HomeMy WebLinkAbout03/02/2010, C5 - AMENDMENT NO.2 TO AB 1600 FEE UPDATE Exhibit A
_- DAVID TAUSSIG.
�J & ASSOCIATES ATTACHMENT 1
Public Financo and Ur*)Pn Economics
5000 Birch Street,Ste,6000,Newport Beach,CA 92660
• Update Equivalent Dwelling Unit(EDU) factors per the November 2009 Water Development Impact
Fees, Water Supply Component study;
• Update Wastewater Catchment Area demographics per revised data provided by City staff
(Appendix B-3);
• Update tables and calculations in Appendix B-4 to reflect all demographic and facilities' cost
revisions;
• Add"mobile home"as a demographic category to the AB 1600 Fee Study Update Model;
• Revise Floor Area Ratio assumptions in the AB1600 Fee Study Update (to be based on City staff
input after DTA runs stress tests on various FARs in current AB 1600 Fee Study Update Model);
• Revise tables related to proposed wastewater facilities and their respective costs;
• Amend methodology related to allocating citywide wastewater facilities' costs to existing and future
development(to be based on MGD methodology);
• All other necessary revisions to the AB 1600 Fee Study Update narrative/model/appendix; and
• All future correspondence between City staff and DTA, including emails and conference calls.
The consulting services described in Exhibit B below are related to tasks that are outside of the Original
Scope of-Work and the Change Order No. 1 Revised Scope of Work, and DTA hereby requests a change
order and increase in budget to cover these efforts related to what has now become the 2010 AB1600
Fee Study Update of the 2002 Study.
CS
City of San Luis Obispo-AB 1600 Fee Study(2010 Update) February 11, 2010
Change Order No. 2 Page A-2
CExhibit A
' ML DAVID TAUSSIG
J K & ASSOCIATES
ATTACHMENT 1 .
Public Fin�zincc and Urban Ecoinomics
5000 Birth Street,Ste.6000,Newport Beach.CA 926M
CHANGE ORDER NO. 2
EXHIBIT B—AUGMENTED FEE SCHEDULE
CITY OF SAN LUIS OBISPO
AB 1600 WATER AND WASTEWATER IMPACT FEE
2010 UPDATE
A. Fee Schedule
The total fee to complete the Revised Scope of Work shall be time and materials, not to exceed an
additional$7,600 for services. Please see Section B below for details regarding the derivation of this fee.
Invoices shall be billed monthly based on services performed in the previous month. In addition to fees
for services, Client shall reimburse DTA for out-of-pocket and administrative expenses by paying a
charge equal to 3% of DTA's monthly billings for labor, plus clerical time @ $75 per hour, travel and
lodging costs, and any outside vendor payments, not to exceed a total of$1,000. Consultant shall stop
all work on project if payment is not received within 45 days after submittal of invoice
Consulting services shall be billed according to the following hourly rates:
Table 1
DTA Hourly Rates
David 'I'aussio & Associates, 111C.
2009-10 Fee Schedule
President $275/Hour
Managing Director $24511our
Vice President $215/11our
Manager $200/Hour
Senior Associate $180/11our
Associate $165/Hour
r
Senior Analyst $150/Hour
Financial Analyst $130/11our
Research Assistant $100/Hour
B. Buffet Increase Calculation (alease see Table 2 for a summary of fees)
Task 1 Consulting Services related to February 25, 2009 AB 1600 Fee Study Update
Example of Specific Tasks
• Review of City staff s.comments to February 25,2009 AB 1600 Fee Study Update.
City of San Luis Obispo-AB 1600 Fee Study (2010 Update) February 11, 2010
Change Order No. 2 Page B-1
Exhibit A
-- DAVID TAUSSIG
J r% & ASSOCIATES
ATTA;'HMENT I
PUblic Finance and Uroan Economics
5000 Birch Street,Ste.6000,Newport Beach,CA 92660
• Memorandum from DTA to City staff regarding City staff s comments to February 25, 2009
AB 1600 Fee Study Update.
• Conference call between DTA and City staff to review DTA's memorandum related to City
staffs comments to February 25, 2009 AB 1600 Fee Study Update comments/suggested
revisions.
• Conference call between DTA and City staff to discuss wastewater facilities cost allocation
to existing and future development; and
• All other correspondence related to February 25,2009 AB 1600 Fee Study Update.
Task 2 Revisions to AB1600 Fee Study Update Model
Example of Specific Tasks
• Update FAR and Water Demand Calculations;
• Update wastewater catchment area demographics;
• Update wastewater facilities cost data
• Amend methodology (and related calculations) for allocating citywide wastewater facilities
cost to existing and future development; and
• All other necessary edits to the Appendices of the AB 1600 Fee Study Update.
Task 3 Revisions to AB1600 Fee Study Update Narrative
Example of Specific Tasks
• As necessary, update all tables and text to complement all edits to the AB 1600 Fee Study
Update Model; and
• Update text to reflect amendment to methodology for allocating citywide wastewater
facilities cost to existing and future development.
Task 4 Additional Consulting Services
Example of Specific Tasks
• Phone calls and emails; and
• Review of Final AB 1600 Fee Study Update prior to City Council Meeting(David Taussig)
Task 5 In-House Meeting and Public Hearing
DTA will attend an in-house meeting to discuss the AB1600 Fee Study Update upon its
completion. There will be an additional fee - discounted by 50% - for this additional in-house
meeting between Steve Runk and City staff.
Furthermore, the public hearing before the City Council is considered to be included in the
Original Scope as the third meeting listed under that Scope, and therefore no additional fee is
required. However, there will be an additional fee - discounted by 50% - for the public hearing
due to the City's request that David Taussig, rather than Steve Runk, attends the public hearing.
cs=�
City of San Luis Obispo-AB 1600 Fee Study(2010 Update) February 11, 2010
Change Order No. 2 Page B-2
Exhibit A
DAVID TAUSSIG
FS & ASSOCIATESATTA.�r
HMENT I
PUblic Finpince and Urban Economics
5000 Birch Street,Ste.6000,Newport Beach,CA 92660
Table 2
Augmented Fee Schedule
WFA Staff Member (1-fours)
Task 1 0.00 11 3.00 8.00 $1,965.00
Task 2 0.00 1 2.00 5.00 $1,255.00 .
Task 3 1.00 2.00 6.00 $1,695.00
Task 4 2.00 2.00 2.00 $1,310.00
Task 5—
In-House Meeting 0.00 10.00 0.00 $1,075.00*
Task 5—
Public Hearin2 10.00 0.00 0.00 $300.00**
Totals 13.00 19.00 21.00 1 $7 600.00
Derivation of Fees
*Additional In-House Meeting(Steve Runk in attendance):
10 Hours x$215/hr=$2,150 x 50%Discount=$1,075
*Public Hearing(David Taussig,rather than Steve Runk, in attendance):
10 Hours x ($275/hr- $215/hr)_$600 x 50% Discount=$300
0—
City of San Luis Obispo -AB 1600 Fee Study ( 010Pdate� February 11, 2010 2 U
Change Order No. 2 Page B-3
Exhibit A
�
-� DAVID TAUSSIG J �& ASSOCIATES
AT TA NMEN T fi
UrbanPublic Finance and
5000 Birch Street,Ste.6000,Newport Beach,CA 92660
Phone:949.955.1500/Fax:949.955.1590
CONSULTANT AGREEMENT-
NOTICE OF AUTHORIZATION
Date: February 11, 2010
Project: City of San Luis Obispo Utilities Department—AB 1600 Water and
Wastewater Impact Fee Study Update
Description of Work: 2010 Update to AB 1600 Fee Study
Budget:Time and materials not to exceed $7,600 for the Services identified below, including expenses.
Professional Services will be billed at the hourly rates listed below:
President $275/Hour
Managing Director $245/Hour
Vice President $215/Hour
Manager $200/1-lour
Senior Associate $180/11our
Associate $165/1-lour
Senior Analyst $150/Hour
Analyst $130/11our
Research Assistant $100/Hour
On or about the fust two weeks of each month during which AB 1600 Consulting Services are rendered hereunder,
Consultant shall present to Client an invoice covering the current services performed and the reimbursable expenses
incurred pursuant to this Agreement and exhibits thereto. Invoices shall be paid by Client within thirty(30)days of
the date of each invoice. A 1.2%charge may be imposed against accounts that are not paid within 30 days of the date
of each invoice. The prevailing party in any arbitration or legal action brought by one party against the other and
arising out of this Agreement shall be entitled, in addition to any other rights and remedies it may have, to
reimbursement for its expenses,including court costs and reasonable attorneys'fees. The non-prevailing party shall
be liable, to the extent allowable under law, for all fees and expenses of the arbitrator(s) and all costs of the `
arbitration.
Consultant: Client:
David Taussig&Associates, Inc. City of San Luis Obispo Utilities Department
David Taussig, President (Authorized Signature)
Brief Description of Please see Exhibit B of the attached Change Order No.2 for a description of
Scope of Services: services related to the 2010 Update of the Water and Wastewater Impact Fee
Study.
J:\PROPOSAL\AB1600\SanLius0bispo�2010 Update\NOA(2010 Update).doc 9
Newport Beach • Riverside* San Francisco•Walnut Creek•Plano,TX
Attachment 2
CITY MANAGER REPORT TRANSMITTAL
PURPOSE
Check One. See Reverse Side for Required Documentation Admin Use Only
❑ Authorize Invitation for Bids(IFB)or Request for Proposals(RFP)
Recommended Vendor
❑ Award Contract
Are there any special award circumstances? Yes ❑ No ❑
If yes,a City Manager Report describing them should be attached.
® Other Action Requiring City Manager Approval
See Reverse Side for Description
REQUEST SUMMARY
Re ort"T-itle S ecification No'.
rx�e O r No. to YeP to Lu i t U s i� d
a a 2 CQ
De artment. - D_"a me t to TransmittalD'ate
Utilities
FinancialiPlan Reference" Buil at Bid a Bid'Airiounf
$ $ $
All formal Bid or RFP packages must be assigned a specification number by Finance before submitting ttiis
APPROVALS Check appropriate box if review is required—see reverse side for guidance
Department of
Fina Technology
Department of: I CI" orne
City En ineer sis Ma "
Human Resources Cit Date'
❑
Routing will occur in the order listed unless otherwise noted by the initiating department.
REVIEWER COMMENTS
DISTRIBUTION AFTER CITY MANAGER APPROVAL
In the case of authorization to invite bids(request proposals)or to award a contract,Administration will return the original package to the
initiating department with a copy to Finance(or to Public Works if it is a construction-related project)after City Manager approval. For all
other City Manager Reports,the Initiating department should indicate below the appropriate distribution after City Manager approval:
etufn �° herd 1 BV"K/4, ; k hes
Attachment 2
city Of
San lues OBISPO
CITY s REPORT a • a
January 28, 2009
TO: Ken Hampian, City Manager
FROM: Carne Mattingly,Utilities Director
Prepared By: Dan Gilmore, Utilities Engineer
SUBJECT: CHANGE ORDER NO. 1 TO AGREEMENT WITH TAUSSIG AND
ASSOCIATES FOR WATER AND WASTEWATER IMPACT FEE UPDATE
RECOMMENDATION:
Approve Change Order No. I to the agreement with David Taussig and Associates in the amount
of$14,510 for additional work on the Water and Wastewater Impact Fee Update.
DISCUSSION:
On November 27, 2006, the CM approved the issuance of Purchase Order No. 30207 to David
Taussig and Associates in the amount of$19,500 for consultant services relating to an update of
the City's Water and Wastewater Impact Fee program. The CM Report, Purchase Order, and
Consultant's Proposal are attached for reference. There have been several rounds of review and
revision, which has resulted in some additional work by the consultant and changes in the scope
of the project. The consultant has submitted Change Order No. 1, which is attached to this
memo, in order to get authorization for this additional work. Staff has reviewed the proposed
change order, and agrees with the scope changes and fee estimates.
FISCAL IMPACT
Approval of Change Order No. I will result in the need to increase Encumbrance #3027 by
$14,510, which will be split 50150 between the.Water and Sewer Funds. Specifically, $7,255 in
additional funding will be needed from both the Water Fund-Contract Services account (500-
55100-7227) and the Sewer Fund-Contract Services account (500-55300-7227). Sufficient
funding is available in Contract Services for Water, while the attached Budget Amendment
Request moves adequate funding into the Contract Services account for Sewer.
ATTACHMENTS
Budget Amendment Request
Change Order No. 1 to agreement with David Taussig and Associates
CM Report, Consultant's Proposal,'and Purchase Order No. 30207
cs=�i
' Attachment 2
IIIIIIIIIIIIIIII���������III �I ���I city of san LUIS os'spo
BUDGET AMENDMENT REQUEST
Requesting Department Fund Name Fund No.
UtilitiesSewer
- 520
REVENUES AND OTHER FINANCING SOURCES
Amendment
Account Description Revenue Account No. Amount
TOTAL
EXPENDITURES AND OTHER FINANCING USES
General ledger No, Capital Project No. Amendment
Account Descri tion Program Account Project Phase Amount
Taxes & Licenses 55341 7301 10,000
Contract Services 55300 7227 10,000
TOTAL $
PURPOSE
Transferring$10,000 available from Sewer Franchise Fees-Taxes &Licenses to Wastewater Admin/Engr
Contract Services to fund contract amendment for Impact Fee Study Update and to balance 7227 for pending
Joumal Entry on a separate transaction. Consultant: David Taussig&Associates (DTA)
Depa nt ad Date Director of Finance Date
01/27/09 ,3
City ministrative Officer Date Entered By Da
Page of
Attachment 2
___ADAVID TAUSSIG
& ASSOCIATES
5000 Birch.Street,Ste.6000,Newport Beach,CA 92660
Phone:949.955.1500/Fax:949.955.1590
CONSULTANT AGREEMENT-
NOTICE OF AUTHORIZATION
Date:
January 27,2009
Project: City of San Luis Obispo Utilities Department—AB 1600 Water and
Wastewater Impact Fee Study Update
Description of Work: 2008 Update to AB 1600 Fee Study
Budget:Time and materials not to exceed$14,510 for the Services identified below, including expenses.
Professional Services will be billed at the hourly rates listed belowc
Presidents. $275/11our
Managing Director $245/Hour
Vice President $215/11our
Manager $200/11our
Senior Associate $180/Hour
Associate $165/Hour
SeniorAnalyst $150/Hour
Analyst $130/Hour
Research Assistant $100/11our
On or about the fust two weeks of each month during which AB 1600 Consulting Services are rendered hereunder,
Consultant shall present to Client an invoice covering the current services performed and the reimbursable expenses
incurred pursuant to this Agreement and exhibits thereto. Invoices shall be paid by Client within thirty(30)days of
the date of each invoice. A 1.2%charge may be imposed against accounts that are not paid within 30 days of the date
of each invoice. The prevailing party in any arbitration or legal action brought by one party against the other and
arising out of this Agreement shall be entitled, in addition to any other rights and remedies it may have, to
reimbursement for its expenses,including court costs and reasonable attorneys'fees. The non-prevailing party shall
be liable, to the extent allowable under law, for all fees and.expenses of the arbitrator(s) and all costs of the
arbitration.
Consultant: Client:
DavSig & Associ e Inc. City of San Luis Obispq Utilities Department
David Taussig, esi t I (Authorized Signa e) M111
Brief Description of a Please see Exhibit B of the attached Change rder No. 1 for a description of
Scope of Services: services related to the 2008 Update of the Water and Wastewater Impact Fee
Study.
J:\PROPOSAL\AB1600\SanLuisObispo\2008 Upilatc\Oi_27-09INOA(2008 Update)v2.doc
Newport Beach •Riverside*San Francisco Walnut Creek•Plano,TX
•
Attachment 2
DAVID TA03SIG
& ASSOCIATES
.,000 Birch Street,Ste.6000, Newport.Beach,CA 92660
CHANGE ORDER NO. 1
EXHIBIT A-REVISED SCOPE OF WORK
City of San Luis Obispo
AB 1600 Water and Wastewater Impact Fee Update
2008 Update
The original scope of work (the "Original Scope") called for David Taussig and Associates, Inc.
("DTA") to update the previous City of San Luis Obispo (the "City" or the "Client") Water and
Wastewater Impact Fee Study of 2002 (the "2002 Study") with updated demographics data and
updated water and wastewater facility lists and costs. As noted in the Original Scope, this
updated information was to be inserted into the original text of the 2002 Study, so that it would
"follow the same format as the 2002 DTA Study`
Work on this update was initiated in 2006, and any comments and/or revisions made prior to and
including those provided by,the City on October 7, 2007 are considered to be included in the,.
Original Scope. In.addition, attendance by DTA staff at up to two additional meetings in San
Luis Obispo are included in the Original Scope, one of which was attended by DTA staff on
September 8,2008. .However, subsequent to the comments provided to DTA by the City through
October 7, 2007, there have been substantial additional changes in demographic data and
facilities costs, as well as modifications to the methodology, format and presentation of the 2002 .
Study, that have been requested by the City to clarify the Study's findings and make it better
reflect current demographic trends.
To date, DTA efforts made to clarify and simplify therep ort have been expended at no additional
cost to the City. However, because the time frame of this update contract has extended beyond
that contemplated by both the City and DTA, it was only prudent that the City provide updated
and more relevant information to be used in the final report. Also, because the 2002 Study was
based on earlier versions of the City's water and wastewater master plans, it became impractical
to apply. revised demographic data to master plan formats that are long outdated. For these
reasons, the services described in Exhibit B below are related to tasks that are outside of the
Original Scope of Work, and DTA hereby requests a change order and increase in budget to
cover these efforts related to what has now become the 2008 Update of the 2002 Study.
Newport Beach•Riverside•San Francisco•Walnut Creek•Plano,.TX
R
f
Attachment 2
DAVID TAV3SIG
F% & ASSOCIATES
6000 Birch Street,Ste.6000, Newport Beach,CA 92660
CHANGE ORDER NO. 1
EXHIBIT B—AUGMENTED FEE SCHEDULE FOR REVISIONS TO
ORIGINAL SCOPE
CITY OF SAN LUIS OBISPO AB 1600 WATER AND WASTEWATER IMPACT FEE
2008 UPDATE
A. Fee Schedule
The total fee to complete the Revised Scope of Work shall be time and materials, not to exceed
an additional $14,510 for. services. Please see Section B below for details regarding the
derivation of this fee.
Invoices shall be billed monthly based on services performed in the previous month. In addition
to fees for services, Client shall reimburse DTA for out-of-pocket and administrative expenses
by paying a charge equal to 3% of DTA's monthly billings for labor, plus clerical time @ $75.
per hour, travel and lodging.costs, and any outside vendor payments, not to exceed a total of
$1,000. Consultant shall stop all work on project if payment is not received within 45 days after
submittal of invoice.
Consulting services shall be billed according to the following hourly rates:
II : 1 • �
rManaging
$275/Hour
Director $245Hour
ident $215/Hour
Manager $200/Hour
Senior Associate $180/Hour
Associate $165/Hour
Senior,Analyst $150/Hour
Financial Analyst $130/Hour
Research Assistant $100/Hour
B. Budget Increase Calculation
1) Convert methodologyfrom a"Planning Area" area of benefit to a"Catchment Area"area
of.benefit for Wastewater Impact Fee calculation. Using revised demographic data
provided by the City, DTA shall revise the demographic data tables, re-run the model to
calculate new fees and revise the text of the report for the demographic section.
Newport Beach •Riverside*San Francisco•Walnut Creek•Plano,TX
Attachment 2
j. DAVID TAU3SIG --
1% & ASSOCIATES
.: .
:1000 Birch Street,Ste.6000,Newport Beach,CA 92660
Calculation of Fee:
Steve Runk: 16 hours * $215/hr=$3,440
Matthew Costello: 0 Hours
2) Update Facility Lists and Costs with new data provided by the City. DTA shall revise
Tables describing facilities and costs, re-run the model and revise the report accordingly.
This fee also includes time related to meetings and phone calls.
Calculation of Fee:
Steve Runk: 4 hours * $215/hr= $860
Matthew Costello: 16 Hours * $165/hr=$2,640 (Includes anticipated fee
for revising narrative relating to revised facilities and
costs)
3) Revised demographics for water and wastewater using population based methodology
similar to that which was used in the City's Water Supply Report. DTA revised
demographic tables, substituted one "non-residential" category for the previous list of
office, .commercial and industrial uses and revised all of the methodology tables
accordingly. DTA re-ran the models and provided new. fee structures. The related text
And tables in the report will be revised.
Calculation of Fee:
Steve Runk: 4.hours * $215/hr=$860
Matthew Costello: 24 Hours * $165/hr=$3,960 (Includes anticipated fee
for revising entire 2008 Water and Wastewater Impact
Fee 2008 Update narrative)
C. Additional Meetings
DTA understands that there will be two additional meetings that DTA will be required to attend.
The public hearing before the City Council is considered to be included in the Original Scope as
the third.meeting listed under that Scope, and therefore no additional fee is required. The
second future meeting, which will be between DTA staff and City Staff to discuss the 2008
Update upon its completion, shall be considered additional consulting services beyond
those included in the Original Scope,and shall require additional fees
Calculation of Fee(Second Future Meeting):
Steve Runk: 10 hours * $215/hr=$2,150
Calculation of Fee (Public Hearing)*:
David Taussig: 10 hours *($275/hr less $215/hr)_$600
*$600 additional fee due to City request that David Taussig attend the Public Hearing rather
than Steve Runk.
Newport Beach• Riverside•San Francisco•Walnut Creels•Plano,TX e 6P�/
r Attachment 2
CAO REPORT TRANSMITTAL
PURPOSE
Check One. See Reverse Side for Required Documentation Admin Use Only
❑ Authorize Invitation for-Bids (IFS)or Request for Proposals(RFP)
Recommended Vendor
❑ Award Contract
Are there any special award circumstances? Yes ❑ No ❑
If yes,a CAO Report describing them should be attached.
❑
Other Action Requiring CAO Approval
See Reverse Side for Description
REQUEST SUMMARY
&`..Y `4.-tP.#i.�.� w�'2 »`� �S�in..�w'- ' s'sKtiE?i`,vYx•ry q.,Y,. ..�i vivre 'a:�T ^�,S`—'•F� .i-.
Update to Water and Wastewater Impact Fee Study
Oe rtariiit � } Wim= t'Head "rovalcc' , �T[ansmittaNOate?"
Utilities 11/16/06
F.inaricia"YPIan;Refe'ren"ce gr 7 ;; ;� B.ud`t.......iil'.EsUma#e ' YAmoif_nf
$ $
All formal Bid or RFPpwkages must be assigned a specification number by Finance before submitting this form.
APPROVALS Check appropriate box ifreviewis required—see reverse side for guidance
x
s �r s:. .F.ina Informauoon-1 echnb a�
❑ ❑
De�'tfneriE;of7 `','.`C.,�`tt''x
❑ 11 - 2c �
Human Resources -Jx z �r m •:. w
m ms ra VeOfficer. :` ;rt
❑
Routing will occur in the order listed unless otherwise noted by the initiating department.
REVIEWER COMMENTS
DISTRIBUTION AFTER CAO APPROVAL
In the case of authorization to invite bids(request proposals)or to award a contract Administration will return the original package to the
initiating department with a copy to Finance(or to Public Works if it is a construction-related project)after CAO approval. For all other CAO
Reports,the initiating department should indicate below the appropriate distribution after CAO approval:
Forward budget amendment requests and purchase order to Finance for processing. Forward a copy of
signed CAO transmittal form to Kathe in Utilities.
C5�� 7
City Of
i san lues OBISp0
AO REPORT
November 16, 2006
TO: Ken Hampian, City Administrative Officer
FROM: John Moss, Utilities Director
Kathe Bishop, Senior Admin Analyst)o
SUBJECT: Update to Water and Wastewater Impact Fee Study
RECOMMENDATION
1. Approve the use of David Taussig and Associates, for consultant services to.update the
Citywide AB 1600 Fee Study, not to exceed$19,500,
2. Approve use of available General Carryover, in the amount of$9,750 from the Water Fund .
and$9,750 from the Sewer Fund, to fund.the purchase order for consultant services.
3. Authorize the Finance Manager to execute the purchase order.
DISCUSSION
The City Water and Wastewater Impact Fees were first implemented in 1991. In 2002, the fees .
Were updated with a study performed by David Taussig. and Associates including the .
establishment of fees specific add-on areas. Later in 2004, Finance staff updated the Water
Impact Fees to include the Nacimiento Pipeline and Water Reuse supply projects and Utilities
staff updated the Wastewater Impact Fees to include the Tank Farm Gravity Sewer and Lift
Station project.
Although the Water System MasterPlan and the Wastewater Master Plan Update are both dated
October 2000, project construction and material costs have increased significantly since the 2004
fee study update. For example, on the Water Treatment Plant.upgrade project the Engineer's
estimate for construction was $9.6 million, with the actual construction award at $12.1 million.
Another example is the Nacimiento Pipeline water supply project with the September 2006
revised construction estimate at $17 million greater than previous projections. For wastewater, a
regulatory upgrade is projected in 2007-08 at $5'.5 million and a capacity upgrade at the Water
Reclamation.Facility is planned in 2010-11 estimated at $15 million. This fee study update will
include revising construction cost estimates for Master Plan projects based on current and
projected construction market trends.
Attachment 2
Update to Water and Wastewater Impact Fee Study page 2
Utilities staff recommends moving forward with. a Citywide AB 1600 Fee Study Update
performed by David Taussig and Associates (DTA) based on DTA's performance with the fee
study update in the past. With the model DTA developed for the City in 2000 which includes
master plan projects, land use demographics and fee specific add-on areas, the consultants will be
able to update the Fee Study within approximately eight weeks, excluding Holidays. The process
will begin with a kick-off meeting to include. Consultants and City staff from Finance,
Community Development and Utilities.
Utilities staff plan to bring the updated Water and Wastewater Impact Fee recommendations to
Council for adoption in March 2007, to allow adequate time for fee changes to be incorporated
into the water and sewer fund projections for the 2007-09 Financial Plan.
FISCAL IIVIPACT
Funding for this study ($19,500) is currently available as General Carryover in Utilities operating
budget. The costs will be distributed evenly between the two funds. The Water Fund currently
has $93,000 in carryover and the Sewer Fund has $82,700 in carryover to support this request.
ATTACHMENTS
1. Purchase Order
- Exhibit A-Proposal
Exhibit B -Conditions to Purchase Order
2. Budget Amendments
i47 roc H"6 r
city Of San Luis OBISPO
PURCHASE ORDER ATTAC14MW2
OURCHASE ORDER NO. 3 02,D7
EfSend copy to vendor with any attachments
�Do not send to vendor
VENDOR DAVID TAUSSIG AND ASSOC, INC SHIP TO CITY OF SAN LUIS OBISPO
ADDRESS 1301 DOVE STREET, SUITE 600 ADDRESS UTILITIES DEPARTMENT
NEWPORT BEACH, CA 92660 879 MORRO STREET
ATTN: DAVID TAUSSIG SAN LUIS OBISPO CA 93401
(949) 955-1500 ATTN: KATHE BISHOP
(805).781-7206
Quote General Ledger Account Capital Project
Number Date Fund Program Acct Project Phase Description
See Attached500 55100 7227 Consultant services to perform
Proposal 10/25/06
r
520 55300 7227 A61600 Fee Study Update
TOTAL
Requesting Department Prepared By Dep Approval Finance/Administratior
Utilities Kathe Bisho
instructions:
CCOUNTING USE
Department:Complete form and obtain departmental approval.Attach quotes, d mmaries,or CAO report
(as required by purchasing guidelines). Route to Finance or Admin for appr v Verified By
Finance:After final approval,assian PO number and reh vn rnm
Attachment 2
z�'xHI,6 r A
� r ASsocinTEs IN
DAVID TAUSSIG AND ASSOCIATES, INC.
PROPOSAL FOR AB 1600
CITYWIDE WATER AND WASTEWATER IMPACT FEE UPDATE
L INTRODUCTION
UNDERSTANDING OF THE.PROJECT
It is the understanding of David Taussig &Associates, Inc. ("DTA")that the City of San
Luis Obispo ("the City') wishes to update its existing Citywide Water and Wastewater.
Impact Fee Program to ensure that future residential, commercial, and industrial
development pays its proportionate share of the water and wastewater facilities needed to
accommodate that development without adversely impacting the cost or level of service
for existing residents or businesses. The need for the update is driven by changes in
demographics, facility requirements, time inflated facility costs and changes in the
geographical areas of benefit.
_The City adopted its initial impact fee study in 1991, updated the fee program in 2002
with a study performed by DTA, and updated the fee program again in 2004 through a
report provided by the City of San Luis Obispo, Utilities Department. The extent of the.
changes mentioned above has caused the City to consider this current update effort.
DESCRIPTION OF DAVID TAUSSIGAND ASSOCIATES,ING
DAVID TAUSSIG AND ASSOCIATES, INc. is a public finance and urban economics
consulting firm specializing in infrastructure and public services finance. Based in
Newport.Beach, Riverside, and San Ramon, California, DTA acts as consultant to both
public and private sector clients involved in land development. DTA's consulting
services include:
• Public Financing Plans and Strategies
• Speciaf Tax and Assessment Engineering
• Development Impact Fee.Justification Studies
• Fiscal and Economic Impact Analyses
• Redevelopment Finance
Economic Development and Revitalization Studies r
• Real Estate Economics
'DTA specializes in the preparation of plans and the implementation of public finance.
mechanisms used to fund the construction of public capital facilities and the provision of
public services. Since its incorporation in 105, DTA has been involved in the
implementation of over 2,200 public financing programs, using mechanisms such as fee
City of San Luis Obispo Page I
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programs, Mello-Roos community facilities districts,assessment districts, revenue bonds,
certificates of participation, Marks-Roos bond pools, tax increment revenues, and other
local public financing options. Total authorized bonded indebtedness for these programs
currently exceeds $50 billion.
As the vast majority of DTA's work has involved the actual implementation of financing
programs, as opposed to only the planning process, we bring a very different orientation
than most firms to the preparation of financing studies. Financing plans prepared by
most other funis are generally limited in scope and largely descriptive in nature. In
contrast, DTA's financing strategies are guantitative, specific, and prepared for
imulementation. DTA provides detailed revenue projections from all available sources
and matches feasible revenue streams with costs for all public improvements and services
projected to be required in future years. The plans prepared by DTA range from the
quantitative analysis of a single financing mechanism for an individual facility, to
preparation of a comprehensive public financing plan, covering multiple facilities and
public services through a series of financing mechanisms. We at DTA feel strongly that
our financial analyses provide public officials, as well as landowners and other interested
parties, with the level of information necessary to make 'fully informed decisions
regarding land use, infrastructure, and public services financing issues.
Typically DTA's publicfinancing studies include a .benefit cost analysis and
determination of nexus between the facilities financed and the financing mechanism. As
further explained below, DTA.has extensive experience in performing impact fee studies
that meet the requirements of.California Government Code 66000 (also known as AB
1600). DTA has prepared AB 1600 Fee Justification studies and analyses involving fees
for a variety of public improvements, including water and wastewater, water, sewer,
flood control,police, fire,parks and government services facilities.
DTA has an enviable reputation for producing high quality work in a quick and efficient
manner to correspond.with even the most aggressive financing schedule. DTA's clients
also receive high levels of personal attention from senior staff, with.the President or a
Vice President always available to meet with public agency staff and other groups. DTA
has grown to a current staff of over eighty professional employees. Staff members come
from backgrounds in a number of fields, including land development, public
administration, civil engineering, investment banking, economic consulting,
redevelopment, construction lending and land-use planning. All of DTA's personnel have
considerable experience in computer-based financial analysis.and modeling, which is a
key component of the firm's consulting services.
2.EXPERIENCE
This section of our proposal presents a general discussion of DTA's public finance
consulting experience and a specific discussion of development impact fee studies
recently completed by the firm.
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2.1 DTA's FINANCIAL CONSULTING EXPERIENCE
DTA is currently providing public finance consulting services to virtually everymajor.
County in Southern California, including the Counties of Imperial, Los Angeles, Orange,
Riverside, San Bernardino and Santa Barbara. In the Central Coast area, we are currently
engaged by the City of Paso Robles and the County of San Luis Obispo on public finance
projects, and recently completed several projects for the City of Atascadero. Southern
Califomia cities to whom we have successfully:provided financial consulting services
include the Cities of Adelanto, Anaheim, Beaumont, Beverly Hills, Cathedral City;Chula
Vista, Encinitas, Fontana, Fullerton, Glendale, Hawthorne, Hesperia, Irvine, Irwindale, .
Lake Forest, .Lancaster, La Quinta, Lawndale, Long Beach, Los Angeles, Oceanside,
Ontario, Oxnard, Palmdale, Pasadena, Placentia, Rancho Cucamonga, Rialto; Riverside,
San Bernardino, San Diego, San Jacinto, San Marcos, Santa Clarita, Thousand Oaks,
Torrance, Tustin. and Vista, among others. . DTA has also provided similar consulting
services to.numerous school districts and water districts in Southem California, as well as
dozens of public agencies throughout Central and Northern Califomia, including the
Cities of Fresno, Sacramento,San Francisco and San Jose.
DTA's objective in working with these agencies has been to enable both property owners
an&• public agencies. to benefit from the use of public financing within existing
development, or within a newly developing area. When developing a new program, the
firm recognizes thateach client and project is unique, with specific needs and
philosophies. DTA's goal is to listen carefully to its client's concerns, to identify and
-understand the variables associated with each project,_and to use these concerns and
variables in arriving at the ideal financing solution.
2.2 DTA's DEVELOPMENT IMPACT FEE STUDY QUALIFICATIONS AND EXPERIENCE .
DTA understands that the City will need a legally supportable analysis of the levels of
water and wastewater impact fees required for new development within the City,
culminating in a written report recommending appropriate fee justification methodologies
and fee levels. DTA would provide professional and technical assistance to the City in
preparing a comprehensive review of required impact fee levels which would be
documented in a written report prepared pursuant to Califomia Government Code 66000
(AB 1600). At the request of the City, DTA could propose a schedule which would-
enable our firm to complete the required services in a timely manner. DTA's final report
would present a fee methodology which satisfies the."rational nexus" tests.used by the
courts to determine the legality of development.exactions.
DTA's AB 1600 fee studies typically include.the following components:
r
• Background Review
• Determination of Areas of Benefit
• Population, Dwelling Unit and Commercial/Industrial Development Projections
• Facility/Capital Needs Identification
• Calculation of Supportable_Fee Levels
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• Development of New Ordinances
im Preparation of Final Report
DTA personnel have extensive experience in the fields of public finance planning and
civil engineering, and have prepared numerous studies to determine the type, number,
and level of fees. Our firm's experience ranges from city and county AB 1600 fee studies
to school fee justification analyses. Having been subjected to legal as well as developer
scrutiny, DTA has developed a streamlined approach and methodology which establishes
a rational and substantial nexus between new development and the need for public
facilities.
DTA has just completed an.AB1600 fee study update for all public facilities on behalf of
the City of Paso Robles, a countywide transportation and transit study for the County of
Sacramento, and a fee study for roadways, public safety and government services
facilities for the County of Colusa. DTA has completed numerous AB 1600 studies over
the past two years for numerous public agencies, including the cities of Blythe, Brawley,
Calexico, Cathedral City, Mammoth, Perris, Red Blu$ San Francisco, San Jacinto, and
Torrance. .Furthermore, DTA is uniquely qualified for this task because our firm
prepared the Countywide Water and Wastewater Impact Fee Update Study for the City of
San Luis Obispo, Utilities Department, in 2002,as mentioned above. The 2002 study is
essentially the basis of this update effort, hence most of the demographic, facility list and
analysis work will not need to be repeated by DTA staff.
References: Mr. John Moss
Utilities Director
Utilities Department
City of San Luis Obispo
879 Morro Street
San Luis Obispo,CA 93401
Phone: (805)781-7218
Email: imoss(@slocity.org
Mr. John Falkenstein .
City Engineer
City of El Paso de Robles
1000 Spring Street
Paso-Robles, CA=93446. .
Phone: (805) 237-3860
Email: iialkenstein(abrcity.com
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AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006
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3. PROJECT TEAM
DTA has assembled a project team with the breadth of experience needed to assist the
City in the update of their development impact fee study. Our team members are:
• David Taussig,AICP, President
• Steven Runk, P.E., Senior Manager of Engineering Services
• Ferdinando Guerra, Senior Analyst
Mr. David Taussig will act as Principal-in-Charge and will oversee any projects and
supervise DTA personnel. Steve Runk, P.E., will act as Project Engineer and Project
Manager and will handle the day-to-day assignments related to this project. He will be
assisted by Mr. Ferdinando Guerra and other DTA support personnel. The following
section provides brief resumes of the senior members of our project team for this
engagement:
DAVID TAUSSIG,AICP,President of DTA,has thirty years of experience in the fields
of real estate finance and urban economics. His areas of expertise include municipal
finance programs for infrastructure and public facilities development, fiscal and
redevelopment impact analysis, and land development project feasibility studies.
Mr. Taussig has an extensive background in computerized financial analysis. He is also
experienced in forward planning and familiar with a variety of project processing issues,
based on years of working as a land planner and development manager. Since founding
DTA in 1985, Mr. Taussig has developed a number of state-of-the-art analytical methods
and modeling approaches, as well as personally directing the formation of more than 750
public financing districts, and the subsequent sale of tax-exempt municipal bonds. In
addition, he has overseen the preparation of numerous feasibility and impact studies
involving computerized analysis of project cash flows and/or impacts on public agencies
and landowners. This has included many .fiscal impact analyses, as well as fee
justification and redevelopment impact studies.
Prior to establishing his own firm, Mr. Taussig was Director of Finance for Gfeller
Development Company, where he was responsible for.all take-out and construction
financing for the Company's residential projects and infrastructure. He also prepared
development project proformas which were used by prospective lenders and joint venture
partners to evaluate the Company's proposed projects.
Mr. Taussig_was previously employed for six years by Mission Viejo Company (MVC)
Where, as Manager of Housing and Community Development, he was involved in the
planning and financing of two planned communities containing over 50,000 Domes, Mr.
Taussig was responsible for a substantial portion of MVC's mortgage financing and
infrastructure financing during that period. Before joining MVC, Mr. Taussig was
employed as Manager of Housing Programs for the Jack G. Raub Company, where he
was responsible for mortgage revenue bond financing and affordable housing projects.
City of San Luis Obispo page 5
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Mr. Taussig also worked for five years in the public sector as the administrator of a
federal housing and community development program, and as a land-use planner. His
educational background includes a Masters in City Planning from the University of
California at Berkeley and a B.S. in Economics from Comell University. He is a full
member of the American Institute of Certified Planners.
STEPHEN RUNK, P.E., Senior Manager of Engineering Services, has more than 30
years of experience in the design and construction management of major civil
engineering projects, including roadways, bridges, sewer and water improvements, and
flood control facilities, as well as grading for public works projects and the construction
of commercial and industrial buildings. Mr. Runk's specific responsibilities have
included design, quality control; specifications, estimates, construction bid packages,
construction coordination and construction management, cost analysis and control,
scheduling, manpower forecasting, staffing and.marketing. He has also assisted public
agencies and developers in the procurement of funding from Caltrans and other federal
and state agencies.
Mr. Runk has a proven track record.of meeting schedules and.adhering to budgets. As a
construction manager, .he has worked with Caltrans. and local agencies to resolve
community issues and to negotiate scope changes with contractors to ensure the timely
and satisfactory completion of construction projects. He has also worked with DTA staff
on the establishment of Assessment Districts and the preparation of AB 1600
Development Fee Justification Studies. Mr. Runk is currently completing AB 1600 Impact .
Fee Studies for the City of Paso Robles and the County of Sacramento
Prior to joining David Taussig & Associates, Mr. Runk,.as Senior Construction Manager
for Hohnes &Narver, Inc., successfully completed the construction of SR-41 Freeway in
Fresno County, which was the County's first Measure "Cl sales tax funded freeway.
Prior to this project, Mr. Runk successfully completed SR-71 Freeway in Chino/Chino
Hills, Calif. This $98 million project was the first Measure "M" sales tax funded project
for the San Bernardino Association of Govemments. Mr. Runk's responsibilities on both
of these projects included contract management, quality control, public relations, cash
flow analysis, project closeout and compliance with Federal and State. funding.
requirements.
Previously, Mr. Runk held positions of responsible charge with various public and private
engineering entities in which he delivered projects requiring a wide variety of
engineering expertise.. He holds a.B.S. in Engineering from the University of California
at Los Angeles and'a M.S..in Civil) ngmeenng from.UTj of—',$ ate Ifn>yer iT}�at hong
Beach. Mr. Runk is a registered Civil Engineer in. the states of.California and
Washington.. r
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AB 1600 Water and Wastewater Impact Fee Update.Study October 25,2006
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3.1 WORK ALLOCATION AMONG PROJECT TEAM
Team Member Role Share of Project Estimated Hours
David Taussig Principal-in-Charge 10% 7 - —
Steve Runk,P.E. Project Engineer 50% 35
Analysts/Support Personnel 40% 28
Totals 100% 70
4.DTA'S WORKSCOPE
This section of our proposal presents DTA's project methodology, performance and cost
schedule,hourly fee schedule and terms.
4.1 DTA's PROJECT METHODOLOGY
DTA's project methodology encompasses all of the services necessary for the preparation
of an AB 1600 Water and Wastewater Impact Fee Study.
4.1.1 Review of Existing Fee Structures and Ordinances. DTA will review the 2004
Update Study and recent information provided by the Utilities Department to become
familiar with changes to demographics, facilities and costs subsequent the preparation of
the 2002 DTA study
4.1.2 Meet with City Staff DTA will review changes in demographics, facility
requirements, costs, changes in areas of benefit (such as changes related to the outcome
of the Dalidio area annexation, or non-annexation process) and the inclusion of financing
(bond interest) costs needed to insure the timely implementation of facilities. With
assistance from the development community, a reasonable timeline of development
absorption and implementation of projects will be identified and agreed to by City,
developers and DTA. Also, the status of existing fee accounts and the identification of
any outside revenue sources will be determined for inclusion in the revised needs list.
4.1.3 Revise Demographics, Needs List, and Area of Benefit descriptions. DTA, using
the same format as presented in the 2002 Study, will revise the demographic-data and the
needs list to reflect the changes identified in the previous tasks. Areas of benefit will be
adjusted as-'app ropriate: Iii`anticipation-of an unsuccessful annexation of the Dalidio-
Ranch,
alidio-Ranch, and if instructed by the City, DTA will modify the Dalidio Ranch, Madonna,.and
McBride benefit area to not include the Dalidio Ranch annexation. This work item is
optional for the City, and DTA Would proceed only upon authorization from City Staff.
4.1.4 Provide a time line analysis of revenues and costs, and the resulting level of
bond interest required to make the improvement timeline work. Using information
obtained above, DTA will use an appropriate time line model, such as net present value
City of San Luis Obispo page 7
AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006
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167MI MW ASSOCIATES IN
analysis, to identify the expected annual revenues and expected capital expenditures, and
to determine the cash shortfalls over the study period. This shortfall will be financed by
bonded indebtedness, or any other such financing vehicle that the City chooses, and the
amount of interest cost so determined will be included in the fee calculation. This work
item is also optional, and DTA would proceed only upon authorization from City Staff.
4.1.5 Calculation of updated fee amounts for single family residential, multi-family
residential, commercial and industrial land uses. The fee study methodology must
meet the nexus or benefit requirements of AB 1600, which requires that there be a nexus
between the fees imposed, the use of the fees, and the specific development projects that
will be paying these fees. Furthermore, there must be a relationship between the amount
of the fee and the cost of the water and wastewater improvements. In order to impose a
fee as a condition for a development project, the methodology must include the
following:
• Identify the purpose of the fee.
• Identify the use to which the fee is to be.put. If the use is to finance the acquisition
and/or the construction of public facilities,the specific facilities must be identified.
• Determine that there is a reasonable relationship.between the fee's use and the type of
development project on which the fee is imposed.
• Determine that there is a reasonable relationship between the need for the public
facility and the type of.development project on which the fee is being imposed.
Implicit in these requirements is the stipulation that a public agency cannot impose a fee
to cure existing deficiencies in public facilities or improve public facilities beyond what
is required based on the specific impacts of new development. -
This task includes calculating the appropriate fee amounts based upon projected water
and wastewater facilities. costs, existing and future development projections, and
recommended apportionment methodologies, as used in the 2002 DTA Study.
4.1.6 Draft and Final.Report and Presentations. This task entails preparation of a
draft report, final report and presentations to the City Council, as well as representation of
the fee program at the public hearing, and includes the following subtasks.
(a) Prepare and Present Draft Report. Based on the work completed in Tasks
4.1..1 through 4.1.5, DTA will prepare a draft report for consideration.by the City.
The report will be prepared pursuant to the standards of AB 1600 and will follow
the same format.as the 2002 DTA Study:
• Executive Summary, r
• Population Projections,
• Needs List, and
• Fee.Calculations and Recommended Fee Amounts.
DTA will then meet with City staff to present the draft report.
City of San Luis Obispo Page 8
AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006
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(b) Prepare and Present Final Report to City Council and.Represent Fee Program
at Public Hearing. DTA will make revisions as requested by City staff and prepare a
final report to be presented to City staff and the stakeholders at a public bearing. DTA
will respond to questions at the public hearing on the report and/or the new/amended
ordinances.
4.1.7 MEETINGS. This task includes three meetings at the City; (1) a meeting with City
staff to review changes in demographics, facilities, areas of benefit and bond financing
needs, (2) a second meeting with City staff to review the draft report, and (3) the public
hearing before the City Council
4.2 NOT TO EXCEED COSTS AND SCHEDULE OF HOURLY FEES
DTA's proposed compensation for the completion of the work identified in Section 4.1.1
through 4.1.6 (but, not including optional items 4.1.3 and 4.1.4) is a time and materials
fee, in accordance with the fee schedule attached, not to exceed $10,000 plus expenses,
without prior authorization from the City. Expenses include travel, photocopying, data,
maps, facsimile and telephone calls, and clerical services. The expense budget for these
services shall be an amount not to exceed $2;000. Work completed on optional items
4.1.4 and 4.1.5 shall be billed on a time and material basis, not to exceed an additional
$2,500. Meetings identified in Section 4.1.7 will also be billed on a time and material
basis billed at the hourly rates shown on the attached fee schedule, applied to the DTA
staff attending the meetings at the request of the City. For budget purposes an additional
$5,000 is proposed to cover the three meetings suggested.
Summary of Maximum fees.for Budget Purposes
Update Citywide AB 1600 Study....................:....................$.10;000
Dalidio Ranch changes and interest carry analysis (Optional).........$2,500
Meetings at-the City, 3aotal(Optional)...................................$5,000
Reimburseable expenses;....................................................$2,000
Maximum Budget......................................::...................$19,500
r
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AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006 C �a9
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TABLE 1
DAVID TAUSSIO AND ASSOCIATES,INC.
HOURLY FEE SCHEDULE FOR
CITY OF SAN LUIS OBISPO
WATER AND WASTEWATER IMPACT FEE UPDATE STUDY
Classification Hourly Rate
President $240
Senior Vice-President $225
Vice President $215
Senior Manager(AVP) $200
Manager $190
Senior Associate $170
Associate $150
Senior Analyst $135
Analyst $125
Research Assistant $105
4.3 PROPOSED TERMS
Consultant shall charge only for time and materials up to the proposed budget maximum,
subject to the limitations below, unless otherwise agreed upon by Client. Consultant
shall charge the hourly rates for services presented in Table 1 above.
Client will make monthly progress payments upon presentation of invoice by Consultant
providing details, of services rendered and expenses incurred unless Client desires to
make.other arrangements. At Client's request, services in addition to those identified in
the Scope of Work may be provided if the total fee to complete the tasks selected is less
than the maximum fee. Alternatively, if the selected tasks can be completed for less than
the maximum, only the hours actually expended will be billed.
In addition to fees for services, Client will reimburse Consultant for travel, photocopying,
data, facsimile and telephone calls, clerical services, and other out-of-pocket expenses up
to the amounts specified hereinabove.
The costs in Section 4.2 include attendance at a total of three meetings with City staff,
stakeholders. and the City Council. Attendance at more. than three meetings or
preparation of more than one.set of major.revisions to the draft report shall be considered
Additional Work and may require additional billings at the hourly,rates identified in
Table 1 if they cause the maximum fee to be exceeded.
Detailed written responses or meetings with stakeholders to resolve disputes will be
classified as Additional Work and billed at hourly rates listed in Table1 above.
City of San Luis Obispo page 10
AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006
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5. CONFLICT.OF INTEREST DISCLOSURE STATEMENT
DTA does not have any past, ongoing, or potential conflicts of interest that would impact
our ability to complete the project.
6.AUTHORIZED REPRESENTATIVE
David Taussig is the authorized representative to negotiate and execute contracts for
David Taussig and Associates, Inc. Questions regarding the proposal and our scope of
services may be directed to either Mr. Taussig or Mr. Steve Runk. They may be reached
at:
David Taussig Steve Runk
1301 Dove Street, Suite,600 1301.Dove Street, Suite 600
Newport Beach, CA 92660 - Newport Beach, CA 92660
Tel: 1-800-969-4382, ext. 219 . TeL 1-800-969-4382. ext: 212
Fax: 1-949-955-1590 Fax: 1-949-955-1596*
e-mail: david@taussig.com e-mail: srunk@taussig.com
J:\PROPOSAL\AB1600\SanLuisObispo\2006 Update\San Luis Obispo Update proposal rl.doc
City of San Luis Obispo page 11
AB 1600 Water and Wastewater Impact Fee Update Study October 25,2006 .2 .
Attachment 2
Exhibit B
Conditions on Purchase Order to David Taussi & Associates
1. Compensation for Authorized Additional Expenses. To receive compensation for additional
expenses outside the scope of the project work, David Taussig &Associates ("the Contractor")
shall obtain prior written authorization from the City to incur those expenses. Compensation for
these additional expenses shall include time and materials only without markup.
2. Ability to Perform. The Contractor warrants that it possesses all capital, equipment, labor,
materials, and licenses necessary to carry out and complete the work hereunder in compliance
with any and all federal, state;county,city,and special district laws,ordinances, and regulations.
3. Laws to be Observed. The Contractor shall keep itself fully informed of and shall observe and
comply with all applicable state and federal laws and county and City of San Luis Obispo
ordinances,regulations and adopted codes during its performance of the work.
4. Payment Terms. The City's payment terms are 30 days from the receipt of an original invoice
and acceptance by the City of the services provided by Contractor(Net 30).
5. Payment of Taxes. The contract prices shall. include full compensation for all taxes that
Contractor is required to pay.
6. Audit. The City shall have the option of inspecting and/or auditing all records and other written
materials used by Contractor in preparing its invoices to City as a condition precedent to any
payment to Contractor.
7. I?ermits and Licenses. The Contractor shall procure all permits and licenses, pay all charges
and fees,and give all notices necessary.
8. Immigration Act of 1986. Contractor warrants on behalf of itself and all sub-contractors
engaged for the performance of this work that only persons authorized to work in the United
States pursuant to the Immigration Reform and Control Act of 1986 and other applicable laws
shall be employed in the performance of the work hereunder.
9. Contractor Non-Discrimination. In the performance of this work,Contractor agrees that it will
not engage in; nor permit such sub-contractors as it may employ, to engage in discrimination in
employment of persons because of age, race; color, sex, national origin or ancestry,.sexual
orientation, or religion of such persons.
10. Interests of Contractor. Contractor covenants that it presently has no interest, and shall not
acquire any.interest director indirect or otherwise, which w6W&comet in any`manner or degree
with the performance of the work. hereunder.. Contractor further covenants that, in the
performance of this work, no sub-contractor or person having such an interest shall be employed.
Contractor certifies that no one who has or will have any financial interest°in performing this
work is an officer or employee of the City. Itis hereby expressly agreed that, in the performance
of the:work hereunder, Contractor shall at all times be deemed an independent contractor and not
an agent or employee of the City.
11. Hold Harmless and Indemnification. Contractor. agrees to defend, indemnify, protect and
hold the City and its agents, officers and employees harmless from and against any and all
claims asserted or liability established for damages or injuries to any person or properly,
e =3�
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ATTACHMENT 2
Exhibit B:Conditions on Purchase Order to David Taussig&Associates Page B-2
including injury to Contractor's employees, agents or officers which arise from or are
connected with or are caused or claimed to be caused by the acts or omissions of Contractor,
and its agents, officers or employees, in performing the work or services herein, and aff
expenses of investigating and defending against same; provided, however, that Contractor's
duty to indemnify and hold harmless shall not include any claims or liability arising from the
established sole negligence or willful misconduct of the City, its agents, officers or employees.
12. Contract Assignment. Contractor shall not assign, transfer, convey or otherwise dispose of the
contract, or its right, title or interest, or its power to execute such a contract to any individual or
business entity of any kind without the previous written consent of the City.
13. Termination. If, during the term of the contract, the City determines that Contractor is not
faithfully abiding by any term or condition contained herein,.the City may notify Contractor in
writing of such defect or failure to perform; which notice must give Contractor a 10 (ten).
calendar day notice of time thereafter in which to perform said work or cure the deficiency.
If Contractor has not performed the work or cured the deficiency-within the ten days specified in
the notice, such shall constitute a breach.of the contract and the City may terminate the contract
immediately by written notice to Contractor to said effect. Thereafter, neither party shall have
any further duties,obligations, responsibilities or rights under the contract.
In said event, Contractor shall be entitled to the reasonable value of its services performed from
the beginning date in which the breach occurs up to the day it received the City's Notice of
Termination, minus any offset from such payment representing the City's damages from such
breach. "Reasonable value" includes fees or.charges for goods or services as of the last
milestoneor task satisfactorily delivered or.completed by Contractor as may be set forth in the
Agreement payment schedule; compensation for any other work, services or goods performed or
provided by Contractor shall be based solely on the City's assessment of the value of the work-in-
progress in completing the overall workscope.
The City reserves the right to delay any such payment until completion or confirmed
abandonment of the project, as may be determined in the City's sole discretion, so as to permit a,
full and complete accounting of costs. In no event, however, shall Contractor be entitled to
receive in excess of the compensation quoted in its proposal.
14. Ownership of Materials. All original drawings, plan documents and other materials prepared
by or in possession of Contractor as part of the work or services under these specifications shall
become the permanent property of the City, and shall be delivered to the City upon demand.
15. Release of ReportsandInformation. Any reports, information, data, or other.material given
to, prepared by or assembled by Contractor as part,of the work or services under these
specifications shall be the property of City, and shall not be made available bo any individual or
organization by Contractor without the prior written approval of the City. .
16: Copies of Reports and Information. If the.City requests additional copies of reports;drawings,
specifications, or any other material in addition to what Contractor is required to furnish in
limited quantities as part of the work or services under these specifications, Contractor shall
provide such additional copies as are requested, and City shall compensate Contractor for the
costs of duplicating of such copies at the Contractor's direct expense.
� ¢177WCHA';6A177 Attachment 2
� I�����IIIIIIIIIIIIIIIII�� city of san tU1S OBISPO
i BUDGET AMENDMENT REQUEST
lRequesting De artment Fund Name Fund No.
Utilities lWater
500
REVENUES AND OTHER FINANCING SOURCES
Amendment
Account Description Revenue Account No. Anount
TOTAL
EXPENDITURES AND OTHER FINANCING USES.
General Ledger No, Capital Project No. Amendment
Account Descri tion Program Account Project Phase Amount
General Carryover 55100 799/ (9,750
Contract Services 55100 7227 9,750
TOTAL $
PURPOSE
Per CAO Report dated 11/16/06 transferring$9,750 from General Carryoverto fund Contract Services for consultant
services to perform A61600 Fee Study Update. Consultant: David Taussig and Associates, Inc.
e a e ead Date Directorof Finance Date
11/16/06 I! t
Ci inistrative Officer Date EntehdBy
ate
Page of CSS ���
_ , f
TTftc{{m�iV� chment 2
I►IIIIIIIIIIIIIII�������� �I����Ity f sane Luis OBISp0
EMU Illi c� o
BUDGET AMENDMENT REQUEST
R uesting Department. Fund Name.
Utilities Fwd No.
Sewer
520
REVENUES AND OTHER FINANCING SOURCES
Account Descri tion Amendment
Revenue Account No. Amount
TOTAL
EXPENDITURES AND OTHER FINANCING USES
General Ledger No, Capital Project No. Amendment
Account Description Program Account Project Phase
Amount
General Carryover 55300 709
9;750
Contract Services 55300 7227
9,750
i
TOTAL $
PURPOSE
Per CAO Report dated 11/16/06 transferring$9,750 from General Carryover to fund Contract Services for consultant
services to perform AB1600 Fee Study Update. Consultant: David Taussiq and Associates, Inc.
artm Date Director f Finance
Date
11/16/06
C1 Ad inistra ive Officer Date d By
Date
Pageof `