HomeMy WebLinkAbout2017-102APROFESSIONAL SERVICES AGREEMENT BETWEEN INDIAN RIVER COUNTY, FLORIDA AND RAFTELIS
FINANCIAL CONSULTANTS, INC.
FOR
A COMPREHENSIVE WATER, WASTEWATER, AND RECLAIMED WATER RATE STUDY
This Consulting Agreement ("Agreement") is entered into this 18 day of July , 2017 (hereinafter referred
to as the Effective Date) by and between Indian River County, Florida (the "County" or "Client") and Raftelis
Financial Consultants, Inc., 227 W. Trade Street, Suite 1400, Charlotte, NC 28202 ("Raftelis" or "Consultant").
Witnesseth
WHEREAS, Consultant has substantial skill and experience in water and wastewater finance, management,
and pricing; and
WHEREAS, the Client desires to hire Raftelis, and Raftelis desires to provide services to the Client,
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the Parties agree to the terms and conditions set forth herein.
Article 1. Statement of Work
Raftelis shall provide professional consulting services to prepare a utility rate study for the Client. Raftelis
will perform these services as set forth in more detail in Attachment A.
Article 2. Time for Completion
This Agreement will commence upon approval by the Client and remain in effect for a period of one year.
Further renewals of this Agreement are at the option of the Parties and shall be in writing.
Article 3. Compensation
Client shall pay to Raftelis the sum not to exceed Ninety-nine Thousand Four Hundred Dollars ($99,400.00),
which includes professional fees and direct expenses incurred in performing the scope of services outlined in
Attachment A. This sum is based upon the scope of work contained herein at Raftelis' current standard hourly
rate schedule included in Attachment B. .
The Consultant shall invoice the Client upon the completion of each task or deliverable in accordance with
the Project Schedule, or on a monthly basis if the Project Schedule does not otherwise specify. The Client
shall pay Consultant in accordance with the Local Government Prompt Payment Act.
Article 4. Additional Services
At the Client's request, Raftelis may submit change orders or proposals for additional professional services.
Each change order or proposal submitted shall detail: (1) scope of work for the additional services, (2) period
of services to be performed, and (3) method and amount of compensation. The Client shall provide written
acceptance and authorization to Raftelis prior to the commencement of work on any proposed additional
services. Each change order or proposal for additional services accepted and approved by the Client shall
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become part of this Agreement and shall be governed by the terms and conditions contained in this
Agreement.
Article 5. Place of Performance
Raftelis shall be responsible for maintaining its own office facilities and will not be provided with either office
facilities or support by the Client.
Article 6. Indemnification
Raftelis hereby agrees to indemnify the Client, its commissioners, officers, employees, and agents and to hold
the Client, its commissioners, officers, employees, and agents harmless against any and all claims, action, or
demands against the Client and against any and all damages for injury to or death of any person and for loss
of or damage to any and all property arising out of the negligent acts, errors or omissions of Raftelis under
this Agreement. Raftelis shall not be held responsible for any claims caused by the negligence of the Client.
Article 7. Insurance
Consultant shall maintain the types and levels of insurance during the life of this Agreement as specified
below. The Client will be named as additionally insured on the Raftelis' Certificates of Insurance, and Raftelis
will provide the Client with these Certificates of Insurance by July 28, 2017.
Commercial general liability insurance—$1,000,000 for each occurrence and $2,000,000 in the aggregate
Comprehensive automobile liability insurance—$1,000,000 combined single limit each occurrence
Workers Compensation insurance—Statutory limits
Professional liability insurance—$1,000,000 in the aggregate
Excess or Umbrella Liability—$3,000,000 in the aggregate
Article 8. Public Records Compliance
A. Indian River County is a public agency subject to Chapter 119, Florida Statutes. Raftelis shall comply with
Florida's Public Records Law. Specifically, the Contractor shall:
(1) Keep and maintain public records required by the County to perform the service.
(2) Upon request from the County's Custodian of Public Records, provide the County with a copy of the
requested records, or allow the records to be inspected or copied within a reasonable time at a cost
that does not exceed the cost provided in Chapter 119 or as otherwise provided by law.
(3) Ensure that public records that are exempt, or confidential and exempt from public records
disclosure requirements are not disclosed except as authorized by law for the duration of the
contract term and following completion of the contract if the contractor does not transfer the records
to the County.
(4) Upon completion of the contract, transfer, at no cost, to the County all public records in possession
of the Contractor, or keep and maintain public records required by the County to perform the service.
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If the Contractor transfers all public records to the County upon completion of the contract, the
Contractor shall destroy any duplicate public records that are exempt, or confidential and exempt
from public records disclosure requirements. If the contractor keeps and maintains public records
upon completion of the contract, the Contractor shall meet all applicable requirements for retaining
public records. All records stored electronically must be provided to the County, upon request from
the Custodian of Public Records, in a format that is compatible with the information technology
systems of the County.
B. IF RAFTELIS HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119,
FLORIDA STATUTES, TO THE CONTRACTOR'S DUTY TO PROVIDE PUBLIC RECORDS
RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS
AT:
(772) 226-1424
pWbl`creconds@ircgov.cKDMM
Indian River County Office of the County Attorney
1801 27th Street
Vero Beach, FL 32960
C. Failure of Raftelis to comply with these requirements shall be a material breach of this Agreement.
Article 9. Independent Contractor Status
It is understood and agreed that Raftelis will provide the services uncler this Agreement on a professional
basis as an independent Contractor, and that during the performance of the services under this Agreement,
Raftelis' employees will not be considered employees of the Client within the meaning or the applications of
any federal, state, or local laws or regulations including, but not limited to, laws or regulations covering
unemployment insurance, old age benefits, worker's compensation, industrial accident, labor, or taxes of any
kind. Raftelis' employees shall not be entitled to benefits that may be afforded from time to time to Client
employees, including without limitation, vacation, holidays, sick leave, worker's compensation, and
unemployment insurance. Further, the Client shall not be responsible for withholding or paying any taxes or
social security on behalf of Raftelis' employees. Raftelis shall be fully responsible for any such withholding or
paying of taxes or social security.
Article 10. Reliance on Data
In performance of the services, it is understood that the Client and others may supply Raftelis with certain
information or data, and that Raftelis will rely on such information. It is agreed that the accuracy of such
information is not within Raftelis' control, and Raftelis shall not be liable for its accuracy, nor for its
verification, except to the extent that such verification is expressly a part of Raftelis' scope of services.
Article 11. Opinions and Estimates
Raftelis' opinions, estimates, projections, and forecasts of current and future costs, revenues, other levels of
any sort, and events shall be made on the basis of available information and Raftelis' expertise and
qualifications as a professional. Raftelis does not warrant or guarantee that its opinions, estimates,
projections or forecasts of current and future levels and events will not vary from the Client's estimates or
forecasts or from actual outcomes. Raftelis identifies costs, allocates costs to customer classes and provides
rate models. It does not establish rates, which is the legislative responsibility of the Client.
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Article 12. No Consequential Damages
To the fullest extent permitted by law, neither party shall be liable to the other for any special, indirect,
consequential, punitive or exemplary damages resulting from the performance or non-performance of this
Agreement notwithstanding the fault, tort (including negligence), strict liability or other basis of legal liability
of the party so released or whose liability is so limited and shall extend to the officers, directors, employees,
licensors, agents, subcontractors, vendors and related entities of such party.
Article 13. Termination of Work
This Agreement may be terminated as follows:
1. By Client (a) for its convenience on 30 days' notice to Raftelis, or (b) for cause, if Raftelis materially
breaches this Agreement through no fault of Client, and Raftelis neither cures such material breach
nor makes reasonable progress toward cure within 15 days after Client has given written notice of
the alleged breach to Raftelis.
2. By Raftelis (a) for cause, if Client materially breaches this Agreement through no fault of Raftelis, and
Client neither cures such material breach nor makes reasonable progress toward cure within 15 days
after Raftelis has given written notice of the alleged breach to Client, or (b) upon five clays' notice if
Work under this Agreement has been suspended by either Client or Raftelis in the aggregate for more
than 30 days.
3. Payment upon Termination. In the event of termination, Raftelis shall be compensated for all work
performed prior to the effective date of termination.
Article 14. Notices
All notices required or permitted under this Agreement shall be in writing and shall be deemed deliverable
when delivered in person or deposited in the United States mail, postage prepaid, addressed as follows:
If for the Client:
Vincent M. Burke, PE
Director
Indian River County Department of Utility Services
1801 27th Street
Vero Beach, FL 32960
If for Raftelis:
Marco H. Rocca, CMC
Principal Consultant
Raftelis Financial Consultants, Inc.
