Title
CC - Approval of a Three-Year Professional Services Agreement with Keyser Marston Associates for Financial Analysis Services with the Option of Two Additional One-Year Terms in an Aggregate Amount Not-to-Exceed $75,000.
Body
Meeting Date: January 14, 2019
Contact Person/Dept: Todd Tipton/CDD
Phone Number: (310) 253-5783
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [] Attachments: Yes [] No [X]
Commission Action Required: Yes [] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (01/09/19)
Department Approval: Sol Blumenfeld, Community Development Director (01/07/19)
_____________________________________________________________________
RECOMMENDATION
Staff recommends the City Council approve a three-year professional services agreement with Keyser Marston Associates (KMA) for financial analysis services with the option of two additional one-year terms in an aggregate amount not-to-exceed $75,000.
BACKGROUND
The Community Development Department requires financial analysis services to, among other things, analyze real estate transactions and affordable housing/density bonus requests (SB1818), assist with real property negotiations and affordable housing transactions, and value community benefits in connection with the City’s Mixed Use Development Ordinance.
DISCUSSION
On October 25, 2018, the City published a Request for Proposals (RFP #1922) for financial analysis services with responses due November 29th. The RFP was posted to the City’s website along with a GovDelivery notification issued to more than two thousand subscribers to the RFP/Bid Notices topic. At the time of closing, the following two firms submitted proposals for the requested services:
Vendor Location
KMA Los Ángeles, CA
Economic & Planning Systems, Inc. Los Angele, CA / Oakland, CA / Denver, CO
During the evaluation process samples of the respondents work were reviewed, the respondents were interviewed and references were checked. Staff is recommending an agreement with KMA because they provide a principal as the primary contact, the principal is local and available on short notice, their rates are competitive and they have a proven track record in Culver City and other cities throughout California.
If the City Council approves entering into an agreement with KMA, staff will begin the process to negotiate a final agreement. Staff requests authority to make minor modifications to the final agreement as deemed appropriate during the negotiation process provided that any additional modifications do not increase the aggregate contact amount beyond the City Manager’s purchasing authority.
FISCAL ANALYSIS
The cost for the financial analysis services is estimated to be approximately $15,000 per year or $45,000 over the three-year term of the agreement (and $75,000 if the two one-year options are exercised). There are sufficient funds appropriated in the Economic Development and Housing Divisions of the Community Development Department’s Fiscal Year 2018/19, as included in Accounts 10150100.619800 and 47650710.619800, to cover the cost of the services. The additional $15,000 per year for each of the two one-year options will be incorporated into future budgets as necessary.
ATTACHMENTS
None.
MOTIONS
That the City Council:
1. Approve a three-year professional services agreement with KMA for financial analysis services with two additional one-year options in an aggregate amount not-to-exceed $75,000; and,
2. Authorize staff to make minor modifications to the final agreement during the negotiation process, provided such modifications do not result in an increase to the contract price beyond the City Manager’s purchasing authority; and,
3. Authorize the City Attorney to review/prepare the necessary documents; and,
4. Authorize the City Manager to execute such documents on behalf of the City.