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Home My WebLink AboutDiamond Bar Fees eProposal_MatrixCG.pdf Proposal to Conduct a Citywide Fee Study DIAMOND BAR, CALIFORNIA December 14, 2023 Table of Contents A Cover Letter i B Project Team 1 C Firm’s Experience/References 5 D Methodology/Project Understanding 9 E Cost for Services 19 F Insurance 20 G Consultant Services Agreement 21 December 14, 2023 Dannette Allen Principal Management Analyst City of Diamond Bar 21810 Copley Drive Diamond Bar, CA 91765 Dear Ms. Allen: The Matrix Consulting Group is pleased to submit our proposal to conduct a Citywide Fee Study for the City of Diamond Bar. The importance of establishing documented and defensible plans that facilitate the recovery of direct and indirect costs. Our experience in providing similar services and understanding of the impact and implementation issues faced by jurisdictions in Southern California comes from recent work with the following clients: Pomona, Burbank, Glendale, Manhattan Beach, Pasadena, South Pasadena, San Bernardino, and Walnut. At Matrix Consulting Group, we distinguish ourselves from our competitors through our commitment to delivering unparalleled value. Our key differentiators lie in the fusion of data-driven analysis and a team of cross-trained professionals. Our staff possess a deep understanding of service and process assumptions behind the cost of service. This dual expertise allows us to provide comprehensive insights and solutions that optimize eﬃciency and maximize our clients' value. We are committed to dedicating the time, personnel, and resources to the City’s effort as identiﬁed in this proposal. Studies of this nature typically take approximately 12 weeks to complete. I am the ﬁrm’s President and authorized to contractually bind the ﬁrm. Courtney Ramos, a vice president, can provide clariﬁcation regarding this proposal, which is valid for 90 days upon receipt. We can be reached at the letterhead locations or via email at rbrady@matrixcg.net and cramos@matrixcg.net Richard Brady, President Matrix Consulting Group, Ltd. mat rix consulting group Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 1 B Project Team The project team proposed by the Matrix Consulting Group comprises full-time employees of our ﬁrm. The following chart outlines the project team's roles and reporting structure. The table below provides an overview of our proposed project team’s experience and roles throughout this project. Khushboo Ingle Vice President Study Manager Experience: 12 years Ms. Ingle is a Vice President who manages cost allocation plan, user fee, development impact fee, and cost of service engagements. Her experience with the ﬁrm also includes participation in operational audit engagements focusing on organization, staﬃng, and internal processes. Khushboo has completed over 150 cost of service studies. Recent Southern California clients include Menifee, Manhattan Beach, Glendale, Burbank, Pasadena, South Pasadena, Adelanto, Walnut, Riverside, Redlands, and San Bernardino. Ms. Ingle is a CSMFO member and trained in Revenue Best Practices. Coordination of data collection, support City staff in data development, and populate models. Primary contact for the project, providing expertise in leading meetings, reviewing drafts, and presenting results. Project oversight and overall project approval.City of Diamond Bar Khushboo Ingle Project Manager Madison Dixson Analyst Abnash Minhas Analyst Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 2 Madison Dixson Senior Consultant, Data Analyst Experience: 3 years Ms. Dixson is a lead analyst who assists our study manager on cost allocation plan, user fee, development impact fee, and cost of service engagements. Madison has participated in over 30 cost of service studies. Recent Southern California clients include Glendale, Burbank, Pasadena, Menifee, Redlands, Walnut, and San Bernadino. Ms. Dixson is a CSMFO member and has also received training on user fee regulations. Abnash Minhas Consultant, Analyst Experience: 1 year Ms. Minhas is an analyst who has recently joined our ﬁrm to assist our staff on cost-of-service engagements including cost allocation plan, user fee, and development impact fee studies. Prior to joining the ﬁrm Ms. Minhas had extensive experience working on indirect rates and capturing overhead costs. Recently she has worked for California clients such as Pomona, Redlands, Glendale, Menifee, and Chula Vista. We understand that if any personnel changes occur during the contract period, we must notify the City and furnish the same information for review and approval. Resumes for our Project Manager and Lead Analyst have been included on the following pages. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 3 KHUSHBOO INGLE VICE PRESIDENT, MATRIX CONSULTING GROUP Ms. Ingle is a Vice President who manages cost allocation plan, user fee, development impact fee, and cost of service engagements. Her experience with the firm also includes participation in operational audit engagements focusing on reviewing organizational, staffing, and internal processes to enhance services. Khushboo’s relevant experience include: • Completed over 150 cost of service studies for clients across the United States. • Analysis focuses on development and documentation of direct and indirect costs, fair and equitable allocation methodologies, defensible results. • Expertise also includes development of fiscal policies and procedures relating to cost of service and cost recovery. Experience Highlights Glendale, CA: Khushboo served as the Project Manager on this engagement which looked and conducting a citywide fee study. Key analysis includes: • Discussing time assumptions on current and future fees for service. • Documenting the cost of service assumptions for all city fee departments. Redlands, CA: Khushboo served as the project manager on this engagement which looked and developing a citywide cost plan, and comprehensive fee. Key analysis included: • Review of current administrative functions, and ensuring all appropriate functions were included in the plan. • Incorporating updated metrics to account for each service area. • Calculation of Indirect costs for enterprise fund reimbursements Role on This Engagement: Khushboo will serve as the Project Manager on this engagement, leading interviews and coordinating necessary data collection for the financial analysis, policy discussions, and working with the Analysts to compile and analyze data. Relevant CA Clients: Berkeley Citrus Heights Cupertino Dixon Elk Grove Fairfield Glendale Livermore Long Beach Manhattan Beach Orange Pacific Grove Pomona Redlands Redwood City Riverside San Bernardino County San Pablo San Mateo Santa Clara Santa Clara County Sonoma County South San Francisco Stanislaus County Sunnyvale Walnut Years of Experience: 12 Education: B.A., University of California – San Diego, International Economics M.A., University of California – San Diego, International Affairs Professional Association / Certification: California Society of Municipal Finance Officers OMB Cost Allocation Best Practices Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 4 MADISON DIXSON SENIOR CONSULTANT, MATRIX CONSULTING GROUP Ms. Dixson is a lead analyst on cost allocation plan, user fee, development impact fee, and cost of service engagements. Madison’s relevant experience include: • Completed over 50 cost of service studies for clients across the United States. • Analysis focuses on comparative review of services and fee levels. • Expertise also includes narrative analysis of cost of service studies. Experience Highlights Riverside, CA: Madison served as a project analyst on this engagement. She worked with the project team to input data into the model to develop the OMB Compliant Cost Plan for the City of Riverside. Glendale, CA: Madison supported our senior team members in collection, analysis, and distillation of allocation metrics for input into the Citywide Fee Model. This ensured accurate development of fee results, as well as clear backup documentation for the City. Redlands, CA: Madison worked as a project analyst, participating in interviews discussing support areas, reviewing and compiling agenda statistic information, and developing a cost allocation narrative to describe the services being allocated. Role on This Engagement: Madison will serve as the Lead Analyst on this engagement, collecting and reviewing data, inputting data into analytical models, and producing final results. Relevant CA Clients: Adelanto Burbank Cupertino Daly City Dixon Fairfield Fort Bragg Glendale Menifee Millbrae Palo Alto Pasadena Port of Long Beach Redlands Redwood City Riverside San Bernardino San Bernardino County San Mateo Santa Clara Stockton South San Francisco Sunnyvale Years of Experience: 3 Education: B.A., University of California, Irvine, Anthropology Professional Association / Certification: California Society of Municipal Finance Officers Revenue Cost Allocation Best Practices Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 5 C Firm’s Experience/References The Matrix Consulting Group was formed by experienced consultants to pursue an operating model in which analytical work is performed by senior-level staff. Our ﬁrm’s history and composition are summarized below: • We were founded in 2002, incorporated in California, and have our headquarters there (in San Mateo with a Southern California satellite oﬃce in Irvine) and regional oﬃces in Edwardsville (IL), the Dallas Metroplex (TX), Portland (OR), and the Tampa (FL) area. • We are comprised of 27 full-time and seven part-time highly experienced management consultants who specialize in analyzing local government functions encompassing the entire spectrum of critical operational areas. We have a dedicated ﬁnancial services team. • Since our founding, we have worked with over 1,600 government agencies, conducting cost of service and management studies and providing recommendations