HomeMy WebLinkAbout7/1/2009 - STAFF REPORTS - 2.L. ;O�pALM SA4
ry
u n
4�
CITY COUNCIL STAFF REPORT
DATE: July 1, 2009 Consent Calendar
SUBJECT: AWARD CONTRACT WITH NBS GOVERNMENT FINANCE GROUP
FOR ASSESSMENT DISTRICT ADMINISTRATION
FROM: David H. Ready, City Manager
BY: Department of Finance and Treasury
SUMMARY
NBS Government Finance Group (NBS) has been providing the City of Palm Springs
with assessment district administration services for several years. The City currently
has 5 active A.D.'s, and, 9 active Lighting & Landscape Maintenance Districts. The total
expected costs are $28,800, all of which will be paid for by the assessment districts.
No General Fund monies will be used.
RECOMMENDATION:
1. Award a contract with NBS Government Finance Group (NBS) of Temecula, CA,
for assessment district administration services for FY 09-10 in an amount not-to-
exceed $28,800.
2. Authorize the City Manager to execute all necessary documents.
STAFF ANALYSIS:
NBS will perform all the duties noted in the Scope of Services as per their Proposal.
The administration of the 5 active A.D.'s, including an estimate for the costs of
delinquency management, will be $25,538. This is an average cost of about $33 per
property. If the delinquency management costs begin to exceed the contract limit, an
amendment to the contract will be submitted to Council at a future date.
The costs of putting the 9 Landscaping and Lighting Districts on the property tax rolls
will be at the rate of $250 per district, for a total of $2,250. This also includes
researching and correcting parcel splits, sales of parcels to non-taxable entities, etc.
h, t
ITEM NO.
City Council Staff Report
July 1, 2009 -- Page 2
NBS Contract for Assessment District Administration
The total cost of all services from NBS for FY 09-10 under this contract is estimated not
to exceed $28,800.
Section 7.04.030 of the Municipal Code provides that the City Council may authorize the
acquisition of supplies, equipment or services without competition when it is determined
that an unusual or unique situations exists, in that due to experience and expertise
demonstrated in prior contracts with the city a particular contractor is uniquely qualified
for a particular task, that makes the application of all requirements of competitive sealed
bidding or competitive sealed proposals contrary to the public interest. Pursuant to the
requirements of Section 7.04.030, the Procurement Manager and the Director of
Finance have determined that the prior contract performance and special expertise of
NBS for assessment district administration services is acceptable and will adequately
protect the public interest in that the total cost of the services to be provided will likely
be equal to or less than what could be obtained through an independent City
competitive process at this time.
FISCAL IMPACT:
All of the costs of this contract will be borne by the A.D.'s or the Landscaping & Lighting
Maintenance Districts. There is no General Fund Impact.
-
Geoffrey S. Kiehl David H. Ready
Director of Finance and Treasurer City Manager
Attachment: Contract Services Agreement
f
f
CONSULTING SERVICES AGREEMENT
With NBS for 1915 Act District Administration Services
THIS AGREEMENT FOR CONSULTING SERVICES (the ",Agreement") is made and
entered into this_day of , 2009,by and between the City of Palm Springs,a California
charter city and municipal corporation ("City"), and NBS Government Finance Group (dba
NBS) ("Consultant").
RECITALS
'A. City requires the services of a professional consultant to provide district
administration services for current and future assessment districts.
B_ Consultant has submitted to City a proposal to provide 1915 Act District
Administration Services for current and future districts pursuant to the terms of this Agreement.
C. Based on its experience, education, training, and reputation, Consultant is
qualified to provide the necessary services to City for the Project and desires to provide such
services.
D. City desires to retain the services of Consultant for the Project.
NOW, THEREFORE, in consideration of the promises and mutual agreements contained
herein, City agrees to retain and does hereby retain Consultant and Consultant agrees to provide
services to the City as follows:
AGREEMENT
L CONSULTANT SERVICES
1.1 Scope of Services. In compliance with all terms and conditions of this
Agreement, Consultant shall provide 1915 Act Assessment District Administration Services as
described in the Scope of Services/Work Proposal attached to this Agreement as Exhibit"A" and
incorporated herein by reference (the "services" or "work"), which includes the agreed upon
schedule of performance and the schedule of fees. Consultant warrants that all services and work
shall be performed in a competent, professional, and satisfactory manner in accordance with all
standards prevalent in the industry. In the event of any inconsistency between the terms
contained in the Scope of Services/Work Proposal and the terms set forth in the main body of
this Agreement, the terms set forth in the main body of this Agreement shall govern.
