L.5.1 - L5.5 LANDSCAPE SPECIFICATIONS
C1 GRADING AND DRAINAGE PLAN
GOVERNING AGENCY
TOWN OF LOS GATOS:
PARKS DEPARTMENT
110E.MAINSTREET
LOS �.TOS, CA 95030
(408)354-SB76
CONSULTANTS
LANDSCAPE ARCHITECT :
HMH LANDSCAPEARCHITECTIJRE
1570 OAKLAND ROAD SA.NJOSE,CA.95131
(408)467-2200
CML ENGINEER:
HMHCIVIL ENGINEER
1570 OAKLAND ROAD
SANJOSE,CA95131
(408)467-2200
COVERSHEET
L0.1
EXHIBIT A
ITEM NO. 4.
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA Nllt-'t'EGET'AlNEST'E MTE�
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA �
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I L QUDCOWII.NQVAI.\U ■ Tflol'dalftlllbeolcpa,Wo'licaloomll'laionUIIJlp,apri■tl--ainikll:lldan MIICWNEOUS METM. ■ PlftcllXl'Ndlan(P.O.C.)MdGplfllqsn-n(P.l.l.]lhllbl•nllcad111 ■ o.i:kl:IDl,IJl"' ..... .llllllb■alrdmlldlnbl�L■glndanlhe� lhld ... ■ndapedleclhnn. FW-■nlbetllldanrlllMi,aorawllad GENE!W. Iha...._ �lllll�ltaloaibl■ndlllld--lDIRl,PSt■na oon.,.acldgradl.herllodaa-Np-edgld�n:1---■drtanlldelD I llec:Mc:■laiPSfyprkrt)�l'ml■lcln. lflca.Ofdlalpm:y.eo.-nD ll .AHT1-(lflAINVAI.Yel •1n ... hnctlllll■IOwftlr�andl:llffdan . LANDSCAPE ! ■ Cllrmm■'lllhd---lllabll',,........,and■q..-illDM'ah■ndl....a 11ml l�nallylhl OWrs. i mlKi■l--nmlllaria•nlll:...i.,1h■d ..... ..iaip■dkl,_.._ ■ ....,_.lnlkatadanlhl�lftd•nlldldlbrlWdconlHcw,.-il-cnln._ ■ Tr.ulllpanllbeialdon.llh...tl'.-clll!PYC1nd111■llllNnll!PVC1D SPECIFICATIONS OOAUTYMIIIAINCE nlblMh:llc■llldhtlalnVIIIDnlag■nllanfl■chMIVI- mellll)lll'1', ; ■ n....,_.lk,ard:lrdldl,..,.._.,lir_.a,dmucnyir..,_ a ■ a.■_.mdlll'QIIIIBltll�lllq!Tllandl:lpe.�lulhlnil I
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA • CWvll'lt..d_,.0t��(\NR)PIJC.,_ld<11tlWIINI ardlnd•NIVIJ&natlDmaadWIIMl:(10\IMtlilitNlw,w!tit•J"hlmld .. • �lbd�AN�Dtni.'00...Wfor...,..llriot'Ocom_,. Oonn!llr 011111. • .,-,.�tw.lnmcl_.t.�ma.l
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA POSl'-IIIISTNJATIClrl�EPERIOll
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA D� i
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ITEM NO. 4.
Docusign Envelope ID: DB549F48-961 C-41 BA-9781-75208FA815DA
EXHIBIT B
ROTARY TREE GROVE DONATON LEVELS
Mature Oak Tree at center of Grove (1) $5,000
• Name on largest sized paver in front of center tree.
Other Oak Trees $1,500
• Name on second largest paver.
Bench (5 available) $3,000
• 10 year donation; After 10 years bench will be replaced as Town deems necessary.
Replacement will be requested by Rotary to Parks and Public Works. Replacement will follow Town practice in place at time of replacement.
• Name on plaque on bench
Pavers (depending on size)
• Name on the paver
$300,$500,$800
• Pavers will remain in place for life of paver. Replacement will be requested by Rotary to Parks and Public Works. Replacement will follow Town practice in place at time of replacement.
Rotary would open donations to all of club members, other service clubs and then to the community at large including the neighbors to the grove. Rotary would also be open to businesses being sponsors, as well. The approval of sponsors would be at the discretion of Rotary Centennial Committee. We do not foresee declining any but would want that option.
Town reserves the right to decline placement of the names of any business or any personal messaging from donors that it deems to be immoral, unethical or in conflict with the values of the Town.
EXHIBIT B Page 51
ITEM NO. 4.
PREPARED BY: Nicolle Burnham
Parks and Public Works Director
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 5
DATE: September 11, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Authorize the Town Manager to Execute an Agreement for Services with DLR Group and Make Associated Budget Adjustments
RECOMMENDATION: Authorize the Town Manager to execute an agreement for services (Attachment 1) with DLR Group in an amount not to exceed $98,100 for an assessment of the Police Operations Building (Legacy CIP No. 821-2404, New Project No. 4118735); and authorize an expenditure budget increase in the amount of $23,100 from the available General Fund Appropriated Reserves.
FISCAL IMPACT:
The adopted Fiscal Year 2023-24 Capital Improvement Program included $75,000 for a Police Operations Building needs assessment (Legacy CIP No. 821-2404, New Project No. 4118735).
The recommended consultant agreement requires a total budget of $98,100. To fully fund the project, staff recommends an expenditure budget increase to the project budget (4118735- 82303) in the amount of $23,100 from the available Capital Projects Reserve (Fund 411).
Approval of this adjustment ensures the Town has sufficient funds to complete the full scope of work, including site test fit analysis and Council presentations, which are necessary for an accurate and comprehensive assessment and risk reduction.
STRATEGIC PRIORITY:
The assessment of the Town’s Police Operations Building supports the strategic priority of “furthering the Town’s emergency preparedness, resiliency, and response capabilities”.
BACKGROUND:
The 2023-24 Capital Improvement Program allocated $75,000 to complete an initial assessment of the Town’s Police Operations Building. The need for this study was affirmed in the Organizational Assessment completed by Meliora for the Los Gatos Monte Sereno Police
ITEM NO. 5.
PAGE 2 OF 3
SUBJECT: Agreement for Services with DLR Group for Project 821-2404 DATE: September 11, 2025
Department in 2024. The Organization Assessment included a recommendation that police operations be consolidated into one location.
DISCUSSION:
On March 19, 2025, the Department of Parks and Public Works issued a Request for Qualifications for Professional Services to complete a Needs Assessment for the Police Operations Building. Qualifications based selection was used in lieu of a request for proposal because professional services are not required to be awarded solely on cost, and for this project, experience working with public safety buildings was of the utmost importance.
Three firms submitted qualifications statements: DLR Group, Griffin Structures, and The KPA Group. The qualifications packages were reviewed and ranked by the Director of Parks and Public Works, the Police Chief, and the Senior Engineer of the Capital Improvement Program.
The consultants were ranked based on the consistency of their proposal with the requested services, their project approach, qualifications of the firm and project personnel including experience on projects of similar complexity, references, and sample projects of similar complexity. All three reviewers ranked DLR Group as the most qualified vendor for this work.
Aside from being a highly qualified firm, the project manager for DLR prepared the original set of plans to convert the Police Operations Building from a Verizon facility to its current use. This knowledge of the structure will provide background and context that other firms would not be able to provide, while creating continuity and efficiency.
On July 22, 2025, the Police Chief and Director of Parks and Public Works met with a representative of DLR Group to discuss in detail the work that is needed. DLR provided a scope of services that exceeded the $75,000 budget. Staff discussed this proposal and considered ways to reduce the cost. For example, consideration was given to deleting Task 3, Site Test Fit Analysis. After discussing this internally and with the architect, it is recommended that this task be completed so that the Town would have a complete understanding of the site constraints of the POB and possible remedies.
The base proposal provided by DLR Group provided a total cost of $91,100. Staff is also recommending that funding for two meetings be included in case the Town Council and the Town Manager would like to hear directly from the architect about the results. As such, staff recommends an agreement in an amount not to exceed $98,100 to be charged at hourly rates per the scope of services presented in Exhibit A of the agreement.
ITEM NO. 5.
PAGE 3 OF 3
SUBJECT: Agreement for Services with DLR Group for Project 821-2404 DATE: September 11, 2025
CONCLUSION:
The proposed agreement and requested budget adjustment will facilitate completion of this capital improvement project before the end of 2025. The work product will provide an understanding of improvements needed at the POB to allow the police operations to be consolidated as recommended in the organizational assessment completed by Meliora. Staff expect that funding and next steps for any improvements or modifications to the building that are recommended as a result of this study would be discussed during development of the Capital Improvement Program Budget in the spring of 2026.
COORDINATION:
This memo was coordinated with the Finance Department and the Los Gatos Monte Sereno Police Department.
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA but is statutorily exempt under Section 15262. A Notice of Exemption will not be filed.
Attachments:
1. Agreement for Services with Exhibit A Scope of Services – DLR Group Budget
Existing Appropriations $75,000
Additional Appropriation (recommended with this staff report) $23,100 Subtotal $98,100
Expenditures
Expenditures to date $0
Subtotal $0
Balance $98,100
POB Space Study
Legacy CIP No. 821-2404, New Project No. 4118735
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
AGREEMENT FOR CONSULTANT SERVICES
PREAMBLE
THIS AGREEMENT is dated for identification on 16th day of September 2026 by and between TOWN OF LOS GATOS, a California municipal corporation, (“Town”) and DLR Group, (“Consultant”), identified as an S Corporation and whose address is 18294 Sonoma Highway, Sonoma, CA 95476. This Agreement is made with reference to the following facts.
I. RECITALS
1.1 The Town desires to engage Consultant to provide Needs assessment of Police Operations Building .
1.2 The Consultant represents and affirms that it is willing to perform the desired work pursuant to this Agreement.
1.3 Consultant warrants it possesses the distinct professional skills, qualifications, experience, and resources necessary to timely perform the services described in this Agreement. Consultant acknowledges Town has relied upon these warranties to retain Consultant.
II. AGREEMENTS
2.1 Scope of Services. Consultant shall provide services as described in that certain Proposal sent to the Town on August 6, 2025, which is hereby incorporated by reference and attached as Exhibit A.
2.2 Term and Time of Performance. This contract will remain in effect from upon execution through September 16, 2026. Consultant shall perform the services described in this agreement as described in Exhibit A.
