Title
Report recommending the adoption of a resolution to approve consulting services agreement with Matrix Consulting to conduct a Comprehensive User Fee Study, Cost Allocation Plan, and Impact Fee Study Review in an amount not to exceed $100,000. (Heather Enders, Management Analyst II)
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RECOMMENDATION
Recommendation
It is recommended that the City Council adopt a resolution to approve consulting services agreement with Matrix Consulting to conduct a Comprehensive User Fee Study, Cost Allocation Plan, and Impact Fee Study Review in an amount not to exceed $100,000. (Heather Enders, Management Analyst II)
Body
BACKGROUND/DISCUSSION
Staff issued a Request for Proposals (RFP) for a Comprehensive User Fee Study, Cost Allocation Plan, and Impact Fee Study Review on July 17, 2019. The services sought are for a qualified firm to conduct an analysis on the cost of providing all City services and determine the appropriate amount of cost recovery for each service. The study will consider costs that are hard to capture, as well as recommendations for implementing cost recovery policies. The firm would conduct internal stakeholder outreach and complete the report prior to the next budget cycle. The scope of work also includes a review and report on the City’s impact fees and ultimately tools and outreach materials that will ensure predictable and intuitive fees that are easily accessible and understandable to customers interested in calculating fees on their own for a particular type of project.
The City received three timely responses in response to the RFP. Proposals were received by Matrix Consulting Group; Harris and as a sub-contractor, Clearsource; and Willdan.
The firms were evaluated and by an internal panel comprised of:
• Director of Finance
• Financial Services Manager
• Deputy Director of Economic and Community Development
• Management Analyst II
Panel Members evaluated each prospective firm according to criteria listed below and weighed each value accordingly:
• Quality of proposal and responses to specific questions included in the RFP and experience on similar fiscal analyses and reports for local government agencies in California.
• Relevant qualifications of key personnel assigned to the project and accessibility of key personnel to the staff during the project.
• Fit.
• Reasonableness of fees and cost proposal.
Based on the evaluation panel scores provided in Attachment 1, Matrix Consulting Group demonstrated that they had the appropriate experience level desired and demonstrated that they were wholly available to staff throughout the entire project and beyond. As due diligence, staff conducted in person interviews with all firms on August 18th. As staff’s top contender, Courtney Ramos, Vice President of Matrix Consulting Group, led the presentation for Matrix singlehandedly and quite convinced staff of her firm’s capabilities. Staff then contacted references for each of the top two candidates and found that Matrix Consulting Group ultimately was the top choice. The contract agreed upon is in an amount not to exceed $100,000.
Matrix is located out of San Mateo, California. They have worked with over 1,200 government agencies in the past few decades, conducting cost of service and management studies providing recommendations relating to operations, improvements, and cost recovery.
FISCAL IMPACT
The consulting services agreement for a Comprehensive User Fee Study, Cost Allocation Plan, and Impact Fee Study Review would be in an amount not to exceed $100,000 funded by General Fund appropriations in the FY 2019-2021 Adopted Budget.
RELATIONSHIP TO STRATEGIC PLAN
The development of a comprehensive user fee study, cost allocation plan, and impact fee study review supports the city’s fiscal stability and aligns with CPI increases.
CONCLUSION
Adopting the attached resolution to approve a consulting services agreement ensures that South San Francisco follows good business practice by periodically adjusting service fees to align actual cost with the fee charged.
Attachments:
1. Evaluation Panel Scores
2. Contract Draft with Scope of Services