HomeMy WebLinkAboutItem 36 - Amendment to the Agreement with MDG Associates, Inc.Community Development Agency
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Item # 36
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
February 20, 2024
TOPIC: Administrative and Technical Support for CDBG, HOME, ESG, and WIOA
Programs
AGENDA TITLE
Approve an Amendment to the Agreement with MDG Associates, Inc. to Continue
Providing Administrative and Technical Support for CDBG, HOME, ESG, and WIOA
Programs
RECOMMENDED ACTION
Authorize the City Manager to execute an amendment to the agreement with MDG
Associate, Inc. to continue providing administrative and technical support for the
Community Development Block Grant (CDBG), HOME Investment Partnership Program
(HOME), Emergency Solutions Grant (ESG), and Workforce Innovation and Opportunity
Act (WIOA) federal grant programs, expanding the scope of work to include the five-
year Consolidated Plan and FY 2025 Annual Action Plan, increasing the not -to -exceed
amount by $44,500, and extending the term for one year, for a total agreement amount
of $259,616 (Agreement No. A-2024-XXX).
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
On May 19, 2020, the City Council authorized the City Manager to execute an
agreement with MDG Associates, Inc. (MDG) to assist in the administration and
monitoring of the Community Development Block Grant (CDBG), HOME Investment
Partnership Program (HOME), Emergency Solutions Grant (ESG), and Workforce
Innovation and Opportunity Act (WIOA) federal grant programs in an amount not to
exceed $215,116 over a three-year period, beginning July 1, 2020 and expiring June
30, 2023 (Exhibit 1). In compliance with the terms of the agreement, the City Manager
administratively extended the Agreement for one year until June 30, 2024.
The City uses federal funds from the U.S. Department of Housing and Urban
Development (HUD) and the U.S. Department of Labor for MDG to provide on -call
administrative and technical support services and grant monitoring of sub -recipients for
the City's federal and state grants. To meet federal and state regulatory requirements,
the City needs qualified consultants with experience in grant monitoring, technical
support, and administrative services.
Administrative and Technical Support for CDBG, HOME, ESG, and WIOA Programs
February 20, 2024
Page 2
Grant monitoring ensures that the City's CDBG, HOME, ESG, and WIOA funds are only
used for authorized and eligible purposes, in compliance with federal regulations and
the terms and conditions of the sub -awards. For example, the City needs to confirm that
nonprofit organizations that receive City funds are spending the funds correctly and in
compliance with the regulations. The technical support services involve applying MDG's
knowledge of the Uniform Administrative Requirements, cost principles, and audit
requirements for federal awards at 2 CFR 200 and various other grant -specific financial
and technical support services. The administrative services include on -call grant
administration of one or more of the City's grant programs, when necessary, to ensure
the City does not fall out of compliance and eligibility for the renewal of program
funding. In addition, administrative services include but are not limited to maintaining
financial and programmatic records and preparation for submission of compliance
reports, including the five-year Consolidated Plans, Annual Action Plans, Consolidated
Annual Performance and Evaluation Reports, Section 3 compliance reports, minority -
and women -owned businesses reporting, and other reports as needed to ensure the
City's programs comply with all of the respective program regulations.
This Amendment to the Agreement with MDG will increase the Agreement by $44,500
for a new total agreement amount of $259,616 (Exhibit 2). The specific purpose of this
increase is for MDG to assist the City with the five-year Consolidated Plan and FY 2025
Annual Action Plan. The five-year Consolidated Plan is a project that requires a
substantial amount of staff time. Specifically, MDG will update the City's Needs
Assessment and Market Analysis data using the most current information from the
American Community Survey and Comprehensive Housing Affordability Strategy
datasets. MDG will also prepare community and stakeholder surveys, facilitate in -
person and remote meetings, draft the five-year Consolidated Plan and FY 2025 Annual
Action Plan, and finalize these documents based on City feedback. MDG will also
prepare documentation for public hearings, ensure compliance with the City's Citizen
Participation Plan, and submit the five-year Consolidated Plan and FY 2025 Annual
Action Plan in HUD's Integrated Disbursement and Information System.
This amendment will also extend the agreement term with MDG for one year. With the
addition of this one year, the term of the agreement will end June 30, 2025.
FISCAL IMPACT
Funding for this Amendment to the Agreement for $44,500 will be made available during
Fiscal Year 2024-25 from the CDBG, HOME, and ESG programs' Contract Services -
Professional accounts:
Fiscal Year
Grant
Accounting
Fund
Accounting Unit,
Amount
Year
Unit -Account #
Description
Account Description
FY 2024-25
2024
13518780-62300
CDBG
Contract Services -
$35,000
Administration
Professional
FY 2024-25
2024
13018780-62300
HOME Program
Contract Services-
$7,000
Professional
FY 2024-25
2024
13518785-62300
ESG
Contract Services-
$2,500
Professional
Administrative and Technical Support for CDBG, HOME, ESG, and WIOA Programs
February 20, 2024
Page 3
Total for FY 2024-25 $ 44,500
EXHIBIT(S)
1. Staff Report from May 19, 2020
2. Amendment to Agreement with MDG Associates, Inc.
Submitted By: Michael L. Garcia, Executive Director of Community Development
Approved By: Tom Hatch, Interim City Manager
FIRST AMENDMENT TO CONSULTANT AGREEMENT INCORPORATING
COMMUNITY DEVELOPMENT BLOCK GRANT REQUIREMENTS
THIS FIRST AMENDMENT to the above -referenced agreement is entered into
, 2024, by and between MDG Associates, Inc., a California
corporation ("Consultant"), and the City of Santa Ana, a charter city and municipal corporation
organized and existing under the Constitution and laws of the State of California ("City").
