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Item 8A,** ~„ AGENDA ITEM #8A NOVEMBER 22, 2004 CITY OF ATLANTIC BEACH CITY COMMISSION STAFF REPORT AGENDA ITEM: Request to authorize Builders Care to perform CDBG funded housing rehabilitation services at 449 Mako Drive pursuant to the City's 2004- 2005 FY CDBG contract. SUBMITTED BY: Sonya Doerr, AICP, Community Development Director ~~ ~ DATE: November 15, 2004 BACKGROUND: This year's Community Development. Block Grant provides $30,000 for housing rehabilitation activities. As in previous years, our grant specifies that these funds will be used to provide basic repairs, such as failed plumbing, heating or hot water, or to correct dangerous structural or electrical problems or other similar problems, which might make a home unsafe or uninhabitable, rather than for general renovations or cosmetic upgrades. Staff recommends that the City continue its relationship with Builders Care. This partnership has worked very well for the previous two years, as it allows the City to blend fiends with Builders Care resources, thereby increasing the cost-effectiveness of our program. Staff is beginning to review applications received for this grant year, and one homeowner has been identified with very urgent needs. This residence is occupied by an elderly homeowner who meets all eligibility requirements. He has applied for assistance previously, but the condition of his home has deteriorated such that he has no running water, no working heat, and several serious electrical problems. Builders Care has inspected the residence, and has provided an initial cost estimate of about $12,000 to do the .most urgently needed work, including plumbing, electrical, HVAC repairs, kitchen and bathroom repairs, as well as some exterior work to replace rotten siding and repaint the house. The fair market value of this work is approximately $17,000. Staff requests authorization to expend up to $12,000 of CDBG funds for work to this home once our final contract from the COJ is received. (We anticipate receiving the final contract back from the COJ within the next few weeks.) 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: Authorize a construction services agreement with Builders Care to expend up to $12,000 for the CDBG funded portion of Housing Rehabilitation for repairs to 449 Mako Drive in accordance with the FY 2004-OS CDBG contract, and 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 $12,000.00 ATTACHMENTS: None. ~"" REVIEWED BY CITY MANAGER: ...