City Council Agenda
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Memo to: |
Manteca City Council |
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From: |
Toni Lundgren, City Manager |
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Prepared by: |
Vielka Guarascio, Homeless & Housing Services Manager |
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Date: |
March 3, 2026 |
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Subject: |
Approve Amendment No. 1 to Contract Services (C2025-158) with Haggerty Construction, Inc. |
Recommendation:
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Approve Amendment No. 1 to Contract for Services (C2025-158) with Haggerty Construction, Inc. increasing the compensation amount by $34,275.05, increasing the total not-to-exceed contract amount from $944,380.80 to $978,655.85; and authorize the City Manager to sign the agreement and any associated documents.
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Background:
The Qualex Building, located at 555 Industrial Park Drive, is currently in the process of being acquired by the City through the Successor Agency. The parking lot area is being utilized as the Unsheltered Emergency Center to provide wraparound services and resources to Manteca’s unsheltered residents.
Earlier this year, two (2) sections of the roof collapsed due to excessive rainfall and standing water, compromising the structural integrity of the building. On September 2, 2025, City Council approved an emergency contract with Haggerty Construction, Inc. in the amount of $858,528.00 along with a 10% contingency of $85,852.00, to perform Phase I roof stabilization and repair work.
During construction activities, previously unknown hazardous conditions were discovered within the office portion of the facility. Due to prolonged water intrusion from roof leaks, extensive mold and water damage were identified throughout interior finishes.
An inspection conducted by Ostlund Environmental Services, Inc. recommended full remediation of water- and mold-damaged materials to protect public health and safety and prevent further deterioration.
The total cost of this change order is $120,127.05. The previously approved contingency of $85,852.00 will be applied toward this amount, leaving a remaining balance of $34,275.05 to fully fund the additional work.
Staff recommends approval of Amendment No. 1 to address these unforeseen hazardous conditions and ensure the building is properly remediated and stabilized.
Fiscal Impact:
Sufficient funds are available in the Navigation Center Fund (Fund 126), Capital Improvement Program (CIP 24001), to cover the additional amount.
Documents Attached:
Attachment 1 - Original Contract (C2025-158)
Attachment 2 - Amendment No. 1 (C2025-158-A1)