REPORT TO THE CITY COUNCIL December 14, 2017 FROM: JOHN ELLIS, Government Affairs Manager Office of the Mayor & City Manager SUBJECT ..Title Approve a Consultant Services Agreement with Campbell Strategy and Advocacy, LLC., for an Amount Not to Exceed $180,000 for Professional Lobbying and Consulting Services in California. ..Body RECOMMENDATION Staff recommends that the City Council approve a consultant services agreement with Campbell Strategy and Advocacy, LLC., for an amount not to exceed $180,000. The term of the agreement is one year with the option to extend for an additional six months. EXECUTIVE SUMMARY The Office of the Mayor and City Manager seeks City Council approval for a new professional consultant services agreement with Campbell Strategy and Advocacy, LLC., the City's current State lobbyist, to continue performing professional lobbying and consulting activities regarding State governmental activities for 12 months, with a possible additional six-month extension. BACKGROUND All functions of the City are significantly affected by state legislative votes and administrative actions in Sacramento. From funding and revenue streams that can help ensure the City's General Plan is effectively implemented, to support for local road, transit and trail programs, to policies that can help or hinder City efforts to address homelessness and work toward building a better City, what happens in the state Capitol affects the entire state. The City of Fresno engaged a state lobbyist on June 16, 2016, for the first time since 2012. The hiring of Campbell Strategy and Advocacy, LLC., came at a time of great change for local governments, most notably the 2012 loss of redevelopment agencies. In the past 18 months, as the City's lobbyist, it is clear that Campbell's biggest strength is helping the City receive much needed state funding. As the state's fifth-largest City - and one with a numerically small legislative delegation - it had been difficult for Fresno to cut through the politics and receive its fair share. Campbell - who worked nearly two decades as a State Capitol staffer, including chief of staff to Assembly Speakers Toni Atkins and John Perez - changed all that. In 2016, Campbell Strategy and Advocacy was able to make some progress in the following ways: * On August 16, 2016, the City of Fresno received $8 Million in Transit and Inner City Rail Program (TRICP) funding for projects the City identified as priorities. * Assembly Bill 1613 included $140 million for transformative climate communities statewide - we were able to secure that no less than 50% ($70 Million) of that money shall be spent in the City of Fresno. * On September 30, 2016, the City received notice that it will receive more than $20 million dollars from the Affordable Housing Sustainable Communities fund. Campbell and his team helped the City secure the money by coordinating meetings with the appropriate State agencies, following up to stress City priorities, and meeting with the Assembly Speaker's office, budget subcommittee chairs and Capitol staff. Along the way, Campbell Strategy and Advocacy, LLC., staffers tracked the appropriations to ensure money slated for the City stayed on track. In addition to appropriations, it is important that the City is represented in order to coordinate review of all legislative proposals that may affect the City and its residents. Campbell Strategy and Advocacy, LLC., has deep relationships with the Governor's Office, key legislative leaders and committee staff, and the Governor's cabinet members. Fresno remains its sole City client, and Campbell's team's familiarity with the budget and legislative negotiating process and key actors in that have proven - and will continue to prove - beneficial for the City. As stated in the Scope of Services in the attached agreement, Campbell Strategy and Advocacy's top priority for the City will be seeking significant discretionary funds. While in 2017 the State spent much of its cap-and-trade funding using a different set of priorities - with far fewer options for discretionary funding - that is expected to change next year with more discretionary pots of money to be in play. As part of Campbell Strategy and Advocacy's lobbying effort, the firm will continue to review all bills introduced and amended throughout the Legislative Session to identify those that affect the City, will make recommendations as to whether the City should support, oppose, seek amendments to, or simply monitor bills of interest. Campbell Strategy and Advocacy, LLC., will have a focused lobbying strategy for each bill of interest to the City. The firm will also maintain and build on key relationships that will be vital to executing successful strategies on behalf of the City. To date, as outlined in the attached Uniquely Qualified memo, Campbell Strategy and Advocacy, LLC., has proven that no other state firm has developed the web of relationships in both the legislative and executive branches that are necessary for the City to get its fair share of both resources and attention at the state level. ENVIRONMENTAL FINDINGS Approval of the consultant services agreement amendment is not a "project" within the meaning of Public Resources Code Section 21803 (CEQA Guidelines Section 15378) because the organizational and administrative activities as identified in the consultant agreement will not result in direct or indirect physical changes in the environment. LOCAL PREFERENCE Local preference was not implemented because Campbell Strategy and Advocacy, LLC., is uniquely qualified. FISCAL IMPACT Funding for the remainder of FY 2018 will be derived from existing appropriations within the FY2018 budget. Funding for the period beginning July 2018 through December 2018 will be included as a part of the FY 2019 Proposed Budget. Any extension of the contract would be part of the FY 2019 Proposed Budget. Attachments: Draft Consultant Services Agreement Campbell Strategy and Advocacy, LLC., Uniquely Qualified Memo Scope of Services