1.2 Compliance with Law. All services rendered under this Agreement shall be
provided in accordance with all laws, ordinances, resolutions, statutes, rules, and regulations of
City and any federal, state, or local governmental agency of competent jurisdiction.
1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expense such
licenses, permits, and approvals as may be required by law for the performance of the services
required by this Agreement.
5076392
Revlsed;5fE/fie
t i`
r
i3
i
1.4 Familiarity with Work By executing this Agreement, Consultant warrants that
it has carefully considered how the work should be performed and fully understands the
facilities, difficulties, and restrictions attending performance of the work under this Agreement.
2. TIME FOR COMPLETION.
1
The time for completion of the services to be performed by Consultant is an essential
condition of this Agreement. Consultant shall prosecute regularly and diligently the work of this
Agreement according to the agreed upon schedule of performance set forth in Exhibit "A".
Consultant shall not be accountable for delays in the progress of its work caused by any
condition beyond its control and without the fault or negligence of Consultant. Delays shall not
entitle Consultant to any additional compensation regardless of the party responsible for the
delay.
3. COMPENSATION OF CONSULTANT
PANT
3.1 Compensation of Consultant. For the services rendered pursuant to this
Agreement, Consultant shall be compensated and reimbursed, in accordance with the schedule of
fees set;Forth in Exhibit"A"for a total amount that shall not exceed$28,800.00.
f3.2 Method of Payment. In any month in which Consultant wishes to receive
payment, Consultant shall no later than the first working day of such month, submit to City in the
form approved by City's Controller, an invoice for services rendered prior to the date of the
invoice. Payments shall be based on the rates as set forth in Exhibit"A" for authorized services
performed. City shall pay Consultant for all expenses stated thereon, which are approved by
City consistent with this Agreement,within thirty (30) days of receipt of Consultant's invoice.
3.3 Changes. In the event any change or changes in the Scope of ServicesAVork is
requested by City, the parties hereto shall execute a written amendment to this Agreement,
j setting forth with particularity all teens of such amendment, including, but not limited to, any
additional fees. An amendment may be entered into:
A. To provide for revisions or modifications to documents or other work
product or work when documents or other work product or work is required by the enactment or
revision of law subsequent to the preparation of any documents, other work product, or work;
B. To provide for additional services not included in this Agreement or not
customarily famished in accordance with generally accepted practice in Consultant's profession.
3.4 ApproRriatitons. This Agreement is subject to and contingent upon funds being
appropriated therefore by the City Council of City for each fiscal year covered by the
Agreement. If such appropriations are not made, this Agreement shall automatically terminate
without penalty to City.
4. PERFORMANCE SCHEDULE
4.1 Time of Essence. Time is of the essence in the performance of this Agreement.
5075392 2 Revised:5008
f
4.2 Schedule of Performance. All services rendered t r pursuant to this Agreement
V shall be performed pursuant to the agreed upon schedule of performance set forth in Exhibit"A".
The extension of any time period must be approved in writing by the Contract Officer.
4.3 Force Maieure. The time for performance of services to be rendered pursuant to
this Agreement may be extended because of any delays due to unforeseeable causes beyond the
control and without the fault or negligence of Consultant, including, but not limited to, acts of
God or of a public enemy, acts of the government, fires, earthquakes, floods, epidemic,
quarantine restrictions, riots, strikes, freight embargoes, and unusually severe weather if
Consultant shall within ten(10) days of the commencement of such condition notify the Contract
Officer who shall thereupon ascertain the facts and the extent of any necessary delay, and extend
the time for performing the services for the period of the enforced delay when and if in the
Contract Officer's judgment such delay is justified, and the Contract Officer's determination
shall be final and conclusive upon the parties to this Agreement.