2.3 Compliance with Laws. The Consultant shall comply with all applicable laws, codes, ordinances, and regulations of governing federal, state and local laws. Consultant represents and warrants to Town that it has all licenses, permits, qualifications and approvals of whatsoever nature which are legally required for Consultant to practice its profession. Consultant shall maintain a Town of Los Gatos business license pursuant to Chapter 14 of the Code of the Town of Los Gatos.
2.4 Sole Responsibility. Consultant shall be responsible for employing or engaging all persons necessary to perform the services under this Agreement.
2.5 Information/Report Handling. All documents furnished to Consultant by the Town and all reports and supportive data prepared by the Consultant under this Agreement are the Town’s property and shall be delivered to the Town upon the completion of Consultant's services or at the Town's written request. All reports, information, data, and exhibits prepared
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
or assembled by Consultant in connection with the performance of its services pursuant to this Agreement are confidential until released by the Town to the public, and the Consultant shall not make any of the these documents or information available to any individual or organization not employed by the Consultant or the Town without the written consent of the Town before such release. The Town acknowledges that the reports to be prepared by the Consultant pursuant to this Agreement are for the purpose of evaluating a defined project, and Town's use of the information contained in the reports prepared by the Consultant in connection with other projects shall be solely at Town's risk, unless Consultant expressly consents to such use in writing. Town further agrees that it will not appropriate any methodology or technique of Consultant which is and has been confirmed in writing by Consultant to be a trade secret of Consultant.
2.6 Compensation. Compensation for Consultant's professional services shall not exceed $98,100, inclusive of all costs. Payment shall be hourly based upon actual hours worked and fees for each task shall not be exceeded without written authorization from the Town.
2.7 Billing. Billing shall be monthly by invoice within thirty (30) days of the rendering of the service and shall be accompanied by a detailed explanation of the work performed by whom at what rate and on what date. Also, plans, specifications, documents or other pertinent materials shall be submitted for Town review, even if only in partial or draft form.
Payment shall be net thirty (30) days. All invoices and statements to the Town shall be addressed as follows:
Invoices:
Town of Los Gatos
Attn: Accounts Payable
P.O. Box 655
Los Gatos, CA 95031-0655
Email (preferred): [email protected]
2.8 Availability of Records. Consultant shall maintain the records supporting this billing for not less than three years following completion of the work under this Agreement. Consultant shall make these records available to authorized personnel of the Town at the Consultant's offices during business hours upon written request of the Town.
2.9 Assignability and Subcontracting. The services to be performed under this Agreement are unique and personal to the Consultant. No portion of these services shall be assigned or subcontracted without the written consent of the Town.
2.10 Independent Contractor. It is understood that the Consultant, in the performance of the work and services agreed to be performed, shall act as and be an independent contractor and not an agent or employee of the Town. As an independent contractor he/she shall not obtain
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
any rights to retirement benefits or other benefits which accrue to Town employee(s). With prior written consent, the Consultant may perform some obligations under this Agreement by subcontracting but may not delegate ultimate responsibility for performance or assign or transfer interests under this Agreement. Consultant agrees to testify in any litigation brought regarding the subject of the work to be performed under this Agreement. Consultant shall be compensated for its costs and expenses in preparing for, traveling to, and testifying in such matters at its then current hourly rates of compensation, unless such litigation is brought by Consultant or is based on allegations of Consultant's negligent performance or wrongdoing.
2.11 Conflict of Interest. Consultant understands that its professional responsibilities are solely to the Town. The Consultant has and shall not obtain any holding or interest within the Town of Los Gatos. Consultant has no business holdings or agreements with any individual member of the Staff or management of the Town or its representatives nor shall it enter into any such holdings or agreements. In addition, Consultant warrants that it does not presently and shall not acquire any direct or indirect interest adverse to those of the Town in the subject of this Agreement, and it shall immediately disassociate itself from such an interest, should it discover it has done so and shall, at the Town's sole discretion, divest itself of such interest. Consultant shall not knowingly and shall take reasonable steps to ensure that it does not employ a person having such an interest in this performance of this Agreement. If after employment of a person, Consultant discovers it has employed a person with a direct or indirect interest that would conflict with its performance of this Agreement, Consultant shall promptly notify Town of this employment relationship, and shall, at the Town's sole discretion, sever any such employment relationship.
2.12 Equal Employment Opportunity. Consultant warrants that it is an equal opportunity employer and shall comply with applicable regulations governing equal employment opportunity. Neither Consultant nor its subcontractors do and neither shall discriminate against persons employed or seeking employment with them on the basis of age, sex, color, race, marital status, sexual orientation, ancestry, physical or mental disability, national origin, religion, or medical condition, unless based upon a bona fide occupational qualification pursuant to the California Fair Employment & Housing Act.
III. INSURANCE AND INDEMNIFICATION
3.1 Minimum Scope of Insurance:
i. Consultant agrees to have and maintain, for the duration of the contract, General Liability insurance policies insuring him/her and his/her firm to an amount not less than: two million dollars ($2,000,000) combined single limit per occurrence for bodily injury, personal injury and property damage. ii. Consultant agrees to have and maintain for the duration of the contract, an Automobile Liability insurance policy ensuring him/her and his/her staff to an
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
amount not less than one million dollars ($1,000,000) combined single limit per accident for bodily injury and property damage.
iii. Consultant shall provide to the Town all certificates of insurance, with original endorsements effecting coverage. Consultant agrees that all certificates and endorsements are to be received and approved by the Town before work commences.
iv. Consultant agrees to have and maintain, for the duration of the contract, professional liability insurance in amounts not less than $1,000,000 which is sufficient to insure Consultant for professional errors or omissions in the performance of the particular scope of work under this agreement.
General Liability:
i. The Town, its elected and appointed officials, employees, and, agents are to be covered as insured as respects: liability arising out of activities performed by or on behalf of the Consultant; products and completed operations of Consultant, premises owned or used by the Consultant. This requirement does not apply to the professional liability insurance required for professional errors and omissions. ii. The Consultant's insurance coverage shall be primary insurance as respects the Town, its elected and appointed officials, employees, and agents. Any insurance or self-insurances maintained by the Town, its officers, officials, employees or volunteers shall be excess of the Consultant's insurance and shall not contribute with it.
iii. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the Town, its officers, officials, employees or volunteers.
iv. The Consultant's insurance shall apply separately to each insured against whom a claim is made or suit is brought, except with respect to the limits of the insurer's liability.
3.2 All Coverages. Each insurance policy required in this item shall be endorsed to state that coverage shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the Town. Current certification of such insurance shall be kept on file at all times during the term of this agreement with the Town Clerk.
3.3 Workers’ Compensation. In addition to these policies, Consultant shall have and maintain Workers' Compensation insurance as required by California law and shall provide evidence of such policy to the Town before beginning services under this Agreement. Further, Consultant shall ensure that all subcontractors employed by Consultant provide the required
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
Workers' Compensation insurance for their respective employees. As required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than one million dollars ($1,000,000) per accident for bodily injury or disease.
3.4 Indemnification. The Consultant shall save, keep, hold harmless and indemnify and defend the Town its elected and appointed officials, agents, employees and volunteers from all damages, liabilities, penalties, costs, or expenses in law or equity that may at any time arise or be set up because of damages to property or personal injury received by reason of, or in the course of performing work which may be occasioned by a willful or negligent act or omissions of the Consultant, or any of the Consultant's officers, employees, or agents or any subconsultant.
IV. GENERAL TERMS
4.1 Waiver. No failure on the part of either party to exercise any right or remedy hereunder shall operate as a waiver of any other right or remedy that party may have hereunder, nor does waiver of a breach or default under this Agreement constitute a continuing waiver of a subsequent breach of the same or any other provision of this Agreement.
4.2 Governing Law. This Agreement, regardless of where executed, shall be governed by and construed to the laws of the State of California. Venue for any action regarding this Agreement shall be in the Superior Court of the County of Santa Clara.
4.3 Termination of Agreement. The Town and the Consultant shall have the right to terminate this agreement with or without cause by giving not less than fifteen days (15) written notice of termination. In the event of termination, the Consultant shall deliver to the Town all plans, files, documents, reports, performed to date by the Consultant. In the event of such termination, Town shall pay Consultant an amount that bears the same ratio to the maximum contract price as the work delivered to the Town bears to completed services contemplated under this Agreement, unless such termination is made for cause, in which event, compensation, if any, shall be adjusted in light of the particular facts and circumstances involved in such termination.
4.4 Amendment. No modification, waiver, mutual termination, or amendment of this Agreement is effective unless made in writing and signed by the Town and the Consultant.
4.5 Disputes. In any dispute over any aspect of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, including costs of appeal.
4.6 Notices. Any notice required to be given shall be deemed to be duly and properly given if mailed postage prepaid, and addressed to:
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
Town of Los Gatos
Attn: Town Clerk
110 E. Main Street
Los Gatos, CA 95030
DLR Group
18294 Sonoma Highway
Sonoma, CA 95476
or personally delivered to Consultant to such address or such other address as Consultant designates in writing to Town.
4.7 Order of Precedence. In the event of any conflict, contradiction, or ambiguity between the terms and conditions of this Agreement in respect of the Products or Services and any attachments to this Agreement, then the terms and conditions of this Agreement shall prevail over attachments or other writings.
4.8 Entire Agreement. This Agreement, including all Exhibits, constitutes the complete and exclusive statement of the Agreement between the Town and Consultant. No terms, conditions, understandings or agreements purporting to modify or vary this Agreement, unless hereafter made in writing and signed by the party to be bound, shall be binding on either party.
ITEM NO. 5.
Agreement for Consultant Services
DLR Group ATTACHMENT 1
IN WITNESS WHEREOF, the Town and Consultant have executed this Agreement.
Town of Los Gatos by:
________________________________________
Chris Constantin, Town Manager
DLR Group by:
________________________________________
Michael B. Ross, AIA NCARB, Vice President, Principal
Architect
Recommended by:
________________________________________
Nicolle Burnham,
Director of Parks and Public Works
Approved as to Form:
________________________________________
Gabrielle Whelan, Town Attorney
ITEM NO. 5.
1 DLR Group inc.
a California corporation
18294 Sonoma Highway
Sonoma, CA 95476
August 22, 2025
Nicolle Burnham
Parks & Public Works Director
Parks & Public Works Department
41 Miles Avenue
Los Gatos, CA 95030
Via email: [email protected]
Re: Town of Los Gatos-Monte Sereno Police Department: Proposal for Facility Programming and Concept Services for the Los Gatos-Monte Sereno Police Department Operations Center Dear Nicolle:
DLR GROUP is pleased to submit this proposal for Facility Programming and Concept Design Services studying the feasibility for the potential expansion of the Los Gatos Monte Sereno Police Department (LGMSPD) Police Operations Center, 15900 Los Gatos Boulevard, Los Gatos, CA to accommodate the relocation of the LGMSPD’s Administration, Records and Dispatch functions from the Town’s civic center to the existing Police Operations Center site.
