HomeMy WebLinkAboutItem 11i - Fiscal Year 2025-26 Pavement Rehabilitation Project
STAFF REPORT
PUBLIC WORKS SERVICES DEPARTMENT
DATE: July 21, 2026
TO: Honorable Mayor and City Council
FROM: Paul Cranmer, Assistant City Manager/Public Works Services Director
By: Jan Balanay, Assistant Engineer
SUBJECT: CONTRACT WITH KALBAN, INC. FOR THE FISCAL YEAR 2025-26
PAVEMENT REHABILITATION PROJECT IN THE AMOUNT OF
$1,274,476.75, WITH A 10% CONTINGENCY
CEQA: Exempt
Recommendation: Approve
SUMMARY
As part of the City’s Capital Improvement Program (“CIP”), the Public Works Services
Department (“PWSD”) is preparing to rehabilitate the asphalt pavement on various
streets in the City. The streets that will be rehabilitated were identified in the
Pavement Management Program and have the greatest need for rehabilitation. To
ensure that the City is receiving the most competitive prices and quality service for
this work, the PWSD conducted a formal bid process and Kalban, Inc. submitted the
lowest responsive bid.
It is recommended that the City Council approve, authorize, and direct the City
Manager to execute a contract with Kalban, Inc. for the Fiscal Year 2025-26 Pavement
Rehabilitation Project in the amount of $1,274,476.75, with a 10% contingency.
BACKGROUND
The PWSD is responsible for the maintenance and repair of approximately 147 miles
of paved streets within the City. As part of the City’s Pavement Management Program,
the condition of all City streets are inspected and rated on a scale of 0-100. This rating
system is called the Pavement Condition Index (“PCI”) and is used to help determine
which streets require asphalt pavement rehabilitation. Streets with scores below 40
Pavement Rehabilitation Project
July 21, 2026
Page 2 of 4
are “failing”, and streets with scores between 40 and 60 are considered in “poor/fair”
condition.
According to the Citywide Pavement Management Program, the following street
segments have the highest need for repaving:
• Altura Road from Monte Verde Drive to Encanto Drive – PCI of 49
• Campesina Road from Catalpa Road to Volante Drive – PCI of 49
• Don Pablo Drive from Foothill Boulevard to end of cul-de-sac – PCI of 44
• Oakwood Avenue from Virginia Drive to Grand View Drive – PCI of 45
• White Oak Drive from Elkins Avenue to Highland Oaks Drive – PCI of 48
It should be noted that PCI scores alone do not determine which streets should be
repaved. For instance, the City also takes into consideration the traffic volume of
streets before determining repaving. It is also more cost-effective to repave streets
prior to their PCIs lowering to a very poor condition and requiring more resources to
repair. The PCI range for the specified streets requires grind and overlay
rehabilitation; however, if the PCI of these streets further decrease, more extensive
rehabilitation, such as full pavement reconstruction, would be required to repair. Full
reconstruction costs are much higher than grind and overlay work. A copy of the
Project Location Map detailing the segments listed above is attached as Exhibit “A.”
DISCUSSION
The project involves the repair of any localized potholes and failed pavement;
grinding the edges of the pavement adjacent to the gutters; replacing broken curb
and gutter as necessary; and installing new ADA-compliant curb ramps at the
intersections. The new pavement surface will utilize recycled rubber in the pavement
mix to help reduce future cracking, strengthen the asphalt pavement, and reduce
road noise. Following the intended repairs, the condition of these street sections
should be raised to a PCI of 100.
A Notice Inviting Bids was published in accordance with City Council Resolution No.
7483, and bid packages were provided to contractors that perform this type of work.
On May 19, 2026, the City Clerk received seven bids with the following results:
Pavement Rehabilitation Project
July 21, 2026
Page 3 of 4
Bidder Location Base Bid Amount
Kalban, Inc.
Gentry Brothers Inc.
All American Asphalt
Hardy & Harper, Inc.
Onyx Paving Company, Inc.
Sequel Contractors Inc.
Estate Design and Construction, Inc.
Santa Clarita, CA
Irwindale, CA
Corona, CA
Lake Forest, CA
Yorba Linda, CA
Santa Fe Springs, CA
Culver City, CA
$ 1,226,616.75
$ 1,243,699.75
$ 1,258,888.00
$ 1,273,000.00
$ 1,282,000.00
$ 1,411,872.00
$ 1,476,000.00
Bid documents were reviewed for content and the contractor’s background was
investigated. Based on the review, it has been determined that Kalban, Inc. is the
lowest responsive bidder for this work. Kalban, Inc. has successfully completed
similar work on time and within budget for the Cities of Alhambra, Inglewood,
Cerritos, and Glendale.
The bid documents also included a request for pricing for bid alternate items that
included crack sealing, application of GuardTop HD, and the furnishing and painting
of the parking, striping, and reflective pavement markers of the Arcadia Police
Department’s interior parking lot. The total cost of these bid alternate items is
$47,860. The bid alternate items are highly desirable, and there is sufficient funding
in the Fiscal Year 2025-26 CIP for the Pavement Rehabilitation Project to include them
in the project. Per the contract documents, the City shall award the contract to the
lowest responsive, responsible Bidder, as determined by the City from the base bid
alone. Therefore, Kalban, Inc. had the lowest base bid at $1,226,616.75 and an
alternate bid of $47,860, for a total construction cost of $1,274,476.75.
