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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: October 15, 2025
To: Honorable Mayor and City Council Members
From: Gabriel Elliott, Director of Community Development & Housing Department: Community Development & Housing
Subject: Authorize the City Manager to execute a Professional Services Agreement with MNS Engineers, Inc. for Grant
Consulting Services in an amount not to exceed $665,010 (All Ward)
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino, California:
1. Authorize the City Manager to execute the Professional Services Agreement between the City of San Bernardino and MNS Engineers, Inc. for grant consulting services in an amount not to exceed $665,010, with up to $443,340 available for the first two years of the Agreement and up to $221,670 for an optional one-year period; and
2. Authorize the City Manager to enter into future amendments related to substantial changes to the scope of work, so long as those changes are in furtherance of and do not frustrate the purpose of the agreement; City Manager’s Comments:
The City Manager recommends approval. This contract will be a not-to-exceed $665,010 which would allow the City to reduce the cost of the agreement in a given year if there is not a need for the amount appropriated.
Executive Summary
The City of San Bernardino receives federal and state housing community development funds which require strict compliance with U.S. Department of Housing and Urban Development (HUD) and California Department of Housing and Community Development(HCD) regulations to maintain eligibility. These funds include Community Development Block Grant (CDBG), HOME Investment Partnership Program (HOME), 2 8
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HOME Investment Partnership Program American Rescue Plan Program (HOME- ARP), Emergency Solution Grant (ESG), and Permanent Local Housing Allocation (PLHA). To address ongoing staffing shortages and complex grant requirements, the City issued Request for Proposal (RFP) F-25-1033 for Grant Administration Services, resulting in the selection of MNS Engineers, Inc. for a contract in the amount of $665,010.00, of which up to $443,340.00 may be expended for the first two years of the Agreement, and up to $221,670.00 for an optional one-year period. MNS Engineers brings extensive experience in managing HUD-funded programs and has already supported the City with preparation of the Fiscal Year (FY) 2024–25 Consolidated Annual Performance Evaluation Report (CAPER). Through this agreement, MNS Engineers will provide technical assistance, training, financial oversight, compliance monitoring, and preparation of required reports, thereby strengthening the City’s operational capacity, safeguarding funding, and ensuring the effective delivery of housing and community development programs.
Background
The City of San Bernardino (City) is an entitlement jurisdiction that annually receives CDBG, HOME, HOME-ARP, ESG, and other federal funds from HUD and HCD. These funds support the provision of decent housing, suitable living environments, and expanded economic opportunities, primarily for low- and moderate-income residents.
To remain eligible for continued funding, Housing staff must comply with various federal and state grant requirements.
To support the Housing and Homeless Services Division in fulfilling regulatory and grantee responsibilities, the City issued RFP F-25-1033 for Grant Administration Services on June 5, 2025, with a closing date of July 1, 2025. The Purchasing Department received bids from three consulting firms: Advanced Avant Garde Corporation, Michael Baker International, and MNS Engineers Inc. A panel of three reviewers conducted an independent evaluation of each proposal, reviewing licensing, conflicts of interest, proposal clarity and content, firm and team experience, fee proposal, references, exceptions to the RFP, and litigation history. Based on the panel’s overall assessment of these criteria, MNS Engineers, Inc. was selected for a two-year contract with an option for a one-year extension. MNS Engineers brings extensive experience supporting municipalities with a range of grant-funded programs, including CDBG, HOME-ARP, ESG, and PLHA, through the development and implementation of policies and procedures, program delivery, grant management, compliance oversight, and reporting of program outcomes to City constituents, HCD, and HUD.
Discussion
Each year, the City receives federal and state funds. The Housing and Homeless Services staff must comply with a wide range of federal grant requirements to ensure continued funding from HUD and HCD. Due to prolonged staffing shortages and complex HUD and HCD compliance requirements, the Housing Division determined it necessary to engage a consulting firm to provide targeted support in administering multiple grants and preparing various programmatic functions. MNS Engineers, Inc. 2 8
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has extensive experience assisting municipalities with various grant-funded programs, including CDBG, HOME, ESG, and PLHA. Their expertise includes policy and procedure implementation, grant management, environmental services, labor compliance, and reporting program achievements to City constituents, HCD, and HUD.
MNS Engineers, Inc. has provided technical assistance and supported new department staff in preparing the FY 2024–25CAPER. This report, required annually by HUD, details the City’s progress in implementing the goals and activities established in its Five-Year Consolidated Plan and corresponding Annual Action Plans.
The proposed Professional Services Agreement with MNS Engineers, Inc. is in an amount not to exceed $665,010, which includes up to $443,340 for the initial two-year term and an additional $221,670 should the City exercise a one-year extension option.
Compensation will be based on a time-and-materials basis, in accordance with the hourly rates set forth in the Agreement’s fee schedule, with an anticipated departmental utilization of approximately 40 hours per week, subject to project requirements and funding availability.
This agreement will provide the department with critical support to strengthen compliance, accountability, and efficiency in administering federally and state-funded housing and community development programs. The consultant will assist in ensuring all HUD-and State-required reports, amendments, and public participation documents are accurately prepared and submitted on time, safeguarding the City’s regulatory standing and funding eligibility. Financially, the consultant will deliver hands-on training and guidance to improve oversight of reimbursements, invoices, drawdowns, and grant authorizations, while reinforcing the City’s internal policies and procedures to meet federal and state standards. Beyond compliance, the consultant will enhance internal capacity through regular communication, weekly progress updates, rapid response to inquiries, and staff preparation for public reports and presentations. Through this partnership, MNS Engineers will recommend process improvements and streamlining opportunities, which will build long-term program sustainability, improve service delivery, and strengthen the City’s ability to effectively administer State and HUD- funded initiatives.
2021-2025 Strategic Targets and Goals
The proposed Consultant Services Agreement meets Mayor and City Council Goal No. 1 Improved Operational & Financial Capacity. Approving this Professional Services Agreement with MNS Engineers, Inc, will allow for continued effective management and reporting of grant by the City.
Fiscal Impact
FINANCIAL DATA Current Fiscal Year: Next Fiscal Year: Total Cost: Ongoing Cost:
COST $ 221,670 $ 221,670 $ 443,340 $ 0
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These services will be funded primarily through grant funds, including CDBG, HOME, HOME-ARP, and PLHA, with minimal impact on the General Fund in FY 2025 and FY 2026.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California:
1. Authorize the City Manager to execute the Professional Services Agreement between the City of San Bernardino and MNS Engineers, Inc. for grant consulting services in an amount not to exceed $665,010, with up to $443,340 available for the first two years of the Agreement and up to $221,670 for an optional one-year period; and
2. Authorize the City Manager to enter into future amendments related to substantial changes to the scope of work, so long as those changes are in furtherance of and do not frustrate the purpose of the agreement Attachments
Attachment 1 Professional Services Agreement with MNS Engineers, Inc.
Attachment 2 MNS Engineers, Inc. Proposal for Grant Administration Services Ward:
All Wards
Synopsis of Previous Council Actions:
None.
GENERAL FUND SHARE $ 55,418 $ 55,418 $ 110,836 $ 0
SOURCES OF FUNDS:
CDBG - $80,000*
HOME - $20,000*
HOME-ARP - $40,000*
PLHA - $26,252*
GENERAL FUND - $55,418
Total - $221,670
Budget Adjustment:
No
*These amounts are projections and are subject to adjustment based on actual project requirements.
For Fiscal Year: 25/26
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CC: Eric Levitt, City Manager