4.4 Term. Unless earlier terminated in accordance with Section 9.5 of this
Agreement, this Agreement shall continue is full force and effect for Fiscal Year 09-10,
commencing on duly 1, 2009 and ending June 30, 2010, unless extended by mutual written
agreement of the parties,
5. COORDIN,ATION OF WORK
j 5.1. Representative of Consultant. The following principal of Consultant is hereby
designated as being the principal and representative of Consultant authorized to act in its behalf
with respect to the services and work specified herein and make all decisions in connection
therewith: David Schroeder, Senior Consultant. It is expressly understood that the experience,
knowledge, education, capability, and reputation of the foregoing principal is a substantial
inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be
responsible during the term of this Agreement for directing all activities of Consultant and
devoting sufficient time to personally supervise the services hereunder. The foregoing principal
may not be changed by Consultant without prior written approval of the Contract Officer.
5.2 Contract Officer. The Contract Officer shall be the City Manager, or his/her
designee. It shall be the Consultant's responsibility to keep the Contract Officer, or his/her
designee, fully informed of the progress of the performance of the services and Consultant shall
refer any decisions that must be made by City to the Contract Officer. Unless otherwise
specified herein,any approval of City required hereunder shall mean the approval of the Contract
Officer.
5.3 Prohibition Against Subcontracting or Assi nment. The experience,
knowledge, education, capability, and reputation of Consultant, its principals and employees,
were a substantial inducement for City to enter into this Agreement. Therefore; Consultant shall
not contract with any other individual or entity to perform in whole or in part the services
required hereunder without the express written approval of City. In addition, neither this
Agreement nor any interest herein may be assigned or transferred, voluntarily or by operation of
law, without the prior written approval of City.
507699,2 3 Revised 5005
t�
i
I
5.4 Independent Contractor. Neither City nor any of its employees shall have any
control over the manner, anode, or means by which Consultant, its agents or employees,perform
the services required herein, except as otherwise set forth herein. Consultant shall perform all
services required herein as an independent contractor of City and shall not be an employee of
City and shall remain at all times as to City a wholly independent contractor with only such
obligations as are consistent with that role; however, City shall have the right to review
Consultant's work product, result,and advice. Consultant shall not at any time or in any manner
represent that it or any of its agents or employees are agents or employees of City.
5.5 Personnel. Consullant'agrees to assign the following individuals to perfoini the
services set forth herein. Consultant shall not alter the assignment of the following personnel
without the prior written approval of the Contract Officer. Acting through the City Manager,the
City shall have the unrestricted right to order the removal of any personnel assigned by
Consultant by providing written notice to Consultant.
Name: 'Title:
Mike Rentner President and C.E.a.
Dave Ketcham Director
David Schroeder Senior Consultant
6. INSURANCE
Consultant shall procure and maintain, at its sole cost and expense, policies of insurance
as set forth in Exhibit"B", which is attached hereto and is incorporated herein by reference.
7. INDEMNIFICATION.
To the fullest extent permitted by law, Consultant shall defend (at Consultant's sole cost
and expense), indemnify, protect, and hold harmless City, its elected officials, officers,
employees, agents, and volunteers (collectively the "Indemnified Parties"), from and against any
and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards,
settlements, damages, demands, orders, penalties, and expenses including legal costs and
attorney fees (collectively "Claims"), including but not limited to Claims arising from injuries to
or death of persons (Consultant's employees included), for damage to property, including
property owned by City, from any violation of any federal, state, or local law or ordinance, and
from errors and omissions committed by Consultant, its officers,employees, representatives, and
agents, which Claims arise out of or are related to Consultant's performance under this
Agreement, but excluding such Claims arising from the negligence or willful misconduct of the
City, its elected officials, officers, employees, agents, and volunteers. Under no circumstances
shall the insurance requirements and limits set forth in this Agreement be construed to limit
Consultant's indemnification obligation or other liability hereunder.
4 Revised:5/8109
507639.2
�.
i
8. RECORDS AND REPORTS
8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer
'such reports concerning the performance of the services required by this Agreement as the
Contract Officer shall require.
8.2 Records. Consultant shall keep such books and records as shall be necessary to
properly perform the services required by this Agreement and enable the Contract Officer to
evaluate the performance of such services. The Contract Officer shall have full and free access
to such books and records at all reasonable times, including the right to inspect, copy, audit, and
make records and transcripts from such records.
