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DISCUSSION
City of San Bernardino
Request for Council Action
Date: June 3, 2026
To: Honorable Mayor and City Council Members
From: Lynn Merrill, Director of Public Works
Department: Public Works
Subject: Rejection of Construction Bids for the University Parkway Median Landscape Project and Approval an Alternate
Landscape Design (Ward 6)
Recommendation:
It is recommended that the Mayor and City Council of the City of San Bernardino, California;
1. Adopt Resolution No 2026-066 rejecting construction bids for the University Parkway landscape Median project; and
2. Direct staff to proceed with rebidding the project using the existing, DWR approved design; or
3. Direct staff to conduct a new design process for the University Parkway landscaping project; or
4. Provide other directions as appropriate.
City Manager's Comments
The City Manager recommends rejection of all bids due to the withdrawal of the lowest responsive bidder. Staff requests direction from the City Council regarding whether the project should be rebid or whether staff should return with an alternative project proposal for consideration.
Executive Summary
It is recommended that the Mayor and the City Council reject the bid from HL.
Hitchcock Construction. Inc. in the amount of $1,011,835.00. Following the bid opening and subsequent discussions, the apparent lowest responsive and responsible bidder, H.L. Hitchcock Construction, Inc., formally withdrew its bid citing current market 3 1
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conditions and price escalation as the basis for its withdrawal. As a result, the bid is no longer valid for award, and staff recommends rejection of the bid and authorization for the City to determine the most appropriate path forward for the project.
Background
University Parkway is identified as a major arterial roadway in the City’s General Plan Circulation Element. Previously terminating at 16th Street, it has recently been extended south to Baseline Street as part of the first phase of a larger, four-phase project. The goal is to extend University Parkway further south to connect with Foothill Boulevard. However, the total cost of completing all phases exceeds the City’s available resources, and future grant funding will be essential to fully implement the project.
The budget for the University Parkway Extension (Phase 1) was previously established through the adopted Fiscal Year 2021/22 Capital Improvement Plan using Regional Circulation System Funds. Additional funds were added during the Fiscal Year 2022/23 budget adoption process, bringing the total allocated funds to $8,500,000.
The remaining funds from the construction of University Parkway Extension (Phase 1) are $1,181,374.92, which is recommended to be used for the Median and Streetscape Improvements.
On December 5, 2018, the Mayor and City Council adopted Resolution No. 2018-310 approving an agreement with Engineering Resources of Southern California (ERSC) to provide Environmental Clearance under the California Environmental Quality Act (CEQA) and preparation of Plans, Specifications, and Estimates (PS&E) for University Parkway extension between Baseline Street and 16th Street. This agreement and the subsequent 5 amendments which also included design and construction support for the Median and Streetscape Improvements total $384,977.00.
On August 17, 2022, the Mayor and City Council adopted Resolution No. 2022-185, approving the award of a construction contract for State Street Extension, Phase I to Riverside Construction Company in the amount of $7,436,165, authorizing the amendment of the FY2022/2023 Capital Improvement Plan Budget in the Regional Circulation System fund to allocate an additional $3,039,786 to the State Street Extension Project from the Regional Circulation System Fund 264, and to authorize a total $8,500,000 for the project, that included $763,835 for construction contingencies and $300,000 for Engineering and Inspections.
On January 21, 2026, staff presented a recommendation to the Mayor and City Council to approve an award of $1,011,835.00 for University Parkway Extension – Median & Streetscape Improvements to Phase I Landscaping, including a contingency of $118, 000.00 for a total of $1,129,835.00. Funding was from the Regional Circulation Fund.
The proposed work included additional landscaping not originally included during 3 1
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Phase I construction.
The landscape plans were delayed for several months, due to the necessity of securing review and approval of the plans by the Department of Water Resources that operates a 96-inch water line between Devil’s Canyon and the Diamond Valley directly under the University Parkway right-of-way.
During the January 21, 2026 Mayor and City Council meeting, the Council had significant questions and concerns relating to the award of the contract; and subsequently motioned to continue the award to a future council meeting. Prior to staff returning the item to the Council timely, the proposed vendor, HL Hitchcock Construction, Inc., notified staff that they were withdrawing their bid, due to current market conditions and material price escalations.
