TO:Andrew P. Powers, City Manager
FROM:Nader Heydari, Public Works Director
DATE:September 23, 2025
SUBJECT: Polybutylene Service and Valve Replacements (CI 5688 and CI 5689)
RECOMMENDATION:
1. Reject all bids received on August 20, 2025.
2. Authorize staff to re-advertise the Polybutylene Service Replacement (CI 5688) and Valve Replacement (CI 5689) Projects for construction bids.
3. Find that the project is Categorically Exempt from the California Environmental Quality Act (CEQA) pursuant to Title 14, California Code of Regulations, Section 15302, Class 2 – Replacement or reconstruction of an existing facility.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
No Additional Funding Requested. Minimal staff time to advertise for bids are included in the Adopted FY 2025-26 Water Capital Budget. Total of $1,750,000 is included in the Adopted FY 2025-26 Water Fund Capital Budget ($950,000 for the Polybutylene Service Replacement -CI 5688) and $800,000 for the Valve Replacements Project -CI 5689). The total project cost for both projects is estimated at $1,650,000.
BACKGROUND:
The City water system serves about 17,000 connections and approximately 50,000 customers (roughly 36 percent of the City). Staff have identified the need to replace water service line laterals that were originally installed in the 1970s, constructed of polybutylene material. This material has a history of cracking, leaking, and overall unreliability. Through a phased program, over 5,000 laterals constructed with this material citywide are being replaced with new copper service line laterals.
Polybutylene Service and Valve Replacements (CI 5688 and CI 5689) September 23, 2025
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Previous phases of the project have replaced approximately 1,913 service line laterals. A total of 125 additional laterals will be replaced by the current project.
Replacement of laterals is done using trenchless techniques to minimize excavation in City streets.
Additionally, as part of this project, 54 existing water valves will also be replaced.
These valves, which are over 35 years old, have exceeded their expected service life. In some cases, the valves can no longer be fully opened or closed, limiting their effectiveness. Water valves are essential for redirecting water flow and isolating water mains during maintenance or emergency repairs. Replacing them will enhance the overall operation of the water system and improve reliability in the event of an emergency.
In summary, the project scope will include the replacement of 125 water service lines within residential neighborhoods bordered by Olsen Road, Pederson Road, and Northwood Parkway. In addition, 54 water valves will be replaced along Calle Castaño, Calle Fresno, Calle Quebracho, Calle Cedro, Calle La Maida, Calle Lacota, and Calle Arino (Attachment #1).
DISCUSSION/ANALYSIS:
City Council authorized bidding of the project on July 8, 2025. The Notice Inviting Bids was published in the Thousand Oaks Acorn newspaper on July 18, 2025, and was posted on the City’s procurement website. Six bids were received and publicly opened on August 20, 2025, as follows:
Bidder Bid
1. Sam Hill & Sons, Inc. (Ventura, CA) $ 1,499,999
2. Toro Enterprises, Inc. (Oxnard, CA) $ 1,699,150
3. J. Vega Engineering, Inc. (Oxnard, CA) $ 1,756,500
4. Cedro Construction, Inc. (Santa Paula, CA) $ 1,870,985
5. Environment Construction, Inc. (Woodland Hills, CA) $ 1,980,619
6. Cody & Noah Construction, Inc. (Santa Clarita, CA) $ 2,188,540 The lowest bid was from Sam Hill & Sons, Inc. in the amount of $1,499,999, about fifteen percent lower than the engineer’s estimate of $1,760,000. The bid package by Sam Hill & Sons, Inc. was reviewed and found to be an incomplete bid for failing to include a required subcontractor listing. Other bidders also did not properly fill out the subcontractor list for the required engineering and testing.
Given the observed issues with the bid responses, staff have re-evaluated the project specifications and have determined that revisions and clarifications to the specifications need to be made in order to clarify the testing and inspection Polybutylene Service and Valve Replacements (CI 5688 and CI 5689) September 23, 2025
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requirements for the project. Staff therefore request that City Council reject all bids and authorize re-advertising the project.
This project is categorically exempt from CEQA per Section 15302 (replacement/reconstruction of an existing facility).
The project design, plans, and specifications are available for review upon request to the Public Works Department by e-mail at [email protected] or by phone at (805) 449-2400.
This project meets City Council’s Top Ten Priorities #9, “Public Works Infrastructure Investments.”
Community Outreach: A public outreach plan for the project has been established, with a focus on residents located adjacent to the project, as well as the general public. Project website updates will be utilized to inform the public and receive feedback. Additionally, prior to the start of construction, notices will be mailed to all property owners in the project area and special notices will be delivered to individual properties impacted during construction.
CIP PROJECT PRIORITY (as outlined in FY 2025-26 and FY 2026-27 CIP Program Budget)
Priority Two – Necessary, but not essential, and there could be consequences if deferred.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Roner DelCastillo, Associate Engineer
Attachments:
Attachment #1 – Vicinity and Location Maps
DPW:850-20\ev\Council\2025\092325\CI5688 CI5689\Polybutylene Service and Valve Replacements staff report.docx