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File ID: 2025-01136 6/24/2025
Construction Change Order and Budgetary Adjustments: Florin Road Pavement Rehabilitation Project (T15215800) [Published for 10-Day Review 06/12/2025] File ID: 2025-01136
Location: Florin Road, between 24th Street and Munson Way, District 5, District 8 Recommendation: Adopt a Resolution: 1) authorizing the Interim City Manager or designee to transfer $1,000,000 (General Fund, Fund 1001) from the expenditure budget of the State and Federal Grant Match Project (T15007200) to the expenditure budget of the Florin Road Pavement Rehabilitation Project (T15215800); 2) authorizing the Interim City Manager or designee to transfer $1,000,000 (Road Maintenance and Rehabilitation, Fund 2036) from the Florin Road Pavement Rehabilitation Project (T15215800) to the State and Federal Grant Match Project (T15007200); 3) authorizing the Interim City Manager or designee to transfer $150,000 (Roadway Maintenance and Rehabilitation, Fund 2036) from the expenditure budget of the Transportation Corridor Program (R15200000) to the expenditure budget of the Florin Road Vision Zero Safety Project (T15215800); 4) authorizing the Interim City Manager or designee to execute Change Order No. 5 to City Agreement No. 2023-1444 with O.C. Jones for an amount not to exceed $1,056,457, bringing the agreement’s total not-to-exceed amount to $5,536,507; and 5) resetting the Interim City Manager’s authority to issue Change Orders for City Agreement No. 2023-1444.
Contact: William Shunk, Senior Engineer, (916) 808-2986, [email protected]; Judy Matsui-Drury, Supervising Engineer, (916) 808-7610, [email protected]; Ofelia Avalos, Engineering Manager, (916) 808-5054, [email protected], Department of Public Works.
Presenter: None
Attachments:
1-Description/Analysis
2-Resolution
3-Change Order No. 5
Additional Description/Analysis
Issue Detail: Florin Road between 24th Street and Munson Way was identified in the Vision Zero Action Plan as one of the City’s top five high injury corridors. The Florin Road Pavement Rehabilitation Project is the first of two projects that will implement the recommendations of the Vision Zero Top 5 Corridors Study by slowing down automobile traffic, modernizing signal equipment,
File ID: 2025-01136 6/24/2025
and improving bicycle facilities. The project includes an asphalt overlay of Florin Road between 24th Street and Munson Way, gap closures in the City’s bicycle lane network, improved curb ramps to meet Americans with Disabilities Act (ADA) standards, upgraded signal equipment, installation of advanced dilemma zone detection, and connection of existing and future traffic signals to the City’s Traffic Operations Center.
The project was advertised for construction and awarded to O.C. Jones for approximately $1 million less than the engineer’s estimate. Concurrently with the construction of the project, staff proceeded with the design for the second phase and identified cost-effective elements that could be incorporated into the current construction phase with this cost savings including: installing a new curb ramp, signal pole, and signal equipment at the intersection of Florin Road and Woodbine; upgrading all existing intersections to current Accessible Pedestrian Signal standards; and installing loop detection and the necessary underground infrastructure to accommodate future pedestrian crossings at the Union Pacific Railroad tracks between Luther Burbank High School and the Florin Road light rail station. These improvements have been incorporated into the project with the cost savings and are included in Change Order No. 5.
In addition to these upgrades to the project, the change order also includes additional pavement rehabilitation that was not anticipated when the project was awarded. Pavement grinding operations of only 2.5 inches removed all the existing asphalt and exposed the roadway subgrade in some locations. This requires additional pavement repair in various locations to bring the corridor up to an acceptable state of repair.
In order for the City to receive its apportionment of Road Maintenance and Rehabilitation Account (RMRA) funds, it must meet a “maintenance of effort” (MOE) requirement to ensure that the RMRA funds do not supplant levels of past general fund spending on streets and roads. In order to meet these requirements for FY2024-25, additional General Fund expenditures on transportation projects must be demonstrated. An exchange of funding to support General Fund expenditures on this project will help the City meet its MOE requirements. In addition, the additional transfer of $150,000 in funding is necessary to execute Change Order No. 5.
Policy Considerations: The Florin Road Pavement Rehabilitation Project is consistent with the City General Plan goals and key policies of operating and maintaining streets and roadways that accommodate and promote safe and convenient travel for all users. The projects will help manage safe operating conditions on Florin Road (General Plan M 1.1.2), improve pedestrian safety at intersections and crossings (General Plan M2.1.7), and ensure traffic signal operations that consider safe and efficient travel for all modes (General Plan M 4.4.4).
The action is consistent with the adopted Vision Zero goal to work collaboratively in a data-driven effort to eliminate traffic fatalities and serious injuries by 2027, including to develop designs and secure grant funding for the first Top five priority corridors, with a focus on roadway designs for
File ID: 2025-01136 6/24/2025
reduced speeds (2.2).
The Sacramento City Code Section 4.04.020 and the City Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to City Council action. This item was published for 10-day review on June 12, 2025, in compliance with the City Code.
Economic Impacts: This new infrastructure is expected to create 4.23 total jobs (2.43 direct jobs and 1.8 jobs through indirect and induced actives) and create $652,294 in total economic output ($411,146 of direct output and another $241,148 of output through indirect and induced activities).
The indicated economic impacts are estimates calculated using a calculation tool developed by the Center for Strategic Economic Research (CSER). CSER utilized the IMPLAN input-output model (2009 coefficients) to quantify the economic impacts of a hypothetical $1 million of spending in various construction categories within the City of Sacramento in an average one-year period. Actual impacts could differ significantly from the estimates and neither the City of Sacramento nor CSER shall be held responsible for consequences resulting from such differences.
Environmental Considerations:
California Environmental Quality Act (CEQA): The City of Sacramento Environmental Planning Services has reviewed this project and determined that it is exempt from the provisions of CEQA under Class 1, Section 15301.
Sustainability: The project is consistent with the City’s goals to promote walking and bicycling, and to create a healthier urban environment by eliminating pedestrian barriers with the construction of safe pedestrian crossings. The project will reduce dependence on private automobiles, decrease the use of fossil fuels, and encourage active modes of transportation.
Commission/Committee Action: The project was included as an informational item at the October 4, 2023, meeting of the Disabilities Advisory Commission.
Rationale for Recommendation: The proposed budgetary adjustments are needed to allow the City to meet its SB1 MOE requirements and cover the costs of the change order. The proposed change order provides compensation for improvements that are necessary to bring the roadway up to an acceptable state of repair and changes to the plans that are necessitated by unforeseen field conditions. It also includes improvements to the corridor that would otherwise have been constructed in the second phase of work. Constructing these improvements now results in an overall cost savings to the city, minimizes inconveniences to the traveling public, and unnecessary trenching in the new asphalt overlay.
File ID: 2025-01136 6/24/2025
Staff recommends City Council approve the budgetary adjustments and Change Order No. 5 with O.C. Jones for City Agreement No. 2023-1444. This is the final balancing change order for the Florin Road Pavement Rehabilitation Project.
Financial Considerations: The estimated total cost to complete design, right-of-way, and construction support for the Florin Road Pavement Rehabilitation Project is approximately $6.5 million, including the costs for Change Order No. 5. Upon approval of the transfer of $150,000 (Roadway Maintenance and Rehabilitation Act, Fund 2036) from the Transportation Corridor Program (R15200000), there will be sufficient funding to award Change Order No. 5 to O.C. Jones for an amount not to exceed $1,056,457 and cover the remaining construction management and other project related costs.
There is sufficient funding within the Transportation Corridor Program (R15200000) to support the transfer of $150,000 (Roadway Maintenance and Rehabilitation Act, Fund 2036) to Florin Road Pavement Rehabilitation Project (T15215800).
As approved by the State Controller’s Office, the City has an annual MOE requirement for spending of discretionary local funds (e.g., General Fund, Measure U) on eligible transportation uses of nearly $2.3 million. Dedicated transportation funds are not eligible to meet MOE requirements. The City must demonstrate that it has met this MOE to continue to receive its state apportionments of $13 to $14 million in annual RMRA funds (Fund 2036). Exchanging General Fund (Fund 1001) from the State and Federal Grant Match Project (T15007200) with RMRA funding (Fund 2036) from the Florin Road Pavement Rehabilitation Project (T15215800) will support the City’s efforts in meeting its MOE requirement. If necessary, the City will take additional actions as permitted in the annual Budget Resolution.
