To: Sonoma County Board of Supervisors
Department or Agency Name(s): Department of Health Services
Staff Name and Phone Number: Tina Rivera, 707-565-4774
Vote Requirement: 4/5th
Supervisorial District(s): Countywide
Title:
Title
Homelessness Services for Interim Housing Sites
End
Recommended Action:
Recommended action
The Sonoma County Department of Health Services is requesting the Board take one of the following two actions:
A) Reject all proposals received for RFP #23-013 Interim Housing Support Services and Site Management and direct staff to issue a new RFP.
B) Delegate authority to the County Administrator’s Office and Director of Health Services, or designee, to extend the agreement with Michelle Patino dba DEMA Consulting & Management and/or establish services with other providers until the earlier of July 31, 2024, or the award of the new RFP, whichever occurs first, for a total amount not to exceed maximum of $1,561,042.
C) Adopt a Resolution adjusting the Department of Health Services FY 2023-2024 adopted budget by $1,170,782 to program ARPA and IGT funding to finance continuation of services for 4 months from April 1, 2024, through July 31, 2024.
OR
D) Authorize the Director of Health Services, or designee, to execute an agreement with Michelle Patino dba DEMA Consulting & Management for interim housing support services and site management for a term of three (3) years, starting April 1, 2024 through March 31, 2027.
E) Adopt a Resolution adjusting the Department of Health Services FY 2023-2024 adopted budget by $1,170,782 to program ARPA and IGT funding to finance interim housing support services and site management for the remaining 3 months of this fiscal year from April 1, 2024 to June 30, 2024.
end
Executive Summary:
The County Administrator’s Office (hereinafter “CAO"), County Counsel, and the Department of Health Services (hereinafter, “DHS” or “the Department”) staff are recommending the Board consider interim housing services and site management provider options for homeless shelter sites operated by the County of Sonoma under the administration of the DHS’s Homeless Services division.
Current sites include “Mickey Zane Place,” (MZP) a 44-room interim housing location at 635 Healdsburg Avenue, Santa Rosa, California and the “Emergency Shelter Site,” (ESS) an 87-tent managed encampment at 400 Administration Drive in Santa Rosa, California. In addition, the most recent request for proposals (RFP) included the need for services at the new Los Guilicos Eliza’s Village dormitories with capacity for 40 rooms which is expected to become available for housing this fiscal year.
The current RFP independent review committee recommended award to DEMA with a term through mid-2027. Contract terms have yet to be negotiated. As such, should this be deemed an appropriate path, the Department would need to come back to this Board with the finalized budget and scope of work for budget appropriations. The agreement will be financed from available Intergovernmental Transfer state funding and ARPA allocation for homeless services.
Alternatively, should the Board elect to reject all proposals from the current RFP and direct staff to issue a new RFP, an extension of services up to and including July, 31, 2024 will be needed and a corresponding budgetary adjustment of approximately $1.6 million is included in this item for the Board’s consideration.
Discussion:
Over the last few years, the Department contracted with various service providers to provide homeless housing services and site management as part of the COVID-19 pandemic response. The ESS was stood up as an emergency response via direction from the Board on February 21, 2023, to the County’s unsheltered population to house and support unhoused individuals relocated from the Joe Rodota Trail.
On September 12, 2023, the Board approved the initiation of the demobilization of the ESS at the County Campus, transition of ESS residents to the Los Guilicos campus, renovation of two dormitory facilities located at the Los Guilicos campus, and reconfiguration of the housing approach at Los Guilicos Village (hereinafter “LG Village”) in a manner to remove the temporary structures and utilize two existing dormitories, once refurbishment is completed, to create more permanent structures with longer-term housing. LG Village currently has 60 pallet shelters which can accommodate up to 60 guests. But at 3.5 years old, the structures’ related infrastructure is nearing the end of its useful life with wear and tear from continued use and weather.
The proposed Eliza’s Village concept will utilize two of the four unused Los Guilicos campus dormitories to serve as longer-term interim housing and eliminate the space of the current pallet shelter footprint. This recommendation eliminates the need for a costly shower trailer, outside washer/dryer, as well as the bathroom trailers. The solution further eliminates the expensive site improvements estimated at approximately $500,000, which does not include replacement of the pallet shelter-dwellings at the end of their useful life.
