Capital Improvement Program
Semi-Annual Report
Agenda Item 12.C
By: Eric Eldridge, City Engineer
Meeting Date: October 21, 2025
Investing in Pismo Beach
•Capital Improvement Program
•Identify immediate needs and long-term requirements
•Design and construct new projects for public benefit
•Major maintenance of existing facilities
•Strategically look ahead to invest in future city needs 2 Completed Projects
3 Wastewater Treatment Plant Improvements
Digester #1 Demolition
•Demolition of defunct Digester #1
•Notice of Completion – May 20, 2025
4 Oak Park Medical Plaza Parking Lot Repair
•Removal and replacement of
damaged asphalt and sub-base
in privately-owned parking lot
•Damage due to valve rupture on
City-owned water infrastructure
•Notice of Completion – August
19, 2025
2022 Paving Project Areas
•Largest paving project the City has undertaken with approximately one-third (33%) of the streets in Pismo Beach being paved •$14 million invested
•Over two years to complete – NOC August 5, 2025
2022 Paving Project Areas
2022 Paving Project Areas
Studies
Future Infrastructure Improvements
14 Efforts to plan and prioritize construction projects also include the preparation of studies and planning
documents:
•Pavement Management Plan (PMP)
•Sewer System Management Plan (SSMP)
•Sewer Master Plan (SMP)
•Drainage Master Plan – Shell Beach, Downtown and the Heights
2026 Roadway Maintenance / Slurry Seal
Project - Year 1
17 Sewer System Management Plan and Sewer
Master Plan
18 The Sewer System Master Plan provides a plan and
schedule to properly manage, operate and maintain all
parts of the sanitary sewer system for regulatory
compliance.
•Last updated in 2020
•Updates required to remain in regulatory compliance
The Sewer Master Plan provides prioritized capital
improvements related to the sanitary sewer system
•Last updated in 2000
Projects In Design
21 Ventana Sports Courts Project- Out to Bid
Council Goal – Quality of Life
•New tennis and pickleball courts on Ventana Drive
•Crosswalk between Chumash Park and new courts
22 Addie Street Restroom Replacement
24 Shell Beach Road Shared Use Path
Council Goal – Streets and Infrastructure
•Phase 2 - Connect a new Class I multi-use path on Shell Beach Road between Avila Beach Drive roundabout and
Spyglass Drive
•30% plans – updating exhibits from input during the
September 21, 2025 City Council meeting
•Planning Commission October 28, 2025
25 New Production Well
•Replace existing Well #23 with
new water production well
•Well #23 has been evaluated –
recommend for replacement
28 Council Goal – Water Resources
Charles Street Reservoir Replacement
Council Goal – Water Resources
•Existing 100-year-old Reservoir reaching the end of useful life •Seismic upgrades, capacity increase, water quality monitoring •60% plans
•Re-evaluating the plans and recommendations for a project within budget 29 Facilities Condition Assessment
Council Goal - Streets and Infrastructure
•Comprehensive assessment of the current condition of all City owned facilities and a long-term facilities
maintenance plan – will inform future CIP
•Final reports for each facility have been provided
•Results being integrated into the City’s Asset
Management Program
30 Pier, Cypress Bridge and Pedestrian Bridge
Inspections
•Underwater and above water inspections performed and
Consultant has reports submitted to City staff
31 Pier, Cypress Bridge and Pedestrian Bridge
Inspections
32 Other Budgeted Projects
34 Other Projects for FY 2026
•Budgeted in FY26
•Eldwayen Park Sidewalk Re-route
•Price/Oceanview Intersection Improvements
•Vista Del Mar Stair Foundation Maintenance
•320/330 Main St. Parking Lot Design
•Vision Zero Action Plan
•Toucan Terrace Sewer Pipe Relining
•Evaluate Potential for Sports Courts Lighting
•Evaluate Potential for Price St. and Dolliver Parking Lot Lighting 35 Projects Under Construction
36 Public Safety Facility
Council Goal – Public Safety
•The Fire station Drywall is being installed
•The Police station: electrical and plumbing is being
installed
•Exterior Brick and Stucco Work
37 Public Safety Facility – Police Station
38 Public Safety Facility – Fire Station
40 Wastewater Treatment Plant Improvements
Clarifiers Rehabilitation
Council Goal - Streets and Infrastructure
•Clarifier being taken offline
42 Construction Economy and Market Trends
44 Construction Economy and Market Trends
45 •The economy and trends in construction costs should be evaluated when budgeting for the CIP, because the
cost of the CIP impacts the City budget overall.
•It would be helpful to the Council and to the City
Manager's Office to have the most accurate project
estimates available.
•More accurate estimates allow for better overall financial planning and prevent surprises.
Construction Economy and Market Trends
47 Engineering News Record (ENR):
Recent & Projected Trends
•2024–2025: CCI +2.4%, BCI +2.7%
•2026 outlook: +2–4% annually (continued volatility)
Construction Costs on the Rise
•CCI ↑ 25.7% | BCI ↑ 43.2% (past 5 years)
•Driven by labor shortages and material increases (steel +11%, cement ↑)
Construction Economy and Market Trends
48 Beyond the Index Numbers
•Indices can understate real project costs
•Exclude regional pricing, mechanical/electrical work,
supply chain, and overhead
Budget & Planning Impacts
•Many estimates based on 2018–2019 data
•Actual costs now 34–53% higher
•Updated estimates = better budget decisions
Questions
CIP Update51