Agenda Report
Fullerton City Council
MEETING DATE: MARCH 19, 2024
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: SUNAYANA THOMAS, DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT PREPARED BY: TAYLOR SAMUELSON, SENIOR ADMINISTRATIVE ANALYST SUBJECT: PROFESSIONAL SERVICES AGREEMENT AMENDMENT NUMBER THREE WITH DUDEK FOR CONTINUED HOUSING INCENTIVE OVERLAY ZONE WORK
SUMMARY
City Council consideration of Amendment Number Three to Professional Services Agreement with Dudek to expand scope of work on the City Housing Incentive Overlay Zone to comply with California Department of Housing and Community Development (HCD) Housing Element requirements
PROPOSED MOTION
Approve $97,900 Amendment Number Three to Professional Services Agreement with Dudek and authorize City Manager, or designee, to execute and administer agreement, in a form approved by the City Attorney.
ALTERNATIVE OPTIONS
Approve the Proposed Motion
Do not approve Amendment Number Three and provide direction to identify next steps for project Other options brought by City Council.
STAFF RECOMMENDATION
Staff recommends the Proposed Motion.
CITY MANAGER REMARKS
None.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:
Fiscal and Organizational Stability.
FISCAL IMPACT
The Low / Mod Housing Authority (Fund 26) has budget available to support the $97,900 Amendment Number Three.
City Planning Grants Program (PGP) and Local Early Action Planning (LEAP) grant funds supported prior work. Contracts for Housing Element work will exhaust PGP and LEAP grant funding. Staff requests funding Amendment Number Three from the Low / Mod Housing Authority Fund (Fund 26) which conforms with California Health and Safety Code Section 34317, Section D related to research, studies, etcetera to expand housing.
BACKGROUND AND DISCUSSION
City HIOZ efforts started in early 2022 and continued as part of Dudek’s contract with tasks ranging from data gathering, stakeholder engagement, existing conditions, pro-formas, development standards, concept adoption and environmental document preparation. The contract has had two change orders due to staff turnover and modifications in scope.
The first change order enhanced stakeholder and community engagement efforts and revised Draft HIOZ regulations. The environmental document preparation costs shifted in the first change order approved by City Council on August 2, 2022. The second change order, approved administratively on October 24, 2022, shifted costs within the original City Council appropriation without increasing costs.
This last and final change order (Amendment Number Three) would incorporate steps to ensure the HIOZ addresses City Council direction and proper adoption. This change order includes funding for real estate economic assessments to determine feasibility for inclusionary requirements in affordable units at different income levels.
The scope includes additional analysis and revisions to the final HIOZ parcel list by Summer 2024, following City Council and Planning Commission feedback, to ensure the final HIOZ has incorporated items identified. The scope also includes form-based development standards, high-level mixed-use standards and California Environmental Quality Act (CEQA) assessments and coordination work.
Staff modified the adoption and implementation task to include additional Planning Commission and City Council public hearings set to occur before the December 2024 stipulated judgement deadline.
Attachments:
Attachment 1 - Amendment Number Three to Agreement with DUDEK Attachment 2 - Signed Professional Services Agreement
cc: City Manager Eric J. Levitt
Dudek Professional Services Agreement Amendment Three
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