City Council Staff Report Page 1 of 4 February 2, 2026
Staff Report
Agenda Item No. 5.1
DATE: February 24, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Receive Report on Larry Orozco Teen Bike Workshop Remediation and Repair Cost Analysis and Provide Direction
EXECUTIVE SUMMARY
The Larry Orozco Teen Bike Workshop facility has been in continuous City and community use for more than four decades; however, it has not undergone significant renovation in many years. At the City Council’s direction, staff retained professional consultants to assess the structural condition of the building and evaluate hazardous materials, code compliance deficiencies, and associated repair costs.
The assessment determined that the building is in poor to fair condition and requires substantial reinvestment to address lead and asbestos abatement, roof replacement, ADA compliance upgrades, building system improvements, and other deferred maintenance items. The total estimated cost to bring the facility into compliance for continued public use is approximately $684,717, exclusive of potential mural restoration costs.
The Legislation and Policy Committee reviewed the findings on February 2, 2026, and recommends that the City Council receive the report and confirm direction to proceed with a phased renovation strategy, contingent upon available funding and future budget appropriations.
STRATEGIC PLAN ALIGNMENT
Consideration of the Larry Orozco Teen Bike Workshop was identified in the City Council Strategic Plan retreat on August 23, 2025 as part of Goal D, Environmental Sustainability and Infrastructure
BACKGROUND
The Larry Orozco Teen Bike Workshop site was the location of the old Mohawk Fireball Gas Station at 33623 Mission Boulevard, which was built in the 1930s. At some time in the past, the gas station was decommissioned, and the gas pumps were removed. The underground storage tanks have also been removed. In approximately 1981, the City Agenda Item No. 5.1
City Council Staff Report Page 2 of 4 February 24, 2026 purchased the building and eventually funded the Youth Employment program, which was placed under the Leisure Services Department, now known as the Community and Recreation Services Department. The site has been under continuous use by the City and the community for over 45 years.
At the Regular City Council Meeting of May 28, 2024, the City Council received a report requesting that the Larry Orozco Teen Workshop be designated as a historic landmark.
Staff recommended that the City Council review the building's condition and the repairs required to bring it up to code for public use before considering it for historic designation.
The City Council referred the item to the Legislation and Policy Committee to discuss the scope of work and the expected costs for the analysis needed to understand the building's condition.
On February 25, 2025, the City Council received a report regarding the Legislation and Policy Committee’s recommendation that the City Council authorize staff to proceed with the analysis to determine the condition of the building. The City Council unanimously voted to approve the Legislation and Policy Committee’s recommendation. A copy of the February staff report can be found here: Coversheet.
Pursuant to the City Council’s direction, staff have engaged multiple professional consultants over the past several months to assess the condition of the property. The consultants included PCA, Property Condition Assessments, LLC (Attachment 1), and Ninyo and Moore, a geotechnical and environmental services consultant, to prepare a Hazardous Building Materials Survey (Attachment 2). Staff has also engaged a leadcertified contractor to obtain cost estimates for lead paint and asbestos remediation.
This information was reported to the Legislation and Policy Committee on February 2, 2026, and the Committee has now forwarded the item to the full Council for consideration.
The Committee's consensus was that, although the building requires significant reinvestment, the City should seek additional funding to abate and repair the building over time. The Committee also noted that the City’s past investment has been limited to keeping the building and grounds operational. There has been no significant renovation in many years.
DISCUSSION
The Property Condition Assessment report rated the building as in “poor to fair” condition, indicating significant deficiencies, including the need for a full roof replacement, failure to meet ADA requirements, the need to enlarge bathrooms, and the installation of ADAcompliant parking and accessible pathways. Additional repairs include replacing deteriorated windows, installing a new HVAC system, restoring pavement, and adding IT infrastructure, which is currently absent. The building's structural condition does not pose major seismic concerns.
The Hazardous Materials Building Survey identified lead-based paint on both exterior and interior surfaces and confirmed the presence of asbestos-containing material on the roof.
