ADMINSTRATIVE STAFF REPORT 8.3
TO: Mayor and Town Council October 6, 2026
SUBJECT: Resolution No. 77-2026, authorizing the Town Manager to execute a Professional Services Agreement with Inspired ADUs, Inc. for the development of Permit-Ready Accessory Dwelling Unit plans through grant funds from the Senate District 7 ADU Accelerator Program
BACKGROUND
The Senate District 7 Accessory Dwelling Unit Accelerator Program ( SD7 ADU Accelerator Program) was established to accelerate the development of accessory dwelling units ( ADUs) in eligible jurisdictions within Contra Costa and Alameda counties. Funded through Section 19.564 of the 2023 Budget Act and administered by the California Department of Housing and Community Development ( State HCD), the program provides grant funding for ADU construction rebates and the development or updating of permit-ready ADU plans.
On October 15, 2024, the Town Council adopted Resolution No. 72-2024 authorizing the Town Manager to receive, distribute, and administer SD7 ADU Accelerator grant funds to eligible cities in Contra Costa and Alameda counties. As part of the program, up to 50,000 is available to Danville and each participating jurisdiction for the development or updating of permit-ready ADU plans.
The Town issued a Request for Proposal & Qualifications ( RFP/ Q) on May 27, 2026, seeking qualified architectural and design firms with demonstrated experience in prefabricated ADUs to develop permit-ready plans that could be made available to Danville residents at no cost. The RFP/ Q emphasized efficient and quality ADU design, compatibility with Danville' s residential character, prefabricated construction methods, code compliance, cost transparency, and materials suitable for public outreach.
Following review of proposals and interviews, the Town selected Inspired ADUs, Inc. the “ Consultant”) as the preferred consultant. The Consultant is an Oakland- based, architect-led design firm with strong experience in ADU designs and residential projects throughout the Bay Area.
SD7 ADU Accelerator Program 2 October 6, 2026
Permit-Ready ADU Plans
DISCUSSION
The purpose of the Permit- Ready ADU Program is to encourage ADU constructions by providing residents with high-quality, permit-ready building plans that can streamline the permitting process. The Consultant would work with the Town to architecturally enhance five ADU plans, ensuring a higher level of design quality and greater consistency with Town standards than is typically found in prefabricated ADUs. The plans would be made available to Danville residents at no cost and will be accompanied by information regarding construction methods, estimated costs, design options, and steps to prepare site-specific information necessary to obtain a building permit.
On August 31, 2026, the Consultant submitted a final proposal with a not-to-exceed compensation amount of $49,460, which is within the available $ 50,000 SD7 PermitReady ADU Program allocation. The Consultant’ s proposed scope includes five ADU plan sets; architectural design and plan development; prescriptive structural plans for flat lots; Title 24 energy compliance; construction cost estimates; renderings, program promotion, and resident guidance materials; and participation in the Town' s review process, including presentation to the Design Review Board. The Consultant will also coordinate with established manufacturing partners for modular and panelized construction. The Town will make the plans available as a public resource.
The Consultant’ s final proposal provides for the development of five detached, permitready ADU plan sets. The plans will include studio, one-bedroom, and two-bedroom configurations ranging from approximately 400 to 1,000 square feet. Each plan will include Craftsman and Mediterranean/ Spanish exterior treatment options, mirror and reverse configurations, and predefined exterior material and color options designed to complement Danville' s residential character.
Sufficient grant funds are available from the Town’s SD7 ADU Accelerator Program allocation to fund the proposed agreement. No General Fund appropriation is required.
Staff recommends that the Town Council authorize the Town Manager to execute a Professional Services Agreement with Inspired ADUs, Inc. for a not-to-exceed amount of 49,460, based substantially on the scope and fee presented in the Consultant’ s final proposal.
PUBLIC CONTACT
Posting of meeting agenda serves as notice to the general public.
SD7 ADU Accelerator Program 3 October 6, 2026
Permit-Ready ADU Plans
RECOMMENDATION
Adopt Resolution No. 77-2026, authorizing the Town Manager to execute a Professional Services Agreement with Inspired ADUs, Inc. for the development of Permit- Ready Accessory Dwelling Unit plans through grant funds from the Senate District 7 ADU Accelerator Program.
Prepared by:
Jessica Lam
Assistant Planner
Reviewed by:
Diane J. Friedmann
Development Services Director
Attachment: Resolution No. 77-2026
RESOLUTION NO. 77-2026
AUTHORIZING THE TOWN MANAGER TO EXECUTE A PROFESSIONAL
SERVICES AGREEMENT WITH INSPIRED ADUS, INC. FOR THE
DEVELOPMENT OF PERMIT-READY ACCESSORY DWELLING
UNIT PLANS THROUGH GRANT FUNDS FROM THE
SENATE DISTRICT 7 ADU ACCELERATOR PROGRAM
WHEREAS, the Senate District 7 (SD7) Accessory Dwelling Unit Accelerator Program is funded by Section 19.564 of the 2023 Budget Act and administered by the California Department of Housing and Community Development ( State HCD); and WHEREAS, on October 15, 2024, the Danville Town Council adopted Resolution No. 72- 2024 authorizing the Town Manager to receive, distribute, and administer SD7 ADU Accelerator grant funds to eligible cities in Contra Costa and Alameda counties; and WHEREAS, the Town of Danville has received $ 50,000 in grant funds through the SD7 ADU Accelerator Program for the development or updating of permit-ready ADU plans; and
WHEREAS, following review of proposals and interviews, the Town selected Inspired ADUs, Inc. (Consultant) as the preferred consultant to develop five permit-ready ADU plans that could be made available to Danville residents at no cost; and WHEREAS, the Consultant submitted a final proposal dated August 31, 2026, with a notto-exceed compensation amount of $49,460, which is within the available $ 50,000 SD7 ADU Accelerator Program allocation for the development of permit-ready ADU plans; and
WHEREAS, sufficient grant funds are available from the Town' s SD7 ADU Accelerator Program allocation to fund the proposed Professional Services Agreement, and no General Fund appropriation is required; now, therefore, be it RESOLVED, that the Danville Town Council hereby authorizes the Town Manager to execute a Professional Services Agreement with Inspired ADUs, Inc. for the development of permit-ready Accessory Dwelling Unit plans in an amount not to exceed $49,460; and, be it further
RESOLVED, that the Town Council hereby authorizes the use of SD7 ADU Accelerator Program grant funds for the Professional Services Agreement and authorizes the Town Manager to take such additional actions as may be necessary to implement the agreement.
Docusign Envelope ID: 57693652- 9BFC- 8670-8175-82841DB6D4B8 PAGE 2 OF RESOLUTION NO. 77-2026
APPROVED by the Danville Town Council at a regular meeting on October 6, 2026, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
MAYOR
APPROVED AS TO FORM: ATTEST:
CITY ATTORNEY CITY CLERK
Docusign Envelope ID: 57693652- 9BFC- 8670-8175-82841DB6D4B8