for operations, improvements, and cost recovery. The market and service focus of the Matrix Consulting Group has always been ﬁnancial, management, staﬃng, and operations analysis of local government. The following outlines the core ﬁnancial services provided by our ﬁrm: OMB 2 CFR Part 200 Cost Plans User Fee Studies Full Cost Plans Development Impact Fee Studies Indirect Cost Rate Proposals Fully Burdened Hourly Rates Internal Service Fund Analyses Revenue Projections No other ﬁrm better understands how public agencies operate or how to help them thrive. Fee Study Experience Our ﬁrm has extensive experience conducting comprehensive user fee studies for various municipal organizations and departments. When conducting comprehensive user fee studies, the focus is often on Community Development (building, planning, and engineering) and Parks and Recreation services. The following points highlight our experience in these areas: • Community Development: Our ﬁrm has extensive experience evaluating development review permitting functions for Building, Planning, Engineering, and Fire Prevention. From the basic process steps for submitting, reviewing, inspecting, and approving applications and permits to the development of Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 6 processes, procedures, and cost recovery goals, our project teams can address topics such as: - The best metric for assessing fees, such as building valuation, square footage, construction estimate, or number of fixtures. - Appropriate deposit amounts, guidelines, and processes to ensure actual cost recovery is achieved. - Setting fees at levels that both recover costs but are not cost-prohibitive. - Cost recovery and implementation options for support services including General Plan Updates, Technology Fees, GIS, etc. Beyond understanding processes and assessing time estimates provided, our project teams are aware of the cross-departmental support associated with application and permit services. These costs are included in the full cost calculation and can be expressed as part of the established fee or a separate fee. • Parks and Recreation: The Matrix Consulting Group has worked with every type of recreation function, including traditional parks and recreation, libraries, and open space preserves. Our experience spans master and strategic planning, park condition assessments, program staﬃng, and cost recovery. Our project teams are well versed in the areas that most impact cost recovery, including: - The best use of a tiered recovery approach, such as resident versus non- resident or profit versus non-profit. - Setting fees according to the cost recovery pyramid ensures that premium services have a higher cost recovery. The goal in reviewing parks and recreation costs for service is to ensure that fees and rates are set at a level that allows the City to continue to serve the community in a manner consistent with current goals and commitments. The following table includes a sampling of California clients over the last ﬁve (5) years for whom we have conducted cost of service (user fee) studies: Jurisdiction Planning Building Engineering Fire Prev. Admin Utility Police Recreation Adelanto, CA X X X X X Citrus Heights, CA X X X X X X Commerce, CA X Cupertino, CA X X X X Daly City, CA X X X X X X Dixon, CA X X X X X X Downey, CA X X X X X X X X Elk Grove, CA X X X Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 7 Jurisdiction Planning Building Engineering Fire Prev. Admin Utility Police Recreation Livermore, CA X X X X Los Altos, CA X X X Los Altos Hills, CA X X X X Manhattan Beach, CA X X X X X X X X Millbrae, CA X X X X X X Mill Valley, CA X X X X X X Montebello, CA X X X X X X X X Orange, CA X X X X X X X X Pacific Grove, CA X X X X X X Redwood City, CA X X X X X X X X San Bernardino, CA X X San Mateo, CA X X X Santa Clara, CA X X X X X X X X South Pasadena, CA X X X X X X X So. San Francisco, CA X X X X X X X X Stockton, CA X X X X Winters, CA X X X X X X X Services provided to the above clients were delivered by our proposed project executive and project manager out of our San Mateo (headquarters) and Irvine, CA oﬃces. References The following table references three clients for whom similar services were provided and managed by our project executive and project manager. Client Client Contact Project Type/Details Glendale, CA 141 N. Glendale Ave. Glendale, CA 91206 Mari Karamyan Budget Manager (818) 551-4608 MKaramyan@Glendaleca.gov Citywide Fee Study Development Impact Fee Study Oct. 2021-Dec. 2022 Menifee, CA 29844 Haun Road Menifee, CA 92586 Margarita Cornejo Financial Services Manager (951) 723-3716 mcornejo@cityofmenifee.us Cost Allocation Plan Citywide User Fee Study Development Impact Fee Study July 2021-Sept. 2022 Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 8 Redlands, CA 125 W. Vine St. Redlands, CA 92373 Danielle Garcia Management Services Manager (909) 798-7555 dgarcia@cityofredlands.org Full Cost Allocation Plan Citywide User Fee Study October 2022 – Aug 2023 Additional details are available upon request. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 9 D Methodology/Project Understanding This section of our proposal includes a statement demonstrating our understanding of the proposed study, describes our approach, and provides an overview of the information and resources we expect the City to supply. Project Understanding and Approach We understand the City would like a comprehensive review and evaluation of user fees. The culmination of the City user fee study will provide the City with documentation outlining the full cost of providing fee-based services. This information will help the City determine where to set fees in conjunction with the jurisdictional survey. The Matrix Consulting Group has worked with clients in jurisdictions of all sizes in 45 states across the U.S. and Canada. Every project is unique but is managed according to the following essential project approach: These approaches have led to high rates of implementation for all our projects. Project Management and Quality Control We believe very strongly in the science of our craft. As such, our ﬁrm utilizes quality control techniques, which include: • Project Management: Ensuring our projects meet the needs and timelines of our clients are accomplished through the following: Understanding City-specifi financial data. Working collaboratively wtih City staff through meetings and workshops. Applying industry standards, best management practices, and technical expertise for fee and cost allocation application. Calculating defensible results with buy-in from internal and external stakeholders. Providing recommendations and transferring knowledge and work products to City staff for sccessful project implementation. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 10 – The project manager and lead analyst develop general and project-speciﬁc data collection plans and interview guides. – All project work activities are deﬁned in advance and tied to each project team member, deliverables, schedule, and budget. – We have frequent client review meetings to discuss the quality and direction of the project through interim deliverables and draft documents. • Numerical Results: Financial analyses are used to develop budgets and projections, often subject to public oversight and review. For this reason, our ﬁrm ensures data-determined quality control through the following: – Expenditure data entered into cost models are tied to budget documents. – Revenue projections developed are based on existing workload and projected development activity. These quality control and quality assurance approaches have resulted in all our projects being delivered at a high level of quality, on time, and on budget. Work Plan/Methodology The following tasks outline citywide user fee study tasks, including deliverables, estimated City support, and proposed project schedule. Task 1 Data Collection Prior to any initial meetings, the Matrix Consulting Group will provide the City with a list of initial data requirements for the study. This will allow our project team to review this information thoroughly in preparation for initial discussions with staff. A common list of data collection items include: • Budget and actual expenditures for each Department / Division on a line-item basis. • List of all budgeted personnel for each Department / Division. • Most recently completed Fiscal Year revenue reports for each Department / Division. • List of all current fees to be included in the analysis. • List of comparative jurisdictions for the fee survey. • Copy of any previous fee studies. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 11 The provision of these items allows our project team to familiarize themselves with the City’s structure, services, and cost recovery practices. Deliverable List of basic data requirements for the Study Meetings None Task 2 Study Objectives and Project Schedule Once the data has been collected, the project team will meet with designated City staff to discuss any issues identiﬁed by the project team and clarify any existing issues or concerns held by the City regarding the current user fee study methodology. Discussions will include: • Review the City’s speciﬁc needs and critical issues surrounding the development and implementation of the development services fee study. • Opportunities for improvement and restructuring of previous fee analyses. • Discussion of cost recovery goals and targets for the user fee analysis. At the culmination of the meeting, the project team and the designated City staff will leave with a greater understanding of the overall approach and methodology that the project team will take to conduct the citywide fee study. Deliverable Project Schedule Meetings Kickoff Task 3 Develop a Schedule of Current and Potential Fees for Service The scope of this effort will include all citywide fees charged by the City of Diamond Bar. The project team will work with staff