Title
[Contract Supplement] Roseville Road Campus Operations [Published for 10-Day Review 09/17/2026]
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FileID
File ID: 2026-01435
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Location
Location: 3900 Roseville Road, District 2
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Recommendation
Recommendation: Pass a Motion authorizing the City Manager or designee to: 1) execute Supplemental Agreement No. 3 to City Agreement No. 2025-0449 with First Step Housing Dba First Step Communities for operations of Roseville Road South Campus in an amount not to exceed $2,251,272, for a total not-to-exceed amount of $6,798,100; and 2) execute Supplemental Agreement No. 3 to City Agreement No. 2025-4710 with The Gathering Inn in an amount not to exceed $2,600,393, for a total not-to-exceed amount of $5,463,152.
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Contact
Contact: Brian Pedro, Director, (916) 808-7816, bpedro1@cityofsacramento.org; Rodolfo Davidson, Program Manager, (916) 808-3703, rdavidson@cityofsacramento.org; Department of Community Response
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Attachments
Attachments:
1-Description/Analysis
2-First Step Communities Supplemental Agreement
3-The Gathering Inn Supplemental Agreement
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Description/Analysis
IssueDetail
Issue Detail: In August 2023, City Council gave the City Manager authority to identify and stand up new shelter sites, and in January 2024, the City opened the Roseville Road Campus (“RRC”), a new shelter and service campus at 3900 Roseville Road. With the launch of the Roseville Road Campus, all operations and services at Miller Park - the City’s former safe camping and safe parking site - were transitioned to the new campus. At the time, the City extended its contract with First Step Communities, the operator for the Miller Park site, to assist in quickly getting the essential new campus operational, ensuring a seamless transition from Miller Park to RRC without a lapse in vital services.
In September 2024, the Department of Community Response (DCR) was awarded $12,353,419 through the State’s Encampment Resolution Fund (“ERF”) program. The City’s ERF application focused on reducing the impacts of unsheltered homelessness along the Sacramento Northern Bike Trail through enhanced outreach and an expansion of the RRC. This funding supported adding 100 electrified cabins to the previously unused northern section of the campus, expanding high-intensity outreach services, and enhancing shelter and housing support for program participants.
In January 2025, DCR issued an updated Request for Proposals (RFP) for the operation of both the northern and southern portions of the campus. DCR received three proposals, and after a review of the submissions, selected two operators for the campus. First Step Communities (FSC) was selected to operate the campus’ southern section (RRC South), and The Gathering Inn (TGI) was selected to operate the northern section (RRC North), which opened Jan. 1, 2026.
Roseville Road Campus -- South
On April 29, 2025, Council passed Motion No. 2025-0118 authorizing an agreement with First Step Communities for the operations of RRC South for a not-to-exceed amount of $2,523,226, starting on May 1, 2025. The agreement was subsequently extended through Dec. 31, 2026.
FSC currently operates 96 sleeping cabins at RRC South, each with heating and air conditioning. The program offers 24/7 site supervision, case management, connections to social services, and housing navigation. RRC South also provides participants with daily meals and essential items such as clothing, blankets, and personal care supplies as needed. Intake into RRC South is managed by DCR and occurs through direct referrals from outreach staff. Walk-up and self-referrals are not permitted.
Between Jan. 1, 2024, and June 30, 2026, First Step Communities sheltered 569 individuals with an average length of stay of 168 days. During that period, First Step Communities assisted 134 people in moving into permanent housing and an additional 25 people in moving into an improved situation (such as group homes, transitional housing, substance-use or behavioral-health facilities or family reunification). First Step Communities has maintained a 95% bed utilization rate at Roseville Road South.
Roseville Road Campus -- North
On Nov. 18, 2025, Council passed motion No. 2025-0355 authorizing an agreement with The Gathering Inn for operations of RRC North for a not-to-exceed amount of $2,774,818 starting on Nov. 18, 2025, and ending on Dec. 31, 2026.
