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HomeMy WebLinkAboutItem 36 - Amendment to the Agreement with MDG Associates, Inc.Community Development Agency www.santa-ana.org/community-development 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 ejS.���Q¢w4u-Ic�c� 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 C' Ah I, 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