| REDEVELOPMENT AGENCY
AGENDA ITEM NO. 2
Meeting Date: July 27, 2004
Subject/Title: Authorize the Executive Director to execute a Contract for the Professional Redevelopment Consulting Services with Seifel Consulting, Inc., for $20,000 and a 10% contingency for the preparation of the Brentwood Redevelopment Agency’s Five-Year Implementation Plan 2005-2010.
Prepared by: Gina Rozenski, Redevelopment Manager
Submitted by: Howard Sword, Economic Development Director
Authorize the Executive Director to execute a contract for the professional redevelopment consulting services with Seifel Consulting, Inc., for $20,000 and 10% contingency for the preparation of the Brentwood Redevelopment Agency’s Five-Year Implementation Plan 2005-2010.
California Community Redevelopment Law requires redevelopment agencies to adopt an Implementation Plan every five years to serve as a guide to implement its redevelopment program.
The Brentwood Redevelopment Agency adopted its first Five-Year Implementation Plan in 1994, and its second Five-Year Implementation Plan in 2000.
Assembly Bill 1290, sometimes referred to as the “Redevelopment Reform Act” of 1993, became effective in January 1994. AB 1290 requires every redevelopment agency in the state to adopt a Five-Year Implementation Plan. The plan must set forth the agency’s non-housing and housing goals and objectives for its project areas for the five-year period; identify programs, potential projects and financing methods to achieve those goals and objectives; address how the goals and objectives will eliminate blight conditions; and address the agency’s efforts to provide affordable housing in the project areas. The housing component of the Implementation Plan shall focus on the housing set-aside fund (20% of annual tax increments) and how it will be used during the five-year period to create, improve and preserve affordable housing opportunities within the two project areas. The housing component of the Plan must also identify inclusionary and replacement housing obligations and compliance. In addition to AB1290, other legislative regulations have been enacted (such as AB315, AB637 and SB211) which further modified housing requirements for redevelopment agencies, and which also must be addressed in the Five-Year Plan.
The Redevelopment Agency’s second Five-Year Implementation Plan will expire at the end of this calendar year. It is timely to commence the preparation of the Agency’s next Five-Year Plan for 2005-2010.
For the past two years, Seifel Consultants, Inc. has provided the Redevelopment Agency with redevelopment and housing advisory services. Seifel is well versed in the complex and ever-changing redevelopment regulations that govern redevelopment and redevelopment housing, and is highly specialized in practicing redevelopment consulting. Seifel is knowledgeable and experienced with our Agency’s policies, procedures and needs, and most importantly, has been involved in many of the Agency’s recent programs and projects.
Staff recommends a $20,000 contract, and a 10% contingency, with Seifel Consulting, Inc., for the preparation of the mandated Five-Year Implementation Plan.
Funding for these services is budgeted in the 2004/2005 fiscal year and shared between the Administration Fund 301 and Housing Fund 302.
Professional Services Agreement
AGREEMENT FOR PROFESSIONAL CONSULTANT SERVICES
OF SEIFEL CONSULTING, INC.
This Agreement, made and entered into this 27nd day of July, 2004, by and between the BRENTWOOD REDEVELOPMEN AGENCY, municipal corporation existing under the laws of the State of California, hereinafter referred to as “AGENCY”, and Seifel Consulting, Inc., located at 1388 Sutter Street, Suite 520, San Francisco California, 94109-5452 hereinafter referred to as CONSULTANT”.
A. AGENCY desires certain professional consultant services hereinafter described.
B. AGENCY desires to engage CONSULTANT to provide these services by reason of its qualifications and experience for performing such services and CONSULTANT has offered to provide the required services on the terms and in the manner set forth herein.
NOW, THEREFORE, IT IS AGREED as follows:
SECTION 1 – SCOPE OF SERVICES
The scope of services to be performed by CONSULTANT under this agreement is for professional redevelopment consulting services to prepare the Agency’s Five-Year Implementation Plan as required by California Community Redevelopment Law as those services are outlined in Exhibit A attached hereto and incorporated herein.