8.3 Ownership of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of this Agreement
shall be the property of City and shall be delivered to City upon request of the Contract Officer
or upon the termination of this Agreement, and Consultant shall have no claim for further
employment or additional compensation as a result of the exercise by City of its full rights or
ownership of the documents and materials hereunder. Consultant may retain copies of such
documents for its own use. Consultant shall have an unrestricted right to use the concepts
embodied therein.
8.4 Release of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of services under this
Agreement shall not be released publicly without the prior written approval of the Contract
Officer.
8.5 Cost Records, Consultant shall maintain all books, documents,papers, employee
time sheets, accounting records, and other evidence pertaining to costs incurred while performing
under this Agreement and shall make such materials available at its offices at all reasonable
times during the term of this Agreement and for three (3) years from the date of final payment
for inspection by City and copies thereof shall be promptly furnished to City upon request.
9. ENFORCEM NT OF AGREEMENT
9.1 California Law. This Agreement shall be construed and interpreted both as to
validity and to performance of the parties in accordance with the laws of the State of California_
Legal actions'concerning any dispute, claim, or matter arising out of or in relation to this
Agreement shall be instituted in the Superior Court of the County of Riverside, State of
Califomia, or any other appropriate court in such county,and Consultant covenants and agrees to
submit to the personal jurisdiction of such court in the event of such action.
9.2 Waiver_ No delay or omission in the exercise of any right or remedy of a non-
defaulting party on any default shall impair such right or remedy or be construed as a waiver.
No consent or approval of City shall be deemed to waive or render tumecessary City's consent to
or approval of any subsequent act of Consultant. Any waiver by either party of any default must
be in writing and shall not be a waiver of any other default concerning the same or any other
provision of this Agreement.
5076392 S Rovised:518108
i R'
f '
9.3 Rights and Remedies are Cumulative. Except with respect to rights and
remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the
parties are cumulative and the exercise by either party of one or more of such rights or remedies
shall not preclude the exercise by it, at the same or different times, of any other rights or
remedies for the same default or any other default by the other party.
9.4 Legal Action. In addition to any other rights or remedies, either party may take
legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for
auy default, to compel specific performance of this Agreement, to obtain injunctive relief, a
declaratory judgment,or any other remedy consistent with the purposes of this Agreement.
9.5 Termination Prior to Expiration of Term. City reserves the right to terminate
this Agreement at any time, with or without cause, upon thirty (30) days written notice to
Consultant, except that where termination is due to the fault of Consultant and constitutes an
immediate danger to health, safety, and general welfare, the period of notice shall be such shorter
time as may be determined by the City. Upon receipt of the notice of termination, Consultant
shall immediately cease all services hereunder except such as may be specifically approved by
the Contract Officer. Consultant shall be entitled to compensation for all services rendered prior
to receipt of the notice of termination and for any services authorized by the Contract Officer
thereafter. Consultant may terminate this Agreement, with or without cause, upon thirty (30)
days written notice to City.
10. CITY OFFICERS AND EMPLOYEES, NON-DISC17XMNATION
10.1 Non-Liability. of City Officers and Employees. No officer or employee of City
shall be personally liable to the Consultant, or any successor-in-interest, in the event of any
default or breach by City or for any amount which may become due to the Consultant or its
successor, or for breach of any obligation of the terms of this Agreement.
10.2 Covenant Against Discrimination. Consultant covenants that, by and for itself,
its heirs, executors, assigns, and all persons claiming under or through them, that there shall be
no discrimination or segregation in the performance of or in connection with this Agreement
regarding any person or group of persons on account of race, color, creed, religion, sex, marital
status, disability, sexual orientation,national origin, or ancestry.
11. MISCELLANEOUS PROVISIONS
11.1 Notice. Any notice, demand,request, consent, approval, or communication either
party desires or is required to give to the other party or any other person shall be in writing and
either served personally or sent by pre-paid, first-class mail to the address set forth below. Either
party may change its address by notifying the other party of the change of address in writing.
