Item #11
Date: May 17, 2022
To: Mayor and City Council
From: Dan Flores, Community Development Director
Jim Schaad, City Manager
Subject: Intergovernmental Agency Agreement between the City of Marysville and Habitat for Humanity
Recommendation:
Pass a Motion to adopt Resolution No. 2022-XX, a Resolution approving an Intergovernmental Agency Agreement between the City of Marysville and Habitat for Humanity for Housing Consultant Services by determining it is in the best interests of the City to suspend competitive bidding for these services as authorized in municipal code section 2.76.120(1)(A)(ii) and authorizing the City Manager or Designee to execute the agreement on behalf of the City.
Rationale for Recommendation:
The application submitted to the HOME Program under the 2019 Notice of Funding Availability appointed Regional Housing Authority (RHA) as the City’s Administrative Subcontractor that would be responsible for carrying out the requirements of the HOME Program and conditions outlined in the Standard Agreement. On January 6, 2022, the City received a letter from RHA that they would be terminating the Intergovernmental Agency Agreement entered into as of December 7, 2021. With this being a specialized service, there is extremely limited consultants in this area. Habitat for Humanity has the required resources to run such a program.
Background:
On December 3, 2019, the City Council authorized Staff to prepare and submit an application to Housing and Community Development (HCD) under the HOME Program to provide income qualified homeowners in the City of Marysville the opportunity to participate in the City’s Owner-Occupied Housing Rehabilitation Program. On October 13, 2020, the City was notified it was awarded a HOME grant in the amount of $1,000,000. The City received the executed standard agreement from HCD on December 23, 2021 and has been authorized to begin expending the grant funds.
Discussion & Analysis:
The City’s Owner-Occupied Rehabilitation Program will provide funds to assist low/moderate income homeowners whose primary residence is in need of repairs, improvements or reconstruction necessary Item #11
to correct health and safety deficiencies, energy savings & ADA improvements and meet building codes. Under the program, there are numerous procedural tasks required in order to ultimately qualify individual homeowners, conduct property appraisals, review construction bids for work proposed to be done to qualifying residences, conduct site inspections and walk-throughs, approve payments and provide all of the program record-keeping documentation required for reporting to HCD. The City does not currently have the staff resources to undertake these tasks.
Habitat for Humanity has the background and expertise in carrying out housing rehabilitation programs and will be held to the same goals, milestones, performance measurements and requirements as entered into by the City in the Standard Agreement with HCD and will assist the City in the completion of single-family housing rehabilitation projects.
Fiscal Analysis:
To provide all of the related program management and record-keeping, Habitat for Humanity will be paid 23% of loan award amounts from the proceeds of the HOME grant itself, totaling an estimated $197,317 as approved in the executed agreement with HCD. There is no General Fund obligation.
Attachment:
1) Resolution No. 2022-XX
2) Intergovernmental Agency Agreement