Camarillo City Council
AGENDA REPORT
Date: April 9, 2025
To: Honorable Mayor and City Councilmembers
From: Greg Ramirez, City Manager
Submitted by: David Sanchez, Community Development Director Subject: Award Professional Services Agreement to Azure Printed Homes Inc., for the Affordable Housing Acquisition Project at 2361 Barry Street
BACKGROUND
On August 23, 2023, the City Council approved the purchase of the tax default property located at 2361 Barry Street for affordable housing purposes using tax exempt bond proceeds. The County Board of Supervisors and the State Controller’s Office subsequently approved the purchase. The property has been historically blighted and associated with multiple code violations. The site measures 0.08 acres, 3,750 square feet and is currently zoned Residential Planned Development (RPD) with a Medium Density Residential general plan land use designation.
On July 11, 2024, the City of Camarillo released a Request for Proposals (RFP – Attachment 2) soliciting bids to construct and/or install six (6) individual housing units and prepare the site inclusive of all utility connections and landscaping. The RFP was open for 28-days and at the close of application, four submittals were received.
On October 2, 2024, staff presented the RFP review panel findings to the Public Safety & Emergency Preparedness Committee. During the meeting, staff received direction from the Committee to continue pursuing the project.
DISCUSSION
On August 9, 2024, following the conclusion of the RFP period, City staff assembled a review panel that consisted of Community Development, Code Compliance, City Manager’s Office, and Project Hope staff. The firms that submitted a proposal and the associated costs for the proposals are listed in the following table.
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Proposals
Consultant Cost
Azure Printed Homes Inc. $527,025
Ben Franklin Construction Incomplete
Forward City Labs $652,200.00
Tentmakers Inc. $642,944.00
After reviewing the four submitted proposals based on their compliance with the RFP, applicant qualifications, references, staffing, schedule, scope of work, and cost, staff selected Azure Printed Homes Inc. and Tentmakers Inc. for site visits to further evaluate the quality of the proposed housing units.
Although both firms demonstrated related experience and proposed housing units of good quality, staff recommends the approval of a Professional Services Agreement (PSA) with Azure Printed Homes Inc. because of their ability to expediently produce the units, the highly portable nature of the units, the recycled nature of the primary construction material, and the overall cost estimate of the project.
Project Description
The project site is an elongated narrow lot located at 2361 Barry Street. Staff identified the location as suitable for the placement of six self-contained units to serve Camarillo’s unhoused population. Supportive services will be provided to the residents by Project Hope staff. The site will provide a short to medium-term stabilizing environment for clients to receive intensive case management, financial counseling, and housing navigation services. The housing units will form a vital waypoint along the City’s housing pipeline which aims to graduate formerly unhoused individuals into permanent housing. Staff anticipates the site to perform this function on a temporary basis to help alleviate the immediate homelessness crisis.
Unit Description
Azure Printed Homes Inc. will prepare the site and install six detached housing units along with xeriscape landscaping and fencing. The units will be manufactured off-site, at Azure’s facility located in Gardena, CA, and be delivered to the site fully assembled.
Azure will prepare the site with water, sewer, and electricity services ahead of the delivery and installation. All six units will be equipped with an efficiency kitchen and sanitary facilities. The unit matrix and floorplans are as follows:
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Unit Matrix
Unit type Square
Feet Count
X-120 120 5
X-180 (ADA compliant) 180 1
X-120 floor plan
X-180 floor plan
The unit shells will be 3D printed using a proprietary blend of recycled polymers (non- toxic and VOC-free plastic), fiberglass, and concrete, all of which will comply with the Build America Buy America Act (BABA) standards in order to enable the usage of Community Development Block Grant (CDBG) funds. The units are designed for long-
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term wear and tear, extreme temperature, and seismic activity and the construction materials have undergone accelerated, long-term weather testing. Additionally, all of the homes will have individual HVAC systems and will be fully sprinklered. Exterior accent colors and finishes, such as composite siding or shingles, will be selected by staff to help the project blend in with its immediate environs inclusive of manufactured home-style skirts to screen the chassis. An example of a finished unit is shown below for illustrative purposes.
The finishes shown are for example only
Zoning
The project site is currently zoned as Residential Planned Development (RPD). In line with the Camarillo Municipal Code (CMC), the project is subject to a ministerial approval and the proposed use is consistent with the zoning designation.
