Report Prepared by: Christopher Jensen, Director, Parks and Recreation
Title
SUBJECT: Requesting Consideration of Staff Recommendation for Amending Service Agreements for Use of Central Youth Center by Restorative Justice League and Challenged Family Resource Center and Use of McNamara Youth Center by LifeLine CDC for an additional Three-Year Term with the Potential to Extend Two More, Not to Exceed 5 Years in Total.
REPORT IN BRIEF
Consider Recommendation to amend service agreement for use of Central Youth Center by Restorative Justice League and Challenged Family Resource Center and use of McNamara Youth Center by LifeLine CDC for a Three-Year Term with the potential to extend two additional years for a not to exceed 5-year term.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving a service agreement with Restorative Justice League for youth programming at the Central Youth Center for a three-year term; and,
B. Approving a service agreement with Challenged Family Resource Center for youth programming at the Central Youth Center for a three-year term; and,
C. Approving a service agreement with Lifeline CDC for youth programing at the McNamara Youth Center for a three-year term
D. Authorizing the City Manager or Deputy City Manager to execute the necessary documents.
Body
ALTERNATIVES
1. Approve as recommended by staff; or,
2. Approve, subject to other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for consideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Section 200.
CITY COUNCIL PRIORITIES
As provided for in the 2024-25 Adopted Budget
DISCUSSION
Historically youth center use has varied due to a variety of factors including program capacity of service providers, community interest in programs offered, and unforeseen circumstances such as the pandemic and facility disrepair. To adjust to historical variabilities in programing and facility use, in 2022 City Council adopted a revised contracting practice for use of youth centers which included a 1-year term with the potential to extend use for an additional two years. Service Agreements have traditionally been supported by the general fund through the Parks & Community Services budget in the amount of a $7,500 allocation per site each fiscal year. This cost helps to maintain no cost programming at City facilities contracted through service agreements. Service agreements do not authorize the provider to sublet the property, limiting revenues to fundraising capabilities of the service provider.
Over the last three years the City has ended one service agreement while all others have been extended for the two-year option, maintaining healthy levels of service. Service Providers attend monthly meetings with staff and provide the Recreation & Parks Commission with quarterly activity reports, showcasing growth and seemingly great success over the last three years.
Staff met with the Parks & Recreation Subcommittee about the current terms of service agreements and the goal of decreasing costs to the department while providing more confidence in our service provider through our contracting terms. It was suggested the Recreation and Parks Commission consider a recommendation to decrease the annual contribution to each facility from $7,500 to $5,000 and in turn, modify existing terms to a three-year agreement with the potential to extend for two additional years for a term not to exceed 5 years. The City and its Service Providers would retain the potential to terminate the agreement with a 90 day notice if deemed necessary.
All existing Service Providers expressed interest and have proven their ability to maintain high levels of service in their respective locations. Given the desire to maintain programing by the existing service providers, the ongoing growth and success of each, and the willingness to work within the proposal reductions to offsetting costs, it is the recommendation of Staff that Commission consider amending the service agreement with the modified terms suggested.
IMPACT ON CITY RESOURCES
Annually, City of Merced would be responsible for not to exceed amount of $5,000 toward utilities services for both facilities. Funding is available within the proposed fiscal year 25/26 budget.
Service Providers will be responsible to pay the costs of utility charges for the facility if they exceed the $5,000 annual allocation.
ATTACHMENTS
1. Service Agreement for Central Youth Center with Restorative Justice League
2. Service Agreement for Central Youth Center with Challenged Family Resource Center
3. Service Agreement for McNamara Youth Center with LifeLine CDC