Corona City Council
July 1, 2026

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CITY OF CORONA

SECOND AMENDMENT TO FIRST AMENDED AND RESTATED AGREEMENT

WITH MERCY HOUSE LIVING CENTERS
(HOMELESS SYSTEM OF SERVICES)

1. PARTIES AND DATE.

This Second Amendment to the First Amended and Restated Agreement with Mercy House Living Centers (Homeless System of Services) (“Second Amendment”) is made and entered into this 1st day of July 2026 (“Effective Date”) by and between the City of Corona (“City”) and Mercy House Living Centers, a California domestic nonprofit corporation (“Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Amendment.

2. RECITALS.

2.1 Agreement. City and Consultant entered into that certain First Amended and Restated Agreement (Homeless System of Services) dated November 20, 2024 (“Agreement”), whereby Consultant agreed to furnish all labor, materials, tools, equipment, and services necessary for the operation or implementation of the following City Homeless System of Services: (1) Harrison Hope Center Low-Barrier Emergency Shelter/Navigation Center (“Harrison Hope Center”); (2) the Transportation/Meal Program; (3) the HOME Tenant Based Rental Assistance Program; (4) the Permanent Supportive Housing Program; and (5) in collaboration with Corona Regional Medical Center, Centro Medico Community Clinic and other healthcare providers, the Post Hospital Respite Care Program.

2.2 First Amendment: City and Consultant entered into that certain First Amendment to the First Amended and Restated Agreement on August 6, 2025, to: (1) extend the Term for one fiscal year through June 30, 2026; (2) to replace Exhibit “A” (Scope of Services) with Exhibit “A1”; and (3) to replace Exhibit “C” (Budget, Funding Sources & Total Compensation Payment Schedule) with Exhibit “C-1”.

2.3 Second Amendment: City and Consultant desire to amend the Agreement for the second time to: (1) extend the Term for one fiscal year through June 30, 2027; (2) replace Exhibit “A-1” (Scope of Services) with Exhibit “A-2”; and (3) replace Exhibit “C-1” (Budget, Funding Sources & Total Compensation Payment Schedule) with Exhibit “C-2”.

3. TERMS.

3.1 Term. Section 3.1.2 of the Agreement is hereby amended to extend the Term through June 30, 2027.

3.2 Exhibit “A”. Effective July 1, 2026, Exhibit “A-1” of the Agreement is hereby deleted in its entirety and replaced with Exhibit “A-2” attached hereto and incorporated herein by reference. Exhibit “A-2” sets forth the Scope of Services to be provided by Consultant during fiscal year 2027.

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3.3 Exhibit “C”. Effective July 1, 2026, Exhibit “C-1” is hereby deleted in its entirety and replaced with Exhibit “C-2” attached hereto and incorporated herein by reference. Exhibit “C2” setsforth the Total Compensation, including authorized reimbursements, to be paid to Consultant for the services provided during fiscal year 2027.

3.4 Continuing Effect of Agreement. Except as amended by this Second Amendment, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Second Amendment, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement as amended by this Second Amendment.

3.5 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Second Amendment.

3.6 Counterparts. This Second Amendment may be executed in duplicate originals, each of which is deemed to be an original, but when taken together shall constitute but one and the same instrument.
[SIGNATURES ON FOLLOWING TWO(2) PAGES]
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CITY’S SIGNATURE PAGE FOR

CITY OF CORONA

SECOND AMENDMENT TO FIRST AMENDED AND RESTATED AGREEMENT

WITH MERCY HOUSE LIVING CENTERS
(HOMELESS SYSTEM OF SERVICES)
IN WITNESS WHEREOF, the Parties have entered into this Amendment as of the Effective Date.

CITY OF CORONA
By:

Jacob Ellis
City Manager
Reviewed By:

Karen Roper
Housing and Homeless Solutions Manager
Reviewed By:

Nicole McDaniel
Deputy Finance
Director
Approved as to Form:

Dean Derleth
City Attorney
Attest:

Sylvia Edwards
City Clerk
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CONSULTANT’S SIGNATURE PAGE FOR

CITY OF CORONA

SECOND AMENDMENT TO FIRST AMENDED AND RESTATED AGREEMENT

WITH MERCY HOUSE LIVING CENTERS
(HOMELESS SYSTEM OF SERVICES)
IN WITNESS WHEREOF, the Parties have entered into this Amendment as of the Effective Date.