SECTION 2 – DUTIES OF CONSULTANT
CONSULTANT shall be responsible for the professional quality, technical accuracy and coordination of all work furnished by CONSULTANT under this agreement. CONSULTANT shall, without additional compensation, correct or revise any errors or deficiencies in its work.
CONSULTANT represents that it is qualified to furnish the services described under this agreement.
CONSULTANT shall be responsible for employing or engaging all persons necessary to perform the services of CONSULTANT.
It is understood that Elizabeth Seifel, President, will be the designated representative providing services to the Agency and this designated representative shall not be replaced without the Agency’s approval.
SECTION 3 – DUTIES OF AGENCY
AGENCY shall provide pertinent information regarding its requirements for the project, and as outlined in Exhibit A attached hereto and incorporated herein.
AGENCY shall examine documents submitted by CONSULTANT and shall render decisions pertaining thereto promptly, to avoid unreasonable delay in the progress of CONSULTANT’S work.
SECTION 4 – TERM
The services to be performed under this agreement shall commence immediately, with delivery of the final work product no later than December 31, 2004.
SECTION 5 – PAYMENT
Payment shall be made by AGENCY only for services rendered and upon submission of a payment request and AGENCY approval of the work performed. The AGENCY shall pay the CONSULTANT with the rates set forth in Exhibit A, in an amount not to exceed $20,000 plus 10% contingency.
SECTION 6 – TERMINATION
Without limitation to such rights or remedies as AGENCY shall otherwise have by law, AGENCY shall have the right to terminate this agreement or suspend work on the Project for any reason upon ten (10) days’ written notice to CONSULTANT. CONSULTANT agrees to cease all work under this agreement upon receipt of said written notice.
Upon termination and upon AGENCY’S payment of the amount required to be paid, documents become the property of AGENCY, and CONSULTANT shall transfer them to AGENCY upon request without additional compensation. Upon termination or expiration of this agreement, the obligations of the parties shall cease, save and except from those provided under Sections 7,8,10, 11, 12, 14, 15, and 16.
SECTION 7 – OWNERSHIP OF DOCUMENTS
All documents prepared by CONSULTANT in the performance of this agreement, although instruments of professional service, are and shall be the property of AGENCY, whether the project for which they are made is executed or not. Use of the instruments of professional service by Agency for other than the project, is at AGENCY’S sole risk without legal liability or exposure to CONSULTANT.
SECTION 8 - CONFIDENTIALITY
All reports and documents prepared by CONSULTANT in connection with the performance of this agreement are confidential until released by AGENCY to the public. CONSULTANT shall not make any such documents or information available to any individual or organization not employed by CONSULTANT or AGENCY without the written consent of AGENCY before any such release.
SECTION 9 – INTEREST OF CONSULTANT
CONSULTANT covenants that it presently has no interest, and shall not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the services under this agreement.
SECTION 10 – CONSULTANT’S STATUS
It is expressly agreed that in the performance of the professional services required under this agreement, CONSULTANT shall at all times be considered an independent contractor as defined in Labor Code Section 3353, under control of the AGENCY as to the result of the work but not the means by which the result is accomplished. Nothing herein shall be construed to make CONSULTANT an agent or employee of AGENCY while providing services under this agreement.
SECTION 11 – INDEMNITY
CONSULTANT, in the performance of professional services, under this Agreement shall indemnify, defend, and hold harmless AGENCY, its directors, officers, employees and agents from any claim, loss, injury, damage, and expense and liability to the extent arising out of the negligence, errors, omissions, or wrongful acts of CONSULTANT, its employees, subcontractors, or agents. For liability for other liability arising out of professional services, CONSULTANT shall indemnify, defend, and hold harmless, AGENCY, its directors, officers, employees, and agents from any loss, injury, damage, and expense and liability resulting from injury to or death of any person and loss of or damage to property, or claim of such injury, death, loss or damage, caused by an act or omission in the performance under this Agreement by CONSULTANT, its employees, subcontractors, or agents, except for any loss, injury, or damage caused by the active negligence or willful misconduct of personnel employed by AGENCY.
