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HomeMy WebLinkAbout09/20/1994, C-6 - REVIEW A DRAFT WORKSCOPE FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) DOWNTOWN HOUSING STUDY. ��I�NII�IIIy�IIII��I��IN "J f M INCA a OATS: c� IpNu►I o san lues oBispo 7: COUNCIL AGENDA REPORT MN"UM9EH:G.. (O a FROM: Arnold Jon , Community Development Director; By: Jeff H to Planner SUBJECT: Review a Draft Workscope for the Community Development Block Grant (CDBG) Downtown Housing Study. CAO RECOMMENDATION: By motion, endorse the draft workscope as submitted. SITUATION At its April 12, 1994 hearing the Council approved specific programs or projects for CDBG funding in Fiscal Year (FY) 1994-95. As part of their action, councilmembers asked that the draft workscope for one of these, the Downtown Housing Study, return for Council review on consent. The City's Housing Authority is primarily responsible for administering the study. The Request For Proposals (RFP) was prepared by the Housing Authority, with assistance from City staff as part of the City's approved CDBG program. The Downtown Housing Study was included in the Urban County's Final Statement which was recently approved by the U.S. Department of Housing and Urban Development (HUD). In August, HUD notified the County and participating cities that a block grant of$2,542,000 had been awarded to the Urban County — of which $858,179 has been allocated to the City of San Luis Obispo for FY 1994-95. Funds should be available by October, once grant agreements and other HUD-required documentation is complete. The next step in the CDBG process is to start implementing the approved programs. Preparation of a workscope and selection of a consultant are the key first steps in the Downtown Housing Study. Once council has reviewed the workscope, the Housing Authority will evaluate the proposals received and select a consultant. Work on the study is expected to start in late September or early October. The Downtown Housing Study will identify specific opportunities and obstacles to developing housing in downtown San Luis Obispo, and will be used by the Housing Authority, government agencies, property owners, and other interested groups to expand housing opportunities and encourage investment in downtown. The study will give community leaders and downtown property owners a clear picture of what can be economically accomplished with their buildings, given seismic considerations, code requirements, economic factors, and funding. This information will help facilitate downtown housing, which will in turn help the City achieve its General Plan goals of providing more affordable housing and enhancing the downtown's vitality. DISCUSSION To expedite the study, the Housing Authority has circulated the RFP and draft workscope to a limited number of local consultants, and the RFP was printed in the local newspaper. Consultants were informed that the draft workscope may be modified prior to contract execution. �oltl�I�II�I�II����NUII II City of San lul$ OBISPO Nij% COUNCIL AGENDA REPORT Staff Report Page 2 The Council may recommend that the Housing Authority make changes to the workscope. The workscope is comprehensive and appears to thoroughly address the items to be addressed in this study. The Community Development Plan describes the study as follows: Project: Downtown Housing Feasibility Study Location: Downtown Central Business District Applicant: Housing Authority of the City of San Luis Obispo CDBG Funding: $50,000 HUD Criteria: 205(a)(3)(i,ii)/208(a)(2)(A) The Housing Authority proposes using $50,000 in CDBG funds to evaluate downtown housing constraints and opportunities in the City of San Luis Obispo. The study would focus on the dual issues of developing housing on upper floors in the City's historic downtown, much of which would be affordable to lower-income persons; while at the same time addressing the need for seismic retrofitting and other construction code requirements which must be addressed in many of the older downtown buildings before residential uses can be expanded. Possible benefits of the study include: ■ Affordable housing. Using a case study approach, the study will provide specific information on design, land use, construction codes, and economic feasibility to encourage property owners to include housing in their downtown buildings. It is anticipated that at least 51% of the resulting new downtown housing opportunities would target the housing needs of low-income persons. • Economic development. The study would encourage reinvestment in the downtown, as upper floors of existing commercial buildings, some of which are now vacant, were converted to residential uses. Such reinvestment would increase spending, job opportunities for low- and moderate-income persons, and property values in the downtown,and encourage further remodelling and expansion of goods and services in the Central Business District. ■ Code correction/historic preservation. The study would identify the issues, methods, and costs of remodelling older buildings for residential or residential/commercial uses in the downtown. It would encourage property owners to correct unsafe building conditions, including seismic retrofittng of unreinforced masonry buildings(URM), and would assist property owners in efforts to preserve historic buildings. The Housing Authority willselect the consultant, administer the study and contract with an architect, structural engineer and other professionals to assess downtown buildings for residential development potential. The study's scope of work will include: -Architectural program development -Construction codes -Economic feasibility -Case study evaluation -Conceptual and schematic design An important outcome of the study will be a handbook which will show building owners how to feasibly develop housing in existing downtown buildings. It is anticipated that the former �►��� i�IIIII�IIP�q�I�U aW of San lui S OBISPO COUNCIL AGENDA REPORT Staff Report Page 3 Blackstone Hotel, located at 840 Monterey Street, will be the subject of the detailed case study included in the workscope. A separate 1994-95 CDBG Program includes $200,000 for the acquisition of the Blackstone property to facilitate its remodelling for 15 to 20 assisted housing units. The Housing Authority has had a real estate appraisal done, and initiated discussions with the owner on acquisition and possible sale of the property. Attachment: Request For Proposals and Draft Workscope, Downtown Housing Study. jh/L: RFPeval.rpt C-�- 3 .. �G pUTHOq rY m _ Pm housinc a«thoaity °' � c` OF THE CITY OF SAN LUIS OBISPO 487 Leff Street P.O.Box 638 San Luis Obispo, CA 93406 • Phone:(805)543-4478 IN Fax:(805)543-4992 Executive Director-Secretary George J. Moylan REQUEST FOR PROPOSALS DOWNTOWN SAN LUIS OBISPO HOUSING STUDY INTRODUCTION The Housing Authority of the City of San Luis Obispo intends to hire a consultant to conduct a Downtown Housing Study. The study will identify specific opportunities and obstacles to developing housing in downtown San Luis Obispo. The study will be used by the Housing Authority, government agencies, property owners, and other interested groups to expand low- and moderate-income housing opportunities, and to encourage private investment in downtown housing. It will give the community and downtown property owners a clear, concise picture of what can be economically accomplished with their buildings, given seismic considerations, economic conditions and availability of funds. BACKGROUND The Housing Authority has an on-going interest in developing residential units in and adjacent to the City's downtown. The Anderson, Park, and San Luis Hotels are examples of this community involvement to promote downtown housing. Most communities in the United States are concerned with the need to revitalize downtowns through the rehabilitation of existing buildings. These older, sometimes historical buildings offer many opportunities; however, they also pose many structural and economic challenges for communities interested in "recycling" this urban resource. Acutely aware of these challenges, the Housing Authority applied for a $50, 000 Community Development Block Grant (CDBG) from the City of San Luis Obispo to fund the downtown .housing study. The draft workscope for the housing study is attached. Interested firms are invited to submit a proposal in the form, and with the information specified below. SUBMITTAL DEADLINE Proposals must be received at the Housing Authority office no later than September 6 , 1994. Incomplete proposals, or proposals received after the deadline, will not be accepted. 1 OU.I•°VfING Request For Proposals Page 2 EXPRESSIONS OF INTENT Please contact us by August 15 , 1994 at (805-543-4478, Fax ; 805- 543-4992 ) to confirm your intent to submit a proposal . once your intent has been confirmed, we will send you additional information and a sample consultant services agreement. CONSULTANT QUALIFICATIONS Firms interested in responding to this invitation should be familiar; with the City's downtown in general, and with the Blackstone Hotel in particular. Consultants should have expertise in Architectural Engineering and Design, Urban Planning, Historic Preservation, and Economic Feasibility Analysis and Marketing; and have extensive experience working with public sector clients and/or non-profit housing agencies. Current California registration as an Architect or Structural Engineer is required. SELECTION PROCESS Consultant proposals will be evaluated by Housing Authority and City staff, who will rank firms for final selection by the Housing Authority Board. Consultant firms may be invited to an interview, in which case the consultants will be notified of an interview date and time. Consultants will be notified by mail of the final selection following the interview. MAILING ADDRESS: Proposals should be sent to: George Moylan, Executive Director Housing Authority of the City of San Luis Obispo 487 Leff Street San Luis Obispo, CA 93401 Number of required