MERCY HOUSE LIVING CENTERS
a California non-profit corporation
By:

Larry Haynes
Chief Executive Officer
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EXHIBIT “A-2”

SCOPE OF SERVICES
(FISCAL YEAR 2027)

HARRISON HOPE CENTER
Consultantshall operate the Harrison Hope Center in accordance with the requirements and criteria set forth in this Exhibit “A-2”.

Program Components
Consultant shall:
 Maintain use consistent with R-1 Occupancy
 Maintain Occupant Load of not more 200 persons
 Consultant shall not permit the shelter sleeping room occupancy to exceed 56 persons. This Agreement contemplates a 40-bed shelter plus a 16-bed overflow program for a total of 56 beds. City may request Consultant to use the 16-beds for overflow for regular shelter beds and/or to address inclement weather, emergencies, and disasters or other shelter needs as directed by the City.  Operate a 56-bed, low-barrier emergency shelter/navigation center with the following bed breakdown, sub-populations, and programs:
o 20-beds for low-barrier single adult males in one separate dormitory wing at the Harrison Hope Center.
o 15-beds for low-barrier single adult females in one separate dormitory wing at the Harrison Hope Center.
o 5-beds for respite care with accommodations in the recuperative care sleeping rooms at the Harrison Hope Center. Respite care program includes a partnership with Centro Medico Community Clinic, a Federally Qualified Health Center (FQHC) partner that will provide onsite medical services.

Consultant may use respite care beds to accommodate clients suffering from chronic health issues, disability issues or other special needs. o 16-beds to provide overflow for the regular shelter program and/or to address inclement weather, emergencies, or disasters as directed by the City.

Since overflow beds are in the dining room, Consultant may limit placements to a one-night stay with options to extend on a daily basis as may be needed.
o All 56 shelter beds shall be reserved for homeless clients with documentable ties to the City of Corona unless a waiver is requested and approved by the Corona Police Department. Waivers will be handled on a case-by-case basis. Clients with Waivers from the Corona Police Department are entitled to a one-night shelter stay not to exceed seven days if clients are working with case managers to be connected to more appropriate resources. o If Consultant identifies changing needs for males and/or females, City’s representative may approve changes in bed configurations and subpopulations.

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 Operate a robust navigation center with public and private partners that will provide a wide variety of services to shelter guests.
 Provide transportation shuttle services to support good neighbor policy of no-walk ins/no-walk outs as set forth in the Shelter Operations Plan, referenced in this Agreement as Exhibit “E”.
 Implement good neighbor strategies to accommodate clients who have vehicles so they can access shelter, meals, supportive services, and ultimately permanent housing without impacting the area surrounding the Harrison Hope Center.

Operational Requirements
Consultant shall:
 Comply with Required Referrals Protocols: The City of Corona Housing and Homeless Solutions staff, Corona Police Department, and City Net are the only authorized referral agencies. Any changes to referral agencies must be approved by the City’s Representative.
 Permit Corona Police Department to drop-off single adult male and single adult female homeless clients on 24/7 basis, as shelter capacity will allow.  Implement a shelter length of stay target of 90 consecutive days not to exceed 180 consecutive days.
 To comply with the no walk-in, no-walk out policy set forth in the Shelter Operations Plan, referenced in this Agreement as Exhibit “E”, develop a bed reservation system and collaborate with the official referral agencies (City Net, Corona Police Department, and the City’s Housing and Homeless Solutions staff) for screening of clients, reservation of beds, and scheduling transportation to/from the facility.
 Submit a daily, early morning utilization email to City Net, Corona Police Department, and the City’s Housing and Homeless Solutions staff. The utilization email will provide availability of shelter spaces and pet spaces.  Comply with the Ties to the City of Corona Policy set forth in the Shelter Operations Plan, referenced in this Agreement as Exhibit “E”:
 Operate the Harrison Shelter:
o 24 hours per day
o 7 days per week
o 365 days per year
Consultant shall:
 Operate a Security Plan with appropriate operator staff to security personnel ratios. The Security Plan shall be subject to the review and approval of the City’s Representative.
 Provide and maintain large, exterior storage lockers for shelter residents.  Provide and maintain small, exterior amnesty lockers for shelter residents.  Ensure that Amnesty Lockers are secured with locks and managed by Consultant so that shelter guests cannot access them until exit from the facility.