to go through their current fee schedules in line-item by line-item detail. This meeting is critical in ensuring staff can incorporate any updates or changes to the fee study based on code, regulation, staﬃng, process, or technological changes. The focus of this meeting will be the following: • Renaming fees: Rewording or renaming fees to identify services more clearly. • Eliminating fees: Removing any outdated services or fees. • Adding new fees: Capturing any new services or breaking out existing fee categories to identify all the services being provided by City staff more clearly and identify potential fees for service that the City would like to provide. • Recategorization of fees: Collapsing or expanding multiple fee ranges to better capture the services provided. For example, eliminate lot ranges or acreages if Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 12 those do not impact the review amount, but add categories based upon the approval body (i.e., Commission vs. Director level). It is important to note that this meeting occurs ﬁrst to ensure that any major proposed structural changes are captured prior to collecting time estimate information or developing draft fee results. However, there is the ability to make future adjustments. Deliverable Proposed Fee Structure(s) Meetings Fee Structure Meetings Task 4 Conduct Time Data Gathering Workshops The project team will conduct workshops to gather time estimates for each service included in the study, interview key personnel from each department, and analyze the various activities. Below is an example of the steps involved in permit processing and the time associated with each step. As the chart above shows, basic process steps in application/permit processing will be documented and provided in detail for each department / division represented in the study. The project team will try to minimize the impact on staff by incorporating any baseline assumptions from prior city studies. The project team will conduct multiple time estimate workshop(s) for each department / division included in the study, and the workshop results will be an Excel-based workbook(s) that staff can review. Staff will be provided time for edits or comments on time estimate information. Intake and Processing. Permit Tech: 15 minutes. Routing. Permit Tech: 10 minutes. Initial Review. Plan Checker: 1 hour. FInal Review. Plan Checker: 30 minutes. Issue Permit. Permit Tech: 15 minutes. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 13 Deliverable Time Estimate Workbook(s) Meetings 2-3 Time Estimate Workshops Task 5 Develop Fully Burdened Hourly Rates Based on the City’s staﬃng and budget information, the project team will calculate fully burdened hourly rates, including direct and indirect costs. The following points highlight the cost components and factors included in fully burdened rates: • Direct costs: This component accounts for salary and beneﬁts associated with each employee or position and reﬂects City staﬃng and salary reports. • Indirect costs - departmental: This component accounts for administrative and management support provided to line-level staff, as well as operational services and supplies that are used in the execution of job duties. This cost component is developed through interviews with staff and an analysis of services and supply budgets. • Indirect costs - citywide: This component accounts for citywide support such as Finance, HR, and Solicitor support provided by other city departments. This cost component is derived from the City’s Cost Allocation Plan. The project team will develop an indirect rate if no Cost Plan is available. Once the cost components have been documented and developed, the project team will review MOUs and talk with departmental staff to determine appropriate productive hour calculations. This reduction in available hours will ensure that fully burdened hourly rates account for leave accruals (holiday, vacation, and sick), as well as meetings or training. The results of this analysis will be fully burdened hourly rates by position. The project team will utilize the results of this task along with Task 4 to calculate the full cost of services. Deliverable Fully Burdened Hourly Rates Meetings None Task 6 Perform a Total Cost Analysis The Matrix Consulting Group’s costing model is built based on the city’s operations, budget details, and intended uses for the results. This method is a customized approach speciﬁc to each jurisdiction for cost analysis of user fee services. It is a “bottom-up” approach, which is the most defensible methodology for calculating user fees. The methodology incorporates the time estimate information and fully burdened hourly rate information. The following graphic shows the cost calculation: Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 14 This costing method uses time and annual activity level data to establish the cost of providing services on both a unit and an annual level. Once the time spent for a fee activity is determined for each individual or position, the team uses its fee and rate software to apply the fully burdened hourly rates calculated in the previous task. Resulting costs are presented on a unit and annual level and are compared to the existing fee schedule and revenue reports. The following graphic shows a sample presentation: Per Unit Fee Title Current Fee Total Cost Per Unit Surplus / (Deficit) Per Unit Cost Recovery % Lot Line Adjustment $900 $1,557 ($657) 58% Temporary Use Permit $40 $325 ($285) 12% AVERAGE COST RECOVERY PER UNIT 35% Annual Fee Title Workload Revenue at Current Fee Revenue at Full Cost Annual Surplus/ (Deficit) Lot Line Adjustment 4 $3600 $6,228 ($2,628) Temporary Use Permit 60 $2400 $19,500 ($17,100) TOTAL $6,000 $25,728 ($19,728) As the example in the graphic above indicates, the per unit subsidy for the Lot Line Adjustment at $657 is more than double the per unit subsidy for the Temporary Use Permit. However, the annual results help provide City management with some additional context, as due to the volume of activity, the larger impact on the Department is felt by the smaller subsidy for the Temporary Use Permit. The City will obtain detailed information like that presented in the previous graphic regarding cost recovery surpluses and deﬁcits on both a detailed (per unit) and global (annualized) level, as well as an understanding of cost components for each service. Deliverable Per Unit and Annual Fee Study Results Meetings 1-2 Draft Results Meetings Time Estimate Fully Burdened Rate Full Cost Fee Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 15 Task 7 Conduct a Market Rate Survey to Similar Jurisdictions The project team will work with the City to identify jurisdictions within Los Angeles County for the fee comparison survey. This comparative survey activity will be conducted utilizing the following steps: • Developing fee scenarios for the department included in the study to be compared to other jurisdictions (e.g., Single Family Home 2,500 sq. ft. $325,000). • Graphing the results of the fee analysis for easy visual comparison purposes. The following graph provides an example of how comparative survey results for fees would be presented: • Collecting contextual information such as population size, budget, staﬃng, last time fee study was done, and last fee schedule update. As market surveys do not provide adequate or objective information about the relationship of a jurisdiction’s costs to its fees, these steps ensure we provide the City with the most amount of information possible. Deliverable Comparative Graphs (included in Draft Report) Meetings None Task 8 Review / Revise Fee Study Results Because the analysis of fees for service is based on estimates and information provided by City and contract staff, all participants must be comfortable with our methodology and the data they have provided. Once the Department agrees that the analysis reﬂects the reasonable costs of providing services, City management will have an opportunity to review the results. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 16 Deliverable Revised Draft Results Meetings None Task 9 Prepare a Draft User Fee Study Report Upon conclusion of the fee study, we will prepare a detailed report summarizing the results of each of the previous work tasks described above. This report will include: • A succinct executive summary discussing the study, methodology, and the results. • A narrative describing the services included in the study. • A section on proposed modiﬁcations to the current fee schedule, including removal or addition of new fees for service. • A section on per unit results for each fee included in the analysis, and annual results where workload data is available. • A comparative survey section outlining key fees and their comparison to other local jurisdictions and contextual information regarding budget, staﬃng, and when they last conducted fee studies. The draft report will be provided to city staff for any edits, comments, or revisions. Deliverable Draft Fee Study Report Meetings None Task 10 Master Fee Schedule and Backup Documentation / Future Updates Once the ﬁnal user fee study report is approved, the project team will develop a master fee schedule, consolidating all fees in a singular location. The master fee schedule will include a numbering system, the department name, the fee title, the unit of application, the current fee, the total cost per unit calculated through the study, the difference, the cost recovery, the relevant rule / regulation that applies to the fee type, the staff recommended fee, and staff recommended cost recovery level. This attachment is extremely helpful for staff as part of the staff report provided to the City Council upon adoption. During this task, we will also provide the City with backup Excel documentation for the fees, as well as the ability to include annual escalators to set up future fee increases. Deliverable Master Fee Schedule and Backup