There is sufficient funding in the State and Federal Grant Match Project (T15007200) to support this fund exchange.
Local Business Enterprise (LBE): The City’s LBE requirement for this project is 5%. O.C. Jones and Sons, Inc. has pledged 15.5% LBE participation for this project.
Resolution 2025- June 24, 2025 Page 1 of 2
RESOLUTION 2025-
Adopted by the Sacramento City Council
June 24, 2025
CONSTRUCTION CHANGE ORDER AND BUDGETARY ADJUSTMENTS: FLORIN ROAD PAVEMENT REHABILITATION PROJECT (T15215800)
BACKGROUND
A. Florin Road between 24th Street and Munson Way was identified in the Vision Zero Action Plan as one of the City’s top five high injury corridors. The Florin Road Pavement Rehabilitation Project is the first of two projects that will implement the recommendations of the Vision Zero Top 5 Corridors Study by slowing down automobile traffic, modernizing signal equipment, and improving bicycle facilities.
B. The project was advertised for construction and awarded to O.C. Jones for approximately $1 million less than the engineer’s estimate.
C. Concurrently with the construction of the project, staff proceeded with the design for the second phase and identified cost -effective elements that could be incorporated into the current construction phase with this cost savings including : installing a new curb ramp, signal pole, and signal equipment at the intersection of Florin Road and Woodbine; upgrading all existing intersections to current Accessible Pedestrian Signal standards; and installing loop detectio n and the necessary underground infrastructure to accommodate future pedestrian crossings at the Union Pacific Railroad tracks between Luther Burbank High School and the Florin Road light rail station. These improvements have been incorporated into the project with the cost savings and are included in Contract Change Order No. 5.
D. The change order also includes additional pavement rehabilitation that was not anticipated when the project was awarded. Pavement grinding operations of only 2.5 inches removed al l the existing asphalt and exposed the roadway subgrade in some locations. This requires additional pavement repair in various locations to bring the corridor up to an acceptable state of repair.
E. Under State guidelines, i n order for the City to receive it s apportionment of Road Maintenance and Rehabilitation Account (RMRA) funds, it must meet a “maintenance of effort” (MOE) requirement to ensure that the RMRA funds do not supplant levels of past general fund spending on streets and roads. In order to meet these requirements for Resolution 2025- June 24, 2025 Page 2 of 2
FY2024-25, additional General Fund expenditures on transportation projects must be demonstrated. An exchange of funding to support General Fund expenditures on this project will help the City meet its MOE requirements.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
SECTION 1.
The City Manager or designee is authorized to transfer $1,000,000 (General Fund, Fund 1001) from the expenditure budget of the State and Federal Grant Match Project (T15007200) to the expenditure budget of the Florin Road Vision Zero Safety Project (T15215800).
SECTION 2.
The City Manager or designee is authorized to transfer $1,000,000 (Roadway Maintenance and Rehabilitation Act, Fund 2036) from the expenditure budget of the Florin Road Vision Zero Safety Project (T15215800). to the expenditure budget of the State and Federal Grant Match Project (T15007200).
SECTION 3.
The City Manager or designee is authorized to transfer $150,000 (Roadway Maintenance and Rehabilitation Act, Fund 2036) from the expenditure budget of the Transportation Corridor Program (R15200000) to the expenditure budget of the Florin Road Vision Zero Safety Project (T15215800) to support the completion of the Florin Road Pavement Rehabilitation Project.
SECTION 4.
The City Manager or designee is authorized to execute Change Order No. 5 to City Agreement No. 2023-1444 with O.C. Jones for an amount not to exceed $1,056,457, bringing the agreement’s total not-to-exceed amount to $5,536,507
SECTION 5.
The City Manager’s authority to issue Change Orders for City Agreement No. 2023-1444 is reset.