Title
Adopt a Resolution to Approve and Authorize the City Manager to Execute a Non-Professional Services Agreement with McGuire & Hester for On-Call Emergency Sewer Repair Services for a Three-Year Period Not to Exceed Amount of $600,000 With a Provision for a Two-Year Renewal
Staffreport
COUNCIL PRIORITY
• Public Safety
• Infrastructure
SUMMARY
The City initiated a Request for Proposals (RFP) on September 30, 2025 to select a contractor for emergency sewer repairs. McGuire & Hester was selected as the preferred contractor based on its experience and ability to respond quickly to a variety of situations.
RECOMMENDATIONS
Staff recommend City Council adopt a Resolution to approve and authorize the City Manager to execute a Non-Professional Services Agreement with McGuire & Hester for on-call emergency sewer repair services for a total not to exceed amount of $600,000 for a period of three years with an option to extend for two additional years if mutually agreed by the City and McGuire & Hester.
BACKGROUND
The City owns and maintains approximately 125 miles of sanitary sewer mains and about 60 miles of storm sewer lines. Much of the City’s sewer lines were installed prior to 1970. The City has an active sewer point repair and replacement program and CCTV inspection program, but occasionally situations arise that require immediate repair. This agreement provides a framework by which the City can request urgent service from McGuire and Hester to resolve these problems.
Because this agreement is performed on an as-needed basis, it is not known how much of the not-to-exceed amount will be needed each year.
Analysis
On September 30, 2025, the City issued an RFP for on-call emergency sewer repair services. The services requested included:
• Providing time and materials estimate
• Requesting emergency USA service
• Dispatching and mobilizing resources for repairs
• Providing traffic control as appropriate on residential, collector, and arterial streets.
• Excavation and replacement of existing sewer pipes.
• Proper disposal of excavated material and other debris.
• Compaction of backfill and compaction test (if requested).
• Reconstruction of roadway or other areas, including sidewalks as needed, according to City standard plans
The City received three proposals and each were evaluated based on the criteria set forth in the RFP. McGuire & Hester was selected based on its experience as well as availability of multiple crews to be deployed during an emergency. The City has worked with McGuire and Hester on past projects and they have provided consistently high quality work.
Work done under this agreement will be done on a time-and-materials basis. The agreement will include McGuire & Hester’s current labor and material rates and specify how rates will increase in subsequent years.
The RFP requested an estimate for a standard emergency pipe repair project. McGuire and Hester’s estimate was a total of $28,904. For reference, the most recent engineering estimate for a similar scheduled point repair was approximately $14,000 - $18,000.
Applicable General Plan Policies
Policy CSF-6.4 Wastewater Collection and Treatment. Maintain efficient, environmentally sound, and cost-effective wastewater collection and treatment services in San Leandro.
Financial Impacts
Sufficient funds are included in the FY 2026 and FY 2027 Water Pollution Control Fund to cover full cost of contract
• Sanitary Sewer Repair, Account 593-52-293-5240: $200,000
This Council action will not impact the Water Pollution Control Plant fund balance because there are funds available in the FY 2026 and FY 2027 adopted biennial budget. Subsequent years will require appropriations of funds as part of the budget process. This is a contract for on-call services and therefore the actual amount to be used each year will vary depending on need, but will not exceed the authorized contract amount.
ATTACHMENTS
A: Resolution
B: NPSA Scope of Work
C: NPSA Compensation Schedule
D: RFP
PREPARED BY: Ramya Sankar, Management Analyst II, Water Pollution Control Division