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HomeMy WebLinkAbout2026-05-28 | Adjourned Regular Meeting CITY OF HERMOSA BEACH CITY COUNCIL Post-Meeting Agenda Thursday, May 28, 2026 6:00 p.m. Council Chambers 1315 Valley Drive Hermosa Beach, CA 90254 CITY COUNCIL Mike Detoy, Mayor Michael D. Keegan, Mayor Pro Tem Ray Jackson, Councilmember Dean Francois, Councilmember Rob Saemann, Councilmember David Pedersen, City Treasurer APPOINTED OFFICIALS Steve Napolitano, City Manager Jason Baltimore, Interim City Attorney EXECUTIVE TEAM Brandon Walker, Administrative Services Director Martha Alvarez, City Clerk Alison Becker, Community Development Director Lisa Nichols, Parks and Recreation Director Landon Phillips, Police Chief Joe SanClemente, Public Works Director AMERICANS WITH DISABILITIES ACT OF 1990 - To comply with the Americans with Disabilities Act of 1990, Assistive Listening Devices (ALD) are available for check out at the meeting. If you require special assistance to participate in this meeting, you must call or submit your request in writing to the Office of the City Clerk at (310) 318-0204 or at cityclerk@hermosabeach.gov at least 48 hours before the meeting. PARTICIPATION AND VIEWING OPTIONS Hermosa Beach City Council meetings are open to the public and are being held in person in the City Hall Council Chambers located at 1315 Valley Drive, Hermosa Beach, CA 90254. Public comment is only guaranteed to be taken in person at City Hall during the meeting or prior to the meeting by submitting an eComment for an item on the agenda. As a courtesy only, the public may view and participate via the following: Zoom: https://us02web.zoom.us/j/89968207828? pwd=bXZmWS83dmxHWDZLbWRTK2RVaUxaUT092 • Phone: Toll Free: (833) 548 0276; Meeting ID: 899 6820 7828, then #; Passcode: 472825• eComment: On the HTML agenda, click an agenda item, then click on the blue “Leave comment” (on computer) / blue speech bubble (on phone/tablet) button to provide a comment for that item. Submit eComments no later than three (3) hours before the meeting start time. • Supplemental Email: Submit a supplemental email for agenda items only to cityclerk@hermosabeach.gov. Supplemental emails should indicate the agenda item and meeting date in the subject line and must be received no later than three (3) hours before the meeting start time. Emails received after the deadline but before the meeting ends will be posted to the agenda the next business day. Writings distributed to all, or majority of all, of the City Council after the agenda has been posted shall be available for inspection at the City Clerk's Office located at 1315 Valley Drive, Hermosa Beach, CA 90254 during regular business hours. • The City will also plan to broadcast the meeting via the following listed mediums. Cable TV: Spectrum Channel 8 and Frontier Channel 31 in Hermosa Beach • YouTube: https://www.youtube.com/c/CityofHermosaBeach90254 • Live Stream: www.hermosabeach.gov/agenda• Cablecast App: Available on supported devices and smart TVs• If you experience technical difficulties while viewing a meeting on any of our digital platforms, please try another viewing option. Page 2 of 129 Pages 1.CALL TO ORDER— STUDY SESSION 2.PLEDGE OF ALLEGIANCE 3.ROLL CALL 4.PUBLIC COMMENT 5.OPENING REMARKS (City Manager Steve Napolitano) 6.STUDY SESSION TOPIC 6.a FISCAL YEAR 2026–2027 CAPITAL IMPROVEMENT PROGRAM STUDY SESSION - 26-PW-031 4 (Public Works Director Joe SanClemente) Recommended Action: A motion was made by Mayor Pro Tem Keegan, seconded by Councilmember Saemann, moved to receive and file the Fiscal Year 2026–2027 Capital Improvement Program (CIP) Study Session Report. 7.ADJOURNMENT Page 3 of 129 City of Hermosa Beach | Page 1 of 24 Meeting Date: May 26, 2026 Staff Report No. 26-PW-031 Honorable Mayor and Members of the Hermosa Beach City Council FISCAL YEAR 2026–2027 CAPITAL IMPROVEMENT PROGRAM STUDY SESSION (Public Works Director Joe SanClemente) Recommended Action: Staff recommends City Council: 1. Review and provide comment on the proposed Fiscal Year (FY) 2026–2027 Capital Improvement Program (CIP) including proposed project scopes of work, project funding, sequencing and priorities, and the deferred and unfunded future project list (Attachment 1, Attachment 2, Attachment 3, and Attachment 4); 2. Review and provide comment regarding the Additional Matters for City Council Consideration outlined in the report; and 3. Receive and file the FY 2026–27 Capital Improvement Program Study Session Report. Executive Summary: As part of the budget development process, this Capital Improvement Program (CIP) Study Session is being held to provide an opportunity for City Council to review and provide staff with recommendations on the proposed CIP, including the project scopes of work, project funding, sequencing and priorities, for next fiscal year. The FY 2026-27 CIP was reviewed at the May 5, 2026 Joint Parks and Recreation and Pub lic Works Commission meeting, where Commission unanimously approved staff’s recommendations for further consideration by City Council. With the exhaustion of many one-time funding opportunities, fewer resources are available for capital investment, increasing competition between operating and infrastructure needs. The CIP is structurally underfunded, and projects are now being completed at a rate faster than the CIP fund can be replenished – with annual spending now averaging approximately $8M – $12M, but only approximately $4.7M in new funds for FY 2026-27. The City can no longer rely on one-time or external funding to sustain its capital program, and identifying stable, ongoing funding solutions will be critical to maintaining infrastructure and long-term fiscal sustainability. Meanwhile, the Public Works Department CIP workload is completely full for the next two years and is primarily focused on critical infrastructure and time sensitive projects, with no capacity to take on new projects. Many projects on the CIP are not fully funded, and Page 4 of 129 City of Hermosa Beach | Page 2 of 24 each year staff makes recommendations to allocate available funds to advance necessary phases of projects that align with staff workload for the year so that critical projects can continue to move forward. With constrained staffing and funding resources, that means the City will have to make tough choices each year regarding what can be reasonably delivered while considering the highest priorities and future needs. Background: This meeting provides an opportunity for City Council and the community to discuss and provide feedback on proposed Fiscal Year 2026–27 CIP. Project discussions assist staff in refining individual project scopes, funding allocations, priorities, and aligning staff capacity with agreed upon priorities. Fiscal Environment and Implications for the CIP The City’s CIP has historically been funded through one -time resources and external funding rather than ongoing, dedicated revenue. Unspent General Fund balances, post - COVID carryforwards, American Rescue Plan Act (ARPA) funds (approximately $4.6 million), and vacancy savings have been used to advance capital projects and address infrastructure needs. While this approach allowed the City to maintain investment without establishing a permanent funding source, it was not sustainable. These one-time resources are now largely depleted or declining. Year-end surpluses have diminished, ARPA funds have been fully expended, and vacancy savings are decreasing and unreliable as a long-term strategy. As a result, the funding model that has historically supported the CIP is no longer viable. The CIP has also relied on State and County funding. While important, these sources are limited, competitive, and subject to changing requirements and funding cycles. Often the eligible uses for these funding sources do not align with the City’s greatest needs and can be time-consuming for staff to administer. They cannot be scaled to meet the City’s full infrastructure needs and do not provide a consistent or predictable funding stream, creating uncertainty in project delivery. At the same time, cost pressures are increasing and significant capital needs remain unfunded. Deferred maintenance is driving higher long-term costs, construction inflation continues to escalate project expenses, and major projects —including the City Yard replacement and future Pier repair or reconstruction—remain unfunded. These challenges are compounded by a structural imbalance in the General Fund, with expenditures outpacing revenues. The CIP is structurally underfunded under the current model. Projects are now being completed at a rate faster than the CIP fund can be replenished. The City can no longer rely on one-time or external funding to sustain its capital program, and identifying stable, Page 5 of 129 City of Hermosa Beach | Page 3 of 24 ongoing funding solutions will be critical to maintaining infrastructure and long-term fiscal sustainability. Key Challenges for Project Delivery In addition to funding constraints, there are a number of factors that should be considered for the programming and delivery of the FY 2026-27 CIP and beyond:  Public Works Department CIP workload is completely full for the next two years with no capacity to take on new projects. Most of the projects currently programmed in the CIP are necessary to ensure public safety, are under strict grant or regulatory timelines, or are addressing deferred maintenance needs. Several projects have reached a critical stage and simply can no longe r be deferred – for example, the Pier, City Yard, and the Dry Wells project, to name a few. With constrained staffing and funding resources, that means the City will have to make tough choices each year regarding what can be reasonably delivered while considering the highest priorities and future needs. Some projects may only be able to receive partial funding each FY to keep them advancing in a timely manner.  The Public Works Operations and Maintenance (O&M) team plays a critical role in the planning and advancement of all CIPs. The O&M workload remains heavy (and over capacity) due to high demand for work orders (10–12 per calendar day), special event support, special projects, as well as regular maintenance activities. O&M workload demands directly impact capacity to deliver the CIP.  The workplan for FY 2026-27 remains highly sensitive to staffing levels and changes in that workplan based on a wide range of demands (planned and unplanned) placed on our small engineering team and evolving complexity of each project as it advances through the process. The engineering department currently has one engineering vacancy, with hiring and retention remaining challenging in what continues to be a competitive market for engineers across the public and private sectors. Outside consultants are often used to help advance complex projects in a timely manner, and fill vacancies, but must be done in an efficient and responsible way given constrained funding resources. Any vacancy, or new project(s), or infrastructure emergency, will delay the projected schedule for programmed projects.  Major planned, unplanned, and potential projects in the coming year will require significant staff resources and present risk to the delivery of the overall CIP in the coming year: o The City Yard Project will require a substantial time commitment from Public Works across the department – including both engineering and O&M staff – to advance planning and design and eventually the preparations required to potentially relocate off -site to facilitate environmental remediation and construction; o Maintaining staffing levels across the department; Page 6 of 129 City of Hermosa Beach | Page 4 of 24 o Grant funded projects schedules are less predictable, and can be constrained, with some anticipated to start in FY 2026 -2027 (e.g., CIP 143 PCH/ Aviation); o Major contract negotiations and readvertisement of soon-to-experience maintenance services will impact O&M and Engineering staff (i.e., County Beaches and Harbors beach maintenance, landscape services, trees care, storm drain cleaning, janitorial, sewer cleaning). These efforts require deep evaluation of scopes of work and updates to better meet the service needs of the community and timely advertisement to ensure service continuity; o Roll-out of online permitting will require significantly dedicated staff time in coordination with other City Departments to develop, advance, and troubleshoot; o Large upcoming third-party projects will require substantial coordination and oversight, including: LA County Sanitation Districts Sewer Rehabilitation Project, Caltrans’ Resurfacing of PCH, and Cal Water’s main replacement along Hermosa Avenue from 25th Street to 35th Street, and potentially other unplanned utility projects; o Other non-CIP Special Projects requiring Public Works oversight and support (e.g., Hermosa Beach Little League improvements to Clark Field, dog park, etc.); o Unplanned special events; o Major storms, natural disasters, or other infrastructure emergencies; and o Other unplanned work. Joint Commission Meeting On May 5, 2026, the Parks and Recreation and Public Works Commissions (Commissions) held a Joint Meeting to discuss the FY 2026-2027 CIP. Following a detailed staff presentation, public comment, questions, and discussion, t he Commissions unanimously approved staff’s recommendations for the CIP including proposed scopes of work, project funding, sequencing and priorities, and deferred and unfunded future project lists. Past Commission Actions Meeting Date Description Joint Parks and Public Works Commissions: May 5, 2026 The Commissions approved staff’s recommendations for the FY 2026-27 CIP. Discussion: FY 2025–2026 CIP Highlights Staff made significant progress on many of the 36 CIP projects currently included in the FY 2025–2026 Budget, including: Page 7 of 129 City of Hermosa Beach | Page 5 of 24  11 CIP projects, with an estimated construction value of $13.7M, are earmarked for completion by the end of this FY, including 8 projects complete as of May 19, 2026, and 3 projects in the close-out phase; in addition, 3 projects are also under construction and expected to either be complete or reach substantial completion prior to the end of the FY and 2 projects (CIP 107-Slurry Seal and CIP 504- Playground Equipment Improvements) were advertised for construction on April 30, 2026;  Prepared a comprehensive structural assessment and detailed cost -benefit analysis for the Municipal Pier and currently finalizing permitting and design for the current round of high priority structural repairs;  The Greenwich Village North Underground Utility Assessment District project went out to bid, awarded a contractor, issued bonds, assessed the district, and put shovels in the ground to underground utilities long sought to be removed by the community; and  Substantial advancement on numerous other CIP projects. These projects were also completed amidst other unplanned emergencies that diverted staff time to address – such as urgent removal of 26 trees in City Parks to protect public safety in July 2025, removal of the Vetter Windmill assembly on July 24, 2025 following a structural inspection and assessment that identified safety concerns ; emergency sink hole repair on Valley Drive near Valley Park in August 2025; emergency full closure of Parking Structure C in November 2025 due to structural concerns; and partial closure of the end of the Pier in January 2026 due to safety concerns. The Public Works Department remains committed, and focused, on delivering critical high priority projects in the CIP. Historically, Public Works delivered about 4 CIPs per fiscal year—the completion rates have nearly tripled since FY 2023–24. Page 8 of 129 City of Hermosa Beach | Page 6 of 24 FY 2025-2026 CIP Progress Projects for which construction was completed in FY 2025–2026 include: CIP 105 Annual Street Improvements and CIP 695 Parking Lot A improvements — The $3.2M project completed pavement rehabilitation, reconstruction of damaged concrete improvements, and re-striping along approximately two miles of roadways including Pier Avenue from Hermosa Avenue to Pacific Coast Highway, Valley Drive from Pier Avenue to Herondo Street, and segments of various residential streets. Parking Lot A improvements included pavement rehabilitation, reconstruction of damaged concrete gutters, repainting parking stall lines, and replacement of waste enclosures fencing. The project completed construction on July 25, 2025, with project close-out through October 2025. CIP 109 Utility Box Wrapping—This project is adding decorative paint and/or wraps to City-owned utility boxes to 24 utility boxes. The City engaged with a local artist cooperative (Indivisible Arts) to create the artwork that was painted and vinyl wrapped. City Yard staff, repaired and replaced damaged boxes, applied anti -graffiti coating to painted boxes, and received specialized training to print and installing the wraps on the utility boxes. The project was completed in December 2025, with project close-out through February 2026. 