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Exhibit 1 - Agenda Information Sheet - Amendment 1City of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement & Compliance ACM: David Gaines DATE: July 20, 2021 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of the first amendment to a contract between the City of Denton and The Salvation Army – Denton amending the contract approved by City Council on December 21, 2020, in the not-to- exceed amount of $656,465.00, to provide additional homelessness prevention services, said first amendment to extend the term of the contract to October 31, 2021; providing for the expenditure of funds therefor; and providing an effective date (RFQ 7525-004 – providing for an additional first amendment expenditure amount not-to-exceed $59,893.00, with a total contract amount not-to-exceed $716,358.00 and extending the contract with The Salvation Army – Denton to October 31, 2021). INFORMATION/BACKGROUND CARES ACT Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act to provide much- needed resources to help governments, businesses, and individuals respond to the current pandemic. The CARES Act included $4 billion for Emergency Solutions Grants (ESG) funding to support additional homeless assistance and homelessness prevention activities to mitigate the impacts created by coronavirus under the Emergency Solutions Grants program as authorized under subtitle B of title IV of the McKinney- Vento Homeless Assistance Act (42 U.S.C. 11371 et seq.). The first allocation of ESG CARES Act funding (ESG-CV) released by HUD allocated $33,254,679 to the Texas Department of Housing and Community Affairs (TDHCA), the State ESG Recipient. In May, $7,020,131 of these ESG CARES funds was distributed through a competitive application process administered by the Texas Homeless Network (THN), the CoC Lead Agency for the Texas Balance of State Continuum of Care (TX BoS CoC). The City of Denton applied on behalf of Denton County. Thirty-one communities applied and 14 were funded. In October of this year, the City of Denton was awarded $1.425M of ESG-CV funding from the TDHCA to provide homeless services (outreach, shelter, rapid rehousing, and homeless prevention) in partnership with agencies throughout Denton County. The ESG-CV funding will allow the City to support programs in our Housing Crisis Response System (HCRS) providing services to people experiencing and at risk of homelessness, and to collaboratively address the increased needs of people experiencing homelessness who are disproportionately affected by the COVID-19 and the global pandemic. The funds may be used to cover allowable costs incurred to prevent, prepare for, and respond to COVID-19. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Based on the application requirements, the City of Denton opted for the solicitation process through a qualified list with local social service agencies to provide ESG-CV eligible services with the ability to award an unspecified number of contracts per scope of work category through the term of the City’s contract with TDHCA from November 1, 2020, through July 31, 2021, or until the funds are expended, whichever comes first. Pricing was not the factor in the evaluation and awarding instead through the RFQ, nonprofits were required to meet minimum qualifications and demonstrate the ability to deliver the activities eligible under the scope of work including Street Outreach (SO), Emergency Shelter (ES), Homeless Prevention (HP), Rapid Re-housing (RRH) and use of the Homeless Management Information System (HMIS). Request for Qualifications for social services was solicited using the City’s formal solicitation process. City Council approved a pre-qualified list of social services firms on December 17, 2020 (Ordinance 20-2451). These nonprofits included Christian Community Action; Giving HOPE, Inc.; Grace Like Rain, Inc.; The Salvation Army – Denton; and the United Way of Denton County, Inc.(UWDC). In December 2020, four (4) nonprofits were awarded contracts for allocations of funding for the Emergency Solutions Grant CARES Act (ESG-CV), including The Salvation Army – Denton. In May of 2021, Council approved the execution of an additional ESG-CV contract with UWDC to reallocated funding voluntarily relinquished by two ESG-CV nonprofit vendors. FUNDING UPDATE In April, TDHCA offered the City the opportunity to request a contract extension past the original Emergency Solutions Grant CARES Act (ESG-CV) contract termination date of July 31, 2021. Staff submitted a request on April 30, 2021, for a 3-month extension of the contract to allow vendors additional time to administer services and expend funding. May 27, 2021, TDHCA approved the extension request. Due to previous contract amendments reducing funding allocations made to two ESG-CV nonprofit vendors, the City has available funding to reallocate to other vendors. Staff reached out to vendors to gauge their interest in taking on additional funding conditional upon the extension of the ESG-CV contract. The Salvation Army – Denton indicated they would be willing to take on an additional $59,893 to provide Homelessness Prevention services through ESG-CV. Based on the information provided, a contract amendment is required to extend the term of the contract and increase The Salvation Army – Denton’s ESG-CV allocation. PRIOR ACTION/REVIEW (Council, Boards, Commissions) On December 17, 2020, City Council approved a contract with The Salvation Army – Denton, in the not- to-exceed amount of $656,465 (Ordinance 20-2455). RECOMMENDATION Award Amendment No. 1 with The Salvation Army – Denton, to provide additional homelessness prevention services, in the not-to-exceed amount of $59,893, for a total amended contract amount of $716,358. PRINCIPAL PLACE OF BUSINESS The Salvation Army – Denton Denton, TX ESTIMATED SCHEDULE OF PROJECT This contract will expire on October 31, 2021. FISCAL INFORMATION These services will be funded from the Emergency Solutions Grant CARES Act funds. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Original Ordinance and Contract Exhibit 3: Ordinance and Amendment 1 Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Dani Shaw, 940-349-7237. Legal point of contact: Marcella Lunn at 940-349-8333.