City Council
Report
City Council Meeting: April 28, 2026
Agenda Item: 4.F
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To: Mayor and City Council
From: Christopher Dishlip, Director of Public Works, Facilities Maintenance Division Subject: Approve Modification to Grant Agreement with Chrysalis #11427 to Increase Transitional Employment Services for the Public Works Department Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of no possibility of significant effect pursuant to Section 15061(b)(3) (Common Sense Exemption) of the California Environmental Quality Act (CEQA) Guidelines; and
2. Authorize the City Manager to execute a first modification to grant agreement #11427 (CCS) in an amount of $490,416 with Chrysalis for increased transitional employment services for the Public Works Department. This will result in a new total amount not to exceed $1,635,060, with future year funding contingent on Council budget approval.
Summary
In support of revitalizing civic spaces and promoting economic activity, the Public Works Department has implemented several successful programs funded through the City’s Realignment Plan, with efforts to date focused primarily in the downtown core. As noted in the March 24, 2026 update to the Realignment Plan, there is a growing need to expand enhanced maintenance initiatives to commercial districts and additional neighborhoods.
The existing grant agreement with Chrysalis is ideally designed to assist the Public Works Department to meet the needs of the Realignment Plan through their Transitional Employment Program, providing services like litter removal and pressure washing. 2 of 4
To accomplish this goal, staff recommends approval of a first modification to the grant agreement with Chrysalis in the amount of $490,416, increasing the total contract amount to not-to-exceed $1,635,060, for the term ending June 30, 2027.
Discussion
On July 19, 2023, the City entered into a grant agreement with Chrysalis to provide a range of human services programs benefiting City residents over a four-year period ending June 30, 2027.
The City’s Realignment Plan, through its Safe Neighborhoods and Clean Streets initiatives, prioritizes improving the physical condition of civic spaces through targeted and impactful measures. The March 24, 2026, update to the Realignment Plan highlighted these successes while also identifying the need to expand maintenance efforts beyond the downtown core into other commercial corridors and neighborhoods.
To support this enhanced level of service, staff recommends engaging Chrysalis to assist with litter removal and power washing in commercial districts and neighborhoods.
Under the City’s existing agreement, Chrysalis recruits crew members through its Transitional Employment Program, which provides participants with on-the-job training, work experience, and opportunities to develop teamwork skills. Many participants subsequently secure full-time employment with other agencies, private companies, and nonprofit organizations.
Staff believe that augmenting Chrysalis’ contract with Realignment Plan funds to meet the City’s immediate needs would further provide meaningful workforce development opportunities for unhoused and low-income individuals, while advancing the goals of the Realignment Plan.
Environmental Review
Approval of the first modification to the grant agreement with Chrysalis is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) (Common Sense Exemption) of the CEQA Guidelines, which states that CEQA does not 3 of 4
apply “where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.” The first modification to the grant agreement is for litter-removal and pressure-washing services. Therefore, it can be seen with certainty that the funding recommendations in the program would not result in adverse physical impacts on the environment, and as such, is categorically exempt from CEQA.
Past Council Actions
Meeting Date Description
05/09/2023
(Attachment A)
2023-27 Human Services Grants Program (HSGP) Funding
Recommendations
Financial Impacts and Budget Actions
Staff seeks authority to approve available funding from the General Fund to increase the amount of the grant agreement #11427 with Chrysalis to provide transitional employment services. Future year funding is contingent on Council budget approval.
Contract Request
Current
Authorized
Amount
FY 2025-26
Request
Amount
Future Years
Amount
Deptartment
Account #
Total Revised
Contract
Amount
$1,144,644 $65,416 $425,000 01500041.550010 $1,635,060
Prepared By: Jose Aguilar, Custodial Services Administrator Approved Forwarded to Council
Attachments:
A. May 9, 2023 Staff Report (Web Link)
B. Signed_FY2023-27_HSGP_Grant_Agreement Chrysalis (2)
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C. Signed_FY25-26_HSGP_Letter_Agreement_Chrysalis (3)
D. Levine Act Disclosure Form 2025_3-27-25
E. Oaks Form w Attachment