copies of the proposal: Three ( 3 ) . PROPOSAL CONTENT A. Scope of work: Review the attached draft work scope background information and submit a refined work scope which includes any changes or additions you think would be helpful. The refined work scope may include additional details and/or methods which the consultant feels necessary to successfully complete the study. The refined workscope should also clearly identify the phases of work and specify the task responsibilities of the primary consultant, names and qualifications of assigned staffpersons, and names and qualifications of any subcontractors. Graphics should be used to illustrate the study's findings and recommendations. The workscope should also specify what information or services Housing Authority staff is expected to provide. Request For Proposals Page 3 Note: The Housing Authority is awaiting final workscope approval from the San Luis Obispo City Council. Any changes made by the Council will be incorporated into this workscope prior to executing a contract with the consultant. If those changes increase the cost of the study, the new study costs will be negotiated with the selected firm. B. Schedule: The proposal shall include a schedule for completing each phase of the work. The consultant will be required to submit the draft study within 90 days of the execution of the services contract, unless the timeframe for completion is extended by the Housing Authority and the City of San Luis Obispo. C. Cost: Include a schedule showing the study costs broken down by time and materials, and a "not to exceed" (include breakdown/format) total cost for the entire project. A budget of $42,750 has been established to cover the study's consultant fees. The Housing Authority reserves the right to reject proposals costing over this amount. Cost will not be a factor in the evaluation criteria. However proposals costing over $42, 750 will not be considered, and cost will be used in the selection process to select from two or more proposals of comparable content and quality. D. Staffing: The proposal should include resumes for all key project staff and any subconsultants, and pertinent experience (include references and telephone numbers) . E. Hearings: Study cost shall include the consultant's cost to present the report findings and recommendations at up to three public hearings, conducted by the Housing Authority and the City of San Luis Obispo. REQUIRED DELIVERABLE PRODUCTS If selected, the consultant will be required to provide: 1. Nine ( 9 ) copies of an Administrative Draft Housing Study Report which addresses all elements of the work scope. (The draft study will be reviewed by staff and the consultant will be required to respond to staff comments and make any needed adjustments to the draft study prior to submitting the final report. ) 2. One camera-ready original, including original graphics, of the Final Downtown Housing Feasibility Report and Case Study and Plans. Request For Proposals Page 4 3 . Schematic architectural plans and specifications for rehabilitation of the Blackstone Hotel . RIGHT OF REJECTION/SELECTION CRITERIA The Housing Authority reserves the right to reject any or all proposals submitted to it for this project, and no payment will be made for any information contained in the proposals obtained from participating firms. This request for proposals is for informational and planning purposes only. Awards, if made, may be made by the Authority based on several factors, including but not limited to: 1. Professional and technical competence and experience; 2. Specific experience in seismic retrofit work, conversion of upper floors of commercial buildings into residential units, and conducting planning and real estate market studies. 3. Past performance in terms demonstrated quality of work, compliance with performance schedules and knowledge of development in Downtown San Luis Obispo. 4. Knowledge of construction and zoning codes, with emphasis on seismic retrofit requirements, State Historical Building Code and American's with Disabilities Act requirements. 5. Completeness of the proposal . If you have questions regarding the proposal or the project, contact George Moylan (805-543-4478 ) . Sincerely, pyo GeorgeVMoyla 7 Executive Director Attachments: Draft Workscope, Study Area Map C-�` I July 20, 1994 DRAFT WORKSCOPE FOR THE DOWNTOWN SAN LUIS OBISPO HOUSING STUDY A. SUMMARY OF FINDINGS AND RECOMMENDATIONS Provide a concise summary of the major findings and recommendations of both the downtown housing feasibility study and the case study. B. STUDY PURPOSE AND METHODOLOGY Explain the study's purpose and objectives, description of study methods and assumptions, sources of structural and seismic data, planning and economic assumptions, and other pertinent information. C. DOWNTOWN HOUSING FEASIBILITY SURVEY 1. Develop survey method, feasibility criteria, and methods for analyzing data. 2. Survey the Downtown Business District in San Luis Obispo, in the study area shown in Exhibit A, and through field inspection and records research identify those buildings which, based on criteria to be established by the consultant, are suitable for the conversion of upper floors into housing or a mixed-use which — includes housing. The survey is to be conducted with the consent of property owners and shall discuss existing conditions, seismic requirements, structural/architectural requirements and constraints, economic feasibility, handicapped accessibility and compliance with local, State and Federal codes. 