To: Board of Supervisors
From: Warren Lai, Public Works Director/Chief Engineer
Report Title: Motel Rooms in Concord for Bridge Housing Program
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Public Works Director, or designee, to execute a lease between the County and Concord Lodging LP, for the lease of motel rooms at Premier Inns, located at 1581 Concord Avenue in Concord for use by the Bridge Housing Program operated by the County’s Health Services Department, beginning with forty rooms for an initial term of one year with monthly rent equal to $93,683 and one one-year renewal option, subject to approval by the County Administrator and approval as to form by County Counsel; AUTHORIZE the Public Works Director, or designee, to exercise the option to renew the lease for up to one year; AUTHORIZE the Public Works Director to amend the lease to include up to twenty-eight additional rooms at an increased monthly cost of $65,578 , with the approval of the County Administrator’s office and approval as to form by County Counsel, provided the Health, Housing and Homeless Services Director determines the Health Services Department has adequate grant funding to cover the cost.
FISCAL IMPACT:
The expenses of the Bridge Housing Program will be funded by CalAIM Community Supports revenue and/or other grant funding already secured by Health, Housing and Homeless Services (H3).
BACKGROUND:
The lease of these motel rooms will increase the supply of interim housing for unsheltered residents in Contra Costa County. There is currently a lack of shelter beds to meet the demand for services. According to the most recent 2024 Point In Time (PIT) count, there were 1,959 individuals who were sleeping outside and 884 who were sheltered on the morning of the PIT count. From 2023 to 2024, the County increased shelter beds by 15% (98 beds), which is not sufficient to meet the needs of those who remain unsheltered.
Unhoused individuals incur high costs to our Health Services Department and local law enforcement. Unhoused individuals often utilize services at a higher frequency than those who are housed due to the negative impacts of living outside. The experience of being unhoused drops one’s average life expectancy to 50 years of age, down from that of a housed person, who is expected to live to be 78.
This site was used successfully during the pandemic to house homeless individuals. The site has two buildings with motel rooms, each with sixty-eight rooms. Under this lease, the County will initially lease 40 motel rooms, 38 of which will be used to provide shelter. The other two will be used as offices by the service provider who will operate the Bridge Housing Program for the County at this site. All 40 rooms the County is initially leasing are grouped together in one building.
If Health Services determines that it has sufficient grant funding to cover the cost of additional rooms, this Board action authorizes the Public Works Director to amend the lease to add up to 28 additional rooms for use by the Bridge Housing Program, with the approval of the County Administrator and approval as to form by County Counsel.
If 28 rooms are added to the lease, the result will be the County having the entirety of one of the buildings at the site. The cost of adding 28 rooms to the lease is $65,578 per month, resulting in a total monthly rent equal to $159,261. (The cost is based on $77 per room per night and a 365 -day year.)
Participants in the Bridge Housing Program will remain in interim housing until permanent housing is available. The initial 40 rooms rented under this lease are expected to serve approximately 120 individuals each year.
CONSEQUENCE OF NEGATIVE ACTION:
If the lease is not approved, fewer beds will be available to shelter homeless individuals.