3 5 5 4 2 4 5 13 9 11 0 2 4 6 8 10 12 14 CIPs Completed by Fiscal Year Page 9 of 129 City of Hermosa Beach | Page 7 of 24 CIP 605 Facilities Conditions and Needs Assessment (Civic Center)—the Civic Facilities Project Advisory Group presented to Council the Consideration and Direction on Recommendations from their findings based on regular advisory group meetings at the July 22, 2025, City Council meeting. Council voted to receive and file recommendations from the City Manager’s Civic Facilities Project Advisory Group. CIP 617 Civic Center Charging Stations—Staff coordinated with Southern California Edison to install 20 new level 2 charging stations at parking locations along Bard Street. The project was completed in June 2025, with project close-out through July 2025. CIP 633 Base 3 Electrical Repairs and Upgrades—This project included the upgrades to the building’s electrical system, including removal of existing electrical service panel and replacing it with a new 120/240V, 3W, 400A main service board, installation of 4” galvanized rigid conduit and weather head per SCE requirements, installation of new receptacles, extend existing conduits to new receptacles, remove existing light fixtures and install new ones, coordination with SCE for inspection and final connection in response to urgent needs at those facilities. The project was completed in December 2025, with project close-out through January 2026. CIP 603 South Park Slope and Irrigation Repairs— The project included the demolition of existing irrigation system, shrubs and ground covers and installation of new irrigation system, approximately 4,400 square feet of new turf -sod, approximately 3,000 new shrubs, and 2 new trees. The contract was awarded to the lowest responsible and responsive bidder in the amount of $393,273 and well below the engineer’s estimate for the project. Staff also successfully applied for, and received, a reimbursable grant in the amount of $99,145 from the Metropolitan Water District of Southern California (MWD) through its turf removal program and $189,849 from the State of California as a part of its 2018 Parks Bond Act Per Capita Grant Program. The lower than anticipated construction costs, combined with the grant funding, allowed for significant cost savings on the project and the release of $1,242,184 from the CIP fund balance. The project's construction phase began on April 14, 2025 with substantial completion taking place in October 2025. The project remained in closeout through May 2026 largely related to the grant administrative requirements and reimbursement process. CIP 689 Clark Building Renovations—The project completely renovated the existing facility including a new commercial kitchen and new bathrooms and was opened on August 19, 2025, with project close-out completed in December 2025. Page 10 of 129 City of Hermosa Beach | Page 8 of 24 Projects for which construction was completed in FY 2025–26 and are currently in the close-out phase, include: CIP 421 Annual Sewer Improvements—The $3.7M project constructed approximately 5,000 linear feet of new sewer pipe, installed 25 new maintenance access holes, installed 50 new maintenance access hole frames and covers, and reconstructed approximately 20,000 square feet of pavement, and performed other related sewer maintenance work throughout the City. Construction was completed under the original budget in April 2026 and is under project close-out. CIP 630 Community Center Gas—This project includes replacing an existing 4-inch gas main line and extending the new gas lines through the roof into different areas of the building to feed and connect to various existing appliances and equipment along with abandoning existing gas lines. During the course of construction, additional environmental testing and remediation was required at some roof penetration locations. The project has also required extensive coordination with SoCalGas. The cost for the project including added scope through change orders is $319,038. The anticipated completion date is May 2026 with project closeout through June 2026. CIP 699 Parking Structure (Lot C) Improvements —The project included elevator refurbishment and high priority structural repairs originally identified a 2021 structural assessment of the facility. Due to staffing constraints at the time, the design of repairs advanced slowly and required supplemental structural inspections and testing to ensure the project addressed all high priority concerns. The project’s construction documents were updated and advertised for construction in January of 2025 and awarded at City Council on May 13, 2025, for a total authorized construction budget of $2,002,542. Construction commenced in October of 2025. The updated scope of work for this project focused on addressing the parking structure’s structural deficiencies, aged lighting fixtures, and included concrete repairs, crack sealing, waterproofing and traffic coatings, replacement of guardrails and barrier systems, electrical upgrades, sump pump replacement, and other necessary repairs to maintain the facility in optimal condition. During construction, additional structural deficiencies were identified, including compromised post-tensioning tendons, which required further investigation, temporary closure of the facility, and implementation of additional repairs. To minimize future disruptions, staff incorporated additional structural repairs originally anticipated for a future phase into the current project. Staff also took advantage of the temporary closure to complete a comprehensive repainting of the structure through a contract change order in the amount of $240,873, which was presented to the City Council on January 13, 2026, bringing the total authorized construction amount to $2,243,415. Construction was completed in April 2026 and is under project closeout. Page 11 of 129 City of Hermosa Beach | Page 9 of 24 Projects under construction and anticipated to reach completion or substantial completion prior by the end of FY 2025–26 include: CIP 164 Hermosa Avenue Green Streets—The Enhanced Watershed Management Program identifies installation of distributed National Stormwater Best Management Practices (BMPs) as a requirement of the 2012 Municipal Separate Storm Sewer System permit. The project was advanced to bring the City toward compliance with requirements for trash and bacteria Total Maximum Daily Load. The project includes installation of approximately 4,500 linear feet of permeable concrete gutter in the southern part of the City and planting of 37 trees on Hermosa Avenue. The project was designed through a contract managed by the City of Torrance for work in Hermosa Beach, Manhattan Beach, Redondo Beach, and Torrance. The project was advertised for construction on January 16, 2025, bids were received on February 19, 2025, and the City of Torrance City Council awarded the contract at their May 2025 meeting with a total contract award of $7,738,584, shared between the cities. Construction for the overall project began in July 2025, with construction within Hermosa Beach commencing on February 9, 2026. Project completion, including punch list items is expected by late May 2026 with final project close -out and grant funding reports are anticipated by the end of September.  CIP 619 Kelly Court Renovations—The project was originally proposed to renovate and resurface the pickleball courts; however, during the design phase, the scope was expanded to include upgrades to the adjacent tennis and basketball courts to meet current clearance, safety, and accessibility standards. Planned improvements include relocating light poles and fencing, expanding the concrete slab to accommodate proper spacing, and replacing aging court equipment such as posts, nets, and backboards. Under the implementation of CIP 619, all courts will be resurfaced and restriped to meet current recreational design standards. As of April 16, 2026, the basketball courts have been resurfaced and re-opened to the public. Staff anticipates awarding a completion contract at the May 26, 2026, City Council meeting for the completion of the tennis and pickleball courts resurfacing which had unforeseen existing pavement conditions that required additional specialized repair prior to resurfacing; construction is anticipated to be completed by August 2026. CIP 626 CDBG Improvements—CIP 626 is a critical project for the department due to requirements related to CDBG funds as the City’s receipt of future funds is contingent upon timely completion of projects. The project includes construction of 12 ADA-compliant curb ramps and approximately 500 square feet of new sidewalk along Monterey Boulevard between 2nd Street and 8th Street. The Engineering Division completed the design for the project in- house and advertised it for construction in January 2026. The construction contract was awarded in April 2026. Construction started on April Page 12 of 129 City of Hermosa Beach | Page 10 of 24 27, 2026, and is anticipated to be completed in May 2026 with close-out ongoing through September. Projects which have progressed significantly in FY 2025–26 include:   CIP 106 Annual Paving and CIP 115 City Sidewalks Improvements—This project includes pavement rehabilitation, reconstruction of damaged concrete improvements, and re-striping along approximately 1.5 miles of roadways, including Aviation Boulevard (from Harper Avenue. to Pacific Coast Highway), Monterey Blvd (from Pier Avenue to Manhattan Avenue), 2nd Street (from Valley Drive to Hermosa Avenue), and various residential segments. The City Sidewalk Improvement project (CIP 106) is being combined with CIP 115 for greater design, bidding, and construction efficiencies and will consist of reconstruction of damaged sidewalks, curb and gutter, as well as upgrading of curb ramps to current accessibility standards at various locations. The project will also include crosswalk striping and the installation of Rectangular Rapid-Flashing Beacons (RRFBs) at the intersections of Ardmore Avenue at both Longfellow Avenue and 25th Street. Anticipating significant impacts on businesses, traffic flow, and parking, staff will phase the project construction to minimize impacts. The City will also implement a comprehensive project communication plan using various methods to raise awareness. The project is currently in the design phase by the City’s engineering staff and is expected to go out for bid in August 2026. CIP 107 Slurry Seal—This project involves crack and slurry sealing approximately 230,000 square feet across various city streets. For cracks between ¼ inch and 1 inch wide, sealing material will be applied. Cracks exceeding 1 inch will be patched with asphalt. Following the crack seal, an asphalt slurry seal will be applied to bond with the aged surface to extend the overall lifespan of the city’s roadways. The Project was advertised for construction on April 30, 2026, and the construction is anticipated to begin in summer 2026. The total project budget is $450,000. Slurry seal has not been performed by the City for many years and was reintroduced to the CIP in FY 2025-26 as a preventative maintenance treatment to extend the lifespan of the asphalt pavement. CIP 111 Electronic, Gateway, and Wayfinding Signage—The project includes the evaluation, and potential installation, of gateway signage, downtown wayfinding signage, and a digital monument sign in front of the Community Center. Recommendations will include potential locations, preliminary design, and order of magnitude cost estimates for final design, sign fabrication, and installation for final consideration by City Council. The electronic sign will also require approvals by Caltrans and the Planning Commission. The project is largely funded by a donation of $500,000 from former Mayor Chuck Sheldon and his wife Missy, which are intended for the design and installation of the digital Page 13 of 129 City of Hermosa Beach | Page 11 of 24 monument sign, while any unused funds may be directed towards the gateway si gnage. The City previously received a $50,000 contribution for the electronic sign from the Chamber of Commerce in 2014; the Chamber has since indicated that these funds could be redirected towards the downtown wayfinding signage. Staff is preparing preliminary designs, and further evaluating permitting requirements, and anticipates bringing an item to Public Works Commission in mid-2026. CIP 113 City Wide Multi-Space Meters Deployment (Pier Avenue and Lot D)—The project includes the installation of multi-space meters along Pier Avenue and Parking Lot D. The CIP will include the purchase of new multi-space meters, engineering drawings for ADA and vehicle code compliance, demolition, and construction activities. During the December 9, 2025, City Council meeting, a contract with Flowbird America was approved to provide replacement meters for the Beach Parking Lots and provide meters as needed for ongoing parking projects, including CIP 113. Public Works engineering staff is actively preparing the design plans and anticipates advertising the project for construction in Summer 2026 with construction starting in Fall 2026. This CIP is part of the City’s larger efforts to modernize the City’s parking system and best utilize the limited parking available in Hermosa Beach. Most of the existing infrastructure is at least 10 years old and rated in poor or very poor condition during a citywide evaluation in June 2023. The newer equipment will yield ongoing operational cost savings due to the reduction in number of parking meters, elimination of transaction fees paid by the City, and preparation for citywide automated license plate reader (“ALPR”) enforcement. Recent updates to the Parking 2.0 Roadmap presented to City Council at the January 14, 2025, meeting include the citywide rollout of mobile payment options as of August 2025, electronic parking permitting, and electronic citation issuance and payments as of April 2025. Staff are preparing to rollout the new Community Service Officer (“CSO”) vehicles equipped with ALPR equipment in May 2026 in order to better manage the Beach Parking Lots, permits, time limited zones, and data collection to continually improve the parking system in Hermosa Beach. CIP 113 will be the test case for how the City will remo ve single space meters and replace with multi-space meters citywide in an effort to make parking easier to use, more efficient, and reduce operating costs for the City long term. CIP 114 - Greenwich Village Underground Utilities project—This project, valued at approximately $4M consists of undergrounding the existing overhead utility lines located along Hermosa Avenue from 25th Street to 35th Street. The project is under construction. CIP 143 PCH / Aviation Mobility Improvement Project—This project would advance conceptual designs for complete street project elements to improve mobility, accessibility, and safety along the Pacific Coast Highway (PCH) and Aviation Boulevard corridors in Hermosa Beach. The Project builds off the 2014 PCH-Aviation Beautification Final Page 14 of 129 City of Hermosa Beach | Page 12 of 24 Concept Plan and the 2015 Project Study Report (PSR) that was prepared by the City and Caltrans in 2015 and would advance the project to the next phase: the Project Initiation Document (PID) and Project Approval & Environmental Document (PA &ED). The PSR includes various options for enhancing landscape along PCH, potential utility pole undergrounding on PCH, pedestrians and bicycle enhancements (possible bike lanes on Aviation and enhanced bike crossings across PCH), intersection safety enhan cements, and other safety improvements along the corridors. The City applied for additional grant funding from the South Bay Cities Council of Governments (SBCCOG) to cover the initial project costs for the planning and environmental review phases of the project. Grant funding for the project was approved, now approximately $4.8M in total and will be administered through Metro. Metro staff is developing the funding agreement in coordination with Caltrans and City staff is anticipated to bring an item to City Council in Summer 2026 for consideration of approval of the funding agreement. While the project is being administered through Metro, it will require significant staff resources over a multi-year period and will need substantial additional funding for design and construction should it continue through the process. CIP 193 Hermosa Ave Safety Improvements Project—This