Item Number: {{item.number}}
City Council / Board of Directors
Written Communications
Meeting of: May 20, 2025
Submitted By:
Alex Jauregui, City Planner
Subject:
Wellness Center Consultant/Professional Services Provider Agreement consolidation to a single operator with associated actions that include current shelter operator 30-Day Notice of Termination and an amended scope of work to include shelter operations for Symba Center
Recommendation:
That the Honorable City Council take the following actions:
(1) Approve the transition from a dual-operator model to a single-operator model; (2) Authorize the City Manager to issue a 30-day notice of service termination to Hope the Mission per the terms outlined in the existing Consultant/Professional Services Provider Agreement;
(3) Approve a Consultant/Professional Services Provider Agreement with Symba Center for: a 36-month term in an amount not to exceed $8,931,792.50 to serve as the sole Shelter Operator of the Wellness Center and expend Encampment Resolution Funding – Round 3 (ERF-3) over a 24-month period in an amount not to exceed $1,374,920, effective July 1, 2025;
(4) Authorize non-substantive changes to the Consultant/Professional Services Provider Agreement, if necessary, as agreed upon by the City Manager and City Attorney; and
(5) Direct staff to initiate and oversee a comprehensive transition plan, ensuring uninterrupted client services and compliance with shelter operational standards.
Fiscal Impact:
Shelter Operations
The term of the Professional Services Agreement for the sole Shelter Operator of the Wellness Center will run from July 1, 2025, through June 30, 2028, with a total not-to- 4 1
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exceed amount of $8,931,792.50. This includes annual not-to-exceed amounts of $2,825,000 for Fiscal Year (FY) 25-26, $2,909,750 for FY 26-27, and $2,997,042.50 for the final year, FY 27-28. Additionally, the agreement includes a one-time allocation of $200,000 to fund preparations for a transition of operators, which will be eligible for reimbursement after July 1, 2025.
Shelter operations will be funded through a combination of sources, including Homekey (2700011-52300-97063), Encampment Resolution Funding Round 3 (2704020-52300- 20404), Homelessness Housing Incentive Program (2654020-52300-20590), and the Permanent Local Housing Allocation grant (2704020-52300-20494). Additional support will be provided through Measure P funds as a financial backstop (1054020W-52300) and City Bed Fees (1054020W-45360) with all funding allocated via the budgeted Wellness Center Contract Services account (2604025-52300). The final allocation of these grant amounts will be determined based on expenditure deadlines; however, sufficient funding exists as noted below to fund the entirety of the contractual obligations of $8,931,792.50 discussed herein. Staff will continue to explore funding opportunities to support the ongoing cost of these services.
Available Contract Funding
Homekey 2700011-52300-97063 $62,232.61
Encampment Resolution Funding Round 3 2704020-52300-20404 $2,748,000.00 Homeless Housing Incentive Program 2654020-52300-20590 $489,820.00 Permanent Local Housing Allocation 2704020-52300-20494 $301,664.52 Measure P ($1.6 Million Annual Backstop) 1054020W-52300 $4,800,000.00 City Bed Fees 1054020W-45360 $1,229,365.00
Total: $9,631,082.13
Encampment Resolution Funding – Round 3 (ERF-3)
The term of the Professional Services Agreement for the expenditure of ERF-3 funding is from July 1, 2025, through June 30, 2027, with a not-to-exceed amount of $1,374,920 over the life of the contract and no annual expenditure limits provided the operator complies with funding restrictions of the ERF-3 grant.
Regarding the expenditure of previously accepted ERF-3 funding and the allocation of over $6 million to associated services (account 2704020-52300-20404), the inclusion of ERF-3 funds totaling $1,374,920 for Symba Center under the subject Consultant/Professional Services Provider Agreement will consolidate all previously approved amendments to existing contracts with Symba Center and address these obligations within a single agreement that encompasses the full range of services provided by Symba Center to the City of Victorville.
