HomeMy WebLinkAboutMINUTES - 08252015 - C.31RECOMMENDATION(S):
APPROVE and AUTHORIZE the Director of Conservation and Development, or designee, to execute a contract
amendment with Compliance Services, LLC, to extend the contract expiration date from May 6, 2015 to May 6, 2020,
and to increase the payment limit by $425,000 to a new payment limit of $1,070,000, to allow the contractor to
continue providing reporting and monitoring of affordable housing properties.
FISCAL IMPACT:
No impact to the County General Fund. Contract costs are covered by a combination of federal grant administrative
funds (Community Development Block Grant and HOME Investment Partnership program) and multi-family
mortgage revenue bond administrative funds. (73% Bond Administrative Funds, 22% HOME, 4% CDBG, 1%
Former Redevelopment Agency Funds)
BACKGROUND:
The County entered into a contract with Compliance Services, LLC (Contractor) on May 6, 2008. The contract is
subject to the terms of an underlying Master Software License & Hosting Agreement between Compliance Services
and the California Statewide Communities Development Authority. The County is a “Participating Public Agency”
under the master agreement.
The Contractor monitoring and reporting system enables developers and public agencies to manage affordable
housing records easily and efficiently. Real-time calculations and reports ensure compliance with federal, state
APPROVE OTHER
RECOMMENDATION OF CNTY
ADMINISTRATOR
RECOMMENDATION OF BOARD
COMMITTEE
Action of Board On: 08/25/2015 APPROVED AS
RECOMMENDED
OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I Supervisor
Candace Andersen, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Karen Mitchoff, District IV
Supervisor
ABSENT:Federal D. Glover, District V
Supervisor
Contact: Kara Douglas - 674-7880
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors
on the date shown.
ATTESTED: August 25, 2015
David J. Twa, County Administrator and Clerk of the Board of Supervisors
By: Chris Heck, Deputy
cc:
C. 31
To:Board of Supervisors
From:John Kopchik, Director, Conservation & Development Department
Date:August 25, 2015
Contra
Costa
County
Subject:“Compliance Services, LLC” Agreement
BACKGROUND: (CONT'D)
and local income and rent restrictions. At present, the County manages an affordable housing compliance portfolio of
86 multi-family properties - a number that will grow this year.
The contract had an initial term of five years. After the first five years, the agreement automatically renews annually,
unless either party gives a termination notice. When the contract was approved by the Board of Supervisors in 2008,
the payment limit was set at $475,000 to cover the initial five-year term. In June 2013, the Board of Supervisors
approved an increase in the payment limit of $85,000 to pay for services rendered in the sixth year of the contract
(May 6, 2013 through May 5, 2014), and in August 2014, approved an increase in the payment limit of $85,000 to
pay for services rendered in the seventh year of the contract (May 6, 2014 through May 5, 2015).
Prior to implementing the web-based compliance system, the County devoted approximately 60 percent of a full time
Housing Technician position to multi-family compliance matters. Because the web-based compliance system has
made the process of completing federal and state monitoring reports much more efficient, the staffing requirement has
dropped to approximately 25 percent of a full time staff position. The value of the increase in efficiency will continue
to be realized as the County’s portfolio grows. Equally important, management staff now has access to compliance
data in a format that is easily accessed and analyzed.
Given the value of the software system and the absence of comparable products in the market, it is requested that the
payment limit be increased by $425,000 ($85,000 per year for 5 years), to a new payment limit of $1,070,000, to pay
for anticipated costs over the five-year period beginning May 6, 2015 and ending May 5, 2020. The annual payment
includes a base charge of $75,000 for existing housing projects. Additional one-time set-up charges will be incurred
for each new project added to the database, as well as additional annual charges of $6 per unit per new project. The
County typically adds one to three new projects each year. An annual allocation of $85,000 should be sufficient to
cover fixed and one-time costs each year.
CONSEQUENCE OF NEGATIVE ACTION:
If the renewal licensing fees are not approved, the County will not have access to the reporting and monitoring
program and additional staff will be required to oversee these matters.