CITY OF COMMERCEAGENDA REPORTCITY OF COMMERCEAGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
Item No. Item No.
Item No.
Item No.
TO: Honorable City Council
FROM: City Manager
SUBJECT: A Resolution of the City Council of the City of Commerce, California, approving a First Amendment to the professional services agreement between the City of Commerce and MDG Associates, Inc., to provide additional scope of services related to the City’s First-Time Homebuyer 2.0 Program Meeting Date: May 10, 2022
RECOMMENDATION:
Approve a First Amendment to the Professional Services Agreement between the City of Commerce and MDG Associates, Inc., to provide additional housing consulting services related to the City’s recently reintroduced First-Time Homebuyer 2.0 Program.
BACKGROUND/ANALYSIS:
On October 3, 2017, the City Council approved a three year consultant services agreement between the City of Commerce and MDG Associates, Inc., to assist with housing services. These services include, but are not limited to, administering the Neighborhood Fix-Up Grant and the Home Preservation Grant.
A separate three year extension to the consultant services agreement for MDG Associates, Inc. was approved by City Council on December 1, 2020 to allow the team at MDG Associates to continue administering the Home Preservation Grant Program and other CDBG related programs/projects through December 1, 2023. Included in this approval was the following not-to-exceed budget for MDG’s CDGB Administration services:
• FY 2020-2021 - $21,600
• FY 2021-2022 - $22,200
• FY 2022-2023 - $22,800
Shortly thereafter, on December 7, 2021, the City Council approved the implementation and program guidelines for the City’s First-Time Homebuyer 2.0 Program. Under the Program, eligible applicants selected through a lottery system, may be loaned up to $150,000 to assist with down payment and closing costs for the purchase of a home at the new Rosewood Village housing development. Due to the high volume of interested parties and the subject matter, the City requested that MDG provide a revised proposal that included additional staff support for application intake, qualification, and loan document processing related to the First-Time Homebuyer 2.0 Program..
Based on the continued need of MDG Associates’ consulting expertise with housing related matters, an amendment to the agreement for consultant services between the City of Commerce and MDG Associates, Inc. is being proposed to increase the existing contract amount by a not-to-exceed amount of $15,000 to provide additional staff support for administering of the City’s First Time Homebuyer 2.0 Program through the term of MDG’s contract (December 1, 2023).
ALTERNATIVES:
Approve staff’s recommendation
Reject staff’s recommendation
Provide staff with further direction
FISCAL IMPACT:
If the City Council approves the aforementioned recommendation, an appropriation in the amount of $15,000 will need to be approved. Staff recommends the appropriation be facilitated via the General Fund’s projected surplus for this current year.
RELATIONSHIP TO STRATEGIC GOALS:
The issue before the Council is consistent with the Community Quality of Life Guiding Principle 5 of the City’s Strategic Action Plan: “Foster environmentally conscious initiatives and continue to identify and develop city codes that support a clean, well-maintained, sustainable community”. An Action Item titled “Pursue quality of life initiatives through the operating budget and CIP plan” was also developed to provide a pathway for the vision of the Guiding Principal to be realized.
Respectfully submitted: Edgar P. Cisneros, City Manager Reviewed by: Jose Jimenez, Director of Economic Development and Planning Fiscal Impact reviewed by: Josh Brooks, Finance Director Approved as to form: Noel Tapia, City Attorney
ATTACHMENTS:
Resolution
First Amendment to Professional Services Agreement
MDG Proposal