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Glendale Housing Authority adopts $60.2 million FY 2025–26 budget; approves contract amendments for legal and servicing firms

5066948 · June 25, 2025
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Summary

The Glendale Housing Authority and City Council approved the housing authority's $60,191,386 fiscal year 2025–26 budget and two contract amendments, including a $300,000 increase to outside legal counsel and a two‑year extension to a servicing agreement.

The Glendale Housing Authority and Glendale City Council on June 24 adopted the housing authority's fiscal year 2025–26 budget and approved two contract amendments to support ongoing affordable‑housing projects.

Staff presented a $60,191,386 budget that largely relies on federal grants, program income, redevelopment set‑aside funds, development‑related affordable‑housing fees (including density bonus and inclusionary in‑lieu fees), a commercial development impact fee and one‑time state grants. Peter Zowak, assistant director of community development, described the budget as a “fiscally responsible budget meeting council's goal of providing quality housing to the Glendale community.”

The council and housing authority voted to adopt required findings allowing the use of low‑ and moderate‑income housing asset funds outside redevelopment project areas and to adopt the housing authority budget.

Two contract amendments were approved by the housing authority: an amendment to the professional services agreement with Kane, Balmer & Berkman (contract C106203) to increase the contract by $300,000 and extend the term through June 30, 2027; and an amendment to the servicing agreement between the Housing Authority and Heritage Housing Partners (contract 8000078) extending the term to June 30, 2027. Staff said the legal‑services increase is intended to complete legal work on affordable housing projects currently in construction and that the authority typically issues a request for proposals for legal services roughly every three years.

During discussion, councilmembers and housing authority members asked for clarification on the increase to the legal contract, what the firm advises on (affordable housing development projects), and whether the housing budget incorporates staffing changes proposed in the citywide budget (staff said it does not). A member asked about federal budget proposals that could cut HUD programs; staff said the president's proposed federal budget suggested deep cuts to programs including Section 8 and HOME but that Congress determines final funding and that if reductions occur staff would return with budget implications and possible amendments.

One public commenter, Beth Brooks, questioned the pattern of post‑award contract increases and suggested limiting multi‑year contracts when elected officials are nearing the end of terms. Staff responded that bid solicitations are performed (they said Kane, Balmer & Berkman has been the low bidder on past cycles) and that contract increases reflected anticipated legal work to finish active projects (named in discussion as the Pioneer project and Piedmont Park).

Votes at a glance - Council resolution (Item 1a) adopting required findings and approving expenditures: passed by roll call (affirmative votes by members present). - Housing Authority resolution and motions (Items 1b and 1c) adopting the FY 2025–26 Housing Authority budget and approving the Kane, Balmer & Berkman amendment: passed by the Housing Authority (roll call recorded as affirmative by members present). - Housing Authority motion (Item 1d) to extend the servicing agreement with Heritage Housing Partners: passed by the City Council (roll call recorded as affirmative by members present).

What changed and next steps The legal contract’s not‑to‑exceed amount will increase by $300,000 (bringing the total for that contract to the figure staff presented), and the two‑year extensions will keep the firms on contract through June 30, 2027 while current projects move from construction to permanent phases. Staff said it will return to council when federal funding changes would require budget revisions.

Context Staff listed 10 programs the housing authority administers, including the Housing Assistance Fund, HOME program, Continuum of Care, Emergency Solutions Grant, Affordable Housing Trust Fund, HOME homeownership set‑asides and Permanent Local Housing Allocation funds. The budget is presented as a program‑specific special revenue structure rather than a general fund appropriation.

Ending Council and the Housing Authority adopted the budget and the two contract amendments; staff will bring future budget revisions to the council if federal funding levels change and will go back out to bid for legal services when the extended term ends in 2027.