AGENDA CAPTION:
Title
Consider approval of Resolution 2025-75R, approving a contract amendment with Community Action, Inc., of Central Texas, in the amount of $30,000.00; and new contracts with Business and Community Lenders of Texas in the amount of $52,688.00, Communities in Schools in the amount of $31,875.00, and the Salvation Army in the amount of $50,437.00, to administer the City’s Utility Billing Payment Assistance Program; authorizing an initial contract term through September 30, 2025 and a one-year renewal period; authorizing the City Manager, or her designee, to execute the amendment, contracts and renewals on behalf of the city; and declaring an effective date.
Body
Meeting date: April 15, 2025
Department: City Manager’s Office and Finance - Utility Billing & Payment
Amount & Source of Funding
Funds Required: $120,000 City Funds; $45,000 Donations
Account Number: 21006322-54115; 22006335-54115; 21000000-22355
Funds Available: Yes
Account Name: Utility Payment Assistance
Fiscal Note:
Prior Council Action: October 15, 2024 - City Council recommended criteria for use in the utility payment assistance request for proposal (RFP). February 18, 2025 - City Council was provided the results of the utility payment assistance RFP. The City has contracted with Community Action Inc. to qualify utility customers for payment assistance for several years.
City Council Strategic Initiative: [Please select from the dropdown menu below]
Public Safety, Core Services & Fiscal Excellence
Choose an item.
Choose an item.
Comprehensive Plan Element (s): [Please select the Plan element(s) and Goal # from dropdown menu below]
☒ Economic Development - Choose an item.
☐ Environment & Resource Protection - Choose an item.
☐ Land Use - Choose an item.
☒ Neighborhoods & Housing - Choose an item.
☐ Parks, Public Spaces & Facilities - Choose an item.
☐ Transportation - Choose an item.
☒ Core Services
☐ Not Applicable
Master Plan: [Please select the corresponding Master Plan from the dropdown menu below (if applicable)]
Choose an item.
Background Information:
Over the past few months, there have been multiple discussions on utility billing payment assistance. Below is a summary of the meeting dates and topics discussed:
• August 20, 2024 - City Council received a budget presentation that included an overview of the utility payment assistance application process and the types of utility assistance available for residents.
• September 3, 2024 - City Council received a presentation that included utility payment plans, disconnect process, and improving utility payment assistance.
• October 15, 2024 - City Council received a presentation regarding utility billing penalties, reconnect fees, utility payment assistance, and recommended criteria for the utility payment assistance program request for proposal (RFP).
• November 18, 2024 - City Council was provided with a follow-up memorandum with responses from the October 15th meeting.
• February 18, 2025 - City Council received a presentation regarding utility billing penalties, the RFP results (open from December to January), reconnect fees, donated utility assistance funds, Municipal Utility Lien (Ordinance No. 2025-06), and resource navigation. The direction from City Council regarding the RFP results was to award all agencies based on agency scoring, responses, and preparation of the proposals. An administrative fee up to ten percent will be awarded to each agency from City funds; the donated funds will be used for direct utility payment assistance.
• March 24, 2025 - City Council received a memorandum to the responses from the February 18, 2025, work session on Utility Payment Assistance.
Through a collaborative process with the agencies, a universal application has been created to clarify and expand eligibility that will be incorporated with the agency’s internal application process. This will include emergencies and financial hardships throughout the current fiscal year. After discussions with the agencies, Communities in Schools requested a lower amount due to the short time left in the fiscal and school year. Community Action specified an amount based on historical distributions of applications received at their establishment for which the amount is now listed in the amended contract.
Council Committee, Board/Commission Action:
N/A
Alternatives:
Click or tap here to enter text.
Recommendation:
City Council approve the resolution authorizing the agency contracts.