That the City Council:
A. Approve the waiver of the competitive bidding process per La Habra Municipal Code Section 4.20.070 (A) in case of an emergency as determined by the City Manager;

B. Authorize the City Manager to execute an agreement for the City of La Habra Child Development Main Office Roof Improvements with MDJ Management, LLC., and authorize staff to issue a purchase order to MDJ Management, LLC, in an amount not to exceed $44,500; and,

C. Approve an appropriation of up to $44,500 from the California State Preschool Contract Grant Fund.

Due to back to back heavy rainfall experienced in La Habra over the past two years, there was substantial damage to the roof at the La Habra Child Development Main Office building, which required extensive repairs. The 40 year old building underwent significant renovations when it was acquired in the mid-2000's to become the Child Development Main Office. In order to accommodate the use of this older structure as classrooms to serve children, the City converted the two-story building into classroom spaces and several separate areas to accommodate up to 18 work spaces for La Habra Child Development Division staff. Over the past 13 years this site has serviced various state-funded child care programs and onsite classrooms. Considering its constant use and underlying age, the building has experienced both normal wear and significant structural issues due to its age and original construction. During the recent roof replacement project, contractors found compromised roof beams that have contributed to extensive water leaks, a partial ceiling collapse and wood damage. While the existing roofing was repaired or replaced earlier this year, the support beams are structurally compromised and deteriorated and must be replaced. In addition to replacing the beams, interior damage remediation must occur to ensure the classroom and work spaces are in sound condition and safe for children, parents and staff.

Under guidance from the Orange County Community Care Licensing division, all children and teachers have been relocated to other classroom facilities in the City until repairs can be completed and instruction can be safely resumed at the Main Office location. The relocation of students and teachers is a temporary solution that the Child Development Division cannot sustain past the current school year. The division's funding is contingent on a certain number of children enrolled in programs, and program reimbursement is provided based on the actual number of children in attendance. The continued closure of the Main Office location will not allow the City sufficient classroom space to provide full-day child care and educational services to its maximum capacity, and the program will not be able to earn its full contract reimbursement.  Due to the emergency nature of this repair, and in compliance with La Habra Municipal Code Section 4.20.070 (A), the City has been able to expedite the bidding process and the City of La Habra Engineering Division has obtained emergency proposals for the repairs. Based on the pricing that was received, staff recommends awarding a contract to MDJ Management, LLC (MDJ) for the project. 

If approved, damage repair and beam installation will be undertaken by MDJ Management, LLC. The scope of work for the beam installation estimates that primary repairs will be completed in five days from the start of work. This would include the removal and discarding of any existing damaged materials and the removal of existing electrical components to be set aside for re-installation or replacement, the removal of abandoned HVAC ducting, the removal of abandoned electrical conduits, and the installation of new electrical wires, flexible conduits, and fire alarm wires in the roof and ceiling areas being repaired. MDJ Management, LLC will then install 4'X14' beams per plan.

The cost of this emergency project is estimated at $33,500 and the project will be fully funded through Child Development grants from the State of California. In preparation for this work, engineering staff have identified two potential issues that may need to be addressed during the project, including the potential removal and replacement or relocation of water and utility lines, but the need for this additional work will not be certain until the beam project begins and all of the the utility lines located and exposed. In the event that this additional work becomes necessary, staff estimates the cost will be approximately $11,000, making the total cost of the project $44,500.  All work will be completed in a substantial and workman like manner according to standard practices in an amount not to exceed $44,500.

All Child Development Division funding is provided through State grants through the Department of Education and Department of Social Services. The cost of the roof beam replacement is estimated at $33,500 and, when combined with potential additional work, will not exceed $44,500. The State has approved the initial project cost of $33,500 for the beam replacement, but staff is requesting that City Council approve a total project budget appropriation and purchase order in an amount not to exceed $44,500. If additional work is found to be necessary once the project commences, staff will seek the necessary additional funding from the State before any additional work is undertaken. All program costs for this project are reimbursed through the contracts and these programs do not receive General Fund support.