TO: HONORABLE MAYOR
AND CITY COUNCIL
FROM: John Ristow
Matt Loesch
SUBJECT: See Below DATE: September 29, 2025
Approved
Date:
9/30/2025
COUNCIL DISTRICTS: 1, 3, 6, 7, 9
SUBJECT: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
RECOMMENDATION
(a) Report on bids and award of a contract for the construction of the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project to the lowest responsive, responsible bidder, O’Grady Paving, Inc., in the amount of $10,404,657.
(b) Approve a 10% contingency in the amount of $1,040,466.
SUMMARY AND OUTCOME
Award of this contract to O’Grady Paving, Inc. enables the construction of the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project which will provide various resurfacing treatments for approximately 25 miles of streets within the Local and Neighborhood Street Network. Approval of the 10% contingency provides funding for any unanticipated work necessary for the proper completion or construction of the project.
BACKGROUND
The Transportation Department (DOT) will maintain approximately 228 miles of roadway during the 2025 construction season, including 175 miles of streets on the Local and Neighborhood Street Network and 53 miles on the Major Street Network. As part of this effort, DOT plans to resurface 108 miles of streets in poor to failed condition. This project will resurface approximately 25 miles of streets in the Local and Neighborhood Street Network.
COUNCIL AGENDA: 10/21/25
FILE: 25-1107
ITEM: 5.2
HONORABLE MAYOR AND CITY COUNCIL
September 29, 2025
Subject: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
Pavement resurfacing is typically performed in two separate phases: preparation and a final resurface application. The preparation phase includes American with Disabilities Act compliant curb ramp installations, grinding, cold milling, hauling, and disposal of several inches of damaged or degraded roadway prior to the commencement of installation of new pavement. The final resurfacing treatment is applied to the entire street from gutter to gutter and consists of installing a new layer of asphalt and replacing traffic striping, markers and devices.
The City’s Local and Neighborhood Street Network is organized into 135 geographically contiguous pavement maintenance zones. Pavement maintenance zones support efficient planning and delivery of paving projects by maximizing the amount of paving work completed at one time within a neighborhood area, and to ensure geographic spread of pavement maintenance throughout San José.
DOT utilizes a pavement management system software to collect and store roadway condition data. This data is used to generate a candidate list of streets to be considered for the annual pavement maintenance program. The candidate list is thoroughly analyzed by staff using the following criteria to create the final list of streets:
• Funding availability and funding use restrictions;
• Streets on the Local and Neighborhood Streets Network; • Streets not affected by current or future street-related projects; • Maintenance history and prescribed treatment schedules; • Streets associated with planned safety, bikeway, or other “complete streets” projects; • Community and City Council Office feedback regarding roadway conditions and priority street segments;
• Relative location of street segments to create multiple, continuous segments, consistency within neighborhoods, and project efficiency; and • Multi-year geographic spread across San José and the street network.
In 2021, DOT added equity as a criterion for zone selection. DOT staff cross-referenced the selected zones with census tracts designated by the Metropolitan Transportation Commission as “Equity Priority Communities” (EPC), formerly known as “Communities of Concern,” to better track equity in service delivery. This project includes about 4.5 of the 30 EPC miles that will be maintained in 2025. DOT has maintained a total of 198 EPC miles since 2019 and by 2025, 228 out of 266 (89%) total EPC miles in the Local and Neighborhood Street Network will be paved. Roughly 256 out of 266 miles (96%) of local and neighborhood streets in EPCs will be maintained by the end of the current three- year plan (2028). DOT anticipates completing pavement maintenance for nearly 91% of the entire Local and Neighborhood Street Network in this same timeframe.
HONORABLE MAYOR AND CITY COUNCIL
September 29, 2025
Subject: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
The Attachment to this memorandum contains the list of streets to be resurfaced as part of this project. The list may change if unforeseen circumstances arise or new information regarding other projects becomes available. Construction is scheduled to begin in March 2026, with substantial completion anticipated in August 2026.
ANALYSIS
Bids were opened on August 28, 2025, with the following results:
Contractor
Bid Amount Variance
Amount
Over/(Under)
Percent
O'Grady Paving, Inc.
(Mountain View) $10,404,657 ($415,690) (4)
DeSilva Gates Construction LLC
(San José) $10,630,963 ($189,383) (2)
MCK Services, Inc.
