City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00464 5/16/2023 Consent Item 10.
Supplemental Agreements: City of Refuge, Paul & Sons Inc, Shree Enterprise LLC, Sky Riders Motel, Siyaram Hotels, LLC, and Arden Acres; and Suspend Competitive Bidding and Issue Requests for Proposals (RFP) for Women and Family Sheltering, City Motel Program Motel Owners, and City Motel Program Support Partners (Two-Thirds Vote Required) File ID: 2023-00464
Location: Citywide
Recommendation: Pass a Motion 1) authorizing the City Manager or the City Manager’s designee to: a) execute Supplemental Agreement No. 2 to City Agreement No. 2022-0747 with City of Refuge in an amount not to exceed $261,520, for a total not to exceed amount of $1,720,930; b) execute Supplemental Agreement No. 1 to City Agreement No. 2023-0106 with Paul & Sons, Inc in an amount not to exceed $195,000, for a total not to exceed amount of $920,000; c) execute Supplemental Agreement No. 1 to City Agreement No. 2023-0107 with Shree Enterprises in an amount not to exceed $340,000, for a not-to-exceed amount of $1,540,000; d) execute Supplemental Agreement No. 1 to City Agreement No. 2023-0111 with Sky Riders in an amount not to exceed $120,000, for a total not to exceed amount of $620,000; e) execute Supplement Agreement No. 1 to City Agreement No. 2023-0110 with Siyaram Hotels, LLC dba Gold Star Inn for an amount not to exceed $160,000, for a not to exceed amount of $760,000; f) execute Supplemental Agreement No. 1 to City Agreement No. 2023-0112 with Arden Acres in an amount not to exceed $185,000, for a not to exceed amount of $1,160,000; and 2) suspending competitive bidding in favor of conducting request for proposals (RFP) to select a) contractors to provide Women and Family Sheltering, b) motel owners to provide motel rooms for the City Motel Program, and c) contractors to provide support services to City Motel Program participants.
Contact: Nicholas Golling, Homeless Services Manager, (916) 808-7816, [email protected], Jason Beckstrom, Program Specialist, (916) 808-5709, [email protected], Department of Community Response Attachments:
1-Description/Analysis
2-City of Refuge Supplemental Agreement
3-Paul & Sons, Inc Supplemental Agreement
4-Shree Enterprise, LLC dba The Greens Supplemental Agreement
File ID: 2023-00464 5/16/2023 Consent Item 10.
5-Sky Riders Motel Supplemental Agreement
6-Siyaram Hotels, LLC dba Gold Star Inn Supplemental Agreement 7-Arden Acres Supplemental Agreement
Additional Description/Analysis
Issue Detail : Homelessness is an issue that impacts communities without regard to geographic or political boundaries and for which there is no single answer or approach. Shelters play a significant role in addressing homelessness and as such it is necessary to create a systemic approach to addressing homelessness which includes low to no barrier crisis shelters. The City of Sacramento recognizes the important role that such shelters play in helping move people out of homelessness and into permanent housing.
The number of unsheltered persons in Sacramento is increasing despite significant investment by the City, Sacramento County, the Sacramento Housing and Redevelopment Agency (SHRA), Sacramento Steps Forward and numerous partners. The humanitarian crisis impacts those who are living outdoors and the entire community including residents, businesses, and visitors and there is an urgent need to act to bring more people indoors. According to the 2022 Sacramento Point-In-Time (PIT) Count released by the Sacramento County Continuum of Care, the County of Sacramento had a homeless population of 9,278, an increase of 67% since 2019. Despite the increase in people experiencing homelessness, there was a noted decrease in unsheltered family homelessness, which is largely attributed to the work of the Women and Family Shelter Program and the City Motel Program and their ability to assist families with shelter and services.
City of Refuge
In June 2021, City Council approved a one-year agreement with City of Refuge for women and family sheltering services for approximately 120 total people for a total not-to-exceed amount of $997,900.
In the midyear FY22 budget, Council approved a motion to fund Women’s and Children’s programs with $2,000,000. In July 2022 Council approved another one-year agreement with City of Refuge to use $1,459,410 of those funds to continue to serve women and families with an increase up to approximately 200 total people.
City of Refuge can serve up to 200 individuals at a time including 20 families in their shelter program and 50 families in the City Motel Program. The City of Refuge shelter program provides a safe place for families to live and receive personalized case management, employment assistance, resource counseling and referrals, and permanent housing navigation assistance. The City’s Motel Program assists our unsheltered community in providing wraparound services and rehousing assistance. This program assists our local motels as they partner with the City to provide the necessary program operations and services.
