City Council Agenda
Memo to:
Manteca City Council
From:
Michael Selling, Director of Engineering/City Engineer
Prepared by: Lauren Silva, Associate Engineer
Date: October 20, 2026 Subject: Amendment No. 1 to Machado Ranch Unit No. 2 Improvement Agreement
Recommendation:
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Adopt a resolution approving Amendment No. 1 to the Improvement Agreement for Machado Ranch Unit No. 2, modifying SCHEDULE B, modifying Transportation System Public Facilities Implementation Plan (PFIP) Reimbursement, increasing the Transportation Facilities PFIP Reimbursement from $3,703,132.84 to $4,276,064.70; and authorizing the City Manager or designee to sign and take all necessary steps to effectuate the amendment.
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Background:
On February 18, 2025, the City of Manteca and Meritage Homes of California, Inc., entered into an Improvement Agreement for Machado Ranch Unit No. 2 (C2025-37) (Agreement) with the estimated total cost of improvements of $20,492,348.10.
The improvements covered by the Improvement Agreement include all underground utilities (both wet and dry), curb, gutter, sidewalk, street pavement, roundabout, street markings, street signage, street lighting, sewage systems, storm drainage systems, water systems, a storm drain basin/park and existing dry utility relocations.
The reimbursable amount for the Transportation Facilities System PFIP is $3,012,297.04 plus an additional $690,835.80 for dry utility relocations including transmission poles. The relocation work is now complete, however the total cost for these relocations is $1,263,767.66, resulting in an additional $572,931.86 for a PFIP Transportation Facilities System reimbursable total of $4,276,064.70.
Fiscal Impact:
Approving the recommended Amendment No. 1 to the Improvement Agreement increases the developer's reimbursement by $572,931.86. Sufficient funds are available in the PFIP Transportation Fund (Fund 590) to pay the increased reimbursement.
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