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TO: Mayor Richard C Irvin
FROM: Martha Paschke, Director of Innovation & Strategy
DATE: December 12, 2024
SUBJECT:
A Resolution authorizing the Director of Purchasing to enter into a new contractual agreement for The Neighbor Project (TNP) to continue as a service partner to the Aurora Financial Empowerment Center (FEC) through December 31, 2025 and to allocate $201,845.04 of budgeted funds for The Neighbor Project (TNP), with up to two (2) one (1) year extensions for a total not to exceed amount of $623,882.83.
PURPOSE:
Since 2019, The Aurora Financial Empowerment Center (FEC), has committed to providing free, individualized one-on-one financial coaching to low- and moderate-income residents, delivered by professionally trained coaches. The financial coaching services include improvement of credit score, creation of savings plans, debt reduction, safe banking practices and home ownership education. The Neighbor Project (TNP) has served as the city's program partner developing trusted relationships with clientele and local community organizations. To sustain the city's commitment to residents' economic mobility, a new contractual agreement has been developed to maintain continuity of FEC services with TNP through December 31, 2025.
BACKGROUND:
On December 17, 2019, City Council approved a resolution to accept a two-year matching grant from the Cities for Financial Empowerment (CFE) to create a Financial Empowerment Center (FEC) in the city of Aurora (ref. R19-412). Under the agreement with CFE, The Neighbor Project (TNP) was identified as the community-based organization to lead CFE counseling standards.
In December 2021, Council approved an amendment to the original agreement between CFE and FEC to extend grant related services ending the cohort on April 30, 2022 (ref. R21-376). City Council further approved an extension of the original contractual agreement with TNP to continue services to the FEC and to allocate $100,485 of budgeted funds for TNP through April 30, 2022 (ref. R21-377).
On July 25, 2023, City Council approved an amended agreement to extend the contract with TNP through December 31, 2024.
DISCUSSION:
TNP has provided Financial Coaching services at the FEC since 2020, positively impacting the lives of thousands of Aurora area residents, including:
Over 2,100 clients served
Over $1,000,000 in combined savings
Over $3,500,000 in combined debt reduction
To ensure ongoing high-quality provision of services, the City published an RFP for FEC services on October 8, 2024. Two proposals were received and after review, TNP's proposal was selected as the lowest responsible bid.
Proposals were evaluated by City staff on the following criteria:
Previous Experience
Project Approach
Proposed Personnel, Finance Capabilities
Quality of Proposal
Price
TNP's proposal scored highest based on both the Quality of Proposal - having met important criteria such as in-person coaching - and Price, as the lowest responsible bid.
The new contract includes increased efficiency in staffing, clarified performance expectations, and new opportunities to engage in expanding the services and programs offered at the FEC.
A continued, strengthened, and more efficient partnership with TNP will allow the FEC to continue to provide critical services to Aurora area residents while adapting and improving services in response to available data and evidence.
Funding for this program will be paid from 101.1304-419.32-20.
IMPACT STATEMENT:
A new contract with TNP for the provision of FEC services will allow for continuity of services while also providing some minor contractual improvements for efficiency and enhancement of the services being provided.
RECOMMENDATIONS:
City staff recommends for approval a resolution authorizing the Director of Purchasing to enter into a new contractual agreement for The Neighbor Project (TNP) to continue as a service partner to the Aurora Financial Empowerment Center (FEC) through December 31, 2025 and to allocate $201,845.04 of budgeted funds for The Neighbor Project (TNP), with up to two (2) one (1) year extensions for a total not to exceed amount of $623,882.83.
cc: Finance Committee
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
title
A Resolution authorizing the Director of Purchasing to enter into a new contractual agreement for The Neighbor Project (TNP) to continue as a service partner to the Aurora Financial Empowerment Center (FEC) through December 2025 and to allocate $201,845.04 of budgeted funds for The Neighbor Project (TNP), with up to two (2) one (1) year extensions for a total not to exceed amount of $623,882.83.
body
WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, The Neighbor Project (TNP) was hired as the servicing contractors for the grant agreement with CFE Fund which was executed in January 2020 and recognizing the TNP partnership exceeded the expectations and grant requirements of CFE to provide City residents free financial coaching and financial literacy service and values the integrity of the program partnership continued to amend to extend or renew the same contract through December, 2024; and:
WHEREAS, the City of Aurora published an RFP for FEC services on October 8, 2024; and:
WHEREAS, TNP was identified as the lowest responsible bidder; and:
WHEREAS, if approved, the proposed contract will ensure both continuity and improvement of critical financial empowerment services to Aurora area residents;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: that $201,845.04 of budgeted funds for The Neighbor Project to fulfill the new service agreement through December 2025 with up to two (2) possible one (1) year extensions shall be and hereby are encumbered and authorized for disbursement consistent with the purposes of this Resolution.