SECTION 12 – INSURANCE
The CONSULTANT shall provide and maintain:
A. Commercial General Liability Insurance, occurrence form, with a limit of not less than $1,000,000 each occurrence. If such insurance contains a general aggregate limit, it shall apply separately to this Agreement or be no less than two (2) times the occurrence limit.
B. Automobile Liability Insurance, occurrence form, with a limit of not less than $500,000 each occurrence. Such insurance shall include coverage for owned, hired, and non-owned automobiles.
C. Errors and omissions insurance in the minimum amount of $1,000,000 aggregate.
D. Workers Compensation in at least the minimum statutory limits.
E. General Provisions for all insurance. All insurance shall:
1. Include the City of Brentwood, its elected and appointed officers, employees, and volunteers as additional insureds with respect to this Agreement and the performance of services in this Agreement. The coverage shall contain no special limitations on the scope of its protection to the above-designated insureds except for Workers Compensation and errors and omissions insurance.
2. Be primary with respect to any insurance or self-insurance programs of City, Agency, its officers, employees, and volunteers.
3. Be evidenced, prior to commencement of services, by properly executed policy endorsements in addition to a certificate of insurance.
4. No changes in insurance may be made without the written approval of the City Attorney's Office.
SECTION 13 - NONASSIGNABILITY
Personal Services of Consultant: Both parities hereto recognize that this agreement is for the personal services of CONSULTANT and cannot be transferred, assigned, or subcontracted by CONSULTANT without the prior written consent of AGENCY.
SECTION 14 - RELIANCE UPON PROFESSIONAL SKILL OF CONSULTANT
It is mutually understood and agreed by and between the parties hereto that CONSULTANT is skilled in the professional calling necessary to perform the work and will perform the work agreed to be done under this agreement utilizing a specialist standard of care and that AGENCY relies upon the skill of CONSULTANT to do and perform the work in the most skillful manner, and CONSULTANT agrees to thus perform the work. The acceptance of CONSULTANT'S work by AGENCY does not operate as a release of consultant from said obligation.
SECTION 15 - WAIVERS
The waiver by either party of any breach or violation of any term, covenant, or condition of this agreement or of any provisions of any ordinance or law shall not be deemed to be a waiver of such term, covenant, condition, ordinance or law or of any subsequent breach or violation of same or of any other term, covenant, condition, ordinance or law or of any subsequent breach or violation of the same or of any other term, condition, ordinance, or law. The subsequent acceptance by either party of any fee or other money which may become due hereunder shall not be deeded to be a waiver of any preceding breach or violation by the other party of any term, covenant, or condition of this agreement of any applicable law or ordinance.
SECTION 16 - COSTS AND ATTORNEYS FEES
Attorney fees in an amount not exceeding $85 per hour per attorney, and in total amount not exceeding $5,000 shall be recoverable as costs (by the filing of a cost bill) by the prevailing party in any action or actions to enforce the provisions of the agreement. The above $5,000 limit is the total of attorneys’ fees recoverable whether in the trial court, appellate court, or otherwise, and regardless of the number of attorneys, trials, appeals, or actions. It is the intent of this agreement that neither party shall have to pay the other more than $5,000 for attorneys’ fees arising out of an action, or actions to enforce the provisions of this agreement.
SECTION 17 - NON-DISCRIMINATION
CONSULTANT warrants that it is an Equal Opportunity Employer and shall comply with applicable regulations governing equal employment opportunity. Neither CONSULTANT nor any of its subcontractors shall discriminate in the employment of any person because of race, color, national origin, ancestry, physical handicap, medical condition, marital status, sex, or age, unless based upon a bona fide occupational qualification pursuant to the California Fair Employment and Housing Act.
