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APPROVE A MOTION FOR FEDERAL AND STATE LEGISLATIVE ADVOCACY CONTRACTS
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RECOMMENDATION
It is recommended that the City Council authorize by motion action the City Manager to enter into a three-year contract with Summit Strategies Government Affairs LLC in the total amount of $234,000, and a three-year contract with Emanuels Jones & Associates in the total amount of $315,900, to provide legislative advocacy services and represent the City of Stockton before the United States Government and the State of California respectively.
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Summary
Maintaining a strong presence in both Washington, DC and Sacramento is important to the City of Stockton to ensure that we receive funding, advance beneficial legislation, and prevent adverse legislation or rulemaking. This is most effectively done through the use of consulting services to represent the City of Stockton in carrying out its Legislative Program and advocating its public policy positions, concerns, needs, and recommendations at the federal and state levels.
The existing federal and state legislative advocacy contracts will expire on December 31, 2021. City staff issued a Request for Proposals (RFP) and conducted a competitive review and interview process with the responsive advocacy firms. The RFP process is complete, and staff recommends that Summit Strategies Government Affairs LLC and Emanuels Jones & Associates represent the City in our federal and state legislative efforts, respectively.
DISCUSSION
Background
The City has contracted with a federal legislative advocacy firm for more than 20 years. Some examples of the benefits provided by our federal advocates include significant infrastructure and public safety funding, reauthorization of the National Flood Insurance Program to save homeowners millions of dollars and forestall damaging stormwater and floodplain regulations, and most recently the award of an EPA Water Infrastructure Finance and Innovation Act (WIFIA) loan for $108 million. The City has contracted for state legislative advocacy for 10 years, which has allowed the City to strengthen its presence in Sacramento over the decade. Examples of the benefits provided by our state advocates include successful public safety and sustainable development grant awards, securing an $18,000,000 earmark through an emergency funding package to address the homelessness crisis, leveraging the application of a State Revolving Fund (SRF) loan for the Regional Wastewater Control Facility Modifications Project, and expanding the Big 10 cities to the Big 13, which enabled Stockton to participate and receive direct and significantly larger allocations of the Federal CARES Act.
In 2012, the City of Stockton adopted its first formal State and Federal Legislative Programs. Prior to 2012, the City of Stockton had not adopted formal legislative programs, and as a result, the City’s legislative priorities and the impacts of legislation were not entirely clear to our legislative delegations. Over the past decade, the Legislative Programs have provided a unified focus and served as documents that establish the principles, priorities, and positions of the City of Stockton related to state and federal legislative matters. Legislative Programs are reviewed on an annual basis, allowing legislative advocates to refocus efforts as needed in Sacramento and Washington, DC, and act strategically and timely for greater impact.
Present Situation
The City of Stockton entered into federal and state legislative advocacy contracts in 2016. These contracts had terms of three years with two one-year extensions. The full terms of the contracts, including extensions, will be complete on December 31, 2021. City staff issued an RFP in September 2021 and conducted a competitive review and selection process with the responsive advocacy firms. A total of three firms responded to the federal level RFP, while one firm responded to the state level RFP. The RFP process is complete, and staff recommends that Summit Strategies Government Affairs LLC and Emanuels Jones & Associates represent the City in our legislative efforts.
The federal legislative advocacy firm selected is Summit Strategies Government Affairs LLC. Summit Strategies was founded by five partners with a history of advocacy on behalf of public governments, who offer expertise in the areas of transportation, economic development, livability and sustainability programs, and environmental policy. Partner Mark Dedrick will serve as the Project Manager for the contract. Mark started his career on Capitol Hill, then joined the government affairs practice group at the law firm Ball Janik, where he worked on behalf of clients on economic development, transportation, and natural resources issues. Mark’s decades of work experience in Washington, DC have led to good contacts with decision makers in Congress and with the administration. Partner Hal Hiemstra has extensive experience representing local governments before Congress, including cities, counties, and ports. Hal has assisted in securing millions of dollars in congressionally directed funding and grant projects and has advocated on clients’ behalf on flood control projects, highway projects, and protection of municipal drinking water. Together the Summit Partners have worked on congressional funding projects to secure successful earmarks for Community-Oriented Policing Services funding, violence prevention and youth outreach initiatives, and broadband technology to deploy fiber and expand access to low-cost internet service. Clients described Summit Strategies as a skilled, thoughtful, creative, and highly effective firm; and absolutely reliable, having superb connections on the Hill, well-recognized and trusted by agency staff and elected officials; and experts in the field where staff have achieved results.
