In December 2019, a novel coronavirus (COVID-19) was first detected in Wuhan City, Hubei Province, China. The Centers for Disease Control and Prevention (CDC) declared the virus to be a severe public health threat. On March 15, 2020, the City Manager declared a state of emergency in the City of Sparks related to the global outbreak of COVID-19. On April 1, 2020, Governor Sislolak issued a stay at home order for Nevada. As of April 29, 2021, the World Health Organization (WHO) reported nearly 150 million confirmed cases of COVID-19, leading to 3,140,115 deaths worldwide. As of April 27, 2021, Washoe County reported 45,251 confirmed cases and 669 deaths.

Between the time COVID-19 was first detected and today, various government agencies have taken a series of actions to slow the spread of COVID-19:

• WHO declared COVID-19 a public health emergency of international concern on January 30, 2020;
• The United States Secretary of Health and Human Services declared a public health emergency on January 31, 2020;
• On March 11, 2020, WHO declared COVID-19 a global pandemic;
• Governor Steve Sisolak declared an emergency in the State of Nevada due to the impacts and risks of COVID-19 on March 12, 2020;
• On March 13, 2020, the President of the United Stated declared a national emergency and Governor Sisolak closed all Nevada schools until at least April 6, which date has since been extended until at least April 30;
• City Manager Neil Krutz declared a local emergency in the City of Sparks related to the outbreak of COVID-19; 
• On April 1, 2020 Governor Sisolak issued a stay at home order for Nevada; and
• In the time since April 1, 2020, local and state agencies have navigated a phased re-opening of Nevada, which remains ongoing.

These actions have necessitated several agreements between and involving the City of Sparks and its regional partners, including an interlocal agreement delegating certain authorities for unified regional incident command and coordinated response.

On March 28, 2020, the City Manager signed an agreement with the City of Reno, Washoe County, Washoe County Health District, and Well Care Services Reno, LLC (Well Care), to provide 43 temporary housing beds for members of the region's indigent population who were believed or confirmed to have COVID-19 and who required isolation or quarentine facilities. That agreement was ratified by the City Council on April 13, 2020. The original agreement expired on June 27, 2020, necessitating an extension of the agreement to assure continuity of service. The amendment and extension signed by the City Manager reduced the number of temporary housing beds provided by Well Care from 43 to 22, and extended the term of the agreement through October 31, 2020. The agreement was later extended until December 30, 2020. The agreement was again extended through April 30, 2021, but Well Care's services are still needed in the region. 

Sections 1.30.010 and 2.20.025 of the Sparks Municipal Code empower the City Manager to proclaim the existence of a local state of emergency and to request state and federal assistance when the City of Sparks is affected by a public calamity and the City Council is not in session. State law authorizes local governments responding to an emergency to “enter into contracts and incur obligations necessary to combat such an emergency or disaster, protect the health and safety of persons and property and provide emergency assistance to the victims of such an emergency or disaster.” NRS 414.090(3). Because the COVID-19 emergency is ongoing, these emergency provisions apply to contracts necessary to respond to the COVID-19 pandemic.

On April 23, 2021, City Manager Neil Krutz approved the sixth amendment to the agreement. This sixth amendment extends the agreement through October 31, 2021, and reduces the number of beds Well Care will provide from 22 to five (5) to better match demand and reduce costs to all of the agencies. In the event additional beds are needed, Well Care will provide overflow beds as needed for an additional fee. 

Mr. Krutz approved the amendment to the agreement for the following reasons. The terms and conditions of the agreement were reviewed by staff and deemed acceptable. The agreement maintains the availability of isolation or quarantine facilities for people who are indigent, a service needed in the community due to the COVID-19 pandemic. Providing these isolation and quarantine facilities is in the best interests of the health and safety of residents of Sparks. The isolation and quarantine facilities provided through the agreement are needed and time is of the essence.

The cost of providing this service will be allocated amongst the regional agencies in accordance with the cost-sharing structure agreed to in the previously considered cost-sharing agreement attached to the interlocal agreement appointing the Incident Commander and establishing the Incident Management Team. Although the total regional cost of responding to the COVID-19 pandemic is not known at this time, the partners will split the costs that are unreimbursed by FEMA three ways: Washoe County will pay 50% of the costs, the City of Reno will pay 35% of the costs, and the City of Sparks will pay 15% of the costs. As with other expenses incurred as a result of the regional response to the COVID-19 pandemic, Washoe County will make the entire payment to Well Care and then be reimbursed by the cities. This amendment of the agreement may cost up to $100,000.00, meaning that the City of Sparks's share may be up to $15,000.00. This amount could increase if the agreement is again extended, but such an action will require approval by the City Council, just as this amendment and extension requires ratification.

1. City Council may ratify the amendment and extension of the agreement as recommended by staff.

2. City Council may reject the amendment and extension of the agreement and provide further direction to the City Manager.

I move to ratify the sixth amendment and extension of agreement (AC-5661) for services between Well Care Services Reno, LLC, City of Sparks, City of Reno, Washoe County, and Washoe County Health District for the provision of short-term housing services for isolation or quarantine of individuals residing in Washoe County who have tested positive for COVID-19 or are suspected of having COVID-19, in a total amount up to $100,000.00 with the City of Sparks's share being 15 percent of the total unreimbursed cost.