950 S. Winter Park Drive
Suite 240
Casselberry, FL 32707
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Article 15. Compliance with Applicable Laws
Raftelis agrees not to discriminate in its employment practices, and will render services under this Agreement
without regard to race, color, religion, sex, national origin, veteran status, political affiliation or disabilities.
Any act of discrimination committed by Raftelis, or failure to comply with these statutory obligations when
applicable, shall be grounds for termination of this Agreement.
Article 16. General Provisions
A. Entire This Agreement represents the entire and sole agreement between the Parties with
Agreement: respect to the subject matter hereof.
B. Waiver: The failure of either Party to require performance by the other of any provision
hereof shall in no way affect the right to require performance at any time
thereafter, nor shall the waiver of a breach of any provision hereof be taken to be
a waiver of any succeeding breach of such provision or as a waiver of the provision
itself. All remedies afforded in this Agreement shall be taken and construed as
cumulative; that is, in addition to every other remedy available at law or in equity.
C. Relationship: Nothing herein contained shall be construed to imply a joint venture, partnership,
or principal -agent relationship between Raftelis and the Client; and neither Party
shall have the right, power, or authority to obligate or bind the other in any manner
whatsoever, except as otherwise agreed to in writing.
D. Assignment Neither Party shall assign or delegate this Agreement or any rights, duties, or
and obligations hereunder without the express written consent of the other. Subject to
Delegation: the foregoing, this Agreement shall inure to the benefit of and be binding upon the
successors, legal representatives, and assignees of the Parties hereto.
E. Severability: If any provision of this Agreement is declared invalid or unenforceable, such
provision shall be deemed modified to the extent necessary and possible to render
it valid and enforceable. In any event, the unenforceability or invalidity of any
provision shall not affect any other provision of this Agreement, and this Agreement
shall continue in force and effect, and be construed and enforced, as if such
provision had not been included, or had been modified as above provided, as the
case may be.
F. Governing This Agreement shall be governed by, and construed in accordance with, the laws
Law: of the State of Florida. Venue and jurisdiction shall be in Indian River County,
Florida, Circuit Court.
G. Paragraph The paragraph headings set forth in this Agreement are for the convenience of the
Headings: Parties, and in no way define, limit, or describe the scope or intent of this
Agreement and are to be given no legal effect.
H. Third Party Nothing in this Agreement shall be construed to create or confer any rights or
Rights interest to any third party or third party beneficiary. It is the intent of the parties
that no other outside, non-party claimant shall have any legal right to enforce the
terms of this Agreement.
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IN WITNESS WHEREOF, the Parties have executed this Agreement by their duly authorized representatives.
By:
By:
INDIAN RIVER COUNTY, FLORIDA
g at
oseph E. Flescher
Print Name
Chairman, Board of County Commissioners
Title
July 18, 2017
Date
RAFTELIS FINANCIAL CONSULTANTS, INC.
•-* /
if • " "
Signature
Marco H. Rocca
Print Name
Principal Consultant
Title
July 11,2017
Date
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APPROVED AS TO FORM
AND LEGAL SUFFICIENCY
BY
AN REINGOLD
COUNTY ATTORNEY
PaiEST: Jeffrey/7. Smith, C of Court
cmptrofle
BY:
-1
rpuj Clerk
ATTACHMENT A
COMPREHENSIVE WATER, WASTEWATER AND RECLAIMED WATER RATE STUDY
SECTION I
SCOPE OF SERVICES
This comprehensive rate study addresses five primary objectives expressed by the County: 1) revenue
sufficiency; 2) appropriateness of existing rate structure; 3) funding of or modification to the Capital
Improvement Program (CIP); 4) updating cost recovery associated with ancillary charges and fees; and 5)
updating the wastewater industrial surcharge.
METHODOLOGY
The methodology used for the comprehensive rate study consists of cost of service rate principles with
consideration given to community standards. This methodology includes an emphasis on the relationship
between customer demand and usage characteristics within each customer classification and budgeted operating
fiscal requirements associated with such demand and usage characteristics. The objective is to equitably recover
operating expenses from customers in relative proportion to demand and usage characteristics through rates
that are easily managed by the utility and understood by the customers. This process includes the avoidance or
minimization of subsidization between services.
