SR-6E (43)
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RM JM bm wllldan3 (wp6 1) JUN 1 0 1997
Council Meeting June 10, 1997 -
TO Mayor and Members of the City Council
FROM City Staff
SUBJECT AuthorizatIon for contract extensIon for support servIces from WJlldan
Associates for the Multifamily Earthquake Repair Loan (MERL) Program
INTRODUCTION
ThiS report requests an additional appropriation of funds and authorlzatron for the CIty
Manager to execute a contract extension with WllIdan Associates to provide support
services to the MultIfamily Earthquake Repair Loan (MERL) Program
DISCUSSION
On October 25. 1994. the City Council approved the retention of Wllldan AssocIates to
supply temporary, professional assistance and experience In federal, state and local
housing programs and policIes to ensure successful ImplementatIon of the MERL
Program On May 14, 1996, and again on February 25, 1997 the City CounCil
approved a contract extension and additional funding for continuation of those services
The contract extension now proposed would proVide support from July,1 997 through
the end of fiscal year 1997-98 (one year) at a cost not to exceed $570,715, subject to
continuing funding authonty from the federal Department of Housing and Urban
Development (HUD)
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The support provIded by Wllldan AssocIates has been crucIal In processing loan
applications, preparing template loan documents, performing loan underwrltmg and
project feasibility analyses, completing federal and state environmental clearances,
closing loans and monitoring reconstruction work To date, closed loans total
521,020.262 and mvolve 439 units of new or rehabilitated multifamily housing Funding
commitments totaling $9,296,238 which mvolve 174 housing umts are scheduled to
close over the next few months
Staff believes that contmued use of Wllldan Associates will mlmmlze interruption of
program Implementation dUring the final phase of the Program The contract extension
with Wllldan ASSOCiates will ensure that the MERL Program IS adequately staffed with
qualified personnel untIl the end of the next fIscal year
BUDGET/FINANCIAL IMPACT
A suffiCient amount of HUD fundmg IS available to pay for the extended contract With
Wllldan ASSOCiates However, at present the City IS only authOrized to spend such
funds until February 28, 1998 Staff antiCipates requesting HUD authonty to spend the
available funding for eligible MERL Program administrative costs until the end of Fiscal
Year 1997-98 The contract With WllIdan ASSOCIates will specify that It wIll remain In
effect only as long as sufficient federal fundmg IS available The funds currently
available are budgeted In account number 19-700-695-00000-4483-00000
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RECOMMENDA TION
It IS recommended that the City Council authonze a contract extension for Willdan
Associates to provide support services to the Multifamily Earthquake Repair Loan
Program through the end of fiscal year 1997-98 subject to continuing funding authonty
from the federal Department of Housing and Urban Development (HUD)
Prepared by Jeff Mathieu. Director. Resource Management Department
Robert T Moncnef, Housmg Manager
Tina Rodnguez, MERL Program Coordinator
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