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Consent-Health & Human Services   # 31.
Board of Supervisors
Meeting Date:
06/25/2024
Brief Title
Fifth Amendment to Yolo County Housing Lease Agreement No. 19-274 CalWORKs Housing Support
From:
Nolan Sullivan, Director, Health and Human Services Agency
Staff Contact:
Dr. Tico Zendejas, Service Center Branch Director, Health and Human Services Agency, x8042
Supervisorial District Impact:
Countywide

Subject

Ratify fifth amendment to Lease Agreement No. 19-274 with Yolo County Housing (YCH), executed by the manager of procurement, to extend the term of the Agreement through September 30, 2024; and add funding in the amount of $86,642.44 for 2024-25 for a new maximum payment obligation of $2,822,999.04 to provide housing support to CalWORKs referred families experiencing homelessness. (No general fund impact) (Sullivan)

Recommended Action

Ratify fifth amendment to Lease Agreement No. 19-274 with Yolo County Housing (YCH), executed by the manager of procurement, to extend the term of the Agreement through September 30, 2024; and add funding in the amount of $86,642.44 for 2024-25 for a new maximum payment obligation of $2,822,999.04 to provide housing support to CalWORKs referred families experiencing homelessness. 

Strategic Plan Goal(s)

Thriving Residents
Safe Communities

Reason for Recommended Action/Background

On or about December 17, 2019, the County entered into Lease Agreement No. 19-274 with Yolo County Housing (YCH) to provide a master lease agreement with Portale Properties, LLC for 12 units in the Merkley Apartment complex for availability to CalWORKs homeless families as referred by the Yolo County CalWORKs program. YCH has been providing full scope property management services, ongoing site maintenance, tenant relations, and are located in Woodland and West Sacramento. The Yolo County CalWORKs program has been providing case management services for CalWORKs homeless families that reside in the Merkley apartment complex, financial support services, and paid YCH on behalf of the tenants.

On or about April 12, 2022, the Parties amended the agreement to extend the services through June 30, 2023, added funding for fiscal year 2022-23, and added an optional extension for fiscal year 2023-24 to continue providing housing support to CalWORKs families experiencing homelessness.

On or about August 30, 2022, the Parties further amended the agreement to add an additional 10 service units called Sal’s units for a total of twenty-two (22) units to support CalWORKs families experiencing homelessness. The amendment also increased the monthly rental and property management fees as needed to continue providing these services.

On or about November 22, 2022, the Parties further amended the agreement to add $50,000 for fiscal year 2022-23 and the available optional extension for extraordinary maintenance/emergency repairs and other related expenses associated with client-occupancy that exceeded normal wear and tear. These costs were originally contemplated in the underlying lease agreement but were inadvertently left out of the contract budget.

On or about June 6, 2023, the Parties further amended the agreement to extend the term of the Agreement through June 30, 2024; adding funding in the amount of $1,315,866 for fiscal year 2023-24 and 16 new units called Tovar units for a total of 38 units.
 
This fifth amendment decreases units from 38 to 12 and adds funding to continue providing services through September 30, 2024.

HHSA requested the County’s Procurement Manager to review and sign the Fifth Amendment to expedite the process in order for these services to continue uninterrupted. The County contracts more than $200,000 annually with this provider, ultimately requiring approval by the Board of Supervisors. HHSA respectfully requests the BOS to ratify the amendment with Yolo County Housing while a new agreement is entered into for these services.

Collaborations (including Board advisory groups and external partner agencies)

County Counsel has approved the Amendment as to form. 

Competitive Bid Process/Vendor Performance

Per the Yolo County Procurement Policy dated January 1, 2019, the services included in this agreement are exempt from the competitive selection process, as this agreement is with a local government entity.

The Department confirms Yolo County Housing Authority has performed satisfactorily on the current agreement.

Fiscal Impact

Fiscal impact (see budgetary detail below)

Fiscal Impact (Expenditure)

Total cost of recommended action:
$    86,642
Amount budgeted for expenditure:
$    86,642
Additional expenditure authority needed:
$   
One-time commitment:
Yes

Source of Funds for this Expenditure

CalWORKs Funding
$86,642

Further explanation as needed:

No general funds are required by this action. These services will be funded by CalWORKs. The action increases the contract maximum by $86,642.44 for a total of $2,822,999.04 for the period of October 15, 2019 through September 30, 2024. The amount of $86,642.44 is included in the HHSA Recommended Budget for fiscal year 2024-25.
The following is the breakdown of funding for this agreement.
CFDA
#93.558
FY19-20
10/15/2019
through
06/30/2020
FY20-21
07/01/2020 through
06/30/2021
FY21-22
07/01/2021
through
06/30/2022
FY22-23
07/01/2022 through
06/30/2023
FY23-24
07/01/2023
through
06/30/2024
FY24-25
07/01/2024 through
06/30/2025


Total
Lease
(12 Merkley units)
$153,600
8-month lease
Nov 2019
through
June 2020
$230,400
12-month lease
July 2020
through
June 2021
$230,400
12-month lease
July 2021
through
June 2022
$280,800
12-month lease
July 2022
through
June 2023
$280,800
12-month lease
July 2023
through
June 2024
$46,800
3-month
Lease
July 2024 through
Sept 2024

$1,222,800
Lease (10 Sal’s units) N/A N/A N/A $233,670
12-month lease
July 2022
through
June 2023
$267,000
12-month lease
July 2023
through
June 2024
N/A $500,670.00
Lease (16 Tovar units) N/A N/A N/A N/A $358,800
12-month lease
July 2023
through
June 2024
N/A $358,800.00
Paid to Asset Manager $0 $0 $0 $87,648 $323,580 $36,220.40 $447,448.40
Start-Up (Merkley Only) $120,642.60 N/A N/A N/A N/A N/A
$120,642.60
Habitability Costs (Sal and Tovar Only) N/A N/A N/A $33,330 $53,328 N/A $86,658.00
Extraordinary Maintenance
/Emergency Repairs
$0 $0 $0 $50,000 $0 N/A $50,000.00
Indirect 10% Administration $0 $0 $0 $0 $32,358 $3,622.04 $35,980.04
Total $274,242.60 $230,400 $230,400 $685,448 $1,315,866 $86,642.44 $2,822,999.04

Attachments

Form Review

Inbox Reviewed By Date
Tico Zendejas Tico Zendejas 06/12/2024 03:43 PM
Financial Services mrobertson 06/13/2024 10:00 AM
County Counsel Hope Welton 06/13/2024 10:13 AM
Yen Nguyen Yen Nguyen 06/13/2024 10:39 AM
Form Started By:
Laura Checa
Started On:
05/13/2024 01:32 PM
Final Approval Date:
06/13/2024