The state legislative advocacy firm selected is Emanuels Jones & Associates (EJA). EJA has represented the City well over the past ten years and demonstrated their exceptional qualifications. David Jones, President of the firm, will continue to be the lead advocate for the City of Stockton. David has over 35 years of experience advocating at the State and Federal level, and the support staff to David also have extensive experience. The firm is well-known and respected in Sacramento and has positive working relationships with the League of California Cities and other key partners. The EJA firm has strong connections with legislators from both political parties and executive agency staff as a non-partisan agency. Their experience and knowledge of local government, municipal law, and municipal finance, as well as their collaborative and persistent approach make them well-suited to represent Stockton.
The scope of work for both federal and state contracts (Attachments A and B) includes advising the City in the development of the annual Legislative Program and then executing that program. Our advocates will monitor and review legislation and executive protocols under consideration, maintain an overview of legislative and executive agency activities, provide regular reports on key issues, and prepare letters of support and opposition. Our advocates will represent the City of Stockton in Washington, DC, and Sacramento, maintain a positive working relationship with the City’s delegations and facilitate communication with legislative, executive, and other governmental officials for the purpose of influencing legislative or administrative action. Our advocates will also coordinate and execute the City’s federal and state funding strategy by identifying funding opportunities, advising the City in the preparation of appropriations and grant requests, and facilitating meetings with legislative committees and granting agencies.
The term for both federal and state advocacy agreements is a three-year period, with two additional one-year extensions at the discretion of the City. The federal advocacy contract has been established at an annual retainer of $78,000. This represents a modest increase from the $75,600 that has been expended in recent years for federal advocacy services. The state advocacy contract has been established at an annual retainer of $102,000 for the first year, with a modest increase of 2.9% for the second and third years. The annual retainer for the final two years of the state contract is negotiable, with a limit established on the amount that the contract can be adjusted in any given year.
Continued legislative advocacy is particularly important, given the changing landscape of both federal and state governments. In addition, there are critical initiatives of the City Council that will require legislative advocacy efforts including execution of the Economic Development Strategic Plan, advocacy with the Department of Housing and Urban Development on affordable housing and anti-homelessness initiatives, critical infrastructure project funding and American Rescue Plan Act (ARPA) allocations. The expertise and experience provided by Summit Strategies and EJA will allow the City of Stockton to create an even stronger presence in Washington, DC and Sacramento and pursue the critical initiatives of the City. The firms will provide the City of Stockton with timely information, solid political networks, knowledge of key agency programs and staff and familiarity with current issues. They will also provide inroads to funding opportunities and an understanding of how to best design projects and programs for successful funding.
It is also worth noting that due to the legislative advocacy selection process taking place in 2021, City staff determined that it would be appropriate to conclude selections prior to finalizing the 2022 Legislative Programs, to allow the selected advocates an opportunity to contribute to the inquiry and planning process. As such, the 2022 Legislative Programs will be presented for Council approval in early 2022.
FINANCIAL SUMMARY
Sufficient funds for the initial six months of these calendar year contracts are included in the General Fund Non Departmental Special Services Account for Fiscal Year 2021-2022. Consistent with past practice, additional funds for successive years of the contract will be allocated in proposed budgets of future years.
Attachment A - Summit Strategies Government Affairs Agreement
Attachment B - Emanuels Jones & Associates Agreement