(Martinez) $10,743,603 ($76,743) (1)
Engineer’s Estimate $10,820,346 -- --
McKim Corporation
(Gilroy)
(non-responsive)
$10,914,353 $94,007 1
A. Teichert & Son, Inc.
(Pleasanton) $11,708,947 $888,601 8
Ghilotti Construction Company, Inc.
(Santa Rosa) $12,815,898 $1,995,552 18
The bid submitted by McKim Corporation was deemed non-responsive for failing to meet the City’s experience requirements. The low bid submitted by O'Grady Paving, Inc. is 4% below the Engineer’s Estimate and is considered acceptable for the work involved in the project.
Contractor Prior Experience
O'Grady Paving, Inc. has previously completed multiple paving projects for the City of San José. Most recently in the 2024 construction season, O'Grady Paving, Inc. performed resurfacing work on approximately 15 miles of arterial city streets through a major construction project, 10381 - 2024 Major Streets Resurfacing Project #1.
HONORABLE MAYOR AND CITY COUNCIL
September 29, 2025
Subject: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
Contingency
San José Municipal Code Section 27.04.050 provides for a standard contingency of 10% on all public works contracts except those involving the renovation of a building or buildings.
The standard contingency is appropriate for this project.
Wage Theft Prevention Policy Check
The Public Works Office of Equality Assurance reviewed bidders for compliance with the City’s Wage Theft Prevention Policy on August 28, 2025, and again on September 15, 2025.
No wage theft issues were identified.
Project Labor Agreement Applicability
The City’s Project Labor Agreement is applicable to this project because the Engineer’s Estimate is over $1.2 million.
Local and Small Business
The recommended contractor, O'Grady Paving, Inc., is a local but not a small business enterprise. No local or small business enterprises were listed as subcontractors.
EVALUATION AND FOLLOW-UP
DOT provides an ongoing evaluation of the City’s pavement conditions and provides periodic reports on this topic to the Transportation and Environmental Committee. This is the last local and neighborhood street pavement maintenance project scheduled for City Council action this year.
COST SUMMARY/IMPLICATIONS
This project supports the Transportation and Aviation Services City Service Area goal to preserve and improve transportation assets and facilities. The pavement maintenance performed by this project will extend the useful life of the streets. Funding for this project is included in the 2025-2027 Adopted Biennial Capital Budget in the Pavement Maintenance – Measure T Bond appropriation (Fund 498). This project will have no net operating and maintenance costs to the General Fund.
HONORABLE MAYOR AND CITY COUNCIL
September 29, 2025
Subject: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
1. TOTAL COST OF PROJECT:
Project Delivery (FY 2025)* $ 10,709
Project Delivery* 1,063,999
Construction 10,404,657
Contingency 1,040,466
TOTAL PROJECT COSTS $12,519,831
* Programmatic project delivery estimate includes approximately $454,000 for design services and $621,000 for construction management and inspection services.
2. COST ELEMENTS OF CONTRACT AS RECOMMENDED AS PART OF THE MEMORANDUM:
New Paving $7,732,460
Thermoplastic Striping 1,036,197
Utility Adjustments 1,140,000
Other Construction Costs 496,000
TOTAL BASE BID AMOUNT $10,404,657
BUDGET REFERENCE
The table below identifies the fund and appropriations to fund the contract recommended as part of this memorandum and remaining project costs, including project delivery, construction, and contingency costs.
Fund
#
Appn.
#
Appropriation
Name
Total
Appropriation
Amount for
Contract
2025-2027
Proposed
Biennial
Capital
Budget
Page*
Last Budget
Action (Date,
Ord. No.)
498 415Y
Pavement
Maintenance
– Measure T
Bond
$55,250,307 $10,404,657 787 6/17/2025
31230
*The 2025-2027 Adopted Biennial Capital Budget was approved on June 10, 2025 and adopted on June 17, 2025 by the City Council.
HONORABLE MAYOR AND CITY COUNCIL
September 29, 2025
Subject: Report on Bids and Award of Contract for the 10492 – 2025 Local Streets Resurfacing West Pavement (Measure T) Project
COORDINATION
Thi
s memorandum has been coordinated with the City Attorney’s Office, the City Manager’s Budget Office, and the Planning, Building and Code Enforcement Department.
PUBL
IC OUTREACH
Thi
s memorandum will be posted on the City Council Agenda website for the October 21, 2025, City Council meeting. The contractor will provide advance notification regarding working hours, duration of project, and any appropriate schedule and lane closures to affected businesses and residents, as stated in the specifications. To inform traveling motorists of upcoming construction activities and potential traffic delays, changeable message signs may be used on selected streets stating the scheduled date and time for work to occur on the street.
