REPORT TO COUNCIL
SUBJECT
Title
Action to Authorize City Manager to Negotiate and Execute on Materials Testing and Special Inspection Services Agreements for Public Works Projects with Achievement Engineering Corp.; CTE Cal, Inc.; ISI Inspection Services, Inc.; Ninyo & Moore Geotechnical and Environmental Sciences Consultants; Signet Testing Labs, Inc.; and Twining, Inc.
Report
BACKGROUND
The Department of Public Works (DPW) oversees construction management and inspection for various capital projects including pavement rehabilitation; traffic signal and transportation infrastructure; parks; storm drain and sanitary sewer improvements; and buildings. The project oversight efforts include the need for quality assurance testing of materials used during construction and special inspections as required by the California Building Code. The City does not have the staffing, expertise or the equipment to perform these specialized tasks and therefore relies on consultant services. The Agreements recommended for approval provide on-call materials testing and special inspection services in support of projects managed by DPW.
DISCUSSION
Pursuant to City Code Section 2.105.330, a formal Request for Qualifications (RFQ) was conducted as the solicitation method for this procurement. The factors considered in the award were the experience of the firm, staff qualifications, availability, project approach, customer references, and cost. The RFQ was advertised in December 2025, and twelve proposals were received from the following firms on January 15, 2026:
1. ABT Group
2. Achievement Engineering Corp.
3. Quality Assurance Engineering, Inc.
4. CTE Cal, Inc.
5. Construction Testing Services, Inc.
6. Earth Systems
7. El Paseo
8. ISI Inspection Services, Inc.
9. Ninyo & Moore Geotechnical and Environmental Sciences Consultants
10. Signet Testing Labs, Inc.
11. Smith-Emery of San Francisco
12. Twining, Inc.
The proposals were independently evaluated by a three-member evaluation team with representation from DPW. The proposals were evaluated against the above criteria published in the RFQ. Public Works staff recommend the award of on-call agreements to the following top six ranked firms due to their respective performance track record, qualified staffing, and experience:
1. Achievement Engineering Corp.
2. CTE Cal, Inc.
3. ISI Inspection Services, Inc.
4. Ninyo & Moore Geotechnical and Environmental Sciences Consultants
5. Signet Testing Labs, Inc.
6. Twining, Inc.
Based on the Capital Improvement Program projections and the anticipated volume of locally funded projects, federally funded projects, and new Measure I Bond projects entering the construction phase, the need for on-call consultant services for the remainder of the current fiscal year and the next three fiscal years is estimated at a total of approximately $2,100,000.
Staff is requesting approval of six consultant agreements due to project volume and to provide flexibility in the event that one or more firms are unable to deliver timely services due to their workload constraints. The agreement is being presented in its current draft form, as the terms have not yet been finalized including the consultant’s rates. Such rates will be included in the final form of the agreement. Terms in the draft agreement that differ from the “standard” services agreement include a Task Order process, enhanced independent contractor language, more specific billing standards, and an enhanced indemnity provision.
In addition, staff also requests authorization for the City Manager to shift funding among the six agreements as needed, provided that the total aggregate amount of $2,100,000 is not exceeded. Staff recommends approval of six three-year agreements, each with an initial amount of $350,000, for a combined total aggregate not-to-exceed amount of $2,100,000.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
FISCAL IMPACT
The maximum amount to be paid to all six consultants for materials testing and special inspection services over the three-year term of the agreements is estimated at $2,100,000, subject to future budget appropriations. Funding of approximately $320,000 remains in FY 2025/26 and $201,000 was budgeted in the Public Works Capital Projects Management Services Fund in FY 2026/27 as part of the Adopted FY 2025/26 and FY 2026/27 Biennial Operating Budget. In addition, these costs will be charged directly to certain capital projects.
As the FY 2026/27 and FY 2027/28 Biennial Capital Improvement Program Budget is still under development, additional projects may be identified, existing projects may be further refined, and construction schedules will become more accurate over time. As a result, additional funding needs will be evaluated and incorporated into future budget requests as needed. Funding for these agreements beyond the currently adopted operating budget remains subject to the appropriation of funds.
COORDINATION
This report has been coordinated with the Finance 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. Authorize the City Manager to negotiate and execute agreements with Achievement Engineering Corp ($350,000), CTE Cal, Inc.($350,000), ISI Inspection Services, Inc. ($350,000), Ninyo & Moore Geotechnical and Environmental Sciences Consultants ($350,000), Signet Testing Labs, Inc.($350,000), and Twining, Inc. ($350,000) to perform on-call materials testing and special inspection services, each with a an initial maximum compensation of $350,000, for a combined amount not-to-exceed $2,100,000 over the three-year terms of the agreements, in forms substantially similar to Attachment 1 and subject to the final approval as to form by the City Attorney;
2. Authorize the City Manager to amend agreement not-to-exceed amounts as long as the cumulative total of all the agreements does not exceed $2,100,000 subject to annual appropriations; and
3. Authorize the City Manager to exercise up to two one-year extensions for each agreement and make minor modifications to the agreements, if necessary.
Staff
Reviewed by: Craig Mobeck, Director of Public Works
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Draft Agreement for Materials Testing and Special Inspection Services