SECTION 18 - MEDIATION
Should any dispute arise out of this Agreement, any party may request that it be submitted to mediation. The parties shall meet in mediation within 30 days of a request. The mediator shall be agreed to by the mediating parties; in the absence of an agreement, the parties shall each submit one name from mediators listed by either the American Arbitration Association, the California State Board of Mediation and Conciliation, or other agreed-upon service. The mediator shall be selected by a "blindfolded" process.
The cost of mediation shall be borne equally by the parties. Neither party shall be deemed the prevailing party. No party shall be permitted to file a legal action without first meeting in mediation and making a good faith attempt to reach a mediated settlement. The mediation process, once commenced by a meeting with the mediator shall last until agreement is reached by the parties but not more than 60 days, unless the maximum time is extended by the parties.
SECTION 19 - ARBITRATION
After mediation above, and upon agreement of the parties, any dispute or claim arising out of or relating to this agreement may be settled by arbitration in accordance with the Construction Industry Rules of the American Arbitration Association, and judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. The costs of arbitration shall be borne equally by the parties.
SECTION 20 - LITIGATION
CONSULTANT shall testify at AGENCY'S request if litigation is brought against AGENCY in connection with CONSULTANT'S services under this agreement. Unless the action is brought by CONSULTANT, or is based upon CONSULTANT'S wrongdoing, AGENCY shall compensate CONSULTANT for preparation for testimony, testimony, and travel at CONSULTANT'S standard hourly rates at the time of actual testimony.
SECTION 21 - NOTICES
All notices hereunder shall be given in writing and mailed, postage prepaid, addressed as follows:
To AGENCY: Brentwood Redevelopment Agency
150 City Park Way
Brentwood, CA 94513
To CONSULTANT: Seifel Consulting, Inc.
1388 Sutter Street
San Francisco, CA 94109-5452
SECTION 22 – AGREEMENT CONTAINS ALL UNDERSTANDINGS; AMENDMENT
This document represents the entire and integrated agreement between AGENCY and CONSULTANT and supersedes all prior negotiations, representations, and agreements, either written or oral.
This document may be amended only by written instrument, signed by both AGENCY and CONSULTANT.
SECTION 23 – GOVERNING LAW
This agreement shall be governed by the laws of the State of California.
IN WITNESS WHEREOF, AGENCY and CONSULTANT have executed this agreement the day and year first above written.
BRENTWOOD REDEVELOPMENT CONSULTANT
JOHN STEVENSON, ELIZABETH SEIFEL
EXECUTIVE DIRECTOR PRESIDENT
APPROVED AS TO FORM:
Dennis Beougher, City Attorney
Proposal for the Five Year Implementation Plan
for the City of Brentwood Redevelopment Agency
The California Community Redevelopment Law (CRL) requires redevelopment agencies to adopt an Implementation Plan every five years to serve as a guide to implement a redevelopment program and alleviate blighting conditions. Implementation Plans must include five year goals and objectives, programs, potential projects, expenditures and an explanation of how they will alleviate blight and meet CRL affordable housing responsibilities. Seifel Consulting understands that the primary focus of the Implementation Plan is to evaluate and refine the City of Brentwood Redevelopment Agency (Agency) programs and legal requirements as outlined in AB 1290, AB 315 and AB 637. We will include in the Implementation Plan a synopsis of the goals, objectives, projects, documentation of remaining blight, a list of goals and objectives for the Project Areas, a list of specific projects and expenditures, and a determination of resource opportunities and constraints. With the Agency, we will determine the feasibility of proposed projects and public improvements, interpret statutory requirements and prepare an analysis of how tax increment revenues are best directed. We understand that the Agency will help us evaluate remaining blighting conditions and identify goals, objectives and priorities for the Implementation Plan. We will assist with the community participation and public hearing process.
