RECOMMENDATION
AGENDA REPORT
Staff Recommends That The City Council Receive A Supplemental Report To Update The Staff Report Titled Interventions at E12th St and 3rd/Peralta.
REASON FOR SUPPLEMENTAL
The following supplemental report provides spending to date information which was not available when staff report titled Informational Report on Interventions at E12th St and 3rdPeralta printed on February 18, 2022 for the March 1st, 2022 City Council meeting.
Spending To Date
The Table below shows the invoices submitted thus far for the Sustainable Urban Neighborhoods contracts and the Housing Consortium of the East Bay (HCEB) services contracts.
Contract Contract
amount
Invoiced through
January 2022
Un-invoiced
balance as of
2/23/22
Expected
Balance on
June 30, 2022
Sustainable Urban
Neighborhoods 3rd
and Peralta
$868,477.96 $635,016.10 (paid)
$198,461.86 (payment
pending)
$35,000 $0
Sustainable Urban
Neighborhoods -E
12th and 2nd Ave
$1,531,522.04 1,357,405.46 (paid) $174,116.58 $0
Sustainable Urban
Neighborhoods -E
12th and 2nd Ave-
amendment
$330,000 N/A- amendment not
executed yet
$330,000 $0
HCEB- 3rd and
Peralta
$850,000 $204,122 (payment
pending)
$654,878 TBD
Council Meeting
March 1, 2022
TO: Edward D. Reiskin FROM: Sara Bedford
City Administrator Director, Human Services
SUBJECT: Supplemental Report on Interventions
at E12th St and 3rd/Peralta
DATE: February 24, 2022
City Administrator Approval
Date: Feb 24, 2022
Edward D. Reiskin, City Administrator
Subject: Supplemental Report on Interventions at E12th St and 3rd/Peralta Date: February 24, 2022 Page 2
City Council
March 1, 2022
HCEB-E 12th-
Lakeview Village
site
$1,300,000 $205,105 (payment
pending)
$1,094,895 TBD
Tiny Logic- Union
Point Park site*
$350,000 $112,000 (paid)* $232,000* balance being added to HCEB’s contract to serve the
entire site
*Tiny Logic contract ended January 23, 2022. Final budget reconciliation is not complete. The amounts above are estimates. The balance of funds from the Tiny Logic contract is transferring to HCEB to create a new budget which encompasses both sides of the E 12th site.
As stated in the previous report, in the last quarter of the year, providers are asked to project their spending through end of the year and any unexpended funds can be redirected to unmet needs in the program (through a budget revision) or can be unencumbered and become part of the City’s carryforward process to use for other needs. Because HCEB has less than 6 months of operations at either the E12th St sites or the 3rd/Peralta site it is difficult to estimate any underspending at this time. Some budget modifications have already happened with the 3rd/Peralta budgets as discussed in the original report.
In February 2022, the proposed budget, the site plan and invoices for the Sustainable Urban Neighborhoods contract for 3rd/Peralta were reviewed by staff within the Public Works department who have construction management expertise. Public Works staff also walked the site to review the completed work relative to the contract. It is important to note that this was not a Public Works Department project and therefore this third-party review was advisory and limited to the information provided by HSD and CAO staff (contract budget, invoice, site walk).
This process was to determine:
1. If the scope of work had been completed
2. If the contract cost was appropriate for the value of the work
Completion of Work: Public Works felt that the project appears to be substantially completed except for the following items.
• Installation of the switchgear and complete the hook up to permanent power • Stripping for parking stalls
• Finalize the electrical and sewer permits
The installation of the switchgear equipment has not been completed yet due to supply chain issues. Therefore, as is usual practice in construction contracts, the full contract amount will not be paid until the switchgear and all the other remaining items are completed.
Value: Public Works staff also identified two major scopes of work that constitute over 70% of the contract value – the purchase and set up of the 40 pallet shelters and the installation of power and lighting for the project. Based on the review of the proposed budget, invoices, purchase order for the shelters and payment schedule for the listed subcontractors, Public Works staff believes that the City was getting appropriate value from the work – the budgeted and invoiced costs appeared to be reasonable for the work performed. HSD Staff also noted Edward D. Reiskin, City Administrator
Subject: Supplemental Report on Interventions at E12th St and 3rd/Peralta Date: February 24, 2022 Page 3
City Council
March 1, 2022
that the Sustainable Urban Neighborhoods budget showed approximately $90,000 of services in kind and that their overhead and fees rate of 5% is lower than the industry average for a comparable project.
ACTION REQUESTED OF THE CITY COUNCIL
Staff Recommends That The City Council Receive A Supplemental Report To Update The Staff Report Titled Interventions at E12th St and 3rd/Peralta.
For questions regarding this report, please contact Lara Tannenbaum, Community Homelessness Services Manager, at 510-238-6187.
Respectfully submitted,
SARA BEDFORD, Director
Human Services Department
Prepared by: Lara Tannenbaum, Manager,
Community Homelessness Services