TGI currently operates 100 cabins at RRC North, each with heating and air conditioning. The program offers 24/7 site supervision, case management, connections to social services, and housing navigation. RRC North also provides participants with daily meals and essential items such as clothing, blankets, and personal care supplies as needed. As a function of the ERF funding, entry into RRC North is limited to individuals experiencing unsheltered homelessness within the vicinity of the Sacramento Northern Bike Trail through direct referrals from DCR outreach staff. Walk-up and self-referrals are not permitted.
Between Jan. 1 and June 30, 2026, The Gathering Inn sheltered 297 individuals with an average length of stay of 41 days. During that period, The Gathering Inn assisted 16 people in moving into permanent housing and an additional 19 people in transitioning into improved situations (such as group homes, transitional housing, substance-use or behavioral-health facilities or family reunification). The Gathering Inn has maintained a 94% bed utilization rate at Roseville Road North.
Expanded Shelter Capacity
As part of the next phase of the ERF program, City Council on March 24, 2026, passed motion No. 2026-0062 authorizing an agreement with Boss Homes to purchase 35 additional cabins for a not-to-exceed amount of $435,158 to expand the Roseville Road Campus.
On Aug. 25, 2026, City Council passed motion No. 2026-0236 authorizing an agreement with G&G Builders to install the additional cabins for a not-to-exceed amount of $479,695.
The expansion will bring 30 additional cabins to Roseville Road North and five additional cabins to Roseville Road South, bringing the total number of cabins at the campus to 231.
The additional cabins will increase the City’s capacity to provide shelter, stabilization, case management, and housing navigation services for individuals experiencing homelessness. The supplemental funding will also support the staffing, meals, supplies, facilities, security, and other operational costs necessary to serve the expanded campus population.
To continue operations at the RRC and support the next phase of ERF, City staff recommends entering into supplemental agreements with First Step Communities and The Gathering Inn for continued operations and expanded shelter capacity at the Roseville Road Campus for an additional 9-month period from Jan. 1, 2027, through Sept. 30, 2027.
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PolicyConsiderations
Policy Consideration: Pursuant to Sacramento City Code section 3.56.090, any agreement for non-professional services that is for $250,000 or more requires City Council approval. This item was published for 10-day review on September 17, 2026, in compliance with the City Code.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations: The City considered the potential effects on the environment at the time the site was proposed and approved for operation. The City concluded that it could determine with certainty that no significant effects would result from establishing and operating the Roseville Road Campus, and that pursuant to CEQA Guidelines section 15061(b)(3) the activities were exempt from the California Environmental Quality Act (CEQA). This action includes minor improvements to a developed site, with negligible ground disturbance. A Notice of Exemption was posted on Jan. 8, 2024.
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Sustainability
Sustainability: None.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: The Roseville Road Campus provides shelter and supportive services and housing-focused assistance for individuals experiencing homelessness. Approval of the supplemental agreements will ensure uninterrupted operations, the expanded campus and continued progress toward housing placement outcomes.
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FinancialConsiderations
Financial Considerations: Sufficient funding is available (Operating Grants, Fund 2702) in the ERF4L Community Response Grant Project (G23000200) in the amount of $1,014,718 and sufficient funding is available (Measure U, Fund 2401) in the Community Response Program (I23000100) in the amount of $1,236,554 to execute the supplemental agreement with First Step Communities for Roseville Road South in an amount not to exceed $2,251,272.
Sufficient funding is available (Operating Grants, Fund 2702) in the ERF4L Community Response Grant Project (G23000200) in the amount of $1,873,002 and sufficient funding is available (Measure U, Fund 2401) in the Community Response Program (I23000100) in the amount of $727,391 to execute the supplemental agreement with The Gathering Inn for Roseville Road North in an amount not to exceed $2,600,393.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): First Step Communities is a LBE in the City of Sacramento. The Gathering Inn meets the City’s Local Business Enterprise requirements.
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