DATE: June 16, 2026
TO: Mayor and City Council
FROM: City Manager
SUBJECT
Title
Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Amendment to the Agreement with Bay Area Community Services for the Shallow Rental Subsidy Program Operations to Extend the Agreement Term through December 31, 2026, with Continuing Reporting Obligations through December 31, 2028
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RECOMMENDATION
Recommendation
That the City Council adopt a resolution (Attachment II) authorizing the City Manager to execute an amendment to the agreement with Bay Area Community Services (BACS) for Shallow Rental Subsidy (SRS) Program operations to extend the agreement term for expenditure through December 31, 2026, with continuing reporting obligations through December 31, 2028.
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SUMMARY
In July 2021, Council adopted the Let's House Hayward! Strategic Plan and an American Rescue Plan Act (ARPA) State and Local Fiscal Recovery Fund (SLFRF) expenditure plan allocating $1.5 million over three years to pilot a SRS program for homelessness prevention. On June 28, 2022, Council authorized an agreement with BACS for the first year of program operations, and on May 23, 2023, Council authorized an amendment adding the remaining program funding and extending the term through December 31, 2025.
Since launch, the SRS Program has served 53 households. All enrolled households met the core program criteria of prior experience of homelessness, income below 30 percent of Area Median Income, and rent burden above 50 percent of monthly income. As of March 2026, all households served to date had exited the program.
Staff now seeks Council authorization to amend the agreement to enable the City can enroll the remaining 22 households needed to reach the lifetime target of 75 households, and disburse the remaining already-allocated program funds by December 31, 2026. The amendment would also require BACS to continue reporting and document...
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