Camarillo City Council
AGENDA REPORT
Date: August 14, 2024
To: Honorable Mayor and City Councilmembers
From: Greg Ramirez, City Manager
Submitted by: Mark Uribe, Finance Director
Subject: Water and Wastewater Rate Studies – Agreement Amendment
BACKGROUND
The City of Camarillo (Council) and Camarillo Sanitary District (CSD Board) each contracted with Raftelis Financial Consultants, Inc. (RFC) for a formal water and wastewater study on May 13, 2015, following a Request for Proposal process. The City typically contracts with a consultant possessing expertise in rate setting to conduct a thorough analysis of the existing rates and make recommendations according to generally accepted standards.
DISCUSSION
Water and Sewer rates were adopted for two Fiscal Years on October 11, 2023, with increases effective January 1, 2024 and July 1, 2024.
The current Contract executed with RFC includes a provision for the City/District and Consultant to request additional services, if deemed necessary. Attachment No. 1 is a proposed Twelfth Amendment to the Agreement for Professional Services between the City of Camarillo and the Camarillo Sanitary District with Raftelis Financial Consultants, Inc. in the amount of $181,568 for the work related to the 2024 Financial Plan Update.
The scope of work includes the cost to provide the financial plan and rate studies update.
In addition to the plan update, the scope includes several optional components: cost of service analysis, iterative capital financing scenarios, Proposition 218 notice development and public outreach, capital improvement plan review and value engineering support, and updates to administrative, non-rate fees related to Water and Sewer activities.
The anticipated complexity of the 2024 update has also been expanded to include additional meetings and analysis.
Agreement Amendment for Water/Wastewater Rate Studies
August 14, 2024
The City is recommending an amendment to the Agreement for Professional Services with Raftelis Financial Consultants, Inc. to update the Water and Wastewater Financial Plan.
FISCAL IMPACT
Funds for the Water and Wastewater Rate Studies are included in the Water Utility Fund budget, Account No. 860-3601-436.32-01 and CSD Operating Fund budget, Account No. 871-3701-437.32-01.
CEQA DETERMINATIONS
City staff has determined, in accordance with Section 15061(b)(3) of the California Environmental Quality Act (CEQA) Guidelines, that Water and Wastewater Rate Studies is not subject to CEQA review because it can be seen with certainty that there is no possibility that the Water and Wastewater Rate Studies may have a significant effect on the environment.
RECOMMENDATION
Authorize the City/District Manager to sign the Ninth Amendment to Agreement in the amount of $181,568 for Professional Services with Raftelis Financial Consultant to conduct a Water and Wastewater Rate Study for the City of Camarillo and the Camarillo Sanitary District.
ATTACHMENTS
1. Twelfth Amendment to Agreement for Professional Services with Raftelis
2. Exhibit to Amendment for Raftelis Scope of Services
REFERENCE MATERIALS – AVAILABLE FOR REVIEW AT CITY HALL None