REPORT TO CITY COUNCIL
SUBJECT
Title
Action on the Award of Agreement to MIG, INC for Consultant Services to Update the City’s Adopted Housing Element and Related Budget Amendment
Report
COUNCIL PILLAR
Promote and Enhance Economic, Housing and Transportation Development
BACKGROUND
The City is in the process of completing the Housing Element Update, including all necessary environmental review, as required under State law in a manner consistent with the Regional Housing Needs Allocation 6 (RHNA 6) for the planning period, 2023-2030 as set forth by the State Department of Housing and Community Development (HCD) and further administered by the Association of Bay Area Governments/Metropolitan Transportation Commission (ABAG/MTC). ABAG/MTC encourages local jurisdictions to utilize the services of consultants from a consultant bench established by ABAG/MTC. As such, the City invited consultants seated on the ABAG/MTC Regional Planning Consulting Bench to submit proposals to assist the City in completing the Housing Element Update. The ABAG/MTC consulting bench selection process is consistent with the City's procurement rules.
DISCUSSION
The Metropolitan Transportation Commission conducted a formal Request for Qualifications (RFQ) process to prequalify firms for the regional planning bench. Pursuant to City Code Section 2.105.290(b)(3), which states that the City may “direct purchases from vendors on terms obtained pursuant to formal bidding processes,” the City utilized the bench to issue a mini-RFP for consultant services related to the Housing Element Update along with the creation of an Environmental Justice General Plan Element. A total of sixteen firms were contacted as a part of the mini-RFP process, which resulted in no responsive proposals. City staff then narrowed the proposal to only include the Housing Element Update work, and contacted the firm Moore, Iacofano and Goltsmann (MIG) Inc. directly from the bench.
Having completed a procurement process consistent with the City’s procurement requirements, staff is recommending award of an agreement to MIG, Inc. to act as the City’s consultant to assist with preparation of the Housing Element Update. After reviewing the qualifications of several consultants on the ABAG/MTC bench and discussing with them their availability to take on the scope of work needed for the City of Santa Clara, staff identified MIG as the preferred consultant. MIG was selected for their experience preparing Housing Elements for other communities and because of their familiarity with the City of Santa Clara growth plans, having also been the City’s consultants supporting the Freedom Circle Focus Area Plan and Patrick Henry Drive Specific Plan. For efficiency City staff will undertake several portions of the Housing Element Update, but will utilize the consultant services where they provide particular expertise and staffing capacity as needed to complete the Update process. The Housing Element Update scope of work for MIG includes community engagement, drafting of the housing element document, preparation of an environmental clearance, and participation in public hearings. The Agreement for Services, including the detailed scope of work, is attached to this report.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
FISCAL IMPACT
To fund the Housing Element update work, the City has received a Local Early Action Planning (LEAP) reimbursable grant from the State of California Department of Housing and Community Development. The maximum total amount granted and reimbursable to may not exceed $499,150, and all grant funds must be expended on or before December 31, 2023. Of this grant funding, $199,968 will be used to fund a consultant and the remaining $299,182 will be used to fund City staff expenses.
The recommended budget action below recognizes the grant funding from the State of California Department of Housing and Community Development and establishes an appropriation in the Engineering Operating Grant Trust Fund for the Housing Element update.
Budget Amendment
FY 2021/22
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Current |
Increase/ (Decrease) |
Revised |
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Engineering Operating Grant Trust Fund |
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Revenue |
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|
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Grant Funding |
$0 |
$499,150 |
$499,150 |
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Expenditure |
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Housing Element Update |
$0 |
$499,150 |
$499,150 |
COORDINATION
This report has been coordinated with the Finance Department and the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov>.
RECOMMENDATION
Recommendation
1. Accept and approve the $499,150 in grant funding from the State of California Department of Housing and Community Development;
2. Authorize the City Manager to execute an agreement with MIG, INC to provide Housing Element update Consultant Services for a term ending on December 31, 2023, for a maximum compensation not to exceed $199,968; and
3. Consistent with City Charter Section 1305, “At any meeting after the adoption of the budget, the City Council may amend or supplement the budget by motion adopted by the affirmative votes of at least five members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenue not included in the budget,” approve the related FY 2021/22 budget amendment in the Engineering Operating Grant Trust Fund to recognize grant revenue in the amount of $499,150 and establish an appropriation in the amount of $499,150 for preparation of the City’s Housing Element Update (five affirmative Council votes required to appropriate additional revenue).
Staff
Reviewed by: Andrew Crabtree, Director of Community Development
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Agreement with MIG, INC