HomeMy Public PortalAboutORD16021BILL NO. 2019-115
SPONSORED BY Councilman Hussey
ORDINANCE NO. Aga/
AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE A $55,520 AGREEMENT WITH RAFETILIS
FINANCIAL CONSULTANTS, INC. FOR A SEWER RATE STUDY.
WHEREAS, Rafetilis Financial Consultants, Inc. has provided the best response for
qualifications for the sewer rate study.
NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE CITY OF
JEFFERSON, MISSOURI, AS FOLLOWS:
Section 1. The Mayor and City Clerk are hereby authorized to execute an
agreement with Rafetilis Financial Consultants, Inc. for the purposes of evaluating
sanitary sewer rates.
Section 2. The agreement shall be substantially the same in form and content as
that agreement attached hereto as Exhibit A.
Section 3. This Ordinance shall be in full force and effect from and after the date
of its passage and approval.
Passed:4f-riI Li) 020
Cletikt: � r
Presiding Officer
ATTEST:
Approved:
Mayor Carrie Tergin
-7, 20o
APPROVED AS TO FORM:
CITY OF JEFFERSON
CONTRACT FOR PROFESSIONAL SERVICES
THIS CONTRACT, made and entered into the date last executed by a party as
indicated below, by and between the City of Jefferson, a municipal corporation of the
State of Missouri, hereinafter referred to as the "City", and Raftelis Financial
Consultants, Inc., hereinafter referred to as the "Consultant".
WITNESSETH:
THAT WHEREAS, the City desires to engage the Consultant to render
services for a Wastewater Rate Model, hereinafter described in Exhibit A.
WHEREAS, Consultant has made certain representations and statements to
the City with respect to the provision of such services and the City has accepted said
proposal to enter into a contract with the Consultant for the performance of services
by the Consultant.
NOW THEREFORE, for the considerations herein expressed, it is agreed by
and between the City and the Consultant as follows:
1. Scope of Services. The City agrees to engage the services of the Consultant
to render services for a Wastewater Rate Model, hereinafter described in Exhibit A.
In the event of a conflict between this agreement and any attached exhibits, the
provisions of this agreement shall govern and prevail.
2. Compensation. The total amount for professional services rendered under
this shall not exceed Fifty -Five Thousand Five Hundred Twenty Dollars
($55,520.00). No change in compensation shall be made unless there is a
substantial and significant difference between the work originally contemplated by
this agreement and the work actually required.
3. Term. This contract shall commence on the date this contract is last executed
by a party as indicated below, and continue until one year from said date.
4. Additional Services. The City may add to Consultant services or delete
therefrom activities of a similar nature to those set forth in Exhibit A, provided that
the total cost of such work does not exceed the total cost allowance as specified in
paragraph 2 hereof. The Consultant shall undertake such changed activities only
upon the direction of the City. All such directives and changes shall be in written
form and approved by the Director of Public Works and shall be accepted and
countersigned by the Consultant or its agreed representatives.
5. Existing Data. All information, data and reports as are existing, available
and necessary for the carrying out of the work, shall be furnished to the Consultant
without charge by the City, and the City shall cooperate with the Consultant in
every reasonable way in carrying out the scope of services. The Consultant shall
not be liable for the accuracy of the information furnished by the City.
6. Personnel to be Provided. The Consultant represents that Consultant has or
will secure at its expense all personnel required to perform the services called for
under this contract by the Consultant. Such personnel shall not be employees of or
have any contractual relationship with the City except as employees of the
Consultant. All of the services required hereunder will be performed by the
Consultant or under the Consultant's direct supervision and all personnel engaged
in the work shall be fully qualified and shall be authorized under state and local law
to perform such services. None of the work or services covered by this contract shall
be subcontracted except as provided in Exhibit A without the written approval of the
City.
7. [Reserved].
8. Failure to Perform, Cancellation. If, through any cause, the Consultant shall
fail to fulfill in timely and proper manner its obligations under this contract, or if the
Consultant shall violate any of the covenants, agreements, or stipulations of this
contract, the City shall thereupon have the right to terminate this contract by giving
written notice to the Consultant of such termination and specifying the effective date
thereof, at least five (5) days before the effective day of such termination. The
Consultant may without cause terminate this contract upon 30 days prior written
notice. In either such event all finished or unfinished documents, data, studies,
surveys, drawings, maps, models, photographs, and reports or other materials
prepared by the Consultant under this contract shall, at the option of the City,
become its property, and the compensation for any satisfactory work completed on
such documents and other materials shall be determined. Notwithstanding the
above, the Consultant shall not be relieved of liability to the City for damages
sustained by the City by virtue of any such breach of contract by the Consultant.
9. Assignment. The Consultant shall not assign any interest in this contract,
and shall not transfer any interest in the same (whether by assignment or novation),
without prior written consent of the City thereto. Any such assignment is expressly
subject to all rights and remedies of the City under this agreement, including the
right to change or delete activities from the contract or to terminate the same as
provided herein, and no such assignment shall require the City to give any notice to
any such assignee of any actions which the City may take under this agreement,
though City will attempt to so notify any such assignee.
10. Confidentiality. Any reports, data or similar information given to or
2
prepared or assembled by the Consultant under this contract which the City
requests to be kept as confidential shall not be made available to any individual or
organization by the Consultant without prior written approval of the City.
11. Nondiscrimination. The Consultant agrees in the performance of the
contract not to discriminate on the grounds or because of race, creed, color, national
origin or ancestry, sex, religion, handicap, age or political affiliation, against any
employee of Consultant or applicant for employment and shall include a similar
provision in all subcontracts let or awarded hereunder.
12. Independent Consultant. The Consultant is an independent contractor and
nothing herein shall constitute or designate the Consultant or any of its employees
as agents or employees of the City.
13. Benefits not Available. The Consultant shall not be entitled to any of the
benefits established for the employees of the City and shall not be covered by the
Workmen's Compensation Program of the City.
14. Liability. The parties mutually agree to the following:
a. In no event shall the City be liable to the Consultant for special,
indirect, or consequential damages, except those directly or
approximately caused by the City arising out of or in any way connected
with this contract.
b. The Consultant shall defend, indemnify and hold the City harmless
from and against all claims, losses and liabilities arising out of personal
injuries, including death, and damages to property to the extent caused
by any negligent act or omission on the part of the Consultant related to
the services performed under this contract.
15. Insurance. Consultant shall provide, at its sole expense, and maintain
during the term of this agreement commercial general liability insurance with a
reputable, qualified, and financially sound company licensed to do business in the
State of Missouri, and unless otherwise approved by the City, with a rating by Best
of not less than "A," that shall protect the Consultant, the City, and the City's
officials, officers, and employees from claims which may arise from operations under
this agreement, whether such operations are by the Consultant, its officers,
directors, employees and agents, or any subcontractors of Consultant. This liability
insurance shall include, but shall not be limited to, protection against claims arising
from bodily and personal injury and damage to property, resulting from all
Consultant operations, products, services or use of automobiles, or construction
equipment at a limit of $500,000 Each Occurrence, $3,000,000 Annual Aggregate;
3
provided that nothing herein shall be deemed a waiver of the City's sovereign
immunity. An endorsement shall be provided which states that the City is named
as an additional insured and stating that the policy shall not be cancelled or
materially modified so as to be out of compliance with the requirements of this
section, or not renewed without 30 days advance written notice of such event being
given to the City.
16. Documents. Reproducible copies of tracings and maps prepared or obtained
under the terms of this contract shall be delivered upon request to and become the
property of the City upon termination or completion of work. Copies of basic survey
notes and sketches, charts, computations and other data prepared or obtained under
this contract shall be made available, upon request, to the City without restrictions
or limitations on their use. When such copies are requested, the City agrees to pay
the Consultant its costs of copying and delivering same.
17. Nonsolicitation. The Consultant warrants that they had not employed or
retained any company or person, other than a bona fide employee working solely for
the Consultant, to solicit or secure this contract, and that they have not paid or
agreed to pay any company or person, other than a bona fide employee working
solely for the Consultant, any fee, commission, percentage, brokerage fee, gifts, or
any other consideration, contingent upon or resulting from the award or making of
this contract. For breach or violation of this warranty, the City shall have the right
to annul this contract without liability, or, in its discretion, to deduct from the
contract price or consideration, or otherwise recover the full amount of such fee,
commission, percentage, brokerage fee, gifts, or contingent fee.
18. Books and Records. The Consultant and all subcontractors shall maintain
all books, documents, papers, accounting records and other evidence pertaining to
costs incurred in connection with this contract, and shall make such materials
available at their respective offices at all reasonable times during the contract and
for a period of three (3) years following completion of the contract.
19. Delays. That the Consultant shall not be liable for delays resulting from
causes beyond the reasonable control of the Consultant; that the Consultant has
made no warranties, expressed or implied, which are not expressly set forth in this
contract; and that under no circumstances will the Consultant be liable for indirect
or consequential damages.
20. Illegal Immigration.
Prior to commencement of the work:
a. Consultant shall, by sworn affidavit and provision of documentation,
affirm its enrollment and participation in a federal work authorization
program with respect to the employees working in connection with the
4
contracted services.
b. Consultant shall sign an affidavit affirming that it does not knowingly
employ any person who is an unauthorized alien in connection with the
contracted services.
c. If Consultant is a sole proprietorship, partnership, or limited
partnership, Consultant shall provide proof of citizenship or lawful
presence of the owner.
21. Notices. All notices required or permitted hereinunder and required to be in
writing may be given by first class mail addressed to the City of Jefferson,
Department of Public Works, 320 East McCarty, Jefferson City, Missouri, 65101,
and the Rafetilis Financial Consultants, Inc., 3013 Main St., Kansas City, Missouri,
64108. The date and delivery of any notice shall be the date falling on the second full
day after the day of its mailing.
CITY OF JEFFERSON, MISSOURI
Carrie T rgin, Mayor
Date:
ATTEST:
APPROVED AS TO FORM:
RAFETILIS FINANC
CO . SULTANTS IN
Title:
Date:
ATTEST:
Ti e: 1.
CGt1S0 t-ftn
5
EXHIBIT A
RAFTELIS
February 10, 2020
Eric Seaman, PE
Wastewater Division Director
320 E. McCarty St
Jefferson City, MO 65101.
Dear Mr. Seaman:
We appreciate the opportunity to be of service to the City of Jefferson City (the "City") to provide a
wastewater cost of service study.
The end product of the study will be a Wastewater Rate Model ("Rate Model") developed in Microsoft
Excel
that will provide:
A ten-year forecast of revenue requirements for the wastewater utility;
Allocation of revenue requirements to customer classes and into rate structure
components;
Calculation of recommended rates and charges during the forecast period;
Calculation of customer impacts for a variety of customers in different classes and at
different usage levels; and
A summary of debt service coverage ratios and other key financial indicators based on
projected revenues generated by the forecast rates.
The Rate Model will become an integral component of the annual rate evaluation process. The Rate
Model is tailored to client needs and will allow for easy use and updating by City staff. In order to
facilitate the update process and enhance its value as a financial planning tool, the Rate Model will be
designed to incorporate graphical navigation tools, centralized data inputs, and printing assistance. These
aspects of the Rate Model will be beneficial to City staff if it chooses to conduct future rate updates
internally. The Model is designed to be user friendly to encourage ongoing use by staff as a planning tool
to evaluate changing information.
To accomplish this we propose the following project approach.
Task 1: Project Initiation
The Project Initiation task will provide a basis for the study so that it progresses in an efficient and
deliberate manner. This task will include a kick-off meeting and the collection and review of all relevant
data and documents.
Task 1.1 — Kick-off Meeting
The kick-off meeting provides a solid foundation for the project. The meeting serves as a forum in which
City Management and Staff can provide input on the project's approach, work plan, scheduling, and
priorities. A successful meeting ensures that project participants are in mutual agreement as to the project
goals and expectations. Raftelis will develop a kick-off meeting package that contains the meeting
agenda and presentation materials to guide the discussion.
3013 Main St. Kansas City, MO 64108
816 285 9020 www.raftelis.com
Eric Seaman, PE February 10, 2020
In conjunction with the kick-off meeting, Raftelis will conduct a Rate Making 101 Workshop with the
ultimate goal of educating City management and staff on wastewater pricing objectives then identifying
and prioritizing the City's pricing objectives and the important utility issues currently facing the City.
Raftelis has found that it is beneficial to conduct a "Rate Making 101" type of workshop for our clients
who would like to explore the pricing objectives that influence wastewater rate setting. This is
particularly useful as an education tool and for exploring rate structures different from those that are
currently used. This workshop will be the preliminary step in the process of developing the financial plan
of the water and wastewater utilities and in identifying the most effective user rate structures for
achieving the utility's financial objectives. During this workshop, Raftelis will explain each step in the
process of developing wastewater rates, as well as trends in utility rate -setting throughout the United
States. We will examine the pricing objectives that drive the rate -setting process; explore the various
approaches to determining revenue requirements, study cost allocation methodologies; and review the
advantages and disadvantages of different rate structures and the effect that each has on customer
demand, revenue sufficiency, and rate equity. Participants in the Rate Making 101 Workshop will leave
with a better understanding of the rate -setting process and will be better equipped to identify how the
important issues currently facing the City will affect the process of determining the most appropriate user
rate structures. In addition, workshop participants will be able to communicate more effectively with
policymakers and customers on matters related to rates and charges. Additional topics to be covered in
the workshop could include policies related to replacement funding, debt funding of CIP, and reserves
management.
In conjunction with the Rate Making 101 Workshop, Raftelis will conduct a pricing objectives exercise
with City staff to prioritize the City's pricing objectives. In prior studies, some of these objectives have
included the following:
Revenue Sufficiency — Rates should generate revenues sufficient to meet revenue
requirements despite fluctuations in demand.
Revenue Stability — Rates should generate stable and predictable revenues from year to
year.
Defensibility — Rates should be designed according to standard industry practice and in
accordance with applicable law such that rate disputes are avoided.
Simplicity and Ease of Implementation — Rates should be readily understandable by
customers and be able to be implemented using existing staff and the existing billing and
collection infrastructure with only minor modifications.
Minimizing Rate Impacts — Rates should be designed and implemented in an effort to
avoid inordinately large increases or decreases in customer bills during the course of a
single year.
Equity Among Customer Classes — Rates should be designed such that the costs
recovered from each customer class are directly related to the way in which class demand
characteristics and usage patterns cause the utility to incur costs and no customer class
should subsidize or be subsidized by another customer class.
Page 2
Eric Seaman, PE February 10, 2020
Affordability — Rates should be designed such that there are mechanisms in place that
allow for legitimately economically disadvantaged customers to continue receiving
wastewater service.
It is important to note that several of these pricing objectives can conflict with each other. During this
exercise, Raftelis will work with City staff to identify and prioritize all of the City's rate setting
objectives.
As part of this exercise, participants will be able to contribute to a prepared list of common pricing
objectives, discuss the relevance of each objective, and prioritize and select the objectives that they
believe are most important. As a result of conducting this type of exercise with numerous other clients,
Raftelis has developed a
process that allows participants to see the results of the prioritization process prior to the end of the
workshop such that the results can be discussed and revised if so desired.
Raftelis has conducted similar pricing objectives exercises and facilitated the prioritization of rate
objectives and criteria for many clients across the United States. The end project of this workshop will be
a rate criteria matrix prioritizing the City's rate objectives that will ultimately serve as the City's
framework for the conceptual design of the rates.
Task 1.2 — Data and Document Review
As part of this task, Raftelis will also conduct interviews with City Management and Staff to obtain a
thorough understanding of the financial, operational, regulatory, and political environment. Key issues
and areas of concern, such as operating procedures, rate and financial philosophies, and the pricing
objectives used to develop the current rate structures will be reviewed and discussed. Historical
information will be reviewed related to costs, customers, usage, demand patterns, capital spending, and
revenues generated, to gain a better understanding of recent changes in operating characteristics and to
develop information and materials required to facilitate subsequent tasks.
Task 1.3 — Ongoing Project Management
The proposed project approach entails several different, yet interrelated, work efforts that will require
effective coordination bet -ween City staff and the Raftelis team. Our management approach stresses
communication, teamwork, objectivity, and accountability for meeting project objectives and includes
general administrative duties, including client correspondence, billing, project documentation, and
administration of the study control plan.
This task provides for consistent and competent project management to ensure that all deadlines and
objectives are met in a timely and efficient manner. We believe in a no surprises approach so that the
client is aware of the status of the project at all times. The Raftelis Project Director will be responsible
for facilitating a close working relationship between the City and Raftelis staff and is accountable to the
City for meeting the technical requirements of the project, schedule and budget.
Page 3
Eric Seaman, PE February 10, 2020
Task 2 — Analysis of Revenue Requirements
The purpose of this task is to determine the revenue requirements for the utility services provided and
identify and resolve any additional revenue requirement issues/concerns. We will examine revenue needs
based on several criteria such as: financial sufficiency; revenue stability; current versus future customer
impacts; capital improvement program, and "pay-as-you-go" versus debt financing. This assessment will
also include detail examination of revenue reduction over the previous five historical years.
Costs and revenue requirements will be projected through a ten-year forecast period (FY 2009 -FY 2018)
based upon the FY 2009 budget. Revenue requirements will be offset by non -user charge revenues as
appropriate. These offsets typically include wastewater connection charges, late fees, and other
miscellaneous charges recovered by the utility.
Task 3 — Cost of Service Allocation
The Wastewater cost of service allocation will be performed using the methodology described in the
Water Environment Federation Manual of Practice No. 27, Financing and Charges for Wastewater
Systems, with rates being based on the results of this allocation.
The cost of service allocation will focus on identifying appropriate service functions, allocating the cost
of service (revenue requirements) to the service functions, determining how those services are used by
each customer class, and developing the cost allocation components of the computer model. Raftelis will
analyze historical billing information for each customer class, including an assessment of alternative
customer classification that may provide a more effective approach to recovering costs from different
customer classes. A "test year" will be established as the basis for the cost of service allocation, and for
calculating appropriate cost differentials among customer classes.
Task 4 — Financial Planning and Rate Model Development
The goal of this task is to develop the Rate Model that calculates wastewater rates. The Rate Model will
incorporate high level detail to calculate rates under the different rate structures identified in the previous
task, yet will be developed and structured specifically for ease of use in by City Staff in the future in
conducting analysis of alternative financial options and updating the rate calculations in future years.
Task 4.1 — Development of Financial Planning Model
The Rate Model is used to develop and project revenue requirements over the planning period and
incorporates both direct and indirect operational costs, capital costs (including pay-as-you-go capital and
debt service), as well as rate revenues and revenues from miscellaneous sources. Projection of revenue
requirements, offsets, and water and wastewater demand allows a utility to calculate overall revenue
adjustments or rate increases. Projecting revenue adjustments over a long planning horizon can illustrate
future rate impacts and potential threats to the City's financial situation, allowing the City to make
adjustments to some expenses, reserve balances, or capital project timing to smooth impacts and maintain
financial stability. The financial planning capabilities of the Rate Model will allow the City to test how
future events such as capital construction or changes in regulatory requirements may impact future rates
and overall financial strength of the utility. Raftelis will utilize past expense performance updated for
current conditions, capital improvement planning, and projections of demand to construct a 10 -year Rate
Model.
Page 4
Eric Seaman, PE February 10, 2020
Revenue requirements will be projected over the rate setting period based on historical results, the current
budget, the City's capital improvement plan, and the utilities' existing debt service and other obligations.
Raftelis will project items in the City's budget such as O&M, labor, power, materials, and chemicals, with
flexibility to adjust the escalation factors annually and individually for different types of costs and
override escalation with manual entries. In addition, Raftelis will project non -user rate revenues such as
late fees, interest, and miscellaneous fees. Ultimately, Raftelis will project revenues that need to be
collected through user rates for water and wastewater in order to meet expenses in each year of the
forecast period.
The Model will develop a capital financing plan considering the capital expenses, project the timing of
future debt sales, and project annual debt service. Schedules for calculating debt service coverage will
also be included. The financial planning module will also provide cash management flexibility by
tracking the net changes to reserve balances on an annual basis. At a minimum, reserve balance will be
tracked for the major funds such as the Operating Fund and Construction Fund. Raftelis has also
recommended to other utilities the addition of rate stabilization and system renewal funds depending on
rate setting objectives of the utility. We have advised many client utilities on how to establish appropriate
reserve levels for their major funds.
Finally, once the preliminary Rate Model is completed, Raftelis will meet with City Staff to provide a
preliminary demonstration and ensure the Model meets the specifications required by the City.
Task 4.2 — Cost Allocations
The wastewater cost allocations will be developed to be consistent with standard industry methodologies.
Raftelis will develop cost allocation worksheets within the Model to allocate costs common to customer
classifications on a supportable allocation basis. We will review customer usage data for information
pertaining to number of customers, size of meters, volume of use, rates of use, capacity requirements, and
wastewater strength. We will then allocate costs to customer classes based on proportionate use and
calculate appropriate unit costs. We will determine the appropriate cost allocation functional components,
review the City's customer class characteristics, and estimate the relative responsibility of each customer
class for each of the functional cost elements.
Task 4.3 — Develop Rates
After evaluating the existing cost allocation base and assessing the impact of any proposed adjustments,
wastewater rates will be developed to address the City's pricing objectives as identified in the Rate
Making 101 workshop. We recognize that rate -making is an art, so we will work within the broad
industry guidelines to meet the pricing objectives of the City. We will also develop alternative rate
structures as appropriate for the City not only to ensure fair and equitable structure but also compliance
with City's policy consideration and all currently known federal, state, and local rules, regulations, and
applicable guidelines.
Rates will be calculated for each year in the forecast period and adjusted, where possible, to provide for a
smooth forecast of rate adjustments. For example, changes in the timing of capital expenditures and the
use of reserve funds to mitigate short-term rate impacts are two ways that rate smoothing could be
Page 5
Eric Seaman, PE February 10, 2020
addressed. The objective is to minimize the magnitude of customer impacts while still achieving long-
term revenue objectives.
Task 4.4 — Review Wholesale Contracts
Raftelis will review the City's existing wholesale wastewater service and treatment contracts to ensure
they are consistent with the City's cost of service and provide equitable recovery of the City's cost of
service. Raftelis will propose recommended changes to the wholesale contracts if necessary to ensure
equitable recovery of costs from these customers.
Task 4.5 — Review of Connection Fees
The purpose of this task is to review the adequacy of the City's wastewater connection fees. The
wastewater utility charges a fee of $300 to new customers to connect to the system, Raftelis will review
the services associated with this fee and assure that the fee is adequate in relation to the services provided.
Task 5 — Review of Billing Procedures
The purpose of this task is to ensure that the City's billing procedures, appeals process, and collection
procedures are adequate and equitable.
Raftelis will review the City's process for billing customers, including collection of usage data, billing
frequency, collection terms, and other factors related to billing and collection. Raftelis will use our
extensive industry experience in working with utilities across the country to propose changes to improve
the City's billing and collection procedures.
Task 6 — Finalize Model and Report
The goal of this task is to work with City staff to finalize the Rate Model to ensure all the appropriate
specifications are included in the Model and prepare a Report detailing the financial vision and the
financial plan developed as part of this study.
The process for developing the financial vision, financial plan, and proposed rate structures along with
preliminary rate recommendations will be described in a draft report of findings and recommendations.
This Report will also include an executive summary highlighting the major issues and decisions, the
results and findings, and recommendations. A comprehensive section on the rate design assumptions and
methodologies used to develop the user rate calculations and financial planning will be included. A
preliminary version of the Rate Model will also be provided to the City for comment. Comments from
the City will be incorporated into the final report and the Rate Model will be delivered and demonstrated
to present our findings and recommendations. Twenty hard copies of the draft and final report will be
provided. In addition, electronic versions of the Report and Rate Model will also be forwarded to the
City.
Raftelis will schedule and conduct a training program for City Staff who will be responsible for use of the
model in the future. After the training, Raftelis staff will be available for technical assistance by telephone
on an as needed basis. Raftelis will also be available to develop updates to the model to incorporate
changes to the City's cost structure, capital program, and customer classification system.
Page 6
Eric Seaman, PE
PROJECT EXECUTION
February 10, 2020
We are ready to begin this work for the City immediately and propose to complete the work for a not -to -
exceed price of $55,520 as shown in the table below. We will bill the City monthly for time and expenses
incurred in the previous month.
Thank you for your time and consideration, we appreciate this opportunity to be of service to the City. If
you have any questions about this scope of work or any other issue we can be of assistance with, please
feel free to contact me at (816) 285-9024 or tbeckley@raftelis.com.
Sincerely,
RAFTELIS FINANCIAL CONSULTANTS, INC.
Thomas A. Beckley
Vice President
Page 7
Hours Requirements
Thomas Beckley,
Project Director
Collin Drat, Project
Manager
Joe Collins,
Consultant
Administrative
Support
1 Project Initiation
8
12
16
4
2 Analysis of Revenue Requirements
4
12
32
3 Cost of Service Allocation
4
16
40
4 Financial Planning and Rate Model Development
2
8
24
5 Review Billing Procedures
2
8
16
6 Finalize Rate Model and Report
4
12
24
2
Total estimated hours
Hourly rates
Consultant Fees
Estimated Fees
Technology Charge & Travel Expenses
Total Estimated Fees and Expenses
24
68
152
6
$ 310
$ 245
$ 185
$ 60
$ 7,440
$ 16,660
$ 28,120
$ 360
$ 52,580
$ 2,940
$ 55,520
Thank you for your time and consideration, we appreciate this opportunity to be of service to the City. If
you have any questions about this scope of work or any other issue we can be of assistance with, please
feel free to contact me at (816) 285-9024 or tbeckley@raftelis.com.
Sincerely,
RAFTELIS FINANCIAL CONSULTANTS, INC.
Thomas A. Beckley
Vice President
Page 7