City Council Agenda Report
February 3, 2026
TO: Honorable City Council
FROM: Jesus M. Gomez, City Manager
BY: Albert Mendoza, P.E., Director of Public Services/City Engineer Mario Mera, Engineering Division Manager
Run Chen, P.E., Principal Civil Engineer
Nathan Garcia, Assistant Engineer
SUBJECT: PROJECT NO. 7941 – AWARD OF CONTRACT – CONSTRUCTION SERVICES
FOR COMMUNITY DEVELOPMENT BLOCK GRANT CONCRETE AMERICANS WITH DISABILITIES ACT IMPROVEMENTS 2026, ENGINEER'S REPORT NO. 26-10
Background:
On December 12, 2025, staff solicited for construction bids for the Community Development Block Grant (CDBG) Concrete American with Disabilities Act (ADA) Improvements 2026 – Project No. 7941. The scope of work includes removal and replacement of sidewalk, curb and gutter, curb ramps, driveway approaches, incidental asphalt work, and traffic control. An additive bid schedule was included in the solicitation to allow for additional scope of work if the prices from the lowest responsible bidder were within the available budget.
On January 15, 2026, the City received nine bids, which were publicly opened. Seven bids were found to be non-responsive. Below are the responsive bid results:
Rank Contractor Amount
1 Towo Enterprise, Inc. $607,100
2 Pavement Rehab Company $848,000
The Engineer’s Estimate for the project is $600,000.
Staff conducted a bid analysis, including checks to the contractor’s state licensing, Department of Industrial Relations registration, state and federal debarment list, reference checks, and CDBG funding requirements. As a result, staff recommend awarding the project to the lowest
City Council February 3, 2026
Project No. 7941 – Award of Contract Page No. 2
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responsive bidder, Towo Enterprise, Inc. Based on the pricing provided by Towo Enterprise, Inc., sufficient funding is available and staff recommend the inclusion of the additive bid schedule in the project.
The following is an estimated cost breakdown of the total project costs:
Construction Cost: $ 607,100
Contingency (40%): $ 247,850
Subtotal: $ 854,950
Administration (5%) $ 42,747
Total Estimated Cost: $ 897,697
From issuance of the Notice to Proceed, the projected start date is late February 2026 and project completion is anticipated to be May 2026.
Fiscal Impact:
Project expenditures are funded through Fiscal Year 2025/26 approved CDBG funds. No General Fund Monies are used for this project.
Citizens Advised:
N/A
Strategic Plan 2023 Implementation:
The recommended actions will further the City’s 2023 Strategic Plan, Goal 2 Work in Partnership with Our Community to Achieve Safe and Livable Neighborhoods, Object 1, Re-invest in existing and aging infrastructure.
Recommended Action:
Staff recommend City Council award a contract to Towo Enterprise, Inc. in the amount of $607,100 with a 40% contingency for construction services for Project No. 7941; and authorize the City Manager to execute the contract with any amendments within the contingency, on behalf of the City, in a form approved by the City Attorney.
Attachments:
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