In general, two components comprise the Implementation Plan: non-housing and housing. Preparation of the Implementation Plan involves gathering, analyzing, and summarizing information and data for each of the components. Agency staff will be a primary source of the background material needed to prepare the Implementation Plan. With Agency staff assistance, Seifel Consulting will undertake specific tasks to include the following:
• Compile all Agency analyses, relevant information from existing documents, and include any additional text required by the Community Redevelopment Law (CRL).
• Document specific Agency goals and objectives for the next five years.
• Specify programs and activities which the Agency proposes to implement over the next five years to alleviate blight.
• Summarize projected revenues for housing and non-housing programs over the next five years.
• Provide estimated expenditures for housing and non-housing programs over the next five years.
• Include an explanation of how the Agency's proposed activities will alleviate blight and meet the CRL requirements regarding housing.
• Create a final Implementation Plan, to serve as a public policy document for the Agency.
Following is a description of our approach to preparing the Implementation Plan.
Task 1: Scoping Session and Data Gathering
At the initiation of the contract, we will participate in an initial data gathering and scoping conference call with staff to review the proposed work tasks and discuss how they can most efficiently and cost effectively be implemented. This scoping session will:
• Review the proposed timeline for completion of each task and establish a schedule for the assembly of information and the preparation of draft documents.
• Determine how each work task can best be accomplished and allocate responsibilities among staff and consultant team members to assure the timely and efficient completion of each step.
• Establish a schedule with staff representatives and others as needed to expedite data gathering and the development of housing policies.
• Assemble and review existing data. As described in this proposal, our approach will maximize the use of existing data.
• Determine how coordination and task management is best accomplished. Designate a point person from Agency staff who will help assemble materials, schedule meetings and gather comments on all written drafts.
Task 2: Financial Resources
Seifel Consulting will summarize the Agency's financial resources and obligations for the five year period FY 2004/05 through FY 2008/09 based on information and assumptions provided by Agency staff. The Agency will provide a starting cash balance for both the Housing Fund and Non-Housing Fund as of the beginning of FY 2004/05. Seifel Consulting will provide tax increment projections for each of the five years in the Implementation Plan period based on an assumed percentage growth in assessed value in each Project Area. Based on these projections, Agency staff will provide projected pass-through payments (both negotiated and statutory) for each Project Area for each of the five years in the Implementation Plan, as well as other obligations. In summary, the Agency provide five year estimates of:
• County property tax administration
• Pass through payments
• Bond debt service
• Other debt obligations
• Agency administration costs
Agency staff will provide projections of other revenue sources that can complement the Agency's efforts to alleviate blight and provide affordable housing. Agency staff will also provide information regarding new bond issuance during the next five years.
Task 2a: Prepare Summary of Financial Analysis for the Implementation of Redevelopment Program
Seifel Consulting will include five years of tax increment projections and a summary of other financial resources in the Implementation Plan. We will use the financial projections and financial resources summary to refine the list of redevelopment activities to be accomplished over the next five years. In summary, we will work with Agency staff to do the following:
• Based on the projected financial resources, refine the list of non-housing redevelopment activities to be accomplished over the next five years. Describe how they will alleviate blight (refer to Task 3: Non-Housing Plan).
• Summarize expenditures on projects and activities for the next five years (refer to Task 3: Non-Housing Plan).
• Summarize proposed housing activities and revenues to be set-aside to the Housing Set-Aside Fund, and describe how annual housing fund deposits will be used. (Refer to Task 4: Affordable Housing Component).
Task 3: Non-Housing Plan
Based on information provided by Agency staff, Seifel Consulting will:
• Select relevant historical information to incorporate into the Implementation Plan.
• Prepare a synopsis of the Redevelopment Projects to date, including agency activities and accomplishments.
Task 3a: Projects
Based on information provided by Agency staff, Seifel Consulting will:
• Describe remaining blighting conditions in the Project Areas.
• Review Agency information on current projects and activities in the Project Areas.
• Evaluate project and activity appropriateness over the next five years, based on their past performance and the remaining blighting conditions.
