Title
[Contract Award] Approve Plans and Specifications, Budgetary Adjustments, and Award Construction Contract: Northgate Boulevard Fence Replacement Phase 1 Project (T15046100) [Published for 10-Day Review 07/10/2026]
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FileID
File ID: 2026-01206
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Location
Location: Northgate Boulevard from West El Camino Avenue to Winterhaven Avenue, District 3
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Recommendation
Recommendation: Adopt a Resolution: 1) approving the Plans and Specifications for the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100); 2) authorizing the City Manager or designee to transfer $213,733 from the expenditure budget of the American Rescue Plan Act of 2021 Northgate Boulevard Project (I02612080, Fund1003) to the expenditure budget of Northgate Boulevard Fence Replacement Phase 1 Project (T15046100); 3) awarding the construction contract for the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100) to McGuire and Hester for an amount not-to-exceed $1,739,641; and 4) authorizing the City Manager or designee to execute the construction contract for the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100) with McGuire and Hester.
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Contact
Contact: William Shunk, Senior Engineer, (916) 808-2986, wshunk@cityofsacramento.org; Judith Matsui-Drury, Supervising Engineer, (916) 808-7610, jmatsui-drury@cityofsacramento.org; Ofelia Avalos, Engineering Services Manager, (916) 808-5054, oavalos@cityofsacramento.org; Department of Public Works
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Presenter
Presenter: None
Attachments
Attachments:
1-Description/Analysis
2-Resolution
3-Northgate Wall Project Plans
4-Northgate Wall Construction Contract
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Description/Analysis
IssueDetail
Issue Detail: On July 16, 2022, the City Council adopted Resolution No. 2022-0238 which established the Northgate Boulevard Economic Recovery Plan and allocated $5,000,000 of American Rescue Plan Act of 2021 (ARPA) funding to the ARPA Northgate Boulevard Project (I02612080). The Northgate Boulevard Economic Recovery Plan framework identified critical investments and economic priorities for the Northgate Boulevard corridor including:
• Traffic Safety and Physical Infrastructure Improvements
• Lighting
• Investment in the Northgate Boulevard Food Business Program
• Northgate Boulevard Small/Micro Business Grants
Physical infrastructure improvements on Northgate Boulevard are being completed as a Capital Improvement Project under the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100). The project includes replacing the existing fences on the west side of the corridor with a decorative concrete wall from West El Camino Avenue to Bowman Avenue and from Potomac Avenue to Winterhaven Avenue. This will benefit the Northgate community by improving safety and security, enhancing the streetscape aesthetic with a consistent neighborhood theme, reducing traffic noise, and increasing the durability of the existing fences. It will also allow the City to widen the existing sidewalk at the time of the wall construction. A second phase of the project will construct the same improvements on Northgate Boulevard between West El Camino Avenue and Wilson Avenue, Bridgeford Drive, and Potomac Avenue in the future. Project plans and specifications for the Phase 1 project have been completed. Project plans are included as Attachment 3 and the project specifications are incorporated in the project contract as Attachment 4.
The project was advertised for construction in March 2026 and did not receive any bids. After consultation with local contractors, the project was re-advertised in April 2026 and received one bid from McGuire and Hester. Staff recommends awarding the construction contract to McGuire and Hester and transferring excess ARPA funds from the Northgate Boulevard Project (I02612080) to the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100) to cover construction costs.
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PolicyConsiderations
Policy Considerations: The use of ARPA Reinvestment Funds to support the recovery of the Northgate Boulevard commercial corridor is consistent with both the adopted ARPA Framework and Resolution No. 2022-0238.
The Sacramento City Code Section 4.04.020 and the City Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to City Council action. This item was published for 10-day review on July 10, 2026, in compliance with the City Code.
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EconomicImpacts
Economic Impacts: This new infrastructure is expected to create 6.96 total jobs (4 direct jobs and 2.96 jobs through indirect and induced actives) and create $1,074,115.24 in total economic output ($677,023.05 of direct output and another $397,092.19 of output through indirect and induced activities).
The indicated economic impacts are estimates calculated using a calculation tool developed by the Center for Strategic Economic Research (CSER). CSER utilized the IMPLAN input-output model (2009 coefficients) to quantify the economic impacts of a hypothetical $1 million of spending in various construction categories within the City of Sacramento in an average one-year period. Actual impacts could differ significantly from the estimates and neither the City of Sacramento nor CSER shall be held responsible for consequences resulting from such differences.
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EnvironmentalConsiderations
Environmental Considerations: The City of Sacramento Environmental Planning
Services Division has reviewed this project and determined that it is exempt from the provisions of CEQA under Classes 1, 2, and 3 and Section Numbers 15301, 15302, and 15303(e) which consists of the operation, repair, maintenance, or minor alteration of existing public or private structures or facilities involving negligible or no expansion of existing or former use.
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Sustainability
Sustainability: This project will improve an aging commercial corridor and provide opportunities for enhanced usage of existing public and private spaces in a sustainable way.
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Commission/Committee Action
Commission/Committee Action: None.
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RationaleforRecommendation
Rationale for Recommendation: City Council action is required to perform the budgetary adjustments necessary to award and complete construction of the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100).
The project was advertised for construction with an engineer’s estimate of $1,487,000 and local business enterprise (LBE) goal of 5%. One bid was received on May 20, 2026:
|
Contractor |
Bid |
LBE Requirement (5%) |
|
McGuire and Hester |
$1,739,641 |
62% |
McGuire and Hester met the required bid conditions and was deemed responsive to the procurement. Staff recommends the construction contract be awarded to McGuire and Hester. Construction is anticipated to begin in August 2026 and be completed by December 2026.
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FinancialConsiderations
Financial Considerations: The estimated total project cost to complete design, right-of-way, and construction activities for the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100) is approximately $2,645,000. With approval of the transfer of $213,733 (ARPA Reinvestment, Fund 1003) from the expenditure budget of the American Rescue Plan Act of 2021 Northgate Boulevard Project (I02612080) to the Northgate Boulevard Fence Replacement Phase 1 Project (T15046100), there will be sufficient funding to award the construction contract to McGuire and Hester for an amount not-to-exceed $1,739,641 and complete the project.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): The City’s LBE requirement for this project is 5%. McGuire and Hester has pledged 62% LBE participation for this project.
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