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 Provide 24/7 security to prevent theft of contents of Amnesty Lockers.  Operate the Harrison Hope Center in accordance with the Pet Friendly Shelter Model that allows pets, assistance animals and service animals. When needed, provide pet services to ensure animals are properly vaccinated and healthy.  Require screening for 290 Sex Offenders and Open Felony Warrants as outlined in the Shelter Operations Plan referenced in this Agreement as Exhibit “E”.  Operate and maintain the kitchen within the Harrison Hope Center, which qualifies as a “Food Facility,” in accordance with all Riverside County Environmental Health Department standards, including but not limited to Riverside County Ordinance 492, as it may be amended from time to time, and the County’s Food Facility Operators Guide, as it may be amended from time to time.  Comply with City of Corona Shelter Operations Plan referenced in this Agreement as Exhibit “E”.
 Implement the following Community Outreach & Engagement strategies to comply with City’s Good Neighbor Policy set forth in the Shelter Operations Plan, referenced in this Agreement as Exhibit “E”:
o As needed to address concerns or issues raised by businesses, facilitate community meetings with surrounding businesses. Consultant shall notify City of any complaints and include City in meetings.
o Summarize business concerns and submit to City’s Representative for review and discussion.
o Develop strategies to mitigate concerns.
o Present mitigating strategies to the City and businesses. o Maintain an open and ongoing community dialogue.

Operational Standards
Consultant shall:
 Operate a well maintained and well managed facility
 As needed, work with City to refine operating procedures to define and strengthen partnerships and roles of County, City, and other stakeholders.  Comply with referral protocolsfrom City Net, Corona Police Department, and City Project Manager.
 Maintain 24/7 phone contact.
 Implement Neighborhood Patrol Strategies in accordance with the Shelter Operations Plan, referenced in this Agreement as Exhibit “E”.  Collaborate with City Net and Corona Police Department HOPE Team to facilitate Neighborhood Homeless Outreach support to shelter.  Implement and enforce Transportation and Parking Policies set forth in the Shelter Operations Plan, attached to this Agreement as Exhibit “E” including:
o Policy to address on street parking in compliance with no parking from 8 pm to 8 am (with exception of 10 available parking spaces in front of the shelter, the 11 parking spaces in the shelter parking lot, and the spaces on the street where no parking signs have been removed).

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o Policy to ensure that client vehicles remain operable with current registration and insurance.
o Policy to collaborate with Security personnel and Corona Police Department for any potential non-shelter homeless who may park near the shelter or live in their cars near the shelter. For homeless neighbors in this situation, prioritize collaboration with City Net and Corona Police Department HOPE Team to conduct outreach, engagement, and connection to shelter and services.
o Policy to collaborate with City to utilize established pick up and drop off locations for shuttle services to/from the shelter and/or to change locations in collaboration with the City if good neighbor policy issues surface.  Implement strategies to support no walk-ins/no walk-outs or unauthorized dropoffs.  Implement Client/Resident Rules and Guidelines in compliance with the Shelter Operations Plan.
 Implement a Private Security and Safety Plan in compliance with the Shelter Operations Plan.
 Collaborate with Corona Police Department and Corona Fire Department as may be needed for safety and medical emergencies.
 Implement communication protocols to address concerns, complaints, and Critical Incident Reports to City’s Representative for altercations, deaths, injuries, damages to facility, 911 calls, and other critical issues. Consultant site leads shall immediately text designated Housing and Homeless Solutions staff when critical incidents arise, briefly describe nature of incident and provide ETA for submission of written report.
 Establish Public/Private partnerships to involve and engage businesses, residents, and the faith community to serve Corona homeless:
o Volunteer Opportunities
o Corporate Social Responsibility
o Donation Programs
Centro Medico Community Clinic
 Centro Medico Community Clinic (CMCC) will occupy a portion of the West Wing of the Harrison Hope Center Shelter/Navigation Center to provide medical, behavioral health, and oral care services for:
o Harrison Hope Center Shelter/Navigation Center clients/residents o City’s Motel Emergency Shelter Program operated by City Net o Clients enrolled in City’s HOME Tenant-Based Rental Assistance Program o Residents of Permanent Supportive Housing Projects in the City of Corona  City entered into separate lease agreement with CMCC.  Consultant will share the staff break room/lunchroom with CMCC staff.  Consultant shall work with the City’s Representative and CMCC to implement client service protocols and other operational processes outlined in the lease agreement between the City and CMCC.

