HomeMy WebLinkAboutSR - R27280A-C - PDCC UndergrndingContract Nos. R27280A-C
PALM DESERT REDEVELOPMENT AGENCY
STAFF REPORT
REQUEST: AUTHORIZE PAYMENT OF DEPOSITS TO SOUTHERN CALIFORNIA
EDISON, VERIZON COMMUNICATIONS, AND MUNIFINANCIAL TO
BEGIN ENGINEERING DESIGN FOR PALM DESERT COUNTRY CLUB
UNDERGROUNDING PROJECT
SUBMITTED BY: ARLA K. SCOTT, SENIOR FINANCIAL ANALYST
DATE: FEBRUARY 14, 2008
CONTENTS: SOUTHERN CALIFORNIA EDISON ROUGH ORDER OF
MAGNITUDE (ROM)
VERIZON COMMUNICATIONS ROUGH ORDER OF MAGNITUDE
SOUTHERN CALIFORNIA EDISON ENGINEERING PROPOSAL
VERIZON COMMUNICATIONS ENGINEERING PROPOSAL
MUNIFINANCIAL ENGINEERING PROPOSAL
Recommendation:
By Minute Motion, that the Agency Board:
1) Authorize payment of a deposit to Southern California Edison from Account
No. 854-4256-464-4001, not -to -exceed $600,000;
2) Authorize payment of a deposit to Verizon Communications from Account No.
854-4256-464-4001, not -to -exceed $20,000;
3) Authorize payment of a deposit to MuniFinancial from Account No. 854-4256-
464-4001, not -to -exceed $48,500; and
4) Authorize the Chairman to execute the above -mentioned contracts.
Executive Summary:
The Agency staff needs cost calculations from Southern California Edison and Verizon
Communications regarding the Palm Desert Country Club Undergrounding Project. Engineering
designs from both companies and an estimate from a contractor will give us a better
understanding of what actual costs should be. This will enable the Assessment Engineer,
MuniFinancial, to prepare an accurate preliminary assessment amount for the homeowners.
Accurate costs need to be presented to the homeowners so that they are able to make an
informed decision as to whether or not to proceed with the formation of the assessment district.
Staff Report
Authorize Deposits to SCE, Verizon and Munifinancial for Engineering Design - PDCC
Undergrounding Project
Page 2
February 14, 2008
Discussion:
Southern California Edison (SCE) and Verizon Communications were both asked to provide the
Agency with a rough order of magnitude for undergrounding the Palm Desert Country Club
(PDCC). Southern California Edison provided a rough estimate of $22,000,000. Verizon
provided a rough estimate of $2,267,081. Due to increased costs, staff has projected their cost
at $5,000,000. We are estimating the costs of issuing bonds at 20% of the total project. This
estimate is based on similar undergrounding projects that have been done by the Agency in the
past. The Agency's portion could possibly go up to 50% of the total eligible costs of the project.
Based on prior experience, that is estimated at 40% of the overall total of the project. This
would include the cost of undergrounding arterial streets, such as California, Warner Trail, and
other major arteries throughout PDCC. These are only preliminary estimates and are subject to
industry changes.
Southern California Edison $22,000,000
Verizon Communication $ 5,000,000
Costs of Issuance $ 4,400,000
Total $31,400,000
RDA Portion (40%) $12,560,000
PDCC Portion $18,840,000
Size of Bond Issuance $21,935,000
Approximate assessment $12,000 - $15,000
Approximate annual assessment $855-1,100
The only way to have accurate costs is by having the engineering design done by Southern
California Edison, Verizon Communications, and MuniFinancial. The estimates we are currently
using are based on prior undergrounding projects. However, a more reliable cost calculation
would be available after the engineering design has been completed. The cost calculations
based on the engineering design are subject to public bid before the costs can be finalized.