The following describes our project understanding, scope of work and fee.
PROJECT UNDERSTANDING
In 2009 the Town of Los Gatos completed the adaptation and expansion of a prior Verizon call center building at 15900 Los Gatos Boulevard, CA into the Los Gatos Police Department Operations Center. Due to organizational and budget decisions at the time, the Los Gatos Police Department facilities were split into two locations; Patrol, Investigations, Community Services, Traffic and the Emergency Operations Center were located at the new Police
ITEM NO. 5.
2 Operations Center, and Administration, Records and Dispatch remained at the town’s Civic Center site. The Police Department continues to operate in dual facilities today.
Los Gatos-Monte Sereno Police Department Organizational Assessment Study In 2024, Los Gatos commissioned the Los Gatos-Monte Sereno Police Department Organizational Assessment Study (Study) prepared by Meliora Public Safety Consultants. The Study provided a comprehensive organizational assessment of the Los Gatos-Monte Sereno Police Department to address opportunities for operational improvement to be more aligned with 21st Century policing. The Study found that overall, the LGMSPD was fully committed to their public safety mission and to continuous improvement and learning. One of the study’s primary recommendations was for the police department’s facilities to be reunified and combined into a single building. The current two-building model was found not to be conducive to team communication, organizational alignment and optimization of command-and-control functions.
The Study recommended a detailed space and functional analysis be prepared to explore the potential for combining all police department functions into a right sized single facility. In response, Los Gatos identified the existing Police Operations Center as a potential candidate site and building to house the entire police department and requested DLR Group provide a proposal for facility programming, conceptual design and site analysis services exploring the feasibility of combining all police department functions at the current Police Department Operations Center site. The following describes the scope of work for these services.
SCOPE OF WORK
DLR Group has organized Facility Programming and Conceptual Design Service Study into the following tasks and fees.
Task 1: Project Start Up & Orientation
Project start up activities include reviewing previously published planning data, reviewing existing drawings as built drawings and participation in a site visit and tour of the current police spaces in the Police Operations Center and Civic Center, and one-on-one meetings with the Chief of Police and Public Works Director.
Deliverables
Deliverables for this task include:
Site visit, orientation meeting and interviews with Chief of Police and Public Works Director.
Development of a proposal for services, contract negotiation and receipt of a Notice to Proceed (NTP).
ITEM NO. 5.
3 Task 2: Space Needs Assessment Services
The Space Needs Assessment process will begin with an onsite Kick Off meeting to confirm the project’s scope, schedule and deliverables followed by user group interviews with the Police Department and other Town stakeholders.
The user group interviews will allow representatives of each police department division to discuss their division’s respective workload, staff, space, security and functional requirements. The user group interviews will be split into two separate sessions to allow department representatives who are on alternating duty days to attend.
The focus of the Space Needs Assessment will establish the baseline staffing, space, functional, site and security requirements for 2025 and projected to a planning horizon of 2040.
The outcome of this process will be documented in Program Space Requirements (PSR) spreadsheets which upon approval by the Police Department and Town, will form the Basis of Design for the later site analysis, conceptual design, and construction cost estimation tasks.
The projected 2040 gross building area requirements will be compared to the existing building area in the current Police Operations Center, with any resulting area differences being used to guide the development of potential space plan solutions for a combined Police Station facility.
Deliverables
Deliverables for this task include:
• Kick off meeting.
• User Group Interview Session 1
• User Group Interview Session 2
• Update existing as built drawings to reflect space plan changes since 2009. • Preparation of Draft and Final Program Space Requirements (PSR) spreadsheets with base year 2025 projected to 2040.
• Draft PSR client review
• Final PSR forms the space needs Basis of Design (BOD)for this project.
ITEM NO. 5.
4 Task 3: Site Analysis Services
Based on the approved BOD established in Task 2, DLR Group will analyze the current Los Gatos Boulevard site to assess its relative capacity to potentially accommodate future building additions, vehicle circulation, additional parking demand and associated other site improvements including emergency generator, underground redundant water storage and sewer storage tanks, stormwater management systems, landscaping and other associated site improvements should they be required to serve a potentially larger consolidated station.
This task will also assess the feasibility and respective pros and cons of potentially locating some police vehicles at the Monte Bello parking lot should parking lot expansion capacity be limited at the current site.
Deliverables
Deliverables for this task include:
• Concept design level site diagrams illustrating the capacity of the existing site to accommodate the site design attributes necessary to support the Los Gato Police Department’s 2040 building and site improvement requirements.
Task 4: Concept Design
Based on the information developed during Tasks 2 and 3, DLR Group will convert the existing AutoCAD files to a 3D Revit model and prepare conceptual floor plan diagrams showing potential solutions to accommodate the relocation of all police department divisions and functions from the Civic Center to the existing or expanded Police Operations Center.
Deliverables for this task include:
• Conversion of the 2008 AutoCAD files to 3D Revit model • Conceptual floor plans and associated site plans
• Client reviews and choice of the preferred design concept or hybrid thereof for cost estimation purposes.
Task 5: Construction Cost Estimation
Based on the approved conceptual space plan and site design, and building system general written design criteria, Cumming, DLR Group’s professional cost consultant will prepare a concept design level statement of probable cost for the selected concept design, projected to a midpoint of construction August 2027.
Deliverables for this task include:
• Draft Statement of Probable Construction Cost
ITEM NO. 5.
5 • Review meetings and discussion.
• Final Statement of Probable Construction Cost
Task 6: Summary Documentation & Recommendations
Based on the approved concept design and budget, DLR Group will document the findings of the facility plan in a written and graphic report for presentation to the Town of Los Gatos for consideration.
Deliverables for this task include:
• Draft written and graphic facility plan document.
• Client review and feedback
• Final written and graphic facility plan document.
Task 7. Town Council/Planning Commission Presentations
DLR Group can support and aid the Police Department in presentations to the Town Council or Planning Commission upon request with in-person attendance to discuss the merits and findings of the Feasibility Assessment as well as answer questions.
Deliverables for this task include:
• Assume two meetings including travel expenses at cost per meeting of $3,500.
PROPOSAL ASSUMPTIONS
The focus of this study identifies police department staffing, space needs and site requirements at the existing Police Operations Center site only. This facility assessment study excludes opinions on the current condition of existing structural, electrical, lighting, HVAC, security or low voltage systems. Building system assessment services are available but currently optional to this proposal.
Site design will be a high-level conceptual study focusing on the feasibility of accommodating the expected increased parking and site improvement needs of an enlarged police station at the site. DLR Group is available to provide added civil engineering design services as an optional service should the Town request.
The adoption of all or partial requirements of NPFA 1225/1221 for the design of Emergency Communication Centers for this project will be a decision by the Los Gatos-Monte Sereno Police Department and the AHJ. DLR Group requests directions on this decision prior to initiation of the construction cost estimation task.
FEE SCHEDULE SUMMARY
ITEM NO. 5.
6 DLR Group’s fee summary per design phase is provided below.
A/E SERVICES FEE SUMMARY PER DESIGN PHASE
# PHASE Total Fee Per Phase
($)
Remarks
1. Project Start Up/ NTP 4,500
2. Space Needs Assessment 17,600
3. Site Test Fit Analysis 14,300
4. Concept Design 24,200
5. Construction Cost Estimation 12,000
6. Summary Documentation &
Recommendations
16,000
7. Town Council or Planning
Commission Presentations
7,000 Assume two meetings
$3,500 each invoiced
hourly
8. Sub-Total 95,600
Reimbursable Expenses 2,500
8. Total Fee $98,100
HOURLY RATES
Title Client Hourly Billing Rate
Senior Expert $350
Expert $300
Practice Leader $265
Project Leader $235
Senior Professional $205
Professional II $175
Professional $145
Professional Support $115
Technical/Clerical $90
PROJECT TEAM
The following consultants are included in the proposal.
Base Services
Architectural Planning: DLR Group
Cost Estimating: Cumming
SCHEDULE
The proposal is based on the following schedule and reflects our understanding of the project timeline while incorporating our work plan.
ITEM NO. 5.
7 Feasibility Phase: Three Months
Construction Cost Estimation & Final Documentation: One Month
AGREEMENT FOR PROFESSIONAL SERVICES
Should the Town have a standard contract for professional services, we can review that for acceptance. Otherwise, we can also offer all general Terms and Conditions to be per the industry standard American Institute of Architects B109 Standard Form of Agreement Between Owner and Architect or other mutually agreed upon Terms and Conditions established prior to the commencement of our professional services for this project. We will prepare this agreement in conjunction with you.
EXCLUSIONS
The following services are currently excluded from this proposal. • Reality capture or scanning existing buildings.
• Security or threat assessment services
• Design of facilities other than the current Police Operations Center • Geotechnical testing, soils, and seismic reports
• Site topographic survey
• Title company services
• Subsurface utility service exploration or mapping
• Hazardous materials analysis, definition, or abatement • Arborist services
• CEQA Initial Study
• Biological resources consultant
• Cultural resources consultant
• Traffic Engineering
• Vehicle miles travelled study.
• Greenhouse gas emissions study
• Design or erection of story poles
• Provision of schematic design, design development, construction document, bidding or construction phase services
• Structural, civil, mechanical, electrical, plumbing, lighting, computer aided dispatch (CAD) or emergency radio system and other low voltage system engineering or design. • Landscape architecture
• Computer aided dispatch (CAD) or emergency radio system specification or design • Interior design services or specification of furniture fixtures and equipment (FF&E).
ITEM NO. 5.
8 ADDITIONAL SERVICES
1. All other services that are considered added services (beyond the scope of work noted here) will be billed on an hourly basis per our standard hourly rates. Please refer to our current hourly rate schedule.
2. This proposal assumes owner-provided plans are sufficiently accurate for this initial assessment phase. However, our team can take field measurements to physically confirm and document the existing facility within the proposed area of renovation.
INSURANCE
DLR Group carries the following insurance and will provide the Owner with certificates:
• Comprehensive General Liability $1,000,000 for each occurrence and in the aggregate for bodily injury and property damage
• Automobile Liability - $1,000,000 combined single limit and aggregate for bodily injury and property damage
• Workers’ Compensation - $1,000,000
• Professional Liability - $2,000,000 per claim and in the aggregate for Architect’s negligent acts, errors, and omissions
Thank you for this opportunity to be part of this important project. We look forward to joining the Los Gatos-Monte Serno Police Department Project Team to deliver a successful project.
Please contact me at 707-996-8448 or via email at [email protected] should you like to discuss this proposal.
Sincerely,
Michael B. Ross, AIA NCARB
Principal | Architect
DLR Group
ITEM NO. 5.
PREPARED BY: Saurabh Nijhawan
Senior Civil Engineer
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 6
DATE: August 20, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Authorize the Town Manager to Execute a Notice of Completion for the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (Legacy CIP No. 813-9921, New Project No. 4118120) and Authorize Staff to Record the Notice of Completion
RECOMMENDATION: Accept the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (Legacy CIP No. 813-9921, New Project No. 4118120) and authorize the Town Manager to execute a Notice of Completion; and direct staff to record the Notice of Completion
FISCAL IMPACT:
There are no fiscal impacts associated with the recommended actions. This report is meant to close out the contract with Spektren Engineering Inc. associated with the 2025 work. There were sufficient funds available in the CIP Budget for the Annual Curb, Gutter, and Sidewalk Maintenance Project (Legacy CIP No. 813-9921, New Project No. 4118120), and the project fund balance will carry over to next year’s project.
STRATEGIC PRIORITY:
This item is not associated with a Strategic Priority. This project supports the Core Goal of Quality Public Infrastructure. The improvements improve safety for all users and support compliance with the American with Disabilities Act (ADA).
BACKGROUND:
The adopted Fiscal Year (FY) 2024/25-2028/29 Capital Improvement Program (CIP) Budget designates funding for the 2025 Annual Curb, Gutter, and Sidewalk Maintenance Project (CIP No. 24-813-9921). The goal of this annually funded project is to replace and improve damaged
ITEM NO. 6.
PAGE 2 OF 3
SUBJECT: Actions Related to the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (CIP No. 24-813-9921), Completed by Spektren Engineering, Inc DATE: August 20, 2025
or outdated curbs, gutters, sidewalks, driveways, and curb ramps within the Town’s jurisdiction to address safety and operational issues and to improve accessibility.
The 2025 Annual Curb, Gutter, and Sidewalk Maintenance (Concrete) Project work includes replacing or retrofitting curb ramps for compliance with the Americans with Disabilities Act (ADA) and other accessibility requirements. Title II of the ADA obligates jurisdictions to upgrade non-conforming curb ramps when streets are resurfaced from one intersection to another. The United States Department of Justice has determined that surface treatments such as asphalt overlay, rubber cape seal, and micro-surfacing trigger the requirement for ADA compliant curb ramps on associated streets.
On February 28, 2025, staff began advertising the project, and bids were opened on March 17, 2025. The Town received bid proposals from eight bidders. Spektren Engineering was the lowest responsive bidder.
On May 6, 2025, the Town Council authorized the Town Manager to execute a construction contract with Spektren Engineering Inc., in the amount of $162,200, with a ten percent (10%) contingency of the contract award amount.
DISCUSSION:
Project construction commenced on June 2, 2025, and was completed on June 28, 2025. The work has been completed to the satisfaction of the Town Engineer as noted in Attachment 2.
The project included 14 new ADA compliant curb ramps, 541 linear feet of curb and gutter repair, and 1,100 square feet of sidewalk replacement. The total cost associated with Spektren’s contract was $162,200. There was no change orders associated with this project, leaving the contingency balance untouched. Staff recommends that the Town Council accept the construction of the project and authorize staff to record the Notice of Completion (Attachment 1).
ITEM NO. 6.
PAGE 3 OF 3
SUBJECT: Actions Related to the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project (CIP No. 24-813-9921), Completed by Spektren Engineering, Inc DATE: August 20, 2025
CONCLUSION:
This action formally accepts the contractor’s work and affirms that it meets the Town’s standards and requirements. The completion of the required work finalizes all contractual obligations, allowing for the release of retention.
COORDINATION:
This project has been coordinated with the Finance Department.
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA but is Categorically Exempt (Section 15301). A Notice of Exemption was previously filed.
Attachments:
1. Notice of Completion
2. Verification of Work
Existing Appropriations
GFAR FY 2024-25 $ 731,201
Total Budget $ 731,201
Existing Expenditures including encumbrances
Construction - Villalobos & Associates $ 450,145
Construction - Precision Emprise $ 3,892
Construction - Spektren Engineering Inc $ 162,200
Consultation Services - Ninyo & Moore General Engineers $ 5,276 Consultation Services - ISI Inspeciton Services Inc $ 22,562 Advertising $ 888
Other Costs $ 53
Total Expenditures $ 645,015
Project Balance $ 86,186
Staff Costs
Operating Budget $ 94,868
Total Staffing $ 94,868
FY 2024-25 Curb, Gutter, and Sidewalk Maintenance
Project 813-9921
ITEM NO. 6.
2025 Annual Curb, Gutter and
Sidewalk Maintenance Project 2025 Form NOTICE OF COMPLETION Project Number 24-813-9921 Page 1
ATTACHMENT 1
Recording Requested By:
Town of Los Gatos
When Recorded Mail To:
Town Clerk
Town of Los Gatos
110 E Main St
Los Gatos, CA 95030
EXEMPT FROM RECORDING FEES PER
GOVERNMENT CODE § 27383
SPACE ABOVE THIS LINE IS FOR RECORDER’S USE
NOTICE OF COMPLETION
Civil Code §§ 9204 and 9208
NOTICE IS HEREBY GIVEN THAT:
1. The undersigned is the agent of the owner of the Project described below.
2. Owner’s full name is: Town of Los Gatos.
3. Town’s address is: 110 E. Main Street., Los Gatos, CA 95030.
4. The nature of Town’s interest in the Project is:
X Fee Ownership __ Lessee __ Other:_____________
5. Construction work on the Project performed on Town’s behalf is generally described as follows:
Furnishing all labor, materials, tools, equipment, and services required for completion of the 2025 Annual Curb, Gutter and Sidewalk Maintenance Project, located in the Town of Los Gatos, County of Santa Clara, State of California.
6. The name of the original Contractor for the Project is: Spektren Engineering, Inc. located at 7810 Monterey Rd Ste. B, Gilroy, CA, 95020.
7. The Project was accepted as complete on: September 16, 2025.
8. The Project is located at: Various Locations in the Town of Los Gatos.
Verification: In signing this document, I, the undersigned, declare under penalty of perjury under the laws of the State of California that I have read this notice, and I know and understand the contents of this notice, and that the facts stated in this notice are true and correct. __________________________ ________________________________ Date and Place Signature
________________________________
Chris Constantin, Town Manager
EXEMPT FROM NOTARY ACKNOWLEDGMENT REQUIREMENTS PER
GOVERNMENT CODE § 27287 AND CIVIL CODE § 9208
ITEM NO. 6.
Parks and Public Works Department • Engineering Division 41 Miles Ave, Los Gatos, CA 95030 • 408.399.5771 • www.losgatosca.gov
TOWN OF LOS GATOS
PARKS AND PUBLIC WORKS COMMENTS
To: Chris Constantin
From: Nicolle Burnham
Date: August 18, 2025
Subject: Notice of Acceptance
Acceptance of Work for the 2025 Annual Curb, Gutter, and Sidewalk Maintenance Project (CIP No. 24- 813-9921)
The work performed under this contract was inspected by authorized representatives of the Town, Contractor and Engineer, and determined to be complete. The Town Engineer acknowledges the completion of this project and requests the Town Manger to sign the Certificate of Acceptance form.
Date of Final Inspection: 6/28/25
Project Participants: Kevin Selfridge, Saurabh Nijhawan, Gary Heap (Town of Los Gatos) Emiliano Villalobos (Spektren Engineering Inc)
1. All construction and punch list items have been completed? Yes
2. All change orders have been executed? Yes
3. Claims if any have been resolved? N/A
REVIEWED AND APPROVED BY:
DATE:
SENIOR CIVIL ENGINEER
DATE:
TOWN ENGINEER
DATE:
DIRECTOR OF PUBLIC WORKS
8-20-25
8/20/2025
8/20/25
ATTACHMENT 2
ITEM NO. 6.
Parks and Public Works Department • Engineering Division 41 Miles Ave, Los Gatos, CA 95030 • 408.399.5771 • www.losgatosca.gov
TOWN OF LOS GATOS
PARKS AND PUBLIC WORKS COMMENTS
ITEM NO. 6.
PREPARED BY: Sean R. Rose
Special Projects Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, , and Parks and Public Works Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 09/16/2025
ITEM NO: 7
DATE: August 29, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Take Actions to Proceed with Executing an Agreement for Construction Services with Casey Construction, Inc. to Complete the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) (Legacy CIP No. 25-816-0420; New Project No. 4618304, 4628305, 4638306) RECOMMENDATION: Authorize the Town Manager to award and execute a public works contract with Casey Construction, Inc. (Attachment 1) in the amount of $101,052 for the Annual Storm Drain Improvements Project:
Vasona Storm Drain Replacement (Phase 1) (Legacy CIP No. 25-816- 0420; New Project No. 4618304, 4628305, 4638306); authorize the Town Manager to execute change orders in an amount not to exceed $15,158 which represents fifteen percent (15%) of the contract award amount for a total contract amount not to exceed $116,210; approve the project construction documents per Government Code 830.6 – Design Immunity; and find this project to be Categorically Exempt under Section 15302(c) (replace or reconstruct existing utility systems or facilities) of the California Environmental Quality Act.
FISCAL IMPACT:
The total construction cost for the Vasona Storm Drain Replacement (Phase 1) is $101,052, with an additional 15% contingency of $15,158, for a total not-to-exceed amount of $116,210.
Sufficient funds are available in the FY 2025/26 Capital Improvement Program (CIP) Budget for the Annual Storm Drain Improvements Project (Legacy CIP No. 25-816-0420; New Project Nos. 4618304, 4628305, 4638306) to fully fund the contract, contingency, and associated project delivery costs.
ITEM NO. 7.
PAGE 2 OF 4
SUBJECT: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) DATE: August 29, 2025
A detailed breakdown of budget funding is provided in the fiscal table in the Discussion section.
STRATEGIC PRIORITY:
This project supports the Core Goal of Quality Public Infrastructure. The proposed work maintains the condition of Town storm drain facilities and transportation systems and ensures safety for all users.
BACKGROUND:
The adopted 2025/26-2029/30 Capital Improvement Program (CIP) Budget designates funding for the Annual Storm Drain Improvements Project (Legacy CIP No. 25-816-0420; New Project No. 4618304, 4628305, 4638306). The goal of this annually funded project is to replace and improve storm drainage infrastructure within the Town’s jurisdiction to address safety and operational issues.