The exterior mural's paint is flaking, requiring abatement before any other work can proceed.
Agenda Item No. 5.1
City Council Staff Report Page 3 of 4 February 24, 2026 Lead abatement will damage the upper sections of the existing mural. Staff recommends receiving community input to determine whether the mural should be restored or replaced with new artwork. Restoring the mural will likely be less costly than repainting the entire building with a new mural.
The total cost of renovation is estimated at approximately $684,717, with the potential to increase over time due to inflation and as more detailed information about the site and building retrofits is understood. This estimate includes $58,000 for lead and asbestos abatement, $134,000 for ADA improvements, $85,000 for roof replacement, $210,000 for other repairs, and $197,000 in soft costs.
The current Capital Improvement Plan (CIP) includes $200,000 in Capital Facilities Fee funds programmed for FY 2027/2028, pending the construction of new residential development. The limited funding available will require phasing over several years. The recommended strategy is to prioritize hazardous-material abatement first, followed by roof and window replacement, ADA compliance improvements, and, finally, interior upgrades.
Staff will pursue state and federal grants with the support of Townsend Public Affairs. An independent, resident-led non-profit could also seek funding for the project upgrades and perhaps corporate sponsorship. Sometimes, non-profits have access to grants that are not available to government agencies, though staff are not aware of a current non-profit that could take on a renovation project such as this.
FISCAL IMPACT
The total cost of repairing the Larry Orozco Teen Bike Workshop to bring it up to current code for public use is expected to be $684,717. This estimate is preliminary, based upon the analysis completed to date and the staff’s recent experiences with bids for other City facility projects. As noted, the cost estimate to repair the exterior mural has not been included, and a possible source of funding for that effort could be the Art-In-Lieu fund.
Phase Construction Soft Costs Total
1 Lead and asbestos abatement $58,000 $23,490 $81,490
2 Roof and window repair and replacement $85,000 $34,425 $119,425 3 ADA improvements $134,000 $54,270 $188,270
4 All other repairs $210,350 $85,182 $295,532
TOTAL $684,717
Approximately $27,032 of these funds have been incurred to date, including preparation of the Property Condition Assessment and Hazardous Building Materials Survey reports, as well as construction management costs. Approximately $14,081 has been spent on analyses prepared by PCA and Ninyo and Moore, and $12,951 has been incurred by Cummings Group, which has supported Public Works staff with construction management services for this project. Cummings Group has spent time coordinating the consultants, reviewing reports, seeking bids from contractors for remediation, researching lead abatement, preparing cost estimates, and coordinating meetings with the City Manager’s Office and other staff.
Attachment 3 identifies $200,000 in Fiscal Years 2027/2028 for the Larry Orozco Teen Bike Workshop; however, this amount is insufficient for full renovation. Staff recommend Agenda Item No. 5.1
City Council Staff Report Page 4 of 4 February 24, 2026 a phased approach, implemented through the annual budget process, and will work with Townsend Public Affairs to pursue grant funding for abatement, ADA compliance, and repairs.
The project will span multiple budget cycles due to uncertainty in developer impact fees and grant funding. Each phase must be fully funded before proceeding. Current projections anticipate starting Phases 1 and 2 in FY 2027/2028, contingent on receiving $200,000 in impact fees. Phases 3 and 4 would be scheduled in future budget cycles as additional funding becomes available.
RECOMMENDATION
Staff recommends that the City Council consider the Committee’s recommendation to receive this report and confirm that the City Council supports proceeding with renovation and abatement of the Larry Orozco Teen Bike Workshop as funding becomes available.
It is expected that Phases 1 and 2 would begin in FY 2027/2028.
Prepared by: Joan Malloy, City Manager
Submitted by: Joan Malloy, City Manager
Attachments
1. Attachment 1 - Property Condition Assessment Report, May 15, 2025
2. Attachment 2 - Hazardous Building Materials Survey, May 27, 2025
3. Attachment 3 - Cost Estimate, Union City, November 20, 2025