ENVIRONMENTAL ANALYSIS
This project is a Class 1 exemption pursuant to the California Environmental Quality
Act (“CEQA”) Section 15301, Existing Facilities. Class 1 exemptions consist of the
operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of
existing public or private structures, facilities, mechanical equipment, or
topographical features involving negligible or no expansion of use beyond what is
already existing.
Pavement Rehabilitation Project
July 21, 2026
Page 4 of 4
FISCAL IMPACT
Funds in the amount of $2,500,000 have been budgeted in the Fiscal Year 2025-26
CIP for the Pavement Rehabilitation Project. The total cost for the Fiscal Year 2025-
26 Pavement Rehabilitation Project, including alternate bid items is $1,274,476.75.
With the requested 10% contingency, the total potential project cost would be
$1,401,924.43. Therefore, sufficient funds are available to complete this project.
RECOMMENDATION
It is recommended that the City Council determine this project is a Class 1 exemption
under the California Environmental Quality Act (“CEQA”); and approve, authorize, and
direct the City Manager to execute a contract with Kalban, Inc. for the Fiscal Year
2025-26 Pavement Rehabilitation Project in the amount of $1,274,476.75, with a 10%
contingency.
Attachments: Exhibit “A” – Project Location Map
Proposed Contract
CITY OF ARCADIA
2025/2026 PAVEMENT REHABILITATION PROJECT
PROJECT NO.: 33854026
BETWEEN
CITY OF ARCADIA
AND
KALBAN, INC.
CONTRACT
Contract - 1
CONTRACT FOR THE
CITY OF ARCADIA
This CONTRACT, No. ________ is made and entered into this ____ day of _______, ______, by
and between City of Arcadia, sometimes hereinafter called “City,” and Kalban, Inc., sometimes
hereinafter called “Contractor.”
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these
presents do covenant and agree with each other as follows:
A. SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated in the
Contract, and shall provide all labor, materials, equipment, tools, utility services, and
transportation to complete all of the Work required in strict compliance with the Contract
Documents as specified in Article 5, below, for the following Project:
2025/2026 PAVEMENT REHABILITATION PROJECT
PROJECT NO.: 33854026
The Contractor and its surety shall be liable to the City for any damages arising as a result of
the Contractor’s failure to comply with this obligation.
B. TIME FOR COMPLETION. Time is of the essence in the performance of the Work. The Work
shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall
complete all Work required by the Contract Documents within Sixty (60) CALENDAR DAYS
calendar days from the commencement date stated in the Notice to Proceed. By its signature
hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable
to complete the Work.
C. CONTRACT PRICE. The City shall pay to the Contractor as full compensation for the
performance of the Contract, subject to any additions or deductions as provided in the Contract
Documents, and including all applicable taxes and costs, the sum of ONE MILLION, TWO
HUNDRED SEVENTY-FOUR THOUSAND, FOUR HUNDRED SEVENTY-SIX DOLLARS AND
SEVENTY-FIVE CENTS ($1,274,476.75). Payment shall be made as set forth in the General
Conditions.
D. LIQUIDATED DAMAGES. In accordance with Government Code section 53069.85, it is
agreed that the Contractor will pay the City the sum set forth in Special Conditions, Article 1.11
for each and every calendar day of delay beyond the time prescribed in the Contract Documents
for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this
is not paid, the Contractor agrees the City may deduct that amount from any money due or that
may become due the Contractor under the Contract. This Article does not exclude recovery of
other damages specified in the Contract Documents.
E. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the
following:
Notice Inviting Bids
Instructions to Bidders
Bid Form
Bid Bond
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Contract - 2
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except
Sections 1-9
Applicable Local Agency Standards and Specifications, as last revised
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract
The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the
Contract Documents and not by others shall be done as if required by all. This Contract shall
supersede any prior agreement of the parties.
F. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE. Each and every
provision of law required to be included in these Contract Documents shall be deemed to be
included in these Contract Documents. The Contractor shall comply with all requirements of
applicable federal, state and local laws, rules and regulations, including, but not limited to, the
provisions of the California Labor Code and California Public Contract Code which are applicable
to this Work.
G. INDEMNIFICATION. Contractor shall provide indemnification and defense as set forth in the
General Conditions.
H. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in
accordance with the Labor Code which such rates shall be made available at the City’s
Administrative Office or may be obtained online at dir.ca.gov and which must be posted at the job
site.
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
Contract - 3
IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on
the day and year above written.
CITY OF ARCADIA
By:
Dominic Lazzaretto
City Manager
KALBAN, INC.
By:
Signature
Print Name and Title
Attest:
By:
City Clerk
By:
Signature
Print Name and Title
Approved as to Form:
Michael J. Maurer
City Attorney
(CONTRACTOR’S SIGNATURE MUST BE NOTARIZED AND CORPORATE SEAL AFFIXED)
Contract - 4
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me
that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s)
on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph
is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
Contract - 5
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me
that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s)
on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph
is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above