After the engineering design has been completed, MuniFinancial would be able to give a more
accurate cost to each individual homeowner (again noted this is a preliminary cost). This would
give each individual homeowner a more reliable cost of what their assessment would be, and
thus help them make an informed decision. It would also enable them to take the next step,
which is circulating a petition requiring 70% of the registered property owners to agree to form
the assessment district. The signatures must be validated by the City Clerk. After the petition
is verified, the formation process would begin. If the engineering work is completed now, the
City would use the engineering plans to construct the necessary documents to put the entire job
G\rdaWrla Scott\Word riles\Staff Repts\PDCC Undergrounding -Engineering -Feb 14-08 doc
Staff Report
Authorize Deposits to SCE, Verizon and Munifinancial for Engineering Design - PDCC
Undergrounding Project
Page 3
February 14, 2008
out to bid. After a stated period, the bids would be opened and the exact cost of the project
would be determined. At that time, the City would mail a ballot to each homeowner indicating
the total cost for the undergrounding. On a specific date, listed on the ballots, the City Council
would conduct a public hearing and count the ballots that are returned. There must be at least
51 % of homeowners who agree to proceed for the formation to ultimately be approved. If the
formation proceeds, then bonds would be issued in the amount needed to finance the PDCC
portion of the project.
SCE has submitted an engineering proposal of $600,000. MuniFinancial presented a proposal
for engineering services of $48,500. Verizon's proposal for engineering services accounted for
the $5,000 non-refundable deposit that they received on October 23, 2007 with a remaining
balance due of $20,000. Therefore, it would cost a total of $668,500 for the engineering
deposit, with the understanding that this is only a proposal for the deposit, and the actual costs
could be more when the actual work has begun depending on the findings of the engineering
services. However, each deposit would count toward the overall cost of the undergrounding
project, as long as the project was begun within the standard timeframe, which is usually two
years. The Agency is prepared to pay for the engineering design to be completed, with the
understanding that if the project does not have enough support from the homeowners, the
formation of the assessment district will not continue.
The engineering design, which will be completed, can be used at a later date, if the
homeowners decide to wait and pursue this district in the future.
Staff is recommending that the Agency Board approve payment of the deposits to Southern
California Edison, Verizon Communications, and MuniFinancial to begin the engineering design.
Funds were budgeted and are available in Account No. 854-4256-464-4001 for this cost.
Submitted By:
d1L'4 , �. ,
Arla K. Scott
Senior Financial Analyst
AKS:mh
Approval:
*evelp
Justin McCarthy, ACM Rednt
G:\rda\Arla Scott\Word Files\Staff Repts\PDCC Undergrounding-Engineering-Febl4-08.doc
Department Head:
David Yrigo '
Director o edevelopment/Housing
Paul S. Gibson, Director of Finance
' .
Carlos L(. rteg xecutive Director
ON J-5
VEPIFIyD BY k0K
�J
Original en rile Cil"/ Cleric's Office
t Rule 20 Request For Advance Engineering Deposit
LPA Region Manager:
PAX Number:
Request Date:
Due Date:
Requestor Information
Kathleen Derosa
14211
10-25-2007
Project Type: Rule 20A ❑ Rule 20B X
Assessment District?: Yes X No ❑
City: Palm Desert
Location: CA
Proposed Boundary Map: Provided
City Contact: Aria Scott
Contact Phone: 760-776-6341
.. .�a,.F.;?�-� .. _..':r ot,�a:., i.-rn: - --�r` ,.:>ti :, ?''.�.ii:'. .. _.ia. - y_ .d'a•�>..?: �.-i n;...�aer .-�,,
Required Engineering Deposit: $600,000
Assumptions:
1. Engineering to commence upon receipt of deposit.
2. A duration of 18 months is required from receipt of payment to complete design.
3. Engineering deposit is for design of SCE facilities only. City to contact affected joint utilities to
initiate joint facility designs.
4. The quote for an Engineering Deposit is valid from 90 days from the date prepared.
5. Should the city wish to proceed, the UUAD will need to be divided into manageable phases that
SCE can support from both a design and construction perspective.
6. In addition to the deposit, the city is required to sign a "Preliminary Design and Engineering
Agreement" before SCE can proceed with design.
