CM-2023-139 - 6/23/2023CITY OF ROUND ROCK AGREEMENT FOR
PROFESSIONAL CONSULTING SERVICES RELATED TO
A COST OF SERVICE AND INDIRECT COST ALLOCATION STUDY
WITH
RAFTELIS FINANCIAL CONSULTANTS, INC.
THE STATE OF TEXAS §
THE CITY OF ROUND ROCK § KNOW ALL BY THESE PRESENTS
COUNTY OF WILLIAMSON §
COUNTY OF TRAVIS §
THIS AGREEMENT for professional consulting services related to a Cost of Service and
Indirect Cost Allocation �dy for the City's Fire Dep rtment (the `'Agreement") is made and
entered into on this7L ay of the month of .� 2023, by and between the
CITY OF ROUND ROCK, a Texas home -rule municipal corporation with offices located at 221
East Main Street, Round Rock, Texas 78664-5299, (the "City") and RAFTELIS FINANCIAL
CONSULTANTS, INC., located at (the "Consultant").
RECITALS:
WHEREAS, City has determined that there is a need for professional services related to a
Cost of Service and Indirect Cost Allocation Study for the City's Fire Department; and
WHEREAS, City desires to contract with Consultant for such services; and
WHEREAS, the parties desire to enter into this Agreement to set forth in writing their
respective rights, duties and obligations hereunder;
NOW, THEREFORE, WITNESSETH:
That for and in consideration of the mutual promises contained herein and other good and
valuable consideration, the sufficiency and receipt of which are hereby acknowledged, it is
mutually agreed between the parties as follows:
1.01 EFFECTIVE DATE, DURATION, AND TERM
This Agreement shall be effective on the date this Agreement has been signed by each party
hereto and shall remain in full force and effect unless and until it expires by operation of the term
indicated herein or is terminated or extended as provided herein.
The term of this Agreement shall be until frill and satisfactory completion of the work
specified herein is achieved, which shall not exceed four (4) months from the effective date of this
Agreement.
4873-7348-5673 ss2
City reserves the right to review the Agreement at any time and may elect to terminate the
Agreement with or without cause or may elect to continue.
2.01 PROPOSAL FOR SERVICES
For purposes of this Agreement, Consultant has issued its proposal for services for the tasks
delineated therein, such proposal for services being attached to this Agreement as Exhibit "A"
titled "Scope of Work," which document is incorporated herein for all purposes.
3.01 SCOPE OF SERVICES
Consultant shall satisfactorily provide all services described herein and as set forth in
Exhibit "A" according to the schedule set forth agreed upon by the parties. Consultant's
undertaking shall be limited to performing services for City and/or advising City concerning those
matters on which Consultant has been specifically engaged. Consultant shall perform services in
accordance with this Agreement in a professional and workmanlike manner.
4.01 LIMITATION TO SCOPE OF SERVICES
Consultant and City agree that the scope of services to be performed is enumerated in
Exhibit "A" and herein, and Consultant shall not undertake work that is beyond the Scope of Work
set forth in Exhibit "A," however, either party may make written requests for changes to the Scope
of Work. To be effective, a change to the Scope of Work must be negotiated and agreed to and
must be embodied in a valid Supplemental Agreement as described in 10.01.
5.01 CONTRACT AMOUNT
In consideration for the consulting services Consultant shall be paid on the basis of actual
hours worked by employees performing work associated with this Agreement, in accordance with
the Fee Schedule attached hereto as part of Exhibit "A."
Consultant's total compensation for consulting services hereunder shall not exceed Sixty -
Eight Thousand Nine Hundred Forty and No/100 Dollars ($68,940.00). This amount
represents the absolute limit of City's liability to Consultant hereunder unless same shall be
changed by Supplemental Agreement, and City shall pay, strictly within the not -to -exceed sum
recited herein, Consultant's fees for work done on behalf of City.
6.01 INVOICE REQUIREMENTS AND TERMS OF PAYMENT
Invoices: To receive payment, Consultant shall prepare and submit detailed invoices to
the City, in accordance with the delineation contained herein, for services rendered. Such invoices
for services shall track the referenced Scope of Work, and shall detail the services performed,
along with documentation for each service performed. Payment to Consultant shall be made on
the basis of the invoices submitted by Consultant and approved by the City. Such invoices shall
conform to the schedule of services and costs in connection therewith.
Should additional backup material be requested by the City relative to service deliverables,
Consultant shall comply promptly. In this regard, should the City determine it necessary,
Consultant shall make all records and books relating to this Agreement available to the City for
inspection and auditing purposes.
Payment of Invoices: The City reserves the right to correct any error that may be
discovered in any invoice that may have been paid to Consultant and to adjust same to meet the
requirements of this Agreement. Following approval of an invoice, the City shall endeavor to pay
Consultant promptly, but no later than the time period required under the Texas Prompt Payment
Act described in Section 8.01 herein. Under no circumstances shall Consultant be entitled to
receive interest on payments which are late because of a good faith dispute between Consultant
and the City or because of amounts which the City has a right to withhold under this Agreement
or state law. The City shall be responsible for any sales, gross receipts or similar taxes applicable
to the services, but not for taxes based upon Consultant's net income.
7.01 INSURANCE
Consultant shall meet all City of Round Rock Insurance Requirements set forth at:
http:l/www.roundrocktexas. ost vlwp-content/ugloads12014/12fcorr_insurance 07.20112_pdf.
8.01 PROMPT PAYMENT POLICY
In accordance with Chapter 2251, V.T.C.A., Texas Government Code, any payment to be
made by the City to Consultant will be made within thirty (30) days of the date the City receives
goods under this Agreement, the date the performance of the services under this Agreement are
completed, or the date the City receives a correct invoice for the goods or services, whichever is
later. Consultant may charge interest on an overdue payment at the "rate in effect" on September
1 of the fiscal year in which the payment becomes overdue, in accordance with V.T.C.A., Texas
Government Code, Section 2251.025(b). This Prompt Payment Policy does not apply to payments
made by the City in the event:
(a) There is a bona tide dispute between the City and Consultant, a contractor,
subcontractor, or supplier about the goods delivered or the service performed
that cause the payment to be late; or
(b) There is a bona fide dispute between Consultant and a subcontractor or between
a subcontractor and its supplier about the goods delivered or the service
performed that causes the payment to be late; or
(c) The terms of a federal contract, grant, regulation, or statute prevent the City
from making a timely payment with federal funds; or
(d) The invoice is not mailed to the City in strict accordance with any instruction
on the purchase order relating to the payment.
9.01 NON -APPROPRIATION AND FISCAL FUNDING
This Agreement is a commitment of the City's current revenues only. It is understood and
agreed that the City shall have the right to terminate this Agreement at the end of any City fiscal
year if the governing body of the City does not appropriate fiends sufficient to purchase the services
as determined by the City's budget for the fiscal year in question. The City may effect such
termination by giving Consultant a written notice of termination at the end of its then -current fiscal
year.
10.01 SUPPLEMENTAL AGREEMENT
The terms of this Agreement may be modified by written Supplemental Agreement hereto,
duly authorized by City Council or by the City Manager, if the City determines that there has been
a significant change in (1) the scope, complexity, or character of the services to be performed; or
(2) the duration of the work. Any such Supplemental Agreement must be executed by both parties
within the period specified as the term of this Agreement. Consultant shall not perform any work
or incur any additional costs prior to the execution, by both parties, of such Supplemental
Agreement. Consultant shall make no claim for extra work done or materials furnished unless and
until there is full execution of any Supplemental Agreement, and the City shall not be responsible
for actions by Consultant nor for any costs incurred by Consultant relating to additional work not
directly authorized by Supplemental Agreement.
11.01 TERMINATION; DEFAULT
Termination: It is agreed and understood by Consultant that the City may terminate this
Agreement for the convenience of the City, upon thirty (30) days' written notice to Consultant,
with the understanding that immediately upon receipt of said notice all work being performed
under this Agreement shall cease. Consultant shall invoice the City for work satisfactorily
completed and shall be compensated in accordance with the terms hereof for work accomplished
prior to the receipt of said notice of termination. Consultant shall not be entitled to any lost or
anticipated profits for work tenninated under this Agreement. Unless otherwise specified in this
Agreement, all data, information, and work product related to this project shall become the
property of the City upon termination of this Agreement and shall be promptly delivered to the
City in a reasonably organized form without restriction on fiiture use. Should the City
subsequently contract with a new consultant for continuation of service on the project, Consultant
shall cooperate in providing information.
Termination of this Agreement shall extinguish all rights, duties, and obligations of the
City and the terminated party to fulfill contractual obligations. Termination under this section
shall not relieve the terminated party of any obligations or liabilities which occurred prior to
termination.
