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Consent
Item No. 6.
| MEETING DATE: 05/04/2026 |
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| TO: | HONORABLE MAYOR AND COUNCILMEMBERS |
| FROM: | JIM SADRO, CITY MANAGER By: Elias Saykali, Public Works Director |
| SUBJECT: | AWARD A CONTRACT TO PACIFIC WEST INDUSTRIES, INC. FOR HVAC DUCTWORK REPLACEMENT AT 215 NORTH EUCLID STREET, CITY PROJECT NO. 3-B-26 |
RECOMMENDATION:
That the City Council:
A. Waive the formal bidding requirements per La Habra Municipal Code Chapter 4.20.120 (B);
B. Award a construction contract to Pacific West Industries, Inc., of Orange, California, for construction of the HVAC Ductwork Replacement at 215 North Euclid Street, City Project No. 3-B-26, in the amount of $64,850, and reject all other bids;
C. Authorize the City Manager to execute an Agreement with Pacific West Industries, Inc., and authorize staff to issue a purchase order to Pacific West Industries, Inc., in the amount of $64,850; and authorize a 20% contingency of $12,970; for a grand total of $77,820;
D. Approve an appropriation of $40,855.50 from the California State Preschool Contract Grant Fund to fund the cost of this project;
E. Approve an appropriation of $17,509.50 from the General Child Care Fund to fund the cost of this project;
F. Approve an appropriation of $6,485 from the Child Care Food Program to fully fund the cost of this project; and,
G. Approve an appropriation of $12,970 of General Capital Project Funds to fund the Cost of Construction Contingency for this Project.
DISCUSSION:
The La Habra Child Development Center, located at 215 North Euclid Street, is a City-owned facility that provides daycare and child care services for low-income families. Despite ongoing maintenance by City staff, the exterior HVAC (heating, ventilation, and air conditioning) duct work have reached the end of their lifespan. A recent assessment confirmed that replacement is necessary to address water intrusion and subsequent leaking within the building during the rain storms.
If approved by City Council, staff anticipates completing the project no later than June 30, 2026, to meet the state grant funding deadline. The proposed scope of work includes removing and replacing all existing outdoor sheet metal ductwork and cleaning all existing ductwork that will remain in place. Staff solicited informal bids in compliance with La Habra Municipal Code 4.20.120 (B), 4.20.130, and through the City's qualified contractors list.
On April 6, 2026, the City received four informal bids for construction with the following results:
If approved by City Council, staff anticipates completing the project no later than June 30, 2026, to meet the state grant funding deadline. The proposed scope of work includes removing and replacing all existing outdoor sheet metal ductwork and cleaning all existing ductwork that will remain in place. Staff solicited informal bids in compliance with La Habra Municipal Code 4.20.120 (B), 4.20.130, and through the City's qualified contractors list.
On April 6, 2026, the City received four informal bids for construction with the following results:
| No. | Contractor Name | Total Bid |
| 1 | Pacific West Industries, Inc | $64,850 |
| 2 | GK LUX GROUP HVAC INC | $65,450 |
| 3 | ACCO Engineering Systems | $79,831 |
| 4 | Diversified Thermal Services | $117,972 |
Upon reviewing the project proposals, the staff recommends issuing a purchase order and contract to the lowest apparent bidder, Pacific West Industries, Inc., for the replacement of the duct work at 215 North Euclid Street. If approved, the construction contract to Pacific West Industries, Inc. will be in the amount of $64,850, with a 20 percent contingency, for a total amount of $77,820, in the event any unforeseen conditions that may arise during construction.
FISCAL IMPACT/SOURCE OF FUNDING:
All funding for the City's Child Development Division is secured through state grants managed by the Department of Education and the Department of Social Services. The estimated cost for the HVAC Ductwork Replacement is $64,850. If additional construction work is needed during the project, staff will seek the necessary supplementary funding from the state; however, the state's grant funding does not allow for construction contingencies at the time of award. If it becomes necessary to utilize some or all of the proposed project contingency for this project, it will be necessary to expend the City's General Capital project funds, after which, staff will submit a supplemental funding request to the state to reimburse the City. According to state grant funding guidelines, all grant funds for this project must be fully expended, and the project must be completed by or before June 30, 2026.
Project Budget Summary:
| Project Cost | General Child Care (CCTR) | California State Preschool (CSPP) | Child Care Food Program | |
| Pacific West Industries, Inc. | $64,850 | $17,509.50 | $40,855.50 | $6,485 |
| 20% Construction Contingency | $12,970 | General Capital Project Fund (To be utilized on an as-needed basis and potentially reimbursable from state grant funds) | ||
| Total Amount | $77,820 | |||
GENERAL PLAN RELEVANCE/CITY COUNCIL GOALS & OBJECTIVES:
This contract is consistent with the following areas of the General Plan:
Goal CI 5.1 Programs for Youth
Goal CI 5.2 Programs for Families
It is also consistent with the following City Council Goals & Objectives:
Goal 3 - Maintenance and Improvement of City Infrastructure
Objective B - Maintain and upgrade City buildings, facilities, and parks
Goal CI 5.1 Programs for Youth
Goal CI 5.2 Programs for Families
It is also consistent with the following City Council Goals & Objectives:
Goal 3 - Maintenance and Improvement of City Infrastructure
Objective B - Maintain and upgrade City buildings, facilities, and parks