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BACKGROUND <br /> The City increased its water and sewer rates in September 2010. Proposition 218 <br /> requires that these rates be reviewed a minimum of once every five years. Additionally the <br /> City now and in the future will provide recycled water to the community thus requiring us to <br /> evaluate recycled water rates based on prop 218, we will also study the recycled <br /> connection fee for new and existing customers. Based on this, staff circulated a Request <br /> for Proposal for rate consulting services in December 2014. <br /> SELECTION PROCESS <br /> Staff received four responses (Proposals) to the Request for Proposal and based on the <br /> Proposals interviewed all four of the firms. The four proposals varied in pricing as follows: <br /> Bartle Wells Associates $ 66,510 <br /> HDR Engineering, Inc. 83,595 <br /> Raftelis Financial Consultants, Inc. 111,961 <br /> Carollo Engineers, Inc. 119,869 <br /> After interviewing the firms and reviewing the Proposals for a number of factors, including <br /> pricing, ability to meet the required timeline (studies must be completed and implemented <br /> by September 2015), comparable rate experience, experience and credentials of the staff <br /> and the firm, and references, staff concluded that the most qualified and well suited firm for <br /> the City is HDR Engineering, Inc. The following table presents a breakdown of the not to <br /> exceed fee schedule: <br /> Water Rate Study(including recycle water) $48,565 <br /> Sewer Rate Study 35,030 <br /> Total (not to exceed) $83,595 <br /> Submitted by: Fiscal Review by: Approved by: <br /> 47\-i a Daniel th Tina Olson Nelson Fialho <br /> Director of Operations Services Director of Finance City Manager <br /> Attachments: <br /> 1. Contract <br /> Page 2 of 2 <br />