Nothing contained in this section shall require the City to pay for any work which it deems
unsatisfactory or which is not performed in compliance with the terms of this Agreement.
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Default: Either party may terminate this Agreement, in whole or in part, for default if the
Party provides the other Party with written notice of such default and the other fails to satisfactorily
cure such default within ten (10) business days of receipt of such notice (or a greater time if agreed
upon between the Parties).
If default results in termination of this Agreement, then the City shall give consideration to
the actual costs incurred by Consultant in performing the work to the date of default. The cost of
the work that is useable to the City, the cost to the City of employing another firm to complete the
useable work, and other factors will affect the value to the City of the work performed at the tune
of default. Neither party shall be entitled to any lost or anticipated profits for work terminated for
default hereunder.
The termination of this Agreement for default shall extinguish all rights, duties, and
obligations of the terminating Party and the terminated Party to fulfill contractual obligations.
Termination under this section shall not relieve the terminated party of any obligations or liabilities
which occurred prior to termination.
Nothing contained in this section shall require the City to pay for any work which it deems
unsatisfactory, or which is not performed in compliance with the terms of this Agreement.
12.01 NON -SOLICITATION
All parties agree that they shall not directly or indirectly solicit for employment, employ,
or otherwise retain staff of the other during the term of this Agreement.
13.01 INDEPENDENT CONTRACTOR STATUS
Consultant is an independent contractor and is not the City's employee. Consultant's
employees or subcontractors are not the City's employees. This Agreement does not create a
partnership, employer -employee, or joint venture relationship. No party has authority to enter into
contracts as agent for the other party. Consultant and the City agree to the following rights
consistent with an independent contractor relationship:
(1) Consultant has the right to perform services for others during the term hereof.
(2) Consultant has the sole right to control and direct the means, manner and method
by which it performs its services required by this Agreement.
(3) Consultant has the right to hire assistants as subcontractors, or to use employees to
provide the services required by this Agreement.
(4) Consultant or its employees or subcontractors shall perform services required
hereunder. and the City shall not hire, supervise, or pay assistants to help
Consultant.
(5) Neither Consultant nor its employees or subcontractors shall receive training from
the City in skills necessary to perform services required by this Agreement-
(6) City shall not require Consultant or its employees or subcontractors to devote full
time to performing the services required by this Agreement.
(7) Neither Consultant nor its employees or subcontractors are eligible to participate in
any employee pension, health, vacation pay, sick pay, or other fringe benefit plan
of the City.
14.01 CONIF'IDENTIALITY AND MATERIALS OWNERSHIP
Any and all programs, data, or other materials furnished by the City for use by Consultant
in connection with services to be performed under this Agreement, and any and all data and
information gathered by Consultant, shall be held in confidence by Consultant as set forth
hereunder. Each party agrees to take reasonable measures to preser-ve the confidentiality of any
proprietary or confidential information relative to this Agreement, and to not make any use thereof
other than for the performance of this Agreement, provided that no claim may be made for any
failure to protect information that occurs more than three (3) years after the end of this Agreement.
The parties recognize and understand that the City is subject to the Texas Public
Information Act and its duties run in accordance therewith.
All data relating specifically to the City's business and any other information which
reasonably should be understood to be confidential to City is confidential information of City.
Consultant's proprietary software, tools, methodologies, techniques, ideas, discoveries,
inventions, know-how, and any other information which reasonably should be understood to be
confidential to Consultant is confidential information of Consultant. The City's confidential
information and Consultant's confidential information is collectively referred to as "Confidential
Information." Each party shall use Confidential information of the other party only in furtherance
of the purposes of this Agreement and shall not disclose such Confidential Information to any third
party without the other party's prior written consent, which consent shall not be unreasonably
withheld. Each party agrees to take reasonable measures to protect the confidentiality of the other
party's Confidential Information and to advise their employees of the confidential nature of the
Confidential Information and of the prohibitions herein.
Any and all materials created and developed by Consultant in connection with services
performed under this Agreement, including all trademark and copyright rights, shall be the sole
property of City at the expiration of this Agreement.
15.01 WARRANTIES
Consultant represents that all services performed hereunder shall be performed consistent
with generally prevailing professional or industry standards and shall be performed in a
professional and workmanlike manner. Consultant shall re -perform any work no in compliance
with this representation.
16.01 LIMITATION OF LIABILITY
Should any of Consultant's services not conform to the requirements of the City or of this
Agreement, then and in that event the City shall give written notification to Consultant; thereafter,
(a) Consultant shall either promptly re -perform such services to the City's satisfaction at no
additional charge, or (b) if such deficient services cannot be cured within the cure period set forth
herein, then this Agreement may be terminated for default.
In no event will Consultant be liable for any loss, damage, cost or expense attributable to
negligence, willful misconduct or misrepresentations by the City, its directors, employees or
agents.
In no event shall Consultant be liable to the City, by reason of any act or omission relating
to the services provided under this Agreement (including the negligence of Consultant), whether
a claim be in tort, contract or otherwise, (a) for any consequential, indirect, lost profit, punitive,
special or similar damages relating to or arising from the services, or (b) in any event, in the
aggregate, for any amount in excess of the total fees paid by the City to Consultant under this
Agreement, except to the extent determined to have resulted from Consultant's gross negligence,
willful misconduct or fraudulent acts relating to the service provided hereunder.
17.01 INDEMNIFICATION
Consultant agrees to hold harmless, exempt, and indemnify City, its officers, agents,
directors, servants, representatives and employees, from and against any and all suits, actions, legal
proceedings, demands, costs, expenses, losses, damages, fines, penalties, liabilities and claims of
any character, type, or description, including but not limited to any and all expenses of litigation,
court costs, attorneys' fees and all other costs and fees incident to any work done as a result hereof.
To the extent allowable by law. City agrees to hold harmless, exempt, and indemnify
Consultant, its officers, agents, directors, servants, representatives and employees, from and
against any and all suits, actions, legal proceedings, demands, costs, expenses, losses, damages,
fines, penalties, liabilities and claims of any character, type, or description, including but not
limited to any and all expenses of litigation, court costs, attorneys' fees and all other costs and fees
incident to any work done as a result hereof.
18.01 ASSIGNMENT AND DELEGATION
The parties each hereby bind themselves, their successors, assigns and legal representatives
to each other with respect to the terms of this Agreement. Neither party may assign any rights or
delegate any duties under this Agreement without the other party's prior written approval, which
approval shall not be unreasonably withheld.
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19.01 LOCAL, STATE, AND FEDERAL TAXES
Consultant shall pay all income taxes, and FICA (Social Security and Medicare taxes)
incurred while performing services under this Agreement. The City will not do the following:
(1) Withhold FICA from Consultant's payments or make FICA payments on its
behalf;
(2) Make state and/or federal unemployment compensation contributions on
Consultant's behalf; or
(3) Withhold state or federal income tax from any of Consultant's payments.
If requested, the City shall provide Consultant with a certificate from the Texas State
Comptroller indicating that the City is not subject to State of Texas Sales and Use Tax.
20.01 COMPLIANCE WITH LAWS, CHARTER, AND ORDINANCES
A. Consultant, its consultants, agents, employees and subcontractors shall use best
efforts to comply with all applicable federal and state laws, the Charter and Ordinances of the City
of Round Rock, as amended, and with all applicable rules and regulations promulgated by local,
state and national boards, bureaus and agencies. Consultant shall further obtain all permits,
licenses, trademarks, or copyrights, if required in the performance of the services contracted for
herein, and same shall belong solely to the City at the expiration of the term of this Agreement.
B. In accordance with Chapter 2271, Texas Government Code, a governmental entity
may not enter into a contract with a company for goods and services unless the contract contains
written verification from the company that it: (1) does not boycott Israel; and (2) will not boycott
Israel during the term of the contract. The signatory executing this Agreement on behalf of
Consultant verifies Consultant does not boycott Israel and will not boycott Israel during the term
of this Agreement.
21.01 FINANCIAL INTEREST PROHIBITED
Consultant covenants and represents that Consultant, its officers, employees, agents,
consultants and subcontractors will have no financial interest, direct or indirect, in the purchase or
sale of any product, materials or equipment that will be recommended or required hereunder.
22.01 DESIGNATION OF REPRESENTATIVES
The City hereby designates the following representative authorized to act in its behalf with
regard to this Agreement:
Melana Taylor, Deputy CFO
Finance Department
221 East Main Street
Round Rock, TX 78664
mtaylor&roundrocktexas.gov
23.01 NOTICES
All notices and other communications in connection with this Agreement shall be in writing
and shall be considered given as follows:
(1) When delivered personally to recipient's address as stated herein; or
(2) Three (3) days after being deposited in the United States mail, with postage prepaid
to the recipient's address as stated in this Agreement.