Since July 2021, City of Refuge has served 108 women and children in their shelter program. During that time of the 85 people that have exited the program, 28 have moved into permanent housing and 20 have moved into positive temporary housing. Since July 2021, City of Refuge has served and 406 women and families in the City Motel Program. During that time 154 people have exited the program, 53 have moved into permanent housing and 32 have moved into positive temporary housing.
Since July 2021, 55.6% of the participants that have exited City of Refuge’s shelter program, or their
File ID: 2023-00464 5/16/2023 Consent Item 10.
supportive services in City Motel program, have left to positive destinations.
DCR staff plan to issue a new RFP for women and family sheltering services and motel support services to follow the City’s procurement process. To provide sufficient time for the RFP process, without interrupting vital services to individuals experiencing homelessness, City staff are seeking the recommended supplemental agreement with City of Refuge to fund and extend their shelter and City Motel Program support services for an additional two months through August 31, 2023.
City Motel Program
On January 27, 2021, the City Council adopted Resolution No. 2021-0023, which proclaimed the existence of a Local Public Emergency relating to unhoused persons amidst extreme weather conditions and the COVID-19 pandemic.
On March 2, 2021, the City Council adopted Resolution No. 2021-0053, which further recognized the urgent need to offer unhoused persons, facing imminent health and safety threats, with non-congregate shelter and authorized the City Manager to provide motel vouchers to qualified persons as long as the Federal Emergency Management Agency (FEMA) continued to provide 100 percent reimbursement.
On February 8, 2022, the City Council adopted Resolution No. 2022-0041, which recognized the urgent need to continue to offer the local unhoused population, facing imminent health and safety threats, with non-congregate shelter and authorized the City Manager to continue to provide motel vouchers and related services for unsheltered households qualified to receive federal funding support as long as FEMA continued to allow for seeking full reimbursement for the most COVID-19 at-risk members of the unsheltered population.
On February 15, 2022, the City Council adopted Resolution No. 2022-0062, which released $10,173,567 in ARPA funding for homelessness and housing programming in Community Response (I23000100). This midyear ARPA program funding included funding for the City Motel Program after the FEMA reimbursement program was scheduled to end on June 30, 2022. However, on April 1, 2022, FEMA issued guidance that FEMA funding would remain available for eligible work conducted after July 1, 2022, under the 90/10% cost share (where 90% of eligible work may be reimbursed by FEMA) until the COVID-19 incident period is closed.
On September 12, 2022, the City Council adopted Resolution No. 2022-0296, which authorized $1,650,000 in ARPA funding to the City Motel Program. A portion of these funds have been used for non-FEMA reimbursable expenses in the City Motel Program and the remining funds will be used for the same purpose under the recommended supplemental agreements.
In December 2022, City Staff completed a Request for Qualifications process and as a result, identified the current partners being recommended for contracts, consistent with the program parameters.
On January 24, 2023, the City Council adopted Resolution No. 2023-0016, which authorized the City Manager, or his Designee, to execute agreements for Motel Services with Paul & Sons Inc, Shree Enterprise LLC, Sky Riders Motel, Gold Star Inn, and Arden Acres through June 30, 2023.
File ID: 2023-00464 5/16/2023 Consent Item 10.
On February 9, 2023, FEMA announced that all COVID-19 Disaster Declaration Incident Periods will close May 11, 2023. Therefore, after May 11, 2023, the City will no longer be able to seek FEMA reimbursement for the City Motel Program. After the FEMA reimbursement period ends the City Motel Program will be funded using already authorized ARPA and HHAP funding.
Since the inception of the City Motel Program in December 2020, over 1,517 individuals, including 456 children, experiencing homelessness have been served. The City Motel Program provides a motel room to stay-in along with wrap around services including housing coordination and navigation, program referrals, and move-in support to ensure once clients find housing, they can remain stably housed. Of the 373 participants that left to known destinations, 48.5% (or 181) went to permanent or positive temporary housing.
With the FEMA reimbursement period ending, City staff will make updates to the City Motel Program and issue a new RFP for Motel owners and City Motel Support Partners. To provide sufficient time for the RFP process, without interrupting vital services to individuals experiencing homelessness, City staff are seeking the recommended supplemental agreements to fund and extend the City Motel Program for an additional two months through August 31, 2023.
