CITY OF MENIFEE
SUBJECT: Bid Award and Agreement with Deeb Construction, Inc. for Construction Services for the Cherry Hills Interior
Improvement Project
MEETING DATE: April 15, 2026
TO: Mayor and City Council
PREPARED BY: Michael To, Project Manager
REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
1. Award bid and authorize the City Manager to execute a Contract Services Agreement with Deeb Construction, Inc. for construction services for the Cherry Hills Facility Improvements - Phase I, Capital Improvement Program (CIP) Project No. 23-13, located at 26800 Cherry Hills Boulevard, in a total amount not-to-exceed amount of $980,000; and
2. Adopt two budget amendment resolutions (BARs) authorizing the appropriation of a transfer out in the amount of $30,000 from available fund balance in Fund 1110 IT ISF and into expenditures within the Capital Projects Fund 4320 to the Project account.
DISCUSSION
The Cherry Hills Facility Improvements – Phase I Project, CIP No. 23-13 (Project), located at 26800 Cherry Hills Boulevard, is a project to provide interior improvements to an existing building that was previously operating as a Bank of America for the Sun City community. The City purchased the 9,800 square-foot facility in April 2023 with the intention of providing additional space for the expanding Menifee Police Department (MPD), which currently operates out of a leased satellite office located in the nearby Cherry Hills Plaza.
During the Project’s planning and design phase asbestos abatement was completed throughout the building structure. Phase I would now provide improvements to approximately 3,064 square feet of the facility to accommodate MPD staff. The Project scope includes addition of a new partition wall, reconstruction of the public lobby, restrooms, and kitchen area, as well as office areas and workstations for 20 officers. Improvements would also upgrade existing electrical, plumbing, and HVAC systems, security systems, windows, and access doors, as well as retrofit the existing parking lot and walkways to comply with current Americans with Disabilities Act (ADA) standards.
City of Menifee Staff Report
CIP 23-13 Deeb Construction Inc Agreement
April 15, 2026
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The proposed improvements would allow the facility to house assigned MPD personnel and would provide additional space for future City Hall staff, as needed. The Project supports the City’s Strategic Plan Goal to enhance public safety by creating an additional MPD location to serve the public and provide additional access to safety service in the northeastern portion of the City.
On March 16, 2026, an electronic bid opening was held following the administration of a formal competitive bid process for construction services for the Project. The bid opening resulted in the receipt of 14 bid responses as summarized in Table 1 below.
TABLE 1 – BID RESULTS SUMMARY
Firm Name Total Base Bid
Amount
Lowest and
Responsible Bidder
Architects/Engineers Estimate $1,261,510
Wakeco Inc. $969,800.00
Deeb Construction Inc $980,000.00 X
YMC $1,044,505.00
Co Brothers LLC $1,099,000.00
Blackstar Contractors, Inc $1,129,630.00
Loghmani & Associates, Inc. $1,161,759.52
Rdependable Const Inc $1,184,000.00
Spec Construction Co Inc $1,186,700.00
CALTEC Corp. $1,265,000.00
Empire Design & Build $1,295,000.00
Blackstone Builders Inc. $1,300,534.00
ZZ Construction Inc. $1,327,000.00
MLC Constructors Inc $1,399,890.00
Caliba Inc. $1,405,000.00
Staff reviewed the bid submissions and determined the initial apparent lowest bidder to be non- responsive based on the total percentage of subcontracted work proposed exceeding the bidding requirements. In turn, staff reviewed the next lowest bidder submission and determined that Deeb Construction, Inc. (“Contractor”) met the requirements for recommendation as the lowest responsive and responsible bidder. The total cost for construction services submitted by the Contractor is $980,000. Construction management and inspection services would be provided by City staff and ancillary services, such as labor compliance, materials testing, network, cabling, and security systems installation, and design services support, would be procured separately.
If approved by the City Council, the tentative Project schedule would be as follows:
Projected Construction Start: May 2026
Projected Construction End: December 2026
City Council Acceptance: April 2027
The timeline above assumes no delays due to weather or unforeseen conditions.
The amount of the proposed agreement exceeds the City Manager’s signing authority. Pursuant to Resolution No. 24-1569 and Menifee Municipal Code §3.12.060, any contract amount that exceeds the City Manager’s signing authority shall be approved by the City Council.
City of Menifee Staff Report
CIP 23-13 Deeb Construction Inc Agreement
April 15, 2026
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STRATEGIC PLAN OBJECTIVE
Safe and Vibrant Community
FISCAL IMPACT
The fiscal impact of the proposed Contract with Deeb Construction Inc., is in the total amount not- to-exceed $980,000. The total anticipated fiscal impact for the construction phase of the Project is $1,220,760, which includes the cost of the Contract, required ancillary services such as materials testing, labor compliance, network installation, design services support, as well as unforeseen costs that may arise during construction. Funding for the proposed Contract is available in the FY 2025/2026 Capital Project budget within the Measure DD – Quality of Life (QOL) Fund (4320-PWD-CIPS-905-01105-690000).
Costs to establish network connectivity and security systems for the Project are estimated at $80,000 and are reflected in the total construction phase cost of $1,220,760. A portion of this work is planned to be supported with available Information Technology (IT) Department funds, as shown in Table 2 below.
TABLE 2 –CAPITAL PROJECTS BUDGET
Funding Project String No. Available
Budget
Anticipated
Cost
Quality of Life (4320-PWD-CIPS-905-01105-690000)
CIP23-13.1105.CON.CAE $1,191,116.54 $980,000.00
Information
Technology
(4320-PWD-CIPS-905-01110-690000)
CIP23-13.1110.CON.CAE $30,000.00 $30,000.00
TOTAL $1,221,116.54 $1,110,000.00
As such, an additional budget appropriation in the amount of $30,000 is being requested from Fund 1110 IT ISF to support a portion of the required network, cabling, and security installation at the facility, as shown in Table 3 below.
TABLE 3 – PROPOSED APPROPRIATION BUDGET
Fund Account Number Account Appropriation
of Revenue
Appropriation of
Expenditures
IT Fund Transfer Out 904320 $30,000
Capital Projects Transfer In 801110 $30,000
Capital Projects Expenditure – CIP Budget 690050 $30,000
ATTACHMENTS
1. Project Location Map
2. Agreement
3. Budget Amendment Resolution – Fund 1110
4. Budget Amendment Resolution – Fund 4320