CO
MMISSION RECOMMENDATION AND INPUT
N
o commission recommendation or input is associated with this action.
CEQ
A
C
ategorically Exempt, File No. ER24-313, CEQA Guidelines Section 15301(c), Existing Facilities.
PUBL
IC SUBSIDY REPORTING
Thi
s item does not include a public subsidy as defined in section 53083 or 53083.1 of the California Government Code or the City’s Open Government Resolution. /
s/ /s/
Matt Loesch John Ristow
Director, Public Works Department Director, Transportation Department For
questions, please contact Jennifer Seguin, Deputy Director, Transportation Department, at [email protected] or (408) 794-6453 or Mathew Nguyen, Deputy Director, Public Works Department, at [email protected] or (408) 535-8300.
A
TTACHMENT – List of Streets
Attachment – List of Streets
Street Name Street From Street To CD
AMSTUTZ DR WILLIAMS RD BORINA DR 1
APPLEWOOD DR LONGWOOD LN ROCKDALE DR 1
AURORA AV BELVEDERE DR TANBARK ST 1
BELVEDERE DR SARATOGA AV PINEWOOD DR 1
BLACKFORD AV SARATOGA AV PINEWOOD DR 1
BLACKFORD AV PINEWOOD DR LIVE OAK WY 1
BOLTON CT MOORPARK AV E END 1
BORINA DR MOORPARK AV PINEWOOD DR 1
BORINA DR PINEWOOD DR SARATOGA AV 1
BRENTWOOD DR MOORPARK AV BORINA DR 1
BRENTWOOD DR BORINA DR CASTLEWOOD DR 1
BROADMOOR DR STRAWBERRY PK DR BLACKFORD AV 1
CASCADE DR BELVEDERE DR BLACKFORD AV 1
CASTLEWOOD CT CASTLEWOOD DR N END 1
CASTLEWOOD DR ROCKDALE DR MOORPARK AV 1
CERA DR BORINA DR WILLIAMS RD 1
CERA DR CERA DR CERA DR 1
CHERRYWOOD CT CHERRYWOOD DR S END 1
CHERRYWOOD DR BRENTWOOD DR ROCKDALE DR 1
CRESTMOOR CT CRESTMOOR DR W END 1
CRESTMOOR DR MOORPARK AV SPRINGDALE DR 1
ELMHURST DR CAMINA ESCUELA PINEWOOD AV 1
HAPPY VALLEY AV CASTLEWOOD DR WILLIAMS RD 1
HAZEL DELL WY MOORPARK AV JUNIPERO SERRA LN 1
HICKORY WY BLACKFORD AV BELVEDERE DR 1
HILLWOOD DR BORINA DR S END 1
JOHN MISE CT MOORPARK AV N END 1
JUNIPERO SERRA LN MOORPARK AV JAPONICA WY 1
JUNIPERO SERRA LN JAPONICA WY E END 1
LEO DR BORINA DR WILLIAMS RD 1
LIVE OAK WY BLACKFORD AV STRAWBERRY PK DR 1
LONGWOOD LN CHERRYWOOD DR APPLEWOOD DR 1
PALACEWOOD CT CASTLEWOOD DR N END 1
PINE HILL CT CRESTMOOR DR W END 1
RIVIERA CT CASTLEWOOD DR N END 1
ROCKDALE DR WILLIAMS RD BORINA DR 1
SHADOW CT JUNIPERO SERRA LN S END 1
SHADOW GLEN CT JUNIPERO SERRA LN MOORPARK AV 1
SPRING WOOD DR BORINA DR CRESTMOOR DR 1
SPRINGDALE DR CRESTMOOR DR SPRINGWOOD DR 1
Attachment – List of Streets
Street Name Street From Street To CD
SWEET AV WILLIAMS RD BORINA DR 1
TANBARK ST AURORA DR SARATOGA AV 1
ZARICK DR BORINA DR WILLIAMS RD 1
BEVANS DR 244'S/LAPA DR WESTDALE DR 1
