DATE: June 24, 2025
TO: Board of Supervisors
SUBMITTED BY: Sanja Bugay, Director, Department of Social Services
SUBJECT: Agreement with RH Community Builders for Motel Temporary Housing
RECOMMENDED ACTION(S):
TITLE
1. Under Administrative Policy No. 34 for competitive bids or requests for proposals determine that an exception to the competitive bidding requirement is satisfied and a suspension of competition is warranted due to unusual or extraordinary circumstances, and that the best interests of the County would be served by entering into an agreement with RH Community Builders as the vendor is uniquely qualified to provide a motel as temporary emergency shelter; and
2. Approve and authorize the Chairman to execute an Agreement with RH Community Builders for motel temporary housing services, effective July 1, 2025, including a three-year base contract and two optional 12-month extensions, total not to exceed $8,500,000.
REPORT
There is no increase in Net County Cost associated with the recommended actions. Approval of the recommended actions will allow the Department of Social Services (Department) to provide motel temporary housing services for eligible families experiencing homelessness in metropolitan Fresno and Clovis at one central location. This item is countywide.
ALTERNATIVE ACTION(S):
If the recommended actions are not approved, the Department will return to its previous practice of temporarily housing metro area families in motels throughout the city of Fresno. Additional services and amenities such as assistance in securing housing, access to computers and printing, and free laundry facilities that are provided by RH Community Builders (RHCB) at the current motel facility will no longer be guaranteed to be available to unhoused families while staying at other facilities.
SUSPENSION OF COMPETITION CONTRACT:
It is requested that the County find under Administrative Policy No. 34 (AP 34) that an exception to the competitive bidding requirement is satisfied, and a suspension of competition is warranted for the unique services that RHCB is providing exclusively for families served by the Department. This facility is near necessary amenities such as grocery stores, schools, and public transportation and RHCB provides resources and services that assist clients with obtaining more stable, permanent housing. RHCB has demonstrated to be the only vendor in the County of Fresno to offer a facility and services to meet all these requirements exclusively for Department clients. The General Services Department (GSD) - Purchasing concurs with the Department’s request to suspend the competitive bidding process.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended actions. The maximum annual compensation for the recommended agreement is $1,700,000 per year, with a total maximum compensation not to exceed $8,500,000 for the full term. This is a fee-for-service agreement and payment will only be made for occupied rooms with total costs not to exceed $8,500,000 for the entire term. Costs will be offset with various Department funds, dependent on which Department programs the clients are connected to, including, California Work Opportunity and Responsibility to Kids (CalWORKs) Homeless Assistance, CalWORKs Housing Support Program, Adult Protective Services, Child Welfare Services, and Homeless Housing, Assistance and Prevention funding. Sufficient appropriations and estimated revenues will be included in the Department’s Org 5610 FY 2025-26 Requested Budget and will be included in subsequent budget requests.
DISCUSSION:
On November 25, 2019, the Department released a Letter of Interest (LOI), in coordination with GSD, for motel temporary housing. The purpose of the LOI was to determine whether there was an agency in the community that could provide motel temporary housing services in a facility reserved exclusively for Department clients. RHCB was the only vendor to respond and was selected for an agreement. On May 12, 2020, the Board approved a three-year agreement with two 12-month extensions with RHCB as the provider for Motel Temporary Housing which expires on June 30, 2025.
Approval of the recommended actions will allow continuation of motel temporary housing for the exclusive use of Department clients. Through this agreement, RHCB will provide Housing Navigation services for families residing at the facility. The Housing Navigator will assist households in securing permanent housing, including contacting property owners, assisting with applications, and facilitating transportation as needed. RHCB will provide two computers with internet access and printing capabilities to assist families with housing applications, job searches, and other related needs. Additionally, a continental breakfast and laundry facilities are made available at no charge to the guests. The recommended agreement will be effective July 1, 2025, through June 30, 2028, with two 12-month optional extensions.
REFERENCE MATERIAL:
BAI #37, May 12, 2020
ATTACHMENTS INCLUDED AND/OR ON FILE:
Suspension of Competition Acquisition Request Form
On file with the Clerk - Agreement with RH Community Builders
CAO ANALYST:
Dylan McCully