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2nd Floor
San Clemente, California
www.san-clemente.org
AGENDA REPORT
CITY OF SAN CLEMENTE
CITY COUNCIL MEETING
CITY OF SAN CLEMENTE
Meeting Date: November 4, 2025 Agenda Item: 11F.
Submitted By: Public Works
Prepared By: Amir K. Ilkhanipour, P.E., Principal Civil Engineer Subject:
..titl e
CONSIDERATION OF A RESOLUTION AWARDING A CONSTRUCTION CONTRACT TO RE CHAFEE CONSTRUCTION, INC. FOR THE CALLE REAL PUMP STATION REHABILITATION, CIP PROJECT NO. 19516, AUTHORIZING THE CITY MANAGER TO EXECUTE THE CONTRACT WITH RE CHAFEE CONSTRUCTION, INC. IN THE AMOUNT OF NOT TO EXCEED $2,528,600, AND FINDING THE PROJECT CATEGORICALLY EXEMPT FROM THE CALIFORNIA ..body ENVIRONMENTAL QUALITY ACT
Fiscal Impact:
The estimated total construction cost of $2,988,600 is within the approved budget amount of $5,066,700, from Account No. 052-466-45300-000-19516, Calle Real Pump Station, Water Fund Depreciation Reserve.
Summary:
Before the City Council is the award of a construction contract to RE Chafee Construction, Inc. (Attachment 2) for the Calle Real Pump Station Rehabilitation, in an amount not to exceed $2,528,600.
The pump station was constructed in the early 1960s and is in need of upgrades. This project will also allow the City to efficiently abandon Reservoir 6 which has reached the end of its useful life and connect to Reservoir 10 which will allow for increased redundancy within the two service zones.
Background:
The Calle Real Pump Station (Station) was constructed in the early 1960s and is in need of upgrades. The proposed upgrades will allow the City to efficiently abandon the existing Reservoir 6, which has reached the end of its useful life. The City has already completed the construction of the interconnecting 12-inch water pipeline from Reservoir 10 to the Calle Real Pump Station to 1 RAMBLAS
PROJECT SITE
Attachment 3
Meeting Date: November 4, 2025 Agenda Item: 11F.
CITY OF SAN CLEMENTE
bypass Reservoir 6. These upgrades will improve the system reliability in both the Reservoir 6 and 10 zones by providing an interconnection between the systems.
The project includes removal and replacement of the existing mechanical and electrical equipment, upgrade electrical service to the site, new vertical turbine pumps, suction and discharge piping, valves, new instrumentation, architectural improvements to the building structure, and commissioning.
City staff prepared a bid package for the rehabilitation project, contacted local contractors and advertised the project for competitive bidding on the PlanetBids website and in the San Clemente Times. Seven bids were received on September 26, 2025, ranging from $2,528,600 to $3,829,038, as shown on the table below. No local contractors provided a bid. The lowest responsive and responsible bidder is RE Chaffee Construction, Inc.
Vendor Name City Bid
Amount
RE Chaffee Construction, Inc. Wrightwood $2,528,600
Big Ben Engineering Irvine $2,583,701
US Builders & Consultants, Inc. Irvine $2,744,800
Mmc, Inc. La Palma $2,814,000
HPS Mechanical, Inc. Bakersfield $3,201,870
GMZ Engineering, Inc. Westlake Village $3,418,800
Houalla Enterprises, Ltd. Newport Beach $3,829,038
Staff is in the process of preparing requests for proposals (RFP) for engineering construction support services during construction, and construction management and inspection services for the project. Upon selection of consultants for these tasks, staff will return to the City Council for 2 -~
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PROPOSED IIIPROVEIIENTS EAST ELEVA I/ON
Meeting Date: November 4, 2025 Agenda Item: 11F.
CITY OF SAN CLEMENTE
award recommendations at a later time. As for placeholders, $140,000 and $320,000, respectively, is considered in the estimated construction costs.
Based on the lowest bid from RE Chaffee Construction, Inc., and other construction costs, the total estimated project construction cost is summarized below.
