City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: MARCH 11, 2025 FROM: PARKS, RECREATION AND COMMUNITY WARDS: 1, 3, 4, 6, and 7
SERVICES DEPARTMENT
SUBJECT: AUTHORIZE CHANGE ORDER AND AWARD ADDITIVE BID ITEMS AMENDING THE CONSTRUCTION AGREEMENT WITH JB BOSTIC COMPANY, INC. OF ANAHEIM, CALIFORNIA, FOR THE CITY-WIDE PARK IMPROVEMENTS - PARK PARKING LOTS PROJECT IN THE AMOUNT OF $416,618 FOR A REVISED TOTAL CONTRACT AMOUNT NOT-TO-EXCEED $1,398,918 AND A TOTAL PROJECT AMOUNT NOT-TO-EXCEED $1,443,568 – SUPPLEMENTAL APPROPRIATION ISSUES:
Authorize change order and award additive bid items amending the Construction Agreement with JB Bostic Company, Inc. of Anaheim, California, for the City-Wide Park Improvements - Park Parking Lots project in the amount of $416,618 for a revised contract amount not-to-exceed $1,398,918 and a total project amount not to exceed $1,443,568; and authorize supplemental appropriations for the project.
RECOMMENDATIONS:
That the City Council:
Authorize change order and award additive bid items amending the Construction Agreement with JB Bostic Company, Inc. of Anaheim, California, for the City-Wide Park Improvements – Parking Lot Project in the amount of $416,618 for a revised contract amount of not-to-exceed $1,398,918; With at least five affirmative votes, authorize the Chief Financial Officer, or designee, to record a supplemental appropriation and interfund transfer of $550,568 from the General Fund to the Capital Outlay Fund, and appropriate the same amount in the Capital Outlay Fund for the Citywide Park Improvements Project – Park Parking Lots; and Authorize the City Manager, or designee, to execute the amended Construction Agreement with JB Bostic Company, Inc. including making minor and non-substantive changes.
LEGISLATIVE HISTORY:
On March 11, 2021, President Biden signed into law the American Rescue Plan Act to facilitate the recovery from the devastating economic and health effects of the COVID-19 pandemic. The American Rescue Plan Act established the Coronavirus State Fiscal Recovery Fund and Coronavirus Local Fiscal Recovery Fund, which provides a combined $350 billion in assistance to eligible state, local, territorial, and tribal governments to assist in the economic and health recovery by providing resources to address impacts resulting from the crisis.
BACKGROUND:
On November 9, 2021, the City Council approved the ARPA funding Expenditure Category Plan for the first allocation in the amount of $36,767,594 following the Interim Final Rule guidelines. Additionally, the City Council directed staff to return with an itemized list for Parks infrastructure needs during the second allocation of funding for consideration. The Final Rule was issued on January 6, 2022, and became effective on April 1, 2022.
On February 7, 2023, the City Council approved the ARPA expenditure plan for the second allocation of grant funds in the amount of $36,767,594 and reallocated $1,600,000 from the first plan to the Park Maintenance Project funding. These approvals allocated $10 million for Parks Deferred Maintenance Projects. The approval of the ARPA funding allows the City to make an initial investment towards addressing the City’s deteriorating park infrastructure priority needs, including renovations of parking lots, the replacement of HVAC systems, flooring replacements and playground renovations equitably throughout all wards.
On June 21, 2023, the Park and Recreation Commission received an update on the ARPA funding received and the planned projects.
On May 21, 2024, City Council awarded Bid No. 8052 to JB Bostic Company, Inc. for the Parking Lot Repairs and Slurry Seal Project in the amount of $893,000 and authorized a 10% change order authority up to $89,300 for a total contract amount not-to-exceed $982,300.
On December 10, 2024, the City Council received an update on the ARPA expenditure plan and accepted staff’s recommendations to safeguard unexpended funds, both obligated and unobligated. Council approved the allocation of all unexpended funds to Revenue Replacement – Provision of Government Services, supported by qualifying public safety expenditures, to allow the City to safely meet the obligation deadline for all unobligated funds, and report all ARPA funding as fully expended well in advance of the expenditure deadline. Leveraging public safety expenditures as qualifying costs, the savings generated by the ARPA coverage of those qualifying costs can be utilized for the obligated funds’ previously approved purpose. Unobligated funds were transferred into the General Fund as an unappropriated revenue source pending the first quarter analysis of the City’s financial performance for fiscal year (FY) 2024/25.
The Citywide Park Improvement Program included unobligated funds of approximately $4.5 million which were reallocated to the Revenue Replacement – Provision of Government Services program and transferred to the General Fund as unappropriated revenue. The City-wide Park Improvement – Parking Lots project described in this report comprises a portion of those unobligated and unappropriated funds.
DISCUSSION:
The Riverside parks and facilities improve the quality of life for many residents of all ages and backgrounds. The City council has directed staff to invest in our parks and facilities with the use of the ARPA funding and has awarded several contracts for deferred maintenance improvements, including the contract for the parking lot project described in this report. PRCSD has managed this funding and reallocated the ARPA funds to address the highest needs of the community across all wards.
