HomeMy WebLinkAboutReso 2021-145RESOLUTION NO. 2021-145
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA WAIVING COMPETITIVE BIDDING
REQUIREMENTS PURSUANT TO CHULA VISTA
MUNICIPAL CODE SECTION 2.56.070(B)(3) AND
APPROVING A FIRST AMENDMENT TO THE
CONTRACTOR/SERVICE PROVIDER AGREEMENT WITH
SBCS CORPORATION TO PROVIDE AN EMERGENCY
RENTAL AND UTILITY ASSISTANCE PROGRAM FUNDED
BY STATE AND FEDERAL CONSOLIDATED
APPROPRIATIONS ACT OF 2021 ALLOCATIONS
WHEREAS, in January 2020, as a result of the COVID -19 virus, the World Health
Organization (“WHO”) declared a Public Health Emergency of International Concern and the
United States Secretary of Health and Human Services declared a Public Health Emergency; and
WHEREAS, various states of emergency were declared by the United States (March 13,
2020), the State of California (March 4, 2020), the County of San Diego (February 19, 2020), and
the City of Chula Vista (March 17, 2020 pursuant to City Council Resolution No. 2020 -065)
because of the threat to public safety (to persons and property including both physical and
economic harm) as result of the COVID-19 virus; and
WHEREAS, the Centers for Disease Control and Prevention, the California Department of
Public Health, and the San Diego County Department of Public Health have all issued
recommendations and orders, including, but not limited to, social distancing, staying home if sick,
canceling or postponing large group events, working from home, and other precautions to protect
public health and prevent transmission of this communicable virus that continues to the present;
and
WHEREAS, the economic impact and financial hardship faced by low-income households
as a result of COVID-19 has affected their ability to pay for housing and basic needs, placing
them at risk of homelessness during this period where it is critical to self-quarantine, self-isolate,
or otherwise remain in their homes to reduce the transmission of COVID-19; and
WHEREAS, on December 27, 2020, the President of the United States signed into law the
Consolidated Appropriations Act, 2021 (the “Act”), more commonly known as the HR-133, which
authorizes $25B in emergency rental relief; and
WHEREAS, on January 5, 2021, the U.S. Department of the Treasury launched the $25
billion Emergency Rental Assistance Program (“ERAP”) established by the Consolidated
Appropriations Act, 2021; and
WHEREAS, the ERAP assists low-income households that are unable to pay rent and
utilities due to the COVID-19 pandemic; and
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WHEREAS, the Act provided $2.6 billion to the State of California and those local
municipalities with populations greater than 200,000 based on a population; and
WHEREAS, the City of Chula Vista received a direct allocation from the U.S. Treasury
Department in the amount of $8,161,124 and authorized the City Manager to complete all
documents required to obtain the Emergency Rental Assistance Program Allocation; and
authorized the appropriations in Fiscal Year 2020/21; and
WHEREAS, on January 29, 2021, the State of California passed Senate Bill 91 (SB 91)
that established the State’s Emergency Rental Assistance Program (“SERAP”) to allow Cities and
Counties with populations over 200,000 to opt into one of three program models; and
WHEREAS, by accepting SERAP as a block grant (Option B) in the amount of
$9,662,343.90, the City took on the responsibilities included in SB 91 and Health and Safety Code
50897.1(b)(1-3); and
WHEREAS, Assembly Bill (AB) 832 amended SB 91; and
WHEREAS, City Council Resolution No. 2021-033 authorized an initial award to SBCS
Corporation in an amount not to exceed $8,000,000 on February 16, 2021 to assist with the
administration and implementation of an ERAP and SERAP; and
WHEREAS, SBCS anticipates expending $8,000,000 by July 31, 2021 using the City’s
U.S. Treasury Department allocation; and
WHEREAS, the City desires to amend the existing contract with a SBCS Corporation, a
Subrecipient, to assist with the expenditure of a remaining portion of the U.S. Treasury Department
and State of California Emergency Rental Assistance Program funds that assist low-income
residents affected by COVID-19, as follows:
Agency Program Funding
Source
Initial Award Remaining
funds available
SBCS Corporation Emergency Rental
Assistance Program
U.S Treasury
ERAP
$8,000,000 $122,708.16
SBCS Corporation Emergency Rental
Assistance Program
State HCD $0.00 $9,596,236.49
WHEREAS, prior iterations of the ERAP provided that Landlords would receive 80% of
rents due, but the State of California has now authorized 100% of rents due be paid via the ERAP;
and
WHEREAS, State desires that local agencies expedite the aforementioned changes to the
ERAP; and
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WHEREAS, City Council finds: (1) that the use of the competitive bidding process set
forth in Chula Vista Municipal Code (CVMC) section 2.56.070 is impractical and that the City’s
best interests would be better served by waiving said bidding requirements, particularly given the
strict time lines required by the state and federal governments (including recent modifications to
the ERAP) to encumber and expend said funds and the urgent need for said funds by the citizens
of Chula Vista and (2) that SBCS is uniquely qualified to meet the state and federal grant
obligations, including, but not limited to, that SBCS has a long history of partnering with the City
to administer rental assistance programs and complying with attendant state and federal
regulations.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
(1) that it, based upon the above findings, that it hereby waives the competitive bid requirements
set forth in CVMC section 2.56.070 and SBCS is awarded the contract on a “sole source” basis
under the authority of CVMC section 2.56.070(B)(3) and (2) that it authorizes the City Manager
to enter into a First Amendment to the City of Chula Vista Contractor/Service Provider Services
Agreement between City and SBCS Corporation in accordance with the general terms and
conditions as outlined in the agenda statement and attendant State and Federal Requirements, in a
not to exceed aggregate amount of $17,718,944.65, on a form approved by the City Attorney, a
copy of which shall be kept on file in the Office of the City Clerk.
[SIGNATURES ON THE FOLLOWING PAGE]
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Presented by Approved as to form by
Tiffany Allen Glen R. Googins
Director of Development Services City Attorney
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 27th day of July 2021 by the following vote:
AYES: Councilmembers: Cardenas, Galvez, and Casillas Salas
NAYS: Councilmembers: None
ABSENT: Councilmembers: Padilla
ABSTAIN: Councilmembers: McCann
Mary Casillas Salas, Mayor
ATTEST:
Kerry K. Bigelow, MMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2021-145 was duly passed, approved, and adopted by the City Council at a regular
meeting of the Chula Vista City Council held on the 27th day of July 2021.
Executed this 27th day of July 2021.
Kerry K. Bigelow, MMC, City Clerk
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