Item #08
Date: August 18, 2026
To: Mayor and City Council
From: Jeramy Chapdelaine, Public Works Director/Chief Building Official Subject: Award of Contract for City Hall Restroom Remodel Project Recommendation:
Pass a Motion to: 1) Award the City Hall Restroom Remodel Project to Xeela Engineering in the amount of $229,000 as the lowest responsive and responsible bidder; 2) Approve a 15% construction contingency in the amount of $34,350, for a total project authorization of $263,350; 3) Authorize the City Manager to execute the construction contract and related documents, subject to approval as to form by the City Attorney; and 4) Authorize the City Manager to approve contract change orders within the approved project authorization and minor, non-substantive changes as necessary for project implementation.
Background:
The City solicited competitive bids for the City Hall Restroom Remodel Project at 526 C Street.
The project will remodel the existing City Hall restroom facilities and includes demolition, plumbing, mechanical, electrical, accessibility improvements, finishes, fixtures, and related work.
Bids were opened on August 6, 2026, at 2:00 p.m. The City received a total of ten bids. Xeela Engineering submitted the lowest bid in the amount of $229,000. The next two lowest bids were $269,111 from Lemida and $300,000 from Pridex. The complete bid results are included as Attachment 1.
Discussion & Analysis:
Staff reviewed the bid submitted by Xeela Engineering for compliance with the bid requirements.
Xeela submitted a Base Bid of $229,000, and its Bid Schedule supports the same total amount.
During review, staff identified that Xeela acknowledged receipt of Addenda Nos. 1 and 2 on its signed Bid Proposal but did not include separately signed copies of the addenda in the bid package. The City Attorney reviewed the issue and determined that, because the addenda were expressly acknowledged in the signed Bid Proposal, the omission of separately signed copies may be treated as a minor, waivable irregularity and does not affect the responsiveness of the bid.
Item #08
Based on staff and legal review, Xeela Engineering is the lowest responsive and responsible bidder. Staff therefore recommends award of the construction contract to Xeela Engineering in the amount of $229,000.
Environmental Impact:
The project is exempt from environmental review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301, Existing Facilities, because the project consists of interior alterations and improvements to an existing public facility with no expansion of the existing use.
Legal Review:
The bid documents and identified bid irregularity have been reviewed by the City Attorney. The City Attorney determined that Xeela Engineering's acknowledgment of the addenda on its signed Bid Proposal is sufficient to allow the City to waive the failure to attach separately signed copies as a minor irregularity.
Alignment with City Council Goal(s):
The project supports the City Council's goals of maintaining and improving City facilities, addressing accessibility and deferred maintenance needs, and ensuring City facilities remain safe and functional for the public and employees.
Fiscal Analysis:
The recommended construction contract amount is $229,000. A 15% construction contingency of $34,350 is recommended to address unforeseen conditions and necessary changes that may arise during construction, resulting in a total project authorization of $263,350. Funding is available within the approved project budget.
Attachment(s):
1) Bid Results
2) Xeela Engineering Bid Proposal
3) Construction Contract