PREPARED BY: Gitta Ungvari
Finance Director
Reviewed by: Town Manager and Town Attorney
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 10/21/2025
ITEM NO: 7
DESK ITEM
DATE: October 21, 2025
TO: Mayor and Town Council
FROM: Chris Constantin, Town Manager
SUBJECT: Authorize the Town Manager to Negotiate and Execute an Agreement with NHA Advisors, LLC (NHA) to deliver Fiscal Condition Analysis, Fiscal Impact Analysis, Asset Liability Management, and Wildfire Risk Mitigation Studies, including any optional services as directed by the Town Council, in the Amount Not to Exceed Amount of $250,500 and Authorize an Expenditure Budget Adjustment up to $250,500 from the Available Unassigned fund Balance
RECOMMENDATION: Authorize the Town Manager to enter into an Agreement with NHA Advisors, LLC (NHA) to deliver Fiscal Condition Analysis, Fiscal Impact Analysis, Asset Liability Management, and Wildfire Risk Mitigation Studies including any optional services as directed by the Town Council, in the not to exceed amount of $250,500; and authorize an Expenditure Budget Adjustment of $250,500 from the available Unassigned fund Balance.
REMARKS:
Staff clarifies that the contract cost summary of $250,500, as referenced in the staff report, does not include the optional Wildfire Risk Mitigation Study. This study was not part of the original Request for Proposal (RFP) but was instead offered as an optional service by the prospective vendor.
The $250,500 amount includes all optional services for Study 1, Study 2, and Study 3 as outlined in the proposal.
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SUBJECT: Authorize the Town Manager to Negotiate and enter into Agreement with NHA DATE: October 21, 2025
In addition, cognizant of the cost, the staff provides an alternative recommendation that includes only the base costs of Study 1, Study 2, along with Team Management for both studies, and Study 3, totaling not to exceed $191,000.
Additional services may be added during the course of the studies or after their completion, as needed.
Attachments previously distributed with the staff report:
1. NHA Proposals
2. Request For Proposals: Fiscal Condition Analysis With Five-Year and Long-Term Forecast, Fiscal Impact Analysis, and Asset Liability Management Study
3. Date issued: questions and answers provided
Study / Task Firm Estimated Cost Notes
$105,500 (base)
$165,000 (with options)
Study 2: Fiscal Impact Analysis Willdan $18,000 Includes 2 meetings; additional services billed hourly
$35,055 – $49,875
Not-to-Exceed: $50,000
Optional Study 4: Wildfire Risk
Mitigation NHA Not-to-Exceed: $45,000 Includes GIS work; optional tasks may add up to $25,000+ Team Management for Studies
1 & 2 NHA Not-to-Exceed: $17,500 Approx. 50 hours of coordination across firms Total Estimated Cost: $ 250,500
Study 1: Fiscal Condition
Analysis Raftelis Includes forecasting model, reporting, and optional gap strategies & Council support Study 3: Asset Liability
Management (ALM)
NHA Includes modeling, reserve guidance, and
liability analysis
Study / Task Firm Estimated Cost Notes
Study 1: Fiscal Condition Analysis $ 105,500 Includes forecasting model, and reporting Study - OPTIONAL A $ 29,750 Optional Gap Closure Strategies Study - OPTIONAL B $ 29,750 Decesion- Support for Town Council Study 2: Fiscal Impact Analysis $ 18,000 Includes 2 meetings; additional services billed hourly
Study 3: Asset Liability Management
(ALM) $ 50,000 Includes modeling, reserve guidance, and liability analysis, not to exceed amount
Optional Study 4: Wildfire Risk
Mitigation NHA Not-to-Exceed: $45,000 Includes GIS work; optional tasks may add up to $25,000+ Team Management for Studies 1 & 2 NHA $ 17,500 Approx. 50 hours of coordination across firms, not to exceed amount
Total Estimated Cost: $ 191,000
Raftelis
Willdan