BEVANS DR WESTDALE DR MITTY AV 1
BEVANS DR LAPA DR 244 S/LAPA DR 1
CALVERT DR STEVENS CREEK BL CITY LIMIT 1
DOYLE RD 430'S/LAPA DR WESTDALE DR 1
DOYLE RD 266'S/MITTY AV GLENTREE DR 1
DOYLE RD LAPA DR 430 S./ LAPA DR 1
DOYLE RD MITTY WY 266 S/MITTY WY 1
FOREST GLEN DR FOREST RIDGE DR RAINTREE DR 1
FOREST RIDGE DR FOREST VIEW DR GLENTREE DR 1
FOREST VIEW DR RAINTREE DR MOORPARK AV 1
GLENTREE CT GLENTREE DR S END 1
GLENTREE DR LAWRENCE EX FOREST RIDGE DR 1
GULLO AV FOREST RIDGE DR MOORPARK AV 1
LAPA DR PARK MEADOW DR DOYLE RD 1
MITTY WY LAWRENCE EX MOORPARK AV 1
PARK MEADOW CT PARK MEADOW DR W END 1
PARK MEADOW DR MITTY WY LAPA DR 1
RAINTREE CT GLENTREE DR S END 1
RAINTREE DR GLENTREE DR FOREST VIEW DR 1
SOUTH PARK DR LAPA DR WESTDALE DR 1
STERN AV STEVENS CREEK BL CITY LIMIT 1
WAGMAN DR 200'S/LAPA DR WESTDALE DR 1
WAGMAN DR LAPA DR 200' S/O LAPA DR 1
WESTDALE DR DOYLE RD PARK MEADOW DR 1
GREENOAK DR OAKTREE DR WUNDERLICH DR 1
HUNTINGDON DR KIMBERLY ST PROUTY WY 1
KIMBERLY ST JOHNSON AV OAKTREE DR 1
OAKTREE DR KIMBERLY ST BIGOAK DR 1
CASTANO DR JOHNSON AV HARLAN DR 1
BING DR WALBROOK DR W DIAL WY 1
BING DR DIAL WY STURGEON WY 1
CENTENNIAL CT WALBROOK DR W S END 1
DIAL WY MILLER AV PETAL WY 1
DIAL WY PETAL WY WALBROOK DR W 1
MAYFLOWER CT TARTARIAN WY E END 1
PAYETTE CT WALBROOK DR W S END 1
Attachment – List of Streets
Street Name Street From Street To CD
PETAL WY TRACEL DR DIAL WY 1
PETAL WY DIAL WY WALBROOK DR W 1
PETAL WY WALBROOK DR W RAINBOW DR 1
PILGRIM AV TARTARIAN WY JOHNSON AV 1
PINE GROVE CT N PINE GROVE WY W END 1
PINE GROVE CT S PINE GROVE WY W END 1
PINE GROVE WY TARTARIAN WY ROYAL ANN DR 1
PLYMOUTH WY STURGEON WY PETAL WY 1
ROYAL ANN DR PETAL WY TARTARIAN WY 1
ROYAL ANN DR TARTARIAN WY JOHNSON AV 1
SQUIREDELL DR PETAL WY MILLER AV 1
STURGEON WY DIAL WY PLYMOUTH AV 1
TARTARIAN WY PILGRIM AV ROYAL ANN DR 1
TARTARIAN WY ROYAL ANN DR DIAL WY 1
TRACEL DR PETAL WY MILLER AV 1
WALBROOK DR W MILLER AV PETAL WY 1
WALBROOK DR W PETAL WY JOHNSON AV 1
11TH ST FRONTAGE 11th St S End 3
DUANE ST ALMADEN AV E END 3
MARTHA ST S 7TH ST S 12TH ST 3
CHAPMAN ST RANDOL AV FREMONT ST 6
CHAPMAN ST FREMONT ST SINGLETARY AV 6
FREMONT ST THE ALAMEDA PARK AV 6
MORSE ST SINGLETARY AVE FREMONT ST 6
MORSE ST FREMONT ST RANDOL AV 6
SINGLETARY AV PARK AV THE ALAMEDA 6
ARAM AV CITY LIMIT SPRUANCE ST 6
ARAM AV SPRUANCE ST ROMERO ST 6
ARNOLD WY DOWNING AV ARAM AV 6
BARDEN WY CHENEY DR W END 6
BAYLEAF CT WHITETHORN DR S END 6
BEATRICE CT PRINCESS ANNE DR W END 6
BESS CT WHITETHORN DR S END 6
BORELLO DR VIA CONTENTA BASCOM AV 6
