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Date: |
October 27, 2026 |
07 |
Title
General Services - Authorize Change Order to Construction Manager at Risk Contract for the San Diego Central Jail Major Systems Renovation Project and Related CEQA Finding (District: 1)
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Overview
The San Diego Central Jail (SDCJ), located in downtown San Diego, opened in 1998 and serves as the primary point of intake for incarcerated males in San Diego County. On February 25, 2025 (3), the County of San Diego (County) Board of Supervisors (Board) authorized the Director, Department of Purchasing and Contracting, to advertise and award a Construction Manager at Risk (CMAR) contract for the SDCJ Major Systems Renovation Project (Project). Following that authorization, the County awarded CMAR Contract No. 575225 to Balfour Beatty Construction (Balfour Beatty). Balfour Beatty is currently performing mechanical, electrical, and plumbing systems upgrades and renovations of various spaces within the facility at SDCJ under the existing CMAR contract. As part of the County’s Fiscal Year 2026-27 Operational Plan, the Board previously approved $10,858,000 more in funding for additional work at SDCJ. This additional work is closely integrated with the work currently being performed under the existing CMAR contract.
The additional work to be done at SDCJ will be performed in the same areas where Balfour Beatty is currently performing work and will require significant coordination with ongoing construction and detention operations. Competitive bidding for the additional work would be unavailing and impractical, and would not produce any public advantage, to have Balfour Beatty complete its current work only to later take those same areas out of service again for a separately procured contractor to perform the additional work. Doing so would result in additional disruption to detention operations, duplicative mobilization and coordination efforts, increased costs, and delays to completion of the Project. Dividing the work between multiple contractors could also create responsibility and warranty issues, including the potential waiver, impairment, or loss of warranties associated with work performed under the existing CMAR contract. Therefore, competitive bidding for this additional work would not produce any public advantage, and it is in the County’s and public’s best interest to execute a change order with Balfour Beatty to incorporate the additional work into the existing Project.
Today’s request is to grant the Director, Department of Purchasing and Contracting, authority to execute a change order or change orders not to exceed an aggregate amount of $10,858,000, to incorporate additional work into the existing CMAR contract for a new proposed contract total of $39,377,936. Today’s request is not for additional funding-it is only for approval to spend the previously approved funding within the Balfour Beatty contract. If approved, construction is estimated to be completed by Summer 2028.
Body
Recommendation by Chief Administrative Officer:
1) Find that the proposed added scope of work for the San Diego Central Jail Major Systems Renovation Project is exempt from the California Environmental Quality Act (CEQA) review pursuant to CEQA Guidelines Sections 15301 and 15302
2) Find that competitive procurement of the additional work for the San Diego Central Jail Major Systems Renovation Project would be unavailing, impractical, and would not produce any public advantage
3) Waive Board Policy A-87, Competitive Procurement, for the additional work
to be performed at the San Diego Central Jail
4) Authorize the Director, Department of Purchasing and Contracting, to execute a change order or change orders not to exceed the aggregate amount of $10,858,000 to Contract No. 575225 with Balfour Beatty Construction for refurbishing kitchen coolers, kitchen dishwasher and countertop replacements, duct cleaning, air handler unit replacements, plumbing fixture replacements, bathroom renovations, and other work (4 VOTES)
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Equity Impact Statement
The authorization of an added scope of work to the construction contract for the major systems renovation project at San Diego Central Jail would be more beneficial to the County of San Diego and to the detention facility. It would also contribute to the County of San Diego’s Community Strategic Initiative for Safety by supporting programs and services that focus efforts to reduce disparities and disproportionality across the justice system.
Expenditures from this action will create private sector jobs and economic opportunities in San Diego County. The added scope of work to the Construction Manager at Risk contract will encourage participation from local, small, and disadvantaged businesses, and will be competitively bid through the prime contractor Balfour Beatty. The awarded contractor will be encouraged to engage with local subcontractors for the project, and this follows the requirements of the Working Family Ordinance. Examples of such local participation include partnering with local organizations, local apprentice programs, local employment resource centers, workforce community outreach programs. To ensure equity, inclusionary contracting criteria will be incorporated into the source selection process. The contractor must also comply with Board Policy B-39a, Veteran Owned Business (VOB) and Disabled Veterans Business Enterprise (DVB) Program, which requires at least 3% VOB or Disabled Veteran Owned participation.
Sustainability Impact Statement
Implementing effective sustainability objectives is crucial to ensuring safe and healthy communities and contributing to the overall success of the region, including the San Diego Central Jail (SDCJ) population. The authorization of the added scope of work to the Construction Manager at Risk contract for the major systems renovation at SDCJ will contribute to the County of San Diego’s Sustainability Goals of engaging the community by continued local small business participation providing equitable access to County services, transitioning to a green, carbon-free economy by installing new equipment (such as rooftop HVAC units) that will be more efficient, and protecting the health and well-being of County employees, incarcerated persons at SDCJ, and the families who visit them.
Fiscal Impact
Funds for this request are included in the Fiscal Year 2026-27 Operational Plan for the Major Maintenance Capital Outlay Fund. Today’s request will add previously approved funding for work at the San Diego Central Jail (SDCJ) in to Project 1024625, SDCJ Security and Emergency Power Equipment’s construction contract. The scope includes mechanical, electrical, and plumbing systems; kitchen and laundry facilities; and modernization of dormitory rooms and office spaces for $39,377,936. The funding sources are existing General Fund fund balance ($28,519,936) and General Purpose Revenue ($10,858,000). There will be no change in net General Fund costs and no additional staff years.
Business Impact Statement
The approval to add scope of work (refurbishing kitchen coolers, kitchen dishwasher and countertop replacements, duct cleaning, air handler unit replacements, plumbing fixture replacements, and bathroom renovations) to the Construction Manager at Risk contract for the major systems renovation project at San Diego Central Jail would result in the creation of private sector jobs and economic opportunities in San Diego County. It is anticipated that members of all equity-seeking groups could benefit, which helps stimulate the local economy.
Advisory Board Statement
N/A
Background
On February 25, 2025 (3), the County of San Diego (County) Board of Supervisors authorized the Director, Department of Purchasing and Contracting, to advertise and award a Construction Manager at Risk (CMAR) contract for the San Diego Central Jail (SDCJ) Major Systems Renovation Project (Project). Following that authorization, the County awarded CMAR Contract No. 575225 to Balfour Beatty Construction (Balfour Beatty).
The SDCJ, located in downtown San Diego, is a medium-security facility and operates under the San Diego County Sheriff’s jurisdiction. The facility includes housing units, a medical area, an inmate processing area, and administrative areas. Located in the administrative areas are the Detentions Processing Unit, Operational Support Unit, and the Facility Command staff. Due to age, a substantial major systems renovation at SDCJ, including upgrades to critical building systems, is needed. Specifically, the current scope of work includes improvements to the kitchen, housing units, and administrative areas, modernizing plumbing, heating, ventilation, and air conditioning, and electrical throughout the facility, and installing new integrated electronic security and control systems, fire alarms, and communications systems (radio/data/phone).
Balfour Beatty is currently performing mechanical, electrical, and plumbing systems upgrades, kitchen and laundry facilities upgrades, repairs and upgrades to various low-voltage systems, and renovations of various spaces within the facility at SDCJ under the existing CMAR contract. Funds for this request are included in the Fiscal Year 2026-27 Operational Plan for the Major Maintenance Capital Outlay Fund (MMCOF) which would be transferred to the 2026-27 Central Jail MMCOF Project (scope of work for Fiscal Year 2026-27 Central Jail Project includes what is being added back into the current Central Jail Project) into the existing Central Jail MMCOF Project for necessary work at the facility. The proposed additional work is closely integrated with the work currently being performed under the existing CMAR contract, and includes refurbishing kitchen coolers, kitchen dishwasher and countertop replacements, duct cleaning, air handler unit replacements, plumbing fixture replacements, and bathroom renovations.
Case law such as Graydon v. Pasadena Redevelopment Agency (1980) 104 Cal.App.3d 631 has established that competitive bidding is not required where such bidding would be unavailing and impractical and would not produce any public advantage. Specifically, the additional work will be performed in the same areas of the SDCJ where Balfour Beatty is currently performing work under the existing CMAR contract and will require significant coordination with ongoing construction and detention operations. It would be unavailing and impractical, and would not produce any public advantage, to have Balfour Beatty complete its current work and return affected areas, including the kitchen staff restrooms and housing areas, to service, only to later take those same areas out of service again for a separately procured contractor to perform the additional work. Doing so would result in additional disruption to detention operations, duplicative mobilization and coordination efforts, increased costs, and delays to completion of the Project. Dividing the work between multiple contractors could also create responsibility and warranty issues, including the potential waiver, impairment, or loss of warranties associated with work performed under the existing CMAR contract. Therefore, competitive bidding for this additional work would not produce any public advantage, and it is in the County’s and public’s best interest to execute a change order with Balfour Beatty to incorporate the additional work into the existing Project.
Today’s request is to grant the Director, Department of Purchasing and Contracting, authority to execute a change order or change orders not to exceed an aggregate amount of $10,858,000, to incorporate the additional work into the existing CMAR contract for the Project. If approved, construction is estimated to be completed by Summer 2028.
Environmental Statement
On February 25, 2025 (3), the Board of Supervisors found that the San Diego Central Jail (SDCJ) Major Systems Renovation Project (Project) was categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15301 and 15302. Today’s proposed action would authorize additional renovation and replacement work within existing areas of the facility, including kitchen, inmate housing areas, and staffing areas.
The additional proposed work is also categorically exempt from CEQA pursuant to Section 15301 because it involves repair, maintenance, and alteration of existing facilities with no expansion of existing use. The additional work is also categorically exempt pursuant to Section 15302 because it involves replacement or reconstruction of existing facilities and building systems with substantially the same purpose, capacity, and location. The Project does not expand the existing use or capacity of SDCJ, and none of the exceptions to the categorical exemptions set forth in Section 15300.2 apply. The Notice of Exemption can be found in Attachment A.
Linkage To The County Of San Diego Strategic Plan
Today’s proposed action to authorize added scopes of work to the current Construction Manager at Risk contract for the renovation of major systems at San Diego Central Jail supports the Sustainability Initiative in the County of San Diego’s 2026-2031 Strategic Plan by ensuring economic solvency to achieve the basic facilities and physical resources necessary for superior service delivery.
Respectfully submitted,
Ebony N. Shelton
Chief Administrative Officer
Attachment
Attachment A - Notice of Exemption