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Council approves nearly $900,000 contract for sidewalk and utility work after funding questions

Nevada City Council · April 9, 2026
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Summary

The Nevada City Council approved awarding a construction contract to PSCE for up to $899,935 plus a 10% contingency after staff explained the project combines sidewalk, water and sewer elements and that Measure M will cover a $218,521 remainder; the vote was unanimous.

The Nevada City Council on April 8 voted to award a construction contract to PSCE not to exceed $899,935, and authorized a project contingency of 10% (not to exceed $89,994).

Vice Mayor Cici had asked that the consent item be pulled for discussion because the total was “nearly $900,000,” which she said was considerably above the amount shown in the city's capital improvement plan. City Engineer Brian McAllister explained the funding mix, saying the sidewalk work is funded by Congestion Mitigation and Air Quality (CMAQ) funds and that separate water and sewer replacements were included in the same construction scope. “The sidewalk funds are for sidewalk only. They can't be used towards water and sewer,” McAllister said, adding that water and sewer line work is budgeted elsewhere.

McAllister told the council that the remaining balance for the combined contract would come from Measure M and that roughly $218,521 would be drawn from that source. He said the city currently has allocated but unspent Measure M balances of $150,000 for water replacement and $150,000 for sewer pipe replacements, which staff said provide capacity to cover the project.

After brief public comment from a Union Newspaper reporter about accessing documents, Vice Mayor Cici moved to approve the contract and contingency and authorize the city manager to execute related documents; the motion was seconded. On roll call the council voted unanimously in favor.

The contract award authorizes staff to proceed with procurement and contract execution; councilmembers asked staff to provide updated Measure M balances for future packets to avoid uncertainty when large amounts appear on the CIP.