PROJECT APPROACH
The Consultant will coordinate with County staff to obtain or develop historic, current and projected
information, data and assumptions necessary to formulate findings and conclusions relative to the customer
base and operating fiscal requirements. Data will be incorporated into a dynamic computer model where
findings and results associated with various scenarios and alternatives can be evaluated for appropriate
compliance with financial, legal, customer and utility requirements.
Activities include:
a) Identifying customer characteristics through a billing frequency analysis for rate design/rate
structures, rate setting and revenue projection purposes;
b) Evaluation and modification if necessary of the existing water, wastewater and reclaimed water
rate structure;
c) Allocation of fiscal requirements based on cost of service principles relative to customer service,
demand and usage;
d) Projection of fiscal requirements based on escalation factors relevant to each budgeted line item;
e) Review and development of near and long term sources and uses to address CIP;
f) Development of equitable and appropriate user rates and charges, which together with certain
other revenues are sufficient to pay 100 percent of all operating expenses, debt service associated
with all outstanding debt and any projected revenue bonds, renewal and replacement requirements,
debt service coverage provisions, capital provided through user fee revenues, required transfers,
and other authorized fiscal requirements not including CIP;
g) Development of uniform septic to sewer policy.
h) Adjustment of ancillary charges base on review of personnel, equipment and material costs;
i) Review, evaluation and adjustment of wastewater industrial surcharge;
j) Development of a computer rate model with provisions for multi-year projections to provide
options and address future operating requirements; and
k) Meetings, discussions and presentations to County staff.
A modified cost of service methodology will be used that incorporates reviews, investigations and analyses
necessary to identify costs of services and customer determinants required to establish appropriate user
rates reflecting just and equitable recovery of water, wastewater and reclaimed water service costs. The
approach includes the development of a computer rate and financial feasibility model platform to analyze,
develop, review and provide forecasts of customers, usage and fiscal requirements with the ability to
activate a strategic funding module addressing the Utility's CIP. The model is designed to provide graphic
outputs reflecting the salient results of alternatives and scenarios providing comparisons for quick and
understandable presentations.
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ITEM 1 — WATER, WASTEWATER AND RECLAIMED WATER USER RATE AND CHARGE
STUDY TASKS
1-1. Project Initiation — An on-site or telephone meeting \vith County staff will be held to initiate the
study process, which in general includes:
a) Discussion of primary goals and objectives;
b) Updating data previously provided by the County and availability of any new data;
c) Operating and administrative policies and procedures;
d) Current and future economic constraints;
e) Customer base and other service agreements;
f) Customer growth assumptions;
g) Utility's desired approach to funding the CIP including septic to sewer;
h) Consultant/County staff communications process; and
i) Overview of time schedules, meetings and deliverable formats.
1-2. Customer Data — A review and evaluation of historic and current water, wastewater and reclaimed
water customer activity and user fee revenue data will be conducted to identify customer characteristics.
To facilitate this task a request for data will be directed to the County for either a comprehensive billing
frequency analysis if available through the current billing system, or an electronic file containing
information for 12 consecutive months of bills by customer classification and meter size on the number
of: (i) accounts; (ii) dwelling units if applicable; (iii) equivalencies; (iv) usage; and (v) the user fee amount
for each bill. In addition, billing, demand and usage data for all customers provided service(s) through
special agreements. The billing frequency analysis is necessary to identify the water, wastewater and
reclaimed water usage characteristics by customer class and size of service. Once the billing frequency
analysis is completed, the Consultant will coordinate with the County to verify the results and obtain
concurrence on the findings for use in developing the user rates and charges. An important element in
the billing frequency process is the identification of "outliers" and/or events where billing corrections
were made but usage amounts in the billing data were not corrected. Additionally, flow, strength and
frequency data with be requested on customers subject to the wastewater industrial surcharge.
1-3. Fiscal and Revenue Requirements — A review and evaluation will be conducted of utility financial
and accounting information, including but not limited to budgets, historical and current financial
records, operation and maintenance reports, R&R activities, CIP and schedules of existing, proposed
debt service and policies regarding reserve fund balances. The results and findings will be discussed
with County staff to obtain concurrence and then used as the basis for fiscal and revenue requirements.
This item includes reconciling affiliated activities such as allocation of interest and other income.
1-4. Rate and Fee Architecture — The existing rate structures, including policy relative to Guaranteed
Revenue, will be evaluated to identify conformance with goal and objectives. Of interest to the County
is an evaluation of water, wastewater and reclaimed water equivalency criteria by customer class, usage
block allowances, correlation to impact fee equivalency criteria and other revenue generation items as
may be appropriate. Items of interest will be evaluated and developed as necessary together with
comparative results on customer billing impacts, revenue sufficiency and other utility concerns
including use of automatic indexing.
1-5. Allocation of Cost and Rate Adjustments — Net revenue requirements for each utility function will
be allocated to individual rate structure components pursuant to the proposed rate structure criteria.
Based on customer classes, equivalency/demand determinants and allocated revenue requirements,
user rates will be developed independently for water, wastewater and reclaimed water. Tables and
schedules identifying changes in the proposed rates together with customer impacts and comparison
to other communities will also be developed and included in the study process.
1-6. Forecast of Customer Equivalencies and Billable Usage — Pursuant to historical and planning data
provided by the County, projections of the number of equivalencies and billable flows by customer
class and rate structure configuration for each utility service will be developed and reviewed with
County staff for concurrence.
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1-7. Forecast of Revenue Requirements and Operating Results — A 5 -year proforma operating
statement will be developed for each utility service and combined into one consolidated statement.
The proforma will include projections of revenue, O&M expenses, net revenue, debt service, transfer
from other utility funds and other fiscal activities/requirements of the Utility. The projected operating
results will be used to demonstrate the sufficiency of recommended rates.
1-8. Capital Improvement Funding Module — A CIP module will be incorporated into the rate model
to allow for reviews of alternative sources of funding the capital improvement requirements, including
pay as you go, debt, grants and a combination of other sources. Unless provided individually by the
County, general financing assumptions for revenue bonds, State Revolving Fund (SRF) loans and bank
qualified loans will reflect the Consultant's understanding of current and anticipated financing
requirements.
1-9. Uniform Septic to Sewer Policy — Forecasts of occurrences and timing of septic to sewer conversions
including policy on connection requirements, as provided by County staff, will be evaluated to
determine potential annual operating cash flow and marginal revenue available to assist with utility
enterprise funding of localized connection facility costs. A matrix of the analysis results will be utilized
to: 1) illustrate attributes of selected ranges of utility enterprise funding; and 2) assist with selection of
components of a uniform septic to sewer policy.
1-10. Preliminary Findings — Upon completion of the initial analysis, the Consultant will meet with County
staff for the purpose of: (i) reviewing the findings and conclusions; (ii) discussing any issues or concerns
County staff may have regarding the findings; and (iii) obtaining County staff comments, observations
and directions on proceeding with the development of an initial draft report.
1-11. Draft Reports — A draft report will be prepared containing discussions, tables and supporting
documentation associated with the major elements of the study, including but not limited to customer
data, fiscal requirements, rate design and projections of operations. Copies of the draft report will be
provided in electronic format to County staff for review and comments.
1-12. Draft Report Meeting — One meeting is contemplated with County staff to present and discuss the
draft report. It is anticipated that upon completion of this meeting County staff will provide a sufficient
level of comments and directions for the Consultant to: 1) modify the draft report as necessary; and 2)
work with County staff to schedule one-on-one and/or public workshop meetings with Board of
County Commissioners (BCC).
1-13. Meetings With BCC — Pursuant to the type of meeting, the Consultant will prepare appropriate
presentation materials, have interactive computer model available and provide discussions associated
with the rate study findings and conclusions. It is understood that the BCC may direct changes or
alternatives requiring reevaluation and necessitate additional meetings.
1-14. Final Report — One printed signed copy together with an electronic copy of the final report will be
provided to the County.
1-15. Assist with Draft Ordinance — Assist County staff with preparation of draft ordinance/resolution
together with providing reviews and comments of the final ordinance/resolution as prepared by
County.
1-16. Final Meeting — The Consultant will attend one public hearing to assist with the presentation of the
findings of the final report to the County Commission.
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ITEM 2 — ANCILLARY CHARGES AND FEES UPDATE STUDY TASKS
2-1. Data Acquisition — Coordinate with County staff to obtain labor, material and administrative
resources associated with:
a) 1\ Teter Replacement and Removal
b) Water and Sewer Service Connections
c) Meter Installation
d) Water Service Reconnection
e) Meter Test
f) Engineering Services
g) Inspection Fee.
2-2. Update Charges and Fees — Update services listed above pursuant to current time and material costs.
2-3. Preliminary Findings — Meet with County staff to: (i) review the updated service charges and fees;
(ii) discuss issues and/or concerns that County staff may have regarding the findings; and (iii) obtain
County staff comments, observations and directions on proceeding with the development of an initial
draft report.
2-4. Draft Reports — A draft report will be prepared containing discussions, tables and supporting
documentation associated with the major elements of the updated charges and fees, including
comparisons where applicable to ancillary charges of other utilities.
2-5. Draft Report Meeting — One meeting is contemplated with County staff to present and discuss the
draft report. It is anticipated that upon completion of this meeting County staff will provide a sufficient
level of comments and directions to allow the Consultant to finalize the study.
2-6. Final Report — One printed signed copy together with an electronic copy of the final report will be
provided to the County.
2-7. Assist with Draft Ordinance — Assist County staff with preparation of draft ordinance/resolution
together with providing reviews and comments of the final ordinance/resolution as prepared by
County.
2-8. Final Meeting — The Consultant will attend one public hearing to assist with the presentation of the
findings of the final report to the County Commission.
ITEM 3. ADDITIONAL SERVICES
Pursuant to Item 1 and 2 of the above Scope of Services, thc Consultant will respond to requests by the County
for additional services. The additional services may include, but are not limited to: assistance with obtaining
billing data from new software environment, verification of customer data at County level; requests for
development of alternative rate structures and/or customer classes after the submittal of the draft report;
requests for development of alternative and/or different ancillary charges after the submittal of the draft report;
Item 2 meetings that are not concurrent with meetings in Item 1; any one-on-one meetings with large users or
other parties as requested by the County; preparation in lieu of assisting in developing the draft
ordinance/resolution; implementation assistance; negotiations with other entities relative to bulk services;
capital funding assistance and utility strategic planning.
ITEM IV. ITEMS TO BE FURNISHED AT NO EXPENSE TO THE CONSULTANT
The County will assist the Consultant by furnishing, at no cost to the Consultant, all available pertinent
information including data if applicable to customers, billing frequency reports, operating reports, financial
statements, budgets, unencumbered fund balances, cost estimates, agreements, ordinances, codes, and any other
data relative to performance of the above services for the project. It is agreed and understood that the accuracy
and veracity of said information and data may be relied upon by thc Consultant without independent
verification of the same.
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The County will designate in writing a person to act as the County's representative with respect to the services
to be performed under this Agreement. Such person shall have complete authority to transmit instructions,
receive information, interpret and define the County's policies and decisions with respect to materials,
equipment, elements and systems pertinent to the Consultant's services.
SECTION II
TIME OF PERFORMANCE
Scope of Services for Item 1 will be completed within approximately one hundred and fifty (150) calendar days
from receipt of Notice to Proceed except for delays beyond the reasonable control of the Consultant. Item 1
Study Tasks 1-1 through 1-9 of the Scope of Services are anticipated to be completed within eighty-five (85)
days. Item 1 Study Tasks 1-10 through 1-16 and Item III of the Scope of Services will be completed as mutually
agreed. The probable time table by Study Tasks for the rate study is provided below in the graph.
Item 1 Rate Study Probable Time Table
25 25 25 25
1-2
1
40
1-3
5
40
1-4
25
75
1-5
25
75
1-6
25
75
1-7
25
75
1-8
50
75
Scope Task
1-9
75
85
1-10
40
90
90
100
1-12
100
130
190
Scope of Services for Item 2 will be completed within approximately seventy-five (75) calendar days from
receipt of Notice to Proceed except for delays beyond the reasonable control of the Consultant. Item 2 Study
Tasks 2-1 through 2-3 of the Scope of Services are anticipated to be completed within forty (40) days. Item 2
Study Tasks 2-4 through 2-8 of the Scope of Services will be completed concurrently with similar Study Tasks
in Item 1. The probable time table by Study Tasks for the ancillary rate and fee study is provided below in the
graph.
160
140
12o
100
80
60
40
20
Item II Ancillary Charges & Fees Probable Time Table
145
130
iso
05
100
'Meetings schedule coordinated with
Item 1 Comprehensive Rate Study
2-1
2-2
2-3
2-4
2-5
2-6
2-7
1
1
40
40
90
100
100
15
85
90 100
Scope Task
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130
145
SECTION III
COMPENSATION
The Consultant for Scope of Service Item 1, except Study Task 1-13, will be paid based on the Hourly Rate
Schedule, with the amount not to exceed Eighty -One Thousand Five Hundred Dollars ($81,500.00) including
reimbursable expenses and as per the services authorized and performed in accordance with Section I Item 1
of the Agreement.