The Town was contacted by Santa Clara County Parks in Spring 2025 regarding a sinkhole within Vasona Park associated with a Town storm drain that has closed a portion of the park. Upon investigation, staff determined that the storm drain in question is a 36” diameter corrugated metal pipe that runs approximately 210 feet from the west side of University Avenue eastward to Vasona Reservoir through Santa Clara County and Valley Water property, approximately 100 feet north of the intersection of University Avenue and Vasona Oaks Drive.
The entire length of the pipe has failed and needs replacement. In addition to the recent field investigation, the pipe has been identified for replacement in the Town’s Storm Drain Master Plan.
The Vasona Storm Drain Replacement (Phase 1) project will replace approximately 36 linear feet of the failed storm drainpipe across University Avenue within the Town right of way. The remaining 174 feet of storm drain not replaced as part of this project will be replaced as part of a Phase 2 project to allow more time for permitting and easement acquisition from the County, Valley Water, and the state and federal resource agencies.
The project will replace the 36’ segment via open-trench method and any voids found during excavation caused by the failed pipe will be filled and compacted and approximately 20’ of the roadway centered on the trench will be paved for the full width of University Avenue. The work is anticipated to take two weeks to complete.
Work is expected to be completed by mid-October in advance of Fantasy of Lights, hosted by Santa Clara County. Traffic control plans will be reviewed and approved by the Town Engineer.
ITEM NO. 7.
PAGE 3 OF 4
SUBJECT: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) DATE: August 29, 2025
Outreach to impacted residents will be through the Town’s website, social media, and advanced work zone message boards.
DISCUSSION:
The Storm Drain Replacement (Phase 1) (Legacy CIP No. 25-816-0420; New Project No. 4618304, 4628305, 4638306) was advertised for bid on Friday, August 12, 2025. The engineer’s estimate was $80,000 - $100,000.
On August 28, 2025, bid packages were opened, with four contractors submitting bids. A summary of bid results is presented in Table 1 with Casey Construction as the apparent low bidder. A detailed list of bid results in Attachment 2.
Table 1. Bid Summary for Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) (CIP No. 25-816-0420):
Contractor Bid Amount
Casey Construction, Inc. $101,052
C2R Construction, Inc. $107,862
Pacific Underground Construction, Inc. $186,508
Galeb Paving, Inc. $188,560
Government Code 830.6 states that neither a public entity nor a public employee is liable under this chapter for an injury caused by the plan, design or construction of, or an improvement to, public property where such plan or design has been approved in advance of the construction or improvement by the legislative body. Staff requests that the Town Council approve the construction plans including technical specifications for this project (Attachment 3).
The following fiscal table for the Annual Storm Drain Improvements (Legacy CIP No. 25-816- 0420; New Project No. 4618304, 4628305, 4638306) provides the current fiscal year budget, existing expenditures, proposed transactions requested with this staff report, and the resulting available budget.
ITEM NO. 7.
PAGE 4 OF 4
SUBJECT: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) DATE: August 29, 2025
CONCLUSION:
The proposed actions would allow the Town to proceed with executing an agreement for construction services with Casey Construction, Inc. to complete the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) within the Town.
COORDINATION:
This memorandum has been prepared in coordination with the Finance Department and the Town Attorney’s Office.
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA as being Categorically Exempt pursuant to CEQA Guidelines Section 15302(c) (replace or reconstruct existing utility systems or facilities). A Notice of Exemption has been filed by the County Clerk.
Attachments:
1. Construction Agreement with Exhibit A - Bid Summary
2. Bid Results
3. Construction Plans including Technical Specifications Budget
Storm Basin #2 - FY2425 Carryforward $ 47,053
Storm Basin #3 - FY2425 Carryforward $ 163,770
Subtotal $210,823
Expenditures
Existing Expenditures including encumbrances
Consultant Services - Bellecci & Associates (dba Sanbell) $ 30,001 Expenditures Recommended with this Staff Report
Construction Contract - Casey Construction $ 101,052
Construction Contingency - 15% $ 15,158
Subtotal $ 146,211
Balance $ 64,612
FY2526 Annual Storm Drain Improvements Project
Legacy CIP No. 25-816-0420
New Project No. 4618304, 4628305, 4638306
ITEM NO. 7.
Construction Agreement
Casey Construction
Contract
Vasona Storm Drain Replacement (Phase 1)
This public works contract (“Contract”) is entered into by and between Town of Los Gatos (“Town”) and Casey Construction, Inc.(“Contractor”), for work on the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420 (“Project”).
The parties agree as follows:
1. Award of Contract. In response to the Notice Inviting Bids, Contractor has submitted a Bid Proposal to perform the Work to construct the Project. On September 16, 2025, the Town Council authorized award of this Contract to Contractor for the amount set forth in Section 4, below. Town has elected to include the following Project alternate(s) in the Contract: No alternates.
2. Contract Documents. The Contract Documents incorporated into this Contract include and are comprised of all of the documents listed below. The definitions provided in Article 1 of the General Conditions apply to all of the Contract Documents, including this Contract.
2.1 Notice Inviting Bids;
2.2 Instructionsto Bidders;
2.3 Addenda, if any;
2.4 Bid Proposal and attachments thereto;
2.5 Contract;
2.6 Payment and Performance Bonds;
2.7 General Conditions;
2.8 Special Conditions;
2.9 Project Plans and Specifications;
2.10 Change Orders, if any;
2.11 Notice of Potential Award;
ATTACHMENT 1 Page 80
ITEM NO. 7.
Construction Agreement
Casey Construction
2.12 Notice to Proceed; and
2.13 The following: Exhibit A
3. Contractor’s Obligations. Contractor will perform all of the Work required for the Project, as specified in the Contract Documents. Contractor must provide, furnish, and supply all things necessary and incidental for the timely performance and completion of the Work, including all necessary labor, materials, supplies, tools, equipment, transportation, onsite facilities, and utilities, unless otherwise specified in the Contract Documents. Contractor must use its best efforts to diligently prosecute and complete the Work in a professional and expeditious manner and to meet or exceed the performance standards required by the Contract Documents.
4. Payment. As full and complete compensation for Contractor’s timely performance and completion of the Work in strict accordance with the terms and conditions of the Contract Documents and bid summary attached as Exhibit A, Town will pay Contractor $101,052 (“Contract Price”) for all of Contractor’s direct and indirect costs to perform the Work, including all labor, materials, supplies, equipment, taxes, insurance, bonds and all overhead costs, in accordance with the payment provisions in the General Conditions.
5. Time for Completion. Contractor will fully complete the Work for the Project, meeting all requirements for Final Completion, within FOURTEEN (14) calendar days from the start date set forth in the Notice to Proceed (“Contract Time”). By signing below, Contractor expressly waives any claim for delayed early completion.
6. Liquidated Damages. As further specified in Section 5.4 of the General Conditions, if Contractor fails to complete the Work within the Contract Time, Town will assess liquidated damages in the amount of Five Thousand Dollars ($5,000.00) per day for each day of unexcused delay in achieving Final Completion, and such liquidated damages may be deducted from Town’s payments due or to become due to Contractor under this Contract.
7. Labor Code Compliance.
7.1 General. This Contract is subject to all applicable requirements of Chapter 1 of Part 7 of Division 2 of the Labor Code, including requirements pertaining to wages, working hours and workers’ compensation insurance, as further specified in Article 9 of the General Conditions.
ITEM NO. 7.
Construction Agreement
Casey Construction
7.2 Prevailing Wages. This Project is subject to the prevailing wage requirements applicable to the locality in which the Work is to be performed for each craft, classification or type of worker needed to perform the Work, including employer payments for health and welfare, pension, vacation, apprenticeship and similar purposes. Copies of these prevailing rates are available online at http://www.dir.ca.gov/DLSR.
7.3 DIR Registration. Town may not enter into the Contract with a bidder without proof that the bidder and its Subcontractors are registered with the California Department of Industrial Relations to perform public work pursuant to Labor Code § 1725.5, subject to limited legal exceptions.
8. Workers’ Compensation Certification. Pursuant to Labor Code § 1861, by signing this Contract, Contractor certifies as follows: “I am aware of the provisions of Labor Code § 3700 which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the Work on this Contract.”
9. Conflicts of Interest. Contractor, its employees, Subcontractors, and agents may not have, maintain, or acquire a conflict of interest in relation to this Contract in violation of any Town ordinance or requirement, or in violation of any California law, including Government Code § 1090 et seq., or the Political Reform Act, as set forth in Government Code § 81000 et seq. and its accompanying regulations. Any violation of this Section constitutes a material breach of the Contract.
10. Independent Contractor. Contractor is an independent contractor under this Contract and will have control of the Work and the means and methods by which it is performed.
Contractor and its Subcontractors are not employees of Town and are not entitled to participate in any health, retirement, or any other employee benefits from Town.
11. Notice. Any notice, billing, or payment required by or pursuant to the Contract Documents must be made in writing, signed, dated, and sent to the other party by personal delivery, U.S. Mail, a reliable overnight delivery service, or by email as a PDF file. Notice is deemed effective upon delivery, except that service by U.S. Mail is deemed effective on the second working day after deposit for delivery. Notice for each party must be given as follows:
ITEM NO. 7.
Construction Agreement
Casey Construction
Town:
Invoices:
Town of Los Gatos
Attn: Accounts Payable
P.O. Box 655
Los Gatos, CA 95031-0655
Email (preferred): [email protected]
Notices:
Town of Los Gatos
Attn: Town Clerk
110 E. Main Street
Los Gatos, CA 95030
Contractor:
Name: Casey Construction, Inc.
Address: 619 SYLVAN WAY
City/State/Zip: Emerald Hills, CA 94062
Phone: (650) 369-1876
Attn: Espy Buenrostro
Email: [email protected]
12. General Provisions.
12.1 Assignment and Successors. Contractor may not assign its rights or obligations under this Contract, in part or in whole, without Town’s written consent. This Contract is binding on Contractor’s and Town's lawful heirs, successors and permitted assigns.
12.2 Third Party Beneficiaries. There are no intended third party beneficiaries to this Contract.
12.3 Governing Law and Venue. This Contract will be governed by California law and venue will be in the Santa Clara County Superior Court, and no other place. Contractor waives any
ITEM NO. 7.
Construction Agreement
Casey Construction
right it may have pursuant to Code of Civil Procedure § 394, to file a motion to transfer any action arising from or relating to this Contract to a venue outside of Santa Clara County, California.