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Miscellaneous Harrison Hope Center Shelter / Navigation Center Terms and Conditions Consultant shall:
 Utilize Release of Information / Intake Forms that facilitate information sharing and case conferencing between Consultant, City Net, City Housing and Homeless Solutions, County partners, and designated nonprofit partners. The goal of case conferencing will be to address challenging client cases that might need multiple partners to achieve crisis stabilization and permanent housing placement.  Collaborate with the City to apply for grants to expand or enhance shelter, services, and housing programs connected to the services provided under this Agreement.

Ensure that grant applications focus services and resources to support homeless residents with documentable ties to the City of Corona.

Harrison Hope Center Shelter/Navigation Center Target Goals Consultant shall complete by June 30, 2027:
 Collaborate with City Net and Corona Police Department to facilitate approximately 100 exits from the streets of Corona to the Shelter/Navigation Center.
 Provide approximately 9,200 shelter bed nights using 40 beds plus 16 overflow beds.
 Collaborate with the City to maintain daily activation of the 16 additional shelter beds to provide overflow for regular shelter beds and/or to support weather events or emergencies as directed by the City of Corona.
 Complete approximately 25 exits for shelter residents to safer successful housing situations such as the City’s Permanent Supportive Housing and Tenant Based Rental Assistance Program and/or other housing programs through the Continuum of Care.

HOME TENANT-BASED RENTAL ASSISTANCE PROGRAM
Consultant shall implement a Tenant-Based Rental Assistance (TBRA) Program in compliance with the City’s Guidelines referenced in this Agreement as Exhibit D. Consultant will implement a scattered site TBRA Housing Program and Homeless Prevention Program (HPP) using HOME funds outlined in the budget exhibit of this Agreement.

HOME TBRA Program Eligible Program Activities:
 Income Eligibility Determinations
 Housing Quality Standards Inspections
 Rental Assistance Payments
 Security Deposits
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Related Housing Support Staffing and Program Activities in Shelter Budget:

Consultant shall provide the following personnel to implement the TBRA Program:
 1 Housing Solutions Manager
 1 Housing Solutions Supervisor
 2 TBRA Housing Solutions Case Managers/ Housing Navigators  To enhance success of the TBRA Program, Consultant shall implement a Whatever-It-Takes Housing Placement Program using City’s general funds/flex funds to be used for the following activities:
o Make It Cozy Home Furnishing Warehouse Program
 1 Make It Cozy Specialist
 1 Community Engagement Specialist
 Warehouse Transportation and Moving Services
 Warehouse Space and Supplies
 Warehouse Box Truck Maintenance
o Landlord Incentives
o U-Haul Moving Costs
o Landlord Application Fees
o Other Miscellaneous Housing Placement Costs Not Covered by HOME TBRA
Priorities for TBRA Program:

Consultant shall provide TBRA assistance to the following categories of clients:
 Corona Residents At-Risk of Homelessness
 Corona Emergency Shelter/Navigation Center Residents
 Corona Motel Emergency Shelter Clients
 Corona Unsheltered Homeless Clients
 Corona Homeless Clients Enrolled in other Emergency or Transitional Housing Programs
HOME TBRA Target Goals
Consultant shall complete by June 30, 2027:
 Assist approximately 20 households through monthly rental assistance to facilitate housing placements and homeless prevention. This includes monthly rental assistance support for existing and new clients.
 At the end of the first quarter of FY 2027, start process to complete annual housing market analysis so that payment standards increase opportunities for clients to find Docusign Envelope ID: 18C9227F-F0B7-80EB-80B2-794ABA59FB9B Docusign Envelope ID: AEC641BB-D99D-46A6-A882-969B09457903 JAMIER\01200.10105\10326377.2 11
permanent housing options in the City of Corona while supporting client housing choice to live anywhere in Riverside or San Bernardino County per the City of Corona HOME TBRA Guidelines.
 Provide 12 months of case management, post housing placement, for all rental subsidy clients assisted through the Tenant Based Rental Assistance Program who remain enrolled in the program for that duration.