With the help of contractors and Sonoma Public Infrastructure, the two dorms were remodeled at a cost of roughly $3.2 million (for two dorms of 40 sleeping rooms each with common kitchen, restroom, shower, and gathering areas). The dormitories are still being completed and prepared for occupancy, with accommodations to serve about 90+ people (with some bunk beds and some single beds).
As the dormitories were being renovated, DHS issued an RFP for Interim Housing Support Services and Site Management (i.e., the supportive services and site management of the County’s interim housing locations). At the time, these locations were the 44-unit MZP facility in Santa Rosa, the “Ballfields Trailers” on the Sonoma County Fairgrounds site, and the ESS on Administration Drive, Santa Rosa). The RFP did not include the management of the Tiny Home Village at Los Guilicos, as that was under management already by St Vincent de Paul. The RFP envisioned that respondents to the RFP would be flexible in which site or sites they may manage - and that the sites could be adjusted over the course of the service delivery period (for example, the Ballfields Trailers closed, and the ESS was/is intended to close and clients there relocated to Eliza’s Village/Los Guilicos dormitories).
The RFP for Interim Housing Support Services and Site Management was released on August 8, 2023. A virtual non-mandatory informational pre-bid conference was conducted on August 17, 2023. Formal questions from interested parties were received on August 24, 2023, with the Department responding in a formal addendum on August 31, 2023. Four (4) proposals were received by the September 14, 2023, deadline. Proposals were received from:
1. Foege Schumann Global Disaster Solutions LLC d.b.a. F. S. Global Solutions
2. Sonoma Applied Village Services
3. Michelle Patino dba DEMA Consulting & Management
4. HomeFirst
A panel of four (4) individuals composing the independent review committee (one (1) from DHS’ Homelessness Division, one (1) from DHS’ Administrative Program Support Services, and one (1) from DHS’ Compliance Unit, and one (1) from Sonoma County Fairgrounds) reviewed the proposals based on the requirements set forth in the RFP and scored all four proposals utilizing the following criteria:
a. Approach and concept for successful client outcomes in an emergency shelter and interim housing site, including placements in interim or permanent housing.
b. Demonstrated knowledge and ability to manage emergency and interim housing sites and provide housing-focused supportive services.
c. Qualifications of staff assigned to this project.
d. Ability to provide medical services.
e. Written Proposal.
f. Costs.
After tabulating initial proposal review scores, two (2) proposers- Michelle Patino dba DEMA Consulting & Management and HomeFirst - were moved forward by the review committee for interviews and presentations, while the remaining two proposers were eliminated from consideration by not meeting the minimum scores. Four (4) panelists composed the interview and presentation panel. Both the review committee and panel were independent of the Department of Health Services Director as is appropriate. Both short-listed firms were scored based on their presentations and answers to several questions covering several topics including fiscal responsibility, emergency responsiveness, changing environments, and factors of equity. Finally, a budget comparison was conducted to determine the best value for the County.
The RFP included the County’s standard right to not award any contracts based on the RFP, as well as to award one or more contracts to respondents to the RFP for one or more of the interim housing sites. At the time, based on the committee scores and panel criteria, the RFP resulted in the review committee recommending an award to Michelle Patino dba DEMA Consulting & Management, with the condition the Department negotiate costs to meet County budget restrictions before executing a contract.
Due to the complexity and sensitivity of the services sought, changed interim housing locations, and to meet the best interest of the County, the Board may determine the RFP is no longer valid. Therefore, the Board may direct staff to reissue an RFP for interim site services, including the new and changed conditions for interim sites in the County, while at the same time delegating authority to the County Administrator and Director of Health services to extend the current agreement with Michelle Patino dba DEMA Consulting & Management and/or engage other providers, to maintain operations at the interim sites until either the award of the new RFP, or an end term of July 31, 2024, whichever occurs first. The extended agreement with DEMA will include added language to clearly state expected provider internal controls and documentation required for invoicing the County. The extension with DEMA will not exceed $390,261 per month depending on the number of residents.