Consultant and the City shall be collectively referred to as the "Parties."
RECITALS
A. The Parties entered into Agreement No. A-2020-099 ("Agreement") dated July 1, 2020,
whereby Consultant agreed to provide select monitoring and technical support services to
the City, as well as administrative services for the City's CDBG, HOME, ESG, and WIOA
Programs.
B. On February 10, 2023, the parties exercised their option to extend the term of the
Agreement (A-2020-099-01) through June 30, 2024. The Agreement is current and in -
effect.
C. The Parties now wish to amend the Agreement to modify the scope of work to include
additional services, extend the term of the Agreement, and increase the overall
compensation paid by the City to the Consultant for the additional services through the
extended term of the Agreement. No further terms are contemplated by this Amendment.
The Parties therefore agree:
1. Section 1, Scope of Services, is hereby amended to also include services detailed in the
attached Exhibit A-1.
2. Section 2.b, Compensation, is hereby amended to increase the overall amount of the
Agreement by $44,500. The total amount to be expended under the term of the Agreement
shall not exceed $259,616.00.
3. Section 3, Term, is hereby extended through June 30, 2025. The City hereby exercises its
final option to extend the Agreement for a one (1) year period.
4. Except as modified by this First Amendment, all terms and conditions of the Agreement, shall
remain in full force and effect.
[signature page to follow]
Page 1 of 2
IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the
Agreement on the date and year first written above.
ATTEST
Jennifer Hall
City Clerk
APPROVED AS TO FORM
SONIA R. CARVALHO
City Attorney
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Andrea Garcia -Miller
Assistant City Attorney
RECOMMENDED FOR APPROVAL
Michael L. Garcia
Executive Director
Community Development Agency
CITY OF SANTA ANA
Thomas Hatch
Interim City Manager
MDG ASS
Page 2 of 2
EXHIBITA-1
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Corporate Headquarters
10722 Arrow Route, Suite 822
Rancho Cucamonga, CA 91730
Telephone (909) 476 - 9696
Fax (909) 476 - 6086
MOG
Contact: Rudy Munoz, President
Associates, Inc.
Task Budget Timeline
Citizen Participation Plan Review $3,500 June 30, 2024
Language Access Plan Update $3,000 June 30, 2024
Consolidated Plan and Year 1 AAP $38,000 May 15, 2025 ■
TOTAL $44,500
All costs will be invoiced as a fixed fee line item which will be billed at MDG's current hourly rates.
MDG will invoice the Citizen Participation and Language Access Plan Update upon completion. MDG will
invoice the Consolidated Plan/Year 1 AAP via the following schedule:
Completion of first Public Meeting:
Completion of draft Consolidated Plan:
Submission of Consolidated Plan in IDIS:
Acceptance of Consolidated Plan by HUD:
$11,000
$11,000
$10,000
$6,000
12/1/2023 MDG Associates Inc
Citizen Participation Review
MDG will conduct a monitoring level review of the existing Citizen
Participation Plan and provide a written summary to Santa Ana with
recommendations to better ensure compliance with HUD regulations
and strategies to streamline and simplify the document.
Based on feedback from the City, MDG will complete the revisions to
the Citizen Participation Plan and provide Santa Ana with the public
noticing documentation needed for the updated Citizen Participation
Plan to be adopted by City Council.
Language Access Plan
Using current Census data, MDG will conduct an updated four -step
analysis of the primary languages spoken in the City. Based on the
analysis, MDG will prepare an updated Language Access Plan for the
City to use for all HUD CPD programs. MDG will conduct one round of
revisions on the document based on City comments and feedback.
Consolidated Plan and Year 1 Annual Action Plan
MDG will prepare the FY2025 Consolidated Plan and FY2025 Annual
Action Plan. Specifically, MDG will complete the following tasks:
• Update Needs Assessment and Market Analysis data based on
the most current data available (as of March 1, 2024) for the
American Community Survey (ACS) and Comprehensive Housing
Affordability Strategy (CHAS) data sets
• Prepare online and paper -based community and stakeholder
surveys to gather feedback on community needs and conditions
• Facilitate two (2) in -person community meetings to gather
feedback on community needs. One meeting will be counted as
the first public meeting to comply with Citizen Participation
Requirements.
• Prepare noticing and marketing documentation for community
meetings
• Facilitate four (4) remote stakeholder meetings to gather
feedback on community needs and conditions
• Draft the FY2025 Consolidated Plan
• Draft the FY2025 Action Plan
• Finalize the Consolidated Plan and Action Plan based on City
feedback
• Prepare noticing for the second public hearing to accept the
Consolidated Plan and 30-day comment period
• Finalize Consolidated Plan and Action Plan as needed
• Submit Consolidated Plan and Action Plan in IDIS
During the Consolidated Plan process, MDG anticipates the City will
complete the following tasks:
• Print, distribute, collect and scan paper -based surveys to MDG
• Assist with stakeholder identification and outreach
• Lead the second public hearing (remote MDG support)
• Conduct one round of review on all documents submitted to the
City
• Submit and pay for notices to be posted in the newspaper
• Translate any documents in languages other than Spanish (as
needed by LAP)
12/1/2023 MDG Associates Inc 3