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HomeMy WebLinkAbout217-25 RESOLUTIONFile Number: 2025-1466 113 West Mountain Street Fayetteville, AR 72701 (479)575-8323 Resolution: 217-25 A RESOLUTION TO AUTHORIZE MAYOR RAWN TO SIGN A CONTRACT WITH SERVE NORTHWEST ARKANSAS, INC. D/B/A NEW BEGINNINGS NW A FOR HOMELESSNESS ASSISTANCE SERVICES FOR A FIVE YEAR PERIOD IN THE AMOUNT OF $150,000.00, AND TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $15,000.00 WHEREAS, New Beginnings currently operates a bridge housing community of twenty four individual cabins and a shared building containing commercial kitchen, bathroom/shower, laundry facilities, computers, and staff offices that assists people who have experienced long-term homelessness or face complex barriers to regaining housing in a safe and supportive living environment; and WHEREAS, the community has a fenced perimeter and community-run garden and staff are present around the clock to ensure the community is safe and supported; and WHEREAS, this environment offers people safety, dignity, and privacy alongside the resources they need to recover from homelessness, which helps chronically homeless people stabilize even when they are not able to succeed in more conventional shelter environments; and WHEREAS, New Beginnings proposes to construct five additional cabins to provide assistance to Fayetteville residents experiencing chronic homelessness and has agreed to maintain the cabins in a safe and sanitary condition for at least five years. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Rawn to sign a Contract for Homelessness Assistance Services with Serve Northwest Arkansas, Inc. d/b/a New Beginnings NWA to provide safe housing for chronically homeless Fayetteville residents for a period of at least five years in the amount of $150,000.00 and further approves a project contingency in the amount of$15,000.00. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution. PASSED and APPROVED on September 16, 2025 Page 1 Resolution: 217-25 File Number: 2025-1466 Page 2 _______________________________ Molly Rawn, Mayor _______________________________ Kara Paxton, City Clerk Treasurer Approved:Attest: CITY OF IVA FAYETTEVILLE ARKANSAS MEETING OF SEPTEMBER 16, 2025 TO: Mayor Rawn and City Council THRU: FROM: Molly Rawn, Mayor CITY COUNCIL MEMO SUBJECT: Homelessness Assistance Services Contract with New Beginnings RECOMMENDATION: 2025-1466 Mayor Molly Rawn recommends that the City Council authorize a Homelessness Assistance Services Contract with the Serve Northwest Arkansas, Inc. d/b/a New Beginnings to provide funding in the amount of $150,000.00 to construct and maintain five cabins to be used to house chronically homeless Fayetteville residents for a period of at least five years, approve a 10% project contingency ($15,000), and further approve a budget adjustment. 7_T4]20l:Z*111►II]; New Beginnings currently operates a bridge housing community of twenty-four individual cabins and a shared building containing commercial kitchen, bathroom/shower, laundry facilities, computers, and staff offices that assists people who have experienced long-term homelessness or face complex barriers to regaining housing in a safe and supportive living environment. The community has a fenced perimeter and community -run garden and staff are present around the clock to ensure the community is safe and supported. This environment offers people safety, dignity, and privacy alongside the resources they need to recover from homelessness, which helps chronically homeless people stabilize even when they are not able to succeed in more conventional shelter environments. DISCUSSION: New Beginnings has proposed constructing five additional cabins to be used to house chronically homeless Fayetteville residents and maintain them in a safe and sanitary condition for a period of at least five years and has requested the financial support of the City in its efforts. New Beginnings describes the project as follows: This project adds 5 additional pallet shelters to the existing neighborhood to increase our capacity to shelter and support chronically homeless people. Five is the maximum number of additional cabins we can add due to limitations of hygiene facilities and staffing ratios. We will add the 70 sq. ft. Sleeper Pallet shelter models, which are designed for use by one person each. These are the updated product line from the Pallet Shelters New Beginnings initially built with. Site development costs are estimated from a comparable previous addition and will include engineering, grading, foundation, electrical, fencing, and landscaping associated with the expansion. Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 Item Quantity Cost City of Per Unit Fayetteville S2 Pallet Shelter 5 $22,000 $110,000 Site Development (engineering, utilities, grading, pads, 1 $40,000 $40,000 landscaping) / Project Management 10% Project Contingency 1 $15,000 $15,000 Total Estimated Project Cost $165,000 BUDGET/STAFF IMPACT: On July 15, 2025, the City Council approved Resolution 165-25, expressing its intent to appropriate up to $450,000 from the General Fund balance to support initiatives addressing homelessness in Fayetteville. This agreement will utilize up to $165,000 of that allocation, including an estimated $150,000 for the construction of five cabins. An additional 10% contingency—$15,000—is recommended to cover potential cost increases. Following consultation with the City Attorney, it was determined that the remaining homelessness initiatives (excluding payments to the Fayetteville Housing Authority) should be financed using funds that are not commingled with tax revenues. To support this approach, the City is establishing a dedicated Franchise Fee Fund, ensuring that franchise fee revenues are segregated from other General Fund sources. ATTACHMENTS: 3. Staff Review Form, 4. Budget Adjustment, 5. City of Fayetteville New Beginnings Contract (signed) Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 -;_ City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 - Legislation Text File #: 2025-1466 A RESOLUTION TO AUTHORIZE MAYOR RAWN TO SIGN A CONTRACT WITH SERVE NORTHWEST ARKANSAS, INC. DB/A NEW BEGINNINGS NWA FOR HOMELESSNESS ASSISTANCE SERVICES FOR A FIVE YEAR PERIOD IN THE AMOUNT OF $150,000.00, AND TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $15,000.00 WHEREAS, New Beginnings currently operates a bridge housing community of twenty four individual cabins and a shared building containing commercial kitchen, bathroom/shower, laundry facilities, computers, and staff offices that assists people who have experienced long-term homelessness or face complex barriers to regaining housing in a safe and supportive living environment; and WHEREAS, the community has a fenced perimeter and community -run garden and staff are present around the clock to ensure the community is safe and supported; and WHEREAS, this environment offers people safety, dignity, and privacy alongside the resources they need to recover from homelessness, which helps chronically homeless people stabilize even when they are not able to succeed in more conventional shelter environments; and WHEREAS, New Beginnings proposes to construct five additional cabins to provide assistance to Fayetteville residents experiencing chronic homelessness and has agreed to maintain the cabins in a safe and sanitary condition for at least five years. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Rawn to sign a Contract for Homelessness Assistance Services with Serve Northwest Arkansas, Inc. d/b/a New Beginnings NWA to provide safe housing for chronically homeless Fayetteville residents for a period of at least five years in the amount of $150,000.00 and further approves a project contingency in the amount of $15,000.00. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution. Page 1 Mayor Molly Rawn Submitted By City of Fayetteville Staff Review Form 2025-1466 Item ID 9/16/2025 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 8/15/2025 MAYORS ADMIN (015) Submitted Date Division / Department Action Recommendation: Mayor Molly Rawn recommends that the City Council authorize a Homelessness Assistance Services Contract with the Serve Northwest Arkansas, Inc. d/b/a New Beginnings to provide funding in the amount of $150,000.00 to construct and maintain five cabins to be used to house chronically homeless Fayetteville residents for a period of at least five years, approve a 10% project contingency ($15,000), and further approve a budget adjustment. Budget Impact: 2190.090.6600-5315.00 Franchise Fee Account Number Fund 25001.2501 New Beginnings Homelessness Assistance Project Number Project Title Budgeted Item? No Does item have a direct cost? Yes Is a Budget Adjustment attached? Yes Purchase Order Number: Change Order Number: Original Contract Number: Comments: Total Amended Budget $ Expenses (Actual+Encum) $ - Available Budget $ Item Cost $ 165,000.00 Budget Adjustment $ 165,000.00 Remaining Budget $ Previous Ordinance or Resolution # Approval Date: V20221130 City of Fayetteville, Arkansas - Budget Adjustment (Agenda) 2 Errors Budget Year Division Adjustment Number MAYORS ADMIN (015) /Org2 2025 Requestor: Mayor Molly Rawn BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: Mayor Molly Rawn recommends that the City Council authorize a Homelessness Assistance Services Contract with the Serve Northwest Arkansas, Inc. d/b/a New Beginnings to provide funding in the amount of $150,000.00 to construct and maintain five cabins to be used to house chronically homeless Fayetteville residents for a period of at least five years, approve a 10% project contingency ($15,000), and further approve a budget adjustment. COUNCIL DATE: 9/16/2025 ITEM ID#: 2025-1466 Kevin Springer 612712025 5: 75 PM Budget Division TYPE: JOURNAL#: Date D - (City Council) GLDATE RESOLUTION/ORDINANCE CHKD/POSTED: TOTAL 165,000 165,000 v.2025721 Increase / (Decrease) Project.Sub# Account Number Expense Revenue Project Sub.Detl AT Account Name 2190.090.6600-5315.00 165,000 - 25005 2501 EX "Contract Services 2190.090.6600-4105.00 - 165,000 RE "Franchise Fees - SWEPCO Electric 1 of 1 CONTRACT FOR HOMELESSNESS ASSISTANCE SERVICES Serve Northwest Arkansas, Inc. d/b/a New Beginnings NWA This Homelessness Assistance Service Agreement is entered into between the City of Fayetteville, Arkansas (hereinafter "Fayetteville" or "City") and Serve Northwest Arkansas, Inc. d/b/a New Beginnings NWA ("New Beginnings"). WHEREAS, New Beginnings currently operates a bridge housing community of twenty four individual cabins and a shared building containing commercial kitchen, bathroom/shower, laundry facilities, computers, and staff offices that assists people who have experienced long- term homelessness or face complex barriers to regaining housing in a safe and supportive living environment; and WHEREAS, the community has a fenced perimeter and community -run garden and staff are present around the clock to ensure the community is safe and supported; and WHEREAS, this environment offers people safety, dignity, and privacy alongside the resources they need to recover from homelessness, which helps chronically homeless people stabilize even when they are not able to succeed in more conventional shelter environments; and WHEREAS, New Beginnings has proposed to construct five additional cabins and has requested the financial support of the City in its efforts; and WHEREAS, on July 15, 2025, the Fayetteville City Council approved Resolution 165-25 expressing its intent to appropriate up to $450,000 from the General Fund balance to support initiatives addressing homelessness in Fayetteville. NOW, THEREFORE, The City of Fayetteville and New Beginnings agree as follows: 1. The City agrees to furnish up to $150,000 for costs associated with site development, cabin purchase and construction, and project management for the project described in Exhibit A attached hereto on property owned by New Beginnings at 251 W.19'h Street in Fayetteville. The City may allow for a 10% project contingency which may only be drawn from upon the execution of a written change order approved by the City and New Beginnings. 2. This $150,000 plus any contingency may only be used by New Beginnings for the costs associated with the construction and of these five new cabins to be occupied by Fayetteville residents experiencing chronic homelessness. 3. New Beginnings hereby agrees and covenants to: A. Use the funding provided by the City for site development, cabin purchase, construction and maintenance, and project management for the addition of five individual cabins at 251 W. 19'h Street in an amount not to exceed $150,000 plus any project contingency. 9-16-2025 Scanned from a Xerox Multifunction Printer Final Audit Report 2025-08-04 Created: 2025-08-04 By: Admin NewBeginnings (admin@newbeginningsnwa.org) Status: Signed Transaction ID: CBJCHBCAABAAYoVE6Fu1HRrFcrNjJTFJUTu8g67YOeDS "Scanned from a Xerox Multifunction Printer" History Document created by Admin NewBeginnings (admin@newbeginningsnwa.org) 2025-08-04 - 7:40:26 PM GMT Document emailed to Aaron Marshal (newajm@gmail.com) for signature 2025-08-04 - 7:40:30 PM GMT Email viewed by Aaron Marshal (newajm@gmail.com) 2025-08-04 - 9:31:12 PM GMT 6© Signer Aaron Marshal (newajm@gmail.com) entered name at signing as Aaron J. Marshall 2025-08-04 - 9:31:48 PM GMT 6Q Document e-signed by Aaron J. Marshall (newajm@gmail.com) Signature Date: 2025-08-04 - 9:31:50 PM GMT - Time Source: server 0 Agreement completed. 2025-08-04 - 9:31:50 PM GMT a Adobe Acrobat Sign