DATE: March 5, 2024
TO: Mayor and City Council
FROM: Assistant City Manager
SUBJECT
Title
Adopt a Resolution Authorizing the City Manager to Award up to $627,554 in Community Development Block Grant Funds For the City’s Approved Annual Action Plans and to Execute Agreements to Complete Three Public Facilities Improvement Projects
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RECOMMENDATION
Recommendation
That the Council adopts a resolution (Attachment II) authorizing the City Manager to:
(1) Award up to $627,554 in Community Development Block Grant (CDBG) Funds to carry out the City’s approved Annual Action Plans; and
(2) Authorize the City Manager to negotiate and execute a single source agreement with Allied Universal Technology Services to provide security upgrades for the parking garage, located at 871 B St., in an amount not to exceed $227,700; and
(3) Authorize the City Manager to negotiate and execute an agreement with SavATree, LLC to provide tree maintenance services at Weekes Park, located at 27300 Patrick Ave., in an amount not to exceed $45,000; and
(4) Authorize the City Manager to negotiate and execute a single source agreement with Stryker Corporation to purchase fire safety tools for use by the Hayward Fire Department (HFD) in an amount not to exceed $384,000.
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SUMMARY
In February 2023, Council adopted a resolution to award up to $627,554 in Community Development Block Grant (CDBG) Funds to Bay Area Community Services (BACS) for the St. Regis Multi-Service Campus Project. The funds were planned for CDBG-eligible rehabilitation expenses that are allowable under HUD regulations and the City’s approved Annual Action Plans.
Since the time of the award, BACS has determined that they will no longer be able to utilize these funds due to 1) the extensive federal regulations requirements that come with CDBG and 2) the need to expend CDBG funds in a timely manner. These challenges are not a reflection of BACS’s performance as an agency, but instead are reasonable issues given the size of the St. Regis project and the scope of federal requirements triggered across the project, regardless of the portion funded by CDBG. In response, staff worked quickly to identify other eligible projects that meet HUD regulations and the City’s approved Annual Action Plans.
Staff will terminate the agreement between the City of Hayward and BACS for the use of CDBG funding to rehabilitate the eligible portions of the St. Regis Retirement Center and recommends that the funds be awarded to three eligible unfunded projects that can be carried out to help the City meet its federal obligation to expend its CDBG entitlement in a timely manner.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution