REPORT TO COUNCIL
SUBJECT
Title
Actions on Award of Public Works Contract for the Central Park New Entrance, Access, and Parking Improvements Project to Guerra Construction Group, Inc.; Amendment No. 3 to the Agreement with NUVIS Landscape Architecture, Inc. for Design Professional Services for the Central Park New Entrance, Access, and Parking Improvements Project; and Related Budget Amendments
Report
BACKGROUND
On August 21, 2021, the City Council approved a Design Professional Services Agreement (Agreement) with NUVIS Landscape Architecture, Inc. (NUVIS) for the Central Park New Entrance, Access, and Parking Improvements Project (Project). The Project consists of installation of a new accessible entrance to Central Park at the corner of Kaiser Drive and Kiely Boulevard (Attachment 1). The new entrance includes improved landscaping, a new traffic signal, expanded parking area, and an accessible drop-off area with pathways. The design of the Project is being completed in two phases: 1) schematic design and 2) design and bid document preparation.
On September 27, 2022, the City Council approved the schematic design of the Project and approved Amendment No. 1 to the Agreement with NUVIS. Amendment No. 1 revised the scope of work to include services for the second phase of the Project.
On June 25, 2024, the City Council approved Amendment No. 2 to the Agreement with NUVIS to update the Project design and included an expanded scope of work to rehabilitate the Pavillion Parking Lot and interior pathways to improve accessibility per a settlement agreement between the City and resident Bruce Donoghue.
DISCUSSION
In October 2025, a competitive Request for Bids (RFB) for construction of the Project was published on the City’s bid notification system, BidNet Direct. The RFB was viewed by various vendors, including contractors, suppliers, plan rooms, and builder exchanges, among others. Additional vendors were able to view the RFB as members of various plan rooms and builder exchanges. Staff also reached out directly to contractors and vendors who had viewed similar projects in the past.
On October 23, 2025, bids for the Project were opened via video conference. Ten bids were received ranging from $5,605,152 to $7,327,211. The apparent low bidder, GradeTech, Inc. (GradeTech) submitted a bid in the amount of $5,605,152; however, a discrepancy was identified on one of the bid items. Specifically, the total amount entered on the bid item was $19,800; but based on the unit price of $10,000 per linear foot as entered on Grade Tech’s bid form, the correct total should be $1,980,000. When there is a discrepancy between the calculation of units of work and unit prices, the City must resolve such a discrepancy in favor of the unit prices. As a result, the total base bid amount for the Grade Tech’s bid was corrected to reflect a revised total bid of $7,565,352. The Bid Summary reflects this change and is included as Attachment No. 2.
The second apparent low bidder, Guerra Construction Group, Inc. (Guerra) submitted a bid in the amount of $5,663,997, which is 16 percent below the engineer’s estimate of $6,710,500. Guerra’s bid was reviewed by Public Works staff and the City Attorney’s Office for compliance with the terms and conditions of the bid documents and has been determined to be the lowest responsive and responsible bid. Staff recommends awarding the construction contract to Guerra Construction Group, Inc.
Award of contract will enable construction of the Project to commence with substantial completion of the Project anticipated in Fall 2027. The date is subject to change based on any unforeseen conditions discovered during construction. The contract includes prevailing wage requirements.
In addition, staff is recommending Amendment No. 3 to the agreement with NUVIS Landscape Architecture Inc. to increase the maximum compensation by $62,945 (from $576,727 to $639,672) for additional construction support services to ensure the construction of improvements are in accordance with the design.
ENVIRONMENTAL REVIEW
This project being considered is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15301 (c), “Existing Facilities,” as the activity consists of the repair, maintenance or minor alteration of existing facilities involving no or negligible expansion of the use beyond that presently existing.
FISCAL IMPACT
The approximate cost of the construction contract with Guerra Construction Group, Inc. is $5,663,997, plus a 15 percent contingency of $849,600 for any potential change orders, for a total not-to-exceed contract amount of $6,513,597. The proposed Amendment No. 3 to the professional services agreement with NUVIS Landscape Architecture, Inc. adds $62,945 to the current Agreement, bringing the total not-to-exceed amount to $639,672 ($625,287 for basic services and $14,385 for additional services).