PERMANENT SUPPORTIVE HOUSING PROGRAM – 5th STREET HOUSING UNITS Project Based Voucher Application Requirements:
 Consultant and City collaborated to submit an application to the County of Riverside Housing Authority for Project-Based Vouchers (PBVs).  Consultant acted as the lead fiscal agent for the PBV application since the 5th Street Housing Units are leased and operated by Consultant.
 The application requested the County to authorize an assignment of Housing Assistance Payments (HAP) Agreement with language that states the HAP would automatically transfer to the City as owner should the City no longer work with Consultant.
 The City reserves the right to review and approve the final HAP and Assignment of Agreement with the County before Consultant executes the contract.  Consultant will work with the City and the County of Riverside Housing Authority to finalize the HAP for the PBVs to support operational cash flow and provide affordable rents to extremely low-income tenants who will live at the 5th Street Permanent Supportive Housing (PSH) units.
 Consultant will operate a PSH Program at the 12 housing units located at 926- 932 West 5th Street, Corona CA (“5th Street Housing Units”) and manage, operate and lease the 5th Street Housing Units to PBV qualified homeless individuals and families.
 Consultant will use one unit for an onsite property manager and 11 units for eligible chronically homeless clients and/or other eligible homeless populations as may be approved in negotiations between the City and the County for the HAP Agreement for PBVs.
 The County of Riverside PBV HAP Agreement will provide rental assistance subsidies to eligible tenants approved by the County’s Housing Authority. The term of the HAP PBV agreement between the County and Consultant will be 20 years with an option to renew for another 20-year term.
 The HAP PBVs will be assigned to the 5th Street units to ensure that eligible tenants pay no more than 30% of their income towards rent. The value of the 20-year HAP agreement is estimated to be $5,140,560 over the initial 20-year term.  The County calculates the estimate based on payment standard restrictions (rent limits) and income restrictions (extremely low-income tenants earning 30% and below the area median). Consultant will comply with the payment standards and income limits for each tenant household approved by the County.

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 Consultant estimates FY 2027 operational costs for the PSH units at approximately $186,084.06 without PBVs for tenants. If the County approves and subsequently executes the HAP in the early part of FY 2027, Consultant estimates the annual PBV subsidy, less vacancy loss, at $251,413.20. The estimated PBV revenue is estimated to fully offset the City’s PSH operational costs and reduce system costs by approximately $65,329.14. Due to the high demand for housing placements in the City’s homeless system, once the PBVs are in place, Consultant may redirect the costs savings to the Whatever It Takes housing placement budget line item to support more housing placements from the Harrison Hope Center to other permanent housing unit opportunities with landlords in the region.  Consultant will prioritize placement of homeless individuals and families with documentable ties to the City of Corona.
 Consultant will collaborate with City Net and the City’s Housing and Homeless Solutions staff to coordinate housing placements and logistics associated with getting Corona homeless clients document ready in accordance with County PBV requirements.
 Once HAP PBV Agreement is approved by the City and County, Consultant will coordinate with City Net, City Housing and Homeless Solutions, County HomeConnect Coordinated Entry System staff, and the County Housing Authority staff to process Corona referrals and establish a Corona client waiting list, as required by HUD for PBVs.
 Consultant will collaborate with City Net to assist clients through the County’s PBV income eligibility and application completion process.

Supportive Services
Consultant shall:
 In addition to providing supportive services through Consultant Case Management Staff, collaborate with Centro Medico Community Clinic, County of Riverside RUHS-Behavioral Health, or other community partners to provide supportive services to residents to maintain housing retention and stability.  If needed, coordinate transportation services for clients who need to access supportive services offsite.

