HomeMy WebLinkAboutRatify C22690B MuniFinancial University Park CFD 2005-1
CITY OF PALM DESERT
STAFF REPORT
REQUEST: RATIFY THE CITY MANAGER’S APPROVAL OF CONTRACT
WITH MUNIFINANCIAL FOR SPECIAL TAX CONSULTANT
SERVICES AND APPROVE CONTRACT AMENDMENT NO. 1
FOR ADDITIONAL PROFESSIONAL SERVICES ASSOCIATED
WITH THE UNIVERSITY PARK CFD 2005-1 DISTRICT
FORMATION
SUBMITTED BY: DAVE YRIGOYEN, DIRECTOR OF REDEVELOPMENT
CONSULTANT: MUNIFINANCIAL
27368 VIA INDUSTRIA, STE. 110
TEMECULA, CA 92590
DATE: DECEMBER 8, 2005
CONTENTS: CONTRACT AMENDMENT NO. 1
Recommendation:
By Minute Motion, that the City Council:
1. Ratify the City Manager’s authorization of the original $24,000 contract to
MuniFinancial for the professional services associated with the University
Park Community Facilities District 2005-1.
2. Approve Contract Amendment No. 1 in a total amount not-to-exceed $5,500
to MuniFinancial for provision of additional professional services.
The remaining $5,500 necessary for the contract amendment is available in
Trust Account No. 610-0000-228-2100, per the Reimbursement Agreement
(Contract No. C22690-A) with the developers of the University Park CFD.
Discussion:
On 24 December 2004, the City Manager approved a contract to MuniFinancial in the
amount of $24,000 for provision of professional services related to the district formation
costs associated with University Park Community Facilities District 2005-1. Charges for
these services are paid from the deposit made by the developers of the district, per the
Reimbursement Agreement (Contract No. C22690-A). The formation is approximately
75% complete and MuniFinancial has been performing the required services in a
satisfactory manner.
Staff Report
Approve Contract Amendment No. 1 to MuniFinancial
Page 2 of 2
December 8, 2005
During the course of district formation, numerous adjustments to the configuration of the
district due to negotiations with the developers, and modifications in their plans of
development have impacted work activities on the consultant’s critical path. The most
significant changes have been the initial inclusion, then subsequent exclusion of the
separate improvement areas, and the eventual elimination of the northern portion of the
district entirely. These changes have necessitated repeated alterations in the
documents required for the formation, essentially requiring several re-designs of the
district.
Simultaneously, there have also been numerous changes in the cost estimates and lists
of facilities to be financed as provided by the developer’s consultants. These
necessitated several changes to the Rate and Method of Apportionment and additional
iterations of the bond sizing and tax rate analyses. Staff has directed the special tax
consultant to perform additional professional services in the coordination, oversight and
management of this additional work.
As a result of the increased scope of work, the consultant contract warrants modification
to compensate for the additional professional services required. Contract Amendment
No. 1, in the amount of $5,500, provides compensation for additional services
associated with the increase in scope. These services include additional work related to
revised district configuration and changes to the facilities cost estimates to be included
in the Rate and Method of Apportionment.
Staff recommends approval of the subject contract amendment in order to facilitate the
completion of the University Park CFD 2005-1.
Submitted by:
Dave Yrigoyen
Director Redevelopment/Housing
Approval:
Justin McCarthy, ACM Redevelopment Paul S. Gibson, Director of Finance
Carlos L. Ortega, Executive Director
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