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Lancaster Housing Rehabilitation Program LDM Professional Services Agreement Amendment No.1_05.2025

Lancaster City Council
May 13, 2025

Document
Lancaster Housing Rehabilitation Program LDM Professional Services Agreement Amendment No.1_05.2025
Meeting
May 13, 2025
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Lancaster City Council
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Rev 1/2019
AGREEMENT AMENDMENT NO. 1 FOR PROFESSIONAL SERVICES

This Amendment (“Amendment No. 1”) is hereby entered into effective May 13, 2025 by and between the City of Lancaster, a Municipal Corporation, in the State of California, and LDM Associates, Inc., a California Corporation, (“CONSULTANT”) with respect to the Professional Services Agreement between the parties dated March 29, 2023 (“Agreement”).

The Parties agree as follows:

1. RECITALS, D. “Term” is amended to now continue in full force and effect through March 29, 2026.

2. Section 2: COMPENSATION, 2.1 “Maximum Contract Amount” in the “Agreement” is amended to an amount not to exceed $603,226 for all work necessary to complete the Scope of Services in accordance with the Schedule of Compensation, as described in the original “Agreement” on page 66 of the Consultant’s Proposal and in the Additional Scope of Work attached to this “Amendment No. 1” as “Exhibit A”. This not-to-exceed amount will complete services rendered through the FY25-26 program year.

3. All other terms and provisions of the Agreement and subsequent amendments are hereby reaffirmed.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their respective officers thereunto duly authorized.

CITY OF LANCASTER LDM ASSOCIATES, INC.

______________________ _______________________________ Trolis Niebla, City Manager Rudy Munoz, Vice President

ATTEST:

City Clerk

APPROVED AS TO FORM:

City Attorney

CONTRACT SUBMISSION APPROVAL:

Department Head

6608 Gilfillan Drive ▪ Fontana ▪ California 92336 (909) 355 -1330 April 23, 2025
Christopher Aune
Housing Manager
City of Lancaster
44933 Fern Avenue
Lancaster, CA 93534
Subject: Request for Extension and Budget Adjustment - HRP Administration Dear Mr. Aune,
I am writing to formally request an extension of the Housing Rehabilitation Program Administration contract between the City of Lancaster and LDM Associates, Inc., originally established under Professional Services Agreement dated March 29, 2023. Additionally, we request an increase in the contract amount to align with the 20% administrative allocation of the program budget under the LDM contract.

The original LDM contract amount of $210,000 was based on LDM Associates’ proposal, which included $10,000 for the preparation of program guidelines and policies and procedures in addition to $200,000 for the day-to-day administration and implementation of the Housing Rehabilitation Program, reflecting 20% of the initial $1,000,000 program budget.

Since that time, the City has allocated additional funding, including $ 300,000 for the Turf Replacement and Beautification Program and additional CDBG program funds, bringing the total program budget to $1, 966,132 ($1,666,132 in CDBG +$300,000 in TRBP ). Given this adjustment, we respectfully request a revision to the contract amount to reflect the 20% administration and implementation cost proposal submitted and increasing the LDM contract budget to $193,226, which represents 20% of the additional $966,132 in program funds.

Furthermore, the City is proposing to fund the Housing Rehabilitation Program for the 2025 -26 program year with an additional $1,000,000 budget. If the City chooses to extend LDM’s contract to include these services, an additional $200,000 would be required, increasing the contract by $393,226. However, for the current program year, the immediate requested increase is $193,226.

We appreciate the opportunity to continue assisting the City of Lancaster in implementing this vital program and look forward to discussing this request further. Please let us know how we can proceed with the necessary amendments to the agreement or if you have any questions regarding this request.

Thank you for your time and consideration.

Sincerely,
Rudy Muñoz
Senior Vice President

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