3. Produce a downtown housing manual which gives specific, practical information on rehabilitating upper floors of existing downtown San Luis Obispo buildings for residential uses. Emphasis shall be on rehabilitation for housing; however commercial, office, or mixed-use residential and commercial uses should also be addressed. As a minimum, the manual shall address the following: a. Architectural Program Development. Meet with appropriate staff and property owners to establish program needs and issues, such as: --handicapped accessibility --residential space requirements C.( P Draft Workscope Page 2 --facility needs --budgetary concerns --reiloffice compatibility issues --City Architectural Review procedures and guidelines b. Code Research. Review construction and zoning codes and recommend changes or exceptions as needed to make downtown housing development feasible: --meet with city staff to discuss applicable ordinances, standards, and policies, with special emphasis on the Uniform Code for Building Conservation, the Historical Building Code, and Americans With Disabilities Act (ADA) requirements. C. Preliminary Market Feasibility Analysis. Evaluate market demand, development costs, and financial feasibility of developing rental and ownership housing in the downtown. Factors to be addressed include: --acquisition and development costs of rehabilitation and reconstruction, including seismic retrofit. --infrastructure and planning needs including utilities, street improvements,parking, water retrofits, permit and school fees. --evaluate real estate lending trends and forecasts, alternative financing strategies, tax-advantaged . funding methods, and potential sources of development capital. D. CASE STUDY: WRITTEN DOCUMENTATION AND SCHEMATIC PLANS. 1. Using information gathered as part of the Downtown Housing Feasibility Study, prepare a Case Study Report/Handbook on the process of converting or rehabilitating an existing building in Downtown San Luis Obispo for elderly low- income housing. The report shall analyze program requirements, constraints and suitability, costs and financial feasibility, existing conditions, client program, and other issues necessary to document the suitability of the identified downtown property for conversion to assisted public housing. It is anticipated that the Blackstone Hotel, at 840 Monterey Street, will be the subject of the case study. C- �- 9 Draft Workscope Page 3 2. Produce schematic drawings and specifications showing how the selected downtown property (to be identified by the Housing Authority) could feasibly be renovated to provide housing for low-and moderate- income persons. Plans shall be sufficiently detailed to meet submittal requirements for Schematic architectural review by the City's Architectural Review Commission. E. PROJECT COORDINATION Consultant shall coordinate closely with and seek the comments of the staff of the Housing Authority, City of San Luis Obispo Community Development Department, City Council and Advisory Bodies, Chamber of Commerce, Downtown Business Improvement Area, community groups and individuals concerned with downtown issues and housing, and shall document input provided by these groups in the report. F. FINDINGS AND RECOMMENDATIONS Explain and document findings of study, specifically addressing: 1) Possible changes to construction or zoning codes or other standards which are necessary to expand downtown housing opportunities, consistent with City goals, policies and programs; and _ 2) Quantitative and qualitative assessment of the feasibility of rehabilitation of the Blackstone Hotel for use as a mixed use commercial/residential building (commercial on ground floor, upper floors with approximately 15 units of assisted elderly/handicapped housing). G. APPENDIX Include engineering, architectural and economic data including field measurements, as- built plans, design and program assumptions, calculations, zoning and site data, and other pertinent information necessary to determine the feasibility of developing the Blackstone Hotel for the intended purposes, presented in a clear, concise, and accurate manner. Attachment: Exhibit A: Study Area map �J - ; .ESR ::`��::::":::::: : :: ::::..: •: ' _ •'ice..-.. . . ... .. ... .. yam+ J •ti. 44. a fom dorm =r ............. ......... . ........ ... . ......... .. ....... .. . ........ ..... . _ . . .......... ............... ... ...... . ...... .. NSCALF- r=soo• EXHIBIT A . DOWNTOWN BUSINESS bISTRICT C-ip-'' 72