Cities Index.
Agreement to Toro Enterprises Inc. for Construction

Mayor and City Council
January 21, 2026

Document
Agreement to Toro Enterprises Inc. for Construction
Meeting
January 21, 2026
Body
Mayor and City Council
Original file
98 KB
Text extracted from the city's file for reading and search. Open the original on sanbernardino.primegov.com. That file is the official record.

2 4
7 0

CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: January 21, 2026
To: Honorable Mayor and City Council Members
From: Lynn Merrill, Director of Public Works
Azzam Jabsheh, Deputy Director of Public Works/City Engineer Department: Public Works
Subject: Award of Construction Agreement to Toro Enterprises Inc. for Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project - in the
Amount of $2,489,475.40 and Contingency of $560,524.60
for a Total Amount of $3,050,000 (Ward 4,5 and 7)
Recommendation:

It is recommended that the Mayor and City Council of the City of San Bernardino, California;

1. Approve the award of a Construction Agreement with Toro Enterprises Inc., in the amount of $2,489,475.40 for the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

2. Authorize the construction contingencies, construction management, and administrative costs in the total amount of $560,524.60 for the Project, bringing the total Project budget to $3,050,000; and

3. Authorize the Interim Director of Finance and Management Services to approve the reallocation of Measure I funds in the amount of $1,135,945.42 from the Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

4. Adopt Resolution No. 2026-004 amending the FY 2025-26 Capital Improvement Program Budget to reallocate Measure I funds in the amount of $1,135,945.42 from the Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25- 2 4
7 0
001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project.

5. Authorize the City Manager or designee to execute all documents with Toro Enterprises Inc.; and

6. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the Project.

City Manager's Comments
No comments
Executive Summary
Awarding the construction contract for the Construction of a Raised Median Island Along Kendall Drive between “H” Street and “E” Street will improve roadway operations, accessibility and overall beautification of the corridor. The Project generally consists of constructing a raised median island, upgrading street lighting to solar fixtures and completing associated roadway improvements necessary to bring the facility up to current standards.

Approval of this agreement will allow the City to issue a Notice to Proceed and begin construction in accordance with the approved plans and specifications. The Project is funded through Measure S and Gas Tax funds, including (1) $914,054.58 in Measure S and $1,000,000.00 in Gas Tax previously approved as part of the adopted FY 2025- 26 Capital Improvement Program, and (2) $1,135,945.42 in Measure I funds proposed for reallocation from the Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001), for a total Project budget of $3,050,000.

Background
Kendall Drive is a major east–west arterial serving residential, commercial, and institutional uses within Wards 4, 5, and 7. The segment of Kendall Drive between H Street and E Street experiences high daily traffic volumes and functions as an important corridor connecting surrounding neighborhoods and destinations.

The existing roadway configuration within the project limits does not include a continuous raised median. The Project provides an opportunity to implement access management improvements and corridor enhancements, including pavement rehabilitation, storm drainage improvements, signing and striping, raised median construction, and lighting upgrades along the project limits.

City staff developed the Construction of a Raised Median Island Along Kendall Drive between H Street and E Street Project to implement access management and corridor improvements along the project limits. The Project includes construction of a raised median island, pavement rehabilitation, storm drainage improvements, signing and striping and street lighting upgrades, including conversion to solar-powered fixtures to 2 4
7 0
reduce vandalism-related impacts. Associated roadway improvements will be 2 4
7 0
completed as necessary to support the median and lighting improvements.

Funding for the Project is provided through Measure S and Gas Tax funds as part of the City’s adopted FY 2025-26 Capital Improvement Program. On June 4, 2025, the Mayor and City Council approved Measure S and Gas Tax funding totaling $1,914,054.58.

The Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001) was also adopted as part of the FY 2025-26 Capital Improvement Program, with a total approved budget of $20,034,080, consisting of $10,000,000 in Measure S funds, $5,150,000 in Gas Tax funds, $3,800,000 in Measure I funds and $1,084,080 in Road Maintenance and Rehabilitation Account (RMRA) funds.

Staff recommends reallocating $1,135,945.42 of the approved $3,800,000 Measure I funds from SS25-001 to fully fund the Kendall Drive Raised Median and Corridor Improvements Project.