12.4 Amendment. No amendment or modification of this Contract will be binding unless it is in a writing duly authorized and signed by the parties to this Contract.
12.5 Integration. This Contract and the Contract Documents incorporated herein, including authorized amendments or Change Orders thereto, constitute the final, complete, and exclusive terms of the agreement between Town and Contractor.
12.6 Severability. If any provision of the Contract Documents is determined to be illegal, invalid, or unenforceable, in whole or in part, the remaining provisions of the Contract Documents will remain in full force and effect.
12.7 Iran Contracting Act. If the Contract Price exceeds $1,000,000, Contractor certifies, by signing below, that it is not identified on a list created under the Iran Contracting Act, Public Contract Code § 2200 et seq. (the “Act”), as a person engaging in investment activities in Iran, as defined in the Act, or is otherwise expressly exempt under the Act.
12.8 Authorization. Each individual signing below warrants that he or she is authorized to do so by the party that he or she represents, and that this Contract is legally binding on that party. If Contractor is a corporation, signatures from two officers of the corporation are required pursuant to California Corporations Code § 313. [Signatures are on the following page.]
ITEM NO. 7.
Construction Agreement
Casey Construction
The parties agree to this Contract as witnessed by the signatures below:
Town: Approved as to form:
s/ s/
Chris Constantin, Town Manager Gabrielle, Whelan, Town Attorney Date: Date:
Attest:
s/
Wendy Wood, CMC, Town Clerk
Date:
CONTRACTOR: Casey Construction, Inc.
s/
Brenden Casey, CEO
Date:
Contractor's CA License #459579 Expires July 31, 2026
END OF CONTRACT
ITEM NO. 7.
Exhibit A
Bid Summary
ITEM NO. 7.
Town of Los Gatos Parks and Public Works Department
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project (CIP No. 25-816-0420) Casey Construction - Exhibit A Bid Summary
Line Item Description Quantity Unit of Measure Unit Cost Total 1 Traffic Control 1 LS $6,740.00 $6,740.00
2 Erosion and Sediment Control 1 LS $3,000.00 $3,000.00 3 Utility & Agency Coordination 1 LS $7,000.00 $7,000.00 4 Potholing 1 EA $1,400.00 $1,400.00
5 Remove and Replace Existing 36# CMP with New 36" HDPE Corrugated Dual-Wall (Type S) by Open Trench Method 36 LF $1,100.00 $39,600.00 6 CLSM Backfill Outside Trench Limits 20 CY $350.00 $7,000.00 7 Cold Plane - 2" 817 SF $36.00 $29,412.00
8 HMA (Type A) PG-64-16 15 TONS $460.00 $6,900.00
Total $101,052.00
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PAYMENT BOND
Payment Bond
The Town of Los Gatos (“Town”) and Casey Construction, Inc. (“Contractor”) have entered into a contract for work on the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) (“Project”). The Contract is incorporated by reference into this Payment Bond (“Bond”).
1. General. Under this Bond, Contractor as principal and , its surety (“Surety”), are bound to Town as obligee in an amount not less than $ , under California Civil Code § 9550 et seq., to ensure payment to authorized claimants. This Bond is binding on the respective successors, assigns, owners, heirs, or executors of Surety and Contractor.
2. Surety’s Obligation. If Contractor or any of its Subcontractors fails to pay a person authorized in California Civil Code § 9100 to assert a claim against a payment bond, any amounts due under the Unemployment Insurance Code with respect to work or labor performed under the Contract, or any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of Contractor and its Subcontractors under California Unemployment Insurance Code § 13020 with respect to the work and labor, then Surety will pay the obligation.
3. Beneficiaries. This Bond insures to the benefit of any of the persons named in California Civil Code § 9100, so as to give a right of action to those persons or their assigns in any suit brought upon this Bond. Contractor must promptly provide a copy of this Bond upon request by any person with legal rights under this Bond.
4. Duration. If Contractor promptly makes payment of all sums for all labor, materials, and equipment furnished for use in the performance of the Work required by the Contract, in conformance with the time requirements set forth in the Contract and as required by California law, Surety’s obligations under this Bond will be null and void.
Otherwise, Surety’s obligations will remain in full force and effect.
5. Waivers. Surety waives any requirement to be notified of alterations to the Contract or extensions of time for performance of the Work under the Contract. Surety waives the provisions of Civil Code §§ 2819 and 2845. Town waives the requirement of a new bond for any supplemental contract under Civil Code § 9550. Any notice to Surety may be given in the manner specified in the Contract and sent to Surety as follows:
Attn:
Address:
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PAYMENT BOND
Town/State/Zip:
Phone:
Email:
6. Law and Venue. This Bond will be governed by California law, and venue for any dispute pursuant to this Bond will be in the Santa Clara County Superior Court, and no other place. Surety will be responsible for Town’s attorneys’ fees and costs in any action to enforce the provisions of this Bond.
[Signatures are on the following page.]
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PAYMENT BOND
7. Effective Date; Execution. This Bond is entered into and is effective on , 20 .
SURETY:
Business Name
s/
Date
Name, Title
(Attach Acknowledgment with Notary Seal and Power of Attorney) CONTRACTOR:
Business Name
s/
Date
Name, Title
APPROVED BY TOWN:
s/
Date
Name, Title
END OF PAYMENT BOND
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PERFORMANCE BOND
Performance Bond
The Town of Los Gatos (“Town”) and Casey Construction, Inc. (“Contractor”) have entered into a contract for work on the Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) (“Project”). The Contract is incorporated by reference into this Performance Bond (“Bond”).
1. General. Under this Bond, Contractor as principal and , its surety (“Surety”), are bound to Town as obligee for an amount not less than $ to ensure Contractor’s faithful performance of its obligations under the Contract. This Bond is binding on the respective successors, assigns, owners, heirs, or executors of Surety and Contractor.
2. Surety’s Obligations. Surety’s obligations are co-extensive with Contractor’s obligations under the Contract. If Contractor fully performs its obligations under the Contract, including its warranty obligations under the Contract, Surety’s obligations under this Bond will become null and void. Otherwise, Surety’s obligations will remain in full force and effect.
3. Waiver. Surety waives any requirement to be notified of and further consents to any alterations to the Contract made under the applicable provisions of the Contract Documents, including changes to the scope of Work or extensions of time for performance of Work under the Contract. Surety waives the provisions of Civil Code §§ 2819 and 2845.
4. Application of Contract Balance. Upon making a demand on this Bond for completion of the Work prior to acceptance of the Project, Town will make the Contract Balance available to Surety for completion of the Work under the Contract.
For purposes of this provision, the Contract Balance is defined as the total amount payable by Town to Contractor as the Contract Price minus amounts already paid to Contractor, and minus any liquidated damages, credits, or backcharges to which Town is entitled under the terms of the Contract.
5. Contractor Default. Upon written notification from Town of Contractor’s termination for default under Article 13 of the Contract General Conditions, time being of the essence, Surety must act within the time specified in Article 13 to remedy the default through one of the following courses of action:
5.1 Arrange for completion of the Work under the Contract by Contractor, with Town’s consent, but only if Contractor is in default solely due to its financial inability to complete the Work;
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PERFORMANCE BOND
5.2 Arrange for completion of the Work under the Contract by a qualified contractor acceptable to Town, and secured by performance and payment bonds issued by an admitted surety as required by the Contract Documents, at Surety’s expense; or
5.3 Waive its right to complete the Work under the Contract and reimburse Town the amount of Town’s costs to have the remaining Work completed.
6. Surety Default. If Surety defaults on its obligations under the Bond, Town will be entitled to recover all costs it incurs due to Surety’s default, including legal, design professional, or delay costs.
7. Notice. Any notice to Surety may be given in the manner specified in the Contract and sent to Surety as follows:
Attn:
Address:
Town/State/Zip:
Phone:
Fax:
Email:
8. Law and Venue. This Bond will be governed by California law, and venue for any dispute pursuant to this Bond will be in the Santa Clara County Superior Court, and no other place. Surety will be responsible for Town’s attorneys’ fees and costs in any action to enforce the provisions of this Bond.
9. Effective Date; Execution. This Bond is entered into and effective on , 20 .
SURETY:
Business Name
s/
Date
Name, Title
ITEM NO. 7.
Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #816-0420
PERFORMANCE BOND
(Attach Acknowledgment with Notary Seal and Power of Attorney) CONTRACTOR:
Business Name
s/
Date
Name, Title
APPROVED BY TOWN:
s/
Date
Name, Title
END OF PERFORMANCE BOND
ITEM NO. 7.
PROJECT
PLANS AND SPECIFICATIONS
FOR
Project #25-816-0420
ANNUAL STORM DRAIN IMPROVEMENTS:
VASONA STORM DRAIN REPLACEMENT
(PHASE 1)
Bid Opening
Thursday, August 28, 2025, 1:30 pm
ISSUE DATE: August 12, 2025
ATTACHMENT 2
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 2 Issued August 12, 2025
ITEM NO. 7.
ANNUAL STORM DRAIN IMPROVEMENTS: VASONA STORM DRAIN
REPLACEMENT (PHASE 1)
#25-816-0420
TABLE OF CONTENTS
1. NOTICE INVITING BIDS ...............................................................................
2. Instructions to Bidders...............................................................................
3. Bid Schedule ..............................................................................................
4. Vendor Questionnaire................................................................................
5. General Conditions....................................................................................
6. Special Conditions......................................................................................
7. General Constructions Requirements and Technical Specfications............
Attachments:
A - Vasona SD Phase 1 Bid Set Plans and Technical Specifications B - Sample_Contract
C - Storm_Water_Pollution_Control_Ordinance
D - Blueprint_for_a_Clean_Bay
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 4 1. NOTICE INVITING BIDS
1.1. Bid Submission
The Town of Los Gatos (“Town”) will accept electronic bids for its Project # Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) Project #25-816-0420 (“Project”), by or before Thursday, August 28, 2025, at 1:30 pm, via the Town’s bidding site at https://procurement.opengov.com/portal/losgatosca, at which time the bids will be opened electronically, as further specified in the Instructions to Bidders.
1.2. Project Information
A. Location and Description - The Project involves the replacement of a storm drain across University Avenue and associated work within the Town, as shown in Attachment A, Project Plans, incorporated herein.
B. Time for Final Completion - The Project must be fully completed within 14 calendar days from the start date set forth in the Notice to Proceed. Town anticipates that the Work will begin on or about Monday, October 6, 2025 but the anticipated start date is provided solely for convenience and is neither certain nor binding.