Concurrently, the Department is evaluating various alternative options and strategies for addressing operational needs which could include temporarily utilizing internal resources at the shelter sites. The County will engage with the affected bargaining unit representatives in accordance with State law, as appropriate. Until the US Supreme Court decides the Grants Pass case, there are several conflicting federal court decisions regarding whether a local government has a legal obligation to provide shelter to individuals in a variety of circumstances. The emergency shelter sites are an important part of the County’s ability to respond appropriately to encampments in certain locations until the US Supreme Court clarifies local government obligations.
Based on extenuating concerns that have come to light, the Department of Health Services is recommending that all bids be rejected per the County’s standard right to not award any contracts as a result of the RFP and reissue a new RFP.
Strategic Plan:
This item directly supports the County’s Five-year Strategic Plan and is aligned with the following pillar, goal, and objective.
Pillar: Healthy and Safe Communities
Goal: Goal 1: Expand integrated system of care to address gaps in services to the County’s most vulnerable.
Objective: Objective 2: Identify gaps in the Safety Net system of services and identify areas where departments can address those gaps directly and seek guidance from the Board when additional resources and/or policy direction is needed.
Racial Equity:
Was this item identified as an opportunity to apply the Racial Equity Toolkit?
No
Prior Board Actions:
On January 30, 2024, the Board authorized the Director of Health Services or designee, to extend the end date of previously approved interim agreement with Michelle Patino dba DEMA Consulting & Management for continued site management and security services at current shelter sites (Mickey Zane Place and the Emergency Shelter Site at the County Campus) for an additional month, covering services from February 1, 2024 to March 31, 2024 at an additional $1,168,422, for a total not to exceed amount of $2,235,148.
On November 28, 2023, the Board authorized the Director of Health Services, or designee, to execute a temporary agreement with Michelle Patino dba DEMA Consulting & Management for continued site management and security services at the current shelter sites in an amount not to exceed $1,100,734 for the period December 1, 2023 through January 31, 2024.
On September 12, 2023, the Board authorized the Director of Health Services, or designee, to execute an agreement with Michelle Patino dba DEMA Consulting & Management for site management and security services at various shelter sites in the amount of $3,302,200 for the period of July 1, 2023 through November 30, 2023.
Fiscal Summary
|
Expenditures |
FY23-24 Adopted |
FY24-25 Projected |
FY25-26 Projected |
|
Budgeted Expenses |
|
|
|
|
Additional Appropriation Requested |
$1,170, 782 |
$0 |
$0 |
|
Total Expenditures |
$1,170, 782 |
$0 |
$0 |
|
Funding Sources |
|
|
|
|
General Fund/WA GF |
|
|
|
|
State/Federal |
|
|
|
|
Fees/Other |
$1,170, 782 |
$0 |
$0 |
|
Use of Fund Balance |
|
|
|
|
General Fund Contingencies |
|
|
|
|
Total Sources |
$1,170, 782 |
$0 |
$0 |
Narrative Explanation of Fiscal Impacts:
Award Option:
At this time, appropriations are only required for FY 2023-2024 which totals $1,170,782 for the cost of the interim contract in the current fiscal year. Once the RFP identifies a contractor, DHS will negotiate terms for the full 3-year contract.
Reissue RFP and Extend Agreement:
The additional cost for DEMA to continue a similar contract to manage two sites through 07/31/2024 is $390,261 per month, or a subtotal of $1,561,042 for 4 months. Since this contract will cross fiscal years, $1,170,782 is projected to be spent in April, May, and June of FY 23-24, and up to $390,261 depending on number of residents is projected to be spent in July 2023 in FY 2024-2025.
To pay for the additional appropriations in FY 2023-2024, DHS will utilize funding from ARPA (American Rescue Plan Act) in the amount of $870,781 and IGT funds will cover the remaining $300,000.
|
Staffing Impacts: |
|
|
|
|
Position Title (Payroll Classification) |
Monthly Salary Range (A-I Step) |
Additions (Number) |
Deletions (Number) |
|
|
|
|
|
Narrative Explanation of Staffing Impacts (If Required):
N/A
Attachments:
Attachment 1 - Sample Agreement
Attachment 2 - Resolution
Related Items “On File” with the Clerk of the Board:
None