STAFF REPORT
City of Lancaster
CC 3
8/12/2025
TN
Date:August 12, 2025
To: Mayor Parris and City Council Members
From:Patti Garibay, Director - Community Development
Nicole Jones, Senior Analyst – Community Development
Subject:Amendment to Professional Services Agreement with Affordable Housing Solutions & Development of Southern California, LLC.
Recommendations:
1. Approve the Second Amendment to the Affordable Housing Solutions & Development of Southern California, LCC Professional Services Agreement extending the term of the agreement by one (1) year for a total of five (5) years, increasing the annual not-to- exceed amount to $165,000 for the remainder of the contract, for a total contract amount not-to-exceed of $605,200, and updating and expanding the services to be provided to include those listed in Exhibit A.
2. Authorize the City Manager, or his designee, to finalize and execute all documents related to the Amendment.
G.C. Section 84308: No
Fiscal Impact:
$230,000 - an additional $25,200 for Year 3 (Aug 2024-Aug 2025), additional $40,000 for Year 4 (Aug 2025-Aug 2026), and $165,000 for Year 5 (Aug 2026-Aug 2027 - which is the proposed one-year extension of the contract) - all to be funded out of 31422000.5790.
Background:
In May 2022, the City entered into an agreement with consultant Affordable Housing Solutions (AHS) following a Request for Proposals (RFP) process to procure technical assistance services related to affordable housing projects, programs, and funding sources. Examples of services provided to-date by AHS have included assistance with drafting Requests for Proposals consistent with the requirements of former state Redevelopment Law (RDA) and the state Surplus 2 1
1 3
Land Act (SLA), providing technical services and assistance to draft and carry out Disposition & Development Agreements, monitoring emerging funding sources and Notice of Funding Availability (NOFA) schedules, preparing funding applications to state and federal sources, and providing expert advice to support miscellaneous programs and projects. Additional funding will be needed to compensate for the increase in the scope of work discussed in Exhibit “A”.
The updated and expanded services will include:
Preparing a Strategic Plan for the Herald Tract sites and other miscellaneous vacant sites owned by the City;
Coordinating the preparation of a new 5-Year Plan for the Permanent Local Housing Allocation (PLHA) Program;
Monitoring the ongoing environmental clean-up of the HNR-1 site, then selecting a developer and negotiating a DDA in order to complete the disposition and development of the site;
Finishing the process to secure a Prohousing designation for the City and then preparing an application for the City to receive an award of Prohousing Incentive Program (PIP) funds;
Preparing annual reports for HCD programs and insuring timely and appropriate draw downs of funds; and
Assisting developers and City staff with applications for the Affordable Housing & Strategic Communities (AHSC) Program, which involves significant funding for affordable workforce housing and local transit improvements.
Due to their extensive expertise, thorough familiarity with the City’s existing programs, experience with new funding sources, and current status assisting with the execution of several pending long-term projects, staff proposes to extend the existing Professional Services Agreement for a period of one (1) year.
NJ/gb
Attachments:
Exhibit A – Amendment No. 2
Exhibit B – Amendment No. 1 and Original Professional Services Agreement