Item 22 - Approve Adjustments & CIP Amendment, & Agreements with Mark Thomas, So Cal Regional Rail Authority (SCRRA), the U.S. Department of Transportation, & Caltrans for the Santa Ana Boulevard Grade Separation Project (No. 26-6718)

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Santa Ana Boulevard Grade Separation Project May 5, 2026 Page 3 unhindered access for emergency vehicles, and provide connectivity across Santa Ana Boulevard to SARTC. The improvements will include a raised median, bike lanes, sidewalks, pedestrian and rail bridges, storm water pump station, space for a transportation opportunity zone, and a pedestrian plaza. The total cost of this project is estimated to be $126,500,000 and can only be realized with grant funding, which is typical for transportation projects of this magnitude. In 2014, the City Council approved the PSRE and environmental report for the proposed SAGS project. This action transformed SAGS from a concept to a formally identified capital improvement project for the City and allowed staff to pursue grant funding for the project. On July 6, 2023, California State Transportation Agency (CaISTA) awarded a $7,000,000 grant from the TIRCP program to the City to fund the design phase of the project. Due to the highly complex nature of grade separation projects, staff is unable to perform the design phase scope in-house and requires the services of a highly experienced engineering firm that has demonstrated experience on grade separation projects. Staff performed an extensive, competitive Request for Proposals procurement process and recommends awarding a design phase services contract to Mark Thomas in an amount not to exceed $6,859,918. Their proposal and subsequent interview received the highest score due to their experienced team and proven track record on other grade separations in southern California. In addition, Mark Thomas submitted a highly competitive fee substantially below the industry standard of 10% of the construction cost estimate ($12,650,000 in this case), allowing the entirety of the design phase services to be paid for by the CaISTA grant. To date, the City has received a total of$32,000,000 to fund the project including the following grants: • $7,000,000 grant from the State Transit and Intercity Rail Capital Program (TIRCP) • $25,000,000 grant from the Federal Rebuilding American Infrastructure with Sustainability and Equity (RAISE) program Staff only seeks approval of design phase services and will continue to seek additional grants from both State and Federal programs to fully fund the SAGS project. Right-of- Way and construction phases of the project will not commence until the project is fully funded, likely no sooner than 2028. TIRCP Grant On July 6, 2023, California State Transportation Agency (CaISTA) awarded a $7,000,000 grant from the TIRCP program to the City to fund the engineering phase and the revalidation of the project's environmental documentation. The original environmental report was approved by the City Council on December 2, 2014; however,