DATE: February 17, 2026
TO: Mayor and City Council
FROM: City Manager
SUBJECT
Title
Adopt a Resolution Authorizing the City Manager to Appropriate $1,094,417 from Measure BB Fund Balance and Amend the Agreement with Onward Health, Inc. for Paratransit Services to Increase the Total Not-to-Exceed Amount to $1,975,030
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RECOMMENDATION
Recommendation
That the City Council adopt a resolution authorizing the City Manager or their designee to (1) appropriate $1,094,417 from the Measure BB Paratransit fund balance and (2) execute an amendment to the City’s FY 2025-26 agreement with Onward Health, Inc. (Onward) to increase the agreement’s total not-to-exceed amount from $880,613 to $1,975,030, in order to maintain Hayward Operated Paratransit (HOP) non-ADA paratransit service through the remainder of FY 2025-26.
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SUMMARY
The HOP program is the City’s non-ADA paratransit program for seniors over 70 and adults with disabilities residing in Hayward and the surrounding unincorporated mid-County area. HOP is funded entirely through Alameda County Measure BB transportation sales tax revenues and does not use or impact the City’s General Fund. The City’s provider for HOP is Onward Health Inc.
The Measure BB Paratransit fund currently has an available fund balance of approximately $5.0 million, which accumulated over multiple years due to underspending. To help spend down this fund balance, City staff worked closely with Onward to improve the service model and successfully expand enrollment over the past year. Due to increased ridership, the current-year program subsidy and operational funds are projected to be fully expended in early January 2026. Staff recommend appropriating an additional $1,094,417 from Measure BB Paratransit fund balance and increasing the agreement’s not-to-exceed amount to $1,975,030 to maintain service continuity through the remainder of the fiscal year. Staff will continue analyzing program data to ensure long-term program sustainability.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution