City Council Agenda Report
Meeting Date: December 5, 2023
From: Scott Williams, Director of Finance
Department: Finance
Submitted by: Marisela Martinez, Buyer
Subject
Professional Services Agreement with BLX Group LLC for Financial Advisory Services Recommendation
Approve and authorize the City Administrator to execute a Professional Services Agreement with BLX Group LLC, in substantially the same form as submitted, for Financial Advisory Services for a total amount not-to-exceed $200,000 for a one (1) year term.
Background
On November 2, 2023, the City issued a Request for Proposals (RFP) for Financial Advisory Services in accordance with Municipal Code Section 3.32.080 regarding competitive selection.
The RFP was sent to eight (8) firms that have experience with municipal bond issuances and placed on Planet Bids to be available for other firms to participate. The Financial Advisory Services requested include: ongoing general consulting, planning, and advisory services; services directly related to debt/derivative/investment transactions; executing a debt strategy, and regulatory, management and oversight services.
A total of three (3) responses were received by the November 16, 2023 deadline specified in the RFP. A qualified panel thoroughly examined the proposals utilizing criteria to measure qualifications, cost & fees, responsiveness, and comparable references. Based on the internal panel’s evaluation, BLX Group LLC was recommended for selection based on their expertise, experience, and proposed fees as set forth in their response to the RFP.
BLX is a Municipal Securities Rulemaking Board (MSRB) and Securities Exchange Commission (SEC) registered independent municipal advisory firm, specializing in serving governmental issuers and nonprofit entities. BLX consulting services include financial advisory, interest rate swap advisory, along with federal tax and regulatory compliance services. As a fiduciary, BLX has an obligation to advise and suggest courses of action that are in the City’s best interests.
BLX has significant experience providing services to all types of entities including states, counties, cities, transportation authorities, public utilities, special districts, and nonprofit organizations. The City has a number of compliance filing deadlines that are approaching and the proposed Agreement with BLX will enable the City to meet those requirements.
The proposed agreement has been reviewed and approved as to form by the City Attorney’s Office.
Fiscal Impact
The fiscal impact is not-to-exceed $200,000. Sufficient funds are available in Electric Fund, Administration Department, Professional Services – Other Account No. 055-050-580-529215 for the current fiscal year.
Attachments
1. Professional Services Agreement - BLX Group LLC