Funding Mechanism
The City receives Community Development Block Grant Entitlement funds (CDBG EN) each year from the US Department of Housing and Urban Development (HUD) to provide services to the low- and moderate-income community. The City is also required to develop an Annual Action Plan (AAP) which outlines the intended uses of that year’s available CDBG funds. The FY 2024/2025 AAP included an action item to acquire manufactured homes with the explicit purpose of creating affordable housing. A substantial amendment to the AAP was approved by the Council on March 12, 2025, increasing the amount of available funding to $300,341.92 for the Affordable Housing Acquisition Project. The remainder of the required funds may be appropriated in the FY
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2025/2026 CDBG Annual Action Plan at the discretion of the City Council and subject to a separate action.
Operating Costs
Staff estimate the operating budget for the project to total $48,275 in year one. The costs include management costs, maintenance, administrative expenses, utilities, and insurance. Staff estimates a total of $25,200 will be collected in the form of rent in year one. This represents an operational deficit of $23,075. The operating budget and rent collected are projected to increase by 4% per annum and are estimated to amount to $58,734 and $30,660 respectively by 2030 resulting in a $28,074 deficit. A funding mechanism to support the remaining operational deficit for the project is yet to be identified despite ongoing monitoring of potential grant funding opportunities. Staff will pursue additional grant funds as available, but if grant funding cannot be identified before project completion, general fund dollars will be requested to begin operation.
Conformance with Adopted City Council Policies
Council Goals and Objectives
Community Enrichment Objective 1.b: Develop and implement appropriate education, enforcement and assistance strategies to address homeless and mental health issues. •The PSA is consistent with this objective because the agreement will allow for the creation of new housing through which the City will be able to address homelessness in our community.
Community Enrichment Objective 1.c: Maintain the City’s involvement and collaboration with the VC Sheriff’s Department, VC Behavioral Health, and other agencies for assistance, as appropriate, in helping law enforcement respond to homelessness and calls involving mental health issues.
•The PSA is consistent with this objective because the agreement will result in the creation of the housing which will be administered in cooperation with the VC Sheriff’s Department through Project Hope, which also includes a representative from VC Behavioral Health.
Economic Development Strategic Plan
Community/stakeholder workshops and a community online survey key weakness/challenges: Lack of sufficient affordable housing. •The PSA will address this community concern by providing an interim housing solution to the local unhoused population.
2021-2029 Housing Element
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Housing Program 17: Develop a Strategic Plan for providing Housing to accommodate the homeless community in Camarillo, based on the Ventura County point‐in‐time count.
The PSA will be consistent with this program as the agreement will allow for the creation of housing to accommodate the homeless community.
FY 2024/2025 CDBG Annual Action Plan As Amended
Use CDBG funds to acquire homes to be situated on land owned by the City to be used as housing for the homeless.
The PSA will be consistent with the CDBG Project Activity as the agreement will allow for the placement of housing units on City-owned land to serve as housing for the homeless.
FISCAL IMPACT
Funds for the Professional Services Agreement with Azure Printed Homes Inc. for the Affordable Housing Acquisition Project are included in the Community Development budget, Account No. 280-4405-444.70-78.
Any ongoing operating costs will be included in future Fiscal Year budgets.
CEQA DETERMINATIONS
City staff has determined, in accordance with Section 15061(b)(3) of the California Environmental Quality Act (CEQA) Guidelines, that the award of a Professional Services Agreement to Azure Printed Homes Inc. is not subject to CEQA review because it can be seen with certainty that there is no possibility that the contract award may have a significant effect on the environment. In this case, a contract award can be seen with certainty to have no possibility to have a significant effect on the environment. Therefore, this item is exempt from CEQA.
RECOMMENDATION
1. Find that the award of a Professional Services Agreement for the Affordable Housing Acquisition Project is exempt from the California Environmental Quality Act (“CEQA”) under the State CEQA Guidelines §§ 15061(b)(3); and
2. Authorize the City Manager to execute CC Agreement No. 2025-05 with Azure Printed Homes Inc. in the amount of $527,025; and
3. Authorize a 10% contingency in the amount of $52,702.50, for a total not to exceed amount of $579,727.50; and
4. Authorize the City Manager to execute future amendments, documents, and Change Orders if required, up to the total not to exceed amount.
ATTACHMENTS
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1. Agreement No. 2025-05
2. RFP for the Affordable Home Project
3. Proposal from Azure Printed Homes Inc.
REFERENCE MATERIALS – AVAILABLE FOR REVIEW AT CITY HALL FY 2024/25 Council Goals & Objectives
City of Camarillo Economic Development Strategic Plan
City of Camarillo 2021 – 2029 Adopted Housing Element
FY 2024/2025 CDBG Annual Action Plan as Amended
Substantial Amendments to the FY 2024/2025 and FY 2020/2021 CDBG Annual Action Plans