project consists of implementing various roadway safety improvements along Hermosa Avenue between Herondo Street and 25th Street. The City has been approved by the South Bay Cities Council of Governments (SBCCOG) for $482,000 in grant funds for the planning and design phase of the project pending completion of a funding agreement with Metro . The agreement is being prepared and staff anticipates bringing an item to City Council in Summer 2026 for consideration of approval of the agreement. Should the project move forward, it would include evaluating options to enhance pedestrian safety at 5 intersections by constructing curb extensions and parking daylighting to enhance pedestrian visibility, accessibility improvements at intersections and bus stops, modification to the center median, such as median closure and restriping spaces to enhance/add parking as well as conversion to multi -space meters, and consideration of bicycle accommodations along Hermosa Avenue. These items would be discussed at Public Works Commission and brought to City Council for approval before advancing design. CIP 438 Stormwater Dry Wells—This project will install a number of dry wells to help capture and infiltrate storm water runoff. The project is required per the City’s Watershed Management Plan (WMP), approved by the State Water Resources Control Board (Water Board). Failure to complete the project would likely result in significant fines and increased regulatory oversight. A formal request for a time extension on pollutant reduction goals has been submitted by the Beach Cities Group to the Water Board which, if approved, would extend the City’s compliance deadline to 2031. Page 15 of 129 City of Hermosa Beach | Page 13 of 24 The City’s original MWP had a total estimated cost range of $12.5M - $27M for the Greenbelt Infiltration project, which was cancelled by City Council due to objections from community members living in the vicinity of the proposed project. The City’s current WMP recommends using dry wells as they are more cost effective and logistically manageable than a large regional infiltration project and allow much greater flexibility for siting. It is anticipated that a revised project may cost approximately $4M in order of magnitude. In March 2026, Council approved a contract for the City to retain Geosyntec to assist the City with a revised feasibility analysis to help find the most efficient way of implementing the project, further define costs, and assist the city with submitting a grant application for Safe Clean Water (Measure W ) funds to pay for design costs in partnership with City of Redondo Beach in Summer 2026. Should the City not be successful, when a potential award is announced in early 2027, staff recommends that the City expeditiously advance with a phased project to work towards compliance with whatever stormwater funding the City has available. CIP 504 Playground Equipment Replacement Project– This project budgeted at $450,000 will provide playground enhancements in three City Parks. Work will include a full replacement of the two-to-five-year-old play structure with a new unit that has integrated shade and a new rubberized mat at Valley Park. Repairs will also be made to the existing 5- to 12-year-old structure and incorporate an integrated shade sail. Seaview Park will receive a full replacement of the existing play structure with a new unit with an integrated shade sail and rubberized mat. South Park will receive a replacement rubberized mat at center playfield area. City has utilized a cooperative purchasing agreement to procure the playground equipment and has advertised a bid package for the installation of the equipment on April 30, 2026, with installation in mid- to late-August 2026 after students return to school. CIP 615 City Yard Renovation—This project is for the design, permitting, and construction of a new City Yard facility at 555 6th Street. The existing facility has far exceeded its useful life and is in poor condition with a growing urgency for extensive repairs and renovation to ensure continued use and efficient delivery service. Staff is actively working on advancing the project and retained the services of an experienced Owners Representative (OR) in January 2026, that will be responsible for coordinating the advancement of the overall project and assisting the City with developing a clear schedule and budget and advising the City on a project delivery method. Advancement of architectural programming and environmental assessment is necessary to determine an order of magnitude cost for any potential renovation and the necessary environmental remediation. Working with the OR, staff engaged the services of one of the City’s on-call architects (IDS Group) to lead the architectural programming effort and held a kick -off meeting on April 6, 2026. IDS is actively working on evaluating existing operations. The City team issued a Request for Proposals (RFP) for CEQA and environmental services on February 19, 2026, received proposals on March 16, 2026, and anticipates bringing a contract to City Council for consideration at the May 26, 2026, meeting. Staff anticipates Page 16 of 129 City of Hermosa Beach | Page 14 of 24 bringing an item to City Council in Summer 2026 to further discuss the project including, but not limited to, project delivery options. CIP 623 Municipal Pier Structural Inspection and Evaluation—CIP 623 includes the full detailed inspection of the Pier structure and the design and construction of the high priority repairs that must be completed by 2027. At the May 13, 2025 CIP Study Session, staff provided Council with a preliminary update on the findings of the assessment report that indicated the need for substantial repair work with a rough order of magnitude cost of $6.7M over the next 5 years, including $3.7M of high priority repairs within the next 1 to 2 years to address high priority repairs; however only $3.7M was available at the time to fund the first phase of improvements. These initial results were used to identify and advance the design and permitting of the high priority repairs, which are now at the 75% design level and staff is actively working to finalize the design package, which may be subject to special cond itions following the conclusion of permitting efforts with the Coastal Commission. The project scope includes replacement of 4 concrete deck panels, structural strengthening of 14 deck panels, and crack injection and spall repair for approximately 35% of d eck panel soffits. Pending receipt of final permits, staff is anticipating advertising the project by Spring or Summer 2026, with start of construction targeted to begin as soon as October 2026 as the repairs must be completed as soon as possible. Concurrent with design development efforts, staff also applied for several grants but were not successful due to a high volume of competitive applications and limited funding availability. At the March 24, 2026, City Council meeting, staff presented the results of the final structural inspection report and cost-benefit analysis to guide the City in near- and long- term decision making. The assessment determined that the Pier is in poor to serious structural condition and will require reinspection and repair every 5 years for the foreseeable future as the structure continues to age in a highly corrosive marine environment. A new Pier is estimated to cost approximately $58.6M (in 2032 dollars) and would save the City more than $100M in lifecycle costs if replaced. Due to the extensive planning, environmental review, and permitting requirements, the replacement process is expected to take at least 6 to 8 years before construction could begin. Council would need to provide direction on the potential for replacement by the end of 2026 to possibly break ground by 2032 or provide direction by no later than 2030 to break ground by 2036. The timing of the decision would impact whether the City will need to start reserving funds for the next round of repairs slated in 2030 that would need to be budgeted in the FY 2027- 2028 budget. Council directed staff to bring the proposed pier replacement project options to the Public Works Commission for further analysis. CIP 635 Community Center Windows—This project includes evaluation of windows replacement for the entire facility to address deferred maintenance needs. The existing windows present safety and security concerns due to poor conditions. The City’s Page 17 of 129 City of Hermosa Beach | Page 15 of 24 architectural design consultant completed a preliminary needs assessment study with an order of magnitude cost estimate for budgeting purposes. This project is currently funded for design and permitting only; additional funding will be required for installation once costs are further defined. Staff will continue working on developing a scope of services for the design and permitting phase. CIP 685 Real Time Crime Center—This federally-funded project consists of the installation of various security cameras and associated infrastructure throughout the City to enhance and augment the Police Department’s existing security cameras and viewing software. The City has entered into a Funding Agreement with the Federal government and is currently in the process of receiving approval to ensure its materials meet the terms and conditions of said Agreement. Given recent changes to the federal government’s staffing levels and recent federal government shutdowns, coordination with the City’s federal counterparties remains a challenge. Proposed FY 2026–27 CIP As part of the annual budget cycle, staff conducts a detailed review of each CIP project to refine project scopes and cost estimates. Staff also evaluates the CIP as a whole, including new project requests, grant- and funding-related timelines, public safety needs, and/or regulatory requirements against available funding and staffing levels. The resultant holistic and careful review is necessary to properly sequence and deliver the projects in a timely manner. While staff made significant progress on many of the projects in the CIP this past year, staff identified several high priority projects that require funding in the upcoming fiscal year and beyond – as they were either not fully funded (e.g. previously funded only for design and no construction funds) or deemed underfunded as a result of rising costs and/or greater understanding of the scopes of work following design development. With limited funding for FY 2026-27, staff is recommending numerous funding transfers across the CIP to free up general fund dollars as much of the CIP utilizes various restricted funding sources. Notable changes to CIP funding include, but are not limited to, the following:  CIP 106 Annual Street Improvements - $1.16M increase (continued need to enhance pavement conditions)  CIP 113 Citywide Multi-space meter deployment - $150k increase (additional construction funding required; previously underfunded.)  CIP 193 Hermosa Avenue Safety Improvements - $372k transfer (formerly CIP 193 Pedestrian Crossing Safety Improvements and has been renamed and merged with CIP 102 Bus Stop Safety Improvements. This funding is anticipated to be replaced with Measure MSP funds through Metro). Page 18 of 129 City of Hermosa Beach | Page 16 of 24  CIP 423 Annual Sewer - $2.29M increase (to address construction funding needs. This amount also includes $300k in paving funds to enhance paving conditions on certain road segments beyond simple trench repair).  CIP 438 Stormwater Drywells - $1.18M increase (should staff not be successful in securing Safe Clean Water program grant funds for this project, this partial funding will allow the city to advance a first phase drywell design and construction to meet state stormwater mandates and avoid potential fines. It is anticipated that approximately $ 5M - 7M is needed for the overall construction cost).  CIP 610 Fort Lots of Fun Park Wall and Gate Improvements - $175k increase to more adequately cover construction; previously underfunded.  CIP 611 Parking Structure C Phase 2 Improvements - $25k increase (required to more adequately fund design; previously underfunded).  CIP 615 City Yard Renovation - $1M increase (to cover anticipated costs in the coming FY as the project remains underfunded).  CIP 623 Pier Structural Repairs - $975k increase (to cover anticipated increase in costs for construction).  CIP 625 Citywide ADA Improvements - $77k increase (to cover anticipated cost to design the project; the project remains underfunded with no construction funds).  CIP 635 Community Center Windows - $76k increase (to cover anticipated cost to design and permit the project; the project remains significantly underfunded with no construction funds - $2.3M additional is required). With limited funding and staffing resources to deliver projects, staff recommends moving two projects to the Deferred and Unfunded Future Project list:  CIP 621—Comprehensive Downtown Lighting – this project only has $142,284 available to advance conceptual design only and remains underfunded to advance any final design of construction.  CIP 618 —Tsunami Siren – the funding is tied to a FEMA grant which is largely insufficient to advance the project or at the desired location. The adjustment to the CIP would allow staff to focus on delivery and necessary funding for numerous high-priority projects, while adding two new projects that have grown in urgency to address deferred facility maintenance:  CIP 636 —Civic Center Roof Repairs  CIP 637 —Lawn Bowling Roofing The proposed FY 2026–27 CIP Budget would include 24 projects, of which 22 are carried over from FY 2025–26 and 2 projects are new. The new projects, and other recommended project deferrals and budget adjustments, would result in a CIP budget of $23,227,292 (Attachment 1). Page 19 of 129 City of Hermosa Beach | Page 17 of 24 While the CIP budget has grown significantly in recent years, it was largely a function of projects being added faster than they could be completed. FY 2026 -27 is anticipated to show a marked decrease in overall funding as staff has been aggressively working to eliminate CIP backlog and CIP funding is no longer keeping up with the rate of expenditures. The Public Works Department is now spending approximately $8M to $12M on CIPs, but is only anticipated to have approximately $4.7M of new funds for FY 2026 - 27; the majority of those new funds are restricted to specific uses. $- $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 $40,000,000 CIP Budget by Fiscal Year Page 20 of 129 City of Hermosa Beach | Page 18 of 24 The CIP is one of many components of the City’s overall budget and staff is working through department budget requests and will have a full picture of available funding, and whether further adjustments to the CIP are necessary, in advance of Budget adoption; therefore all estimates provided in this report are preliminary and subject to change. Attachment 2 details an estimated schedule and sequencing for the delivery of the proposed FY 2026–27 CIP considering projected engineering project management staff capacity in labor hours versus the time commitment required to advance each project through design and construction. Several projects have fixed schedules in order to meet grant-specific and/or regulatory timelines and other high priority safety needs. With 24 projects in the FY 2026-27 CIP, staff workload will remain extremely heavy for the next two fiscal years, and beyond, with no capacity to take on new projects as staff continues to work through a backlog of projects carried over from past years, address urgent deferred maintenance needs with other priority projects likely to be identified in the future. The dates in the schedule are tentative and subject to revision depending on any future unplanned work, staffing levels, or as other Council priorities are identified throughout the year. Requests to advance one particular project over another will have a direct impact on the timing of other projects. Staff recommends a continued focus on prioritizing deferred maintenance and safety projects such as building maintenance, sidewalks, sewer, storm drains, and paving during FY 2026–27 over enhancement projects. Continued investment in basic foundational areas will help reduce future maintenance and capital costs. $4,703,618 of new revenue funds $18,496,674 of carry- over/transferred funds FY26-27 CIP Budget Appropriation Page 21 of 129 City of Hermosa Beach | Page 19 of 24 Attachment 3 details the Five-Year CIP for FY 2026–27 through FY 2030–31 and the Deferred and Unfunded Future Projects list. This includes over nearly $60M in unfunded needs for currently programmed or recurring projects identified on the 5 -year CIP, plus an additional $90M to $221M for projects