Title
Adopt a Resolution to Approve and Authorize the City Manager to Execute Amendment No. 1 to NPSA with Newton Construction & Management for Golf Course Clubhouse Exterior Improvements in the Amount of $79,153 for a Total Not-to-Exceed Contract Amount of $699,189
Staffreport
COUNCIL PRIORITY
• Quality of Life
• Infrastructure
SUMMARY
On May 4, 2026, the City approved a contract with Newton Construction and Management to perform exterior improvements to the golf course clubhouse. Improvements include exterior siding replacement, new lighting, window awnings, and other enhancements. During construction, additional costs were identified related to applicable prevailing wage requirements, unanticipated dry rot repairs, and necessary electrical upgrades.
RECOMMENDATIONS
Staff recommend that the City Council approve and authorize the City Manager to execute an amendment to the non-professional services agreement with Newton Construction and Management for Monarch Bay Golf Club clubhouse exterior improvements in the amount of $79,153, for a total not-to-exceed contract amount of $699,189.
BACKGROUND
The Monarch Bay Golf Club clubhouse serves as a key revenue-generating asset within the City’s Golf Enterprise Fund, supporting food and beverage service, events, and community use.
Portions of the facility have reached the end of their useful life. The existing wood shingle siding, now nearly 40 years old, requires replacement. New lighting, window awnings, and other enhancements will improve the look of the building, enhance the dining and guest experience, and position the facility to support expanded food and beverage operations.
The project was procured using a cooperative purchasing contract using a project delivery method called Job Order Contracting (JOC). Sourcewell posted Invitation for Bids #CA-101723, for the procurement of the contract used for this project on September 12, 2023. Newton Construction and Management was a responsive bidder and entered into contract CA-R5-GB-101723-NCM on December 6, 2023. The Sourcewell contract expires on December 5, 2026, unless extended.
Analysis
Change order No. 1 to the contract addresses the following unanticipated costs:
• State prevailing wage rate increases of $17,690
• Clubhouse building dry rot repairs of $41,382
• Electrical upgrades of $20,081
Total: $79,153
During construction, the contractor identified additional labor costs associated with applicable prevailing wage requirements. Staff reviewed and verified the applicable Department of Industrial Relations prevailing wage determinations, worker classifications, effective dates, hours worked, and supporting calculations and confirmed that the additional $17,690 in prevailing wage-related labor costs is applicable to the project.
In addition, extensive dry rot was discovered during the demolition. Affected areas include the building framing, fascia, trim, sheathing, wall components, and other wood members. These conditions were not visible prior to removal of the existing exterior materials and must be repaired before the new siding can be installed. The additional dry rot repair work totals $41,382.
The original project included installation of new exterior awnings and lighting. During construction, additional electrical work was identified to provide the necessary conduit and connections for six exterior lights associated with the new awnings and signage. The work requires additional demolition and reconstruction to provide access for installation of the electrical conduit. The additional electrical work totals $20,081.
Approval of Amendment No. 1 will provide the additional contract authority necessary to complete the clubhouse exterior improvement project.
Previous Actions
Resolution No. 2026-053 for a Non-Professional Services Agreement with Newton Construction and Management for Golf Course Clubhouse Exterior Improvements for a Total Contract Amount of $620,036.
Financial Impacts
Sufficient funds are included in the adopted FY 2027 budget for the amendment to the contract:
• Golf Operations Fund: $79,153
F605-CC103-SC208-PRJ000079
The original contract amount is $620,036. Amendment No. 1 would increase the contract by $79,153, for a total not-to-exceed contract amount of $699,189.
The Monarch Bay Golf Course operates as an enterprise fund and does not receive General Fund support. All operating and capital costs are supported through revenues generated by golf operations, including green fees, food and beverage sales, and event rentals.
This Council action will not impact fund balance because there are funds available in the FY 2027 adopted budget.
ATTACHMENTS
A: Resolution for Newton Construction & Management NPSA Amendment No. 1
B: Change Order No. 1 to Scope of Work & Compensation Schedule
PREPARED BY: Jennifer Auletta, Parks and Landscape Manager, Recreation and Parks Department