Task 3b: Goals, Objectives, Policies and Programs
Seifel Consulting will work with Agency staff to recommend policies, goals and specific actions over the next five years. Where possible, this will include setting priorities, identifying specific projects and establishing budgets, timelines and important measurable performance criteria. Implementation Plan policies will be based on successful programs that will help the Agency to achieve its goals with the least financial risk and maximum possible leveraging of outside resources. We will:
• Review proposed programs outlined within the existing Implementation Plan, Consolidated Plan, General Plan, and Redevelopment Plan.
• Assist Agency staff in setting priorities among programs and specific projects, based on their ability to remedy remaining blighting conditions.
• Recommend specific non-housing goals for a five year period based on the financial review.
Task 3c: Projected Expenditures
• Estimate the amount of public funds that will be needed to achieve projects and implement activities.
• Assist the Agency in determining how the Agency's existing and future resources are best directed.
• Translate five year goals to five year programs and expenditures.
• Explain how the goals, objectives, programs and expenditures will alleviate blight.
Task 4: Affordable Housing Component of Implementation Plan
The CRL requires that an Implementation Plan include:
• Number of housing units projected to be rehabilitated, price-restricted, assisted or destroyed.
• Amount available in the Low and Moderate Income Housing Fund, estimated deposits into the Housing Fund during the five-year period, and the Agency’s plans for using the funds.
• Identification of proposed locations for replacement housing, if needed.
• Affordable Housing Production Plan (AB 315 Plan).
• Explanation of how the goals, objectives, programs, and expenditures will implement the affordable housing requirements of the CRL.
• A housing program for each of the five years of the Implementation Plan.
We will evaluate updated data and reports regarding affordable housing provided by the Agency. The policy guidelines of the Agency’s Housing Element will be kept in mind as our review proceeds, as will the Agency’s experience with administering local programs. Our affordable housing related tasks are presented in five categories.
Task 4a: Programs in Progress
As part of our work on the Affordable Housing Component of the Implementation Plan, Seifel Consulting will:
• Review the General Plan Housing Element to ensure consistency with the housing portion of the Implementation Plan.
• Estimate the amount of public funds that will be needed to achieve affordability for required affordable owner and rental housing.
Task 4b: Housing Production Plan (AB 315 Plan)
The CRL housing production requirement includes the following:
• Non-Agency Developed Housing: At least 15 percent of all newly developed dwelling units must be available at affordable housing cost to persons and families of very low, low, or moderate income. Of those affordable units, at least 40 percent must be affordable to very low income households (equal to 6 percent of total dwelling units).
• Agency Developed Housing: At least 30 percent of all new or substantially rehabilitated dwelling units developed directly by an agency must be available at affordable housing cost to persons and families of very low, low, or moderate income. Of those units, at least 50 percent must be affordable to very low income households (equal to 15 percent of agency developed dwelling units). This requirement does not apply to units developed by housing developers pursuant to agreements with an agency.
Recent legislation, AB 637 and SB 211, modified requirements for housing production. These requirements are effective January 1, 2002:
• The Agency must record affordability covenants for assisted units that meet an extended minimum period of 55 years for rental units and 45 years for owner-occupied units.
• The ability to purchase covenants will apply only for low- and very low-income units.
• The Agency cannot terminate project areas without fulfilling its housing production responsibilities. (SB 211)
• The Agency can elect to satisfy production obligation by constructing units outside the Project Areas on a 1:2 credit basis.
As part of our task to produce the Housing Production Plan, Seifel Consulting will:
• Project total number of new or substantially rehabilitated residential units that will be developed within the project areas over the next five years (2005 through 2009), the next ten years (2005 through 2014), and the life of the plan (FY ending 2015 onward).
• Project number of units that the Agency will develop itself, as well as the number that will not be developed by the Agency, during the time periods of the plan, including the number of affordable housing units by qualifying income level located within and outside the project areas.
