To: Board of Supervisors
From: Warren Lai, Public Works Director/Chief Engineer
Report Title: Reimbursement Agreement with Davidon Homes for intersection improvements at Mt. Diablo Scenic Boulevard and Diablo-Blackhawk Road, Diablo area.
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Public Works Director, or designee, to execute a contract with Davidon Homes to receive reimbursement in an amount not to exceed $672,076 for constructing intersection improvements at Mt. Diablo Scenic Boulevard and Diablo-Blackhawk Road in the Diablo area. District II.
FISCAL IMPACT:
Reimbursement to Davidon Homes will be based on actual costs and paid upon the completion of the project using Local Road Funds. No general fund money is involved. Project No. 0676-6P1106. (100% Local Road Funds)
BACKGROUND:
Davidon Homes is constructing the Magee Preserve project, a subdivision development located in the Town of Danville. The subdivision development (69 single family homes and seven ADUs) is located nearby and generally south of the Mt. Diablo Scenic Boulevard and Diablo-Blackhawk Road intersection which is located in unincorporated Contra Costa County. The Town of Danville oversaw the entitlement process, including the approval of the final environmental impact report, which required off-site improvements including the installation of a new traffic signal at the subject intersection (which is currently a stop sign-controlled).
Davidon will design and install a traffic signal at the subject intersection in accordance with the required condition of approval of their subdivision development project. Davidon began working with the County Public Works Department on the design of the traffic signal to ensure vehicle and pedestrian safety. As part of this process, Davidon and the County identified operational improvements (primarily adding a right turn lane at the traffic signal and abandoning an existing free right turn lane exiting Mt. Diablo Scenic Boulevard) that were beyond the scope of the condition of approval. The County agreed to obtain public roadway easements for a portion of Mt. Diablo Scenic Boulevard (private road) to construct these operational improvements to allow the proposed traffic signal to work more efficiently. These proposed improvements beyond the installation of the traffic signal will be reimbursed by the County as its cost contribution toward the overall project. The project is currently in the right of way phase with construction targeted to begin in Spring 2026. Davidon will be required to track all actual costs for the operational improvements and submit for review to the County Public Works Department. Within 45 days of the filing of the Notice of Completion of the construction project, the County will reimburse Davidon’s actual cost for the operational improvements plus a 10% administrative markup.
CONSEQUENCE OF NEGATIVE ACTION:
If the reimbursement agreement is not approved, Davidon Homes will not construct the intersection improvements on the County’s behalf, and the County will need to initiate its own capital improvement project to complete the intersection improvements.