Submitted By: Public Works
Prepared By: Masako Hennequin, Senior Civil Engineer
Subject:
title
CONSIDERATION OF A RESOLUTION AWARDING A CONSTRUCTION CONTRACT TO TOWO ENTERPRISE INC. FOR CDBG SIDEWALK IMPROVEMENTS FOR AVENIDA DE LA ESTRELLA, CIP PROJECT NO. 17809, IN AN AMOUNT NOT TO EXCEED $67,640, AUTHORIZING THE CITY MANAGER TO EXECUTE THE CONSTRUCTION CONTRACT AND FINDING THE PROJECT CATEGORICALLY EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
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Summary:
The City Council is being asked to consider adoption of a resolution (Attachment 1) to award and authorize execution of a construction contract with TOWO Enterprise Inc., in an amount not to exceed $67,640, for the CDBG Sidewalk Improvements for Avenida De La Estrella (Attachment 2).
Background:
This project is funded with Community Development Block Grant (CDBG) funds. The proposed sidewalk project for Avenida De La Estrella was identified and approved for CDBG funding in the Annual Action Plan. The project is located on the west side of Avenida De La Estrella (Attachment 3), adjacent to Bonito Canyon Park. Existing curb and gutter are present, but no sidewalk exists along this stretch of Avenida De La Estrella. This project will construct approximately 930 LF of new 4’ wide concrete sidewalk beginning at 1305 Avenida De La Estrella and terminating at the intersection of La Rhonda and Avenida De La Estrella. It also includes installing a stackable block retaining wall and relocating one street sign and a mailbox.
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 |
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Existing path |
Existing path |
Staff completed the project plans and specifications in-house. On September 3, 2026, staff contacted local contractors, published a notice inviting bids for this project in the San Clemente Times, and published a bid solicitation on PlanetBids. The City opened bids on September 24, 2026, and the Bid Summary table below presents the results. Bids ranged from $67,640 to $178,680. No bids came from businesses based in San Clemente. The lowest responsive and responsible bidder is TOWO Enterprise Inc. of Fullerton, California, with a total bid amount of $67,640.
Table 1. Bid Summary
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Company Name |
Company Location |
Amount |
|
TOWO Enterprise Inc |
Fullerton, CA |
$67,640 |
|
Innovate Construction Inc |
Santa Ana, CA |
$89,000 |
|
L.C. Paving & Sealing |
Escondido, CA |
$89,510 |
|
All American Building Services |
Santa Clarita, CA |
$90,240 |
|
Carter Enterprises Group Inc dba Pavement Rehab Company |
Yorba Linda, CA |
$144,000 |
|
OrangeBlue General Contractors |
Laguna Hills, CA |
$178,680 |
Based on the lowest bid, the total estimated construction cost is $85,640, as summarized in Table 2 below. Cost Summary:
Table 2. Cost Summary
|
Construction |
$ 67,640 |
|
Construction Management and Inspection |
$ 18,000 |
|
Total Estimated Construction Cost |
$ 85,640 |
As required by state law and City policy, TOWO Enterprise Inc. must provide performance and payment bonds when executing the construction contract (Attachment 2). The project plans and specifications are on file in the City Clerk’s office.
Considerations Identified by Staff:
This project will construct a new concrete sidewalk along the dirt path to improve walkability and pedestrian safety along this stretch of Avenida De La Estrella.
If the City chooses not to move forward and instead maintain the unpaved dirt path, it is difficult to maintain the path during wet conditions due to erosion.
Council Options:
• Adopt Resolution No. 26-165 (Attachment 1), awarding the Sidewalk Improvements for Avenida De La Estrella to TOWO Enterprise Inc., authorizing the City Manager to execute a construction contract in an amount not to exceed $67,640 and finding the project categorically exempt from CEQA under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines.
• Modify and adopt Resolution No. 26-165.
• Continue the item and direct staff to provide additional information.
• Do not award the contract or construct the street improvements.
Environmental Review/Analysis:
This project is exempt from the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines because it consists of repairs to existing City facilities, involves negligible or no expansion of existing or former use, and has no possibility of a direct or reasonably foreseeable indirect effect on the environment.
Fiscal Impact:
The estimated total construction cost of $85,640 includes construction ($67,640) and construction management/inspection ($18,000) and is within the approved budget of $290,000 from the CDBG Fund, Account No. 017-896-45300-000-17809 CDBG Sidewalk Improvements Program.
Potential Action(s):
recommendation
Staff recommends the City Council adopt Resolution No. 26-165 (Attachment 1), which will:
recommendation
1. Find the Sidewalk Improvements for Avenida De La Estrella, CIP Project No. 17809, categorically exempt from the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities, 14 CCR section 15301) of the State CEQA Guidelines;
2. Award the Sidewalk Improvements for Avenida De La Estrella, CIP Project No. 17809, contract to TOWO Enterprise Inc.; and
3. Authorize the City Manager to execute a contract with TOWO Enterprise Inc. in an amount not to exceed $67,640, Contract No. 26-57 (Attachment 2).
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Attachment:
1. Resolution No. 26-165
2. Contract No. C26-57 (without attachments, attachments are on file with and available for review with the City Clerk)
3. Location Map
Notification:
All bidders.