Completed By: Tony Mathis for Chip Chapella
Date: 1 / 15/08
"! II'll li i< ; r '.f
To: Aria Scott
Date: November 2, 2007
Subject: Rough Order of Magnitude (ROM)
Proposed Rule 20b Assessment Underground Utility District for
The City of Palm Desert, Palm Desert Country Club
SCE has reviewed the proposed district and finds the boundary to be operationally
acceptable for undergrounding existing overhead distribution facilities.
SCE has also prepared a ROM cost estimate for the undergrounding of existing overhead
Distribution facilities within the proposed district boundary. The estimate was prepared
without the benefit of any engineering, and as such has an expected accuracy of plus or
minus 40%. The estimated cost of $ 22,000,000, expressed in 2010 dollars, may be
provided to the City for purposes of determining project feasibility.
Due to the large magnitude of the project (1083) parcels we are recommending that the
project be designed and construction in phases to ensure the availability of SCE
resources.
If you have any questions, feel free to contact me at 760-202-4211.
Sincerely,
Kathleen DeRosa
Public Affairs
Region Manager
To: Kathy DeRosa
Local Public Affairs Manager
Date: November 31, 2007
Subject: Rough Order of Magnitude (ROM)
Proposed Rule 20b Assessment Underground Utility District for
The City of Palm Desert, Palm Desert Country Club
SCE has reviewed the proposed district and finds the boundary to be operationally
acceptable for undergrounding existing overhead distribution facilities.
SCE has also prepared a ROM cost estimate for the undergrounding of existing overhead
Distribution facilities within the proposed district boundary. The estimate was prepared
without the benefit of any engineering, and as such has an expected accuracy of plus or
minus 40%. The estimated cost of $ 22,000,000, expressed in 2010 dollars, may be
provided to the City for purposes of determining project feasibility.
Due to the large magnitude of the project (1083) parcels we are recommending that the
project be designed and construction in phases to ensure the availability of SCE
resources.
If you have any questions, feel free to contact me at PAX 12417 or (909) 820-5417.
Sincerely,
Mike Beard
Distribution Project Management Organization
Transmission & Distribution Business Unit
cc: Tony Mathis
Gloria Hocutt
Chip Chapella
---, - -
From: Carole.f.vre aver@vc'rizr�rt.c�e��
�SOUV ; Wednesday, Januaryy 'i6, 2OU06 8: d8 AMii
` O: Scott, Aria
Subject: RE: ESTIMATE OF ENGINEERING COSTS
Attachments: pic24096.gif
Ms. Scott,
We will extend tit April 30, 2008. Please let us knoiv as sorm as you can since it N011 take quite a while. to do the actual enginecring of
the job if you decide to continue with
it. Thank you,
Carole Weaver
Network Engineering/Sunbelt District
(760) 864-1581 office
(760) 325-2536 fax
<ascotUcnci.uatin-desert .ca.us>
<ascott(n),ci.valm-
desert.ca.us> ToCarole F. WeaverNEND/CANerizon@VZNotes
01/16/2008 09:04 cc
AM
SubjectRE: ESTIMATE OF ENGINEERING COSTS
Hi Carole,
If I could have them extended until April 30, 2008 that would be great. That should give us enough time to
take it to council, and if approved, get the check processed and to you guys. We have to send payments with
a check and it takes about a week or so to process that.
Thanks,
Aria
From: carole.f.weaverCawerizon.com f mailto:carole.f.weaver(&verizon.coml,
Sent: Tuesday, January 15, 2008 2:47 PM
To: Scott, Arta
Subject: RE: ESTIMATE OF ENGINEERING COSTS
Ms. Scott,
Please let me know how long you would like these dates to be extend. Please let me know. Thanks,
Carole Weaver
Net«vork Engineering/Sunbelt District
(760) 864-1581 office
1
.LES%
Carole,
kY�iTi r4'i.Vt�ToCarole F.
' iVeaver/VEND/CA/-Vei•izon(d) VGivoies
01/15/2008 02:17 cc
PM
SubjectRE: ESTIMATE OF ENGINEERING
COSTS
I need to verify that this is still the estimate for the engineering proposal. I've finally got all the other numbers
and will try to take for approval of payment.
Thanks,
Arla
From: carole.f.wgaver(fterizon.com fmailto:carole.f.weaver(abverizon.com]
Sent: Thursday, October 25, 2007 2:50 PM
To: Scott, Aria
Subject: ESTIMATE OF ENGINEERING COSTS
Arla,
Please know this is just and ESTIMATE. The estimate will be at least $25,000.00. We will let you know if it changes in the future.
Carole Weaver
Network Engineering/Sunbelt District
(760) 864-1581 office
(760) 325-2536 fax
October 29. 2007
ven on
295 North Sunrise Way
Palm Springs, CA 92262-5295
Ms. Arla Scott
City of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260-2578
Subject: VZ W.O. # 0549-8POAOCA
Dear Ms. Scott:
The proposed estimated cost of the work you have requested from Verizon, Inc. is $25,000.00.
As stated this figure is a proposed estimate and only covers the cost to engineer the underground
of existing facilities.
Your agreement with Verizon is to pay for the actual cost of the work, which may be greater or
less than the proposed estimated cost listed above. If the actual cost is greater than the estimated
cost, you will be billed the additional charges. If the actual cost is less than the proposed
estimated cost, you will receive a refund. In accordance with Verizon, Inc. and California PUC
No. D&R governing the recovery from customers of the actual costs of facility rearrangements,
Verizon is required to collect the full amount of the estimated cost of your work in advance
before any work can begin.
Estimated cost of requested work: $ 25,000.00
Deposit received $ 5,000.00
Remaining Balance: $ 20,000.00
During our performance of the requested work, an additional advance payment could be required
should you alter the scope of work, take other action which would cause us to incur additional
costs, or if we encounter unforeseen events or field conditions.
If you agree to these terms and conditions, please follow the items listed below:
1. Sign and date letter.
2. Enclose a check. made parable to Verizon in the above referenced amount.
3. Mail items 1 & 2 to Verizon NetNNork Engineering. 29> N. Sunrise Way Pahn Springs.
CA 92262. A self-addressed ens -elope has been included.
Verizon will attempt to complete the work for which it is responsible under this agreement within
90 days after receipt of payment and a fully executed copy of this agreement and attached
agreements are received. However, no damages or other liability shall accrue against Verizon's
action or the action of other utilities, agencies, or other companies, which may have become
involved in this project. The costs and engineering specification will be null and void if this letter
is not signed and returned x6thin 30 days from this date or if customer requests a new engineering
study.
Ms. Arla Scott
October 29, 2007
Page 2
Should you have any questions regarding this work, please feel free to contact me. Thank you.
Sincerely,
zL
Carole Weaver
Contracting Engineer - Network Engineering
760/864-15 80
CW jw
ACCEPTANCE:
By:
Date:
By: -
Date:
Ms. Aria Scott
CA-,, of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260-2579
Subject: Underground District #2 VZ W.O. # 0549-8POAOCE
Dear Ms. Scott:
EV
er on
295 North Sunrise Way
Pal q ri 1 W6,J"
��
{� ' P
The estimated proposed cost of the work you have requested from Verizon, Inc. is $2,267,080.91.
As stated this figure is an estimate and only covers the cost to underground our facilities into a
customer provided conduit system, transferring the existing services and removing all aerial
facilities.
Your agreement with Verizon is to pay for the actual cost of the work, which may be greater or
less than the estimated cost listed above. If the actual cost is greater than the estimated cost, you
will be billed the additional charges. If the actual cost is less than the estimated cost, you will
receive a refund. In accordance with Verizon, Inc. and California PUC No. D&R governing the
recovery from customers of the actual costs of facility rearrangements, Verizon is required to
collect the fiill amount of the estimated cost of your work in advance before any work can begin.
Estimated cost of requested work: $ 2,267,080.91
Deposit received $ 5,000.00
Remaining Balance: $ 2,262,080.91
During our performance of the requested work, an additional advance payment could be required
should you alter the scope of work, take other action which would cause us to incur additional
costs, or if we encounter unforeseen events or field conditions.
If you agree to these terms and conditions, please follow the items listed below:
1. Sign and date letter.
2. Enclose a check_ made pa -able to Verizon in the above referenced amount.
3. Mail items 1 & 2 to Verizon Nemork Engineering. 295 N. Sunrise Way Palm Spruigs.
CA 92262. A self-addressed envelope has been uicluded.
Verizon will attempt to complete the work for which it is responsible under this agreement within
90 days after receipt of payment and a hilly executed copy of this agreement and attached
agreements are received. However, no damages or other liability shall accrue against Verizon's
action or the action of other utilities, agencies, or other companies, which may have become
involved in this project. The costs and engineering specification will be null and void if this letter
is not signed and returned within 30 days from this date or if customer requests a nevv engineering
study.
Nis. b:rla Scou
INov c-iiber 14. 2007
Page 2
Should you have any questions regarding this «•ork, please feel free to contact me. Thank- you.
Sincerely.
a,,-z ��
Carole Weaver
Contracting Engineer - Network Engineering
760/864-1581
ACCEPTANCE:
Date:
Date:
MMuniFinancial
October 23, 2007
Ms. Arla Scott Via I?mail:
Senior Financial Analyst ascott(d),ci.n_ alm-desert.ca.us
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, California 92260
Re: Proposal to Provide Assessment Engineering Services to the City of Palm Desert
(Palm Desert Country Club Utility Undergrounding District)
Dear Ms. Scott:
As previously discussed, this engagement letter describes our proposed scope of services,
staffing and project fee for providing the City of Palm Desert with Assessment Engineering
Services related to the formation of an assessment district to fund the Palm Desert Country
Club utility undergrounding.
SCOPE OF SERVICES
MuniFinancial and Willdan will participate with the project team to provide the following
services.
DISTR/CT FORMATION SERvIcze
TASK I: KICK-OFF MEETING
A. Conduct initial kick-off meeting via conference call with City staff and consultants to
discuss procedures and responsibilities.
B. Assist City staff and the financing team in establishing a project schedule.
TASK 2: DATA GATHERING
A. Gather information related to the project from the City, the County Assessor's Office
and Auditor -Controller's Office, the financial advisor, and the City's Engineer.
Information will be gathered through meetings, correspondence, and follow-up phone
calls to ensure accuracy and completeness.
B. Review the received property owner petitions to verify that they are valid and that there
is sufficient support to move forward with the formation of an undergrounding
assessment district. Upon determination that sufficient petitions exist to proceed,
execute Certificate of Sufficiency of Petition.
C. Prepare a detailed parcel database showing assessor's parcel number, assessment
number, lot area, front footage, assessed land and structure values, County land use,
development status, ownership, property address, mailing address, and any other
information necessary. The database will be used to calculate each parcel's assessment
amount and to prepare a mailing list for balloting and notice requirements. Provide the
City with an electronic file of this data.
27368 Via Lrdu,hia, Suite 110 Tel (951) 587-3500
Temecula, Califoroda 92590 ivwm.mrwi.iom Fax. (J51) 587-3510
MS. l r/aScoll, Cq) ofYalmi Oeserl
1'rof>ora/to PiouideArrer.riuent F��gitteeiimgSeiricer (Palm Oe it (.'Oiain) Club Utilii) (bidetpoirrrdiag)
Uclober 23, 2007
Page 2 of
TASK 3: REPORT METHODOLOGY
A. Based on information gathered, prepare a preliminary assessment analysis. The analysis
will include assessment rates per land use comparisons, value -to -lien calculations, and
overlapping tax analyses.
We will prepare an assessment roll and related computations from our database
including:
a. Determining the boundary of the district, the assessor's parcels in the boundary
and assigning each parcel an assessment number;
b. Identifying the appropriate measurement factors on which to spread the
assessment lien and assigning factors to each parcel;
c. Computing the assessment lien for each parcel in the district based on the
factors assigned to each parcel and the improvement costs determined to be of
special benefit.
2. The assessment methodology will take into consideration the potential of land use,
density, acreage and view aspects of the properties. The assessment methodology
proposed will be designed to protect the bonds, as well as fairly assess properties
expected to be in the district.
B. Prepare an 18-inch by 26-inch assessment diagram that is suitable for recording, as well
as in an 8-inch by 11-inch format that will include the following items:
1. Legal parcels that will exist at the time of district formation;
2. The assessor parcel numbers or tract and lot information for each parcel; and
3. The assessment number assigned to each lot, corresponding to the assessment roll
C. Based on input from the City, the City Engineer, bond counsel, and our engineering
analysis of general and special benefit; determine the improvements to be included in the
district. Prepare a narrative description to be included in the Engineer's Report. If
required, additional improvement zones will be established and different methodologies
can be developed to address the benefit one area receives from improvements or
services that another area does not receive.
D. Prepare a cost estimate of the improvement items, incidentals and issuance costs related
to the district to be included in the Engineer's Report. The project cost estimate,
including incidentals, will be coordinated with the City Engineer. The bond issuance
costs will be discussed with the team to insure all appropriate costs have been included
correctly; such as, capitalized interest, official statement printing, reserve fund level and
any required bond security.
E. Based on the boundaries of the district, develop the method of assessment, the
improvements to be funded, the proposed development, and any effective tax rate
Limitations. To ensure all considerations have been addressed, the method will be
discussed with the project team, and then finalized for the preliminary Engineer's Report
and the final Engineer's Report. The method will be devised to specifically address
general benefit, the special benefit that each parcel receives, the special and general
benefit ascribed to public agency parcels, and the effect, both financial and political, on
the homeowner or secondary property owners.
TASK 4: REPORT PREPARATION
A. Compile items from Tasks 2 and 3 above into the preliminary, amended and final
Engineer's Reports and submit five (5) copies each for review and comment to City staff
and additional copies to the financing team. Submit up to ten (10) copies each of the
preliminary, amended and final Engineer's Reports to City staff for filing with the City
Council. If requested, we will present the report to City Council and field any questions
received at the Public Hearing. We will file the Engineer's Reports with the
Superintendent of Streets.
The Engineer's Reports will include the following components:
1. A description of the proposed public facilities to be funded;
2. Plans and specifications (or reference to those on file);
3. A detailed cost estimate of the proposed facilities, including estimates of bond
issuance and other incidentals costs; preliminary and final estimate of costs;
4. The assessment roll showing assessor number, parcel identification, and assessment
lien;
5. The method of assessment;
6. The assessment diagram;
7. The maximum annual administrative add -on assessment;
8. A right-of-way schedule indicating right-of-way still to be acquired (if necessary);
Right -of -Way Certificate; Certification of Completion;
9. 1931 Act information and tables; and
10. A public property schedule indicating the public property assessed in the district (if
necessary).
TASK 5: REVIEW AND/OR PREPARE RESOLUTIONS
A. Review Intent Meeting resolutions regarding the proposed assessment.
B. Review Public Hearing resolutions to be used if the assessment is approved and the
district if formed.
TASK 6: PREPARE AND MAIL NOTICES AND BALLOTS
A. Prepare and mail the legal notice of Public Hearing and the protest ballots to conform to
all current legislation. The legal notice will include the time, date and place of the Public
Hearing and will also serve as an information mailer. The property owner ballots will
include the assessor's parcel number, the property owner and mailing address (or the
situs address based on discussions with bond counsel and City staff), the proposed
assessment amount broken down by improvement type, the method of assessment and
the property's specific benefit as required by Proposition 21 S.
B. Coordinate with the City to tabulate all ballots. We have developed a software program
that quickly and accurately tabulates all ballots. Each ballot will include unique barcodes
that can be scanned and tabulated within our program. Typically, we can tabulate
approximately 600 ballots per hour.
MEETINGS
Throughout the formation process, we will attend meetings and participate, as necessary, in
conference calls with the City to facilitate in a timely manner the completion of resolutions,
the Engineer's Report and, as needed, the official statement to allow for bond issuance. This
includes attending up to one (1) Property Owner Workshop, as well as two (2) City Council
meetings to approve the Resolutions of Intention and the Public Hearing. Based on our
hourly fees, we Nvill attend additional meetings, such as utility coordination meetings, at the
City's request.
POST F'oRMAT/QN SERvtcES
If the district is not formed, our services are concluded. If the district is formed, we will
notify property owners of their final assessments and prepayment amounts, assist the
financing team with data required to fund the improvements, and record necessary
documents.
TASK 1 : RECORDING OF DOCUMENTS
Hand -walk the assessment diagram and Notice of Assessment through the City to obtain
appropriate signatures and record the documents at the County of Riverside Recorder
Office.
TASK 2: MAILING OF NOTICE OF CONFIRMED ASSESSMENT
Prepare and mail confirmed assessment apportionment and Notice of Assessment to each
property owner of record within the proposed district. The notice will serve as the beginning
of the 30-day cash collection period and will provide the discounted payoff amount to
property owners that wish to pay off their assessment prior to the sale of bonds. We will
provide certification stating that this task has been completed.
TASK 3: PREPARE PAID/UNPAID LIST
After the 30-day cash collection period, we will coordinate with the City on any payoffs and
prepare the paid and unpaid list of assessments for the finance and final bond documents.
TASK 4: PREPARE OFFICIAL STATEMENT TABLES
As necessary, provide information and review the preliminary official statement or state loan
documents. Develop data tables for the official statement, including value -to -lien summaries,
top owners, development status, and other data required by the financing team.
TASK 5: PREPARE FINAL REPORT
Prepare a final Engineer's Report that includes any cost savings from those originally
estimated and to reflect parcels that paid off their assessments during the 30-day cash
collection period. File the final report with the Superintendent of Streets.
TASK 6: MEETINGS AND OTHER COMMUNICATION
Participate in up to two (2) meetings with City staff, bond counsel, financial advisor, bond
underwriter, appraiser, and other project consultants. (We anticipate this will include two
meetings with the financing team regarding the financing and issuance of bonds.)
We will also be available to answer questions and provide information to property owners,
project proponents, community association representatives, and other interested parties.
rL/EN-r REspaiva/a/Lirms
For this project, the City of Palm Desert will need to provide the following:
• Complete documentation and data related to the district, including electronic copies of
pertinent information;
Cost estimate information and updates from the utilities as appropriate and
• Opinions as requested from the City of Palm Desert City Attorney's Office.
LEGAL OP/N/ONS
In preparing resolutions, petitions, notices, ballots, or other legal documents, MuniFinancial
will provide our professional expertise. Since we do not practice law, we ask that your City
Attorney, or other designated counsel, review the documents. We will assist your attorney in
identifying any pertinent legal issues.
STAFFING AND FEE FOR SERVICES
I will serve as principal -in -charge for this engagement with responsibility for ensuring the
quality of all work products. Mr. Habib Isaac will serve as project manager and the City's
day-to-day contact.
We will provide the services described herein for a not -to -exceed, lump sum fee of
$48,500. Please note the following:
• Our fee will not be contingent on the outcome of the formation of the district.
• This not -to -exceed, lump sum fee includes direct expenses incurred during the
course of work, such as travel expenses and materials, but does not include the
costs associated with mailing of notices and ballots. Any direct expenses incurred will
be billed separately to the City, at our cost, with no overhead markup.
• The City will pay in advance any costs associated with printing and mailing,
requested by the mailing house prior to the mailing drop date.
• We will invoice the City of Palm Desert monthly based on percentage of project
completion.
HOURLY RA7,�Es
Additional services or meetings may be authorized by the City and will be billed at our then -
current hourly consulting rates. Our current hourly rates are:
MUNIFINANCIAL
FINANCIAL CONSULTING SERVICES DIVISION
HC3-uRLY RATE SCHEOLqILee..
fi1TLf✓ �H it ' rA
Division Manager
$200
Principal Consultant
$190
Senior Project Manager
$155
Project Manager
$135
Senior Project Analyst
$120
Senior Analyst
$110
Analyst
$90
Analyst Assistant
$75
Property Owner Services Representative
$50
Support Staff
$45
We appreciate this opportunity to assist the City of Palm Desert and look forward to hearing
from you. Please contact me directly at (951) 587-3528, or via email to chrisfaa,muni.com, if
you have any questions regarding our proposal.
Sincerely,
MUNIFINANCIAL
Chris Fisher, Principal Consultant
Financial Consulting Services Division