TO: Napa County Housing Commission
FROM: Jennifer Palmer, Director of Housing and Homeless Services
REPORT BY: Alex Carrasco, Staff Service Analyst II
SUBJECT: Laundry Equipment Purchase and related Budget Adjustments
RECOMMENDATION
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Director of Housing and Homeless Services requests discussion and recommendation to the Housing Authority of Budget Adjustments increasing appropriations in Household Expense for each of the Farmworker Centers (5060-5060501, 5060-5060502, 5060-5060503) for a total of $63,300, offset by increase in Donations/Contributions and available fund balance to purchase new laundry equipment at each Center.
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EXECUTIVE SUMMARY
Housing Authority staff presented the Napa County Housing Commission (“Commission”) with a five (5) year cost analysis for leasing versus purchasing new laundry equipment to replace largely defunct existing units. The Commission recommended staff proceed with purchase of equipment and return with estimates at this month’s meeting.
Today’s action recommends the purchase of laundry equipment and budget adjustments increasing appropriations in Household Expense by $63,300, offset by a donation of $30,000 from the Napa Valley Migrant Farm Worker Housing Committee, and the balance to be paid using available fund balance.
PROCEDURAL REQUIREMENTS
1. Staff Reports.
2. Public comments.
3. Motion, second, discussion and vote on the item.
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed actin is a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.
BACKGROUND AND DISCUSSION
The three (3) County owned Farmworker Centers (Centers) provide lodgers with safe and affordable housing eleven (11) months out of the year. During their stay, lodgers enjoy access to amenities such as onsite laundry facilities. Each Center has four (4) top loading, coin-operated, washing machines and four (4) electric, coin-operated, dryers. At this time, a majority of the twelve (12) washing machines and dryers are outdated in need of regular repair, or in some cases no longer repairable.
The Housing Authority has a now-expired lease and revenue-sharing agreement (Agreement No 180089C) with Coinmach (now CSC ServiceWorks). Due to service-territory changes and associated staffing shortages, Coinmach is unwilling to renew a service agreement. Housing Authority staff released a Request for Proposal (RFP) the provision of twelve (12) new commercial washing machines and dryer units, including revenue sharing agreements and maintenance contracts. There were no respondents. Staff have subsequently reached out directly to numerous Bay Area laundry equipment service providers and struggled to identify any vendor able to provide the necessary services due to staffing shortages and the rural location of the centers. As a result, and the urgency of restoring on-site, affordable laundry service for lodgers, staff analyzed the cost-benefit of purchasing commercial units, collecting all revenues directly, and utilizing increased revenues to offset a single maintenance-only service contract with a local service technician.
Housing Authority staff requested three estimates from local and regional vendors. Estimates ranged between $63,300 - $67,300, quoting the same commercial units and include units, freight, delivery, installation and use of a smart-phone/app-based payment option in addition to coin payment. Units are all water/energy efficient and will result in decreased water and electrical usage at each Center.
The Napa Valley Migrant Farm Worker Housing Committee, also known as the Farmworker Committee, has generously agreed to donate $30,000 toward the purchase of the new laundry equipment. Today’s action recommends the purchase of new laundry equipment and budget adjustments increasing appropriations in Household Expense by $63,300, offset by a donation of $30,000 from the Napa Valley Migrant Farm Worker Housing Committee, and the balance to be paid using available fund balance.