DATE: June 17, 2026
TO: Honorable Mayor and City Councilmembers
FROM: Development Services Department
TITLE: PUBLIC WORKS AGREEMENT WITH ONYX PAVING COMPANY, INC FOR THE FY 2025-26 PAVEMENT REHABILITATION PROJECT
RECOMMENDATION
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Staff recommends that the City Council reject the bid protest submitted by Eagle Paving, LLC, and award a Public Works Agreement (PWA) to Onyx Paving Company, Inc in the amount of $11,156,000 for the FY 2025-26 Pavement Rehabilitation Project; authorize the City Engineer to execute Contract Change Orders (CCOs) in the amount not to exceed $500,000 with Onyx Paving Company for a total project budget not to exceed $11,656,000; and authorize the City Manager to execute the agreement upon receipt of all supporting documents.
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BACKGROUND AND ANALYSIS
On January 14, 2026, the City Council received and filed the City's current Pavement Management Program (PMP), which assessed the condition of the City's street network and provided recommendations for rehabilitations over the next five years, and authorized the City Manager and City Engineer, or designee, to modify the plan as needed based on available funding and changing pavement conditions.
Based on the recommendations of the PMP and verified field conditions, this FY 2025-26 Pavement Rehabilitation project represents the first year of the program and will include slurry seals, asphalt concrete overlays and inlays, and traffic calming improvements.
The project was advertised on March 25, 2026, in accordance with City Procurement Policy AD-21. The solicitation included a base bid and six bid alternates, with the contract to be awarded based on the base bid, and bid alternates to be included in the scope of work based on available funds. Eleven bids were received on May 6, 2026, and publicly opened (Attachment 2). The apparent low bidder is Onyx Paving Company, with a base bid of $9,669,000. A notice of intent to protest was filed May 11th, 2026 and a formal bid protest (A...
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