Item #06
Date: March 3, 2026
To: Mayor and City Council
From: Jim Schaad, City Manager
Subject: Rejection of All Responses to Request for Qualifications (RFQ) – Reconnecting Communities & Neighborhoods (RCN) Planning Grant Study and Authorization to ReSolicit Recommendation:
Pass a Motion to 1) Reject all responses received to the Request for Qualifications (RFQ) for professional consulting services for the City’s Reconnecting Communities & Neighborhoods (RCN) Planning Grant Study; 2) Authorize staff to re-issue the RFQ with expanded advertising and outreach consistent with the City’s procurement policy and applicable federal procurement requirements.
Rationale for Recommendation:
The City received only one Statement of Qualifications (SOQ) in response to the RFQ issued for the $500,000 federally funded Reconnecting Communities & Neighborhoods (RCN) Planning Grant Study. While the responding firm appears generally qualified, receipt of a single response does not provide sufficient competition to reasonably evaluate best value or validate cost reasonableness for a federally funded planning effort of this size and complexity.
Federal procurement standards applicable to RCN grant funding emphasize full and open competition. Staff has determined that the original advertising and outreach were likely insufficient to reach a broad pool of firms with demonstrated experience in federally funded planning studies, community engagement, and RCNeligible work. Re-issuing the RFQ with expanded and targeted outreach will improve competition, strengthen defensibility, and better align the procurement with both the City’s procurement policy and federal requirements.
Background:
The City was awarded a $500,000 federal planning grant through the U.S. Department of Transportation’s Reconnecting Communities & Neighborhoods (RCN) Program. The grant is intended to fund a planning study focused on evaluating transportation and infrastructure barriers and identifying strategies to reconnect impacted communities.
To procure professional consulting services for the study, the City issued a Request for Qualifications (RFQ) in accordance with the City’s procurement policy and applicable federal requirements. The RFQ was publicly advertised; however, only one Statement of Qualifications (SOQ) was received by the submission deadline.
Discussion & Analysis:
Item #06
Staff evaluated the procurement results in light of the City’s procurement policy and federal regulations governing the use of grant funds, including 2 CFR §200.319–320, which require full and open competition.
Although the responding firm appears generally qualified, receipt of a single response limits the City’s ability to validate cost reasonableness or ensure the most advantageous outcome for this federally funded planning effort. No negotiations or price discussions have occurred with the responding firm.
The City’s procurement policy expressly reserves the right to reject any and all proposals when such action is determined to be in the best interest of the City. Re-issuing the RFQ with enhanced outreach, a longer response window, and more targeted distribution to firms experienced in RCN and similar federal programs is recommended to improve competition and ensure compliance.
Fiscal Impact:
There is no fiscal impact associated with rejecting all responses and re-issuing the RFQ. Consultant services for the planning study will continue to be funded through the previously awarded RCN federal grant upon selection of a consultant through a competitive process.
Legal Review
This action is consistent with the City’s procurement policy. The City Attorney’s Office has reviewed this item and approved it as to form.
Alignment with City Council Goal(s):
This action supports Goal #3 – Improve Infrastructure and Goal #6 – Strengthen Institutional Capacity by ensuring responsible stewardship of federal grant funds and a competitive, transparent procurement process.
Attachment(s)
1. Resolution 2026-XX – Rejection of All Responses to RFQ for RCN Planning Grant Study