C. Estimated Cost. The estimated construction cost is $80,000 - $100,000.
1.3. License and Registration Requirements
A. License - This Project requires a valid California contractor’s license for the following classification(s): Class A.
B. DIR Registration - Town may not accept a Bid Proposal from or enter into the Contract with a bidder, without proof that the bidder is registered with the California Department of Industrial Relations (“DIR”) to perform public work pursuant to Labor Code § 1725.5, subject to limited legal exceptions.
1.4. Contract Documents
The plans, specifications, bid forms and contract documents for the Project, and any addenda thereto (“Contract Documents”) may be downloaded from Town’s bidding site https://procurement.opengov.com/portal/losgatosca. Printed copy of the Contract Documents is not available from the Town.
1.5. Bid Security
The Bid Proposal must be accompanied by bid security of ten percent of the maximum bid amount, in the form of a cashier’s or certified check made payable to Town, or a bid bond executed by a surety licensed to do business in the State of California on the Bid Bond form included with the Contract Documents. The bid security must guarantee that within ten days after Town issues the Notice of Potential Award, the successful bidder will execute the Contract and submit the payment and performance bonds, insurance certificates and endorsements, valid Certificates of Reported Compliance
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 5 as required under the California Air Resources Board’s In-Use Off-Road Diesel-Fueled Fleets Regulation (13 CCR § 2449 et seq.) (“Off-Road Regulation”), if applicable, and any other submittals required by the Contract Documents and as specified in the Notice of Potential Award.
1.6. Prevailing Wage Requirements
A. General - Pursuant to California Labor Code § 1720 et seq., this Project is subject to the prevailing wage requirements applicable to the locality in which the Work is to be performed for each craft, classification or type of worker needed to perform the Work, including employer payments for health and welfare, pension, vacation, apprenticeship and similar purposes.
B. Rates - The prevailing rates are on file with the Town and are available online at http://www.dir.ca.gov/DLSR. Each Contractor and Subcontractor must pay no less than the specified rates to all workers employed to work on the Project. The schedule of per diem wages is based upon a working day of eight hours. The rate for holiday and overtime work must be at least time and one-half.
C. Compliance - The Contract will be subject to compliance monitoring and enforcement by the DIR, under Labor Code § 1771.4.
1.7. Retention
The percentage of retention that will be withheld from progress payments is 5 %.
1.8. Performance and Payment Bonds
The successful bidder will be required to provide performance and payment bonds, each for 100% of the Contract Price, as further specified in the Contract Documents.
1.9. Substitution of Securities
Substitution of appropriate securities in lieu of retention amounts from progress payments is permitted under Public Contract Code § 22300
1.10. Subcontractor List
Each Subcontractor must be registered with the DIR to perform work on public projects. Each bidder must submit a completed Subcontractor List form with its Bid Proposal, including the name, location of the place of business, California contractor license number, DIR registration number, and percentage of the Work to be performed (based on the base bid price) for each Subcontractor that will perform Work or service or fabricate or install Work for the prime contractor in excess of one-half of 1% of the bid price, using the Subcontractor List form included with the Contract Documents.
1.11. Instructions to Bidders
All bidders should carefully review the Instructions to Bidders for more detailed information before submitting a Bid Proposal. The definitions provided in Article 1 of the General Conditions apply to all of the Contract Documents, as defined therein, including this Notice Inviting Bids.
By: /s/ Wendy Wood, Town Clerk
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 6 Publication Date: Tuesday, August 12, 2025
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 7 2. Instructions to Bidders
Each Bid Proposal submitted to Town of Los Gatos (“Town”) for its Annual Storm Drain Improvements:
Vasona Storm Drain Replacement (Phase 1) Project #25-816-0420 (“Project”) must be submitted in accordance with the following instructions and requirements:
2.1. Bid Submission
A. General - Each bidder must register for an account on the Town’s bidding site, https://procurement.opengov.com/portal/losgatosca to submit the Bid Proposal electronically.
Plans, Specifications, and Addendums (if any) may be viewed and downloaded free of charge via the internet at https://procurement.opengov.com/portal/losgatosca. To be included on the Plan Holder’s List for the Project, registered users must download the Plans and Specifications from the bidding website. Each Bid Proposal must be completed and submitted electronically through the bidding site, with all required forms and attachments, by or before the date and time set forth in Section 1 of the Notice Inviting Bids, or as amended by subsequent addendum. Faxed or emailed Bid Proposals will not be accepted. Late submissions will not be considered. Town reserves the right to postpone the date or time for receiving or opening bids. Each bidder is solely responsible for all of its costs to prepare and submit its bid and by submitting a bid waives any right to recover those costs from Town. The bid price(s) must include all costs to perform the Work as specified, including all labor, material, supplies, and equipment and all other direct or indirect costs such as applicable taxes, insurance and overhead.
B. Bid Opening - Bids timely submitted via the Town’s bidding portal will be opened and publicly read aloud during a Zoom meeting after bids have closed on the day and time listed above.
While the bid opening is conducted virtually, bid openings can optionally be viewed in person at the Town Clerk's office at 110 E. Main Street, Los Gatos, CA 95030. Here is the Zoom link to participate:
https://losgatoscagov.zoom.us/j/86433089834?pwd=C6BLmQqpG8zVOD8yQ3r0q9EetNlGDH.1 Webinar ID:
864 3308 9834 Passcode: 627091
A. DIR Registration - Subject to limited legal exceptions for joint venture bids and federally-funded projects, Town may not accept a Bid Proposal from a bidder without proof that the bidder is registered with the DIR to perform public work under Labor Code § 1725.5. If Town is unable to confirm that the bidder is currently registered with the DIR, Town may disqualify the bidder and disregard its bid. (Labor Code §§ 1725.5 and 1771.1(a).)
2.2. Bid Proposal
A Bid Proposal submitted with exceptions or terms such as “negotiable,” “will negotiate,” or similar, will be considered nonresponsive. Each Bid Proposal must be accompanied by bid security, as set forth in Section titled "Bid Security" below, and by a completed Subcontractor List and Non-Collusion
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 8 Declaration using the forms included with the Contract Documents, and any other required enclosures, as applicable.
2.3. Bid Security
Each Bid Proposal must be accompanied by bid security of ten percent of the maximum bid amount, in the form of a cashier’s check or certified check, made payable to the Town, or bid bond using the form included in the Contract Documents and executed by a surety licensed to do business in the State of California. The bid security must guarantee that, within ten days after issuance of the Notice of Potential Award, the bidder will: execute and submit the enclosed Contract for the bid price; submit payment and performance bonds for 100% of the maximum Contract Price; submit the insurance certificates and endorsements; and submit valid Certificates of Reported Compliance as required by the Off-Road Regulation, if applicable, and any other submittals, if any, required by the Contract Documents or the Notice of Potential Award. A Bid Proposal may not be withdrawn for a period of 60 days after the bid opening without forfeiture of the bid security, except as authorized for material error under Public Contract Code § 5100 et seq.
2.4. Liquidated Damages
As further specified in Section 5.4 of the General Conditions, if Contractor fails to complete the Work within the Contract Time, Town will assess liquidated damages in the amount of $$5,000 per day for each day of unexcused delay in achieving Final Completion, and such liquidated damages may be deducted from Town’s payments due or to become due to Contractor under this Contract.
2.5. Requests for Information
Questions or requests for clarifications regarding the Project, the bid procedures, or any of the Contract Documents must be submitted through the Town’s bidding site https://procurement.opengov.com/portal/losgatosca and received a minimum of five (5) working days prior to the scheduled bid opening. Oral responses are not authorized and are not binding on the Town.
Bidders should submit any such written inquiries at least five Working Days before the scheduled bid opening. Questions received any later might not be addressed before the bid deadline. An interpretation or clarification by Town in response to Questions or requests for clarifications will be issued through an addendum no later than 72 hours prior to bid opening.
2.6. Pre-Bid Investigation
A. General - Each bidder is solely responsible at its sole expense for diligent and thorough review of the Contract Documents, examination of the Project site, and reasonable and prudent inquiry concerning known and potential site and area conditions prior to submitting a Bid Proposal.
Each bidder is responsible for knowledge of conditions and requirements which reasonable review and investigation would have disclosed. However, except for any areas that are open to the public at large, bidders may not enter property owned or leased by the Town or the Project site without prior written authorization from Town.
B. Document Review - Each bidder is responsible for review of the Contract Documents and any informational documents provided “For Reference Only,” e.g., as-builts, technical reports, test
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 9 data, and the like. A bidder is responsible for notifying Town of any errors, omissions, inconsistencies, or conflicts it discovers in the Contract Documents, acting solely in its capacity as a contractor and subject to the limitations of Public Contract Code § 1104. Notification of any such errors, omissions, inconsistencies, or conflicts must be submitted in writing to the Town no later than five Working Days before the scheduled bid opening. (See Section 5, above.) Town expressly disclaims responsibility for assumptions a bidder might draw from the presence or absence of information provided by Town.
C. Project Site - Questions regarding the availability of soil test data, water table elevations, and the like should be submitted to the Town through the bidding site, as specified in Section 5, above. Any subsurface exploration at the Project site must be done at the bidder’s expense, but only with prior written authorization from Town. All soil data and analyses available for inspection or provided in the Contract Documents apply only to the test hole locations. Any water table elevation indicated by a soil test report existed on the date the test hole was drilled.
The bidder is responsible for determining and allowing for any differing soil or water table conditions during construction. Because groundwater levels may fluctuate, difference(s) in elevation between ground water shown in soil boring logs and ground water actually encountered during construction will not be considered changed Project site conditions. Actual locations and depths must be determined by bidder’s field investigation. The bidder may request access to underlying or background information on the Project site in Town’s possession that is necessary for the bidder to form its own conclusions, including, if available, record drawings or other documents indicating the location of subsurface lines, utilities, or other structures.
D. Utility Company Standards - The Project must be completed in a manner that satisfies the standards and requirements of any affected utility companies or agencies (collectively, “utility owners”). The successful bidder may be required by the third party utility owners to provide detailed plans prepared by a California registered civil engineer showing the necessary temporary support of the utilities during coordinated construction work. Bidders are directed to contact the affected third party utility owners about their requirements before submitting a Bid Proposal.
2.7. Bidders Interested in More Than One Bid
No person, firm, or corporation may submit or be a party to more than one Bid Proposal unless alternate bids are specifically called for. However, a person, firm, or corporation that has submitted a subcontract proposal or quote to a bidder may submit subcontract proposals or quotes to other bidders.