Permanent Supportive Housing Target Goals
Contingent upon County approval and execution of HAP, Consultant shall complete by June 30, 2027:
 Collaborate with the City to initiate lease-up planning meetings and HQS Inspections with theCounty.
 Collaborate with the City of Corona Housing and Homeless Solutions Team and City Net to establish a list of eligible Corona tenants for “reverse referral” to the County’s HomeConnect Coordinated Entry System. Reverse referral is defined as Docusign Envelope ID: 18C9227F-F0B7-80EB-80B2-794ABA59FB9B Docusign Envelope ID: AEC641BB-D99D-46A6-A882-969B09457903 JAMIER\01200.10105\10326377.2 13
a referral coming directly from City Net on behalf of aCorona homeless household directly to the 5th Street Permanent Supportive Housing Project.  Collaborate with City Net to ensure that client referrals are document ready with disability verifications and homeless certification letters.  Collaborate with City Net to assist client referrals with completion of PBV applications.
 Collaborate with the City to host a Celebration of Resident Success Ceremony once HAP agreement lease up has been completed.
 Collaborate with Centro Medico Community Clinic to ensure that 5th Street residents have transportation and access to the Harrison Hope Center clinic to receive necessary supportive services, including medical, behavioral health, or oral care services.

ADDITIONAL PROGRAM REQUIREMENTS
Shelter, Service and Housing Programs
Case Management for Housing Retention
 For clients who have been permanently housed through the TBRA Program, Consultant shall provide follow-up case management for the individual or family for twelve (12) months, from housing placement, to maintain housing retention and stability as well as to link clients to resources to prevent returns to homelessness.

The exception to the post housing case management requirement is when Consultant only provides security deposit assistance for eligible clients moving to other PSH projects that provide ongoing case management support for residents, or households whose participation in the program terminates before the 12-month period.

Critical Incident Policy
 For all services provided under this Agreement, Consultant shall comply with the City’s Critical Incident Policy, as set forth in the Shelter Operations Plan, to immediately notify the City of Corona of any critical incidents including but not limited to 911 calls due to illnesses, injuries, deaths, altercations, or damages to the Harrison Hope Center Shelter/Navigation Center or 5th Street Housing Units.

Consultant shall use the City’s Critical Incident Report format. Once a critical incident happens, Consultant shall notify the designated City Housing and Homeless Solutions staff by text to briefly describe the incident and indicate when the written report will be submitted.

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Data Elements Required for Program Activities and Client Outcomes Consultant shall maintain all of the data elements outlined below and at the request of the City, provide periodic and custom reports as may be required for grants, reports to City Council or other stakeholders:
 For all household members, client demographic information, including but not limited to age and sex
 Total number of direct beneficiaries (clientele served) with area median income (AMI) categorized as:
o 60-80% AMI
o 50% AMI (Very Low-Income)
o 30% or below AMI (Extremely Low-Income)
 Gender and Racial ethnicity of all clientele
 Veteran Status
 Chronically and Non-Chronically Homeless Status
 Number of Female-Headed Households
 Within HIPAA guidelines using HMIS unique client identifiers, provide client diagnoses and barriers including but not limited to mental health issues, substance abuse issues, physical disabilities, employment status, income, and other data elements commonly collected for the Riverside County Homeless Management Information System (HMIS) and Coordinated Entry System (CES)  City of last permanent address. If not Corona, also provide the name of eligible referring agency that transported or referred client to Corona  Type of document used to verify ties to the City of Corona or documentation of Corona Police Department waiver of ties to the City of Corona  Number of clients referred from the Corona Police Department including those in connection with enforcement of the City’s anti-camping ordinance  Unduplicated clients served
 Number of bed nights per client
 Navigation Center supportive services provided to each client including but not limited to transportation services, meal services, case management, job development, life skills training, clinic services, and successful enrollment in other service/benefit programs, etc
 Number and types of shelter exits including but not limited to institutions, longerterm transitional shelters, other emergencies shelters, family reunifications or permanent housing placements
 Number and explanation for exits back to the streets
 Fully loaded cost of shelter per night per client
 Number of TBRA Housing Placements & Evictions Prevented  Number of Permanent Supportive Housing Placements
 Other data elements as may be required for grants or as requested by the City’s Representative
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City of Corona Homeless Strategic Plan Quarterly Measures of Success Data Elements:

Consultant shall provide a quarterly report of all program activities and client outcomes for some or all of the data elements as may be requested by the City as follows:
 Exit destinations
 Number of first time homeless
 Length of homelessness
 Length of stay in emergency shelter
 Non-employment & employment income changes
 Housing placement and retention rates
 Document ready clients waiting for housing
 Returnsto homelessnessfrom permanent housing
Monthly and Annual Corona System of Services Report
Consultant shall provide quarterly reports and one annual summary report of the following outcomes:
 Number of exits from the streets to shelter
 Number of shelter bed nights
 Number of unduplicated shelter clients served
 Number of exits from shelter to permanent housing
 Number of HOME TBRA Prevention and Shelter Graduate Rental Assistance Clients and Households Served
 Once HAP agreement is executed, number of 5th Street Permanent Supportive Housing Units Occupied, Households Assisted, and Unduplicated Tenants Assisted
 Make It Cozy (MIC) Warehouse
o Total volunteer hours
o Number of permanent housing move-ins supported
o Total amount of financial donations received
o Names of nonprofits/agencies who received MIC support to help atrisk or homeless clients Docusign Envelope ID: 18C9227F-F0B7-80EB-80B2-794ABA59FB9B Docusign Envelope ID: AEC641BB-D99D-46A6-A882-969B09457903 JAMIER\01200.10105\10326377.2 16
EXHIBIT “C-2”

BUDGET, FUNDING SOURCES & TOTAL COMPENSATION PAYMENT SCHEDULE (FISCAL YEAR 2027)
FY 2027 Homeless System of Services BUDGET
Labor
Shelter Program Manager, Shelter Program Senior Site Lead, Shelter Program Site Leaders, Shelter Specialists (Engagement, Janitorial, and Logistics), Overnight Specialists, Safety Specialists, Shuttle Drivers, Housing Solutions Manager, Housing Solutions Supervisor, Housing Solutions Case Managers/Housing Navigators, Kitchen Manager, Lead Cook, Cooks, Kitchen Specialists, Reservations, Intake and Data Specialist, Data Supervisor, Make-itCozy Specialist, Community Engagement Specialist, Permanent Supportive Housing Case Management and On Site Staff
$2,163,665.92
Operational Costs
Harrison Hope Center Shelter/Navigation Center Operational Costs, Permanent Supportive Housing Operational Costs, Whatever-It-Takes Crisis Stabilization Fund including but not limited to Rental Assistance, Utility Arrears and Credit Repair, Housing Placement Support such as Landlord Incentives, U-Haul Moving Costs, Landlord Application Fees, Other Miscellaneous Housing Placement Costs not covered by HOME TBRA Program, Make It Cozy Program Operational Costs for Warehouse Space, Box Truck Maintenance, Home Furnishing and Move-In Services and Supplies, Respite Care Services.

Program Operational costs also include but are not limited to Harrison Hope Center and 5th Street Permanent Supportive Housing maintenance and repairs, trash, utilities, security vendor, transportation costs, facility and client supplies, pet services and supplies, and other miscellaneous costs to support client stabilization and successful operation of the Corona System of Services $1,214,230.92
HOME TBRA Program (Costs for Homeless Prevention and Rapid Rehousing) Security Deposits, Rental Assistance Payments, Income Eligibility Determinations, HQS Inspections $660,317.13
County Housing Authority Project-Based Voucher Revenue ($251,413.20) Mercy House Indirect Costs
De minimus rate for non-federal entity: Per 2 CFR 200.414(f), de minimus rate established for non-Federal entities who do not have negotiated indirect costs rate.

Federal maximum is 15%. Consultant de minimus rate charged at 12.5% of nonHOME funded costs to offset expenses incurred by the organization. $422,237.11
Reallocation Between Budget Categories
With the approval of City’s Representative, Consultant may adjust budget line items and reallocate funds between the following three budget categories: Labor, Operational Costs, and Indirect Costs, provided that the Total Compensation is not exceeded. Reallocation provisions do not apply to HOME TBRA funds due to HUD Requirements.

Budget Total $4,209,037.88
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Funding Sources to Track Separately
Consultant shall track and account for all expenses separately based upon the following funding sources:

FY 2027 Homeless System of Services

FUNDING SOURCES
Federal
Federal HOME Funds FY 2027 $660,317.13
Federal HOME Funds Carryover $-0-
State
*State PLHA Funds for FY 2027 $300,000
State PLHA Funds Carryover $-0-
County
County Housing Authority Project-Based Voucher Revenue ($251,413.20) City
City General Funds for FY 2027 $3,248,720.75
Budget Total $4,209,037.88
Percentage Funded with Federal/State/County Resources = 27%

PROJECT BASED VOUCHER REVENUE DISCLAIMER
*Permanent Supportive Housing operating expenses and revenues are estimates based upon full occupancy scenarios and the timing of the County’s approval and execution of the PBV HAP with Consultant. City reserves the right to reduce the scope of work to address any budget gaps associated with delay of Project Based Voucher Revenue.

