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Item 8A AGENDA ITEM #8A ~.- JUNE 14, 2004 CITY OF ATLANTIC BEACH CITY COMMISSION STAFF REPORT AGENDA ITEM: Request to authorize Builders Care to perform CDBG funded housing rehabilitation services pursuant to the City's 2003-2004 FY CDBG contract. SUBMITTED BY: Sonya Doerr, AICP, Community Development Director ~+~ DATE: June 7, 2004 BACKGROUND: This year's Community Development Block Grant provides $58,071 for housing rehabilitation activities. (Housing rehab funds in the amount of $30,000 were included in the current FY application, and the additional $28,000 was re-allocated to the COAB following the sale of a home renovated several years ago with CDBG funds.) As in the previous year, our grant specifies that these funds will be used to provide basic housing needs and repairs, such as failed plumbing or septic tanks, to provide heating or hot water, to correct dangerous structural or electrical problems, or other similar serious problems which might make a home unsafe or uninhabitable, rather than for general renovations or cosmetic upgrades and enhancements. Staff recommends that the City .continue its relationship with Builders Care to assist with the ~ CDBG funded housing rehabilitation program. This partnership worked very well last year, as it allows the City to blend funds with Builders Care resources, thereby increasing the cost- effectiveness of our program. Staff and Builders Care have identified four houses (See recommendation below.) with immediate and serious repair needs. Homeowner eligibility and income has been verified for each property. COAB funds will be supplemented by State Housing (SHIP) funds, volunteer labor, and Builders Care's ability to acquire materials at reduced costs. Staff requests authorization to expend a combined total of $40,000 on these four houses, and anticipates returning to the Commission with a similar request for the remaining CDBG housing rehab funds within coming months. ~'"' Staff also requests that the Commission waive the formal bid procedure for this work in accordance with Section 2-236. (1) of the City Code. The proposed blend of Builders Care and SHIP funds, volunteer labor and reduced cost of building materials allows the City to further ~" leverage CDBG housing rehab dollars. (Past history has also demonstrated that the formal bid process for this type of housing construction has not been particularly successful.) '"" RECOMMENDATION: 1) Authorize City Manager to enter into a construction services agreement with Builders Care to expend a combined total not to exceed $40,000 for the CDBG funded portion of Housing Rehabilitation for repairs to 760 Sailfish Drive, 434 Sargo Road, 981 Sailfish Drive and 635 Sailfish Drive in accordance with the provisions of FY 2003- ~"° 04 CDBG Contract 5629-263. AGENDA ITEM #3A ~ JUNE 14, 2004 2) Approve waiver of the formal bid procedure for this work in accordance with Section 2-236 (1) of the City Code for reasons as set forth within this report. BUDGET: Account 110-1005-515.83-00, not to exceed $40,000.00 ATTACHMENTS: None. (Detailed cost estimates for each home are being finalized and will be provided to the Commission at the June 14th meeting.) REVIEWED BY CITY MANA F,R:_ _ _ 2 June 14, 2004 regular meeting