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APPROVE MOTION TO RATIFY FINAL EXPENDITURES FOR SECURITY SERVICES AT NEW CITY HALL (CITY-OWNED FACILITIES)
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RECOMMENDATION
It is recommended that the City Council approve a motion to:
1. Approve findings pursuant to Stockton Municipal Code section 3.68.070 in support of an exception to the competitive bidding process.
2. Ratify final expenses in the amount of $181,490.74 with Hammer Head Protection, Inc. of Stockton, CA, for all costs related to overnight security services at New City Hall.
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this motion.
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Summary
In 2017, the City purchased the Waterfront Towers, located at 501 and 509 W. Weber Avenue, for the New City Hall site to consolidate operations.
On August 1, 2022, construction commenced at the New City Hall site, requiring nightly security services. The Public Works Department utilized the City’s existing Security Service Agreement with Hammer Head Protection, Inc. (Hammer Head) for security services and issued annual purchase orders for payment.
On August 22, 2023, by Motion No. 2023-08-22-1216, Council awarded a contract to Universal Protection Service, LP dba Allied Universal Security Services (Allied) to provide Citywide Security Services. In Fiscal Year (FY) 2024-25, the Procurement Division of the Administrative Services Department (Procurement) advised Public Works to utilize the Citywide Security Services contract with Allied. However, the contract with Allied did not provide security services for New City Hall. To ensure the safety and security services required of the site were provided, Public Works continued to utilize Hammer Head’s services until an amendment with Allied could be executed to include New City Hall.
On December 23, 2025, Contract Amendment No. 3 with Allied was executed, adding security and patrol services at New City Hall. On February 4, 2026, Public Works canceled the informal agreement with Hammer Head.
It is recommended that Council approve a motion ratifying the total expenditure of $181,490.74 with Hammer Head for all costs related to overnight security services at New City Hall. Upon approval, Procurement has agreed to issue a final payment purchase order in the amount of $37,206.74 to Hammer Head.
DISCUSSION
Background
In 2017, the City purchased the Waterfront Towers, located at 501 and 509 W. Weber Avenue, for the New City Hall site to consolidate operations and provide financial security and certainty, eliminating unknown future costs of operating City Hall and allowing for long-term investment. To ensure continued services during the project planning phase, the City assumed all services and contracts held by the Waterfront Office Towers Associations (Towers Association), including a Security Service Agreement between Towers Association and Hammer Head for overnight security services for both the Waterfront Towers and Waterfront Warehouse properties.
In February 2022, Public Works Department assumed the cost of security services to Hammer Head for overnight security of the New City Hall construction site. Since the City had an existing Security Service Agreement with Hammer Head, Public Works issued annual purchase orders (PO) with Hammer Head to ensure continued nightly services and patrol of the construction site to prevent potential theft and vandalism.
On August 22, 2023, by Motion No. 2023-08-22-1216, Council awarded a contract to Allied to provide Citywide Security Services with the exception of New City Hall. In June 2025, Procurement advised Public Works to utilize the Citywide Security Services contract with Allied to provide overnight security at New City Hall. However, To ensure the safety and security services required of the site were provided, Public Works continued to utilize Hammer Head’s services until an amendment with Allied could be executed to include New City Hall.
Economic Development Department worked with Allied to incorporate New City Hall to the new security services contract. Public Works continued to use Hammer Head services until Amendment No. 3 was executed. On December 23, 2025, Contract Amendment No. 3 with Allied was executed, adding security and patrol services at New City Hall. On February 4, 2026, Public Works canceled the informal agreement with Hammer Head.
Present Situation
Due to no longer being able to use PO’s for Hammer Head security services, Public Works is seeking Council approval to ratify the total expenditure of $181,490.74 to Hammer Head for all costs related to overnight security services at New City Hall.
The total Public Works expenditure is listed below by fiscal year:
FY 2022-23: $ 20,520.00
FY 2023-24: $ 57,564.00
FY 2024-25: $ 66,200.00
FY 2025-26: $ 37,206.74
TOTAL: $181,490.74
It is recommended that Council approve a motion ratifying the total expenditure of $181,490.74 with Hammer Head for all costs related to overnight security services at New City Hall. Upon approval, Procurement will issue a final payment purchase order in the amount of $37,206.74 to Hammer Head.
Findings
Pursuant to Stockton Municipal Code (SMC) section 3.68.070, Council may approve findings which support an exception to the competitive bidding process. These findings include:
1. Lack of safety and security at the New City Hall construction site could adversely affect the public safety and welfare of the City of Stockton as the construction site is located adjacent to the Waterfront Warehouse.
2. Taking advantage of the Security Service Agreement with Hammer Head will save the administrative expense of City staff conducting separate procurements.
3. Failure to undertake emergency security services during construction of the New City Hall project would have resulted in significant liability to the City.
FINANCIAL SUMMARY
All expenditure for these services were paid from the Public Works Facilities Maintenance Admin Special Services account. There is sufficient funding in this account to fund the final payment, in the amount of $37,206.74, to Hammer Head.