not currently programmed but listed on the Deferred and Unfunded Future Projects list – notably this list was amended to include potential future reconstruction costs of the Pier roughly estimated at $58.6M (in 2032 dollars). Project Summary Sheets are provided in Attachment 4 for projects recommended to be programed for FY 2026-27 and the Deferred and Unfunded Future Projects. Additional Matters for Council Consideration: 1. Projects recommended to be moved to the Deferred and Unfunded Future Project list: CIP 621 Comprehensive Downtown Lighting – the FY 2025-26 CIP set aside a $142,284 budget to cover preliminary design only and remains underfunded for any resulting final design and construction, which could be substantially higher for lighting upgrades or new lighting. Therefore, staff is recommending deferral of this project and replacement with 2 lower cost supplemental budget requests for further consideration: i. LED Streetlight Conversion – replacement of the existing induction lights at the 28 street light poles along Pier Avenue with a light emitting diode (LED) retrofit lights. The new lights can be purchased for approximately $15,000 and installed by City crews. The new lights will enhance lighting levels, save on energy costs, and allow City crews to more readily address street light outages as the existing induction lights are essentially obsolete and difficult to source replacement parts. Staff is currently testing an LED light in front of 439 Pier Avenue (Stecca Taverna) and has ordered 2 additional test lights to further evaluate different color temperatures. ii. Palm Tree String Light Installation – installation of string lights on the palm trees within the center median of Pier Avenue. In recent years the lighting on the center palms has been limited to during holidays, but this supplemental would keep them installed year long. Staff has identified LED rope lighting that are capable of different color settings. The lights could be purchased for approximately $14,000 and installed by City Crews. Based on prior efforts lighting these Palms, staff anticipates that this will require a recurring funding commitment to replace lights and address work orders associated with lights not functioning properly. The installation of these lights could also be considered by City Council to proceed as a public- Page 22 of 129 City of Hermosa Beach | Page 20 of 24 private partnership, through an agreement with the City and another non- profit entity, such as the Chamber of Commerce. The Private Partner would determine and install the lighting and ensure proper ma intenance with a licensed and insured contractor. CIP 618 Tsunami Siren – The City was originally awarded an approximately $75,000 FEMA grant through CalOES as a passthrough to install a tsunami warning siren at the Community Center (this includes $75,000 from FEMA and a $25,000 City match for a total of $100,000. This location was originally identified as it was anticipated that Los Angeles County would implement the Beach Emergency Evacuation Lights System (BEELS) system along the beach and this location would provide expanded capacity. Staff learned from the County that installation of the BEELS system in Hermosa Beach is facing significant delays and there is no clear timeline for implementation. Staff also determined that the cost of installation of the BEELS system at the Community Center would likely cost more than $400,000 and is not fully covered by the grant. The Community Center is also not the ideal location for a standalone siren given its distance from the beach – installation of a secondary system, would not meet the greatest need. As part of the FY 2025-26 budget process, staff had identified an alternative siren system, independent from BEELS, at three locations along our beach in an effort to deploy warning devices on a faster timeline until a more robust BEELS system could be deployed, but would cost upwards of approximately $160,000 for equipment and installation plus ongoing wireless communication costs – this option would not be able to use the current FEMA funding. Staff recommends removing this project from the CIP and continue efforts to coordinate with CalOES on future plans to deploy the BEELS system and possible outside grants to cover the cost of a future project. 2. New Project Added to Deferred and Unfunded Future Project List: Vetter Windmill – In July 2025, staff completed a comprehensive structural inspection and evaluation of the windmill, which identified serious structural concerns. On July 24, 2025, the City used a crane to address the immediate hazard by removing the windmill assembly. The engineering report found that the support holding the approximately 1,800-pound windmill unit atop the wooden tower is corroded, posing a serious risk that high winds or land movement could cause it to detach. Additional structural issues were also identified. Staff have since contacted experts familiar with the restoration and construction of windmills and obtained costs estimates for that work. The windmill assembly, which largely dates back to the early 1900’s, aside from some more recent refurbishments, could be fully restored, but the existing wooden structure and foundations would need to be Page 23 of 129 City of Hermosa Beach | Page 21 of 24 fully replaced. The restoration, design, and construction for this effort is estimated to cost between $400,000 and $500,000 to complete. Staff is recommending that this item be deferred given the high cost for replacement and constrained workload. 3. High Priority Projects Remain Underfunded: Staff is proposing to advance high priority projects while funding critical phases to keep projects moving; however, several projects remain underfunded and the Deferred and Unfunded Future project list continues to grow each year. While staff will continue to actively pursue grant funding to advance critical projects, grants cannot be relied on to advance the City’s highest priorities. Grant programs are generally very restrictive and often do not align with the City’s greatest deferred maintenance need. Staff has applied for several grants in the past year, but were not successful due to a high volume of competitive applications and limited funding availability. The City is also at a competitive disadvantage as many grants give preference to disadvantaged communities for which the City of Hermosa Beach generally does not qualify. Grants can also be time intensive to administer and generally extend the delivery period for a project , especially when federal funding is involved. There are several underfunded projects in the CIP that will require additional funding; however, staff recommends giving priority to the following in the near- term: i. City Yard – The full cost of the City Yard project is not well defined and is very roughly estimated in the order of magnitude of around $20M but is subject to change. Staff is actively advancing architectural programming and environmental work so that a more defined scope of work and budget can be determined for the project for consideration b y City Council. Staff is recommending $1M increase to the FY 2026-27 budget for the CIP to cover ongoing costs to advance these efforts and reserve funds for future abatement needs. The City yard has far exceeded its useful life and is in poor condition with a growing urgency for extensive repairs and renovation to ensure continued use and service delivery and must move forward in a timely manner. ii. Paving – the CIP includes 2 paving projects and staff is recommending an increase in funding levels for those projects by $4.3M for FY 2026-27. Staff anticipates creating a new paving project(s) in FY 2027-28 which will require at least $3.1M in construction (excluding design and inspection costs) just to maintain current pavement condition levels based on the most recently Pavement Management Program (PMP) plan (2024) or a higher amount to enhance condition. Continued investment in roadways will be critical to Page 24 of 129 City of Hermosa Beach | Page 22 of 24 reducing long-term deferred maintenance costs. Staff has two projects this FY and also recommending an increase in the Public Work maintenance budget to allow for enhanced efforts to perform crack sealing by city crews. Resurfacing will require a continued funding commitment each year. Staff recommends creating a new resurfacing project in FY 2027 -28. iii. Community Center Windows – The Community Center Windows throughout the facility are in very poor condition and presents an ongoing safety concern. Staff has completed a preliminary needs assessment and determined that project could cost upwards of $2.5M to complete; however, due to limited funding resources is only recommending funding to advance the design and approvals process for the windows during FY 2026-27, with a goal of returning either at mid-year or as part of the FY 2027-28 budget cycle to request construction funding once the costs and design are more clearly defined. This project is growing in urgency and cannot continue to be deferred. iv. Pier – The current round of repairs is slated to begin in 2026 and will only address the highest priority structural needs that must be addressed by 2027. The Pier is in poor to serious condition. Replacing the pier could save the City more than $100M in lifecycle costs but will require approximately $58.6M and take at least 6 to 8 years after a decision is made to advance before construction could begin. A decision would need to be made by the end of 2026 to advance with planning efforts, otherwise, the City will need to begin reserving funds in FY 2027-28 for the next round of repairs that would need to be completed by 2030. Continued dedication of funding for the Pier will be required in the near -term regardless of any decision to reconstruct or replace the Pier in the future. v. Dry Wells – This project is required per the City’s Watershed Management Plan (WMP), approved by the State Water Resources Control Board (Water Board) and must be advanced to avoid potential fines. Staff recommends continued focus on advancing this project in a timely manner. 4. Special Projects Impact on CIP Delivery: The Public Works Department CIP workload is completely full for the next two years with no capacity to take on new projects and the workplan for FY 2026-27 remains highly sensitive to staffing levels and changes in that workplan. The addition of projects outside of the CIP, such as Hermosa Beach Little League Improvements at Clark Field, or a potential dog park, or evaluation of new special events, directly reduce the availability of Public Works staff (both engineering and operations and maintenance) to work on other projects and limit overall service delivery. While the advancement of these types of projects by non-profit groups may reduce the City’s capital investment for the project, it does not Page 25 of 129 City of Hermosa Beach | Page 23 of 24 eliminate the design review and oversight role and will compete with other needs. The actual impact on overall CIP delivery will largely depend on actual timeline for advancement, completeness of design prepared by third party designers, fund raising, and Council direction on priority versus other projects. The addition of these projects, or others in the future, may r equire reconsideration of priorities in the CIP. Ongoing Budget Process As a reminder to City Council and the community, there are several upcoming meetings in which the CIP and Preliminary FY 2026–27 Budget will be discussed prior to final adoption; these meetings are in addition to the City Council Budget Study Session that was held on April 28, 2026, the Joint Parks and Recreation Commission review of the FY 2026-27 CIP held on May 5 ,2026, and Department Budget Presentations at the May 12, 2026 City Council meeting. The community is invited and encouraged to provide feedback in advance of each meeting:    May 26, 2026—City Council Budget Discussion  May 28, 2026—City Council CIP Study Session  June 9, 2026—City Council Budget Hearing  June 16, 2026—Planning Commission – CIP General Plan Conformance  June 23, 2026—City Council Final Budget Hearing / Adoption of the FY 2026 –27 Budget Fiscal Impact: The proposed FY 2026–27 Capital Improvement Program identifies an overall budget of $23,227,292 which includes $8,020,170 of requested additional funds for the CIP for the 2026–27 Fiscal Year. Of the $8,020,170 of requested additional funds, $4,703,618 is new revenue funds that the City is receiving with the remaining funds being carried out over the prior fiscal years or released of CIP project budgets in the current fiscal year. A majority of the new funds are from restricted use funding sources. The funding is allocated in the following project categories:  Street + Highway Improvements: $8,074,820  Sewer + Storm Drain Improvements: $5,378,296  Park Improvements: $863,789  Public Building + Ground Improvements: $8,910,387 Staff also identified several other future projects and subsequent phases of current projects and added them to the Deferred and Unfunded Future Project list, including more than $60M in unfunded needs for currently programmed or recurring project needs, as identified on the 5-year CIP, and an additional $90M to $221M of other unfunded needs Page 26 of 129 City of Hermosa Beach | Page 24 of 24 for projects not currently programmed but identified on the Deferred and Unfunded Future Projects list. Attachments: 1. FY 2026–27 CIP Proposed Budget Summary 2. FY 2026–27 CIP Tentative Schedule 3. FY 2026–27 5-year CIP and Deferred and Unfunded Future Projects 4. Project Summary Sheets Respectfully Submitted by: Joe SanClemente, Public Works Director Noted for Fiscal Impact: Henry Chao, Finance Manager Reviewed by: Brandon Walker, Administrative Services Director Approved: Steve Napolitano, City Manager Page 27 of 129 CIP NO.PROJECT NAME State Gas Tax Fund TDA Fund Tyco Fund Park/Rec Facility Tax Fund CDBG Fund Prop A Fund Prop C Fund Measure R Fund Measure M Fund Measure W Fund Grants Fund Sewer Fund Storm Drain Fund RTI Undersea Cable Fund RTI Undersea Cable Tidelands Fund Capital Improvement Fund Greenwich Village Utility Undgrounding Fund TOTAL Current Year Request TOTAL CIP FUNDING FY 26-27 115 116 122 125 140 145 146 147 148 149 150 160 161 190 191 301 313 Fund Amount 425,000 425,000 115 600,000 1,025,000 65,998 65,998 116 15,257 81,255 0 122 564,754 564,754 0 146 0 0 340,000 340,000 147 540,000 880,000 330,000 330,000 148 370,000 700,000 0 301 903,991 903,991 4,155,000 107 Slurry Seal Improvements 0 301 450,000 450,000 0 001 550,000 550,000 0 301 53,845 53,845 603,845 150,756 150,756 301 199,622 350,378 0 715 14,622 14,622 365,000 114 Greenwich Village North Undergrounding 0 313 1,731,600 1,731,600 0 115 9,931 9,931 0 146 0 0 0 301 235,069 235,069 245,000 0 115 12,375 12,375 147 30,000 30,000 42,375 164 Hermosa Ave Green Street 0 149 0 0 193 Hermosa Ave Safety Improvements 372,000 372,000 146 110,000 482,000 425,000 65,998 0 0 0 0 372,000 340,000 330,000 0 0 0 0 0 0 150,756 0 1,683,754 6,391,066 8,074,820 417 Annual Storm Drain Improvements 0 161 723,296 723,296 300,000 300,000 115 0 300,000 1,988,997 1,988,997 160 1,011,003 3,000,000 3,300,000 521,754 521,754 161 0 521,754 658,246 658,246 149 175,000 833,246 1,355,000 300,000 0 0 0 0 0 0 0 0 658,246 0 1,988,997 521,754 0 0 0 0 3,468,997 1,909,299 5,378,296 0 125 11,322 11,322 0 301 258,895 258,895 270,217 610 Fort Lots-of-Fun Park Wall and Gate Improvements 174,958 174,958 301 150,042 325,000 0 122 0 0 0 125 0 0 0 301 268,573 268,573 268,573 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 174,958 0 174,958 688,832 863,789 106 Annual Street Improvements TOTAL FOR PROJECT City Wide Multi-Space Meters Deployment113 TOTAL FOR PROJECT Digital Monument, Gateway, and Downtown Wayfinding Signage 111 TOTAL FOR PROJECT City of Hermosa Beach DEPARTMENT OF PUBLIC WORKS` CIP Proposed Budget Summary - FY2026-27 Remaining Prior Year Funding STREET AND HIGHWAY IMPROVEMENTS TOTAL FOR PROJECT Playground Equipment Replacement SEWER/STORM DRAIN IMPROVEMENTS 438 423 143 TOTAL FOR PROJECT 115 504 Annual City Sidewalk Improvements TOTAL FOR PROJECT PARK IMPROVEMENTS Stormwater Dry Wells Annual Sewer Improvements PARK IMPROVEMENTS SUBTOTAL Kelly Courts Improvements STREET AND HIGHWAY IMPROVEMENTS SUBTOTAL SEWER/STORM DRAIN IMPROVEMENTS SUBTOTAL TOTAL FOR PROJECT TOTAL FOR PROJECT TOTAL FOR PROJECT PCH/Aviation Mobility Improvement Project 619 Page 28 of 129 CIP NO.PROJECT NAME State Gas Tax Fund TDA Fund Tyco Fund Park/Rec Facility Tax Fund CDBG Fund Prop A Fund Prop C Fund Measure R Fund Measure M Fund Measure W Fund Grants Fund Sewer Fund Storm Drain Fund RTI Undersea Cable Fund RTI Undersea Cable Tidelands Fund Capital Improvement Fund Greenwich Village Utility Undgrounding Fund TOTAL Current Year Request TOTAL CIP FUNDING FY 26-27 115 116 122 125 140 145 146 147 148 149 150 160 161 190 191 301 313 Fund Amount City of Hermosa Beach DEPARTMENT OF PUBLIC WORKS` CIP Proposed Budget Summary - FY2026-27 Remaining Prior Year Funding 611 Parking Structure (Lot C) Improvements - Phase 2 25,000 25,000 301 300,000 325,000 615 City Yard Renovations 1,000,000 1,000,000 301 1,870,363 2,870,363 515,000 515,000 122 158,725 673,725 340,000 340,000 190 0 340,000 120,000 120,000 191 135,675 255,675 0 301 2,430,600 2,430,600 3,700,000 625 City Wide ADA Improvements 76,961 76,961 301 238,039 315,000 626 CDBG Improvements 0 140 184,000 184,000 635 Community Center Windows Replacement 75,500 75,500 301 249,500 325,000 636 Civic Center Roofing 410,000 410,000 301 0 410,000 637 Lawn Bowling Building Roofing 130,000 130,000 301 0 130,000 685 Real Time Crime Center 0 150 651,024 651,024 0 0 515,000 0 0 0 0 0 0 0 0 0 0 340,000 120,000 1,717,461 0 2,692,461 6,217,926 8,910,387 725,000 65,998 515,000 0 0 0 372,000 340,000 330,000 658,246 0 1,988,997 521,754 340,000 120,000 2,043,175 0 8,020,170 15,207,123 23,227,292 Footnotes: 1 The City has $4,8000,000 available administered through Metro for Planning and Environmental Study. Design and construction costs are still to be determined but estimated to be in excess $15,000,000 to $20,000,000 depending on final design. 