DATE: May 19, 2026
TO: Mayor and City Council
FROM: Assistant City Manager
SUBJECT
Title
Adopt a Resolution Authorizing the City Manager to 1) Negotiate and Execute an Amendment to the Agreement with Onward Health, Inc. for the Hayward Operated Paratransit Program to Extend the Agreement Term Through June 30, 2029 and Increase the Not-To-Exceed Amount to $9 Million, and to 2) Appropriate Funds from Measure BB for this Extension
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RECOMMENDATION
Recommendation
That Council adopt a resolution authorizing the City Manager to 1) negotiate and execute an amendment to the agreement with Onward Health, Inc. for the Hayward Operated Paratransit Program (HOP) to extend the agreement by three years through June 30, 2029, and increase the agreement’s total not-to-exceed amount from $1,975,030 to $9,000,000, and to 2) appropriate funds from the Measure BB fund balance and FY 2026-27 revenue for this extension to ensure service continuation and meet increased demand needs.
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SUMMARY
The Hayward Operated Paratransit (HOP) program provides essential transportation services to seniors and adults with disabilities and is funded entirely through Measure BB, with no impact to the City’s General Fund. Following the transition to Onward Health Inc. and an expanded service model in 2025, the program has experienced significant growth in enrollment and ridership, improving access for historically underserved populations. Based on positive performance from the vendor, staff recommend extending the agreement through June 30, 2029, to ensure continued service while implementing cost-saving measures to maintain fiscal sustainability. Measure BB revenues and available fund balance are sufficient to support the program and maintain a healthy reserve.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution