DATE: DECEMBER 9, 2025
DEPARTMENT: PUBLIC WORKS (PW)
LIBRARY AND COMMUNITY SERVICES (LCS)
FROM: DAVID JACOBS, PW DIRECTOR
KRISTAN LUNDQUIST, LCS DIRECTOR
TITLE: HEBBRON FAMILY CENTER CONSTRUCTION CONTIGENCY INCREASE RECOMMENDED MOTION:
A motion to approve a resolution increasing the construction contingency from $250,000 to $450,000 for the Hebbron Family Center Design-Build contract for a total contract not to exceed amount of $11,029,600 and authorizing the Public Works Director to execute any and all contract change orders related to this project.
EXECUTIVE SUMMARY:
On March 5, 2024, a design-build contract was approved between the City of Salinas and Diede Construction for the Hebbron Family Center design-build project. Generally, in a design-build project, the contractor is responsible for changes that occur during the construction process. However, changes that arise from unforeseen issues and changes in scope remain the responsibility of the City. To cover these unforeseen issues and changes in scope, City staff originally requested a construction contingency budget of $250,000. Now as we move towards the end of the project the parking lot has become an issue, and the original contingency is not enough to cover the costs. City Staff is requesting an additional $200,000 to cover the parking lot change and any other unforeseen issue that may arise during the final closeout of the project.
BACKGROUND:
The Hebbron Family Center (“Center”) has served residents since the 1960s, the Center was once a community church and then repurposed as a community center in the 1970s. The Center has provided many critical programs and services for the community, including after-school recreation and homework assistance programs, a teen lounge, martial arts training, food bank distribution, citizenship classes, a pre-kinder program, and much more. Unfortunately, the Center closed in 2020 due to the ongoing pandemic and critical safety issues such as roof leaks, water damage, and significant foundation problems.
On May 24, 2022, a Professional Service Agreement was entered into with Griffin Structures (Griffin) for project management services for the Center. Along with Griffin, the City and community worked on the development of a final design for this facility.
On March 5, 2024, a design-build contract was approved between the City of Salinas and Diede Construction for the Hebbron Family Center design build project.
On June 17, 2025, a $250,000 contingency budget was established. The original contingency fund is being used to cover:
Cement treatment of the building Pad;
Removal and replacement of additional sidewalks around the site; and Procurement of appliances.
These changes are estimated to be approximately $180,000. Since these changes were identified, three more changes have been identified as necessary to move the project toward completion. These changes illustrated in the following table , include saturated soil under the parking lot, the need for a sanitary sewer manhole, and the need for a pass-through window in the administration office. City staff and the contractor are working through the prices for the change orders, and they are currently estimated at $190,000. The remaining contingency of $80,000 is for any other unforeseen issues that could arise as the project moves toward completion.
Original Project Contingency
$250,000
Utilized to Date
-180,000
Remaining Contingency
70,000
Additional Contingency Requested
$200,000
Parking lot Improvements, sanitary sewer manhole, & window est. costs. -190,000
Net remaining for any unforeseen issues
80,000
CEQA CONSIDERATION:
Categorical Exemption. The City of Salinas has determined that the project is exempt from the California Environmental Quality Act (CEQA) Guideline (Section 15300, Class 2) because it involves replacement and reconstruction of an existing structure.
No Significant Impact. The City of Salinas has determined that the project is of no significant impact under 24 CFR 58.32 – National Environmental Policy Act. No factors were found to be significant on a stand-alone basis.
CALIFORNIA GOVERNMENT CODE §84308 APPLIES:
No, Government Code section 84308 does not apply as this was a competitively bid and awarded contract.
STRATEGIC PLAN INITIATIVE:
This item relates to the City Council’s Strategic Plan of Infrastructure, City Services and Youth and Seniors.
DEPARTMENTAL COORDINATION:
The Public Works Department and Library & Community Services are working together to complete the Hebbron Family Center.
FISCAL AND SUSTAINABILITY IMPACT:
Sufficient funds are available and appropriated in CIP 9336.
Fund
General Ledger Number
(Operating/CIP)
General Ledger Account Name
Remaining Budget Appropriation
Amount Requested
5201
55.9336-66.4000
Capital Outlays Improvements
$499,200
$200,000
ATTACHMENTS:
Resolution
Page | 3
Page | 1
CITY OF SALINASCOUNCIL STAFF REPORTCITY OF SALINASCOUNCIL STAFF REPORT
CITY OF SALINAS
COUNCIL STAFF REPORT
CITY OF SALINAS
COUNCIL STAFF REPORT