• Review staff forecasts for Project Areas–related housing production and determine whether the methodology, format and time frame will meet the requirements for AB 315, AB 1290 and AB 637.
• Work with staff to assemble data that is needed, specifically:
- Number, location and type of total and qualifying affordable housing units produced from 2000.
- Historical production: rental vs. owner; housing type (elderly, family, disabled, etc.); income restrictions (very low, low, moderate); term of affordability; use of housing set-aside funds.
- Affordability controls, if any, on units annually produced from 2000 to date by new construction and substantial rehabilitation.
- Updated number of total housing units by income targeting (very low and low/moderate) and age targeting (from January 1, 2002 onward) to be constructed, substantially rehabilitated with Agency assistance, price restricted, or assisted to meet inclusionary and replacement housing requirements.
- Location of sites suitable for residential development, current zoning and anticipated uses (from Housing Element).
- Updated number of units which these sites could realistically support at full build-out, considering residential market conditions (from staff).
- Updated number, location and type of units to be built or substantially rehabilitated with Agency assistance (production goals for five years, ten years and remaining life of the Plans).
- Process for ongoing monitoring of construction and substantial rehabilitation activity within the Project Areas.
Task 4c: Replacement Housing Plan
As part of the Housing Production Plan, we will produce the Housing Replacement Plan. The Replacement Plan generally describes the location, timing and method for provision of replacement housing. The CRL requirements for housing plans are as follows:
• When residential units sheltering households earning at or below 120 percent of median income are destroyed or removed, or are no longer affordable due to agency action, an agency must replace those units within four years with replacement units which have an equal or greater number of bedrooms.
• An agency must adopt by resolution a replacement housing plan at least thirty days prior to acquiring property or adopting an agreement that will lead to the destruction or removal of low and moderate income housing units.
AB 637 made the following modifications to the replacement housing requirements:
• Replacement units must be made affordable to households at the same income category as the household that resided in the unit before it was removed. (Previous requirement was 75 percent.)
• Displaced households have priority to rent or buy any housing units made available pursuant to the production (or inclusionary) housing requirements.
Seifel Consulting will work with staff to assemble data that is needed, specifically:
- Updated number of housing units that were destroyed and sites for replacement housing that has been or will be produced within the four year replacement time period.
- Updated number of housing units that are expected to be destroyed and sites for replacement housing in the future.
Task 4d: Goals, Objectives, Policies and Programs
We will work with Agency staff to recommend housing policies, goals and specific actions over the next five years. Where possible, this will include setting priorities, identifying specific projects and establishing budgets, timelines and important measurable performance criteria. Housing Implementation Plan policies will be based on successful programs that will help the Agency to achieve its goals with the least financial risk and maximum possible leveraging of outside resources. We will:
• Review proposed programs outlined within the Housing Element, Consolidated Plan, and Redevelopment Plan.
• Recommend specific housing goals for a five year period based on financial analysis.
• Evaluate housing and land use policy options, such as density bonuses, income targeting, etc. that encourage affordable housing production to meet Agency requirements.
Task 4e: Projected Expenditures: Housing Set-Aside Fund Requirement
Agencies are required to set-aside 20 percent of all tax increment revenue generated in project areas in a separate Low and Moderate Income Housing Set-Aside. These funds must be used for the purpose of increasing, improving, and preserving the community’s supply of affordable housing. The housing must be available at affordable housing cost and occupied by households of very low, low, or moderate income. Seifel Consulting will perform the following tasks as part of our analysis of housing set-aside and expenditure requirements:
• Assist the Agency in determining how the Agency’s existing and future housing resources are best directed.
• Project potential Agency assistance given estimates of typical Agency assistance in developing and constructing affordable housing units.
• Estimate the number of units assisted by the Agency by income and age targeting.
• Based on the above estimates, project the amount of tax increment that will be spent on the above.