Notice shall be deemed communicated seventy-two (72) hours from the time of mailing if mailed
as provided in this Section_
Sm63g.? 6 Revised:5/$M
To City: City of Palm Springs
Attention: City Manager&City Clerk
3200 E. Tahquitz Canyon Way
Palm Springs, California 92262
To Consultant: Mike Rentner, President and C.E.O.
NBS Government Finance Group
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
11.2 Integrated Agreement. This Agreement contains all of the agreements of the
parties and cannot be amended or modified except by written agreement.
11.3 Amendment. This Agreement may be, amended at any time by the mutual
consent of the parties by an instrument in writing.
11.4 Severability, In the event that any one or more of the phrases, sentences, clauses,
paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by
valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability
` shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this
i Agreement, which shall be interpreted to carry out the intent of the parties hereunder.
11.5 Authority. The persons executing this Agreement on behalf of the parties hereto
warrant that they are duly authorized to execute this Agreement on behalf of said parties and that
by so executing this Agreement the parties hereto are formally bound to the provisions of this
Agreement.
I
I
[SIGNATURE PAGE SEPARATELY ATTACHED]
507639.2 7 Revised:51010
IN WITNESS WHEREOF, the parties havc executed this Agreement as of the dates
stated below.
"CITY"
City of Palm Springs
Date: By:
David H. Ready
City Manager
NOT TO EXCEED$ Initialed:—
APPROVE D AS TO FORM: ATTEST
By. By.
Douglas C. Holland, James Thompson,
City Attorney City Clerk
"CONSULTANT"
NBS Government Finance Group
Date: By :
Mike Rentner, President
g - Re�lsed:5/8106 _�
507639.2
EX BIT "A"
CONSULTANT'S
SCOPE OF SERVICES/WORK PROPOSAL
i
Including,
I
Schedule of Fees
And
Schedule of Performance
Attached and incorporated herein
50%39.Y 9 Rev1sed:518M _
L �
EXHIBIT "B"
INSURANCE PROVISIONS
Including
Verification of Coverage,
Sufficiency of Insurers,
k� Errors and Omissions Coverage,
I
z
Minimum Scope of Insurance,
Deductibles and Self-Insured Retentions, and
Severability of Interests (Separation of Insureds)
i
10 Revised:515/0$
507639.2
I
NIBIS
Local Government Solutlona
June 3, 2009
Ms. Sharon Ainsworth
Deputy City Treasurer
City of Palm Springs
3200 Tahquitz Canyon Way
Palm Springs, CA 92262
Subject: To provide 1915 Act District Administration Services and Related
Services for Current and Future Districts
Dear Ms.Ainsworth:
I
NBS would like to thank you for the opportunity to provide 1915 Act Administration and
Related Services for the City of Palm Springs("City")as referenced above. We look forward
to continuing our professional relationship.
Please find enclosed our executed Proposal outlining our services to the City of Palm
Springs.
Scope of Services
11916 Act Assessment District Administration[
Expert Resource. First and foremost, NBS will act as the City's"expert resource,"and is
available to answer questions and advise the City on particular issues involving the Assessment
Districts-
Fick-Off Meeting, Project Schedule. NBS will meet with City staff, legal counsel and other
interested parties to:
• Establish lines of communication.
• Clarify the specific project goals and criteria that will meet the City's preference.
• Identify and resolve any special circumstances that may be involved in the administration of
the districts.
• Develop project schedules to meet legal requirements and provide for effective interaction of
all involved parties.
• Establish meeting dates consistent with schedule to achieve project milestones.
Data Collection. NBS will gather and review data relevant to the administration of the districts.
Data will be obtained from various sources, including City records,Assessor's parcel maps, and
County Assessor information and establish a database for the assessment districts.
Policy Review. NBS will review polices and procedures that have been established by the
Agency for compliance with the governing documents and law. These policies will be
incorporated into our service to the City.
' 32605 Temecula Parkway,Suite 100 1 Temecula,CA 92592 1 Toll free:800.676.7516.1 Fax-951.296 1998
1_ e�i
I
Cost Recovery. NBS will identify all costs associated with the administration of the Assessment
Districts and recover those costs through the levy process as outlined in§8682 and§8682.1 of
the California Streets and Highways Code. These costs may include, but not be limited to
Registrar/Transfer/Paying Agent fees,Arbitrage Rebate calculation fees, bank fees, and
expenses of the City and its consultants related to the administration of the districts.