Construction Support Services by a Consultant $ 140,000 Construction Management and Inspection 320,000
Construction Contract 2,528,600
Total Estimated Construction Costs $2,988,600
As required by state law and City policy, the contractor, RE Chaffee Construction, Inc., will be required to provide performance and payment bonds simultaneously with execution of the construction contract (Attachment 2). Project plans and specifications are on file in the City Clerk’s office.
Council Options:
Adopt Resolution No. 25-170 (Attachment 1), awarding a construction contract to RE Chaffee Construction, Inc. for construction of Calle Real Pump Station Rehabilitation and authorizing the City Manager to execute a construction contract in an amount of not to exceed $2,528,600, and finding the project categorically exempt from CEQA. Modify and adopt Resolution No. 25-170.
Continue the item and direct staff to provide additional information. Do not adopt Resolution No. 25-170 and put the project on hold.
Environmental Review/Analysis:
This project is categorically exempt from the California Environmental Quality Act (CEQA) under Class 2 of the State CEQA Guidelines, Section 15302 – Replacement of Existing Facilities, since it consists of replacement and updating the existing components of the Station within the same site and having substantially the same purpose and functionality.
Recommended Actions:
Staff recommends that the City Council adopt Resolution No. 25-170, which will:
..recommendation
1. Find the Calle Real Pump Station Rehabilitation, CIP Project No. 19516, categorically exempt from the California Environmental Quality Act (CEQA) under Class 2 of the State CEQA Guidelines, Section15302;
2. Award the Calle Real Pump Station Rehabilitation, CIP Project No. 19516, construction contract to RE Chaffee Construction, Inc. as the lowest responsible and responsive bidder; and
3 Meeting Date: November 4, 2025 Agenda Item: 11F.
CITY OF SAN CLEMENTE
3. Authorize the City Manager to execute a construction contract with RE Chaffee Construction, Inc., in the amount of not to exceed $2,528,600, in a form substantially similar to Contract No.
C25-55 (Attachment 1).
..end
Attachments:
1. Resolution No. 25-170
2. Construction Contract with RE Chaffee Construction, Inc. (w/o attachments) Notification:
All Bidders
4 Attachment 1
RESOLUTION NO. 25-170
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SAN CLEMENTE, CALIFORNIA, AWARDING A
CONSTRUCTION CONTRACT TO RE CHAFEE
CONSTRUCTION INC. FOR THE CALLE REAL PUMP
STATION REHABILITATION, CIP PROJECT NO. 19516,
AND AUTHORIZING THE CITY MANAGER TO EXECUTE
THE CONTRACT WITH RE CHAFEE CONSTRUCTION INC.
IN THE AMOUNT OF NOT TO EXCEED $2,528,600.
WHEREAS, the Calle Real Pump Station was constructed in the early 1960’s and is in need of upgrades which will allow the City to efficiently abandon the existing Reservoir 6 which has reached the end of its useful life; and WHEREAS, this is the last phase to improve system reliability between Reservoir 6 and 10 zones; and
WHEREAS, City Staff advertised the project for competitive bidding and on September 26, 2025, seven bids were received, of which none were local bidders; and WHEREAS, City staff reviewed the bids and identified the lowest responsive and responsible bidder to be RE Chaffee Construction, Inc.; and NOW, THEREFORE, the City Council of the City of San Clemente does hereby find, determine and resolve as follows:
SECTION 1. Recitals. The above recitals are considered findings by the City Council and incorporated into the body of this resolution.
SECTION 2. Find the Calle Real Pump Station Rehabilitation, CIP Project No. 19516, categorically exempt from the California Environmental Quality Act (CEQA) under Class 2 of the State CEQA Guidelines, Section 15302.
SECTION 3. Award the Calle Real Pump Station Rehabilitation, CIP Project No. 19516, construction contract to RE Chaffee Construction, Inc. as the lowest responsible and responsive bidder.
SECTION 4. Authorize the City Manager to execute a construction contract with RE Chaffee Construction, Inc., in an amount not to exceed $2,528,600, in a form substantially similar to Contract No. C25-55.
SECTION 5. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions. 5 Resolution No 25-170 Page 2
PASSED AND ADOPTED this day of , 2025.
