Title
[Contract] Purchase of Aggregates, Asphalt Concrete, and Related Materials [Published for 10-Day Review 04/03/2026]
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FileID
File ID: 2026-00702
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion authorizing the City Manager or designee to execute a Goods Contract with Granite Construction Company for the purchase of aggregates, asphalt concrete, and related materials for a maximum of five years and an amount not-to-exceed $8,000,000.
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Contact
Contact: Deanne Neighbours, Logistics Manager, (916) 808-3536, dneighbours@cityofsacramento.org; David Herrmann, Utilities Operations and Maintenance Manager, (916) 808-5652, dherrmann@cityofsacramento.org; Dalia Fadl, Director, (916) 808-3765, dfadl@cityofsacramento.org; Department of Utilities
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Contract
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Description/Analysis
IssueDetail
Issue Detail: The Department of Utilities (DOU) has an ongoing need to purchase aggregates, asphalt concrete, and related materials.
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PolicyConsiderations
Policy Considerations: In conformance with City Code 3.56.090, City Council approval is required to execute an agreement if the amount expended under an agreement is $250,000 or more.
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 two-thirds vote of the City Council, all agreements greater than $1,000,000 shall be made available to the public at least 10 days prior to City Council action.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act (CEQA): The proposed activity is not a project pursuant to the California Environmental Quality Act (CEQA) Guidelines Section 15378(b)(2). The activity described in this report is a continuing administrative or maintenance activity, such as the purchase of supplies, and is not subject to CEQA. CEQA Guidelines Section 15060(c)(3).
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Sustainability
Sustainability: The proposed contract is consistent with the 2040 General Plan’s goals and policies related to public facilities and safety, including providing reliable water, wastewater, and stormwater drainage service to the City of Sacramento (PFS-3.1). The purchase of aggregates, asphalt concrete, and related materials is required for the proper maintenance of water, wastewater, and drainage infrastructure which supports this goal.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: On January 16, 2026, DOU advertised Invitation for Bid No. B26141451706 on PlanetBids for the purchase of aggregates, asphalt concrete, and related materials. Through PlanetBids, 278 Suppliers were notified of the solicitation with 17 self-identified as prospective bidders.
On the due date of February 4, 2026, a public bid opening was conducted by the City Clerk’s Office. Bids were received from Granite Construction Company and Blue Angel International LLC. Granite Construction Company was determined to be the only responsive bidder. DOU is proposing to award the bid to Granite Construction Company.
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FinancialConsiderations
Financial Considerations: Sufficient funds exist in the FY2025/26 and proposed FY2026/27 DOU Operating Budgets to fund the initial $800,000 for the first year of the agreement with time of performance from May 2026 through April 2027. Funding for future fiscal years shall be subject to funding availability in the adopted budgets for the applicable fiscal year in an amount not to exceed $8,000,000 over the five-year term of the agreement. Purchase orders encumbering funds under this agreement will not be created until needs and funding are identified in the applicable budget (operating, capital, multi-operating, or grants).
There are no General Funds allocated or planned for this contract.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Granite Construction Company is an LBE.
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