Fund Analysis. NBS will determine the balance requirements and acquire the current cash
balances for the districts. We will make recommendations to ensure that the flow of funds and
fund balances are in compliance with bond documents. Cash flow analysis will also be performed
to determine any levy shortfall or surplus.
Annual Assessment Levy. NBS will calculate the annual assessment levy for each parcel in
each of the districts and submit the amount for each parcel to the County in the format and
medium (i3O_ tape, diskette) required by the County Auditor-Controller.
Resubmission or Rejects, NBS will research the status of any parcels rejected by the County
Auditor-Controller,and resubmit corrected data for collection on the County Tax Roll. Any
parcels that are not accepted by the County for collection will be invoiced directly, with payment
directed to the City.
Maintain Assessment District Data. NBS will annually track all parcel changes to ensure that
all changes are documented. Historical parcel change and assessment apportionment data will
be maintained by NBS.
Annual Report, NBS will provide a comprehensive Annual Report that will show a detail listing
of the amounts submitted to the levy or directly billed for collection, details of delinquent
assessments, fund analysis, paid off parcels and release of liens, all bond tali activity, and
assessed valuation information.
Delinquency Monitoring. NB§will provide the City with a comprehensive list of delinquencies
after each installment becomes due. This report will show delinquency percentage as well as a
detailed list of each delinquent parcel.
Prepayment Calculation/Amortization Schedule. NBS will provide assessment prepayment
calculations and amortization schedules to interested parties. The requester will pay the cost of
this service; however, there will be no charge to the City or property owners.
Bond Calls. NBS will prepare the spread of principal to be called within maturities for all bond
calls and coordinate the call with the Paying Agent/Trustee.
Release of Liens. NBS will prepare all documents required to release the liens of parcels that
have prepaid the assessment.
Notice of Special Assessment. NBS will provide a"Notice of Special Assessment' disclosure
notice to requesting parties as required by§53754 of the Government Code of the State of
California. The fee of any Notice of Special Tax shall be paid by the party requesting the
disclosure notice.
Toll-Free Phone Number. NBS will provide a toll-free phone number for use by the City, other
interested parties and all property owners. Our staff will be available to answer questions
regarding the formation and ongoing collection of assessments for the districts. Bilingual staff is
available for Spanish-speaking property,owners.
County Assessor Reporting. NBS will work with the County Assessor to aid in complying with
the requirements of Revenue&Taxation Code 163, This includes providing data such as parcel
number, original assessment and current principal balance to the County Assessor.
Page 2
B S
jAssessment District Construction Fund Closeout Servicesi
Kick-Off Meeting, Project Schedule. NBS will meet with City staff, legal counsel and other
interested parties to:
k
f • Establish lines of communication-
s Clarify the specific project goals and criteria that will meet the City's preferences.
Identify and resolve any special circumstances that may be involved in the disposition of
construction funds.
• Develop project schedules to provide for effective interaction of all involved parties.
Establish meeting dates consistent with the schedule to achieve project milestones.
Fund Analysis. NBS will perform an analysis of remaining construction funds to determine their
appropriate disposition in accordance with applicable laws and district documents.
Parcel List. NBS will prepare a list of parcels.along with mailing addresses, and construction
fund refund amounts for the processing of any refunds by the City.
Bond Calls. NBS will prepare any necessary band tail documents resulting from band calls
processed using construction fund surplus.
I Notice of Completion. NBS will prepare or obtain a Notice of Completion of Public Work.
Findings Report, NBS will prepare a Construction Fund Closeout Analysis and Findings Report.
Resolutions. NBS will prepare any necessary resolutions regarding the closeout of the
construction fund.
Tax Roll Submittal Services for 1972 Act Landscaping and Lighting Dlstrictsi
Data Gathering: Gather and review data pertinent to the Landscaping and Lighting Maintenance
Districts. Data will be obtained from various sources such as the 2009110 Engineer's Reports,
assessors parcel maps and county assessor Information as determined to be necessary based
on the requirements of the methods of apportionment.
Quality Control: Perform cross-reference tests looking at the various data sources, land use
codes, and other pertinent information to verify the Assessment Roll in the Engineer's Reports.