2 Blue indicates newly created CIP FUND TOTALS TOTAL FOR PROJECT 623 Pier Structural Repairs PUBLIC BUILDING AND GROUND IMPROVEMENTS SUBTOTAL PUBLIC BUILDING AND GROUND IMPROVEMENTS Page 29 of 129 City of Hermosa Beach - Department of Public WorksFY 2026-2027 Tentative CIP Schedule - Updated 05/19/2026Supervisor/PMMay Jun Jul Aug Sep Oct Nov Dec Jan Feb MarApr May Jun Jul Aug Sep Oct Nov Dec Jan Feb MarApr May Jun421Annual Sewer ImprovementsBrandon/Andrew5400699Parking Structure (Lot C) Improvements - Phase 1 Saad15 5550630Community Center Gas RepairJohn O /Josh15 5345164Hermosa Avenue Green Street Heecheol/Briana25 15 5 5290626CDBG Sidewalk Improvements Randy/Magvern50 20 10 5250619Kelly Court Renovations Randy/Kristian50 50 50 5 5710107Slurry Seal Heecheol/Magvern20 35 90 70 10 5 5375504Playground Equipment Replacement ProjectJohn O/Laney10 10 15 15 50 50 10 55310113City Wide Multi-Space Meters DeploymentKen/Brandon/Andrew30 40 30 20 25 40 40 30 15 55435636Civic Center Roofing (NEW) TBD10 15 15 25 25 25 10 55135685 Real Time Crime Center Brandon 30 30 30 40 40 35 35 35 35 40 30 30 25 20 20 5 5725114Greenwich Village North Undergrounding Brandon/Briana80 80 80 80 70 20 20 20 15 15 15 15 15 10 10 10 5 51225623Pier Structural Repairs Saad/Magvern45 40 30 25 30 80 80 70 7070 70 70 4030 20 15 101305106 Annual Streets Improvements Heecheol/Kristian 75 70 3020 20 30 4080 80 80 80 8080 25 15 1051235115City Sidewalk Improvements Heecheol/Kristian20637Lawn Bowling Building Roofing (NEW) TBD51010202020 5 5 5100111Digital Monument, Gateway, and Wayfinding Signage Joe/John O/Kristian25 35 45 45 45 45 50 15 15 15 40 40 40 15 5 5940610Fort Lots-O-Fun Wall and Gate Improvements John O/Laney20 2040 40 40 4030 20 20 30 70 70 70 30 25 10 5580417Annual Storm Drain Improvements Heecheol/TBD10 15 25 25 60 60 60 40 4040 40 40 40 4040 20 30 70 80 80 80 80 80 25 15 10 201175423Annual Sewer ImprovementsBrandon/Andrew20 20 40 50 75 60 60 60 60 70 70 40 20 20 50 70 80 8080 80 80 7520 5 51330635Community Center Windows John O/Saad10 10 20 40 40 40 40 50 50 50 15 15 10 30 6065 65 60 6020 15 15 5955611 Parking Structure (Lot C) Improvements - Phase 2 John O/Saad 10 10 10 10 30 30 30 35 35 35 30 20 20 25 25 70 8080 70100 755615City Yard Renovation Joe/John O/Saad/Randy140 140 140 140 140 140 140 140 140 140 140 140150 165 165165 160 160 160 160 160 160 160 160 160 160 3005075438Stormwater Dry Wells Heecheol/Briana20 20 30 30 15 20 30 75 75 75 75 75 70 25 15 15 30 70 70 70 3001285193Hermosa Avenue Safety Improvement ProjectBrandon/Andrew10 10 15 15 30 30 70 70 70 70 70 70 7070 70 70 70 50 50 4030 30 30 100 100 4101720625City Wide ADA Improvements Randy/Laney25 25 25 50 50 50 50 40 40 40 40 20 1515 20200745143PCH/Aviation Mobility Improvement ProjectJoe/Brandon5 5 10 10 10 10 15 45 50 50 50 55 55 55 55 55 55 55 50 50 50 50 50 50 10001965TBDFUTURE ANNUAL SLURRY SEAL PROJECT 10 10 40 40 40 60 30 20 35 90 70 10 50TBDFUTURE ANNUAL PAVING PROJECT25 40 70 70 70 70 70 7001115TBDFUTURE CDBG PROJECTS 30 40 40 40 25 10 15 50 50 30 10 10 10360TBDFUTURE ANNUAL ADA PROJECT10 600610TBDFUTURE ANNUAL SIDEWALK PROJECTS20 20 20 40 40 40 40 40 40 450750TBDFUTURE PIER STRUCTURAL REPAIRS (complete by 2030)5 10 15 50 65 12001345May Jun Jul Aug Sep Oct Nov DecJan Feb MarAprMay Jun Jul Aug Sep Oct Nov Dec Jan Feb MarApr May JunTotal Hours Needed 645 630 665 620 635 700 700 695680 685 720 720715 675 710 675 670 740 710 695 680 725 785 770 765 705Projected Staff Capacity 630 630 630 630 630700 700 700700 700 700 700700 700 700 700 700 700 700 700 700 700 700 700 700 700Availability (Deficit) - Full Staff557035806500520 15(20) (20)(15)25(10)25 30(40) (10)520(25) (85) (70) (65) (5)Availability (Deficit) - Current Staff (Hours)(15)0(35)10(5)0052015(20) (20)(15)25(10)25 30(40) (10)520(25) (85) (70) (65) (5)Assumptions:Legend:Administrative staff is available to assist engineers with tasks such as answering phones, preparing invoices and contracts, etc. Preparation of request for proposals or on-call task order.PW engineers manage consultant design teams, oversee construction, write staff reports, develop RFPs, etc. Evaluation, conceptual design, or final design.1680 hours total annual availability per engineer (2080 hours minus holidays, vacation, and sick time). Advertisement for construction (bid document preparation, advertisement, bid review, award at City Council, contract execution).ConstructionProject close out, including final invoicing, documentation, reporting to grant agencies. Fixed schedule due to public safety need, grant/funding timeline, or regulatory requirements.CIP No.Project NameFY 25-26 FY 26-27Engineering Labor Est. (Hrs)Q4 Q1 Q2 Q3 Q4 Q1FY 27-28Q2 Q3 Q4TotalBeyondFY 27-28Q2 Q3 Q4Q1Full staffing assumes 10 engineers average approximately 50% of availability for CIPs (0.5*1680)/12 = 70 hours monthly per engineer, therefore 700 hours total monthly availability for CIP work in the engineering team. Current staffing levels in May 2026 are 9 (or 90%). This schedule assumes reaching full staffing levels (100%) by October 2026. Actual schedules are subject to change, depending on staffing.FY 25-26 FY 26-27Q4Q4 Q1 Q2 Q3Page 30 of 129 City of Hermosa Beach Department of Public Works 5-Year CIP and Deferred and Unfunded Future Projects For Fiscal Years 2026-27 Thru 2030-31 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 UNFUNDED AMOUNT TOTALS 4,155,000 0 4,155,000 450,000 0 450,000 603,845 0 603,845 365,000 0 365,000 1,731,600 0 1,731,600 245,000 0 245,000 42,375 TBD TBD TBD TBD TBD 42,375 0 0 0 482,000 500,000 2,000,000 2,500,000 2,982,000 3,500,000 3,500,000 3,500,000 3,500,000 14,000,000 14,000,000 450,000 450,000 450,000 450,000 1,800,000 1,800,000 750,000 750,000 750,000 750,000 3,000,000 3,000,000 140,000 140,000 280,000 280,000 8,074,820 5,340,000 6,700,000 4,840,000 4,700,000 21,580,000 29,654,820 723,296 2,000,000 2,000,000 2,723,296 3,300,000 0 3,300,000 1,355,000 4,000,000 4,000,000 5,355,000 600,000 600,000 600,000 1,800,000 1,800,000 400,000 400,000 400,000 1,200,000 1,200,000 5,378,296 6,000,000 1,000,000 1,000,000 1,000,000 9,000,000 14,378,296 270,217 0 270,217 325,000 0 325,000 268,573 0 268,573 863,790 0 0 0 0 0 863,790 CIP 610 Fort Lots-O-Fun Wall and Gate Improvements CIP 164 Hermosa Ave Green Street CIP Annual Storm Drain Improvements CIP 193 Hermosa Ave Safety Improvements CIP 107 Slurry Seal Improvements CIP 115 Annual City Sidewalk Improvements CIP 143 PCH/Aviation Mobility Improvement Project CIP 114 Greenwich Village North Undergrounding CIP 417 Storm Drain Improvements - Various Locations CIP 423 Annual Sewer Improvements SEWER/STORM DRAIN IMPROVEMENTS CIP 438 Stormwater Dry Wells CIP Annual Sewer Improvements PROJECT NAME STREET AND HIGHWAY IMPROVEMENTS CIP 106 Annual Street Improvements CIP 504 Playground Equipment Replacement SUBTOTAL CIP 619 Kelly Courts Improvements SUBTOTAL CIP Annual Street Improvements CIP CDBG Improvements CIP Annual City Sidewalk Improvements CIP Annual Slurry Seal Improvements CIP 111 Digital Monumnet, Gateway, and Downtown Wayfinding Signage CIP 113 City Wide Multi-Space Meters Deployment PARKS IMPROVEMENTS SUBTOTAL Page 31 of 129 City of Hermosa Beach Department of Public Works 5-Year CIP and Deferred and Unfunded Future Projects For Fiscal Years 2026-27 Thru 2030-31 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 UNFUNDED AMOUNT TOTALSPROJECT NAME 325,000 1,500,000 1,500,000 2,870,363 4,000,000 16,000,000 20,000,000 22,870,363 3,700,000 0 3,700,000 315,000 0 315,000 184,000 0 325,000 2,500,000 2,500,000 410,000 130,000 651,024 0 651,024 250,000 250,000 250,000 250,000 1,000,000 1,000,000 400,000 3,600,000 4,000,000 4,000,000 8,910,387 8,650,000 16,250,000 3,850,000 250,000 29,000,000 32,536,387 23,227,293 19,990,000 23,950,000 9,690,000 5,950,000 59,580,000 77,433,293 CIP 623 Pier Structural Repairs SUBTOTAL CIP 611 Parking Structure (Lot C) Improvements - Phase 2 CIP 626 CDBG Improvements CIP 685 Real Time Crime Center CIP 615 City Yard Renovations CIP 625 City Wide ADA Improvements CIP Future Pier Structural Repairs PUBLIC BUILDINGS AND GROUNDS IMPROVEMENTS CIP 635 Community Center Windows Replacement CIP City Wide ADA Improvements CIP 636 Civic Center Roofing CIP 637 Lawn Bowling Building Roofing ANNUAL PROJECT COST TOTALS Page 32 of 129 City of Hermosa Beach Department of Public Works 5-Year CIP and Deferred and Unfunded Future Projects For Fiscal Years 2026-27 Thru 2030-31 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 UNFUNDED AMOUNT TOTALSPROJECT NAME CIP 188 Strand Bikeway and Walkway Improvements at 35th St Civic Center Deferred Maintenance Clark Stadium Bleachers Community Center Theater Renovations $160,000 - $500,000CIP 618 Tsunami Siren CIP 621 Comprehensive Downtown Lighting Design CIP 609 Pier Plaza Flood Lamp Safety Lighting Improvements CIP 684 Emergency Operations Center (EOC) Renovations DEFERRED AND UNFUNDED FUTURE PROJECTS CIP 110 Strand Bollards Permitting, Design, and Construction $300,000 - $4,000,000 $8,000,000 - $22,000,000 Pier Structure Replacement $3,000,000 - $5,000,000 CIP 503 City Park Lighting Improvements ESTIMATED COST $500,000 - $3,000,000 $1,000,000 - $4,000,000 $1,000,000 - $3,000,000 $500,000 - $750,000 Park Master Plan Implementation of New Recommendations Hermosa Ave Greenwich Village Street Realignment Assessment Forts Lots-Of-Fun Park Improvements (Former Prospect school building and site) $1,500,000 - $4,000,000 >$10,000,000 $1,500,000 - $3,000,000 $5,000,000 - $14,000,000 $55,000,000 - $65,000,000 $2,000,000 - $6,000,000 $400,000 - $500,000 DEFERRED AND UNFUNDED FUTURE PROJECT COST TOTALS $89,960,000 - $221,450,000 Vetter Windmill Skate Park Improvements $100,000 - $300,000 Page 33 of 129 CITY OF HERMOSA BEACH CIP SUMMARY SHEETS FOR PROPOSED FY 26-27 CIP City of Hermosa Beach Page 34 of 129 City of Hermosa Beach CIP Summary Sheets PROPOSED FY 26-27 CIP PROJECTS 1. CIP 106 – ANNUAL STREET IMPROVEMENTS 2. CIP 107 – SLURRY SEAL IMPROVEMENTS 3. CIP 111 – DIGITAL MONUMENT, GATEWAY, AND WAYFINDING SIGNAGE 4. CIP 113 – CITY WIDE MULTI-SPACE METERS DEPLOYMENT 5. CIP 114 – GREENWICH VILLAGE NORTH UNDERGROUNDING 6. CIP 115 – ANNUAL CITY SIDEWALK IMPROVEMENTS 7. CIP 143 – PACIFIC COAST HIGHWAY / AVIATION BOULEVARD MOBILITY IMPROVEMENT PROJECT 8. CIP 164 – HERMOSA AVE GREEN STREET 9. CIP 193 – HERMOSA AVE SAFETY IMPROVEMENTS 10. CIP 417 – ANNUAL STORM DRAIN IMPROVEMENTS 11. CIP 423 – ANNUAL SEWER IMPROVEMENTS 12. CIP 438 – STORMWATER DRYWELLS 13. CIP 504 – PLAYGROUND EQUIPMENT REPLACEMENT PROJECT 14. CIP 610 – FORT LOTS-O-FUN WALL AND GATE IMPROVEMENTS 15. CIP 611 – PARKING STRUCTURE (LOT C) IMPROVEMENTS – PHASE 2 16. CIP 615 – CITY YARD RENOVATIONS 17. CIP 619 – KELLY CORTS IMPROVEMENTS 18. CIP 623 – PIER STRUCTURAL REPAIRS 19. CIP 625 – CITYWIDE ADA IMPROVEMENTS 20. CIP 626 – CDBG IMPROVEMENTS 21. CIP 635 – COMMUNITY CENTER WINDOW REPLACEMENT 22. CIP 636 – CIVIC CENTER ROOFING (NEW) 23. CIP 637 – LAWN BOWLING BUILDING ROOFING (NEW) 24. CIP 685 – REAL TIME CRIME CENTER Page 35 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 106 Annual Street Improvements Scope of Work This project includes pavement rehabilitation, reconstruction of damaged concrete improvements, and re-striping along approximately 1.5 miles of roadways, including Aviation Boulevard (from Harper Avenue. to Pacific Coast Highway), Monterey Blvd (from Pier Avenue to Manhattan Avenue), 2nd Street (from Valley Drive to Hermosa Avenue), and various residential segments. Justification Hermosa Beach’s street network currently has a Pavement Condition Index (PCI) 68, which is a decline from 2021's PCI of 70. A minimum of $3.1 million in construction (excluding design and inspection costs) is needed on an annual basis to maintain or improve the City's roadway conditions. Current priorities focus on major arterials and collectors with the lowest PCI score roadways to improve overall pavement conditions. Continued investment in paving will reduce City’s long-term deferred maintenance costs and improve PCI. Maintenance Regular resurfacing is necessary to reduce recurring maintenance needs and long-term costs. Status 60 % final design progress Total FY 26-27 Project Budget $ 4,155,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $130,000 Construction: $3,825,000 Construction Management: $200,000 $2,994,002 $1,160,998 Future Unfunded Budget $ 0 Page 36 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 106 Annual Street Improvements) Page 37 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 107 Slurry Seal Improvements Scope of Work This project involves crack and slurry sealing approximately 230,000 square feet across various city streets and restore street striping. For cracks between ¼ inch and 1 inch wide, sealing material will be applied. Cracks exceeding 1 inch will be patched with asphalt. Justification Following the crack seal, an asphalt slurry seal will be applied to bond with the aged surface to extend the overall lifespan of the city’s roadways. These improvements provide a protective surface layer that will last for approximately 5 to 7 years. Slurry sealing, including crack sealing, will help reduce long-term maintenance costs and increase the street’s Pavement condition Index (PCI) value. Maintenance Extends the lifespan of roadway surface reducing lifecycle costs. Status Bid and award for construction Total FY 26-27 Project Budget $ 450,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $400,000 Construction Management: $50,000 $450,000 $0 Future Unfunded Budget $ 0 Page 38 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 107 Slurry Seal Improvements) Page 39 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 111 Digital Monument, Gateway, and Downtown Wayfinding Signage Scope of Work This project will consider replacement of existing gateway signage and/or installation of new gateway signage at other prominent entry points to the City. The Downtown Wayfinding component would consider appropriateness of pedestrian/vehicle wayfinding in the Downtown (Pier from PCH to Hermosa Ave from 10 th to 14th Street). Recommendations will include locations, preliminary design, and order of magnitude cost estimates for final design, sign fabrication, and construction. The current funding may only cover a portion of the project; however, staff is recommending to work within the existing budget. Justification Part of the Economic Development Strategy approved by the Economic Development Committee to improve the City's Downtown district. Maintenance The addition of new monument, gateway, and wayfinding signage will require maintenance. Status Conceptual Planning Total FY 26-27 Project Budget $603,845 (The project is largely funded by a $500,000 donation from former Mayor Chuck Sheldon and his wife, Missy, which are intended for the design and installation of the digital sign, with any unused funds maybe directed towards Gateway signage. A $50,000 donation from the Chamber of Commerce is intended for use on the downtown wayfinding signage). Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: TBD Construction: TBD Construction Management: TBD $603,845 $0 Future Unfunded Budget $0 Page 40 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 111 Gateway and Wayfinding) Page 41 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 111 Gateway and Wayfinding) Page 42 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 113 City Wide Multi-Space Meters Deployment Scope of Work This project will remove and replace the single space meters along Pier Ave from PCH to Hermosa Ave and Parking Lot D with multi-space meter equipment. This effort will involve purchase of equipment, development of signage layout plans (as meters and signage would need to be removed and placed with new signage), removal of meters, restoration work, and installation of new multi-space meters pay stations. This project will be test case for how the City will remove single space meters and replace with multi-space meters citywide. Justification The project will reduce long term operational cost and address deferred maintenance needs of existing meter equipment which is in poor condition. Maintenance Overall maintenance is expected to be lowered due to the removal of all single space meters along Pier Ave from PCH to Hermosa Ave and Parking Lot D and replacement with fewer multi- space meter pay station. New multi-space meter pay station will require maintenance. Status Final Engineering Design Total FY 26-27 Project Budget $365,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $20,000 Construction: $270,000 Construction Management: $75,000 $214,244 $150,756 Future Unfunded Budget $0 (additional phases, at other locations in the City would advance as a separate CIP(s)) Page 43 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 113 City Wide Multi-Space Meters Deployment) Page 44 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 114 Greenwich Village North Undergrounding Scope of Work This project consists of undergrounding the existing overhead utility lines located along Hermosa Avenue from 25th Street to 35th Street. Justification The District was approved by the property owners within the District in 2020. The underground of existing overhead utility lines will improve the safety and reliability of the utilities and improve aesthetics of the community. Maintenance Maintenance of new utility infrastructure will be performed by the utility companies. Status Construction Total FY 26-27 Project Budget $1,731,600 (The project is paid for by the District) Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $330,880 Construction: $3,014,220 Construction Management: $182,060 Other: $504,440 $1,731,600 $0 Future Unfunded Budget $0 Page 45 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 114 Greenwich Village North Undergrounding) Page 46 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 115 Annual City Sidewalk Improvements Scope of Work This project includes the design and construction of priority sidewalks and pedestrian safety enhancements, including the installation of new pedestrian crosswalks, curb ramps and Rectangular Rapid Flashing Beacons (RRFBs) at the intersections of Ardmore Avenue at both Longfellow Avenue and 25th Street. This project is combined with CIP 106 – Annual Street Improvements. Justification To ensure a safer pedestrian environment, this project will remediate several sidewalk deficiencies at 13th St and Beach Dr. in conjunction with CIP 106 Annual Street Improvement project locations and improve accessibility by targeting high-priority safety hazards. The Project will also address concerns raised by residents seeking crossing safety improvements along Ardmore Avenue. Maintenance This project will address deferred maintenance needs. The new RRFBs will require periodic maintenance. Status 60% design progress Total FY 26-27 Project Budget $ 245,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $230,000 Construction Management: $15,000 $245,000 $0 Future Unfunded Budget $ 0 Page 47 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 115 Annual City Sidewalk Improvements) *Additional sidewalk segment repair also included as part of CIP 106. Page 48 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 143 Pacific Coast Highway / Aviation Boulevard Mobility Improvement Project Scope of Work This project would advance conceptual designs for complete street project elements that can be implemented to improve mobility, accessibility, and safety along the Pacific Coast Highway (PCH) and Aviation Boulevard corridors in Hermosa Beach. The project builds off the 2014 PCH-Aviation Beautification Final Concept Plan and the Project Study Report (PSR) prepared by the City and Caltrans in 2015 and include: Traffic Signal Synchronization, Landscape Medians and other improvements, Americans with Disabilities Act (ADA), potential utility pole undergrounding, pedestrian and bicycle improvements (including possible bike lanes on Aviation and enhanced bike crossings across PCH), and aesthetic enhancements and other safety improvements. Justification This grant-funded project is to address accessibility, mobility and safety concerns along the Pacific Coast Highway and Aviation Boulevard corridors. Maintenance Additional maintenance may be required depending on implemented improvements. Status Conceptual Planning Total FY 26-27 Project Budget $42,375 (City has received $4.8M in Measure MSP grant funding from the SBCCOG which is being administered through Metro) Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: TBD Construction: TBD Construction Management: TBD $42,375 $0 Future Unfunded Budget TBD – the project will require additional funding for design and construction. Page 49 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 143 PCH Mobility Improvement Project) PACIFIC COAST HIGHWAY (PCH) Page 50 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Conceptual Plan from the 2015 Project Study Report (PSR) – PCH Page 51 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Conceptual Plan from the 2015 Project Study Report (PSR) – PCH Page 52 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Conceptual Plan from the 2015 Project Study Report (PSR) – PCH Page 53 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Conceptual Plan from the 2015 Project Study Report (PSR) – Aviation Boulevard Page 54 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 164 Hermosa Avenue Green Street Scope of Work This project installed approximately 4500 linear feet of permeable gutters to increase stormwater infiltration on Hermosa Avenue, Beach Drive, Herondo Street, 6th Street, 2nd Street, 1st Street, and adjacent streets, as well as planted 37 new trees along Hermosa Avenue. This project is part of a multi-city green street project led by the City of Torrance and funded by Measure W. Justification The Enhanced Watershed Management Program (EWMP) identifies the installation of distributed BMPs as a requirement of the 2012 Municipal Separate Storm Sewer System (MS4) permit. Low Impact Development (LID) retrofits such as this project and other projects will bring the City to compliance with requirements for trash and bacteria Total Maximum Daily Load (TMDL). This project must be advanced to meet compliance deadlines. Maintenance Routine cleaning of the permeable gutters is required. Currently, these areas are cleaned weekly using a vacuum sweeper truck. Status Closeout Total FY 26-27 Project Budget $0 (All costs have been paid to City of Torrance who is the lead agency). Future Unfunded Budget $0 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $137,500 Construction: $1,879,935 - $0 Page 55 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 164 Hermosa Avenue Green Street) Page 56 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 193 Hermosa Ave Safety Improvements Scope of Work This project consists of implementing various roadway safety improvements along Hermosa Avenue between Herondo and 25th Street including targeted improvements at 5 intersections (Hermosa Avenue at 4 th, 6th, 19th, 24th and 25th Streets). Potential enhancements may include constructing curb extensions and parking daylighting to enhance pedestrian visibility, accessibility improvements at intersections and bus stops, modification to the center median, such as median closure and restriping spaces to enhance/add parking as well as conversion to multi-space meters, and consideration of bicycle accommodations along Hermosa Avenue between Herondo Street and 25th Street. Justification The project will look to improve pedestrian and bicyclist safety, and improve accessibility, along Hermosa Avenue. Maintenance No additional maintenance is expected for new improvements but will be determined after final design. Multi-space meters will address deferred maintenance needs on the existing meters that are in poor condition. Status Finalizing grant documents. Total FY 26-27 Project Budget $482,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $482,000 Construction: $2,200,000 Construction Management: $300,000 $110,000 $372,000 Future Unfunded Budget $2,500,000 (TBD) Page 57 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 193 Pedestrian Crossing Safety Improvements) Page 58 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 417 Storm Drain Improvements Scope of Work This project will evaluate, design, and construct storm drain improvements throughout the city per the Storm Drain Master Plan and other high priority locations. Justification The Storm Drain Master Plan identified areas of inadequate capacity, localized ponding and operational deficiencies. Staff also actively monitors performance of the storm drain system to identify problem areas and will make recommendations on needs. Maintenance Improvements may reduce the need for operations and maintenance staff to respond drainage issues. Status Pending staff availability Total FY 26-27 Project Budget $ 723,296 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: TBD Construction: TBD Construction Management: TBD $723,296 $0 Future Unfunded Budget $2,000,000 (Continued funding is recommended to enhance storm drainage conditions citywide) Page 59 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 423 Annual Sewer Improvements Scope of Work This project includes design and construction of sewer improvements and repairs based on the Sewer Master Plan, and other problem locations identified by engineering staff. Improvements will include lining, point repairs, removal and replacement. Justification This project is to address maintenance and repair needs in the City's sewer system per the City's Sewer Master Plan. Maintenance Proposed repairs will decrease the amount of on-going maintenance in problematic areas. Status Pending Staff Availability Total FY 26-27 Project Budget $3,300,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $370,000 Construction: $2,725,000 Construction Management: $200,000 $1,011,003 $2,288,997 Future Unfunded Budget $0 (TBD based on final design) Page 60 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 438 Stormwater Dry Wells Scope of Work As required by the region’s Enhanced Watershed Management Plan (EWMP), this project will assess the implementation of a series of drywells potentially at South Park and Bicentennial park, or other locations, to capture storm water and dry weather flows within the Herondo Drain (SMB-6-1) watershed. This project also includes seeking grant funding assistance and the design and construction of any improvements. Justification This project is required to work towards compliance with the City’s Enhanced Watershed Management Plan (EWMP) to achieve the City’s storm water pollution reduction obligations. Under the Los Angeles Regional Water Quality Control Board’s MS4 NPDES Permit (Order No. R4-2021-0105), the California Water Board imposes strict limits on pollutant levels in local water bodies. Failure to complete the project would likely result in significant fines and increased regulatory oversight. Maintenance Periodic cleaning will be required. Status A feasibility study is in progress to secure grant funding. Total FY 26-27 Project Budget $ 1,355,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: TBD Construction: TBD Construction Management: TBD $175,000 $1,180,000 Future Unfunded Budget Estimated at $4M. Updated figures pending feasibility study results. Page 61 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 504 Playground Equipment Replacement Scope of Work This project will provide playground enhancements in three City Parks. Work will include a full replacement of the play structure designed for 2-to-5-year-olds with a new unit that has integrated shade and a new rubberized mat at Valley Park. Repairs will also be made to the existing structure for 5- to 12-year-olds and incorporate an integrated shade sail. Seaview Park will receive a full replacement of the existing play structure with a new unit with an integrated shade sail and rubberized mat. South Park will receive rubberized mat repairs at center playfield area. Justification Playgrounds are in need of replacement and repairs to ensure safe play areas. Maintenance This project will address deferred maintenance of City parks. Once complete, the three City Parks will require routine maintenance for park playground equipment. Status Bid and award for construction. Total FY 26-27 Project Budget $270,217 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $450,000 $270,217 $0 Future Unfunded Budget $0 Page 62 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Project Locations (CIP 504 Playground Equipment Replacement Replacement) Park Existing Proposed Valley Park Seaview Parkette South Park Page 63 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 610 Fort Lots of Fun Wall and Gate Improvements Scope of Work This project provides necessary improvements and repairs to the existing retaining wall and wooden gate at Fort Lots-O-Fun. The project currently includes removal and replacement of approximately 85 LF of existing retaining wall and associated chain link fence. The project will also replace the existing fencing chain link mesh throughout the park and repaint the fence posts. The Public Works maintenance staff will replace the wood fence and gate at the park entry. Justification The existing retaining wall and gate at the park are in poor condition and in danger of failure and need to be replaced. The fencing throughout the park is in poor condition and the wooden fence and gate have suffered termite damage. Maintenance The project results from delayed deferred maintenance and would minimize repair work orders for the fence and wall. Status Conceptual planning with preliminary design scheduled for August 2026. Total FY 26-27 Project Budget $325,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $25,000 Construction: $275,000 Construction Management: $25,000 $150,042 $174,958 Future Unfunded Budget $ 0 Page 64 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 610 Fort Lots of Fun Wall and Gate Improvements) Page 65 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 611 Parking Structure (Lot C) Improvements – Phase 2 Scope of Work This project includes outdated electrical panel and transformer upgrades, fire suppression system upgrades and installation of mini split in the mechanical room. FY 26-27 budget request is for project design only with subsequent budget requests in FY 27-28 for construction purposes. Justification Phase 2 will complete electrical and fire suppression updates that will be required to maintain the facility. Fire suppression system is in very poor condition and high priority replacement is required. Maintenance This project addresses long deferred maintenance and will reduce service request work orders related to electrical and plumbing issues at the parking structure. Status Pending staff availability Total FY 26-27 Project Budget $325,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $325,000 Construction: $1,500,000 Construction Management: $125,000 $300,000 $25,000 Future Unfunded Budget $1,625,000 (TBD pending detailed design) Page 66 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 615 City Yard Renovations Scope of Work This project will replace the existing facilities with a new City Yard. The Project consists of comprehensive environmental testing and analysis, preparing necessary environmental documents, architectural programming, preliminary design, design, environmental remediation, demolition of existing buildings and facilities, and construction. Justification The current facility is outdated and in need of replacement. The onsite facilities do not meet current seismic or building code requirements. A new City Yard will provide a safe and functional area for City maintenance crews and staging to ensure continued operations and uninterrupted delivery of services for the community. Maintenance The project will address long overdue deferred maintenance needs. Status Conceptual Design Total FY 26-27 Project Budget $2,870,363 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design/Environmental: $2,870,363 Construction: $18,800,000 Construction Management: $1,200,000 $1,870,363 $1,000,000 Future