The Central Park Access & Parking Improvements project has a current project balance of $6.2 million in the Parks & Recreation Capital Fund for construction and design. Staff recommends transferring $335,000 from Silicon Valley Power’s Greenhouse Gas Program to the Central Park Access & Parking Improvements project for the project costs related to electric vehicle charging stations. Electric vehicle charging is an allowable use of greenhouse gas funds in accordance with Assembly Bill 32. Additional funding in the amount of $20,300 is also recommended for appropriation from Mitigation Fee Act funds. The table below summarizes the recommended budget amendments:
Budget Amendments
FY 2025/26*
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Electric Operating Grant Trust Fund (191) |
|
|
|
|
Transfers To |
|
|
|
|
Parks & Recreation Capital Fund |
$0 |
$335,000 |
$335,000 |
|
|
|
|
|
|
Expenditure |
|
|
|
|
Electric Department |
$11,623,222 |
($335,000) |
$11,288,222 |
|
(Materials/Services/Supplies) |
|
|
|
|
Parks & Recreation Capital Fund (532) |
|
|
|
|
Transfers From |
|
|
|
|
Electric Operating Grant Trust Fund |
$0 |
$335,000 |
$335,000 |
|
|
|
|
|
|
Expenditures |
|
|
|
|
Central Park Access & Parking Improvements |
$6,265,198 |
$355,300 |
$6,620,498 |
|
Ending Fund Balance |
|
|
|
|
Fund Balance - Mitigation Fee Act Fees |
$14,399,298 |
($20,300) |
$14,378,998 |
|
|
|
|
|
|
* Current budget reflects budget actions included in the FY 2024/25 Budgetary Year-End Report on the 12/16/25 Council Agenda (RTC 25-1536) |
COORDINATION
This report has been coordinated with the Finance Department, Silicon Valley Power, Parks and Recreation Department, and the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Determine that the proposed actions are exempt from CEQA pursuant to Section 15301 (Existing Facilities) of Title 14 of California Code of Regulations;
2. Award the Public Works Contract for the Central Park New Entrance, Access, and Parking Improvements Project to the lowest responsive and responsible bidder, Guerra Construction Group, Inc., in the amount of $5,663,997 and authorize the City Manager to execute any and all documents associated with and necessary for the award, completion, and acceptance of this Project, in final forms approved by the City Attorney;
3. Authorize the City Manager to execute change orders up to approximately 15 percent of the original contract price, or $849,600, for a total not-to-exceed amount of $6,513,597;
4. Approve and Authorize the City Manager to execute Amendment No. 3 to the Agreement with NUVIS Landscape Architecture, Inc. for the Central Park New Entrance, Access, and Parking Improvements Project to increase the not-to-exceed amount by $62,945, for a revised not-to-exceed amount of $639,672, including authorization to make minor additional amendments, if needed (e.g., time extensions), if necessary to implement the project, all in final forms approved by the City Attorney;
5. Approve the following FY 2025/26 budget amendments for the funding of the project:
a) In the Electric Operating Grant Trust Fund, establish a transfer to the Parks and Recreation Capital Fund and reduce the Electric Department budget by $335,000 (majority affirmative Council votes required); and
b) In the Parks and Recreation Capital Fund, recognize a transfer from the Electric Operating Grant Trust Fund in the amount of $335,000, decrease the Mitigation Fee Act ending fund balance by $20,300, and increase the appropriation for the Central Park Access and Parking Improvements Project by $355,300 (five affirmative Council votes required to appropriate additional revenue and for the use of unused balances).
Staff
Reviewed by: Craig Mobeck, Director of Public Works
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Project Location Map
2. Bid Summary
3. Amendment No. 3 to the Agreement with NUVIS Landscape Architecture, Inc.