Database: Create a database of all parcels within the districts and relevant levy information
based on the Assessment Rolls found in the Engineer's Reports, and as provided electronically
by the City.
County Submittal: Submit the levy to the County Auditor Controller in the required electronic
format. Levies rejected by the County Auditor Controller will be submitted to the City for further
research, update of the Assessment Roll and resubmitted for collection on the County Tax Roll.
Any parcels that are not submitted to the County for collection will be invoiced with payment to be
directed to the City.
Reporting: Provide a listing of parcels and levy amounts applied by the County for the district.
Parcel and levy data can be provided via a CD ROM, diskette or emailed electronic file, if desired.
NJB � S Page 3
f
IDelinquency Management)
NBS will develop a comprehensive delinquency management program which includes a
discussion and interpretation of the issuer's foreclosure covenant together with a review of the
existing polices and procedures of the City. This service can be provided as part of overall
annual administration or as a stand-alone service. When deemed as the appropriate course
of action, NBS will perform the following.
Delinquency Reports. NBS will provide the City with an updated list of delinquencies prior to
sending any of the below letters. This report will also detail each district's percentage of
delinquencies, as well as a detailed list of each delinquent parcel.
Reminder Letter. At the City's direction, send a reminder letter to the property owner of each
delinquent parcel for the December 10th installment. The purpose of the letter Is to inform
and educate the property owner of their obligation to pay assessments.
Demand Letter.At the City's direction, send a demand letter to the property owner of each
delinquent parcel for the April 10th installment. This letter will be mailed to any property
owner who remains delinquent for both installments or who is delinquent for April 1 Oth only.
The purpose of this letter is to further educate the property owner and advise them of a
potential foreclosure.
Foreclosure Letter. This type of letter is typically sent after the installments for a parcel have
been removed from the tax roll. The letter delineates what amount must be paid directly to
the City to forestall the turnover of documents to the foreclosure attorney.
Tax Roll Removal. NBS will provide the information required to remove parcels from the tax
roll and coordinate with the County Auditor Controller to verify the removal. This step is in
preparation of turning the parcels over for foreclosure. Once removed from the tax roll, each
property owner will receive one final foreclosure letter indicating the amount due and payment
instructions.
Payment Plans. At the City's discretion, NBS will offer payment plans to property owners in
lieu of turning parcels over to the City's foreclosure counsel.
Subsequent Foreclosure Services. NBS will prepare and deliver all information to the City's
foreclosure counsel, We will also continue to supply the City's counsel with additional
information throughout the foreclosure process. We will continue to respond to property
owner and City staff phone calls regarding the status of all cases, and will coordinate and
audit status reports on a bi-monthly basis from the City's foreclosure counsel.
Toll-Free Phone Number. NBS will provide a toll-free phone number for use by the City,
other interested parties and all property owners. Our staff will be available to answer
questions regarding the formation and ongoing collection of assessments/special taxes for the
districts. Bilingual staff is available for Spanish-speaking property owners.
IApportionmentsl
Parts 10 and 10 5 of the Streets and Highways Code detail the methodology and procedure
that the City must follow in apportioning the assessment lien on parcels that are reconfigured
and/or subdivided. With our experience in district formation and the development of methods
of assessment, we are able to ensure that apportionments are properly performed.
Assuming proceeding under the preferred procedure of Part 10.5, NBS will perform the
following:
Application Forms. NBS will provide apportionment application farms and instructions to the
City's Engineering representative for inclusion as a condition of approval for subdivision within
an assessment district.
p Page 4
Segregation. NBS will apportion the special assessment according to the method of spread
as described in the engineer's report.
Notice of Apportionment. NBS will prepare a notice of apportionment and send it via
certified mail to the issuing underwriter, as required,
Assessment Diagram. NBS will prepare an amended assessment diagram and notice. The
diagram and notice will be filed and recorded with the County Recorder.
Amortization Schedule. NBS will prepare an amortization schedule for each newly created
assessment type.
Apportionment Report. NBS will prepare and submit to the City an Apportionment Report
showing the finalized apportionment and the amended assessment diagram.
