DATE:
June 18, 2024
TO:
Mayor and City Council
FROM:
Interim City Manager
SUBJECT:
Adopt a Resolution Authorizing the City Manager to Negotiate and Execute a Professional Services Agreement with Townsend Public Affairs, Inc. for State Legislative Advocacy Services for Fiscal Year 2025
RECOMMENDATION
That the Council adopt the attached resolution (Attachment II) authorizing the City Manager to negotiate and execute a professional services agreement with Townsend Public Affairs, Inc. for a period of one year, renewable for up to an additional five years, in an amount not to exceed $72,000 in its initial contract period.
SUMMARY
Since 2009, Townsend Public Affairs, Inc. (“Townsend”), has acted as the City’s primary state legislative advocate. Townsend’s work for the City includes legislative advocacy, seeking funding through grants and budget earmarks, and relationship-building with state legislators and agencies. Over the past three fiscal years, Townsend has secured $12.7 million in state budget earmarks, including funds for the Hayward Evaluation and Response Teams (HEART), the Stack Youth and Family Center Phase II, and the St. Rose Hospital Sub-Acute Facility, all in FY 2024. In January 2024, the City issued a Request for Proposals (RFP) for both federal and state legislative advocacy services. Townsend submitted the only responsive bid to the RFP and was selected by staff to continue state legislative advocacy services. The Townsend contract will total $72,000 and be renewable on a yearly basis through FY 2029, with a proposed increase of $500 per month, or $6,000 per year, at each contract renewal. Townsend’s monthly fee will be shared between the General Fund and the City’s Enterprise Funds. Contract increases in future years will be included in the annual budget request for the City Manager’s Office.
BACKGROUND
Beginning in 2009, Townsend Public Affairs, Inc. (Townsend) has assisted Hayward in advocating for its policy priorities and securing funding for programs ranging from transportation infrastructure improvements to affordable housing. Townsend’s work with the City initially included both state and federal advocacy efforts.
In the fall of 2014, staff completed a Request for Proposal (RFP) process to identify and evaluate potential state legislative advocacy service providers. Four firms responded to the RFP, with the evaluation panel unanimously selecting Townsend to continue to provide state-level services.
As the City’s primary legislative advocate in Sacramento, Townsend has assisted the City with securing State grants and earmarks. Since fiscal year 2022, Townsend has secured $12.7 in state budget earmarks for the City of Hayward. A summary of recent state earmarks to the City of Hayward is shown in Table 1, below.
Table 1: Summary of State Budget Earmarks, FY 2022 to FY 2024 Fiscal Year
Project
Amount
FY 2023-2024
Stack Youth and Family Center Phase II
$2,500,000
FY 2023-2024
St. Rose Hospital Sub-Acute Facility
$2,000,000
FY 2023-2024
Hayward Evaluation and Response Teams (HEART)
$1,212,000
FY 2022-2023
Scattered Site Housing Project
$5,400,000
FY 2021-2022
South Hayward Youth and Family Center Project
$1,000,000
FY 2021-2022
Hayward Navigation Center Operations Support
$662,000
TOTAL
$12,774,000
In January 2024, the City issued a Request for Proposals (RFP) for both federal and state legislative advocacy services to evaluate available vendor options and ensure the continued effectiveness of the legislative program. Townsend submitted the only responsive bid to the RFP. As a result, and in light of its track record of success, the RFP was not re-issued and Townsend was selected to continue as the City’s provider for state legislative advocacy services.
DISCUSSION
Staff is recommending that the Council adopts the attached resolution (Attachment III) to authorize the City manager to execute the FY 2025 contract with Townsend to continue its advocacy on behalf of the City. The contract is not to exceed $72,000.
Townsend’s scope of work for the City has historically included:
Legislative advocacy, including platform and strategy development; analysis and tracking of legislation; communication and lobbying efforts; and drafting of legislation.
Grant application assistance, including funding strategy development; grant application management; monitoring of funding opportunities; and communication with grantor agencies.
General advocacy, including relationship building with State legislative and administrative officials; coordination of in-person advocacy for the Council and City staff; and providing Council with periodic updates regarding efforts on the City’s behalf.
FISCAL IMPACT
Townsend Public Affairs, Inc.’s monthly fee is $6,000 per month, for a total of $72,000 per year. The attached resolution grants the City Manager the authority to renew this contract annually for up to five years, with an annual increase of $500 per month ($6,000 per year), for a total amount over five years of $420,000. Table 2 shows the proposed annual contract amounts.
Table 2: Proposed Contract Amounts by Year
Year
Monthly Rate
Annual Contract Amount
Year One: FY 2025
$6,000
$72,000
Year Two: FY 2026
$6,500
$78,000
Year Three: FY 2027
$7,000
$84,000
Year Four: FY 2028
$7,500
$90,000
Year Five: FY 2029
$8,000
$96,000
TOTAL
$420,000
The budget for Townsend’s professional services contract will be shared by the General Fund and the Water and Recycling funds. 69% of the contract amount will be allocated to the General Fund, with 16% allocated to the Water Fund, 10% allocated to the Measure D Recycling Fund, and 6% allocated to the Wastewater fund. The dollar amount of these allocates for FY 2025 is shown in Table 3, below.
Table 3: FY 2025 Funding Schedule
Fund
Annual State Legislative Advocacy Funding
General Fund
$49,680
Water Fund
$11,520
Measure D Recycling Fund
$7,200
Wastewater Fund
$4,320
TOTAL
$72,000
Townsend’s annual contract also includes grant writing and management service assistance at no additional cost. Department and project teams throughout the City may choose to make use of these services without entering into separately funded agreements or purchase orders for those services.
STRATEGIC ROADMAP
The Legislative Program and Townsend’s advocacy efforts are intended to reflect and support all six Strategic Priorities as outlined in the current Strategic Roadmap: 1) Enhance Community Safety and Quality of Life; 2) Preserve, Protect and Produce Housing for All; 3) Confront Climate Crisis and Champion Environmental Justice; 4) Invest in Infrastructure; 5) Grow the Economy; and 6) Strengthen Organizational Health.
NEXT STEPS
Upon approval by Council, staff will finalize and execute the agreement with Townsend Public Affairs, Inc., to continue its advocacy services.
Prepared by: Rick Rivera, Management Analyst II
Recommended by: Dustin Claussen, Interim City Manager
Approved by:
Dustin Claussen, Interim City Manager