TO: Mayor and City Council
FROM: Philippe Eskandar, City Manager
BY: Isidro Figueroa, Community Development Director
DATE: July 8, 2026
SUBJECT: APPROVAL OF AMENDMENT NO. 2 TO THE
PROFESSIONAL SERVICES AGREEMENT WITH MOBIUS
PLANNING, LLC, INCREASING THE NOT-TO-EXCEED
CONTRACT AMOUNT BY $38,500 AND EXTENDING THE
TERM OF THE AGREEMENT THROUGH JULY 12, 2029,
FOR CONSULTING SERVICES RELATED TO THE
STONEMAN HOUSING DEVELOPMENT PROJECT
STRATEGIC PLAN CRITICAL SUCCESS FACTORS
Engaged and Connected Residents
Efficient, Responsive, and Effective City Services
Fiscally Responsible and Transparent City Government
BACKGROUND
On July 12, 2023, the City Council approved a Professional Services Agreement with Mobius Planning, LLC (Mobius) to provide consulting services related to the preparation of the City's Housing Element. The State certified the City’s 6th Cycle Housing Element in February 2025. On May 14, 2025 the City Council approved Amendment No. 1 to the Professional Services Agreement with Mobius for the preparation of the General Plan Safety Element, which State law requires to be updated upon revision of the Housing Element. The City Council approved and adopted the updated Safety Element on June 26, 2026.
As part of the City's certified Housing Element, Program 1.14 requires the City to identify a qualified development partner for the potential development of approximately 1.56 acres of the City-owned Stoneman site through a Tony Chou, Mayor
Calvin Lo, Vice Mayor
Hunter Chang, Council Member
John Chou, Council Member
Gretchen Shepherd Romey, Council Member
competitive Request for Proposals (RFP) process. The site is identified in the Housing Element to accommodate a minimum of 49 housing units, consistent with the City's Regional Housing Needs Allocation obligations.
To implement Program 1.14, the City released RFP No. 2025-RFP-027 on December 10, 2025, seeking proposals from qualified multifamily housing developers for the potential development of the Stoneman site. Proposals were due on March 10, 2026, and the City received thirteen (13) proposals for consideration.
DISCUSSION
The evaluation of these proposals requires highly specialized expertise in housing finance, development feasibility, and financial analysis that extends beyond the City's current in-house staff resources and experience.
Mobius has experience evaluating multifamily housing developments and performing detailed pro forma analyses to assess project feasibility, development assumptions, and funding strategies. Their expertise will assist the City in evaluating the financial feasibility of each proposal and assessing each development team's ability to successfully implement the project.
Given Mobius' role in assisting in the preparation of the City's certified Housing Element, the firm is uniquely familiar with the City's housing objectives, the Stoneman site, and the RFP process. Their familiarity with the project will allow them to efficiently assist staff in evaluating the proposals and provide technical recommendations to support the City Council's selection of a qualified development partner.
The proposed Amendment No. 2 would increase the agreement by $38,500 and extend the term of the agreement by two years, through July 12, 2029, to provide these specialized consulting services associated with the evaluation of the thirteen (13) proposals received in response to the Stoneman Housing Development RFP. These services will supplement City staff's review by providing an objective evaluation of each proposal's financial feasibility and development approach. The proposed amendment will also allow Mobius to continue providing technical consulting services, as needed, to support the City's implementation of the Stoneman Housing Development Program. This technical expertise will assist the City in selecting a development partner that best aligns with the City's Housing Element objectives and supports the City's goal of identifying the development vision that will provide the greatest longterm benefit to the City and the community.
FISCAL IMPACT & PROCUREMENT REVIEW
A FY 2026-27 budget adjustment in the amount of $38,500 is required for the Community Development Department Other Contract Services account (101- 14-4150-0000) to fund the additional consulting services.
The Finance Director has reviewed this report and concluded that the proposed agreement is in the best interest of the City.
LEGAL REVIEW
The City Attorney's office has reviewed and approved as to form.
RECOMMENDATION
Staff recommends the City Council approve Amendment No. 2 to the Professional Services Agreement with Mobius Planning, LLC, direct the City Attorney to prepare the amendment, and authorize the City Manager to execute the amendment. If Council concurs, the appropriate motion would be:
“I move to approve Amendment No. 2 to the Professional Services Agreement with Mobius Planning, LLC, increasing the not-to-exceed contract amount by $38,500 and extending the term of the agreement through July 12, 2029, for consulting services related to the evaluation of proposals received in response to the Stoneman Housing Development Request for Proposals and implementation of the Stoneman Housing Development Program; direct the City Attorney to prepare Amendment No. 2 consistent with the scope outlined in the staff report; and authorize the City Manager to execute said amendment.”
ATTACHMENTS
1. Professional Services Agreement with Mobius Planning, LLC (July 12, 2023)
2. Proposed Amendment No. 2 to the Professional Services Agreement
3. Scope of Services and Fee Schedule