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Council Meeting: May 12,1998 Santa Monica, California
To' Mayor and City Council MAY I 2 198
From. City Staff
Subject. Recommendation to Authorize the City Manager to Execute a Modification
to Agreement No 6581 (CCS) with Wllldan Associates to Increase the
Contract Amount by up to $400,000 and to Extend the Contract to June 30,
1999 to Continue Admimstratlon of the low Income ResIdentIal RepaIr
Program
INTRODUCTION
This staff report recommends that the City Council authorize the City Manager to execute
a modification to Agreement No 6581 with Wllldan Associates to Increase the contract
amount by up to $400,000 and to extend the term of the contract to June 30, 1999 to
continue administration of the Low Income Residential Repair Program
DISCUSSION
On December 17, 1996, the City Council authorized the City Manager to negotiate and
execute a contract with Willdan Associates to Implement the Pilot Low Income Residential
Repair Program. The program Included three components. 1) lead based paint testing and
remediation; 2) home security, and, 3) reSidential rehabilitation The new program was
launched on a pilot basIs because It was the first time that the City had attempted to
address proactlvely the Issue of lead-based paint remediation, as well as the first time that
the Housing DIvIsion and Pohce Department had worked together cooperatively on the
Issue of reSidential secunty
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MAY '2_
As approved by the City Council, the budget for the program was prelimlnanly allocated
as follows among the three program components
Component BudRet Allocation
Home Secunty $60,000
Lead Based Parnt $300,000
Rehabilitation $92,174
TOTAL $452,174
When budgeting among the three program components, staff allocated the largest share
of funds to lead-based paint testing and remediation due to the large number of bUildings
and Units In the City thought to contaIn lead-based parnt together wrth the urgency of the
public health issues involved
In sprte of rntenslve outreach efforts, rnterest In the program was disappolntrng initIally
Reasons have to do pnmarlly with the program's matching grant requirements and fear on
the part of property owners of the possible legal and financial consequences associated
with dIsclosing the presence of lead-based paint In order to address some of the factors
that made the program unattractive, each component of the program was modified In the
fall of 1997 Since that time, interest In the program has dramatically increased
Table I shows progress through Apnl 15, 1998 In committing grant funds under the
program's three main components Under the lead-based paint testing and remediation
component, grants for both pending and approved projects total $76,674, substantially less
than the onginal amount of $300,000 budgeted for thiS component Pending and approved
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grants under the home secunty component total only $10,914, a small fraction of the
$60,000 onginally budgeted for this component On the other hand, under the
rehabilitation component, work has been completed or IS underway (I e , contracts have
been executed) on 56 umts With grants totaling $195,794, and bids were pending on
another 93 umts With grants totaling $168,250
Table I
Status of Grant Funding as of 4115198
PROGRAM COMPLETED OR UNDERWAY' OUT TO BID
COMPONENT # U"lts 55 Committed '# Units $5 AI~ocated
Lead Based 29 $73,274 39 $3,600
Paint
Home Secunty 18 $6,714 15 $4,200
Rehabilitation 56 $195,794 93 $168,250
TOTAL N/A2 $275,782 N/A $176,050
1
PrOjects 'underway. are those WIth executed contracts which are In vanous stages of rehabilitation work progress
2
Because many properties are undergOing repairs under more than one Program component, summing these numbers
would result In double-countlng
The City's contract With Wllldan terminates on June 30, 1998 With the demand for
rehabilitation running strong, staff recommends that the term be extended and funding
Increased to continue the momentum
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FINANCIAUBUDGET ARY IMPACTS
Program funds In the amount of $100,000 are Included In the Fiscal Year 97/98 adopted
budget under account # 01-620-264-76030-7215-00000 Fallowing City Caunal approval
of the Fiscal Year 1998/99 Budget, staff will Increase the contract by up to $300,000 to
Include the funds budgeted for this program for FY 98/99
RECOMMENDATIONS
Staff recommends that the City Council authOrize the City Manager to execute a
modification to Agreement No 6581 With Wllldan Associates to extend the term of the
Agreement through June 3D, 1999 and to Increase the contract amount by up $400,000
to continue admlntstratlon of the Low Income Residential Repair Program
Prepared by Jeff Mathieu, Director of Resource Management
Bob Moncnef, Housing Manager
Tad Read, Senior Development Analyst
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