CHENEY CT CHENEY DR N END 6
CHENEY DR SHERMAN OAKS DR LEIGH AV 6
COLLEGE DR LEIGH AV FRUITDALE AV 6
DANDINI CR SHERMAN OAKS DR SHERMAN OAKS DR 6
DEL MAR AV FRUITDALE AV LEON DR 6
DEL MAR AV LEON DR STOKES ST 6
Attachment – List of Streets
Street Name Street From Street To CD
DELNA MANOR LN DOWNING AV N END 6
DOGWOOD CT WHITETHORN DR S END 6
DOWNING AV W END EMPEY WY 6
DOWNING AV EMPEY WY 160W/ARNOLD WY 6
DOWNING AV 160'W/ARNOLD WY BASCOM AV S 6
EISENHOWER DR ARNOLD WY WAINWRIGHT DR 6
EISENHOWER DR WAINWRIGHT DR BASCOM AV S 6
GINGER LN DOWNING AV 80'N/LINDBERG AV 6
GINGER LN 80'N/LINDBERG AV LINDAIRE AVE 6
GOODWIN AV LEIGH AV FRUITDALE AV 6
GREENBAY CT WHITETHORN DR S END 6
HUERTO CT SPRUANCE ST VIA CODORNIZ 6
HUERTO CT VIA CODORNIZ W END 6
LAWTON AV FRUITDALE AV GOODWIN AV 6
LEON DR BASCOM AV S PRINCESS ANNE DR 6
LINDBERG AV GINGER LN E END 6
LYNNHAVEN DR PRINCESS ANNE DR DEL MAR AV 6
MARDEL LN PRINCESS ANNE DR DEL MAR AV 6
MARLBORO CT DEL MAR AV S END 6
NAUTILUS CT GINGER LN E END 6
NORSTAD ST RICKENBACKER ST LINDBERG AV 6
PAMLAR AV BASCOM AV S W END 6
PORGY CT WHITETHORN DR S END 6
PRINCESS ANNE DR FRUITDALE AV S END 6
QUANTICO CT GINGER LN E END 6
RAQUEL CT CHENEY DR W END 6
RAVENSCOURT AV TOLWORTH DR CITY LIMIT 6
REGALO CT BORELLO DR N END 6
RICKENBACKER ST LINDBERG AV DOWNING AV 6
ROENOKE WY DEL MAR AV PRINCESS ANNE DR 6
ROMERO ST STOKES ST ARAM AV 6
ROSEBUD CT SHERMAN OAKS DR N END 6
SHERMAN OAKS DR FRUITDALE AV 653 S/O FRUITDALE AV 6
SHERMAN OAKS DR 653 S/O FRUITDALE AV CHENEY DR 6
SPRUANCE CT HUERTO DR S END 6
SPRUANCE ST WHITETHORNE DR 300'S/WHITETHORNE DR 6
SPRUANCE ST 300'S/WHITETHORNE DR PAMLAR AV 6
SPRUANCE ST PAMLAR AV HUERTO DR 6
SPRUANCE ST WHITETHORN DR STOKES ST 6
SPRUANCE ST STOKES ST ARAM AV 6
Attachment – List of Streets
Street Name Street From Street To CD
STOKES ST CITY LIMIT SPRUANCE ST 6
TOLWORTH DR CITY LIMIT DOWNING AV 6
VIA CORDORNIZ HUERTO DR BORELLO DR 6
WAINWRIGHT DR DOWNING AV EISENHOWER DR 6
WAINWRIGHT DR EISENHOWER DR ARAM AV 6
WHITEHALL AV CITY LIMIT TOLWORTH DR 6
WHITETHORN DR BASCOM AV S 1100'W/BASCOM AV S 6
WHITETHORN DR 1100'W/BASCOM AV S CITY LIMIT 6
POMONA AV BELLEVUE AV SAN JOSE AV 7
SAN JOSE AV ALMADEN EX ALMADEN RD 7
BRIARGLEN DR PROSPER AV 375'N/PROSPER AV 9
BRIARGLEN DR 375'N/PROSPER AV 65'E/BRIARGLEN CT 9
BRIARGLEN DR 65'E/BRIARGLEN CT BRYAN AV 9
LYNHURST CT LYNHURST WY W END 9
LYNHURST WY VISTAMONT DR LYNHURST CT 9
LYNHURST WY LYNHURST CT BRIARGLEN DR 9
PROSPER AV LIZZIE LN ALMADEN EXP 9
VISTAMONT DR RODNEY DR S END (ROSS CREEK) 9