HomeMy WebLinkAboutItem 2j: PSA with Beatrice Picon for FY: 2010-11 for Home Improvement Program AdministrationDATE: July 20, 2010
TO: Mayor and City Council
FROM: Jason Kruckeberg, Assistant City Manager /Development Services Director
Jim Kasama, Community Development Administrator
Prepared By: AmberAbeyta, Administrative Assistan
SUMMARY
STAFF REPORT
Development Services Department
SUBJECT: AUTHORIZE THE CITY MANAGER TO EXECUTE A PROFESSIONAL
SERVICES AGREEMENT WITH BEATRICE PICON FOR THE FISCAL
YEAR 2010 -11 WITH THE OPTION OF TWO (2) ONE (1) YEAR
RENEWALS AT THE END OF THE TERM FOR THE ADMINISTRATION
OF THE HOME IMPROVEMENT PROGRAM FUNDED BY THE
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM.
RECOMMENDED ACTION: APPROVE
The City receives Community Development Block Grant (CDBG) funds each year
through the Los Angeles County Community Development Commission. These funds
are used for programs and projects that benefit low and moderate income residents.
The City Council approves the programs and projects and authorizes the spending plan
every year, and has already given its approval for the 2010 -2011 CDBG activities.
A large portion of the CDBG funds are used for the Home Improvement Program (HIP).
This is an ongoing program that provides grants of up to $12,000 and has increased to
$15,000 as of fiscal year 10 -11, for eligible improvements to single family residences for
moderate and low income homeowners. Twenty percent (20 %) of the funds for the HIP
are eligible to pay for program administration. A Request for Proposals (RFP) was
issued for a contractor to administer the program for the 2009 -2010 fiscal year. The City
selected Beatrice Picon, a sole proprietor to administer the HIP. Ms. Picon has over 25
years of experience working for municipal governments and extensive knowledge in
developing and administering residential rehabilitation programs. Ms. Picon's
experience has proven to be an asset to the HP and staff is very pleased with her work.
Ms. Picon originally declined to extend her contract for fiscal year 10 -11. As a result, the
City issued an RFP to twelve contractors with experience in administering housing
rehabilitation programs. Staff received two proposals in addition to Ms. Picon's proposal
(as she ultimately decided to submit a proposal). After reviewing the proposals, staff has
decided that the contractor that best meets the City's needs and is most cost efficient is
Ms. Picon.
DISCUSSION
The Home Improvement Program (HIP) has been very successful this year, due widely
to the quality and efficiency of Ms. Picon's work. As of the end of fiscal year 09 -10, 24
HIP projects have been completed. Of those 24 projects, 9 were financed with an
additional $120,195 of Community Development Block Grant — Recovery (CDBG -R)
funds that were made available by the American and Reinvestment Recovery Act
Stimulus Program. Additionally, Ms. Picon assisted staff with revising the Home
Improvement Program Guidelines to meet State and local requirements pertaining to
housing rehabilitation. Staff is certain that the Home Improvement Program will continue
to be a success with Ms. Picon on board.
The City has received CDBG funding in the amount of $207,349 for the HIP for fiscal
year 10 -11 and an additional $118,000 of carry over funds is available from fiscal year
09 -10. Staff is currently accepting HIP applications for fiscal year 10 -11 and anticipates
completing 23 projects. The proposed contract with Ms. Picon is for $50,400 based on
the completion of 23 projects at $2,191 per project. This represents approximately 15%
of the HIP funding anticipated, which is well within the standard allowed of 20 %. The
proposed administrative costs of all three bidders are outlined below:
BEATRICE PICON
Cost Per Project
$2,191
Hourly Billing Rate
$60
FISCAL IMPACT
GRC ASSOCIATES, INC.
Cost Per Project
$2,200
Hourly Billing Rate
President- $145
Project Manager- $110
Construction Manager- $110
Administrative Assistant- $55
WILLDAN
Cost Per Project
$2,800
Hourly Billing Rate
Senior Community
Development Planner -
$100
Housing Rehab Specialist -
$75
Staff recommends entering into a Professional Services Agreement with Beatrice Picon
for the fiscal year 10 -11 with the option of two (2) one (1) year renewals at the end of
the term for the administration of the Home Improvement Program funded by the
Community Development Block Grant Program.
The Community Development Block Grant Program will fund 100% of the projected
contract amount of $50,400. There is no fiscal impact on the General Fund.
Housing Rehab Contract
July 20, 2010
Page 2
RECOMMENDATION
Authorize the City Manager to execute a Professional Services Agreement with Beatrice
Picon for the fiscal year 2010 -11 with the option of two (2) one (1) year renewals at the
end of the term for the administration of the Home Improvement Program funded by the
Community Development Block Grant Program.
Approved by: 17)0?,e,,, ,—,
Donald Penman, City Manager
Housing Rehab Contract
July 20, 2010
Page 3