Title
a. Consider approving and authorizing the Director of the Department of Social Services to negotiate and execute an agreement with Community Homeless Solutions for $380,810 and for fire alarm and refuse services for $3,254 for a total of $384,064 to extend operations of the Salinas Homeless Shelter for the period of June 1, 2018 to October 31, 2018;
b. Consider approving and authorizing the Director of the Department of Social Services to sign up to three (3) future amendments to this Agreement where the total amendments do not exceed ten percent (10%) of the original contract amount and do not significantly alter the scope of work;
c. Consider approving and authorizing the Auditor-Controller to increase appropriations in the adopted FY 2017-18 Community Programs Budget 001-5010-SOC004-8258 in the amount of $76,842 using funds from one of the options discussed in the Financing section of this board report (4/5ths vote required); and
d. Consider approving and authorizing the Auditor-Controller to increase appropriations in the Recommended FY 2018-19 Community Programs Budget 001-5010-SOC004-8258 in the amount of $307,222 using funds from one of the options discussed in the Financing section of this board report (4/5ths vote required). (ADDED VIA ADDENDA)
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Consider approving and authorizing the Director of the Department of Social Services to negotiate and execute an agreement with Community Homeless Solutions for $380,810 and for fire alarm and refuse services for $3,254 for a total of $384,064 to extend operations of the Salinas Homeless Shelter for the period of June 1, 2018 to October 31, 2018;
b. Consider approving and authorizing the Director of the Department of Social Services to sign up to three (3) future amendments to this Agreement where the total amendments do not exceed ten percent (10%) of the original contract amount and do not significantly alter the scope of work;
c. Consider approving and authorizing the Auditor-Controller to increase appropriations in the adopted FY 2017-18 Community Programs Budget 001-5010-SOC004-8258 in the amount of $76,842 using funds from one of the options discussed in the Financing section of this board report (4/5ths vote required); and
d. Consider approving and authorizing the Auditor-Controller to increase appropriations in the Recommended FY 2018-19 Community Programs Budget 001-5010-SOC004-8258 in the amount of $307,222 using funds from one of the options discussed in the Financing section of this board report (4/5ths vote required).
SUMMARY/DISCUSSION:
Homelessness is a serious and ongoing problem in the County of Monterey. The population at the Salinas Winter Warming Shelter has averaged 34 men, 15 women and 16 children during the month of May. This high level of utilization, even as the inclement weather season passed, demonstrates the ongoing high level of community need. At the request of the Chair Luis Alejo, the Department of Social Services is advancing these recommendations to continue shelter operations.
The shelter will continue at the current location of 111 W. Alisal Street until an alternative location is established. The City of Salinas and County of Monterey continue discussions on alternative locations to site the shelter pending development of the permanent year-round shelter at 1220 Natividad Road in Salinas, California. However, it should be noted that the City of Salinas has terminated the Memorandum of Understanding for operations of the Winter Warming Shelter and has expressed that it is not interested in having the shelter continue at the current location.
If approved by your Board, the Department of Social Services will amend and increase the agreement with Community Homeless Solutions by $380,810 to extend operations of the Homeless Shelter, including provision of nightly dinners, and building costs for fire alarm and refuse services of $3,254 which are paid directly by Social Services. This funding of $384,064 will continue operations of the Homeless Shelter for the period June 1, 2018 to October 31, 2018.
OTHER AGENCY INVOLVEMENT:
The County Administrative Office-Budget and Analysis did not have sufficient time to review this report.
FINANCING:
The recommended action will result in a total financial commitment of $384,064. This includes $76,842 in the current 2017-18 fiscal year and $307,222 in the fiscal year 2018-19. The Department has submitted an augmentation for approval in the Budget Hearings for an Inclement Weather Warming Shelter operating from November 1, 2018 to May 31, 2019 in the amount of $410,000.
The Department currently has no available funding in the FY 2017-18 Adopted Budget nor in the Recommended FY 2018-19 Budget for this extension, as a result, additional appropriations are needed. Options to fund the $383,843 appropriation required to implement recommended actions include:
• Option 1 - Is a combination of a) Transfer current year contingencies of $76,842 from CAO-General Fund Contingencies, 001-CAO002-8034 for FY 2017-18, and b) transfer unallocated Cannabis revenue of $307,222 for FY 2018-19 from 001-1050-4130 Cannabis Tax revenue.
Currently, there is $428,526 of unallocated contingencies, which would leave a balance of $351,684 in Contingencies. For Cannabis revenues, $3.1 million was collected in FY 16/17 and $7.4 million is estimated for FY 17/18; for a total of $10.5 million estimated by year-end. Of this amount, $737,000 has already been committed for current year needs and the Recommended Budget utilizes an additional $5.4 million to fund one-time needs next fiscal year, leaving an estimated year-end balance of $4.4 million unallocated.
OR
• Option 2 - Transfer unallocated Cannabis revenue of $384,064 from 001-1050-4130 Cannabis Tax revenue, FY 17/18 is $76,842 and FY 18/19 $307,222.
In FY 16/17, $3.1 million was collected in revenue and FY 17/18 $7.4 million is estimated; for a total of $10.5 million estimated by year-end. Of this amount, $737,000 has already been committed for current year needs and the Recommended Budget utilizes an additional $5.4 million to fund one-time needs next fiscal year, leaving an estimated year-end balance of $4.4 million unallocated.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
This agreement correlates to the Public Safety, and Health & Human Services Strategic Initiatives adopted by the Board of Supervisors by providing a homeless shelter for individuals and families who would otherwise be living unhoused on the streets.
Mark a check to the related Board of Supervisors Strategic Initiatives
__Economic Development
__Administration
X Health & Human Services
__Infrastructure
X Public Safety
Approved by: Elliott Robinson, Director, x4430
Attachments: Resolution, Original Agreement
Attachments on file with the Clerk of the Board