Sausalito extends contract with management firm

Sausalito is renewing a consulting contract to bolster its Department of Community and Economic Development.

The City Council voted unanimously Tuesday to spend another $330,000 for services by 4Leaf, a firm in Pleasanton.

The city started using the firm in 2022 to make up for staffing shortages in the department. Its role has since evolved into providing services related to reviewing project plans and building inspections.

While the city relies on 4Leaf for less help now, and the costs have decreased, the city still needs the firm to fill some essential services, according to a staff report by Brandon Phipps, the department’s director.

When the city first hired the company, its personnel were filling the majority of positions within the department, Phipps said. Now the department has staffed all but one of its positions, that of a building official.

“We have significantly reduced 4Leaf’s role,” Phipps said.

The city spent around $100,000 per month on its services in 2022, but now the staff expects to spend no more than $25,000 a month.

The city’s previous budget for 4Leaf’s services was used up by the end of the 2023-24 fiscal year, but the firm continues to provide services “in good faith,” according to the staff report. The new contract is needed, in part, to pay the firm $76,000 for services it has already provided.

“I am really pleased to see that we are at this point only down to one 4Leaf employee and have significantly decreased our consultant costs,” Councilmember Melissa Blaustein said.

Vice Mayor Joan Cox congratulated Phipps on successfully rebuilding the department, and said she had not realized how sparsely staffed it had been.

“I am shocked,” Cox said.

The “true amount” of the fiscal impact to the city is lower than $330,000, Phipps said. He said only around $220,000 will be paid by city funds because project applicants pay for some services. The city maintains 25% of these fees to cover costs of permit management and administration.

Cox asked if the staff intends to hire someone for the building official position. Phipps said he plans to, but only after discussing the possibility of increasing the salary range. He said the city has tried to fill the position three times already, but to no avail.

The contract will expire at the end of the 2024-25 fiscal year. It includes a 10% buffer in case of unexpected costs.

“I’m enormously pleased with the department now, and where it is now,” Councilmember Jill Hoffman said.