Discussion
The proposed Construction of a Raised Median Island Along Kendall Drive between H Street and E Street Project was advertised for construction in accordance with City purchasing requirements. The Project scope includes construction of a raised median island, pavement rehabilitation, storm drainage improvements, signing and striping, street lighting upgrades, and related incidental work necessary to complete the Project in accordance with the approved plans and specifications.

The Project was publicly advertised for competitive bidding through PlanetBids on November 17, 2025, and bids were opened on December 15, 2025. A total of nine (9) sealed bids were received. The total base bid plus additive alternate prices are as follows:

SN NAME OF BIDDER CITY TOTAL BID
1 Toro Enterprises, Inc. Oxnard $2,489,475.40
2 LCR Earthwork & Engineering, Corp. Jurupa Valley $2,567,212.55 3 Aneen Construction, Inc Riverside $2,655,629.32
4 Tryco General Engineering Rimforest $2,667,891.85
5 Vance Corporation Beaumont $3,032,485.32
6 KASA Construction, Inc. Chino $3,154,203.26
7 Hardy & Harper, Inc. Lake Forest $3,628,000.00
8 Roadway Engineering & Construction Corp. Perris $3,769,524.79 9 All American Asphalt Corona $3,998,205.55
After review, staff determined that Toro Enterprises, Inc., of Oxnard, California, 2 4
7 0
submitted the lowest responsive and responsible bid in the amount of $2,489,475.40.

Staff have reviewed Toro Enterprises, Inc.’s bid documents, CSLB license, and DIR registration, and confirmed that all requirements were met. Staff recommends awarding the construction agreement to Toro Enterprises, Inc.

The total Project cost, including contingencies, construction management, quantity variations, field adjustments, unforeseen work and administrative expenses, is estimated at $3,050,000.

Project Cost
Lowest Bid $2,489,475.40
Contingency & Administrative Cost $560,524.60
Total Construction Cost $3,050,000.00
The improvements will enhance roadway operations, accessibility, and overall corridor appearance along Kendall Drive, supporting the City’s ongoing efforts to maintain and improve public infrastructure within the project area.

The Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001) was established as a flexible, citywide pavement rehabilitation program intended to address roadway segments based on pavement condition and operational need. At the time of program adoption, specific street locations were not pre-identified, as locations are selected and prioritized through the City’s Pavement Management Program (PMP) using Pavement Condition Index (PCI) data and available funding.

Pavement condition data from the City’s Pavement Management Program indicate that the Kendall Drive corridor consists of multiple roadway segments with PCI values ranging from approximately 18 to 47, which fall within the very poor to fair condition categories. The Kendall Dr corridor exhibit PCI values below acceptable service thresholds for a major arterial roadway, indicating that preventive maintenance alone is no longer sufficient and that rehabilitation is warranted. Based on these PCI conditions, the Kendall Drive roadway segments would have been prioritized for inclusion in future pavement rehabilitation projects. The approximately $20 million allocation approved by the Mayor and City Council on June 4, 2025 as part of the FY 2025-26 Capital Improvement Program (SS25-001) would have included this segment of the roadway regardless, due to its documented condition and need for rehabilitation.

Staff is recommending the reallocating $1,135,945.42 in Measure I funds from the $3,800,000.00 adopted for SS25-001 to fully fund this Project. Final location selection and construction phasing under SS25-001 will continue to be guided by PCI conditions identified through the PMP, available funding, and operational priorities.

Staff further recommends prioritizing the Kendall Drive Raised Median and Corridor Improvements Project due to its direct corridor-level operational benefits on a major arterial serving Wards 4, 5, and 7. A significant portion of the project scope consists of 2 4
7 0
pavement rehabilitation, and the observed PCI conditions along Kendall Drive support near-term rehabilitation. Treating Kendall Drive as a corridor-level improvement allows the City to efficiently address multiple deteriorated pavement segments and is consistent with the objectives of SS25-001 and the City’s overall pavement management and rehabilitation strategy. Reallocating funds at this time allows the City to deliver a complete, buildable corridor improvement package within the current fiscal year.