Unfunded Budget $20,000,000 is a rough order of magnitude preliminary estimate. A more accurate estimate can only be determined following the architectural programming and environmental investigations. Page 67 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 619 Kelly Courts Improvements Scope of Work This project includes resurfacing and reconfiguring the Kelly Courts at Clark Field including one tennis court, four pickleball courts and two basketball courts. The courts will be restriped and reconfigured to meet court standards. Currently the construction at the basketball courts is complete with resurfacing of the tennis and pickleball courts pending a completion contract to complete work due to unforeseen conditions of the existing pavement. Justification The courts are in need of resurfacing and reconfiguration to meet current standards and allow restoration of all four pickle ball courts. Maintenance Routine court maintenance will be required. Status Construction / Partially opened Total FY 26-27 Project Budget $268,573 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $150,000 Construction: $1,025,000 Construction Inspection: $50,000 $268,573 $0 Future Unfunded Budget $0 Page 68 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 623 Pier Structural Inspection and Evaluation Scope of Work This project includes the full detailed inspection, and cost-benefit analysis, of the Pier structure and the design and construction of the high priority repairs that must be completed by 2027. CIP 623 includes permitting an initial round of construction to address the immediate high-priority, primarily concrete deck panel replacement and strengthening. Design permitting and construction for remaining repairs called out in the 2025 structural inspection report will be part of a future project in FY27-28 though FY29-30. Justification The pier is in poor to serious condition and needs high priority repairs to be completed no later than 2027 to avoid potential closure(s). Maintenance This project addresses deferred maintenance of the aging structure. Status Final Design and Permitting Total FY 26-27 Project Budget $3,700,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $572,000 Construction: $3,110,000 Const. Mgmt: $275,000 $2,725,000 $975,000 Future Unfunded Budget $ 0; Future phases of inspection, design, permitting, and construction to advance as separate CIP. Page 69 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 625 City-Wide ADA Improvements Scope of Work This project will provide improvements to access to the Civic Center to comply with current Americans with Disabilities Act (ADA) requirements and in accordance with the City’s Transition Plan. The project will provide improvements to curb ramps, sidewalk, drainage, pavement, parking, landscaping, lighting in front of City Hall and install a wheelchair lift or ADA compliant ramp(s) for access from the Valley Drive parking lot to the front of City Hall, and replacement of the metal gates. Justification The City is required to make improvements in order to comply with the Americans with Disabilities Act (ADA) and meet the latest Federal Standards. Maintenance The project will address deferred maintenance, and other maintenance requirements will be determined following design. Status Conceptual Planning Total FY 26-27 Project Budget $315,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $315,000 Construction: TBD Construction Management: TBD $238,039 $76,961 Future Unfunded Budget TBD following conceptual design. Page 70 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Location Map (CIP 625 City-Wide ADA Improvements) City Hall Parking Lot – Grading & Drainage, create ADA path of travel Parking Lot – Grading & Drainage, create ADA path of travel, and lighting improvements Existing stairs – enhance ADA access + improvements Existing gate needs replacement Existing gate needs replacement 1315 Valley Drive Walkway lighting improvements Page 71 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 626 CDBG Improvements Scope of Work This project involves the reconstruction of 12 curb ramps and approximately 750 square feet of existing sidewalk along Monterey Blvd between 2nd Street and 10th Street. The purpose of this project is to improve pedestrian safety and accessibility and upgrading these areas to comply with the Americans with Disabilities Act (ADA) and meet the latest Federal Standards. Justification The City is required to make improvements in order to comply with the Americans with Disabilities Act (ADA) and meet the latest Federal Standards. Maintenance The project will address deferred maintenance. Status Construction Total FY 26-27 Project Budget $184,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $107,000 $184,000 $0 Future Unfunded Budget $0 Page 72 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 635 Community Center Windows Replacement Scope of Work This project will evaluate windows replacement for the entire facility to address deferred maintenance needs. The existing windows present safety and security concerns due to poor conditions. This project is currently funded for design and permitting only; additional funding will be required for installation once costs are further defined. Justification The existing windows are in very poor condition and present an ongoing safety and security concern with growing urgency for replacement. The Community center is a designated local historic landmark so any window replacement would have to be advanced consistent with the designation. Maintenance The project addresses deferred maintenance and reduces work order requests. Status Conceptual Planning Total FY 26-27 Project Budget $325,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Design: $325,000 Construction: TBD Construction Management: TBD $75,500 $249,500 Future Unfunded Project Budget Future unfunded project budget is currently estimated at rough order of magnitude of $2,500,000 but will need to be revised upon completion of final design. Page 73 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 636 Civic Center Roofing (NEW) Scope of Work This project will provide repairs to the City's Civic Center building roof including City Hall and the Police Department. Justification The City Hall and Police Department roofing at the Civic Center is deteriorated and needs roof repairs. Maintenance This project will address deferred maintenance for the roof and will reduce service requests related to roof leaks. Status Bid advertisement anticipated at start of FY 26-27. Total FY 26-27 Project Budget $410,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $410,000 - $410,000 Future Unfunded Project Budget $0 Page 74 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 637 Lawn Bowling Building Roofing (NEW) Scope of Work This project will provide repairs to the City's lawn bowling building roof at Clark Field. Justification The lawn bowling building roof at Clark Field is deteriorated and needs roof repairs. Maintenance This project will address deferred maintenance for the roof. Status Pending staff availability Total FY 26-27 Project Budget $130,000 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $130,000 $0 $130,000 Future Unfunded Project Budget $0 Page 75 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 685 Real Time Crime Center Scope of Work The grant-funded project will create a “single pane of glass” access to all of the Department’s sources of information, by aggregating operational and device data into a single dashboard allowing users to view and manage multiple systems, applications, or information from one central web-based location. This project will install security cameras and assorted infrastructure throughout the City to improve City’s existing cameras and software systems. Justification Completing the project will create a streamlined and efficient user experience, reduce the need to switch between interfaces, and allow officers to deliver public safety services more quickly. Maintenance The addition of new security cameras and software will require additional maintenance above the City’s current maintenance needs. Status Construction/Permitting Total FY 26-27 Project Budget $651,024 Current Estimate to Complete Project Remaining Prior Year Funds Current Request Construction: $963,000 Construction Management: $0 $651,024 - Future Unfunded Budget $0 Page 76 of 129 City of Hermosa Beach CIP Summary Sheets DEFERRED AND UNFUNDED PROJECTS 1. CIP 110 – STRAND BOLLARD PERMITTING, DESIGN, AND CONSTRUCTION 2. CIP 188 – STRAND BIKEWAY AND WALKWAY IMPROVEMENTS AT 35TH STREET 3. CIP 506 – CITY PARK LIGHTING IMPROVEMENTS 4. CIP 609 – PIER PLAZA SAFETY LIGHTING ENHANCEMENTS 5. CIP 618 – TSUNAMI SIREN 6. CIP 621 – COMPREHENSIVE DOWNTOWN LIGHTING DESIGN 7. CIP 684 – EMERGENCY OPERATIONS CENTER (EOC) RENOVATIONS 8. CIVIC CENTER DEFERRED MAINTENANCE 9. CLARK STADIUM BLEACHERS 10. COMMUNITY CENTER THEATER RENOVATIONS 11. FORT LOTS-OF-FUN PARK IMPROVEMENTS 12. HERMOSA AVE GREENWICH VILLAGE STREET REALIGNMENT ASSESSMENT 13. PARK MASTER PLAN IMPLEMENTATION OF NEW RECOMMENDATIONS 14. FUTURE PIER STRUCTURAL REPAIRS 15. PIER STRUCTURAL REPLACEMENT 16. SKATE PARK IMPROVEMENTS 17. VETTER WINDMILL Page 77 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 110 Strand Bollard Permitting, Design, and Construction Scope of Work This project would assess the feasibility, permitting, and design of bollards, and/or other appropriate safety devices, at access points to the Strand, and Pier Plaza, to enhance safety and security. The effort would need to consider emergency and maintenance vehicle access needs. The project would also consider options for the temporary fencing installed on the Strand at 11th Street and 14th Street as part of the Strand Pedestrian Safety Pilot Project to enhance safety within the walk only zone. Justification To improve security and safety along The Strand and Pier Plaza. Maintenance TBD Status Deferred Estimated Cost $500,000-$3,000,000 Page 78 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 188 Strand Bikeway and Walkway Improvements at 35 th Street Scope of Work This project would provide improved accessibility and connectivity for bicyclists travelling between the Cities of Hermosa Beach and Manhattan Beach via The Strand at 35th Street. The project would also consider the addition of a dedicated ADA path to provide greater ADA accessibility to The Strand and enhancements to the existing sewer lift station, including the addition of a generator. The project would require permitting within the California Coastal Commission and coordination with the City of Manhattan Beach. Justification Provides improved accessibility and connectivity between the Cities of Hermosa Beach and Manhattan Beach along the bike path route and provides for ADA accessibility in this location. Maintenance TBD Status Deferred Estimated Cost $1,000,000-$4,000,000 Page 79 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 506 City Park Lighting Improvements Scope of Work This project would assess light levels and lighting improvements to the City's parks, South Park, Clark Field, and Valley Park. The project will identify the scope of required improvements and cost estimates for final design and construction. Justification A lighting assessment would need to be completed to determine what improvements are necessary. Maintenance TBD. Status Deferred Estimated Cost $1,000,000-$3,000,000 Page 80 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 609 Pier Plaza Safety and Lighting Enhancements Scope of Work This project would design and install catenary lights and dimming units on Pier Plaza. Justification The intent of this project is to address safety lighting concerns in the late evening hours after restaurants and bars close. Maintenance Additional lighting will increase electricity costs and new cost to maintain new light fixtures. Status Deferred Estimated Cost $500,000-$750,000 Page 81 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 618 Tsunami Siren Scope of Work This project will include assessment and possible implementation of LA County BEELS (Beach Emergency Evacuation Lights System) or an alternative tsunami siren system. Justification Enhance the City's capabilities to notify residents and visitors of impending disasters such as tsunamis. Maintenance New maintenance cost will be required for periodic testing and operation of the siren. Status Deferred Estimated Cost $160,000-$500,000 Page 82 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 621 Comprehensive Downtown Lighting Design Scope of Work This project would assess light levels, electric system requirements, and desired lighting improvements (i.e., ornamental, roadway, pedestrian scale) for the City's Downtown district (Pier Avenue between Hermosa Avenue and Valley Drive and Hermosa Avenue from 10 th Street to 14th Street. The project would identify scope of required improvements through community outreach and cost estimates for final design and construction. The full scope of work would require further refinement. Justification Improved lighting was part of the Economic Development Strategy approved by the Economic Development Committee to improve the City's Downtown district. Maintenance TBD Status Deferred Estimated Cost $300,000-$4,000,000 Page 83 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity CIP 684 Emergency Operations Center Renovations Scope of Work This project would add restrooms to the Emergency Operations Center (EOC) and renovate the adjacent room for future EOC uses and install fiber optic connection to the facility for enhanced reliability. The full scope of work needs to be further refined. Justification The City’s Emergency Operations Center (EOC) does not have operational restrooms or a meeting room or a reliable data connection. In the event of emergencies this facility will need restrooms and a meeting room. Maintenance TBD Status Deferred Estimated Cost $1,500,000-$4,000,000 Page 84 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Civic Center Deferred Maintenance Scope of Work This project would design and construct improvements at City Hall and the Police Department to address deferred maintenance needs and necessary improvements. Justification The City's civic center facilities are aging and require improvements to address deferred maintenance, City's operational needs, and to meet current code and safety requirements. Maintenance Improvements may reduce the City's long-term maintenance costs. Status Unfunded Estimated Cost > $10,000,000 Page 85 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Clark Stadium Bleachers Scope of Work This project would improve the bleachers at Clark Field. Improvements include providing ADA access to the bleachers; this project would look at different solutions to resolve the issue. Justification Improvements are needed at Clark Field to provide ADA access to the bleachers. Maintenance TBD. Status Unfunded Estimated Cost $ 1,500,000 - $3,000,000 Page 86 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Community Center Theater Renovations Scope of Work This project will provide renovation improvements to the Community Center Theater. Justification Improvements are needed at the Community Center Theater. Maintenance TBD. Status Unfunded Estimated Cost $5,000,000 - $14,000,000 Page 87 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Fort Lots-Of-Fun Park Improvements (Former Prospect School building and site) Scope of Work Design park improvements to include playground equipment, landscaping, and assessing the feasibility renovation and re-use of the old Prospect school building. Justification The school building is deteriorated and currently used for storage. Maintenance Additional maintenance will be required. Estimation of cost depends on the use of the building and park improvements. Status Unfunded Estimated Cost $3,000,000 - $5,000,000 Page 88 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Hermosa Avenue Greenwich Village Street Realignment Scope of Work This project will evaluate potential improvements at the intersections of Hermosa Avenue and Greenwich Village and Manhattan Avenue and Greenwich Village/27th Street. The project will evaluate opportunities to improve the flow and visibility for pedestrian, bikes, and vehicles at the two intersections. Justification Improvements are needed at the intersections of Hermosa Avenue and Greenwich Village. Maintenance No additional maintenance is expected. Status Unfunded Estimated Cost $2,000,000 - $6,000,000 Page 89 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Park Master Plan Implementation Scope of Work This project will implement recommendations from the City's 2024 Parks Master Plan. Justification The City's 2024 Parks Master Plan was completed