ATTEST:
City Clerk of the City of Steve Knoblock, Mayor of the
San Clemente, California City of San Clemente, California
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) §
CITY OF SAN CLEMENTE )
I, LAURA CAMPAGNOLO, City Clerk of the City of San Clemente, California, do hereby certify that Resolution No. 25-170 was adopted at a regular meeting of the City Council of the City of San Clemente held on the day of ,
, by the following vote:
AYES:
NOES:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Clemente, California, this day of , .
CITY CLERK of the City of
San Clemente, California
Approved as to form:
Elizabeth A. Mitchell, City Attorney
6 Attachment 2
SECTION 00500
CONTRACT
THIS CONTRACT is made this _____ day of _________, 2025, in the County of Orange, State of California, by and between the City of San Clemente hereinafter called City, and RE Chaffee Construction, Inc., hereinafter called Contractor. City and the Contractor for the considerations stated herein agree as follows:
ARTICLE 1. SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated the contract and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5 below for the following Project:
CALLE REAL PUMP STATION REHABILITATION
The Contractor and its surety shall be liable to City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
ARTICLE 2. TIME FOR COMPLETION. The Work shall be commenced on the dates stated in City’s Notice to Proceeds. The project will have two Notice to Proceeds (NTP’s): the 1st NTP to begin administrative work (shop drawing submittals, material procurement, etc.), and the 2nd NTP to begin mobilization and site work. The 2nd NTP shall not occur later than 60 working days after the 1st NTP. The Contractor shall complete all Work required by the Contract Documents within 300 working days from the commencement date stated in the 2nd Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
ARTICLE 3. CONTRACT PRICE. City shall pay to the Contractor as full compensation for the performance of the Contract and the Work, which includes everything that is reasonably foreseeable related thereto, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of Two Million, Five Hundred Twenty Eight Thousands and Six Hundred Dollars ($2,528,600). Payment shall be made as set forth in the General Conditions.
At any time during the term of the Contract, City may, pursuant to the terms and provisions of the Contract Documents, request that the Contractor perform additional work. Contractor shall not perform, nor be compensated for, additional work without written authorization from the City pursuant to the terms and provisions of the Contract Documents.
ARTICLE 4. LIQUIDATED DAMAGES/EARLY COMPLETION INCENTIVE. In accordance with Government Code section 53069.85, it is agreed that the Contractor will pay City the sum of $1,000 for each and every calendar day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event that Liquidated Damages are not paid, the Contractor agrees City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Article does not exclude recovery of other damages specified in the Contract Documents. 7 55452.01510\32905704.2
2 ARTICLE 5. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Form
Contractor’s Certificate Regarding Workers’ Compensation Bid Bond
Non-Collusion Declaration Form
Contractor Information and Experience Form
List of Subcontractors Form
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Contract
Performance Bond
Payment Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract The Contactor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. This Contract shall supersede any prior agreement of the parties.
ARTICLE 6. PROVISIONS REQUIRED BY LAW. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state and local laws, rules and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Project.
ARTICLE 7. INDEMNIFICATION. Contractor shall provide indemnification as set forth in the General Conditions.
ARTICLE 8. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at City of San Clemente Public Works Department or may be obtained online at http//www.dir.ca.gov/dlsr. and which must be posted at the job site.
IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on the day and year above written.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed on the respective dates set forth opposite of their signatures. 8 55452.01510\32905704.2
3 CITY OF SAN CLEMENTE
By:________________________________
Andy Hall, City Manager
ATTEST: Dated: __________________, ______
____________________________
CITY CLERK of the City of
San Clemente, California
APPROVED AS TO FORM:
_____________________________
Elizabeth A. Mitchell, City Attorney
APPROVED AS TO AVAILABILITY
OF FUNDING:
_____________________________
Finance Authorization
RE Chaffee Construction Inc.
__________________________
(“CONTRACTOR”)
By:_____________________________
Ronald E. Chaffee Jr., CEO / CFO
Dated: __________________, ______
By:_____________________________
Jessica R. Chaffee, Secretary
Dated: __________________, ______
END OF CONTRACT
9