Notice to Consultant:
Raftelis Financial Consultants, Inc.
227 West Trade Street
Suite 1400
Charlotte. North Carolina 28202-1632
Notice to City:
City Manager, City of Round Rock
221 East Main Street
Round Rock. TX 78664
AND TO:
Stephanie L. Sandre, City Attorney
309 East Main Street
Round Rock, TX 78664
Nothing contained in this section shall be construed to restrict the transmission of routine
communications between representatives of the City and Consultant.
24.01 APPLICABLE LAW, ENFORCEMENT, AND VENUE
This Agreement shall be enforceable in Round Rock, Texas, and if legal action is necessary
by either party with respect to the enforcement of any or all of the terms or conditions herein,
exclusive venue for same shall lie in Williamson County, Texas. This Agreement shall be
governed by and construed in accordance with the laws and court decisions of Texas.
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25.01 EXCLUSIVE AGREEMENT
The terms and conditions of this Agreement, including exhibits, constitute the entire
agreement between the parties and supersede all previous communications, representations, and
agreements, either written or oral, with respect to the subject matter hereof. The parties expressly
agree that, in the event of any conflict between the tenns of this Agreement and any other writing,
this Agreement shall prevail. No modifications of this Agreement will be binding on any of the
parties unless acknowledged in writing by the duly authorized governing body or representative
for each party.
26.01 DISPUTE RESOLUTION
The City and Consultant hereby expressly agree that no claims or disputes between the
parties arising out of or relating to this Agreement or a breach thereof shall be decided by any
arbitration proceeding, including without limitation, any proceeding under the Federal Arbitration
Act (9 USC Section 1-14) or any applicable state arbitration statute.
27.01 SEVERABILITY
The invalidity, illegality, or uncnforecability of any provision of this Agreement or the
occurrence of any event rendering any portion of provision of this Agreement void shall in no way
affect the validity or enforceability of any other portion or provision of this Agreement. Any void
provision shall be deemed severed from this Agreement, and the balance of this Agreement shall
be construed and enforced as if this Agreement did not contain the particular portion of provision
held to be void. The parties further agree to amend this Agreement to replace any stricken provision
with a valid provision that comes as close as possible to the intent of the stricken provision. The
provisions of this Article shall not prevent this entire Agreement from being void should a
provision which is of the essence of this Agreement be determined void.
28.01 STANDARD OF CARE
Consultant represents that it is specially trained, experienced and competent to perform all
of the services, responsibilities and duties specified herein and that such services, responsibilities
and duties shall be performed, whether by Consultant or designated subconsultants, in a manner
acceptable to the City and according to generally accepted business practices.
29.01 GRATUITIES AND BRIBES
City, may by written notice to Consultant, cancel this Agreement without incurring any
liability to Consultant if it is determined by City that gratuities or bribes in the form of
entertainment, gifts, or otherwise were offered or given by Consultant or its agents or
representatives to any City Officer, employee or elected representative with respect to the
performance of this Agreement. In addition, Consultant may be subject to penalties stated in Title
8 of the Texas Penal Code.
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30.01 RIGHT TO ASSURANCE
Whenever either party to this Agreement, in good faith, has reason to question the other
party's intent to perfonn hereunder, then demand may be made to the other party for written
assurance of the intent to perform. In the event that no written assurance is given within the
reasonable time specified when demand is made, then and in that event the demanding party may
treat such failure as an anticipatory repudiation of this Agreement.
31.01 MISCELLANEOUS PROVISIONS
Time is of the Essence. Consultant agrees that time is of the essence and that any failure
of Consultant to complete the services for each phase of this Agreement within the agreed project
schedule may constitute a material breach of this Agreement. Consultant shall be fully responsible
for its delays or for failures to use reasonable efforts in accordance with the terms of this
Agreement. Where damage is caused to City due to Consultant's failure to perform in these
circumstances, City may withhold, to the extent of such damage, Consultant's payments hereunder
without a waiver of any of City's additional legal rights or remedies. City shall render decisions
pertaining to Consultant's work promptly to avoid unreasonable delays in the orderly progress of
Consultant's work.
Force Majeure. Notwithstanding any other provisions herein to the contrary, no failure,
delay or default in performance of any obligation hereunder shall constitute an crent of default or
breach of this Agreement, only to the extent that such failure to perform, delay or default arises
out of causes beyond control and without the fault or negligence of the party otherwise chargeable
with failure, delay, or default; including but not limited to acts of God, acts of public enemy, civil
war, insurrection, riots, fires, floods, explosion, theft, earthquakes, natural disasters or other
casualties, strikes or other labor troubles, which in any way restrict the performance under this
Agreement by the parties.
Section Numbers. The section numbers and headings contained herein are provided for
convenience only and shall have no substantive effect on constriction of this Agreement.
Waiver. No delay or omission by either party in exercising any right or power shall impair
such right or power or be construed to be a waiver. A waiver by either party of any of the covenants
to be performed by the other or any breach thereof shall not be construed to be a waiver of any
succeeding breach or of any other covenant. No waiver or discharge shall be valid unless in writing
and signed by an authorized representative of the party against whom such waiver or discharge is
sought to be enforced.
Multiple Counterparts. This Agreement may be executed in multiple counterparts, which
taken together shall be considered one original. The City agrees to provide Consultant with one
fully executed original.
IN WITNESS WHEREOF, the parties have executed this Agreement on the dates hereafter
indicated.
City of Round Rock, Texas
For City, Attest:
By' CAM&
11*
1>49 V Ed= cpNFy C�-y C1 k
For City, Approved as to Form:
By4taephanie
L. San City Attorney
12
RaftelisF-igancial Consultants, Inc.
By:
Pri ed Name: J•NkTiu !2-
Title: Sprc ji w- KA Jt
Date Signed: d c. _
:q R A F T E L I S Exhibit "A"
May 26, 2023
Susan L. Morgan, Chief Financial Officer
City of Round Rock
221 East Main Street
Round Rock, TX 78664
Subject: Proposal for Cost of Service Study for Fire Department
Dear Ms. Morgan:
We appreciate the City of Round Rock's (City) interest in Raftelis developing a cost of service and indirect cost allocation
study for the City's fire protection services. The purpose of the assessment is to clarify the full operating and capital
expense associated with fire services within the City and the broader service area of Williamson County Emergency
Services District No. 9 (ESD) and to determine the fully loaded costs associated with service expansion over the next five
years. We have extensive experience with this type of work and would be pleased to work with the City to review the
City's financial resources, requirements, and results. The purpose of this letter is to discuss the potential for this
engagement.
Project Approach
Our approach to this project will be to develop a comprehensive financial cost assessment for the City based on existing
operations and services and an associated, interactive, financial model. This model will be used to evaluate the financial
requirements of the Fire Department and its ability to provide fire protection and emergency services under both a
baseline financial cost model and expanded service financial cost model now and in the future.
The Excel -based spreadsheet model will identify all cost elements including operational expenses, capital requirements,
existing debt service, as well as any planned changed to services. The financial cost model will provide an interactive
platform on which key assumptions may be varied or added to test the impacts and implications of changing service costs
as desired by the City.
The baseline financial model will provide a detailed cost of services review to identify both the level of service provided as
well as associated costs. Cost of service includes COS includes personnel, operating, equipment, apparatus, station
infrastructure, indirect costs, and the applicable cost of the City's Public Safety Training Center and indirect costs. This
baseline Financial cost model will provide a point of comparison against which we can assess the results of additional
analyses conducted relative to identified alternatives and understand their impact to the City.
We will then develop the expanded service financial cost model that incorporates review of impacts from any identified
planned service changes, such as station additions, indirect costs, and the cost of the public safety training Center. We will
also conduct a review of indirect costs for services provided by other entities to validate that they are both appropriate and
sustainable during the forecast period.
We will review the model with City staff and provide background on model structure and operations in order to support
the transfer of continued model development and refinement following the project. We will provide a written report
presenting the financial cost model and associated recommendations.
19 Garfield Place, Suite 500. Cincinnati, OH 45202
www.raltelir._com
Exhibit "A" RAFTEL'S
THE FOLLOWING DETAILS THE PROPOSED WORK PLAN.
Activity 1: Project Initiation and Management
The project management task begins with the submittal of this proposal and will continue throughout the duration of the
study. It is designed to ensure the project progresses in an efficient and deliberate manner. This task will include
administrative components related to project management, an on -site or virtual project kick-off meeting, as desired by the
City, and the collection of all relevant data.
Task l . l : Conduct project kick-off meeting on -site or via virtual conference call, as desired by the client. This
meeting will support consensus among project participants regarding purpose, scope, timetable, relative
roles and responsibilities, as well as ongoing or anticipated issues / concerns that may impact the conduct
of the project. Results of the kick-off meeting will be memorialized in a summary memorandum.
Task 1.2: Prepare data request and begirt review of available data and other background information. The initial
data request will solicit information supporting the review and analysis tasks that follow, as well as
support the development of the financial plans. Additional data requests may occur as we learn more
about the organization and its operating relationships with stakeholders and service partners.
MEETINGS
Virtual kick-off meeting with City staff
DELIVERABLES
• Data request list and kick-off meeting summary memorandum
Activity 2: Review, Analyze, and Compile Operational and Cost Data
Raftelis will prepare and submit to City staff a detailed data request list. The data required will support review of all costs
from personnel, operating, equipment, apparatus, station infrastructure, indirect costs, and cost of maintaining the City's
Public Safety Training Center and indirect costs. Associated data sources may include operating and capital budgets,
financial reports, activity and service reports, population forecasts or growth projections, finance -related ordinances,
contractual agreements, and other relevant data. Activity 2 will include the review and compilation of data collected from
the City.
Task 2.1: Review the requested data received from the City. This information will support continuing analysis of
operations and development / refinement of the financial cost model for the City.
Task 2.2: Review operational cost elements. Our team will review the organization and structure of each station
and Fire Department work unit to assess its impacts on program operations now and in the future. This
may include operations, inspections, investigations, public education, technical services, administration,
and support.
Task 2.3: Review staffing cost elements. The project team will conduct a review of current and anticipated
deployment staffing levels of the Fire Department personnel..
Task 2.4: Review capital and technology cost elements. The project team will develop information on each Fire
Department station, facility, and apparatus to review age, condition, and maintenance data. We will
review the application of technology supporting equipment and existing facilities and assess what is
required for current and future operational needs. We will specifically assess current fire, emergency
Exhibit "A"
RAFTELIS
medical, and technical rescue training areas, current needs, and future plans, as well as funding
mechanisms in use.
Task 2.5: Conduct a virtual conference meeting with City staff to review the data received and to discuss the
issues and analysis to be included in the cost model. This important step confirms our initial
understanding of the City information that will be used in the financial cost model. We will also work
with staff to identify important issues that should be included in the financial cost model to adequately
support the City's understanding of possible changes and their impacts to operations and the financial
status of the organization. This information will be memorialized in a summary memorandum
identifying appropriate cost model elements.
MEETINGS
• One virtual conference meeting with City staff
DELIVERABLES
• Cost model development approach and cost assessment summary memorandum
Activity 3: Baseline Financial Cost Model Development
Activity 3 involves development of the financial cost model_ The baseline financial cost model will be constructed first,
followed by development of the expanded service financial cost model (Activity 4). This task includes developing the
model structure to accommodate the static data elements. Once the cost model structure is developed, the project team
will enter data from the City into the model and review model specifications with the Raftelis consulting team and City
staff.
Specific tasks to be conducted for development of the baseline model will include the following.
Task 3.1: Develop cost model structure and enter data into the model based upon the results of the prior task to
construct a baseline cost and forecast scenario. The baseline scenario represents continuing the current
level and intensity of services. This is the fundamental component of the financial model, and it is
important to develop understanding and agreement that the baseline model accurately represents current
services and associated revenues and costs.
Task 3.2: Incorporate existing indirect cost elements as a variable in the baseline model. The indirect costs
represent the charges for services provided by other parties to support operations. Task S in the proposed
project plan reviews the methodology for determining these costs and their application. Incorporating
indirect costs as a variable will allow the financial models to accommodate changes in approach or value.
Task 3.3: Review the baseline model with the Raftelis consulting team and identify modifications and/or
program adjustments required. The financial modeling team will review the draft baseline cost model
with fire and emergency service subject matter expert from Raftelis to identify any issues with approach
or data_
Task 3.4: Review the baseline cost model with City staff in a virtual meeting and identify modifications and/or
program adjustments that may be required. This task represents a fundamental quality control process
supporting both the baseline cost model development as well as the entire project. To use project
resources effectively, our project team requires that the City review the baseline cost model, including its
assumptions, approach, structure, and use of data, to validate that the results represent an accurate and
appropriate display of current operations and fiscal status.
Exhibit "A" RAFTELIS
Task 3.5: Make modifications and/or program adjustments based upon the results of the prior sub -task. The
project team will work with the compiled feedback provided by the City to make necessary changes to the
draft baseline financial cost model.
Task 3.6: Review the adjusted cost model with City staff in a virtual meeting and make any final modifications
and/or program adjustments required. Following this effort and agreement between the project team
and the City, we will provide a memorandum of understanding regarding the acceptance of the baseline
financial cost model as an appropriate representation of the City's fire service operations and supporting
financial management.
MEETINGS
• One virtual conference meeting with City staff to review the draft baseline financial cost model and identify
necessary changes.
• One virtual conference meeting with City staff to review the adjusted baseline financial model and adjustments
made to reflect both fire service operations and finances.
13ELIVERABLES
• Draft baseline financial cost model for review and comment.
• Adjusted baseline financial cost model for review and acceptance.
• Memorandum of understanding that the baseline financial cost model appropriately represents fire service
operations and financial status.
Activity 4: Expanded Service Model Development
Activity 4 involves development of the expanded service financial cost model. We will develop the expanded service
financial cost model that incorporates review of impacts from changes associated with identified issues and additional
services as identified in Activity 2. We will identify the full operating, capital and indirect costs associated with anticipated
service expansion within the ESD over the next five years to include, but not limited to, the development of new stations
and expansion of fire suppression, fire prevention, and EMS related activities throughout the ESD. This task includes
revising the model's structure (as necessary) and entering identified issue data from the City into the model and reviewing
model specifications with the Raftelis consulting team and City staff.
Task 4.1: Develop major issue information for expanded service. The project team will make modifications
and/or program adjustments based upon the operating requirements for possible program changes and
incorporate as a second cost model, projected over a 5 year period. The use of identified issue data will
allow the City to use the financial model to identify overall financial impacts associated with changes
associated with specific issues. The project team will develop and test the additional cost inputs to
confirm that they appropriately reflect impacts from identified issues to the cost model
Task 4.2: Incorporate existing / indirect cost elements as a variable in the expanded service model. The task
develops and tests the indirect cost inputs as a variable data element for change as revised information
becomes available through analysis in Task 5.
Task 4.3: Review the expanded service financial cost model with the Raftelis consulting team and identify
modifications and/or program adjustments required. A second review with Raftelis fire and emergency
service subject matter expert will review the use of the variable data and impacts to the financial model.
Exhibit "A" RAFTELIS
Task 4.4: Review the adjusted expanded financial service cost model with City staff in a virtual meeting. The
meeting and model review will identify any modifications and/or program adjustments that may be
required.
Task 4.5: The project team will make modifications and/or program adjustments based upon the results of the
prior sub -task. The project team will work with the compiled feedback provided by the City to make
necessary changes to the draft expanded service financial cost model.
Task 4.6: Review the adjusted model with City staff in a virtual meeting and make any final modifications
and/or program adjustments that are required. Following this effort and agreement between the project
team and the City, we will provide a memorandum of understanding regarding the acceptance of the
expanded service financial cost model as an appropriate representation of the City's fire service
operations, the use of identified issue data elements, as well as the impacts to the City's financial status.
MEETINGS
• One virtual conference meeting with City staff to review the draft expanded service financial cost model and
identify necessary changes.
• One virtual conference meeting with City staff to review the adjusted expanded service financial cost model and
application of identified issue data to reflect possible changes to City operations and finances.
DELIVERABLES
• Draft expanded service financial cost model for review and comment.
• Adjusted expanded service financial cost model for review and acceptance.
• Memorandum of understanding that the expanded service financial cost model appropriately represents impacts
from variable data to fire service operations and financial status.
Activity 5: Indirect Cost Review and Validation
Activity 5 includes review and validation of annual operating costs reimbursed for services provided by third parties
supporting efficient and effective fire operations. Completion of this task is dependent on the provision of data from the
City and effective review with City staff.
Task 5.1: Develop and review City detailed cost of service data. This information will support use in
development of both the baseline financial cost model and the expanded service financial cost model.
Task 5.2: Review City cost allocation methodology and application. The project team will solicit and review any
City policies and procedures related to indirect cost allocation and how they are applied to develop the
City's request for reimbursement, the timing, and format of the request for reimbursement.
Task 5.3: Validate City approach against industry practices and develop recommendations for change if
necessary. The project team will review the City's approach to determining indirect cost allocation. Any
identified issues or concerns will be documented in the final project report, including recommendations
for change, if necessary.
Task 5.4: Incorporate the recommended indirect costs in the developed base cost model and expanded service
cost model. Treating the indirect cost charges as a variable data element will support the City's review of
impacts associated with changes to the existing approach and allocation of costs.
Exhibit "A"
RAFTEL15
MEETINGS
• One virtual conference meeting with City staff to review indirect cost allocation approach, data sources, history,
and communications.
DELIVERABLES
• Incorporate indirect cost adjustments to baseline financial model and expanded service Financial model and
document any recommended changes in the final project report.
Activity 6: Review Preliminary Results
Activity 6 includes reviewing the preliminary results of the project with City leadership in a review session conducted
through a virtual conference meeting.
Task 6.1: Develop presentation in preparation for the meeting with City leadership. The project team will
develop a summarized presentation document supporting the discussion in the virtual setting.
Task 6.2: Meet with City leadership to present findings and recommendations. The project team will provide a
facilitated discussion supporting interaction and understanding among the meeting participants.
Task 6.3: Adjust the models based upon input from City leadership. Adjustments will be limited to variable data
changes following the previous acceptance by the City of the baseline financial cost model and the
expanded service financial cost model.
MEETINGS
• One virtual facilitated conference meeting with City staff and leadership.
DELIVERABLES
• Preliminary results presentation for City review and comment.
Activity 7: Prepare Draft and Final Reports
Raftelis will develop and provide to the City a Draft Report for the project. The Draft Report will be submitted to City
staff for review and comment. Compiled comments and revisions suggested by the City will be reviewed by the project
team before incorporating them and finalizing the document as the Final Report. The final financial model will also be
delivered to City staff in Excel format to support continued use, refinement, and development. In addition, a written
Project Summary Report summarizing model assumptions and key findings will also be provided. The model and report
will identify the full cost of providing services to the ESD as well as the methodology supporting that allocation. The
model will reflect personnel, operating, equipment, apparatus, station infrastructure, and the applicable cost of the City's
Public Safety Training Center and indirect costs. It will reflect current cost of service and the cost of service associated
with planned service expansion to the ESD over the next 5 years,
Task 7.1: Prepare a Draft Report for review and comment by City staff.
Task 7.2: Review the Draft Report with City staff for comments and suggested changes. To maintain project
schedules and plans, we request that the City provide any final comments in a compiled fashion through
a single response within 30 days of receiving the draft for review and subsequent virtual meeting.
Exhibit "A"
RAFTELI5
Task 7.3: Prepare the Final Report. The project team will work with City's compiled response and make limited
edits (as necessary) to promote understanding and effective communication of the report material.
MEETINGS
• One virtual conference meeting with City staff to review the Draft Project Summary Report.
DELIVERABLES
• Draft financial model in excel and Project Summary Report for City review and comment.
Final financial model in excel and Project Summary Report.
Activity 6: Final Presentation
Raftelis will present the summarized results of the study to the City in an interactive format, conducted on -site or through
a virtual conference meeting, as preferred by the City.
MEETINGS
• One on -site or virtual conference meeting as desired by the City to present the Final Project Summary Report.
DELIVERABLES
• Financial Cost Model provided in Excel format for continued use by City staff for use and adjustment reflecting
changing conditions and assumptions.
• Final Project Summary Report for City memorializing the purpose, conduct, issues, recommendations, and use
of the Financial Cost Model.
Exhibit "A"
IRAIFTELiS
Project Team
Jonathan Ingram
PROJECT DIRECTOR
Senior Manager
PROFILE
Jonathan has 16 years of experience in management consulting and local
government management, most recently as budget manager in the City of
Cincinnati, Ohio, budget office. Before that, Jonathan served as a management
consultant and worked in the city manager's office for the City of Highland Park,
Illinois.
Jonathan is a skilled financial analyst in the areas of budget and revenue analysis
and has led our work with fiscally distressed communities, supporting their efforts
to restore operational and financial sustainability. Additionally, he has extensive
experience as a management and operations consultant to local governments in
the United States and abroad.
As a consultant, Jonathan has completed operations reviews for over 200 local
governments and has helped to improve service delivery for a broad range of
departments — from police to public works. He has developed staffing and
deployment plans for city operating departments, analyzed and facilitated
intergovernmental consolidations, helped local governments develop custom
performance management systems, and facilitated the development of long-term
strategic plans and financial models.
Specialties
Staffing and operations assessment
Public safety staffing and operations
Financial management and planning
Process improvement
Professional History
Raftelis: Senior Manager (2021-
present) Manager (2020-2021); Senior
Associate, The Novak Consulting Group
(2012-2020)
4 City of Cincinnati, Ohio: Budget
Manager (2010-2012)
Management Partners: Senior
Management Advisor (2005-2010)
Education
Master of Public Administration -
Northem Illinois University (2005)
Bachelor of Arts in Political Science -
Aurora University (2003)
Professional Memberships
International City/County Management
Association (ICMA)
Ohio City/County Management
Association (OCMA)
Jonathan's areas of expertise are in local government budgeting and finance,
operations analysis, project management, public safety staffing analysis, process
improvement, and performance measurement. He is adept at quickly assessing
strengths and opportunities within a municipality, analyzing and developing actionable recommendations for
improvement, and communicating findings and next steps to a wide variety of audiences, including staff, elected officials,
and the public.
During his tenure with the City of Cincinnati, Jonathan managed the development and administration of a $1 billion
operating budget. He also conducted special analysis projects, served on the City's collective bargaining team, and co -
managed the implementation of an enterprise budget system.
Jonathan earned a bachelor's degree in political science from Aurora University and a master's degree in public
administration from Northern Illinois University. He is a member of the International City/County Management
Association and the Ohio City/County Management Association.
Exhibit "A"
RAFTFLIS
Mark Olson
PROJECT MANAGER
Senior Manager
Specialties
PROFILE f Local government budgeting and
financial management
Mark brings 30 years of consulting and local government service to the team. As Strategic and tactical planning
a consultant, Mark's work includes financial and management audits, Organizational assessment
organization and management consulting, productivity and benchmarking Business process improvement
studies, and cost analysis and process improvement projects for state and local Change management
governments.
Professional History
His clients have ranged from large state agencies to small, independent local Raftelis: Senior Manager (2021-
governments across the nation. Areas of work include financial and operational present); Manager (2020)
+ DuPage County, Illinois Health
reviews in a wide variety of service areas. He employs a collaborative approach Department: Chief Financial
with clients in developing information, assessing alternatives, and producing Officer/Director of Business Resources
solutions. Mark also uses a variety of tested study approaches that are customized (2014-2020)
to meet the particular objectives of the project or client. • Financial, Operations and Management
Consulting (1997-2014)
Whether the project takes the form of a comprehensive government review or a Forest Preserve District of DuPage
single agency review to meet a variety of project purposes, Mark has led or County: Budget and Management
participated in these reviews in virtually every area of government service Coordinator (1994-1997)
provision at the local level. These reviews involved issues such as Illinois Department of Transportation:
Budget Development Coordinator
financial/operational sustainability, staffing level reviews, strategic planning, (1991-1994)
budgeting, resource allocation, performance measurement, process studies, best Illinois Office of Management and
practices and benchmarking analyses, compliance reviews, alternative service Budget: Capital Program Analyst (1988-
delivery, and operational improvement. These projects have involved service 1991)
areas such as finance, accounting, purchasing, human resources, planning,
community development, public works, parks and recreation, police, fire, Education
emergency medical services, emergency communications, school administration, • Master of Arts in Public Policy -
library administration, and museum administration. This wide-ranging issue and University of Chicago (1998)
agency background provides him with a breadth of knowledge, skills, and abilities + Bachelor of Arts in Sociology -
that he applies to every project. In addition to comprehensive government University of Illinois at Urbana -
reviews, Mark has led multiple -agency reviews to identify opportunities for Champaign (1985)
shared services or alternative service delivery. These projects have included Bachelor of Arts in Political Science -
emergency communications reviews, inter -jurisdictional University of Illinois at Urbana -
Champaign service sharing, and Champaign (1985)
consolidation.
Mark earned a master's degree in public policy studies with an emphasis on
Professional Memberships
• financial and operations analyses from the Harris Graduate School of Public Government Finance Officers
Association (GFOA)
Policy Studies at the University of Chicago. Mark also holds a bachelor's degree Institute of Management Accountants
in political science and a bachelor's degree in sociology from the University of
Illinois at Urbana -Champaign.
Exhibit "A"
RAFTELIS 10
Tom DeMint
FIRE AND EMERGENCY SERVICES
SUBJECT MATTER EXPERT
Principal Consultant — Fire and Emergency Medical Services
Specialties
PROFILE
+ Fire Department and Emergency
Medical Services assessment
Tom DeMint was the fire chief of the Poudre Fire Authority (PFA) in Fort
+ Consolidation/shared services
Collins, Colorado from June 2011 to June 2021. He is respected as an effective
evaluation
leader that is driven, versatile and enthusiastic. As a highly experienced trainer,
Staffing studies
teacher and mentor, focused on continued growth and improvement, Tom saw
Fire service funding and budgeting
Fire service response and deployment
the PFA receive accreditation from the Commission of Fire Accreditation
International (CFAI) twice, reduced the community's ISO rating, developed two
Professional History
strategic plans, implemented collective bargaining, opened new stations and
Consultant — Raftelis (2022 to Present)
innovated new services, and led the initial responses to COVED-19 pandemic.
Consultant — Emergency Services
Tom has broad experience with emergency management as he led the PFA
Consultants International, Chantilly, VA
through the two largest wildfires in Colorado history (the High Park and
(2021-2022)
Cameron Peak Fires) as well as the devastating floods of 2013.Aware of current
• Fire Chief -- Poudre Fire Authority
local social, economic, and political priorities, Tom has been a reliable, efficient,
(2011-2021)
resourceful, innovative, proactive, and responsive leader. He reported directly to
Shift Battalion Chief — Poudre Fire
the Poudre Fire Authority Board of Directors, the Fort Collins City Council, and
Authority (2005-2011)
the Poudre Valley Fire Protection District Board of Directors. Tom is Past
Training Chief — Poudre Fire Authority
President of the Colorado State Fire Chiefs (CSFC).
(2003-2005)
Strategic Plan Coordinator — Poudre
Fire Authority (2002-20031
For five years, Tom served as the President of the Board of Directors for the
Assistant Fire Marshall — Poudre Fire
Front Range Fire Consortium Authority, overseeing fire recruit and incumbent
Authority {1998.2002)
training for fire departments throughout Northern Colorado, Wyoming, and
Captain — Poudre Fire Authority (1997-
Montana. Tom is the former Co -Chair of the Fort Collins 9-11 Memorial fund
1998)
raising committee and member of the Fort Collins Fire Museum Committee. He
Firefighter— Poudre Fire Authority
has conducted classes on fire prevention and fire code instruction in the United
(1998-1998)
States, the Middle East, and the Caribbean.
EMT/Paramedic—Stormont Vail,
Topeka, LS & Poudre Valley Hospital
Tom is a member of the International Association of Fire Chiefs (L ,FC),
(1977-1988)
National Fire Protection Association (NFPA), Metro Fire Planners, and in the
Education
past has been active in the Fire Marshals Association of Colorado, the
+ Bachelor's Degree In Public
International Code Council, and Partnership for Aging Friendly Communities.
Administration — Regis university
He is recognized as a Credentialed Chief Fire Officer by the Commission on
Associates of Applied Sciences,
Professional Credentialing and is a Level 1 Peer Assessor for the CFAI.
Paramedic — Pratt Community College
National Fire Academy Executive Fire
KEY PROJECT EXPERIENCE
Officer —United States Fire
Administration
Center for Public Safety Chief Fire
Cedar Rapids Fire Department (IA)
Officer Designation
Tom serves as the Fire Service Subject Matter Expert for an overall
organizational assessment Cedar Rapids Fire Department. In addition to an
Professional Memberships
overall assessment, this project includes an analysis of current fire department
International Association of Fire Chiefs
staffing in all areas, fire station infrastructure and location. Tom worked with
(Missouri Valley Division)
Raftelis GIS experts to conduct an analysis of current fire station locations and
National Fire Protection Association
recommendations for future station locations.
Metro Fire Planners
Fire Marshals Association of Colorado
Loveland Fire Rescue Authority (CO)
Commission on Professional
Credentialing —Level 1 Peer Assessor
Tom serves as the Fire Service Subject Matter expert for an assessment of the
Colorado State Fire Chiefs
funding components and the funding split between the City of Loveland and the
Loveland Rural Fire protection District that provides revenue for the Loveland
Exhibit "A"
RAFTELIS 9 7
Fire Rescue Authority. Tom applied his experience with the funding of amalgamated fire service organizations to
evaluate and recommend funding alternatives through a dynamic funding model developed by Raftelis consultants and
financial experts. This allowed for an evaluation of current funding of the Authority through its participating entities as
well as an evaluation for future funding strategies to maintain and improve levels of fire and emergency services in a
rapidly growing community.
Hopkins Fire Department (MN)
Tom serves as the Fire Service Subject Matter Expert for an overall organizational and staffing assessment of the City of
Hopkins Fire Department. This assessment analysis of current fire department staffing in all functional areas, fire station
and apparatus infrastructure and an analysis of possible alternative deployment models.
PROJECT LIST
• Cedar Rapids Fire Department (IA) — Overall organizational assessment, staffing assessment, infrastructure
assessment, deployment assessment and fire station location analysis.
• Loveland Fire Rescue Authority (CO) Analysis of current funding and the split between the governmental
entities the fund the Authority. Analysis of future funding sources through special election(s) and the application
of a Raftelis financial model to predict future funding.
• Hopkins Fire Department (MN) — Overall analysis of Fire Department focused on staffing, deployment,
apparatus, infrastructure and fire prevention services.
Exhibit "A" RA"IE="s 12
Angie Flores
PROJECT CONSULTANT
Senior Manager Specialties
Financial planning modeling
PROFILE
Utility cost -of -service & rate studies
Angie has worked in the water and wastewater utility industry for over 25 years.
Acquisition analysisConservation
Over this time, she has completed various cost of service and rate studies,
pricing
Cost analysis & cost allocation
financial planning models, and impact fee studies for cities such as Round Rock,
System development/impact fee
Denton, Arlington, Abilene, and San Angelo. Before beginning her work as a
studies
consultant in 2013, Angie worked for the Lower Colorado River Authority
Affordability analysis
(LCRA) for 12 years. She was responsible for developing rate studies and
k Rate case experience
financial planning models and participating in the business plan process for 32
water and wastewater utilities. LCRA is responsible for managing the Highland
Professional History
Lakes system in Central Texas and is a major wholesale electric provider. Before
Raftelis: Senior Manager (2020-
LCRA, Angie worked as a financial analyst at the Texas Water Development
present); Manager 12018-2019); senior
Board. The Texas Water Development Board is a financial resource for political
consultant (2016-2017)
subdivisions of the State of Texas.
HDR Engineering, Inc.: Rates & Finance
Lead(2013-2016)
Senior
LowerialAnalyst&
KEY PROJECT EXPERIENCE
Financial Analyst &Rates Supervisor
Rates
City31
of Round Rock X
� �
Texas 20 to
� Texas Water Development Board:
Angie has served as project manager for the City of Round Rock on several
Senior Financial Analyst (1992-2001)
impact fees and rate studies. In 2015 and 2018, Angie updated the City's water
and wastewater impact fee study. The impact fee study is completed in
Education
coordination with the City's master plan process for water and wastewater. This
Bachelor of Arts in Government -The
includes coordination with the Impact Fee Advisory Committee (Planning &
University of Texas, Austin (1991)
Zoning Committee) and presenting reports and findings to the City Council.
Professional Memberships
Raftelis has conducted rate studies for the City since 2014. Since joining Raftelis
AWWA
in 2016, Angie has been on the team for Raftelis and, most recently, managing
AWWA: Publications Committee
the studies. In 2015, Raftelis provided an analysis that established the cost of
AWWA: Rates and Charges Committee
Water Environment Federation
service between retail and wholesale customers. The City has been increasing
retail rates at a nominal level to achieve revenue sufficiency for water and
wastewater service, but wholesale service rates were updated some time ago.
Raftelis determined the cost of service and calculated wholesale rates according to
the utility approach and developed a three-year phase -in of rates for 2016-2018.
Raftelis also developed alternative rate structures for the residential, commercial, and irrigation customer classes. City
Council approved and adopted rate structures and rates for retail and wholesale customers.
In 2022, Raftelis updated the City's rate study and provided rate calculations for two new wholesale customers. This
latest rate study calculated rates for retail and wholesale customers. No changes to the retail rates were required in this
study. Wholesale customers saw a decrease in wastewater rates and an increase in water rates.
In 2019, the wholesale customers of Round Rock appealed the rates from the FY 2017 rate study. The case has been filed
through the Public Utilities Commission of Texas. The rate case has progressed through the PUCT. Angie is managing the
Raftelis team.
PROJECT LIST
Brownsville Public Utilities Board (TX) - Utility Strategic Plan
El Paso Water Utilities (TX) — Customer Assistance Program
City of Abilene (TX) — Water and Wastewater Financial Plan and Rate Study
City of Arlington (TX) Water and Wastewater Financial Plan and Rate Study
Exhibit "A"
RAFTBLIS 13
• City of College Station (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Copperas Cove (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Corpus Christi (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Corpus Christi (TX) - Water, Wastewater, Roadway Impact Fee Study
• City of Corpus Christi (TX) - EPA Financial Capability Analysis
• City of Denton (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Denison (TX) - Water, Wastewater, Roadway Impact Fee Study
• City of Georgetown (TX) - Water and Wastewater Impact Fee Study
• City of Granbury (TX) - Water and Wastewater Impact Fee Study
• City of Liberty Hill (TX) - Water and Wastewater Rate Study (Retail and Wholesale)
• City of Manor (TX) -- Water and Wastewater Financial Plan and Rate Study
• City of Midland (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Midland (TX) - Reclaimed Water Rate Study
• City of Missoula (MT) - Acquisition Analysis
• City of Pearland (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Pharr (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Pueblo (CO) - EPA Financial Capability Analysis
• City of Richmond (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Roscoe (TX) - Water and Wastewater Financial Plan and Rate Study
• City of Round Rock (TX) - Water and Wastewater Rate Study (Retail and Wholesale)
• City of Round Rock (TX) - Water and Wastewater Impact Fee Study
• City of San Angelo (TX) - Water and Wastewater Financial Plan and Rate Study
• City of San Marcos (TX) - Economic Development Analysis
• City of Three Rivers (TX) - Water and Wastewater Rate Study
• City of Universal City (TX) - Water and Wastewater Impact Fee Study
• City of Wichita Falls (TX) - Wholesale Water Rate Study
• City of Wichita Falls (TX) Economic Analysis
• City of Wichita Falls (TX) - Water and Wastewater Rate Study
• Goforth Special Utility District (TX) - Water and Wastewater Impact Fee Study
• Liberty Utilities (TX) Water PUCT Rate Case
• Porter Special Utility District (TX) Water Rate Study
• San Antonio Water System (TX) - Water and Wastewater Cost of Service Study
• San Jacinto River Authority (TX) - Raw Water Rate Study
• San Jacinto River Authority (TX) GRP Rate Study
• Town of Addition (TX) - Water and Wastewater Rate Study
PRESENTATIONS
• "Sharing Our Resources- How Abilene Priced Its Newest Service," Texas Water 2018
ARTICLES
• "Utility Best Management Practices: Strong Adopted Financial Management Policies," coauthored by Bryan A.
Mantz and Angie Flores, Journal AWWA, April 5, 2022
DEPOSITIONSITESTI MONY
SOAH Docket No. 582-08-2863, TCEQ Docket No. 2008-0093-UCR, "Appeal of Retail Water and Wastewater Rates
of the Lower Colorado River Authority
Exhibit "A" R"F'E"g 14
Claire Pritchard
PROJECT CONSULTANT
Senior Consultant
Specialties
PROFILE f Organizational assessment
Staffing analysis
Claire began her consulting career following five years of service with Dakota Survey and data analysis
County, Minnesota, where most recently, she held the position of assistant to the - Best practice and benchmarking
county manager. research
While with Dakota County, Claire coordinated the County's legislative agenda,
Profesion al History
sions
ff f Navas Consulting
assisted in the development of the annual budget, and conducted financial impact
Group: Consultant (2021-present);
analyses and process improvement efforts for a variety of County functions.
Associate consultant (2018-2020)
Claire also coordinated the County's transition to a new form of government in
Dakota County, Minnesota:
Assistant to the County Manager
2013.
(2013-2017)
National Association of Regional
As a consultant, Claire has worked on organizational and staffing analyses for
Councils: Policy Intern (2012)
communities around the country, such as the Town of Nantucket, Massachusetts,
Congressional Research Service
(2010-2011)
the City of Allentown, Pennsylvania, and the City of Bloomington, Indiana.
Claire has assisted in developing financial models to analyze revenue and
Education
expenditure trends, as well as conducted detailed staffing and workload analysis
Master of Public Policy - University
to determine optimal organizational structures. She has developed and analyzed
of Chicago (2013)
an array of employee and community -based surveys. Claire has conducted several
Bachelor of Arts in Political Science
- university of Chicago (2009)
best practice and benchmarking research projects and has assisted in the creation
of strategic planning and implementation deliverables.
Professional Memberships
International City/County
As a student at the University of Chicago, Claire served as a policy intern with
Management Association (ICMA)
Engaging Local Government
the National Association of Regional Councils, where she developed an
Leaders (ELGL)
educational program on the work of regional councils. She was also the associate
editor for international development for the Chicago Policy Review.
Claire earned a bachelor's degree in political science from the University of Chicago and a master's degree in public
policy from the University of Chicago Harris School of Public Policy. She is a member of the International City/County
Management Association and is a former ICMA Local Government Management Fellow.
Exhibit "A"
RAFTELIS 15
Experience
Loveland Fire Rescue Authority co
Reference: Timothy E. Sendelbach, Chief
P: 970.962.28271 E: tim.Sendelbach@Ifra.org
Raftelis was contracted by the Loveland Fire Rescue Authority (LFRA) to review current operations, financial condition,
financial management, and forecasts of demographic and operational changes to provide a projection of funding needs for
the Authority. A dynamic forecast model was developed to support this effort that identified and incorporated major
variable elements to support changing conditions and assumptions now and, in the future, as well as assess the financial
impacts of a series of operational scenarios. The dynamic forecast model and associated project report fully documented
the effort and transferred necessary information to the LFRA staff to support continued use and adjustment of the model
for management review and decision making.
Pelham -Batesville Fire District sc
Reference: Phill Jolley, Fire Chief
P: 864.877.1247 I E: pjolley@pbfd.com
Raftelis developed an interactive 10-year financial forecasting model to assess the financial sustainability of the Pelham -
Batesville Fire District (District), whose primary source of revenue are property taxes. The study included consideration
of the financial effects from a loss in property tax revenue due to an annual annexation agreement with the City of Greer.
To maintain service by the Fire District, the City provided contract payments to the District, however the payments were
determined to be inadequate to sustain the service to the annexed properties. With the agreement within two years of
expiration, Raftelis was retained to assist the District and its attorney in contract negotiations with the City of Greer. For
that task, we developed an isolated analysis of potential revenues from the City and the required revenue for the District
to be financially sustainable to continue to serve the annexed properties. Those negotiations are currently underway.
City of Centennial CO
Reference: Jeff Cadiz, Finance Director
P: 303.754.34401 E: jcadiz@centennialco.gov
The City of Centennial (City) engaged Raftelis to develop an interactive, dynamic, and sustainable model to support
better understanding of past resource availability and resource use, as well as provide mechanisms to forecast future
requirements over a ten-year period. The model supports use of both historical as well as current information as a basis
for projecting revenues, expenditures, and fund balances in the major operating funds. The model is based on budgeted
and actual revenue, expenditure, and fund balance data provided by the City of Centennial. Projections are based on a
variety of factors, including past history, projected future cost of living increases, and other operating information
provided by the City. The model is intended to serve as a living document, and support update by the City over time.
City of Edina MIN
Reference: Scott Neal, City Manager
P: 952.927.8861 / E: sneal@edinamn.gov
The City of Edina (City) engaged TNCG, now part of Raftelis, to complete a comprehensive staffing and operational
assessment of the Police and Fire Departments. Edina, which is a first -tier inner -ring suburb of the Twin Cities, was
experiencing increases in demand for police and fire services, as well as changes in the type of service required in the
Exhibit "A"
RAFTELIS 16
community. We worked closely with Police and Fire Department personnel to develop a detailed understanding of the
public safety service delivery context and priorities in the community. We then analyzed workload trends and patterns
within the framework of those priorities and developed staffing and structure recommendations that better positioned the
departments to meet their service level targets. Also, we identified several process and technology improvements that
serve to increase the available capacity of existing personnel. The result is a clearly articulated staffing and deployment
model that has positioned the City to elevate public safety service levels.
City of Bloomington IN
Reference: Caroline Shaw, Human Resources Director
P: 812.349.35781 E: shawcaro@bloomington.in.gov
The City of Bloomington (City) began a systematic process of assessing each City department and engaged Raftelis to
lead these efforts. To date, detailed assessments have been completed or are planned for all City departments including
the Fire Department. The purpose of the operational assessment of the City's Fire Department (Department) was to
evaluate the Department's staffing, structure, and operations, and to identify opportunities to enhance efficiency and
effectiveness. The firm conducted individual interviews and focus groups with Fire Department staff, including
Command Staff, Captains, Chauffeurs, and Firefighters from each shift, as well as Inspection Officers, Shift Training
Officers, representatives from the Union Board, and Battalion Chiefs. In addition to interviewing staff, the firm toured
each of the Department's five fire stations, requested and reviewed call data and performance indicators provided by the
Department, and analyzed the Department's practices and operations for comparison to industry best practices.
Clearcreek Township off
Reference: Jack Cameron, Former Township Administrator (Current Township Administrator of Delhi Township, OH)
P: 513.922,3111 / E: jcameron@delhi.oh.us
Clearcreek Township (Township) engaged TNCG, now part of Raftelis, to conduct an operations and management
assessment of its Fire Department. The purpose of this study was to evaluate the structure and operations of the
Clearcreek Fire Department (Department), including staffing levels, command structure, administrative responsibilities,
and space utilization in current facilities, and to identify operating and capital needs. The Township also requested that
the firm review compensation practices for Department personnel. Recommendations were designed to improve the
Department's overall organization and service levels, assess resource constraints, and address concerns regarding space
needs.
City of Harrisburg PA
Reference: Marita Kelly, Deputy Director —State Department of Community and Economic Development
P: 717.720.7301 1 E: markelley@pa.gov
The City of Harrisburg (City) engaged TNCG, now Raftelis, as the City's Act 47 Coordinator in 2011. The
Commonwealth of Pennsylvania determined the City to be "financially distressed" under the guidelines of Act 47, the
Municipalities Financial Recovery Act. As Coordinator, the firm led a review of all City operations and finances
including the Bureau of Fire. Multiple recommendations to improve efficiency and effectiveness were made, including
changes to shift schedules, evaluating tradeoff of out of service apparatus and staffing up on remaining apparatus, safety
committee review of all work -related injuries, and more. The accompanying projected cost savings were presented for
each recommendation to provide the City with a menu of possible corrections to improve fiscal condition without
sacrificing the quality of fire and EMS service.
Exhibit "A"
RAFTELIS 17
City of Edina MN
Reference: Scott Neal, City Manager
P: 952.927.8861 / E: SNeal@EdinaMN.gov
Edina engaged The Novak Consulting Group to complete a comprehensive staffing and operational assessment of the
Police and Fire Departments. Edina, which is a first -tier inner -ring suburb of the Twin Cities, was experiencing increases
in demand for police and fire services, as well as changes in the type of service required in the community. We worked
closely with Police and Fire Department personnel to develop a detailed understanding of the public safety service
delivery context and priorities in the community. We then analyzed workload trends and patterns within the framework
of those priorities and developed staffing and structure recommendations that better positioned the departments to meet
their service level targets. Also, we identified several process and technology improvements that serve to increase the
available capacity of existing personnel. The result is a clearly articulated staffing and deployment model that has
positioned the City to elevate public safety service levels.
City of Cedar Rapids iA
Reference: Chief Greg Smith, Fire Department
P: 319.431.3807 / E: g.smith@cedar-rapids.org
The firm was engaged by the City of Cedar Rapids (City) to conduct a deployment analysis and operational review of the
Cedar Rapids Fire Department. The goal of this engagement is to identify opportunities for improved efficiency and
effectiveness of operations, staffing, structure, technology, processes, and policies, as well as a review of staffing and
deployment models, including the physical location of the City's fire stations.
City of Allentown PA
Reference: Michael Hanlon, City Clerk
P: 610.437.7556 / E: michael.hanlon@alientownpa.gov
In 2019, The Novak Consulting Group, now Raftelis, was hired to conduct an Early Intervention Program (EIP) review
of the City of Allentown's (City) Citywide operations, including Fire and EMS services. This program provides eligible
communities with a unique opportunity to assess the fundamentals of good governance, including sound financial
management practices, effective budgeting and forecasting, the efficiency of service delivery, appropriate of organization
structure, and process and procedural constraints.
Our review of Fire and EMS operations resulted in specific recommendations to better integrate Fire and EMS operations
and management, add firefighter positions to the suppression function, hire a paramedic, develop a schedule for multi -
company fire training drills, develop electronic pre -plans of all high -risk facilities, and more.
Lower Paxton Township PA
Reference: Bradley Gotshall, Township Manager
P: 717.657.5600 / E: bgotshall@lowerpaxton-pa.gov
In 2022, Raftelis was hired to conduct a comprehensive management and financial assessment of the Lower Paxton
Township (Township), including detailed review of the Township's current finances and financial practices, as well as
review of the Township's departments and their operations. The recommendations developed in this project were
designed to help the Township stabilize its finances and streamline service delivery as part of the Township's involvement
in the Pennsylvania Department of Community and Economic Development's (DCED) Strategic Management Planning
Program (STMP) to assist in the development of a short- and long-term fiscal and operational plan. The project also
Exhibit "A"
RAFTELIS Is
identified opportunities to define the organization's strategic goals more clearly and to restructure some Township
services to better achieve those goals and enhance efficiency_ Applicable industry standards and best practices were
utilized in conjunction with input and information provided by Township staff to formulate recommendations_
Timeline
A draft timeline is included. We expect to refine this with the District during Task 1.
APR MAY JUN JUL AUG
Activity 1 -Project
Initiation and Management
Activity 2 - Review and
Compile Data
Activity 3 - Baseline Model
Development
Activity 4 - Expanded
Service Model
Development
Activity 5 - Indirect Cost
Review I Validation
Activity 6 -Review
Preliminary Results
Activity 7 -Prepare Draft
and Final Reports
Activity 8 - Final
Presentation
Iry -Person Meefings
Web Meefings
Deliverables
Exhibit "A"
RAFTELIS TB
Fee
The total fixed fee to complete the scope of work outlined in this proposal is $68,940, which includes all professional fees
and expenses.
Activity
Project
Hours
9
Charges
$4,238
1
Initiation
and
Management
Activity
Review and
38
$9, 770
2
Compile
Data
Activity
_
Baseline
64
$16,360
3
Model
Development _
Activity
Expanded
30
$7,890
4
Service
Model
Development
Activity
Indirect Cost
42
$10,950
5
Review /
Validation
Activity
Review
20
$5,300
6
Preliminary
Results
Activity
Prepare
40
_
$9,820
7
Draft and
Final
Reports
Activity
Final
12
$4,612
8
Presentation
TOTAL
255
$68,940
We look forward to the opportunity to serve the City of Round Rock. If you have any questions, please do not hesitate to
contact the Project Director, Jonathan Ingram, using the following contact information:
Jonathan Ingram, Senior Manager
Phone: (513) 221-0500 / Email: jingram�d-raftelis.com
Sincerely,
Julia Novak
Executive Vice President
The City accepts the terms of this engagement letter and proposal at a cost of $68,940:
Exhibit "A" RAFTELIS
20
Approved: Date --
Name of Signatory: Title:.
City of Round Rock
ROUND ROCK
TEXAS Agenda Item Summary
Agenda Number:
Title: Consider executing an Agreement with Raftelis Financial Consultants, Inc. for a
cost of service and indirect cost allocation study.
Type: City Manager Item
Governing Body: City Manager Approval
Agenda Date: 6/23/2023
Dept Director: Susan Morgan, CFO
Cost: $68,940.00
Indexes: General Fund
Attachments: Round Rock Fire COS Contract Raftelis FINAL 061223, Raftelis Proposal - Round
Rock ESD
Department: Finance
Text of Legislative File CM-2023-139
The City provides substantial fire services outside its corporate boundaries under an interiocal agreement
with Williamson County Emergency Services District No. 9 (ESD). The agreement requires the ESD to levy
its maximum legal tax rate and remit 90% of those revenues to the city in exchange for those services.
After a preliminary review by staff performed in Fall 2022, it appears the City is not recovering its full cost
of service to the ESD. As the ESD is limited in its property taxing authority by state law, the ESD board has
stated it plans to call a November 2023 special election to add a 1% sales tax to cover its full costs and
allow for additional service delivery within the ESD.
To properly identify the full cost of service for the City's fire service and the cost allocated to the ESD, staff
have developed an agreed upon scope of work with Raftelis. The City already has a long-standing working
relationship with Raftelis as its utility rate consultant. Raftelis has a consulting team that specializes in this
type of work, including a former fire chief.
If the ESD is successful, the city will need a full cost of service study to identify the proper costs to charge
the ESD. This study and resulting financial model would also provide the ESD with valuable information to
support its need for additional revenues.
The deliverable will include an Excel -based model to assist City Fire and Finance staff in evaluating both the
cost of service and future planned additions. The project is expected to be completed within 90 days.
City of Round Rock Page 1 of 2
Agenda Item Sammary Continued (CM-2023.139)
The work will be performed under a fixed fee contract totaling $68,940.
Staff recommends approval.
Cost. $68,940
Source of Funds: General Funds
City of Round Rock Page 2 of 2