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16 - Award of Construction Agreement – Old Town Commercial Facade Improvement Program Project JR26-082

Victorville City Council
April 21, 2026

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16 - Award of Construction Agreement – Old Town Commercial Facade Improvement Program Project JR26-082
Meeting
April 21, 2026
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Victorville City Council
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Item Number: 16
City Council / Board of Directors
Written Communications
Meeting of: April 21, 2026
Submitted By:

Tony Camargo, Deputy City Manager

Subject:

Award of Construction Agreement – Old Town Commercial Facade Improvement Program Project JR26-082
Recommendation:

That the Honorable City Council:
(1) Award a construction agreement to Global Builders, Inc. for commercial facade improvements at 17053 D Street and 15593 7th Street in the amount of $185,552.00; (2) Authorize a 10% contingency for unforeseen repair expenses; and (3) Authorize the City Manager, or his designee, to execute the construction agreement and any related change orders by and between the City of Victorville and Global Builders, Inc.

Fiscal Impact:

Construction expenses for the projects will be funded from Community Development Block Grant Funds Account No. 2813025-52300-22004 (24 CDBG Facade Improvement Program – CS).

Strategic Plan Goal:

This item aligns with Strategic Plan Goal C: Community and Economic Development, Strategy 2: Implement Old Town Facade Improvement Program and seek funding to sustain the program in future years, preserve historic character, and support business and property owners in Old Town; and, Goal F: Communication and Outreach by strengthening partnerships with residents, business owners, and property owners in Old Town Victorville.

Background:

In July 2024, the City’s Economic Development Division (EDD) was awarded Community Development Block Grant (CDBG) funding to provide financial assistance to qualified commercial property and business owners. The funding supports façade improvements, 4 6
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correction of code violations, and ADA upgrades within the Old Town area through the Old Town Commercial Facade Improvement Program (OTCFIP).

The OTCFIP was established to preserve the historic Old Town Route 66 corridor, enhance commercial properties, attract private investment, beautify commercial areas, and support ongoing economic activity.

Eligibility for the OTCFIP is based on the following criteria:
• The property must be a commercial storefront located within the OTCFIP target area along D Street or 7th Street extending to Mojave Drive. • The applicant must be the property owner, or a joint application may be submitted by the business operator and property owner.
• The applicant must meet at least one of the following requirements:
-Income-qualified property owner
-Creation of low- to moderate-income jobs
-Matching funds contribution of $12,500.00
Eligible applicants may receive a deferred, no-interest, forgivable loan with a four-year term for exterior improvements consistent with City building codes and the Old Town Specific Plan. To ensure compliance with health, safety, and building codes, the City may increase the loan amount as necessary to address required corrections.

Discussion:

The property owners of 17053 D Street (Project A) and 15593 7th Street (Project B) applied to the OTCFIP in September 2024 and were subsequently deemed eligible. Each property qualifies for a one-time loan to complete exterior repairs and improvements identified by the City’s Planning and Building Departments.

Required improvements, as determined through inspection by the City’s Building Inspector, include but are not limited to:
• Stucco repair and patching
• Installation of stone, brick, or wood veneer
• New signage and exterior lighting
• ADA-compliant parking upgrades
Both property owners attempted to obtain contractor quotes but were unable to secure the three (3) bids required by the Program. As a result, and to move the projects forward, staff requested that the City’s Purchasing Division initiate a formal bidding process to obtain competitive pricing. On March 20, 2026, one bid was received from Global Builders, Inc. in the amount of $199,336.00. The Request for Bid and bid tabulation are included as Attachment A, which provides a breakdown of each project.

The initial bid exceeded the allocated funding for both projects, and as a result, staff worked with the contractor to revise and reduce the scope of work. The updated bid reflects essential improvements for both properties as outlined below. 4 6
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Project A – 17053 D Street
The property owner at 17053 D Street requested that the loan amount remain near $50,000.00 to qualify for a shorter, two-year loan term. The initial construction estimate provided by Global Builders, LLC totaled $72,833.00, which exceeded the owner’s preferred loan amount. As a result, the project scope was reduced to include only the minimum required improvements (see Attachment C). With these adjustments, the revised project cost and corresponding loan amount is $59,049.00.

The proposed property improvements for this property are as follows:
Patch, repair stucco and paint the West side of building Installation of new brick and wood veneer along the front facade Replacement of all storefront glass panes
ADA compliant van accessible parking stall
Installation of new light fixtures on front facade
Conversion of interior lighting on existing pole sign box to LED Project B – 15593 7th Street
The property owner at 15593 7th Street qualified for the Program under the Match Qualification and contributed $12,500.00 in personal funds toward the project. The project cost estimate was $126,503.00 and funding allocated for Project B loan was reduced to $114,003.00 after applying the owner’s contribution. The owner’s funds are being held in an escrow account and will be disbursed upon submission of eligible project expenses, including construction costs.

The proposed property improvements for this property are as follows:
Patch, repair stucco and paint on front facade
Install new stone veneer along the front facade
Installation of roll down curtains over windows at front of building Replacement of storefront glass panes
The combined contract amount for both projects totals $185,552.00. This will be funded with the CDBG grant in the amount of $173,052.00 and Project B escrow funds of $12,500.00. To view a photograph of the properties current condition, please see Attachment E.

Staff recommends that the City Council authorize the City Manager, or his designee, to execute a constructions agreement with Global Builders, Inc. in the amount of $185,552.00 for façade improvements at Project A and Project B, including a 10% contingency for unforeseen conditions (see Attachment B).

Staff remains available for any questions or comments you may have.

Prepared By:

Lesyenia Marin-Pineda, Housing Manager
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Attachments: A. Request for Bid & Bid Tabulation
B. Construction Agreement
C. Revised Bid Tabulation for 17053 D Street
D. Target Area Map
E. Property Photos

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