and provides recommendations to the City. Maintenance TBD. Status Unfunded Estimated Cost $8,000,000 - $22,000,000 Page 90 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Pier Deck Repairs and Other Structural Improvements Scope of Work The CIP 623 – Pier Structural Inspection and Evaluation identified additional structural repairs that will be required to be completed by 2030. Justification The pier is in poor to serious condition and the aging structure will require reinspection and repair repairs every 5 years for the foreseeable future. Maintenance The project will address deferred maintenance. Status Unfunded Estimated Cost $ 4,000,000 Page 91 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Pier Structural Replacement Scope of Work Planning, permitting, design, and construction of a new pier. Justification The existing pier is in poor to serious condition. The City completed a cost-benefit analysis and determined that City could save more than $100M in lifecycle costs if the Pier were to be replaced. Maintenance A new structure will have few maintenance needs in the first 15 to 20 years. Status Unfunded Estimated Cost $ 55,000,000 - $65,000,000 Page 92 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Skate Park Improvements Scope of Work This project will provide improvements to the City's skate park at the Community Center. Justification Skate park is in need of minor improvements and would benefit from enhancements. Maintenance No additional maintenance required. Status Unfunded Estimated Cost $100,000 - $300,000 Page 93 of 129 1315 Valley Drive, Hermosa Beach, CA 90254 | hermosabeach.gov | HermosaBchCity HermosaBeachCity Vetter Windmill Scope of Work This project would refurbish the windmill assembly and replace the wooden structure and foundation. Justification The windmill assembly is in poor condition and needs refurbishment. The wooden structure and foundation is in poor condition and needs to be replaced. Maintenance A new windmill will require periodic inspection and repairs but will address deferred maintenance. Status Unfunded Estimated Cost $400,000 - $500,000 Page 94 of 129 CAPITAL IMPROVEMENT PROGRAM (CIP) STUDY SESSION Fiscal Year 2026-27 May 28, 2026 Page 95 of 129 •Purpose –Fiscal Year (FY) 26–27 CIP Study Session: scopes, funding, and align staff capacity with priorities. •Staffing & funding are constrained. No capacity for new projects. •Deferring projects is no longer sustainable. •Many projects are not fully funded. •Tonight is part of larger budget discussions for FY 26-27. Overview Page 96 of 129 Fiscal Environment and Implications •CIP funded through one-time unspent General Fund surplus, masked by ARPA COVID funds and vacancies. •Funds declining or exhausted due to project completion. •No projected surplus in FY 2025–26 to replenish CIP nor ongoing funding source in place. Bottom Line: The historical CIP funding model has ended. Page 97 of 129 Fiscal Environment and Implications •Heavy reliance on State/County funds → unpredictable timing and funding available for only specific projects. •Cannot scale to meet full infrastructure needs or major projects. •Major unfunded projects: City Yard, Pier, other infrastructure needs. •Competing with operations: ~$3.2M structural deficit; one-time funds needed for budget. Impact: project delays, cost escalation, and infrastructure deterioration. Bottom Line: CIP requires stable, ongoing funding—not one-time or external sources. Page 98 of 129 Key Challenges for Project Delivery 1.CIP workload is completely full for the next two years with no capacity to take on new projects. o Projects reaching critical state (e.g., Pier, City Yard, Dry Wells, Community Center Windows, etc.). 2.The PW Operations and Maintenance team plays a critical role in the planning and advancement of all CIPs. 3.Workplan remains highly sensitive to staffing levels. Page 99 of 129 Key Challenges for Project Delivery 4. Major planned, unplanned, and potential projects requiring significant staff resources: •City Yard Project •Grant Funded Schedules •Contract negotiations/expiration •Online permitting roll-out •Outside agency/utility Projects •Unplanned Special Events •Natural Disasters /Emergencies •Non-CIP Special Projects •Other unplanned work Page 100 of 129 •11 projects ($13.7M in construction) targeted for completion by end of FY. •+3 under construction & 2 advertised for construction •Completed comprehensive assessment for the Pier •Substantial advancement of other CIPs •Numerous unplanned emergencies FY 2025 – 2026 Highlights Page 101 of 129 FY 2025 – 2026 CIP Highlights 3 5 5 4 2 4 5 13 9 11 0 2 4 6 8 10 12 14 FY2016-17 FY2017-18 FY2018-19 FY2019-20 FY2020-21 FY2021-22 FY2022-23 FY2023-24 FY2024-25 FY2025-26 CIPs Completed by Fiscal Year Page 102 of 129 FY 25-26: Projects Complete 617 Civic Center Charging July 2025 605 Facilities Conditions Civic Center) July 2025 *Dates listed are construction close-out. 105 Annual Streets Oct. 2025 695 Parking Lot A Oct. 2025 Page 103 of 129 FY 25-26: Projects Complete 109 Utility Box Wrapping Feb. 2026*Dates listed are construction close-out. 603 South Park Slope/Irrigation May 2026 633 Base 3 Electrical Repairs Jan. 2026 689 Clark Building Dec. 2025 Page 104 of 129 FY 25-26: Projects in Close-out 630 Community Center Gas Anticipated June 421 Annual Sewer Anticipated June 699 Parking Lot C Anticipated June *Dates listed are construction close-out.Page 105 of 129 FY 25-26: Nearing Substantial Completion 626 CDBG Improvements164 Green Streets 619 Kelly Courts Page 106 of 129 FY 25-26: Substantial Progress CIP 107 Slurry Seal – construction bidding CIP 106 Annual Paving / 115 City Sidewalk – final design CIP 114 Greenwich Village Underground Utilities project - construction CIP 685 Real Time Crime Center – construction/approvals CIP 504 Playground Equipment Replacement Project – construction bidding CIP 111 Electronic, Gateway, and Wayfinding Signage – conceptual planning CIP 113 City Wide Multi-Space Meters Deployment (Pier Avenue and Lot D) – final design Page 107 of 129 FY 25-26: Substantial Progress 615 City Yard Renovation •Council approved Owners Representative (OR), Jan. 2026 •Architectural Programming ongoing since April 2026 •Council approved CEQA & Env. Services May 26, 2026 •Target return to Council late Summer / early Fall •Underfunded ~$20M (cost estimate needs further definition) •Facility has exceeded useful life / poor condition Page 108 of 129 FY 25-26: Substantial Progress CIP 635 Community Center Windows •Windows present safety and security concerns due to poor conditions. •Completed needs assessment with cost estimate. •Underfunded ~$2.5M Page 109 of 129 FY 25-26: Substantial Progress CIP 438 Stormwater Dry Wells •Storm water infiltration •Project is required to comply with City’s Enhanced Watershed Management Plan (EWMP) per CA Water Board •Underfunded ~$4M+ •Council approved contract with Geosyntec March 2026 Page 110 of 129 FY 25-26: Substantial Progress CIP 143 PCH / Aviation Mobility Improvement Project •Project builds off: o 2014 PCH & Aviation Conceptual Design and Master Plan Report o 2015 Caltrans Project Study Report – Project Development Support (PSR-PDS) •Next phase is Project Approval & Environmental Document (PA&ED) •$4.8M grant pending from SBCCOG via Metro. •Unfunded ~$20M+, significant staff resources. Artesia Page 111 of 129 FY 25-26: Substantial Progress CIP 193 Hermosa Avenue Safety Improvements •$440k grant pending from SBCCOG via Metro (20% City match) •Safety improvements, accessibility upgrades, parking improvements •Evaluation of feasibility of bicycle accommodation per Bicycle Master Plan / General Plan Page 112 of 129 FY 25-26: Substantial Progress CIP 623 Municipal Pier Structural Inspection & Evaluation •Poor to serious condition •High priority repairs must be complete by 2027 •Next round of repairs by 2030 (unfunded) – decision needed by end of 2026. •Detailed assessment complete – replacement could save >$100M in lifecycle costs •City Council directed staff (March) to bring to PW Commission Page 113 of 129 •Evaluation of CIP as a whole: o New needs, funding-timelines, public safety, regulatory requirements vs. available funding and staffing levels. o Refined project scopes and estimates. •Focus on proper sequence and delivery. •Several high priority projects remain underfunded – fund phases that are scheduled to advance in FY Proposed FY 26-27 CIP Page 114 of 129 •Staff recommends moving 2 projects to the Deferred and Unfunded Future Project list: o 621 – Comprehensive Downtown Lighting o 618 – Tsunami Siren •2 new projects proposed: o 636 – Civic Center Roofing o 637 – Lawn Bowling Building Roofing Proposed FY 26-27 CIP Lawn Bowling Roof Page 115 of 129 Proposed FY 26-27 CIP Notable changes to CIP funding: •423 Annual Sewer: +$2.29M (includes $300k paving funds) •106 Annual Streets: +$1.16M •615 City Yard Renovation: +$1M •438 Stormwater Drywells: +$1.18M •623 Pier Structure Repairs : +$975k •193 Hermosa Ave Safety : $378k transfer from 102 •113 Citywide multi-space meters: +$150k •610 Fort Lots of Fun: +$175k •611 Parking Structure Phase 2: +$25k •625 Citywide ADA Improvements: +$77k •635 Community Center Windows: +$76k Page 116 of 129 CIP Budget by Fiscal Year $10,487,000 $16,847,101 $17,319,399 $21,053,781 $17,784,196 $19,705,353 $26,435,909 $28,084,398 $30,061,597 $35,825,059 $23,227,292 $- $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 $40,000,000 FY2016-17 FY2017-18 FY2018-19 FY2019-20 FY2020-21 FY2021-22 FY2022-23 FY2023-24 FY2024-25 FY2025-26 FY2026-27 CIP Budget Page 117 of 129 CIP Budget by Fiscal Year $4,703,618 of new funds $18,496,674 of carried over/transferred funds FY 26-27 CIP Budget Appropriation Page 118 of 129 •Safety •Deferred maintenance •Restricted funding requirements and deadlines •Grant requirements •Regulatory requirements •Other Council priorities •Construction impacts •Staff capacity and available funding CIP Sequencing Considerations Page 119 of 129 Tentative CIP Schedule May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 421 Annual Sewer Improvements 5 400 699 Parking Structure (Lot C) Improvements - Phase 1 15 5 550 630 Community Center Gas Repair 15 5 345 164 Hermosa Avenue Green Street 25 15 5 5 290 626 CDBG Sidewalk Improvements 50 20 10 5 250 619 Kelly Court Renovations 50 50 50 5 5 710 107 Slurry Seal 20 35 90 70 10 5 5 375 504 Playground Equipment Replacement Project 10 10 15 15 50 50 10 5 5 310 113 City Wide Multi-Space Meters Deployment 30 40 30 20 25 40 40 30 15 5 5 435 636 Civic Center Roofing (NEW)10 15 15 25 25 25 10 5 5 135 685 Real Time Crime Center 30 30 30 40 40 35 35 35 35 40 30 30 25 20 20 5 5 725 114 Greenwich Village North Undergrounding 80 80 80 80 70 20 20 20 15 15 15 15 15 10 10 10 5 5 1225 623 Pier Structural Repairs 45 40 30 25 30 80 80 70 70 70 70 70 40 30 20 15 10 1305 106 Annual Streets Improvements 75 70 30 20 20 30 40 80 80 80 80 80 80 25 15 10 5 1235 115 City Sidewalk Improvements 20 637 Lawn Bowling Building Roofing (NEW)5 10 10 20 20 20 5 5 5 100 May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Total Hours Needed 645 630 665 620 635 700 700 695 680 685 720 720 715 675 710 675 670 740 710 695 680 725 785 770 765 705 Projected Staff Capacity 630 630 630 630 630 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 Availability (Deficit) - Full Staff 55 70 35 80 65 0 0 5 20 15 (20)(20)(15)25 (10)25 30 (40)(10)5 20 (25)(85)(70)(65)(5) Availability (Deficit) - Current Staff (Hours)(15)0 (35)10 (5)0 0 5 20 15 (20)(20)(15)25 (10)25 30 (40)(10)5 20 (25)(85)(70)(65)(5) FY 25-26 FY 26-27 Q4Q4Q1Q2Q3 FY 27-28 Q2 Q3 Q4Q1 Est. (Hrs) Q4 Q1 Q2 Q3 Q4 Q1 FY 27-28 Q2 Q3 Q4 Total CIP No.Project Name FY 25-26 FY 26-27 Page 120 of 129 Tentative CIP Schedule May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 111 Digital Monument, Gateway, and Wayfinding Signage 25 35 45 45 45 45 50 15 15 15 40 40 40 15 5 5 940 610 Fort Lots-O-Fun Wall and Gate Improvements 20 20 40 40 40 40 30 20 20 30 70 70 70 30 25 10 5 580 417 Annual Storm Drain Improvements 10 15 25 25 60 60 60 40 40 40 40 40 40 40 40 20 30 70 80 80 80 80 80 25 15 10 1175 423 Annual Sewer Improvements 20 20 40 50 75 60 60 60 60 70 70 40 20 20 50 70 80 80 80 80 80 75 20 5 1330 635 Community Center Windows 10 10 20 40 40 40 40 50 50 50 15 15 10 30 60 65 65 60 60 20 15 15 955 611 Parking Structure (Lot C) Improvements - Phase 2 10 10 10 10 30 30 30 35 35 35 30 20 20 25 25 70 80 80 70 755 615 City Yard Renovation 140 140 140 140 140 140 140 140 140 140 140 140 150 165 165 165 160 160 160 160 160 160 160 160 160 160 5075 438 Stormwater Dry Wells 20 20 30 30 15 20 30 75 75 75 75 75 70 25 15 15 30 70 70 70 1285 193 Hermosa Avenue Safety Improvement Project 10 10 15 15 30 30 70 70 70 70 70 70 70 70 70 70 70 50 50 40 30 30 30 100 100 1720 625 City Wide ADA Improvements 25 25 25 50 50 50 50 40 40 40 40 20 15 15 20 745 143 PCH/Aviation Mobility Improvement Project 5 5 10 10 10 10 15 45 50 50 50 55 55 55 55 55 55 55 50 50 50 50 50 50 1965 TBD FUTURE ANNUAL SLURRY SEAL PROJECT 10 10 40 40 40 60 30 20 35 90 70 10 TBD FUTURE ANNUAL PAVING PROJECT 25 40 70 70 70 70 70 1115 TBD FUTURE CDBG PROJECTS 30 40 40 40 25 10 15 50 50 30 10 10 360 TBD FUTURE ANNUAL ADA PROJECT 10 610 TBD FUTURE ANNUAL SIDEWALK PROJECTS 20 20 20 40 40 40 40 40 40 750 TBD FUTURE PIER STRUCTURAL REPAIRS (complete by 2030)5 10 15 50 65 1345 May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Total Hours Needed 645 630 665 620 635 700 700 695 680 685 720 720 715 675 710 675 670 740 710 695 680 725 785 770 765 705 Projected Staff Capacity 630 630 630 630 630 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 700 Availability (Deficit) - Full Staff 55 70 35 80 65 0 0 5 20 15 (20)(20)(15)25 (10)25 30 (40)(10)5 20 (25)(85)(70)(65)(5) Availability (Deficit) - Current Staff (Hours)(15)0 (35)10 (5)0 0 5 20 15 (20)(20)(15)25 (10)25 30 (40)(10)5 20 (25)(85)(70)(65)(5) FY 25-26 FY 26-27 Q4Q4Q1Q2Q3 FY 27-28 Q2 Q3 Q4Q1 Est. (Hrs) Q4 Q1 Q2 Q3 Q4 Q1 FY 27-28 Q2 Q3 Q4 Total CIP No.Project Name FY 25-26 FY 26-27 Page 121 of 129 1. Projects recommended to be moved to the Deferred and Unfunded Future i. 621 Comprehensive Downtown Lighting •$142,284 budgeted for conceptual design only (underfunded) •Replace with 2 new supplemental projects o Palm Street String Light Installation – $14k o LED Streetlight Conversion - $15k Additional Matters for Commission Consideration Page 122 of 129 Pier Avenue LED Streetlight Conversion – test locations Additional Matters for Commission Consideration Page 123 of 129 1. Projects recommended to be moved to the Deferred and Unfunded Future ii. 618 Tsunami Siren •FEMA grant does not meet City’s needs o Full cost remains unfunded (~$400k+) o Intended for secondary system – not primary need o Lower cost options available for Beach (primary location) • Recommend staff seek other opportunities. Additional Matters for Commission Consideration Page 124 of 129 2. New Project Added to Deferred and Unfunded Future Project List: Vetter Windmill •July 2025 structural inspection led to emergency removal of assembly addressing immediate concern. •Requires repair/refurbishment, new wooden structure, and foundations. •Unfunded: $400 – 500k Additional Matters for Commission Consideration Page 125 of 129 3. High Priority Projects Remain Underfunded •Many projects remain unfunded/underfunded: o $59M in unfunded needs for current / recurring projects o $89-221M for other unfunded needs •Projects reaching a critical stage must advance – partial funding by phase. •Grants cannot be relied on. Additional Matters for Commission Consideration Page 126 of 129 3. High Priority Projects Remain Underfunded Staff recommends prioritizing in the near-term: 1.City Yard - poor condition with a growing urgency for extensive repairs 2.Paving - continued funding commitment needed (new project FY 27-28) 3.Community Center Windows - growing in urgency (safety/security) 4.The Pier – poor to serious condition 5.Drywells – project is required to avoid fines Additional Matters for Commission Consideration Page 127 of 129 4. Special Projects Impact on CIP Delivery •PW has no capacity to take on new projects. •Special Projects (e.g., Little League improvements to Clark Field, Dog Park, new special events, etc.) will impact CIP delivery. •Design review and oversight role will compete with other needs. Additional Matters for Commission Consideration Page 128 of 129 1.Review and provide comment on the proposed FY 2026–27 CIP including proposed project scopes of work, project funding, sequencing and priorities, and the deferred and unfunded future project list; 2.Review and provide comment on the Additional Matters for Council Consideration outlined in the report; and 3.Receive and file the FY 2026–27 Capital Improvement Program Review Report. Recommended Action Page 129 of 129