June 16, 2026, Item #13
AGENDA RE PQ RT City of Poway
DATE:
TO:
FROM:
CONTACT:
June 16, 2026
Honorable Mayor and Members of the City Council
Julie Procopio, Director of Development Services ~
Miguel Solano, Associate Engineer
(858) 668-4653 or [email protected]
CITY COUNCIL
SUBJECT: Acceptance of the FY 2024-25 Water Valve Replacement Project with M-Rae Engineering, Inc., as Complete
Summary:
On June 17, 2025, the City Council awarded the FY 2024-25 Water Valve Replacement project contract to M-Rae Engineering, Inc., Bid No. 25-013, in the amount of $360,500. This action will accept the project as complete.
Recommended Action:
It is recommended the City Council:
1) Accept the FY 2024-25 Water Valve Replacement project, as complete; 2) Authorize the City Clerk to file and record the Notice of Completion; 3) Authorize the release of the retention in the amount of $30,348.30, if unencumbered, 45 days after City Council acceptance;
4) Release the Merchants Bonding Company (Mutual) Bond for Material and Labor in the amount of $360,500 after the release of retention; and
5) Retain the Merchants Bonding Company (Mutual) Bond for Faithful Performance for a period of one year.
Discussion:
The Water Valve Replacement project is an annual program for replacement of valves serving Poway's water distribution system. A total of nine water valves, located in various parts of the distribution system, were initially identified by the Public Works Utilities Division as having aged beyond their reliable service life. Through the change order process, two additional valves were added, along with installation of a recycled water lateral.
This action accepts the FY 2024-25 Water Valve Replacement project as complete. M-Rae Engineering, Inc. has completed all work in accordance with the contract plans and specifications. There were five change orders for this project, in the total amount of $246,465.91. The change orders added replacement of two valves and one lateral and addressed unforeseen utility constraints, field 1 of 2
June 16, 2026, Item #13
conditions and additional infrastructure needs encountered during construction that were required to safely complete the work and maintain system reliability. This included hand excavation near high pressure gas mains per SDG&E requirements and additional work resulting from scheduling constraints, re-excavation, material availability and pavement restoration. The final contract amount is $606,965.91.
Environmental Review:
This action of acceptance of public improvements that have been completed, which was the subject of a prior environmental determination, is not considered a Project pursuant to Section 15378(b)(5) of the California Environmental Quality Act (CEQA) Guidelines and therefore not subject to the CEQA.
Fiscal Impact:
There are sufficient funds available in the project account (WT002) for the release of retention. Funds remaining in the project at year end will remain in the Water Enterprise Fund account to be combined with future appropriation for this annual water CIP program.
Public Notification:
None.
Attachments:
None
Tracy Stevens
Assistant City Manager
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Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
Chris Hazeltine
City Manager