In the event proceedings are undertaken under Part 10, the following additional items are
required:
Resolutions. NBS will prepare the required resolutions to order the amended assessment,
the amended assessment diagram, notices to the property owner, and fix the amount of costs
to perform the apportionment.
Public Meetings, NBS will be available to attend any public meetings required to complete
I the apportionment.
Fees
'v`fl.yu�i'Y
Toxa1i f^all,fg s;per:eo R actii ot:to a ie ed428a8hU
f1915 Act Administration Services—Current Distrlctsl
Dist rict' Service e
A.D. 157 1916 129 $1,943.74
A.D. 168 1915 27 1,609.94
A.D. 161 1915 308 2,828,14
A.D. 162 1915 95 2,828A4
A-D, 164 1915 196 2,828.14
Total Fee $12,038.10
[Revenue and Taxation Code 1631
Annual Fee .... ........ ....... ....................... ..... .......... ................................no charge
This information is part of the database used to calculate the annual levy. We routinely send this
information to the Counties.
Assessment District Construction Fund Closeout Services
Total for Assessment Districts No. 161, 162 and 164............................................... $6,000
Page 5
N B S
{
I
]Tax Roll Submittal Services for 1972 Act Landscaping and Lighting Districts]
FlatFee Per District.............. -- ......................................... .........................,................................$250
]Delinquency Management]
gReminder Letters.......................... ... ..................... ... .... ............... .. . .... ................................. $10 *
DemandLetters............................................. ..................................................----------------------------- 15
Foreclosure Letters.......... .......................... 30
Payment Plan Administration....................................... .............................. ............................... 150
TaxRoll Removal...................... -- ......................... .. ..................................... .. - .............. 50
Subsequent Foreclosure Fees...................... -- .................................... ................................ 75
riscal Year 2009110 Estimated Annual Fees......... ......................... .. .................$7,500
All fees are based on a per parcel/per district basis
*This fee will be recovered as part of the next levy.
"*This fee includes filing of"Notice of Intent to Remove Delinquent Installments"
but does not include County fees for removal from the tax roll.
'*"This fee is per parcel/per district/per year from the initiation of the foreclosure.
R *"This fee is based on an estimate of approximately 25 parcels undergoing foreclosure and
approximately 60 parcels being requiring delinquency management. Fees will be billed by NBS
to the City and recovered directly from the delinquent parcels, resulting in no net cost to the
I city.
f
]Apportionments]
Apportionments will be performed upon request and paid for by the property owners requesting
parcel subdivisions at our then current fee structure, as shown below. NBS will apportion the
assessment according to the original method of spread, prepare the amended assessment
diagram, and record the notice of apportionment and amended diagram per Parts 10 and 10.5
of the Streets and Highways Code.
Part 10.5
Apportionment Fee(Four parcels or less):........................................... .......--—...... $950
Apportionment Fee(Five or more parcels):............... ----------------------------- ................$1,800
(plus$35 per parcel)
Recording Fee(each): ............................................................................. .. -- --- - $40
Part 10
Resolutions: ....................................... ..................................................................... ...$300
Meeting Attendance:............. ....................... ...............................hourly, plus travel costs*
'reasonable and customary travel costs, as needed
Fees-Additional Information
]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 County charges for tapes, maps, and recording fees.
Fiscal Year 2009/10 Estimated Annual Expenses.................................................$1,000
Page 6
h
I B IS
(( jAnnual Fee Increases)
Y Cast of living increases may be applied to the services listed above on October 1 each year,
i beginning with October 1, 2008. The COLA would be the actual cost of living increase,
based on the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index
for all urban consumers for the Southern California counties
lAddltlonal Services)
Following is the current hourly rate. Additional services authorized by the City will be billed at
this rate or the then-applicable hourly rate.
Title Hourly Rate
Director $190
Senior Consultant/Programmer 150
Engineer 140
Consultant 130
Analyst ry 100
Clarical/Support 55
I
i
ITermsl
Administration services will be invoiced quarterly at the beginning of each quarter. 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 contracts with 30 days written
notice.
Please feel free to contact me if you have any questions or need further information.
Best regards,
NBS Government Finance Group,
QB�
Mike Rentner
President and CEO 613/09
Title Date
Page 7
N I B I
iL