2.8. Addenda
Any addenda issued prior to the bid opening are part of the Contract Documents. Subject to the limitations of Public Contract Code § 4104.5, Town reserves the right to issue addenda prior to bid time.
Each bidder is solely responsible for ensuring it has received and reviewed all addenda prior to
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 10 submitting its bid. Bidders should check Town’s site periodically for any addenda or updates on the Project at https://procurement.opengov.com/portal/losgatosca.
2.9. Brand Designations and “Or Equal” Substitutions
Any specification designating a material, product, thing, or service by specific brand or trade name, followed by the words “or equal,” is intended only to indicate quality and type of item desired, and bidders may request use of any equal material, product, thing, or service. All data substantiating the proposed substitute as an equal item must be submitted with the written request for substitution. A request for substitution must be submitted within 35 days after Notice of Potential Award unless otherwise provided in the Contract Documents. This provision does not apply to materials, products, things, or services that may lawfully be designated by a specific brand or trade name under Public Contract Code § 3400(c).
2.10. Bid Protest
Any bid protest against another bidder must be submitted in writing and received by Town sent via email to Gary Heap, Town Engineer, at [email protected] before 5:00 p.m. no later than two Working Days following bid opening (“Bid Protest Deadline”) and must comply with the following requirements:
A. General - Only a bidder who has actually submitted a Bid Proposal is eligible to submit a bid protest against another bidder. Subcontractors are not eligible to submit bid protests. A bidder may not rely on the bid protest submitted by another bidder, but must timely pursue its own protest. For purposes of this Section 10, a “Working Day” means a day that Town is open for normal business, and excludes weekends and holidays observed by Town. Pursuant to Public Contract Code § 4104, inadvertent omission of a Subcontractor’s DIR registration number on the Subcontractor List form is not grounds for a bid protest, provided it is corrected within 24 hours of the bid opening or as otherwise provided under Labor Code § 1771.1(b).
B. Protest Contents - The bid protest must contain a complete statement of the basis for the protest and must include all supporting documentation. Material submitted after the Bid Protest Deadline will not be considered. The protest must refer to the specific portion or portions of the Contract Documents upon which the protest is based. The protest must include the name, address, email address, and telephone number of the protesting bidder and any person submitting the protest on behalf of or as an authorized representative of the protesting bidder.
C. Copy to Protested Bidder - Upon submission of its bid protest to Town, the protesting bidder must also concurrently transmit the protest and all supporting documents to the protested bidder, and to any other bidder who has a reasonable prospect of receiving an award depending upon the outcome of the protest, by email or hand delivery to ensure delivery before the Bid Protest Deadline.
D. Response to Protest - The protested bidder may submit a written response to the protest, provided the response is received by Town before 5:00 p.m., within two Working Days after the Bid Protest Deadline or after actual receipt of the bid protest, whichever is sooner (the
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 11 “Response Deadline”). The response must attach all supporting documentation. Material submitted after the Response Deadline will not be considered. The response must include the name, address, email address, and telephone number of the person responding on behalf of or representing the protested bidder if different from the protested bidder.
E. Copy to Protesting Bidder - Upon submission of its response to the bid protest to the Town, the protested bidder must also concurrently transmit by email or hand delivery, by or before the Response Deadline, a copy of its response and all supporting documents to the protesting bidder and to any other bidder who has a reasonable prospect of receiving an award depending upon the outcome of the protest.
F. Exclusive Remedy - The procedure and time limits set forth in this Section are mandatory and are the bidder’s sole and exclusive remedy in the event of a bid protest. A bidder’s failure to comply with these procedures will constitute a waiver of any right to further pursue a bid protest, including filing a Government Code Claim or initiation of legal proceedings.
G. Right to Award - Town reserves the right, acting in its sole discretion, to reject any bid protest that it determines lacks merit, to award the Contract to the bidder it has determined to be the responsible bidder submitting the lowest responsive bid, and to issue a Notice to Proceed with the Work notwithstanding any pending or continuing challenge to its determination.
2.11. Reservation of Rights
Town reserves the unfettered right, acting in its sole discretion, to waive or to decline to waive any immaterial bid irregularities; to accept or reject any or all bids; to cancel or reschedule the bid; to postpone or abandon the Project entirely; or to perform all or part of the Work with its own forces. The Contract will be awarded, if at all, within 60 days after opening of bids or as otherwise specified in the Special Conditions, to the responsible bidder that submitted the lowest responsive bid. Any planned start date for the Project represents the Town’s expectations at the time the Notice Inviting Bids was first issued. Town is not bound to issue a Notice to Proceed by or before such planned start date, and it reserves the right to issue the Notice to Proceed when the Town determines, in its sole discretion, the appropriate time for commencing the Work. The Town expressly disclaims responsibility for any assumptions a bidder might draw from the presence or absence of information provided by the Town in any form. Each bidder is solely responsible for its costs to prepare and submit a bid, including site investigation costs.
2.12. Bonds
Within ten calendar days following Town’s issuance of the Notice of Potential Award to the successful bidder, the bidder must submit payment and performance bonds to Town as specified in the Contract Documents using the bond forms included in the Contract Documents. All required bonds must be calculated on the maximum total Contract Price as awarded, including additive alternates, if applicable.
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 12 2.13. License(s)
The successful bidder and its Subcontractor(s) must possess the California contractor’s license(s) in the classification(s) required by law to perform the Work. The successful bidder must also obtain a Town business license within ten (10) days following Town’s issuance of the Notice of Potential Award.
Subcontractors must also obtain a Town business license before performing any Work.
2.14. Ineligible Subcontractor
Any Subcontractor who is ineligible to perform work on a public works project under Labor Code §§ 1777.1 or 1777.7 is prohibited from performing work on the Project.
2.15. Safety Orders
If the Project includes construction of a pipeline, sewer, sewage disposal system, boring and jacking pits, or similar trenches or open excavations, which are five feet or deeper, each bid must include a bid item for adequate sheeting, shoring, and bracing, or equivalent method, for the protection of life or limb, which comply with safety orders as required by Labor Code § 6707.
2.16. In-Use Off-Road Diesel-Fueled Fleets
If the Project involves the use of vehicles subject to the California Air Resources Board’s In-Use Off-Road Diesel-Fueled Fleets Regulation (13 CCR § 2449 et seq.) (“Off-Road Regulation”), then within ten calendar days following Town’s issuance of the Notice of Potential Award to the successful bidder, the bidder must submit to Town valid Certificates of Reported Compliance for its fleet and its listed Subcontractors, if applicable, in accordance with the Off-Road Regulation, unless exempt under the OffRoad Regulation.
2.17. Subcontractor Work Limits
The prime contractor must perform at least 20% of the Work on the Project, calculated as a percentage of the base bid price, with its own forces, except for any Work identified as “Specialty Work” in the Contract Documents. The total bid amount for any such Specialty Work, as shown on the Bid Schedule, may be deducted from the base bid price before computing the 20% self-performance requirement. The remaining Work may be performed by qualified Subcontractor(s).
2.18. Additive and Deductive Alternates
As required by Public Contract Code § 20103.8, if this bid solicitation includes additive or deductive items, the following method will be used to determine the lowest bid: The lowest bid will be the lowest bid price on the base contract without consideration of the prices on the additive or deductive items.
2.19. Bid Schedule
Each bidder must complete the Bid Schedule form with unit prices as indicated, and submit the completed Bid Schedule with its Bid Proposal.
A. Estimated Quantities - Unless identified as a “Final Pay Quantity,” the quantities shown on the Bid Schedule are estimated and the actual quantities required to perform the Work may be greater or less than the estimated amount. The Contract Price will be adjusted to reflect the
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 13 actual quantities required for the Work based on the itemized or unit prices provided in the Bid Schedule, with no allowance for anticipated profit for quantities that are deleted or decreased, and no increase in the unit price, and without regard to the percentage increase or decrease of the estimated quantity and the actual quantity.
2.20. For Reference Only
The following documents are provided “For Reference Only,” as defined in Section 3.4 of the General Conditions:
(Please list all attachments in alphabetical order in the format shown below and then delete this instruction)
• ATTACHMENT C - Blueprint for a Clean Bay
• ATTACHMENT D - Town of Los Gatos Storm Water Pollution Control Ordinance
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 14 3. Bid Schedule
This Bid Schedule must be completed and included with the Bid Proposal. Pricing must be provided for each Bid Item as indicated. Items marked “(SW)” are Specialty Work that must be performed by a qualified Subcontractor. The lump sum or unit cost for each item must be inclusive of all costs, whether direct or indirect, including profit and overhead. The sum of all amounts entered in the “Extended Total Amount” column must be identical to the Base Bid price entered in Section 1 of the Bid Proposal form.
AL = Allowance CF = Cubic Feet CY = Cubic Yard EA = Each LB = Pounds LF = Linear Foot LS = Lump Sum SF = Square Feet TON = Ton (2000 lbs) Line Item Description Quantity Unit of
Measure
Unit Cost Total
1 Traffic Control 1 LS
2 Erosion and Sediment Control 1 LS
3 Utility & Agency Coordination 1 LS
4 Potholing 1 EA
5 Remove and Replace Existing 36#
CMP with New 36" HDPE Corrugated
Dual-Wall (Type S) by Open Trench
Method
36 LF
6 CLSM Backfill Outside Trench Limits 20 CY
7 Cold Plane - 2" 817 SF
8 HMA (Type A) PG-64-16 15 TONS
TOTAL
ITEM NO. 7.
Invitation For Bid #25-816-0420
Title: Annual Storm Drain Improvements: Vasona Storm Drain Replacement (Phase 1) 15 4. Vendor Questionnaire
4.1. Formation date of company*
*Response required
4.2. Number of years providing the specified services*
*Response required
4.3. Indicate whether Proposer has been or is the subject of a bankruptcy or insolvency proceeding or subject to assignment for the benefit of creditors. *
*Response required
4.4. Indicate whether Proposer has ever failed to complete any Agreement awarded to it. If so, note when, where, and why. Attach additional sheets, if necessary. *
*Response required
4.5. Will you be using subcontractor/s?*
☐ Yes
☐ No
*Response required
When equals "Yes"
4.5.1. Subcontractor's list*
Please download the below documents, complete, and upload. • Subsontractors_list.pdf
*Response required
4.6. Please provide Bid Bond*
Please download the below documents, complete, and upload. • bid_bond.pdf
*Response required
4.7. Noncollusion Declaration*
Please download the below documents, complete, and upload. • Noncollusion_declaration_fo...
*Response required
4.8. Bidder’s Certifications and Warranties. *
By confirming and submitting this Bid Proposal, Bidder certifies and warrants the following: