HomeMy WebLinkAboutAgenda Report - October 3, 2012 C-10AGENDA ITEM C A 0
111ACITY OF LODI
COUNCIL COMMUNICATION
FOR
AGENDA TITLE: Adopt Resolution Authorizing City Attorney to Execute Professional Services
Agreement with NBS Government Finance Group, of Temecula, to Perform
General BenefitAnalysis of the City's Consolidated Landscape Maintenance
District No. 2003-1 ($16,224.85)
MEETING DATE: October 3,2012
PREPARED BY: Public Works Director
RECOMMENDED ACTION: Adopt resolution authorizing City Attorney to execute professional
services agreement with NBS Government Finance Group, of
Temecula, to perform a general benefit analysis of the City's
Consolidated Landscape Maintenance District No. 2003-1 in the amount of $16,224.85.
BACKGROUND INFORMATION: The City's Consolidated Landscape Maintenance District No. 2003-1
(District)was formed in 2003 to establish assessments that include
ongoing maintenance and replacement of reverse frontage
landscaping and irrigation, parkway trees, a prorated share of public park maintenance, and masonry
sound walls. NBS Government Finance Group (NBS) has worked as the City's consultant preparing the
District annual reports since 2005.
NBS currently prepares an Engineer's Reportthat establishes the annual assessment paid by property
owners within the Districtto cover the cost of maintenance, operation and servicing the improvements.
The method of apportionment is based on the premise that each of the assessed parcels with the District
received special benefit from the improvements maintained and financed by District assessments.
Recent case law is challenging the current apportionment methodology (Golden Hills Neighborhood
Association v City of San Diego). The "new" methodology includes a general benefits analysis to separate
and quantify special benefits that only the maintenance districts receive versus a general benefit that not
only the maintenance districts receive but also the general public may receive. Based on a preliminary
review by staff, there are numerous zones within the Districtthat benefit not only those within the zone but
also the general public. NBS will provide analysis and numerical support for the breakdown of special
versus general benefit in a report. The City will be able to use the reportto determine the amount of the
general benefit contribution and the amount of the budget that should be assessed for special benefit.
FISCAL IMPACT: The new method of apportionment will increase the burden on the Streets
fund to coverthose District costs that are benefitingthe general public.
FUNDING AVAILABLE: Funding comes from the various assessment revenue accounts of the Lodi
Consolidated Landscape Maintenance Assessment District 2003-1 for the
2013/14 fiscalear.
Jordan Ayers
Deputy City Mana er/Internal ervices Director
F. Wally andelin
Public Works Director
Prepared by Chris Boyer, Assistant Engineer
FWS/CB/pmf
APPROVED:
Konradt Bartlam, City Manager
K:\WP\DEV—SERV\LandscapeDistrict\CC General BenefitAnalysis LMD- NBS,doc 9119/2012
AGREEMENT FOR PROFESSIONAL SERVICES
ARTICLE 1
PARTIES AND PURPOSE
Section 1.1 Parties
THIS AGREEMENT is entered into on 2012,
by and between the CITY OF LODI, a municipal corporation (hereinafter "CITY), and
NBS GOVERNMENT FINANCE GROUP (hereinafter `CONTRACTOR").
Section 1.2 Purpose
CITY selected the CONTRACTOR to provide the services required in
accordance with attached Scope of Services, Exhibit A, attached and incorporated by
this reference.
CITY wishes to enter into an agreement with CONTRACTOR for General Benefit
Analysis Report (hereinafter "Project") as set forth in the Scope of Services attached
here as Exhibit A. CONTRACTOR acknowledges that it is qualified to provide such
services to CITY.
ARTICLE 2
SCOPE OF SER)
Section 2.1 Scope of Services
CONTRACTOR, for the benefit and at the direction of CITY, shall perform the
Scope of Services as set forth in Exhibit A.
Section 2.2 Time For Commencement and Completion of Work
CONTRACTOR shall commence work pursuant to this Agreement, upon receipt
of a written notice to proceed from CITY or on the date set forth in Section 2.6,
whichever occurs first, and shall perform all services diligently and complete work under
this Agreement based on a mutually agreed upon timeline or as otherwise designated in
the Scope of Services.
CONTRACTOR shall submit to CITY such reports, diagrams, drawings and other
work products as may be designated in the Scope of Services.
CONTRACTOR shall not be responsible for delays caused by the failure of CITY
staff to provide required data or review documents within the appropriate time frames.
The review time by CITY and any other agencies involved in the project shall not be
1
counted against CONTRACTOR's contract performance period. Also, any delays due to
weather, vandalism, acts of God, etc., shall not be counted. CONTRACTOR shall
remain in contact with reviewing agencies and make all efforts to review and return all
comments.
Section 2.3 Meetinss
CONTRACTOR shall attend meetings as may be set forth in the Scope of
Services.
Section 2.4 Staffing
CONTRACTOR acknowledges that CITY has relied on CONTRACTOR's
capabilities and on the qualifications of CONTRACTOR's principals and staff as
identified in its proposal to CITY. The Scope of Services shall be performed by
CONTRACTOR, unless agreed to otherwise by CITY in writing. CITY shall be notified
by CONTRACTOR of any change of Project Manager and CITY is granted the right of
approval of all original, additional and replacement personnel at CITY's sole discretion
and shall be notified by CONTRACTOR of any changes of CONTRACTOR's project staff
prior to any change.
CONTRACTOR represents it is prepared to and can perform all services within
the Scope of Services (Exhibit A) and is prepared to and can perform all services
specified therein. CONTRACTOR represents that it has, or will have at the time this
Agreement is executed, all licenses, permits, qualifications, insurance and approvals of
whatsoever nature are legally required for CONTRACTOR to practice its profession, and
that CONTRACTOR shall, at its own cost and expense, keep in effect during the life of
this Agreement all such licenses, permits, qualifications, insurance and approvals, and
shall indemnify, defend and hold harmless CITY against any costs associated with such
licenses, permits, qualifications, insurance and approvals which may be imposed against
CITY underthis Agreement.
Section 2.5 Subcontracts
Unless prior written approval of CITY is obtained, CONTRACTOR shall not enter
into any subcontract with any other party for purposes of providing any work or services
covered by this Agreement.
Section 2.6 Term
The term of this Agreement commences on October 10, 2012 and terminates
upon the completion of the Scope of Services or on September 6, 2013, whichever
occurs first.
N
ARTICLE 3
COMPENSATION
Section 3.1 Compensation
CONTRACTOR's compensation for all work under this Agreement shall conform
to the provisions of the Fee Proposal, attached hereto as Exhibit B and incorporated by
this reference.
CONTRACTOR shall not undertake any work beyond the scope of this
Agreement unless such additional work is approved in advance and in writing by CITY.
Section 3.2 Method of Payment
CONTRACTOR shall submit invoices for completed work on a monthly basis, or
as otherwise agreed, providing, without limitation, details as to amount of hours,
individual performing said work, hourly rate, and indicating to what aspect of the Scope
of Services said work is attributable. CONTRACTOR's compensation for all work under
this Agreement shall not exceed the amount of the Fee Proposal.
Section 3.3 Costs
The Fee Proposal shall include all reimbursable costs required for the
performance of the Scope of Services. Payment of additional reimbursable costs
considered to be over and above those inherent in the original Scope of Services shall
be approved in advanced and in writing, by CITY.
Section 3.4 Auditing
CITY reserves the right to periodically audit all charges made by CONTRACTOR
to CITY for services under this Agreement. Upon request, CONTRACTOR agrees to
furnish CITY, or a designated representative, with necessary information and assistance
needed to conduct such an audit.
CONTRACTOR agrees that CITY or its delegate will have the right to review,
obtain and copy all records pertaining to performance of this Agreement.
CONTRACTOR agrees to provide CITY or its delegate with any relevant information
requested and shall permit CITY or its delegate access to its premises, upon reasonable
notice, during normal business hours for the purpose of interviewing employees and
inspecting and copying such books, records, accounts, and other material that may be
relevant to a matter under investigation for the purpose of determining compliance with
this requirement. CONTRACTOR further agrees to maintain such records for a period of
three (3) years after final payment under this Agreement.
3
ARTICLE 4
MISCELLANEOUS PROVISIONS
Section 4.1 Nondiscrimination
In performing services under this Agreement, CONTRACTOR shall not
discriminate in the employment of its employees or in the engagement of any sub
CONTRACTOR on the basis of race, color, religion, sex, sexual orientation, marital
status, national origin, ancestry, age, or any other criteria prohibited by law.
Section 4.2 ADA Compliance
In performing services under this Agreement, CONTRACTOR shall comply with
the Americans with Disabilities Act (ADA) of 1990, and all amendments thereto, as well
as all applicable regulations and guidelines issued pursuant to the ADA.
Section 4.3 Indemnification and Responsibility for Damage
CONTRACTOR to the fullest extent permitted by law, shall indemnify and hold
harmless CITY, its elected and appointed officials, directors, officers, employees and
volunteers from and against any claims, damages, losses, and expenses (including
reasonable attorney's fees), arising out of performance of the services to be performed
under this Agreement, provided that any such claim, damage, loss, or expense is
caused by the negligent acts, errors or omissions of CONTRACTOR, any subcontractor
employed directly by CONTRACTOR, anyone directly or indirectly employed by any of
them, or anyone for whose acts they may be liable, except those injuries or damages
arising out of the active negligence of the City of Lodi or its officers or agents.
Section 4.4 No Personal Liability
Neither the City Council, nor any other officer or authorized assistant or agent or
City employee shall be personally responsible for any liability arising under this
Agreement.
Section 4.5 Responsibility of CITY
CITY shall not be held responsible for the care or protection of any material or
parts of the work described in the Scope of Services prior to final acceptance by CITY,
except as expressly provided herein.
Section 4.6 Insurance Requirements for CONTRACTOR
CONTRACTOR shall take out and maintain during the life of this Agreement,
insurance coverage as set forth in Exhibit C attached hereto and incorporated by this
reference.
4
Section 4.7 Successors and Assigns
CITY and CONTRACTOR each bind themselves, their partners, successors,
assigns, and legal representatives to this Agreement without the written consent of the
others. CONTRACTOR shall not assign or transfer any interest in this Agreement
without the prior written consent of CITY. Consent to any such transfer shall be at the
sole discretion of CITY.
Section 4.8 Notices
Any notice required to be given by the terms of this Agreement shall be in writing
signed by an authorized representative of the sender and shall be deemed to have been
given when the same is personally served or upon receipt by express or overnight
delivery, postage prepaid, or three (3) days from the time of mailing if sent by first class
or certified mail, postage prepaid, addressed to the respective parties as follows:
To CITY: City of Lodi
221 West Pine Street
P.O. Box 3006
Lodi, CA 95241-1910
Attn: Wally Sandelin, Public Works Director
To CONTRACTOR: NBS Government Finance Group
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Attn: Greg Davidson, Director
Section 4.9 Cooperation of CITY
CITY shall cooperate fully and in a timely manner in providing relevant
information it has at its disposal relevant to the Scope of Services.
Section 4.10 CONTRACTOR is Not an Employee of CITY
CONTRACTOR agrees that in undertaking the duties to be performed under this
Agreement, it shall act as an independent contractor for and on behalf of CITY and not
an employee of CITY. CITY shall not direct the work and means for accomplishment of
the services and work to be performed hereunder. CITY, however, retains the right to
require that work performed by CONTRACTOR meet specific standards without regard
to the manner and means of accomplishment thereof.
Section 4.11 Termination
CITY may terminate this Agreement, with or without cause, by giving
CONTRACTOR at least ten (10) days written notice. Where phases are anticipated
within the Scope of Services, at which an intermediate decision is required concerning
whether to proceed further, CITY may terminate at the conclusion of any such phase.
Upon termination, CONTRACTOR shall be entitled to payment as set forth in the
attached Exhibit B to the extent that the work has been performed. Upon termination,
CONTRACTOR shall immediately suspend all work on the Project and deliver any
documents or work in progress to CITY. However, CITY shall assume no liability for
costs, expenses or lost profits resulting from services not completed or for contracts
entered into by CONTRACTOR with third parties in reliance upon this Agreement.
Section 4.12 Confidentiality
CONTRACTOR agrees to maintain confidentiality of all work and work products
produced under this Agreement, except to the extent otherwise required by law or
permitted in writing by CITY. CITY agrees to maintain confidentiality of any documents
owned by CONTRACTOR and clearly marked by CONTRACTOR as "Confidential" or
"Proprietary", except to the extent otherwise required by law or permitted in writing by
CONTRACTOR. CONTRACTOR acknowledges that CITY is subject to the California
Public Records Act.
Section 4. 3 1 t v 11 i n Se) -a and :)rney' s
This Agreement shall be governed by the laws of the State of California.
Jurisdiction of litigation arising from this Agreement shall be venued with the San
Joaquin County Superior Court. If any part of this Agreement is found to conflict with
applicable laws, such part shall be inoperative, null, and void insofar as it is in conflict
with said laws, but the remainder of this Agreement shall be in force and effect. In the
event any dispute between the parties arises under or regarding this Agreement, the
prevailing party in any litigation of the dispute shall be entitled to reasonable attorney's
fees from the party who does not prevail as determined by the San Joaquin County
Superior Court.
Section 4.14 City Business License Requirement
CONTRACTOR acknowledges that Lodi Municipal Code Section 3.01.020
requires CONTRACTOR to have a city business license and CONTRACTOR agrees to
secure such license and pay the appropriate fees prior to performing any work
hereunder.
Section 4.15 Captions
The captions of the sections and subsections of this Agreement are for
convenience only and shall not be deemed to be relevant in resolving any question or
interpretation or intent hereunder.
6
Section 4.16 Integration and Modification
This Agreement represents the entire understanding of CITY and
CONTRACTOR as to those matters contained herein. No prior oral or written
understanding shall be of any force or effect with respect to those matters covered
hereunder. This Agreement may not be modified or altered except in writing, signed by
both parties.
Section 4.17 Contract Terms Prevail
All exhibits and this Agreement are intended to be construed as a single
document. Should any inconsistency occur between the specific terms of this
Agreement and the attached exhibits, the terms of this Agreement shall prevail.
Section 4.18 Severability
The invalidity in whole or in part of any provision of this Agreement shall not void
or affect the validity of any other provision of this Agreement.
Section 4.19 Ownership of Documents
All documents, photographs, reports, analyses, audits, computer media, or other
material documents or data, and working papers, whether or not in final form, which
have been obtained or prepared under this Agreement, shall be deemed the property of
CITY. Upon CITY's request, CONTRACTOR shall allow CITY to inspect all such
documents during CONTRACTOR's regular business hours. upon termination or
completion of services under this Agreement, all information collected, work product and
documents shall be delivered by CONTRACTOR to CITY within ten (10) calendar days.
CITY agrees to indemnify, defend and hold CONTRACTOR harmless from any
liability resulting from CITY's use of such documents for any purpose other than the
purpose for which they were intended.
Section 4.20 Authority
The undersigned hereby represent and warrant that they are authorized by the
parties to execute this Agreement.
Section 4.21 Federal Transit Funding Conditions
❑ If the box at left is checked, the Federal Transit Funding conditions attached as
Exhibit apply to this contract. In the event of a conflict between the terms of this
contract or any of its other exhibits, and the Federal Transit Funding Conditions, the
Federal Transit Funding Conditions will control.
7
IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this
Agreement as of the date first above written.
ATTEST:
RANDIJOHL
City Clerk
CITY OF LODI, a municipal corporation
D. STEPHEN SCHWABAUER
City Attorney
APPROVED AS TO FORM: CONTRACTOR:NBS
D. STEPHEN SCHWABAUER, City Attorney
JANICE D. MAGDICH, Deputy City Attorney
By: By:
LV Name: Greg Davidson
Title: Director
Attachments:
Exhibit A - Scope of Services
Exhibit B - Fee Proposal
Exhibit C - Insurance Requirements
Funding Source:
(Business Unit& Account No.)
Doc ID:WP\DEV_SERV\LandscapeDistrict\NBS General Benefits Contract
CA:rev.01.2012
8
QNBS
helping oommunldes
fund tomorrow
870 Market Street, Suite 1223
San Francisco. CA 94102
Toll free: 800.434.8349
nbsgov.com
COVER LETTER AND EXECUTIVE SUMMARY
July 5, 2012
D. Stephen Schwabauer
City Attorney
City of Lodi
P.O. Box 3006
Lodi, CA 95241
RE: NBS' ability to support the City of Lod iwith a General Benefit Analysis for the 17Total
Zones (16 existing zones plus lannexation zone) of the City's Consolidated Landscape
Maintenance District (LMD) No. 2003-1
Dear Mr. Schwabauerand colleagues,
From our discussions, we understand that the City of Lodi is interested in a General BenefitAnalysis for
the 17 Total Zones (16 existing zones plus Iannexation zone) of the City's Consolidated Landscape
Maintenance District (LMD) No. 2003-1,
NBS is a firm with over 15 years of history with directly applicable experience in property -related fees,
special assessments and taxes, and we work closelywith the legislative options available in California as
well as limitationsset by Propositions 218 and 26.
We purposefully are submitting this brief letter -format proposal but we are happy to provide further
informationas desired.
How would NBS proceed?
Nick Dayhoff, the City's assigned Financial Analyst, and myself, would dedicate time to understand your
specific needs and quantify the data and parameters. We have included a sample scope to demonstrate
our typical approach, but we would work with you to hone the final tasks and commensuratetimeline. The
goals are to identify areas cf the Engineer's Report that can be strengthened and supported in accordance
with Proposition 218 and recent case law. The report will provide analysis and numerical support for the
breakdown of special vs. general benefit. The City will be able to use the reportto determine the amount of
the general benefit contribution and the amount of the budget that should be assessed for special benefit.
What would be ourfirststeps?
We would provide a thorough review of the proposed improvements and maintenance services, budgets,
location and type of improvements, analyze Proposition 218 special benefit, general benefit and recent case
law to separate and quantify special vs. general benefit. Meet with City staff to develop a general benefit
contribution and approach for Consolidated Landscape Maintenance District No. 2003-1. Providestaffwith
related support for the duration of the project.
helping aommunitiee fund tomorrow
Whatis NBS' experience?
As mentioned above, we at NBS have a wealth of experience with Special Financing Districts across
California, which includes working through legal issues on fees, assessments and special taxes. As a
quick primer on NBS, we are proud of our 15 year history of assisting cities, counties, and local
government entities with specific consulting and analysis projects.
Please review this very brief statement, our comprehensive scope and additional information. We would
appreciate the opportunity to work with you all on this effort. Please call me with any questions at
800.676.7516 or email at adavidson Mnb.saov.com,
Sincerely,
Greg bavidson
Director
114 C3 0 Page 2
SCOPE OF SERVICES
General Benefit Analysis
Project Schedule. NBS will communicate with City staff, legal counsel and other interested parties to:
• Establish lines of communication.
• Clarify the specific project goals, components and criteria that will meet the City's preference.
• Develop project schedules to meet legal requirements and provide for effective interfacing of al l involved
parties.
• Establish meeting points consistentwith schedule to achieve project milestones.
• Establish and coordinate with City staff a schedule to assure completion of necessary actions and
compliancewith statutes.
Special v. General Benefit Analysis. Review the proposed improvements and maintenance services,
budgets, location and type of improvements, analyze Proposition 218 special benefit, general benefit and
recent case law to separate and quantify special vs. general benefit. Meet with City staff to develop a
general benefit contribution and approach for Consolidated Landscape Maintenance District No. 2003-1.
Provide staff with related support for the duration of the project.
Support Determinations. Review the determinations made by the original Assessment Engineer, which
shall include, but not be limited to the Method of Assessment and provide support for those determinations
as information and research allows.
Exempt Parcels, Review all parcels that have been exempted from the annual assessment within the
boundaries of the District and provide recommendations on how each of these parcels should be addressed
in the future.
Findings and Recommendations Report. Prepare a report, summarizing our findings and
recommendations. The main goal of the report is to identify areas of the Engineer's Report that can be
strengthened and supported in accordance with Proposition 218 and recent case law. The report will
provide analysis and numerical support for the breakdown of special vs. general benefit. The City will be
able to use the report to determine the amount of the general benefit contribution and the amount of the
budget that should be assessed for special benefit. Support for determinations made by the original
assessment engineer will be provided as available. The identification of parcels exempt from the
assessmentwill be identifiedand addressed.
TIMELINE
DATE DESCRIPTION
September2012
Kicknff meeting to discuss timeline, goals and objectives
November2,2012
comment
November16,2012
City provides feedback on general benefit analysis. NBS incorporates
anychanges
November30,2012
NBS providesfinal general benefit analysis to the City
Q N BS Page 3
DATE
DESCRIPTION
NBS implements findings of the general benefit analysis into the FY
March 2013
2013/14 Engineer's Report
AGS subrraits 2013/14 assessments and Resolution Ordering Levy and
August 2013
Collection of Assessments to San Joaquin County for placement on the
County Tax Roll
PROJECT TEAM
NBS is staffed with seasoned experts who are dedicated to providing our clients with the best possible
results. The NBS staff of over 35 consultants and engineers has extensive experience in the fields of
finance, management, engineering, and local governance and combine their knowledge to produce a
synergy that results in maximum success and minimum risk.
Professional Biographies
Greg Davidson, Client Services Director
Greg Davidson is a Director with NBS where he and his staff form and administer special financing
districts, including Landscape Maintenance Districts, 1913 and 1915 Act Assessment Districts, Mello -
Roos Community Facilities Districts, and Property -Based Business Improvement Districts. Greg is actively
involved in managing the day-to-day district administration operations, the preparation of the annual
special assessment levies, and related special projects. He has worked directly with more than 100
Agencies administering 300 Districts.
• District Formation. Greg has formed Special Financing Districts consisting of:
• Business Improvement Districts
• Community Facilities Districts (CFD, or Mello -Roos)
• Landscape Maintenance Districts
• District Administration Greg has over 13 years of experience in actively managing ongoing
administration and annual levy calculations for 1913/1915 Act Assessment Districts, Landscape
Maintenance Districts, Mello -Roos Community Facilities Districts, and Property -Based Business
Improvement Districts. He has trained numerous staff, and has directly prepared levies for hundreds
of Assessment and Special Tax Districts. He has also provided consulting services related to curing
troubled districts which have involved judicial foreclosure, refinancing and property owner bond
tender programs.
• Finarcial Projects. Greg has experience performing revenue audits, parcel audits, tax roll billing
services and the formation of various Special Financing Districts.
• Continuing Disclosure: Greg has several years of experience in preparing and disseminating Municipal
Disclosure Reports for numerous California Agencies. He currently is involved with the preparation
and approval of more than 160 disclosure reports for 1915 Act, Community Facilities District, Tax
Allocation and General Obligation Bonds.
• 1915 Rawsesww# and Refunding.- Greg has prepared several Reassessment Reports as required by
the CA Streets and Highways Code §9523, saving parcel owners a significant amount of money.
• Proposition 218: Greg provides Proposition 218 consulting services related to the establishment or
increase of charges and assessments.
QN BS Page4
Pablo Perez, ProjectManager
Pablo Perez is a Director with NBS where he and his staff form and administer various types of Special
Financing Districts (SFD). He has over 19 years of experience, and is actively involved with district
formations and bond issuance/refunding analysis as well as daily management of district administration
operations. Healsoperforms feasibility studiesand related financial projects.
• SFD 'projectr Pablo has significant experience with many types of SFD's including: 1972 Act
Maintenance Districts, Community Facilities Districts (CFD's), Standby and other Fees and Charges,
1915 and 1911 Act Assessment Districts, Business Improvement Districts (BID's), Benefit Assessment
Districts (BAD's) and Public Safety Districts including Fire Assessments and Taxes. His involvement
includes analysis of district finances as well as oversight of tasks such as audits of assessment liens,
delinquency management activities, apportionment of liens, continuing disclosure, arbitrage rebate
calculations, bond tenders, and district workouts.
• Continuing Disclosure. • He has been responsible for the preparation and dissemination of disclosure
reports for all types of municipal bonds for over a hundred public agencies.
• Fivandal Pryects: Pablo has managed numerous projects relating to assessment and special tax
districts, including apportionments of 1915 Act liens, tax roll billing services, continuing disclosure
reports, arbitrage rebate calculations, human resources consulting. fund analysis and
recommendations, bond tenders, conversion of bonds, delinquency management, and special project
consulting.
• Proposition 218: Pablo provides Proposition 218 consulting services related to the establishment or
increase of fees, charges and assessments. He is an acknowledged expert in Proposition 218
compliance programswhich of particular significancewas the City of La Habra Heights project. There
were over 2,000 assessment ballots mailed, and the property owners voted to retain the annual
assessment for street maintenance.
• County Data Procurement • Pablo is on a "first name basis" with many of the County assessor and
auditor's staff in the State.
• Pablo has 22 years of experience in the private and public finance sectors, including 20 years
specializing in the administration of special financing districts. Prior to working in public finance
administration, he worked for a financial firm in New York.
Nick Dayhoff, Financial Analyst
Nick Dayhoff is a Financial Analyst at NBS, where he administers special financing districts, including
1913/1915 Act Assessment Districts, Mello -Roos Community Facilities Districts, Landscape and Lighting
Districts, Benefit Assessment Districts, and Property Related Fees and Charges. Nick has experience in
all aspects of special district administration, including continuing disclosure and delinquency
management. He is actively involved in the daily administration of district administration operations.
• DzrtrictAdimnistration: Nick's administrative functions include calculation of annual levies, analysis of
district finances, calculation of redemption of bonds from prepayments, apportionment of liens and
annual report preparation. Nick deals with county agents including the Auditor Controller's Office,
Treasurer Tax Collector, and County Assessor's Office. He understands county timetables and
requirementsfor transmittal and processing of data critical to the successful administration of special
districts. In addition, he is available to assist district property owners with questions or concerns and
provide explanations of bond covenants and government code in a manner understandable to
professionals and the layperson.
• SpeddPmjects: In addition to the above listed responsibilities, Nick has experience in special projects,
including Proposition 218 compliance and notification, district closeouts, assisting public agencies
with the coordination of public hearings, assisting cities and districts with code compliance on several
topics related to land-based financing, assistance with judicial foreclosure processes and pre-
formation and pre -bond disclosure analysis.
Q N BS Page 5
Carrtir:ming Disclosure: Nick has prepared and disseminated municipal disclosure reports for several
California agencies. He prepared and disseminated ongoing disclosure reports for special financing
districts including 1915 Act Assessment Districts, Community Facilities Districts, Revenue Bonds and
Local Obligation Disclosure Reporting in compliance with Securities Exchange Commission
regulation 15c2-12.
FEES
General Benefit Analysis
Base Fee.......................................................................................$9,750 plus $1,000 per zone
Expenses
Customary out-of-pocket expenses will be billed to the City at actual cost to NBS. These expenses may
include, but not be limited to travel, postage, telephone, reproduction, meals and various third -party
charges for data, maps, and recording fees. Consultants expenses will not exceed 10% of the total fee.
Additional Services
The following table shows our current hourly rates. Additional services authorized by the City will be billed
at this rate or the then applicable hourly rate.
Terms
Services will be invoiced monthly until completion of the project. Expenses will be itemized and included
in the next regular invoice. Fees for all other services will be invoiced upon completion of the task. If the
project is prematurely terminated by either party, NBS shall receive payment for work completed.
Payment shall be made within 30 days of submittal of an invoice. If payment is not received within 90
days simple interest will begin to accrue at the rate of 1.5% per month. Either party can cancel
administrationcontracts with 30 days written notice.
QN BS Page 6
HourlyTitle
Director
$190
Senior Consultant/Programmer
150
Engineer
140
Consultant
130
Analyst
100
Clerical/Support
55
Expert Witness
TBD; with minimum fee
Terms
Services will be invoiced monthly until completion of the project. Expenses will be itemized and included
in the next regular invoice. Fees for all other services will be invoiced upon completion of the task. If the
project is prematurely terminated by either party, NBS shall receive payment for work completed.
Payment shall be made within 30 days of submittal of an invoice. If payment is not received within 90
days simple interest will begin to accrue at the rate of 1.5% per month. Either party can cancel
administrationcontracts with 30 days written notice.
QN BS Page 6
CITY OF LODI
1972 ACT DISTRICT ADMINISTRATION
SPREAD OF ADMINISTRATION FEES AND EXPENSES
GOOD THROUGH 9130113
Total 644 $139,020.10 $2,858.43 $12,920.14 $15,778.57 100.00% $446.28 $16,224.85
CPI at 10/01/06
Base Fee
Zone Fee
Fees at
CPI at 10101108
Fees at
Original
2.5%
Fees at 10/01/06
Allocated
Allocated
3.6%
9/01/09
Base Fee
2,500.00
62.50
Active
84.56
Pro rata
Pro rata
2,742.35
Per Zone Fee
800.00
20.00
820.00
Parcel
FY 2012113
based on Levy
based on Levy
Total Annual
100.00
2.50
Total
District
Count
LevyAmount
Amount
Amount
District Fee
Percentage
Expenses
Invoice
Fees at
CPI at 10/01/11
Fees at
from above
0.1%
Fees at 10/01/10
0.9%
10/01/11
Consol 2003-1 Almondwood Estates
74
17,588.32
361.64
2.74
361.64
2.29%
1023
371 87
Consol 2003-1 Century Meadows One
133
27,060.18
556.39
2,869.53
3,425.92
21-71%
96.90
3,52282
Consol 2003-1 Niillsbridge 11
39
6,968.52
143.28
738.96
88224
5.59%
24.95
90719
Consol 2003-1 Almond North
28
6,743.00
138.64
715.05
853.69
5.41%
24.15
87784
Consol 2003-1 Legacy I, Legacy II and Kirst Estates
223
46,334.94
952.70
4,913.48
5,866.18
37.18%
165.92
6,03210
Consol 2003-1 The Villas
80
19,563.20
402.24
2,074.53
2,476.77
15.70%
70.05
2,54682
Consol 2003-1 Woodiake Meadow
5
671.00
13.80
114.34
128.24
0.81%
3.62
13176
Consol 2003-1 Vintage Oaks
17
6,336.58
130.29
671.95
802.24
5.08%
22.69
82493
Consol 2003-1 Interlake Square
11
2,008.82
41.30
213.02
254.32
1.61%
7.19
261 51
Consol 2003-1 Lakeshore Properties
7
906.36
18.64
96.11
114.75
0.73%
3.25
11800
Consol 2003-1 Tate Property
4
1,445.36
29.72
153.27
182.99
1.16%
5.18
18817
Consol 2003-1 Winchester Woods
8
1,567.84
32.24
166.26
198.50
1.260/a
5.61
20411
Consol 2003-1 Guild Avenue Industrial
8
720.60
14.82
76.41
91.23
0.58%
2.58
9381
Consol 2003-1 Luca Place
1
420.24
8.64
4456
53.20
0.34%
1.51
5471
Consol 2003-1 Guild Avenue industrial
4
579.18
11.91
61.42
73.33
0.46%
2.07
7540
Consol 2003-1 West Kettleman Lane Commercial
2
105.96
2.18
11.25
13.43
0.09%
0.38
1381
Total 644 $139,020.10 $2,858.43 $12,920.14 $15,778.57 100.00% $446.28 $16,224.85
NOTE: per agreement, the 2012113 Zone fee is $914.70 per Zone except Zone 1 (no Zone fee) and Zone 7 ($114.34 per agreement). Annual Zone fee =
Zones 2-16 (except Zone 7) = 14 zones x $914.70 = $12,805.80 + $114.34 Zone 7 = $12,920.14. Total annual Zone fee is spread among districts based on
levy amount. Base fee is also allocated to all Zones, including Zone 1, pro rata based on levy amount.
N BS 8/27/2012
CPI at 10/01/06
CPI at 10/01/07
Fees at
CPI at 10101108
Fees at
Original
2.5%
Fees at 10/01/06
3.3%
9/20/08
3.6%
9/01/09
Base Fee
2,500.00
62.50
2,562.50
84.56
2,647.06
95.29
2,742.35
Per Zone Fee
800.00
20.00
820.00
27.06
847.06
30.49
877.55
Per Zone Fee for Zone 7
100.00
2.50
102.50
3.38
105.88
3.81
109.69
Fees at 9/01(09
CPI at 10101/09
CPI at 10/01/10
Fees at
CPI at 10/01/11
Fees at
from above
0.1%
Fees at 10/01/10
0.9%
10/01/11
3.2%
10/01/12
Base Fee
2,742.35
2.74
2.74509
24.71
2,769.80
88.63
2,858.43
Per Zone Fee
877.55
0.88
878.43
7.91
886.34
28.36
914.70
Per Zone Fee for Zone 7
109.69
0-11
109.80
0-99
110.79
3.55
114.34
NOTE: per agreement, the 2012113 Zone fee is $914.70 per Zone except Zone 1 (no Zone fee) and Zone 7 ($114.34 per agreement). Annual Zone fee =
Zones 2-16 (except Zone 7) = 14 zones x $914.70 = $12,805.80 + $114.34 Zone 7 = $12,920.14. Total annual Zone fee is spread among districts based on
levy amount. Base fee is also allocated to all Zones, including Zone 1, pro rata based on levy amount.
N BS 8/27/2012
-71
Fxhibit C
Insurance Reauirementsfor Contractor The Contractor shall takeout and maintain during the life of this contract,
insurance coverage as listed below. These insurance policies shall protect the Contractor and any subcontractor
performing work covered by this contract from claims for damages for personal injury, including accidental death, as
well as from claims for property damages, which may arise from Contractor's operations under this contract, whether
such operations be by Contractor or by any subcontractor or by anyone directly or indirectly employed by either of
them, and the amount of such insuranceshall be as follows:
COMPREHENSIVE GENERAL LIABILITY
$1,000,000 Ea. Occurrence
$2,000,OOOAggregate
COMPREHENSIVE AUTOMOBILE LIABILITY
$1,000,000 Bodily Injury - Ea. Person
$1,000,000 Bodily Injury - Ea. Occurrence
$1,000,000 Property Damage- Ea. Occurrence
PROFESSIONAL ERRORS AND OMISSIONS
Not lessthan $1,000,000 per Claim. Certificateof Insuranceonly required.
NOTE: Contractor agrees and stipulates that any insurance coverage provided to the City of Lodi shall provide for a
claims period following termination of coverage which is at least consistent with the claims period or statutes of
limitations found in the California Tort Claims Act (California Government Code Section 810 et seq.).
NOTE: (1) The street address of the CITY OF LODI must be shown along with (a) and (b) above: 221 West Pine
Street, Lodi, California, 95241-1910; (2) The insurance certificate must state, on its face or as an endorsement, a
description of theroa iect that it is insuring.
A copy of the certificate of insurancewith the following endorsements shall be furnished to the City:
(a) Additional Named Insured Endorsement
Such insurance as is afforded by this policy shall also apply to the City of Lodi, its elected and appointed
Boards, Commissions, Officers, Agents, Employees, and Volunteers as additional named insureds.
(This endorsement shall be on a form furnished to the City and shall be included with Contractor's policies.)
(b) Primary Insurance Endorsement
Such insurance as is afforded by the endorsement for the Additional Insureds shall apply as primary insurance.
Any other insurance maintained by the City of Lodi or its officers and employees shall be excess only and not
contributing with the insurance afforded by this endorsement.
(c) Severabilitvof InterestClause
The term "insured" is used severally and not collectively, but the inclusion herein of more than one insured shall
not operate to increase the limit of the company's liability.
(d) Notice of Cancellation or Change in Coverage Endorsement
This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written notice
of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 W. Pine St., Lodi, CA
95240.
Comaensation Insurance The Contractor shall take out and maintain during the life of this contract, Worker's
Compensation Insurance for all of Contractor's employees employed at the site of the project and, if any work is
sublet, Contractorshall requirethe subcontractor similarly to provide Worker's Compensation Insurancefor all of the
latter's employees unless such employees are covered by the protection afforded by the Contractor. In case any
class of employees engaged in hazardous work under this contract at the site of the project is not protected under the
Worker's Compensation Statute, the Contractor shall provide and shall cause each subcontractor to provide
insurance for the protection of said employees. . A waiver of subrogation is required for workers compensation
insurance. This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written
notice of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 W. Pine St,, Lodi, CA
95240.
NOTE: No contract agreement will be signed nor will any work begin on a project until the proper insurance certificate
is received by the City.
RESOLUTION NO. 2012-156
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
CITY ATTORNEY TO EXECUTE PROFESSIONAL SERVICES
AGREEMENT FOR PERFORMANCE OF GENERAL BENEFIT
ANALYSIS OF THE CITY'S CONSOLIDATED LANDSCAPE
MAINTENANCE DISTRICT NO. 2003-1
WHEREAS, the City's Landscape Maintenance District (LMD) was formed in 2003 to
establish assessments that include ongoing maintenance and replacement of reverse frontage
landscaping and irrigation, parkway trees, a prorated share of public park maintenance, and
masonry sound walls; and
WHEREAS, NBS Government Finance Group has worked as the City's consultant since
2005, performing an annual assessment that covers a portion of the estimated costs of
maintenance, operation, and servicing of the improvements that is paid by the property owners
within the districts; and
WHEREAS, the improvements are said to be special benefits received by the property
owners within the districts in accordance with Proposition 218 and, as such, they pay for the
maintenance of these benefits; however, recent case law has found the methodology used to
create the LMD is flawed; and
WHEREAS, the City is now required to perform a general benefits analysis to separate
and quantify special benefits that only the maintenance districts receive versus a general benefit
that not only the maintenance districts receive but also the general public may receive; and
WHEREAS, staff recommends executing a professional services agreement with NBS
Government Finance Group, of Temecula, California, to provide analysis and numerical support
for the breakdown of special versus general benefit in a report.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
authorize the City Attorney to execute a professional services agreement with NBS Government
Finance Group, of Temecula, California, to perform a general benefit analysis of the City's
Consolidated Landscape Maintenance District No. 2003-1 in the amount of $16,224.85.
Dated: October 3, 2012
hereby certify that Resolution No. 2012-156 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held October 3, 2012, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Katzakian, Nakanishi, and
Mayor Mounce
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS —None
ABSTAIN: COUNCIL MEMBERS— None
IJOHL
City Clerk
2012-156