Documentation Meetings None Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 17 Task 11 Present the Final Report to Key Stakeholders The presentation of results to City oﬃcials and/or stakeholders is critical to the success of the overall engagement. Because the product from the study is often controversial, the objective of this ﬁnal step is to present a succinct summary that provides decision- makers with key information. The Matrix Consulting Group will attend and present the Study at up to two (2) City Commission / Council meetings, including any fee adoption hearings. We believe that these meetings are suﬃcient to ensure stakeholders' buy-in. Deliverable Presentation Meetings 1-2 City Committee / Commission / Council Meetings Task 12 Finalize Fee Study Report Any edits or revisions to the draft user fee study report will be incorporated into the ﬁnalized fee study report. This ﬁnalized fee study report will include all elements of the draft fee study report and any additional cost recovery considerations and policy considerations for the Council’s review. Deliverable Final Fee Study Report Meetings None Task 13 Implementation and Future Support The Matrix Consulting Group is committed to helping our clients develop accurate and defensible cost allocation and cost of service methodologies and ensure that they can implement the results of these studies appropriately. Our project team will work with City staff to facilitate an understanding of the results of each analysis and how to incorporate those results into budget and policy documents, informational handouts, and other City materials. Our client support continues once a ﬁnal report has been issued. We understand that questions can arise about the development of a study well after project completion and are committed to working with our clients to answer any questions about methodologies and applications of results. This support is provided to our clients at no extra cost. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 18 Schedule Studies of this nature take approximately six months (24 weeks) to complete. The following table shows, by task, the proposed week(s) of work and deliverables as outlined in our work plan: Task Project Week(s) Deliverable Data Collection 1-2 Data Collection and Project Schedule Memo Study Objectives 1-2 Initial meeting with key City staff Current & Potential Fees 2-6 Provision of proposed fees Data Workshops 4-8 Time Estimate Workbooks Fully Burdened Hourly Rates 5-10 Fully burdened hourly rates by position Total Cost Analysis 6-12 Draft Per Unit and Annual Cost Results Comparative Survey 6-16 Survey comparative jurisdictions Review/Revise Results 10-14 Draft Workbooks/Recommended Fees Draft Fee Study Report 16-20 Draft Fee Study Report Finalize Fee Study Report 20-24 Delivery of Final Fee Study Report Master Fee Schedule 19-24 Master Fee Schedule & Backup Documentation Presentation of Fee Results 24+ Delivery to Stakeholders The City is looking for implementation on July 1, 2025; this means that fees must be ﬁnalized by January 1, 2025. The City is anticipating a start date in January / February 2024. This should be suﬃcient time. However, if the City desires to utilize FY24-25 budget information, we recommend that the project commences by May / June 2024 to allow the use of the most accurate data in the study. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 19 E Cost of Services The Matrix Consulting Group proposes to perform the tasks and services associated with a Citywide User Fee Study for a ﬁxed-price not-to-exceed fee of $56,000. The following table breaks our proposed project cost by estimated hours per task and position. Project Manager Lead Analyst Analyst Total Cost Data Collection 2 2 0 $800 Study Objectives 2 2 0 $800 Current and Potential Fees 2 8 8 $2,700 Data Workshops 4 12 12 $4,300 Fully Burdened Hourly Rates 6 16 20 $6,400 Total Cost Analysis 8 30 36 $11,000 Comparative Survey 2 6 24 $4,400 Review / Revise Results 8 14 18 $6,350 Draft Fee Study Report 12 20 24 $9,000 Final Fee Study Report 6 10 12 $4,500 Master Fee Schedule & Backup Documentation 4 8 10 $3,450 Presentation of Fee Results 8 2 0 $2,300 Total Hours 64 130 164 Hourly Rate $250 $150 $125 Total Professional Fees $16,000 $19,500 $20,500 $56,000 Total Project Cost $56,000 This price is a ﬁxed, not-to-exceed price contract, inclusive of all travel and any other expenses. Our typical practice is to bill for hours worked monthly. If any additional services are required, they will be billed at the hourly rates noted. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 20 F Insurance We understand that Proof of insurance requirements addressed in the professional services agreement of the City’s RFP will be required by the selected Consultant. Proposal to Conduct a Citywide Fee Study Diamond Bar, CA Matrix Consulting Group 21 G Consultant Services Agreement The Matrix Consulting Group agrees to the City’s Consultant Services Agreement terms and conditions.