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Item 08 - MOU with First 5 San Luis Obispo County for Child Care Capacity-Building Study Department Name: Parks & Recreation Cost Center: 7001 For Agenda of: October 22, 2019 Placement: Consent Estimated Time: N/A FROM: Greg Avakian, Parks and Recreation Director Prepared By: Meghan Burger, Recreation Supervisor SUBJECT: APPROVE A MEMORANDUM OF UNDERSTANDING WITH FIRST 5 SAN LUIS OBISPO COUNTY FOR PARTICIPATION IN A MULTI AGENCY CHILD CARE CAPACITY-BUILDING STUDY RECOMMENDATION Approve the proposed Memorandum of Understanding (MOU) with First 5 San Luis Obispo County and authorize the City Manager to execute the MOU in a form subject to approval of the City Attorney’s Office. DISCUSSION Background The City provides essential year-round licensed childcare programs for school age children within City limits, serving over 1,000 children each year (school year and summer programming). Currently, there are 665 children enrolled in before and after school care at five City schools (a total of 1,020 care spots provided), with a waiting list for 195 care spots. Spots are at a premium due to licensing mandates, space limitations, and limited staffing resources. At the January 23, 2019 Community Forum, under the Housing Major City Goal, including and/or requiring space for childcare facilities in all large housing developments was listed in t he top three ideas suggested by the public. In addition, under “New Ideas” for Major City Goals, promoting quality affordable early childhood education as part of the City’s economic development plan was listed in the top five new ideas for Council consideration. At the June 4, 2019 Council Meeting, Council received an in-depth staff report and presentation on the adoption of the 2019-21 Financial Plan and 2019-20 Budget. At the meeting, Council requested an update to the Housing Major City Goal Work Program section to update item 12 to: Coordinate a study to examine the impacts of access to quality and affordable childcare on a parents' ability to afford housing near employment centers and daily services. Packet Page 83 Item 8 Staff’s Cross Agency Regional Approach to Identifying Ways to Build Childcare Capacity City staff has met with representatives from San Luis Coastal Unified School District, County of San Luis Obispo, First 5 San Luis Obispo County, and Community Action Partnership San Luis Obispo to discuss participation in a Child Care Capacity-Building Study (“Study”). The goal of the Study is to establish a suite of viable options for Study participants to facilitate progress toward the shared vision that all residents and workers in San Luis Obispo County have access to quality, affordable childcare. The City, San Luis Obispo County, and San Luis Coastal Unified School District have each committed $20,000 to fund the study. Additional cities in San Luis Obispo County have expressed interest in contributing financial resources to the study. First 5 San Luis Obispo County will be responsible for the following: (1) manage the Study which includes advertising an RFP for consultant services, (2) oversee consultant activities and (3) monitor the consultant’s scope and deliverables. The City agrees to provide a staff liaison to collaborate with First 5 San Luis Obispo County and the partners listed above. The City will also provide input regarding the RFP for consultant services and the consultant’s scope and deliverables. Deliverables important to the City are: 1. Evaluating and analyzing childcare facilities (owned or acquired by MOU partners) within the City of San Luis Obispo. 2. Providing options for joint- childcare specifically for MOU partner employees. 3. Evaluate potential expansion opportunities and resources available for current City school aged childcare programs. Staff is requesting Council approve the proposed draft MOU (Attachment A) with First 5 San Luis Obispo County and authorize the City Manager to execute the MOU in a form subject to approval of the City Attorney’s Office. The School District has entered into the same MOU with First 5 and this approach collectively allows First 5 to proceed with the first partners and add other partners as momentum grows. Policy Context At Council’s direction, and as part of the Housing Major City Goal Work Program, staff was directed to coordinate a study to examine the impacts of access to quality and affordable childcare as defined in the adopted 2019-2021 Financial Plan. Public Engagement As part of the City’s two-year financial planning process to create its budget appropriations, extensive public outreach is conducted to assist the City Council in establishing Major City Goals for the upcoming Financial Plan. The MOU is in response to public feedback voiced at the Community Forum. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “project” under CEQA Guidelines Sec. 15378. Packet Page 84 Item 8 FISCAL IMPACT Budgeted: Yes Budget Year: 2019-2020 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $20,000 $20,000 $0 $0 State Federal Fees Other: Total ALTERNATIVES 1. The City Council could request amendments to the MOU. Should Council request amendments, they would be provided to First 5 San Luis Obispo County for consideration and brought back to Council at a future date. 2. Council could elect to not participate in the MOU. That action would be inconsistent with the direction received in the Major City Goals, and is not recommended. Attachments: a - Draft Memorandum of Understanding Packet Page 85 Item 8 September 26, 2019 Draft – Child Care Study MOU (City of SLO, F5) Memorandum of Understanding between The City of San Luis Obispo and First 5 San Luis Obispo County This MEMORANDUM OF UNDERSTANDING (MOU) is effective _______, by and between First 5 San Luis Obispo County and the City of San Luis Obispo (City) and is subject to the restrictions and obligations set forth in this MOU. The terms and conditions of this agreement shall be applicable to First 5 San Luis Obispo County and the City. WHEREAS the City provides essential year-round licensed childcare programs for school age children within City limits, serving over 1,000 children each year (school year and summer programming). And currently there are 665 children enrolled in before and after school care at five City schools (a total of 1020 care spots provided), with a waiting list for 195 care spots. Spots are at a premium due to licensing mandates, space limitations, and limited staffing resources. WHEREAS On June 4, 2019 City Council approved a resolution approving the 2019-21 budget, including direction to partner with regional childcare providers and local agencies. In the Housing Major City Goal Work Program: the City of San Luis Obispo is committing a portion of the appropriated funding to coordinate a study to examine the impacts of access to quality and affordable childcare on a family’s ability to afford housing near employment centers and daily services. WHEREAS, This Memorandum of Understanding (MOU) entered into by The City of San Luis Obispo (the City) and First 5 San Luis Obispo County (First 5) defines the terms of participation in a Child Care Capacity-Building Study (the Study). And WHEREAS, The County of San Luis Obispo (the County), San Luis Coastal Unified School District (the District), and Community Action Partnership of San Luis Obispo County (CAPSLO), are other agencies that have entered into MOUs with First 5 to also participate and fund the Study. WHEREAS, This agreement establishes a regional focused solution based on partnership, collaboration, and cooperation in addressing regional childcare needs. WHEREAS, the goal of the City, First 5 and the other agencies and cities is to establish options for the region to pursue in trying to achieve the vision that residents and workers in San Luis Obispo County have access to quality affordable child care. NOW, THEREFORE, FIRST 5 AND THE CITY DO AGREE TO THE FOLLOWING TERMS: 1. The term of agreement shall end on June 30, 2021. 2. Compensation 2.1. Upon agreement of the general scope of work to be approved by City Manager, commit up to $20,000 to fund the Study. 3. The City agrees to the following: 3.1. Contract with First 5 San Luis Obispo County as Project Manager (see related First 5 responsibilities below) 3.2. Encourage additional investment/participation by other regional municipalities and the County of San Luis Obispo. Packet Page 86 Item 8 September 26, 2019 Draft – Child Care Study MOU (City of SLO, F5) 3.3. Assign a staff liaison to work directly with First 5 and other Study participants (e.g. consultant, advisory committee) in selecting a consultant, defining consultant scope of service and deliverables, and providing guidance/support as needed. 3.4. Present Study findings to San Luis Obispo City senior staff and City Council for review. 4. First 5 agrees to the following: 4.1. Contract with the City to serve as Study Project Manager 4.2. Receive up to $20,000 from the City to fund the Study 4.3. Develop a General Scope of Work, to be approved by City Manager. 4.4. Administer a search process for a Study consultant 4.5. Subcontract with the Study consultant; oversee consultant activities; monitor scope and deliverables 4.6. Participate in a Study Advisory Committee, to be managed through the Local Child Care Planning Council at CAPSLOMOUs signed by Study partner agencies). 4.7. Support actionable items that emerge from the Study 4.8. Share Study results with the broader community to help mobilize county- and state-wide change. The term of this MOU shall commence upon signature of this document by all three parties and will terminate upon the earlier of the following; completion of the tasks identified in paragraphs 1, 2, and 3 above or one-year after commencement. In addition, either party may terminate this MOU without cause before the term expires by giving thirty (30) days written notice. This MOU may be modified, in writing, by mutual consent of the parties. This MOU constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, whether written or oral, concerning the subject matter herein. AGREED: Signature: Name Date (title) City of San Luis Obispo Signature: Name Date (title) First 5 San Luis Obispo County Packet Page 87 Item 8 Page intentionally left blank. Packet Page 88 Item 8