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CC - CONSENT ITEM: (1) Approval of Amendment to Existing Professional Services Agreement with Urban Alchemy in an Amount Not-to Exceed $2,583,431 for Fiscal Year 2026-2027 to Remain the Lead Operator and Service Provider for Wellness Village; and (2) Approval of Amendment to Existing General Services Agreement with Diamond Environmental Services in an Amount Not-to-Exceed $166,487 for Fiscal Year 2026-2027 for Sanitation and Site Infrastructure Services at Wellness Village.
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Meeting Date: June 22, 2026
Contact Person/Dept.: Robert Parga/Housing and Human Services
Christina Stoffers/Housing and Human Services
Phone Number: (310) 253-5780
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Attachments: Yes [] No [X]
Public Notification: Advisory Committee on Housing and Homelessness (05/19/2026); Urban Alchemy (02/23/2026); and (E-Mail) Meetings and Agendas - City Council (06/17/2026)
Department Approval: Diane Glauber, Housing and Human Services Director (05/20/2026)
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RECOMMENDATION
Staff recommends the City Council approve (1) an amendment to the existing professional services agreement with Urban Alchemy in an amount not-to exceed $2,583,431 for fiscal year 2026-2027 to remain the lead operator and service provider for Wellness Village; and (2) approval of an amendment to the existing general services agreement with Diamond Environmental Services in an amount not-to-exceed $166,487 for fiscal year 2026-2027 for sanitation and site infrastructure services at Wellness Village.
BACKGROUND
In response to the growing homelessness crisis throughout Los Angeles County and its local impacts, the City Council ratified a Proclamation of Local Emergency on Homelessness on January 9, 2023.
To address homelessness through a coordinated, service-centered approach, Culver City (City) developed a localized Continuum of Care (CoC) focused on outreach, stabilization, interim housing, and permanent housing solutions. The City’s CoC initiatives include:
• Homeless Outreach/Crisis Intervention Mobile Crisis Team
• Project Homekey Interim Housing
• Project Homekey Permanent Supportive Housing
• Wellness Village Safe Sleep Program
• Motel Master Lease and Nutrition Program
Urban Alchemy plays a key role in implementing several of these initiatives, primarily through providing services to clients in the Motel Master Lease Program and at Wellness Village. Since 2023, these programs have served as critical bridge housing and stabilization resources for Culver City residents experiencing homelessness.
DISCUSSION
Continuation of Wellness Village
On March 27, 2023, the City Council approved an agreement with Urban Alchemy to serve as the lead supportive services provider and operator of Wellness Village. Urban Alchemy is a nonprofit organization that supports communities impacted by homelessness, poverty, mental illness, and addiction through outreach, temporary housing operations, hygiene services, and neighborhood support programs.
In August 2023, Culver City opened Wellness Village, the City’s first safe sleep program, on the City-owned Virginia parking lot located at 10401 Virginia Avenue. The program serves vulnerable unhoused residents who are not yet ready to transition indoors by reducing encampments, increasing access to supportive services and housing opportunities, and helping prevent loss of life. Wellness Village currently consists of 20 transitional tents (“suites”) and can accommodate up to 40 guests, allowing couples and pet owners to remain together. Since opening, Wellness Village has served 157 individuals experiencing homelessness, with 73 guests transitioning to Project Homekey interim or permanent housing, veterans housing, substance use disorder treatment facilities, or other housing resources. Currently, 16 guests are enrolled in the program.
At Wellness Village, Urban Alchemy provides 24-hour onsite operations, property oversight, site safety, and comprehensive supportive services designed to promote resident stability and successful housing outcomes. Core services include:
• Case management and individualized service planning
• Coordination of public benefits enrollment
• Assistance obtaining identification and vital documents
• Referrals to medical, mental health, and substance use treatment services
• Transportation assistance
• Transition planning to interim or permanent housing opportunities
Urban Alchemy also provides daily operational support, including administering three nutritious meals per day, restroom and shower access, janitorial and maintenance services seven days per week, laundry services for bedding and towels, waste collection, and wellness programming.
To ensure continuous operations, Urban Alchemy staffs Wellness Village 24 hours per day, seven days per week, across three shifts. Daily staffing includes 14 personnel Monday through Friday (112 staff hours per day), consisting of supervisory, practitioner, and care coordination staff, and 13 personnel on weekends (104 staff hours per day), consisting of supervisory and practitioner staff.
Diamond Environmental Services
Wellness Village is designed to provide residents with access to basic human dignities and a safe, sanitary living environment while they work toward greater housing stability. The site offers 24/7 access to essential hygiene and sanitation services, including clean restrooms, showers, and handwashing stations. These services are critical to supporting the health, well-being, and daily needs of residents and help maintain a clean and functional community environment.
To ensure the site remains habitable, sanitary, and operational, the City brings in temporary infrastructure and ongoing support services including wastewater removal and routine servicing of the restroom and shower facilities. On May 31, 2023, the City entered into an agreement with Diamond Environmental Services to provide sanitation delivery services and daily servicing of restroom and shower facilities at Wellness Village.
FISCAL ANALYSIS
As previously mentioned, following the City Council’s ratification of the Proclamation of Local Emergency on Homelessness, the Housing and Human Services Department (HHS) was able to use informal procurement processes to rapidly implement Council-directed homelessness programs and engage qualified vendors to provide essential operations and supportive services. This expedited authority enabled the timely launch and continuation of key Continuum of Care initiatives, including Wellness Village and associated services.
Staff recommends approving an amendment to the Urban Alchemy agreement in the total amount of $2,583,431 for Fiscal Year 2026-2027 to support continued operations and supportive services at Wellness Village. Urban Alchemy has consistently operated within its approved annual budget and has not exceeded allocated funding. Based on prior-year operational experience and actual program expenditures, Urban Alchemy rightsized its Fiscal Year 2026-2027 budget to better align staffing and operating assumptions with current operations while maintaining the core Wellness Village service model. As a result, the proposed budget reflects an overall cost savings of approximately 16.5% ($509,761) compared to the Fiscal Year 2025-2026 Wellness Village budget of $3,093,192.
Additionally, staff recommends approving an amendment to the agreement with Diamond Environmental Services in an amount not-to-exceed $166,487 for sanitation delivery services and the daily maintenance and operations of restroom and shower facilities at Wellness Village. These services are essential to maintaining safe, sanitary, and habitable conditions at the site and ensuring residents have ongoing access to critical hygiene and sanitation resources.
The Adopted Budget for Fiscal Year 2026-2027 includes sufficient appropriations to support the recommended base services. Funding for Wellness Village is available in Account No. 10135700.619830 (HHS Wellness Village - Other Contractual Services Unhoused).
ATTACHMENT
None.
recommended action
MOTIONS
That the Culver City Council:
1. Approve an amendment to the existing professional services agreement with Urban Alchemy in an amount not-to exceed $2,583,431 for fiscal year 2026-2027 with an increase of CPI or no more than 5% in subsequent contract years to remain the lead operator and service provider for Wellness Village; and
2. Approve an amendment to the existing general services agreement with Diamond Environmental Services in an amount not-to-exceed $166,487 for fiscal year 2026-2027 with an increase of CPI or no more than 5% in subsequent contract years for sanitation and site infrastructure services at Wellness Village; and
3. Authorize the City Attorney to prepare/review the necessary documents; and
4. Authorize the City Manager to execute such documents on behalf of the City.