PLHA DISCLAIMER
* PLHA funds are pending release of State HCD NOFA. Upon release of NOFA, City’s Representative will determine if a gap in PLHA funds exists and request City Council approval consideration to use Measure X funds to fill the gap. Consultant agrees to delay expenditure of PLHA funds until City confirms if/when funds are available. City reserves the right to reduce the scope of work by $300,000 in the event that the PLHA budget gap cannot be filled
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FY 2027 HOMELESS SYSTEM OF SERVICES

TOTAL COMPENSATION PAYMENT SCHEDULE
Flat Monthly Payments
Payment # Month Amount
Month 1 July 2026
Two Months
$ 591,453.46
Month 2 August 2025 $268,842.48
Month 3 September 2025 $268,842.48
Month 4 October 2025 $268,842.48
Month 5 November 2025 $268,842.48
Month 6 December 2025 $268,842.48
Month 7 January 2026 $268,842.48
Month 8 February 2026 $268,842.48
Month 9 March 2026 $268,842.48
Month 10 April 2026 $268,842.48
Month 11 May 2026 $268,842.48
Month 12 June 2026 $268,842.48
Total Flat Rate Payments $3,548,720.75
Payments for HOME Tenant Based Rental Assistance Program Services HOME TBRA Program Billing Subject to
Client Demand & Spending Targets
Total Potential Payments
for HOME TBRA Program Services $660,317.13
Total Compensation
$4,209,037.88
Flat Monthly Payments - Year End Reconciliation
During the first quarter of fiscal year 2028, the City will conduct an assessment of all fiscal year 2027 monthly itemized invoices and back-up documentation for the Flat Monthly Payments to evaluate the services performed and expenses incurred by Consultant during the 2027 fiscal year. If the sum of all Flat Monthly Payments exceeds the cost of the services performed and the expenses incurred during that fiscal year, Consultant shall refund the difference to the City within thirty (30) calendar days.

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FLAT MONTHLY PAYMENTS - MONTHLY ITEMIZED INVOICES
Consultant shall submit to City separate monthly itemized invoices, with accompanying client data reports and back-up documentation of expenses and proof of payment, which indicate work completed, supplies provided and services rendered by Consultant for the following components of the Services:
(1) Harrison Hope Center Shelter/Navigation Center which includes Make It Cozy Warehouse Costs and Respite Care Program;
(2) Permanent Supportive Housing Program.

Payment - Month 1
After this Amendment has been fully executed by all Parties and upon receipt of an itemized invoice from Consultant for Month 1 of the Flat Monthly Payments, the City will make an initial payment in the amount indicated above for Month 1. The Parties understand that this Month 1 payment is larger in amount to help Consultant at the beginning of the fiscal year with cash-flow for operating costs, and that all Flat Monthly Payments shall be subject to the Year End Reconciliation as provided for herein.

Payment - Months 2 – 12
Thereafter, and provided that Consultant subsequently submits back-up documentation for actuals in a timely manner, City shall, within 30 days of receiving an itemized invoice from Consultant for the Flat Monthly Payments, review the invoice and make payment to Consultant in the amounts indicated above for Months 2 through 12.

HOME TBRA PROGRAM SERVICES - MONTHLY ITEMIZED INVOICES
Consultant shall also submit to City separate monthly itemized invoices, with accompanying client data reports and back-up documentation of expenses and proof of payment, which indicate work completed, supplies provided and services rendered by Consultant for the HOME Tenant-Based Rental Assistance Program. Consultant shall perform services and invoice City based upon client demand, spending targets, and eligible activities, as outlined in the Harrison Shelter / Navigation Center Tenant-Based Rental Assistance Program Guidelines incorporated pursuant to Section

3.1.1.1 of the Agreement.

City shall, within thirty (30) days of receiving an itemized invoice from Consultant for the HOME Tenant Based Rental Assistance Program, review the invoice and make payment to Consultant for all approved charges thereon.

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