Discussion
The University Parkway Extension – Median & Streetscape Improvements project involves building a median from Hanford Street to 16th Street; landscaping and automatic irrigation of the median and both sides of the parkway from 16th street to Baseline Street and changing the streetlights to solar along this segment of the roadway. The landscape component is a key visual and functional element of the median design for this stretch of the roadway, enhancing aesthetics, safety, and long- term corridor identity.
The original construction bid for the work completed in December 2023, included the construction of a raised median with 4-inch stamped concrete from 16 th Street to Baseline Street, but did not include additional landscaping along either side of the University Street Extension. The bid line-item cost for this raised median was $224,000.00 and was completed by the original contractor timely and to specifications.
The proposed new work contemplated for award includes the following:
1. Construction of irrigation system per plans.
2. Installation of 110 24-inch box trees along the street
3. Installation of landscape and shrubs per design.
4. Removal and replacement of 15 existing electric streetlights with solar streetlights.
During the January 21, 2026, Mayor and City Council meeting, Council members raised the following concerns:
1.Estimated cost of proposed work of $1.1 million for landscaping. The total project encompasses approximately 113,000 square feet of new landscaping, including site preparation, soil amendment, plant materials, mulches and other costs. This would result in a cost of approximately $9.74 per square foot for the entire project scope.
2.Source of funding for the proposed work and whether the funds could be 3 1
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used elsewhere in the City. The source of funding for the proposed work is the Regional Circulation Fund. The funding is restricted to enhancing regional circulation, of which the University Parkway project meets this requirement. This funding is not new funding; it is use of the remaining available balance of $8,500,000 as approved by the Mayor and City Council in 2022.
3. Direction given to remove the stamped concrete in the Center median. Due to changes in staff that have occurred, it has not been possible to determine how the direction to remove the stamped concrete was given, and how the work was accomplished.
4.Proposed cost of maintenance of proposed landscaping. Based on current maintenance costs for both Landscape Maintenance Districts and Community Facilities Districts, as determined by the Operations and Maintenance Department, the estimated cost for maintenance is $66,000 per year, or approximately $0.58 per square foot for the entire year. This is after the 90-day establishment period by the contractor.
The original project approved in 2018 was planned to occur in four phases. See diagram below:
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The proposed landscaping plan is shown below, and consists of 110, 24-inch Red Push Pistache boxed trees, as well as various drought tolerant plants such as Centennial Baccharis, Dwarf Coyote Bush and Ground Morning Glory. Irrigation would include all controllers, piping and emitter heads, including drip as appropriate.
The Project was advertised for public bidding on August 5, 2025, on PlanetBids.
Nine sealed bids were received and opened on September 23, 2025. Staff reviewed all bid packages and determined HL Hitchcock Construction Inc. of Rancho Cucamonga, CA was the lowest responsive bidder with a total base bid amount of $1,011,835.00. The City recommended approval to award an agreement to H L Hitchcock Construction Inc. with the amount of $1,011,835.00 for the project. Staff also requested authorization for the allocation of construction contingencies, management, and administrative costs to ensure the project is fully funded and can proceed without delays.
The total project budget is supported by the Regional Circulation Fund. The available remaining budget is $1,130,450.86 for construction after deducting Amendment No. 5 with Engineering Resource of Southern California for design services and some administrative costs. The construction agreement with H L Hitchcock Construction, Inc. totaled $1,011,835.00, and a contingency of $118,000.00 was included to cover any unforeseen conditions or necessary changes during construction. The total estimated project cost, including contingency, is $1,129,835.00, which was fully funded within the available budget.