AB 637 modified housing expenditure requirements to include the following requirements, which were effective January 1, 2002:
• Spending must be targeted (calculated in dollars spent)
Income: Spending must be in proportion to the Agency’s unmet need for very low, low and moderate income households
Age: A minimum percentage of Set-Aside funds must be spent on housing that is not subject to age restrictions.
• Set-Aside funds may only be used to construct infrastructure and public improvements under certain circumstances.
• Housing Set-Aside funds may only be used to fill the gap between other financing and total project costs. If more than 50 percent of a project is to be financed by the Agency, a finding must be made that no other commercial funding sources could be obtained.
Seifel Consulting will work with the Agency to ensure compliance with these new requirements.
Task 5: Meetings
As requested by the Agency, Seifel Consulting will attend staff meetings and a public hearing on the Implementation Plan. We will help structure the meetings to provide opportunity for the Agency, and key staff to participate in the review and preparation of the Implementation Plan.
We will prepare for and participate in two meetings with Agency staff and others through the duration of the project to review work performed, obtain additional information such as reports from Agency staff and to present the Implementation Plan. Meetings will be held in person and conference calls will be scheduled as needed.
The budget provides for Seifel Consulting staff to participate in one public hearing or project area committee meeting. As needed, Seifel Consulting will provide Agency staff with general consultation services and strategy formulation for the public hearing process. City staff will be responsible for scheduling and providing any necessary public notice for these meetings. This proposal does not include participation in community meetings. Our participation at a community meeting would be considered an additional service and would be billed on a time and materials basis.
Task 6: Draft Implementation Plan
We will prepare a Draft Implementation Plan to meet all legal requirements as outlined in AB 1290, AB 315 and AB 637. This proposal includes two draft revisions of the Implementation Plan. If additional drafts are required, they will be billed as an additional service on a time and materials basis.
Task 7: Final Implementation Plan
We will prepare the Final Implementation Plan to serve as an internal guide for programs and projects, as well as a public policy document for the community, and we expect to deliver the report within four months of an initial scoping session.
Seifel Consulting bills monthly on a time and materials basis for services rendered during the previous month:
Personnel 2004 Hourly Rates
Elizabeth Seifel, President $185
Managing Consultant $145
Senior Consultant $125
Research Assistant $85
Document Processing/Graphics* $65
*Includes mapping services provided by Valerie Reichert of Sixth Street Studio.
Reimbursable costs are billed as follows, and are included in the total contract amount.
• Telephone charges are billed based on a fixed amount computed at 2 percent of billed professional services.
• Automobile mileage charges are 37.5 cents per mile.
• Photocopying/report reproduction charges are 10 cents per page, except for bulk reproduction of reports, which are charged on a direct reimbursable basis.
• Delivery services other than by first class United States mail at cost.
• All remaining expenses are billed on a direct reimbursable basis with receipts above $20 provided as evidence upon request.
We propose to prepare the Implementation Plan on a time and materials basis up to a proposed budget of $20,000 based on our mutual agreement as to the work to be performed. The work would be billed for services rendered during the previous month, up to the contract amount. Please refer to Table 1 for a summary of our proposed budget and an estimate of the hours required by the assignment.
Role of Agency Staff
The Consultants recognize that Agency staff time is valuable. As a result every effort has been made to avoid any significant reliance on staff for work associated with the Implementation Plan. However, a need for cooperation is important in the following areas:
• Timely provision of reports, documents, studies, plans, and other information relevant to the documentation of existing conditions and the production of the Implementation Plan.
• Provision of information as needed to document remaining blight.
• Coordination with staff team and various City departments on the provision of relevant data.
• Scheduling and conducting staff team meetings with consultant, including kick-off meeting, regular team meetings, and conference calls.
• Scheduling and providing any necessary public notice for meetings.
• Timely response to inquiries from the Consultant.
• Coordination of review and edits of deliverables with Agency staff and consolidation of edits into one document for delivery to Consultant.
City of Brentwood City Council
150 City Park Way
Brentwood, CA 94513
Fax (925) 516-5441