Inasmuch as these costs will impact the FY 25-26 budget, their impact will be included in the City’s Annual Budget prepared for FY 25-26.
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Strategic Plan Goal:
This grant opportunity aligns with Goal D of the 2023-2026 Strategic Plan; specifically, Strategies 1 and 4, which state that in order to achieve the goal of reducing homelessness, the City should:
• Complete construction and open the Wellness Center Campus, which includes a low-barrier emergency shelter, recuperative care facility, medical clinic, and wraparound supportive services; and
• Evaluate the effectiveness of the coordination of homelessness services.
Inasmuch as the proposed actions will allow the City to continue operation of the Wellness Center while providing an effective and fiscally beneficial update to the operational model, taking action on this would be in compliance with the City’s 2023-2026 Strategic Plan.
Background:
Operator/Contract History
In June 2023, the City Council approved Consultant/Professional Services Agreements with Hope the Mission and Symba Center following a competitive procurement process (Attachments B & C). Hope the Mission was selected to operate the shelter component of the Wellness Center, while Symba Center was chosen to deliver wraparound and medical services. Both contracts contained provisions allowing for the modification or discontinuation of services with a 30-day notice.
The Wellness Center officially opened its doors on December 12, 2023, and began welcoming clients the same day. Since opening, the facility has served over 600 unique individuals, providing comprehensive services to address all core domains of wellness, including housing, health, behavioral health, employment, and social reintegration.
In preparation for the upcoming budget cycle and the end of the current contract term on June 30, 2025, City staff thoroughly evaluated all existing contracts. The participation of Hope the Mission and Symba Center was requested for the review process, as their input was essential for accurately projecting future funding considerations.
Subsequently, both Hope the Mission and Symba Center submitted draft proposals that assumed a single operator of the Wellness Center. Following a thorough review of the existing contract and draft proposals, along with extensive consultation with the City Attorney, staff confirmed that the City may transition to a single-operator model, should the City Council approve to proceed with such action. Further, the City Attorney authorized this action without requiring the issuance of a new Request for Proposal (RFP), based on provisions in the existing agreement (Attachment B & C) that allow for the inclusion of additional services.
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While Hope the Mission has been a valued partner and their work at the Wellness Center marks a meaningful contribution to our collective progress, the City of Victorville is at a defining point in its journey to address homelessness. A transition to a single operator reflects a deliberate and fiscally responsible evolution of our service model, one that prioritizes client care while strengthening operational coherence and long-term sustainability. Additionally, this consolidation to a single operator will allow the City to incorporate previously awarded ERF-3 funding to Symba Center into a single contract, as authorized by the City Council on November 19, 2024.
Therefore, City staff has found that consolidating operations under a single provider will strengthen the Wellness Centers holistic approach further and ensure greater consistency in service delivery across all wellness domains.
Discussion:
Overview
As proposed, the transition to a single-operator model includes authorization to issue a 30-day notice to the current shelter operator, Hope the Mission. This notice period is intended to ensure a seamless and timely transition prior to the start of the new fiscal year, while also fulfilling the terms of the existing contract.
Looking ahead, Symba Center’s unified approach, demonstrated scalability, and diverse funding sources position them to lead the next chapter of the Wellness Center’s success as the sole operator overseeing both shelter operations and supportive services. As discussed herein, transitioning to a single-operator model will result in cost savings for the City as well as enhanced strategic readiness and strategic direction.
Of the approximately $7 million projected shelter operating cost for FY 25-26, Symba Center will offset over $4.2 million through outside funding, representing a substantial cost avoidance for the City and reducing dependence on local subsidies. Shifting to a single-operator model is expected to reduce City shelter operational costs by approximately $600,000 annually. Symba Center’s expanded revenue model, anchored by CalAIM, Medi-Cal reimbursements, and additional grant funding, significantly offsets operational expenditures and enhances fiscal resiliency.
Additionally, including previously awarded ERF-3 funding to Symba Center under a single contract will allow for a single contract to regulate the expenditure of both shelter operations as well as ERF-3 designed services that include funding for enhanced case management, a licensed vocational nurse, a housing navigator, and rapid rehousing services.
Shetler Operations - Fiscal/Programmatic Considerations Hope the Mission and Symba Center were asked to submit revised operating budgets under dual and single-operator scenarios to evaluate the most efficient path forward. As a result of the City’s request, the following proposals were submitted:
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•Hope the Mission:
oDual Operator Model: $4.3 million annually
oSingle Operator Model: $9 million annually
•Symba Center:
oSingle Operator Model: $2.91 million annually
(Approximately $8.7 million over 36 months)
While the total cost of Symba’s operational plan for the 36-month term is estimated at an average of $7.23 million in actual expenditures annually, the provider offsets an average of over $4.3 million of that total annually using a combination of:
•CalAIM and Medi-Cal reimbursements through IEHP and Molina contracts; •Medi-Cal Billing for services within the medical clinic; and •Philanthropic grants and regional support contracts.
Under the current dual-operator structure, Symba Center subsidizes City operations through CalAIM and insurance reimbursements, and as a single-operator, these mechanisms would continue to offset costs and scale, reducing the City’s financial obligation. A transition to a single-operator as proposed is projected to save the City approximately $600,000 annually, or approximately $1.8 million over three (3) years, compared to maintaining the current dual-operator model with Symba Center and Hope the Mission.
Shelter Operations - Organizational Readiness/Strategic Direction Symba Center’s operational trajectory is uniquely poised to step into full-scale shelter operations. This ability includes their early involvement at the City’s Interim Shelter at the Westwinds Sports Complex to assuming increasing responsibilities at the Wellness Center, including outreach, housing navigation, and medical care. Symba has proven itself nimble, responsive, and grounded in best practices.
Symba’s strategic expansion into nearby cities such as Fontana and Ontario, coupled with contracts with Inland Empire Health Plan (IEHP) and agreements with Molina Healthcare, further illustrate their system capacity and long-term readiness. These partnerships are not just financial levers; they are gateways to integrated care that supports lasting exits from homelessness.
The proposed transition to a single operator is not a reflection of failure but a pivot toward a streamlined structure aligned with Victorville’s evolving homelessness response. A single provider overseeing shelter and support services creates a consistent organizational culture, clearer communication pathways, and greater accountability, all which are necessary to meet future challenges and maintain public trust. 4 1
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This transition is also not a failure on Hope the Mission’s part, as they have been an incredible partner in the inception of the Wellness Center and should be commended for their efforts within the City and San Bernardino County.
Shelter Operations - Transition Plan
In order to ensure a smooth transition from the current dual-operator model to a single- operator model and allow associated staffing changes by the operator, the following calendar tasks are anticipated to take place during the noted timeframes. •May 20:
oCity Council approval of the transition plan
•May 21 – June 14:
oFormal issuance of 30-day notice to Hope the Mission
oContinued transition planning with Symba Center and Hope the Mission leadership
oOpen communication with Wellness Center staffing, facilitated by City, Symba Center and Hope the Mission
oDetailed transition meetings and alignment of roles, staffing, and systems oCommunication plan development for staff, clients, and stakeholders •June 17 – June 30:
oOnboarding and system integration
oFinal operational alignment and staff transfers
•July 1:
oSymba Center assumes full operations as sole provider
oCity initiates real-time monitoring and performance oversight Shelter Operations - Projected Staffing Plan
To clarify the proposed staffing at the Wellness Center by a single-operator, the following chart represents the proposed staffing levels by Symba Center, which reduces the total number of full-time employees (FTE) from approximately 67 under the current dual- operator model to 65 under the proposed single-operator model. This reduction in staffing levels is largely due to a removal of duplicative positions that were needed (e.g. administration) under the current operational model; however, no reduction in the level of service should occur as result of the proposed personnel/staffing levels noted below.
PERSONNEL/STAFFING FTE
Intake Specialist 1
Case Managers/HN 8
Occupational Therapist 0.5
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ERF-3 Funding – Updated Agreement
As previously noted, the City Council authorized the expenditure of $1,417,420 to Symba Center on November 19, 2024, in order to provide rapid rehousing and associated services utilizing ERF-3 funding. While the total allocation to Symba Center for rapid rehousing services was provided in FY 24-25, the remaining funding was reserved with the understanding that support for case management, a licensed vocational nurse, and a housing navigator would be split between FY 24-25 and FY 25-26 as noted below.
Service Description FY 24-25
Amount
FY 25-26
Amount
Case Management
Trauma informed, client
centered case management to
advance client housing
$112,000 $112,000
Licensed Vocational
Nurse
Medical services to outreach
clients and the connection to
additional levels of care
$78,000 $78,000
Housing Navigator
Landlord engagement, housing
search, landlord contracts, and
aftercare mitigation
$67,500 $67,500
Peer Support Specialist 2 4
Peer Support Specialist 1 17
Licensed Vocational Nurse 4
Medical Assistants 5
LMFT Therapist 1
LMFT Associate 1
Medical Director 0.2
Pharmacist 0.5
Nurse Practitioner (medical recuperative) 0.5
Nurse Practitioner (psych recuperative) 0.5
Kitchen Manager 1
Kitchen Staff 6
Registered Nurse Case Manager 1
Security 8
Substance Abuse Counselor 1
Wellness Center Manager 1
Assistant Manager 1
Data Coordinator 1
Drivers 2.5
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Rapid Rehousing
Rental subsidies, security
deposits, landlord incentives,
house search, and facilitating
access to services
$1,159,920 $0
Total Amount: $1,417,420 $257,500
As proposed, the inclusion of the previously approved ERF-3 funding within the Consultant/Professional Services Provider Agreement with Symba would account for the remaining $257,500 case management, licensed vocational nurse, and housing navigator funding in FY 25-26 while also including the reallocation of the remaining balance from the FY 24-25 rapid rehousing funds to FY 25-26. A tabular summary clarifying the sum of the $1,374,920 in ERF-3 funding included in this request is provided below.
Service Description Total Allocation
Case Management
Trauma informed, client centered
case management to advance client
housing
$224,000
Licensed Vocational
Nurse
Medical services to outreach clients
and connection to additional levels of
care
$156,000
Housing Navigator
Landlord engagement, housing
search, landlord contracts, and
aftercare mitigation
$135,000
Rapid Rehousing
Rental subsidies, security deposits,
landlord incentives, house search,
and facilitating access to services
$1,159,920
Expenditure Description Total Expenditure
Rapid Rehousing Advance to operator to provide rapid
rehousing services ($300,000)
Total Amount: $1,374,920
Necessary Actions
Due to the aggressive timeline, City staff requests that the City Council approve this item and approve the transition from a dual-operator model to a single-operator model; authorize the City Manager or his designee to issue a 30-day notice of service termination to Hope the Mission per the terms outlined in the existing Consultant/Professional Services Provider Agreement; approve a Consultant/Professional Services Provider Agreement with Symba Center for a 36-month term to serve as the sole Shelter Operator of the Wellness Center in an amount not to exceed $8,931,792.50, and expend Encampment Resolution Funding – Round 3 (ERF-3) over a 24-month period in an amount not to exceed $1,374,920, effective July 1, 2025; authorize non-substantive changes to the Consultant/Professional Services Provider Agreement, if necessary, as agreed upon by the City Manager and City Attorney; and direct staff to initiate and oversee 4 1
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a comprehensive transition plan ensuring uninterrupted client services and compliance with shelter operational standards.
Staff is available for any questions the Council may have.
Attachments: A. Draft Single Operator Contract – Symba Center B. Existing Operator Contract – Hope the Mission
C. Existing Operator Contract – Symba Center