DATE: JUNE 25, 2024
DEPARTMENT: COMMUNITY DEVELOPMENT
FROM: LISA BRINTON, DIRECTOR
THROUGH: FRANCISCO BRAMBILA, ACTING PLANNING MANAGER
BY: JACQUELINE SMITH, HOMELESS SERVICES MANAGER
TITLE: FY 2024-27 SUBRECIPIENT FUNDING AGREEMENTS WITH COMMUNITY HUMAN SERVICES FOR SHARE CENTER OPERATIONS RECOMMENDED MOTION:
A motion to approve a Resolution authorizing:
the City Manager to negotiate and execute a Subrecipient Funding Agreement and any amendments with Community Human Services to operate the SHARE Center for the Fiscal Year 2024-2025 for an amount not to exceed $1,503,707; and the City Manager to negotiate and execute subsequent Subrecipient Funding Agreements for fiscal years 2025-2026 and 2026-2027 and increase the amount of compensation by $1,896,293 for a new amount not to exceed $3,400,000, contingent upon satisfactory program performance and future funding appropriation.
EXECUTIVE SUMMARY:
The Salinas Housing Advancement, Resources & Education (SHARE) Center, which opened on May 31, 2021, was initially operated by Bay Area Community Services (BACS) under agreements that will conclude on June 30, 2024, with the City of Salinas (City), and on August 31, 2024, with the County of Monterey (County). Anticipating these ends of term, the City, in collaboration with the County, issued a Request for Proposal (RFP) on April 19, 2024, to ensure uninterrupted service, selecting Community Human Services (CHS) as the new operator.
CHS has proposed a budget of $3,007,415 for the operations for Fiscal Year (FY) 2024-2025. In accordance with the existing Memorandum of Understanding (MOU) with the County, the operational expenses for the SHARE Center are to be equally divided between the City and the County. Therefore, the City's portion of these costs amounts to $1,503,707, for FY 2024-2025. The proposed negotiated agreement aims to fund the City’s share of operational costs for FY 2024-2025 using Capital Improvement Program (CIP) 9001 - Permanent Homeless Shelter funds.
BACKGROUND:
Since its opening in May 2021, the SHARE Center, which is located at 845 E. Laurel Dr., has consistently sheltered approximately 100 individuals daily and currently has a waiting list of approximately 517 persons as of April 2024. During this period, BACS has served as the operator. However, the terms of the BACS agreements will end on June 30, 2024, with the City; and on August 31, 2024, with the County.
On April 19, 2024, the City released an RFP seeking a new qualified service provider for the SHARE Center operations for a period of three years. On May 20th, 2 proposals were received from Community Homeless Solutions and Community Human Services. A panel comprised of City and County staff rated and ranked the proposals. Community Human Services (CHS) received the highest score. City staff proceeded to negotiate a draft Agreement for Services, which is provided as an attachment to this report for City Council consideration.
The City proposes to enter into an agreement with CHS to begin operations on August 1, 2024, through June 30, 2025; and the County intends to enter a negotiated agreement by the end of August 2024 through June 30, 2025.
The agreement with CHS includes the following performance metrics:
Maintain a nightly bed occupancy rate of 90%.
Assist 70% of participants to exit from the SHARE Center to permanent housing destinations.
Ensure that 95% of participants exit to known destinations (and coordinate with the City of Salinas Street Outreach and Response Team (SORT) regarding any exits back to homelessness).
Complete HMIS project data submissions within 72 hours of participant entries and exits for 100% of participants served.
Maintain 100% of HMIS data completion rate for HMIS Universal Data Elements.
Community Development Department staff will monitor performance and support CHS in achieving these outcomes, which will be reported to City Council at the end of the fiscal year.
CHS budget proposal was $9,694,420 for three years, with a cost of $3,007,415 for the FY 2024-2025 operations. In accordance with the existing Memorandum of Understanding (MOU) between the City and County executed on September 25, 2018, the operational expenses for the SHARE Center are to be equally divided between the City and the County. Therefore, the City's portion of these costs amounts to $1,503,707, for FY 2024-2025. This budget ensures the SHARE Center's 24/7 operations for FY 2024-2025.
The City’s agreement with CHS for FY 2024-25 operations, will be funded through CIP 9001 – Permanent Homeless Shelter. The City and County will have discretion to extend agreements based on yearly performance for the next three years.
CEQA CONSIDERATION:
Not a Project. The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).
STRATEGIC PLAN INITIATIVE:
The proposed agreements will advance the City of Salinas Strategic Plan 2022-2025 Goals and Housing/Affordable Housing through continued provision of immediate housing opportunities supported by robust housing navigation leading to permanent housing placements for those experiencing homelessness.
DEPARTMENTAL COORDINATION:
Community Development Department Housing & Community Development Division staff collaborated with the County to develop and issue the RFP for SHARE Center Operations, the rating and ranking of proposals, and the final recommended selection of CHS. The Agreement for Services and this agenda item was prepared by and will be solely administered by the Housing & Community Development Division with support from both the City Attorney and Finance Department.
FISCAL AND SUSTAINABILITY IMPACT:
Funding is currently appropriated in FY 2024-2025 CIP 9001 – Permanent Homeless Shelter. Subsequent Subrecipient Funding Agreements for fiscal years 2025-2026 and 2026-2027 are subject to appropriation in those years.
ATTACHMENTS:
Resolution
Subrecipient Funding Agreement
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