The Consultant for Scope of Services Item 2 will be paid based on the I Iourly Rate Schedule, with the amount
not to exceed Seventeen Thousand Nine I Iundred Dollars ($17,900.00) including reimbursable expenses and
as per the services authorized and performed in accordance with Section I Item 2 of the Agreement. The not
to exceed amount for Item 2 is predicated on meetings associated with Study Tasks 2-3, 2-4 and 2-5 being
conducted concurrently with similar Study Tasks in Item 1.
Compensation for Scope of Services Item 1 Study Task 1-13 and Item 3 Additional Services, will be as mutually
agreed and issued in the form of a change order.
Invoices for services shall be submitted by the 10th of the month, and payments shall be made net thirty (30)
days. Payments shall be made provided the submitted invoice is accompanied by adequate supporting
documentation and is approved by the County.
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Attachment B - Raltelis' 2017 Billing Rates
Position Rate
Administrative Support Personnel $62
Technician $98
Associate $|36
Consultant $165
Senior Consultant $187
Manager $200
Senior Manager $255
Principal Consultant $213
Senior Manager $255
July 12, 2017
950 South Winter Park Drive
Suite 240
Casselberry, FL 32707
Mr. Vincent M. Burke, PE
Director
Indian River County Department of Utility Services
1801 27th Street
Vero Beach, FL 32960
Subject: Municipal Advisor Disclosure
Dear Mr. Burke
407. 960.1806
407. 960.1803
As a registered Municipal Advisor under the Dodd -Frank Act, Raftelis Financial Consultants, Inc.
(Raftelis) is required to inform our clients of any existing or potential conflicts of interest that may
be relevant to any proposed scope of services that may include providing "advice' as that term is
defined in the Dodd -Frank Act. As of the date of the agreements for a Comprehensive Water,
Wastewater and Reclaimed Water Rate Study (Rate Study) and A Water and Wastewater Impact
Fee Study (Impact Fee Study), no conflicts of interest arc known to exist.
Under the Dodd -Frank Act the definition of"advice" includes providing any opinion, information
or assumptions related to the size, timing and terms of possible future debt issues or
borrowing. This type of information may be integrated into the capital and financial planning
components of the Rate Study and Impact Fee Study. This definition is applicable regardless of
whether this information is developed and used solely for planning and decision making
purposes. For the services addressed in the scope of work identified for this engagement, any
information that is developed by Raftelis that falls under this definition of municipal advice is not
intended to represent a recommendation that the County should issue debt based on the terms and
assumptions used to develop the financial plan or forecast, or that the County will, in fact, be able
to issue debt under the exact terms and conditions assumed and used to develop the financial plan
or forecast. The information developed as part of these studies, including any related municipal
advice, is intended only to provide information useful in evaluating the potential impact on the
utility and future rate adjustments of one potential course of action for the County. If the County
decides at some future date to issue debt, then at that time the County will need to engage an
independent, registered Financial Advisor to assist in evaluating the availability of different types
of debt, and the specific terms and conditions for issuing debt, which will be affected by market
conditions and the County's credit rating at the time of issuance. At that time, as a registered
Municipal Advisor, Raftelis can also provide additional assistance related to a specific bond or
debt issue, such as preparing a bond feasibility report or financial forecast for inclusion in bond
documents, without requiring additional oversight or supervision by the Financial Advisor.
By signing this disclosure letter indicating its approval and acceptance of the proposed scope of
work and fees, the County is also explicitly acknowledging that Raftelis has provided the necessary
disclosures addressing conflicts of interest and any limitations on the scope of Municipal Advisory
services to be provided by Raftelis as part of this engagement.
Sincerely,
RAFTELIS FINANCIAL CONSULTANTS,
INC.
/ • .f s .Y
Marco H. Rocca CMC
Principal Consultant
AVPEST:
RY:
INDIAN RIVER COUNTY, FLORIDA' .�S.S!5
:o.
re
s
'
Jeffrey R. Smith, Clerk of Court
and troller
Joseph E. Flescher
Print Name
Chairman, Board of County Commissioners
Title
ly 18, 2017
Datc
APPROVED AS TO FORM
AND LEGAL 5t1PFICIEN
DYLAN REINGOLD
COUNTY ATTORNEY