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Details of Budget Below:
Project Regional Circulation Funds $1,181,374.92
Engineering Resources of Southern CA
Design Amendment No. 5 -$42,459.84
Staff and Administrative Cost -$8,464.22
Remaining Project Funds $1,130,450.86
Project Cost $1,011,835.00
Contingency $118,000.00
Total Project Cost $1,129,835.00
The landscape and irrigation improvements included as part of the University Parkway Extension project will be installed by the contractor and maintained for a standard 90- day establishment period as required under the construction contract. Once this period concludes, ongoing landscape maintenance responsibilities will be transferred to the City’s landscape maintenance vendor as part of the regular contract scope. The annual cost provided by the City’s existing landscape maintenance vendor to maintain the new landscaped median is estimated at $66,000. To support this transition, staff will return to the City Council with a contract amendment to increase the vendor’s agreement and incorporate this corridor into the monthly maintenance schedule.
At the January 21, 2026 Mayor and City Council meeting, the City Council reviewed the item and directed staff to continue the matter to the February 18, 2026 Mayor and City Council meeting. The continuance was requested to allow staff additional time to evaluate the bids received, assess current market conditions and cost escalation, and return with a comprehensive recommendation on how to proceed with the project.
However, due to an extended award period and continued market escalation, the lowest responsible bidder formally withdrew its bid. Proceeding with the second lowest bidder was not feasible because available project funding of approximately $1,130,450 is insufficient to cover the construction cost plus the City’s standard 15% contingency.
Staff is therefore requesting Council’s direction regarding the following options upon rejection of the existing bid process:
1. Direct staff to rebid the project as designed.
2. Direct staff to redesign the project to reduce future maintenance costs.
3. Other directions as provided.
It is important to note that any redesign of the project would require soliciting new designs at an additional cost, as well as time delays to allow for a new review with the Department of Water Resources of the new design. This may delay the construction of the project for another two years before potential award of construction contract. 3 1
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2021-2025 Strategic Targets and Goals
The contract aligns with Key Target No. 3d: Improved Quality of Life. Approval of this resolution and direction from the City Council will result in a project that will improve the City’s appearance, cleanliness and traffic circulation.
Fiscal Impact
There is no fiscal impact related to the adoption of this resolution since it is solely funded by the Regional Circulation Fund.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California;
1. Adopt Resolution No 2026-066 rejecting construction bids for the University Parkway landscape Median project; and
2. Direct staff to proceed with rebidding the project using the existing, DWR approved design; or
3. Direct staff to conduct a new design process for the University Parkway landscaping project; or
4. Provide other directions as appropriate.
Attachments
Attachment 1 Resolution No. 2026-066
Ward:
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Synopsis of Previous Council Actions:
January 21, 2026, Mayor and City Council considered award of contract to H L Hitchcock Construction, Inc. and continued item.
August 17, 2022, Mayor and City Council adopted Resolution No. 2022-185 Authorizing construction, construction contingencies and inspection costs in the total amount of $8,500,000 for University Parkway Extension project (Phase 1).
December 5, 2018 Mayor and City Council adopted Resolution No. 2018-310 approving an agreement with ERSC to provide Environmental Clearance under the California Environmental Quality Act (CEQA) and preparation of Plans, Specifications, and Estimates (PS&E) for University Parkway extension between Baseline Street and 16th Street in the amount of $204,533.
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December 4, 2019 Mayor and City Council adopted Resolution 2019-347 approving the First Amendment to the Professional Services Agreement with ERSC to increase compensation by $24,681 for University Parkway extension.
September 2, 2020 Mayor and City Council adopted Resolution 2020-214 approving the Second Amendment to the Professional Services
Agreement with ERSC to increase compensation by $6,048 for University Parkway extension.
June 1, 2022 Mayor and City Council Approved Resolution 2020-214 approved the Third Amendment to the Professional Services Agreement with ERSC to increase compensation by $31,248 for University Parkway extension.
August 16, 2023 Mayor and City Council authorized the City Manager to execute Amendment No. 4 to the Professional Services
Agreement with ERSC, adding engineering and construction support services in the amount of $83,485 to the agreement.
August 6, 2025 Mayor and City Council authorized the City Manager to execute Amendment No. 5 to the Professional Engineering Services Agreement with Engineering Resources of Southern California (ERSC), adding design and construction support services, including surveying in the amount of $34,982.00 CC: Eric Levitt, City Manager