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07 AWARD CONSTRUCTION CONTRACT FOR THE HEIDEMAN SCHOOL PARK PROJECT
Docusign Envelope ID: A4C4519A-7DF8-43A1-B788-1E7EA41473BF MEETING DATE TO FROM Agenda Item 7 AGENDA REPORT Reviewed: City Manager aS Finance Director APRIL 21, 2026 ALDO E. SCHINDLER, CITY MANAGER MICHAEL GRISSO, DIRECTOR OF PUBLIC WORKS SUBJECT: AWARD CONSTRUCTION CONTRACT FOR THE HEIDEMAN SCHOOL PARK PROJECT SUMMARY: Staff is requesting the City Council award a construction contract to the lowest responsive/responsible bidder for the Heideman School Park Project. Construction is anticipated to begin June 2026, with completion estimated in Summer 2027. RECOMMENDATION: Recommended the City Council: 1. Award a construction contract to the lowest responsive/responsible bidder, Horizons Construction Company Int'I Inc. in the amount of $6,324,767.70 for the Heideman School Park Project and authorize the Mayor and the City Clerk to execute the contract documents on behalf of the City; and 2. Appropriate $2,583,196 from Park Development Fund (Fund 131). FISCAL IMPACT: The adopted Fiscal Year 2025-2026 Capital Improvement Program budget includes funding in the amount of $5,042,804 from Proposition 68 Statewide Parks Program Grant for the Heideman School Park project. Of this grant amount, $200,000 has been spent on pre - construction activities and the remaining $4,842,804 is available for the construction phase. The total construction cost as outlined below is $7,426,000. The requested appropriation of $2,583,196 is required to fully fund the Heideman School Park Project, the Park Development Fund (Fund 131) has sufficient funds to support the above appropriation request. Construction expenses include: • Construction Contract...............................................................$6,324,767.70 • Contingency(10%)......................................................................$633,232.30 Docusign Envelope ID: A4C4519A-7DF8-43A1-B788-1E7EA41473BF City Council Agenda Report Heideman School Park Project April 21, 2026 Page 2 • Construction Support...................................................................$468,000.00 • Total Budget.............................................................................$7,426,000.00 CORRELATION TO THE STRATEGIC PLAN: This project advances the following goal of the City of Tustin Strategic Plan: Goal A. Economic and Neighborhood Development, Strategy 6. Assess and explore opportunities for expanded recreational activities through a joint -use school site in Southwest Tustin. BACKGROUND AND DISCUSSION: The Heideman School Park project is a collaboration between the City of Tustin and the Tustin Unified School District (TUSD) for the design and construction of a 3.5-acre joint - use park located at Heideman Elementary School. A Community Recreation Joint Use Agreement detailing specifics of the partnership was finalized in December 2023. Heideman School Park will provide much -needed outdoor space for the surrounding neighborhood to gather, exercise, celebrate, and relax. Amenities will include a new multipurpose athletic field, playground, restrooms, picnic shelter, sports field, and walkway lighting, running/walking track, outdoor fitness equipment, a tactile experience garden, and renovated basketball courts. The project will be broken down into three phases to support efficient implementation and minimize disruption to Heideman School. Phase 1, scheduled for Summer 2026, will include site clearing, grubbing and demolition, installation of water and sewer utilities for the future phase restroom, electrical stub outs for pedestrian and field lights, installation of basketball court and daycare area pathway lighting, as well as fencing and gates. Phase 2, during the 2026/2027 school year, will consist of constructing the restroom building and shade structure, installing playground equipment and field lighting, developing the volleyball court, and completing fencing, irrigation, planting, site paving, and decomposed granite pathways. Phase 3, planned for Summer 2027, will include resurfacing the basketball court, track, and additional site paving improvements, installation of site furnishings, and the completion of the remaining irrigation and planting. Formal bids were submitted electronically and publicly opened on April 10, 2026. Twenty (20) bids were received and are summarized as follows: • Kelly & O'hara Builders, Inc . ............................................... $119,552.00 • Horizons Construction Company Int'I Inc ................................ $6,324,767.70 • Moalej Builders, Inc................................................................ $6,392,000.00 • Act 1 Construction.................................................................. $6,840,000.00 • ZECO INC.............................................................................. $6,944,915.65 • Environmental Construction, Inc ............................................. $6,999,655.60 • Doja, Inc................................................................................. $7,087,434.33 • DEARK E&C, INC................................................................... $7,136,788.08 Docusign Envelope ID: A4C4519A-7DF8-43A1-B788-1E7EA41473BF City Council Agenda Report Heideman School Park Project April 21, 2026 Page 3 • Three Peaks Corp.................................................................. $7,508,508.00 • Ortiz & Son Inc....................................................................... $7,615,457.58 • KASA Construction, Inc .......................................................... $7,635,189.88 • PUB Construction, Inc............................................................ $7,722,445.29 • Los Angeles Engineering, Inc ................................................. $7,899,000.00 • The Nazerian Group............................................................... $7,944,123.00 • Klassic Engineering and Construction Inc .............................. $8,065,919.22 • PCN3, INC.............................................................................. $8,198,600.80 • Woodcliff Corporation............................................................. $8,238,947.44 • Elegant Construction Inc ........................................................ $8,298,181.47 • Newman Midland Corp...........................................................$9,837,152.65 • Plyco Corp...................................................................$9,985,339.61 Upon review of the bid documents submitted by the lowest apparent bidder, Kelly & O'Hara Builders, Inc., staff determined the contractor does not possess the required Class 'A' contractor's license as required by the Contract Documents. Therefore, the bid is deemed non -responsive and not eligible for contract award. Accordingly, the second lowest bidder, Horizons Construction Company Int'I Inc., has been determined as a responsive and responsible bidder and is recommended for award. Staff have reviewed the references, the State Contractor's License and registration with the Department of Industrial Relations and have determined Horizons Construction Company Int'I Inc. meets the City's requirements and are appropriate for the subject project. Staff recommends that the City Council award the construction contract to the lowest responsive/responsible bidder, Horizons Construction Company Int'I Inc. for the Heideman School Park Project. DtiLl�ua�,t, [�V'ISSb 1�4� bV�, Michael Grisso Chad Clanton Director of Public Works Director of Parks and Recreation Attachment: 1. Location Map Docusign Envelope ID: A4C4519A-7DF8-43A1-B788-1E7EA41473BF S� E Wilshire Ave LOCATION MAP PROJECT LOCATION: HEIDEMAN SCHOOL PARK (CIP NO. 20089) E Main St ©IS W Main St 0 Paseo FCoro" ° dOt" 1oa m Amado v, d A o a '^ `,FRd t° d Saddlena E Balboa Ln Rancho Rd ai Montego Way 3 N V1 Alliance Ave H 3 M E Wilshire Ave =° PROJECT LOCATION W 3rd St W 3rd St W Main St W Main St v °0 n w N u W 6th St W 6th St u 103A Nilson Ref �a Fntrdtla oa a m 0'1 Corla Ave Via del Sud < ry Vt by N � t r 1b < o �p J2 tP C Medallion Ave �Qc McFadden Ave. j < N R c w m > � N a e NO SCALE