TO: Honorable Mayor and Council
FROM: Charlie Cassens, City Manager
SUBJECT:Title
Ratify Professional Services Agreement for Wastewater and Water Financial Plans Update with Raftelis Financial Consultant, Inc.
Body
FUNDING SOURCE:
Wastewater Utility Fund
PURPOSE:
Ratify agreement for consulting services to update Lake Havasu City's wastewater and water financial plans in accordance with City Code Section 3.10.010.5(A)(10).
BACKGROUND:
This agreement engages Raftelis Financial Consultants, Inc. (RFC), a qualified accountant firm with substantial skill and experience in water, wastewater and stormwater finance management, to assist the City with updating its wastewater financial plan and rate model in support of the City's planned wastewater debt restructuring plan. The plan includes the prepayment (defeasance) of four existing Water Infrastructure Finance Authority (WIFA) loans, refinancing the existing Greater Arizona Development Authority (GADA) loan into a new WIFA loan, and the full defeasance of the remaining WIFA debt via open market bond issue. The scope also includes updating the City's water utility financial plan and rate model.
COMMUNITY IMPACT:
Actions that are successful in reducing the cost of sewer service will have a positive financial effect for residents and a related overall improvement of quality of life.
FISCAL IMPACT:
Funds in the amount of $140,000 are budgeted for this purpose in fiscal year 2015-2016 in account 531-4210-422.31-06.
ATTACHMENTS:
Professional Services Agreement
SUGGESTED MOTION:Recommended Action
I move to ratify the Professional Services Agreement for wastewater and water financial plans update with Raftelis Financial Consultants, Inc.