Women and Family Sheltering
On February 2, 2021, Council appropriated $2,000,000 to support Women and Family Sheltering Programs. In March 2021 DCR issued an RFP for Women and Family Sheltering and related service programs. A review panel scored five proposals totaling $2,632,065. On June 15, 2021, Council appropriated an additional $680,000 to further support women and family sheltering programs, making the total available funding amount $2,680,000.
In July 2021 DCR entered into agreements with City of Refuge, Saint John’s Program for Real Change, WEAVE, Sac Connect, and Women’s Empowermentfor Women and Family Sheltering and related service programs. In July 2022 DCR renewed contracts with City of Refuge, Saint John’s Program for Real Change, and WEAVE to continue providing services to support women and family sheltering programs.
Since July 2021, 616 people experiencing homelessness have been served by the City’s Women and Family Sheltering Programs. During that time 278 children were served, including 123 children under five years old. There have been 487 participants that have exited the City’s Women and Family Sheltering Program, 63 moved into permanent housing and 243 moved into positive temporary housing. Since July 2021, 63% of the participants that have exited the City’s Women and Family Sheltering Programs have left to positive destinations.
The current agreements supporting the Women and Family Sheltering Programs that expire on June 30, 2023, are being extended thru August 31, 2023.
Suspension of Competitive Bidding Process
City Code requires the City to award new contracts through a competitive bidding process or to request suspension of competitive bidding so that another selection process, including a RFP, can be used. Understanding the need to continue to provide vital shelter services without an interruption in services to such a vulnerable population, it is in the City’s best interest to extend all current City Motel
File ID: 2023-00464 5/16/2023 Consent Item 10.
Program and Women and Family Sheltering agreements through August 31, 2023 and issue RFP’s to be awarded in September 2023.
Policy Considerations: Pursuant to Sacramento City Code section 3.56.090, any agreement for non-professional services that is for $250,000 or more requires City Council approval.
City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action.
Economic Impacts: None.
Environmental Considerations: Not applicable.
Sustainability: Not applicable.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: Services provided by these agreements address the ongoing need for both shelter and supportive services for individuals and families experiencing homelessness.
These extensions will provide DCR staff with enough to perform RFP’s for Women and Family Sheltering, City Motel Program Motel Owners, and City Motel Program Support Partners without an interruption in services.
Awarding through an RFP process, rather than a competitive bidding process, will allow the City to consider factors other than the lowest price. The ability of contractors to exhibit experience working with a vulnerable population of individuals experiencing homelessness, ability to serve various Council districts, and ability to respond quickly and work in collaboration with DCR will be used to determine the top-ranked proposer(s). The scores will be totaled, and the highest-ranking proposer(s) will be asked to enter into contract negotiations with the City. Final contract approval will be granted by the City Council at a future Council meeting.
Financial Considerations: Sufficient funding is available (Measure U, Fund 2401) in the Homeless Housing Initiative MYOP (I02000200) to execute the supplemental agreement with City of Refuge for an amount not-to-exceed $261,520.
Sufficient funding is available (ARPA Reinvestment Fund, Fund 1003) in the C19 Homeless Response Program (G02001700) to execute supplemental agreements with Paul & Sons, Inc in an amount not to exceed $195,000, Shree Enterprises in an amount not to exceed $340,000, Sky Riders in an amount not to exceed $120,000, Siyaram Hotels, LLC dba Gold Star Inn for an amount not to exceed $160,000, and Arden Acres in an amount not to exceed $185,000.
Funding for the Women and Family Sheltering will come from the Homeless & Community Outreach
File ID: 2023-00464 5/16/2023 Consent Item 10.
Multi Year Operating Project (MYOP) (I23004000). Funding for the City Motel Program Support Partners will come from Measure U funds in the Homeless Housing Initiative Multi Year Operating Project (MYOP) (I02000200). Funding for the City Motel Program Motel Owners will come from the Homeless Housing, Assistance and Prevention (HHAP) Grant round 3 and round 4 funding.
Local Business Enterprise (LBE): All businesses and non-profit organizations that the Department of Community Response is partnering with are LBEs in the City of Sacramento.
For the RFP’s, there will be an additional five preference points awardedto all firms that qualify as an LBE.
Approval Recommended By:
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08:13PDT)
Project Manager
Approved By:
Contractor
Approved By:
Mario Lara, Assistant City Manager
City of Sacramento
(Rev. 11-1-19)
SUPPLEMENTAL CONTRACT
Approved As To Form By:
Beau Parkhurst_(Apr 17, 202315:14 PDT)
City Attorney
Attest:
City Clerk