REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Travis Hopkins, City Manager
VIA: Chau Vu, Director of Public Works
PREPARED BY: Steve Bogart, Principal Civil Engineer
Subject:
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Approve the Release of the Guarantee and Warranty Bond for the HB Walk Project (Tract 19157)
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Statement of Issue:
Sufficient time has passed since the City accepted the public improvements for the HB Walk Project (Tract 19157), located at 8371-8461 Talbert Avenue at the northwest corner of Talbert Avenue and Newland Street. The Guarantee and Warranty Bond provided by the developer, Olson Urban-Huntington Beach 4, LLC, as security for the guarantee and warranty of the public improvements, is now eligible for release.
Financial Impact:
No funding is required for this action.
Recommended Action:
recommendation
A) Release Guarantee and Warranty Bond No. PB03010409024-M, the security furnished for guarantee and warranty of improvements for the HB Walk Project (Tract 19157); and,
B) Instruct the City Clerk to notify the developer, Olson Urban-Huntington Beach 4, LLC, of this action; and,
C) Instruct the City Treasurer to notify the surety company, Philadelphia Indemnity Insurance Company, of this action.
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Alternative Action(s):
Do not approve recommended action and direct staff accordingly.
Analysis:
On July 15, 2025, the City Council accepted the improvements constructed and dedicated for public use within the HB Walk Project (Tract 19157) and accepted Guarantee and Warranty Bond No. PB03010409024-M, the security for the guarantee and warranty of the improvements. The required one-year period has now passed, and the City Engineer has determined that the improvements were constructed in substantial compliance with the approved plans and specifications. Accordingly, the City Engineer recommends release of the bond.
California Government Code Section No. 66499.3(d) requires that a security for guarantee and warranty of the project’s public improvements to be posted by the developer upon (the City’s) acceptance of public improvements, and that the security remains in effect for one year.
Public improvements constructed for the subject project consist of new sidewalk, curb, gutter and asphalt pavement along the project’s frontages on Talbert Avenue and Newland Street.
Project data
Developer: The Olson Company
Attention: John Reekstin
3010 Old Ranch Parkway, Suite 100, Seal Beach, CA 90704
Surveyor: Advanced Civil Group, 30251 Golden Lantern, Suite E, PMB 251,
Laguna Niguel, CA 92677
Surety: Philadelphia Indemnity Insurance Company
27101 Puerta Real, Suite 200, Mission Viejo, CA 92691
Location: 8371-8461 Talbert Avenue (northwest corner of Talbert Avenue and Newland Street)
Public Works Commission Action: Not required.
Environmental Status:
Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project.
Strategic Plan Goal:
Non Applicable - Administrative Item
Attachment(s):
1. Vicinity Map
2. PowerPoint Presentation