On May 21, 2024, City Council awarded base Bid No. 8052 for City-wide Park Improvements - Parking Lots Project in the total amount of $893,000.00 and a 10% change order authority in the amount of $89,300.00 for a total contract amount not-to-exceed $982,300.00, without the following two additive bid items as shown in Table No. 1 below.
Table 1
Additives
Description
Total Cost
Discounted Cost
Additive Bid Item II-A
Fairmount Park Parking Lots Repair and Slurry Seal
$303,500.00
$288,768.00
Additive Bid Item II-B
ADA Truncated Dome Tile Installation
$145,000.00
$127,850.00
Total
$448,500.00
$416,618.00
The Contractor subsequently discounted their price for these two Additive Bid items to $288,768 and $127,850 as shown on table 1. Award of the two previously unawarded additive bid items will increase the total contract price from $893,000 to a revised contract amount of $1,309,618.00. Awarding the additive services will extend the useful life of the Fairmount Park parking lots and improve ADA accessibility at several park parking lots included in the City-wide park parking lot project.
The proposed additional work improves access to parks, improves the community’s health and overall well-being, and improves quality of life.
The Purchasing Resolution No. 24101 Section 1104 which states “Change Orders. Modifications to a Purchase Order shall be made only by Change Order, (b) Any Change Order which causes the contract price to exceed the authorization in section 203 hereof, if the Contract and/or Purchase Order was not previously approved by the Awarding Entity;” The Purchasing Manager concurs that the recommendation to award the additive bid items for Bid No. 8052 to JB Bostick Company, Inc. is in compliance with Purchasing Resolution No. 24101 Section 1104 (b).
STRATEGIC PLAN ALIGNMENT:
The work contributes to the “Arts, Culture and Recreation” priority of the Envision Riverside 2025 Strategic Plan, which aims to provide diverse community experiences and personal enrichment opportunities for people of all ages.
The work contributes to goal 1.3, to improve parks, recreational amenities, open space, and trail development, and fulfill critical lifecycle and facility maintenance needs; and goal 1.4, to prioritize safety at parks, trails, arts, cultural and recreational facilities.
Community Trust – The City has worked with the community to assess needs and gain feedback on the listed projects and will continue to involve the community as the projects move forward.
Equity – Project outcomes will benefit the entire community by providing supporting infrastructure for safe and fun recreation opportunities for all residents. The City-wide Park Improvement project is geographically spread throughout the city.
Fiscal Responsibility – The competitive procurement of services for these projects are in accordance with Purchasing Resolution No. 24101.
Innovation – Riverside is committed to responding to the community’s on-going and changing needs and preparing for the future through fulfillment of projects extending the usable life of facilities and infrastructure.
Sustainability & Resiliency – This project extends the usable life and longevity of existing infrastructure, ensuring facilities are available for future use.
FISCAL IMPACT:
The total fiscal impact of this action is $550,568, which includes $416,618 for the Additive Bid Items, a 10% total contract contingency amount of $89,300, and 5% ($44,650) for ancillary costs such as permits, testing, inspections and administration. The contingency and ancillary costs require re-appropriation, as they were not previously encumbered and were therefore classified as unobligated ARPA funds, which were transferred to the General Fund as an unappropriated revenue source.
Upon Council approval, an interdepartmental and interfund transfer of $550,568 will be recorded to the Capital Outlay Fund, Citywide Park Improvement Project – Park Parking Lot Project, offset by the previously recorded Transfer In recorded to the General Fund, as indicated in the table below.
Fund
Program/Project
Account
Amount
Transfers
General Fund
Transfer In - Previously Recorded
$550,568
Transfer Out
7223600-990401
($550,568)
Capital Outlay
Citywide Park Improvement Project – Park Parking Lot
Revenue
9279511-985101
(Transfer In)
$550,568
Expenditure
9279511-440301
$550,568
With award of the two Additive Bid Items described above, the amended contract with JB Bostic, Inc. will be in the amount of $1,309,618 with a 10% construction contingency amount of $89,300, resulting in a total contract amount not-to-exceed $1,398,918. The total fiscal impact of this project is $1,443,568 as listed in Table 2 below.
Table 2. Project Costs:
New Award of Additive Bid Items II-A and II-B
$416,618
Previous Bid Award
$893,000
10% Construction Contingency
$89,300
5% Ancillary costs: Permits, testing, inspections, administration $44,650
TOTAL
$1,443,568
Prepared by: Alisa Sramala, Principal Park Project Manager Approved by: Pamela M. Galera, Parks, Recreation and Community Services Director Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Kris Martinez, Assistant City Manager Approved as to form: Jack Liu, Interim City Attorney
Attachments:
Bid Award Recommendation
Agreement
Award Additive Bid Items for City-wide Park Parking Lot Improvements ● Page 2