Budget
Measure S $914,054.58
Gas Tax $1,000,000.00
Measure I (Reallocated from SS25-001) $1,135,945.42
Project Total Cost $3,050,000.00
Environmental Impact
The Project is categorically exempt from the California Environmental Quality Act (“CEQA”) pursuant to State CEQA Guidelines Section 15302, Replacement or Reconstruction (“Class 2”). The Class 2 exemptions allow for the replacement or reconstruction of existing structures or facilities where the new structure will be located on the same site as the structure replaced and will have substantially the same purpose and capacity as the structure replaced. Here, the Project involves minor improvements and reconstructing of the median located on the same site.

The City has also considered whether the proposed Project is subject to any exception to the Class 2 exemption, as set forth in State CEQA Guidelines section 15300.2. No exception applies for the following reasons:
a) The location exception only applies to Class 3, 4, 5, 6, and 11 exemptions, none of which are being utilized here.
b) The proposed Project would not result in any significant cumulative impacts on the environment. The cumulative impacts exception does not apply because the Project has no
incrementally significant impacts on the environment.
c) A categorical exemption may be subject to an exception where there is a reasonable possibility that the activity will have a significant effect on the environment due to unusual
circumstances. The proposed Project does not involve any unusual circumstances and has no potential to result in a significant impact on the environment.
d) Under the “scenic highways” exception, a categorical exemption may be subject to an exception where the Project may result in damage to scenic resources within a highway officially
designated as a state scenic highway. The exception does not apply here as the Project would not damage any scenic
resources within a state scenic highway.
e) The Project is not located on a site which is included on any list 2 4
7 0
compiled pursuant to Section 65962.5 of the Government Code. f) The Project site does not contain a historical resource. 2021-2025 Strategic Targets and Goals
Authorizing this agreement aligns with Key Target No. 3: Improved Quality of Life.

Completion of the Construction of a Raised Median Island Along Kendall Drive between H Street and E Street Project will enhance roadway operations, accessibility, and overall corridor appearance. The Project supports the City’s goal of maintaining and improving public infrastructure that contributes to efficient transportation corridors and well-maintained community environments.

Fiscal Impact
The total Project cost is $3,050,000. Funding for the Project consists of the following sources:
Measure S funds in the amount of $914,054.58, previously approved as part of the adopted FY 2025-26 Capital Improvement Program;
Gas Tax funds in the amount of $1,000,000.00.
Measure I funds in the amount of $1,135,945.42, proposed for reallocation from the Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25-001), which was adopted by the Mayor and City Council as part of the FY 2025-26 Capital Improvement Program on June 4, 2025; and
Sufficient funds are available within the adopted FY 2025-26 Capital Improvement Program budget. The proposed Measure I reallocation represents a transfer between adopted CIP projects within the same fiscal year, and will allow the City to utilize available Measure I funding within the current fiscal year, and will not require additional budget appropriations.

Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California;

1. Approve the award of a Construction Agreement with Toro Enterprises Inc., in the amount of $2,489,475.40 for the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

2. Authorize the construction contingencies, construction management, and administrative costs in the total amount of $560,524.60 for the Project, bringing the total Project budget to $3,050,000; and

3. Authorize the Interim Director of Finance and Management Services to approve the reallocation of Measure I funds in the amount of $1,135,945.42 from the Street Improvements (Rehabilitation) City Wide 2 4
7 0
at 50 Locations To Be Constructed in Phases Project (SS25-001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project; and

4. Adopt Resolution No. 2026-004 amending the FY 2025-26 Capital Improvement Program Budget to reallocate Measure I funds in the amount of $1,135,945.42 from the Street Improvements (Rehabilitation) City Wide at 50 Locations To Be Constructed in Phases Project (SS25- 001) to fully fund the Construction of a Raised Median Island Along Kendall Drive Between H Street and E Street Project.

5. Authorize the City Manager or designee to execute all documents with Toro Enterprises Inc.; and

6. Authorize the City Manager or designee to expend the contingency fund, if necessary, to complete the Project.

Attachments
Attachment 1 Agreement with Toro Enterprises, Inc.

Attachment 2 Bid Tabulation
Attachment 3 Bid Proposal
Attachment 4 Location Map
Attachment 5 Resolution No. 2026-004
Ward:

Ward 4,5 & 7
Synopsis of Previous Council Actions:

June 04, 2025, FY 2025/2026 Budget Presentation (All Wards) CC: Eric Levitt, City Manager

← All documents from this meeting