CC - Agendas - City Council - REGULAR - 8/14/2018

Home

9.H.a City of Prescott, Arizona Non -Utility DIF Study and Associated Documents Project Approach Raftelis has not included a stand-alone task for project management -related activities and has integrated and distributed this critical component within the nine tasks proposed to be completed. Project management activities include working with City staff to establish project objectives, develop and execute the project schedule, obtain necessary data, understand fiscal/political constraints, while completing the project within the proposed budget and schedule. TASK 1 Development Projections, Levels of Service, and Geographic Service Areas for Potential Facilities This task includes an evaluation of service area designations for non -utility impact fees, including libraries, streets, fire, police, and parks/recreational facilities. This task includes a review of population and job projections contained in the updated LUA. While the City has retained an engineering consultant to prepare the LUA necessary for the utility DIFs, the projected growth is anticipated to be developed to support growth in utility accounts and/or equivalent residential units (EQRs) that does not typically include projections of jobs and/or non- residential development per 1,000 square feet which will be required to support the non -utility DIF study requirements. Raftelis anticipates that the LUA residential population and growth assumptions may be modified to support non -utility DIF requirements, but additional analysis will be required to support the non -utility DIF assessment. As part of this task, we will project growth in service units for a study period of the ten years of fiscal year (FY) 2018-19 through FY 2027-28. Raftelis will work with staff to evaluate levels of service and available capacity by type of facilities. TASK 2 Cost Allocation Methodology and Rational Nexus to Comply with ARS Requirements This task includes a review and recommendation of the methodology which best reflects the growth cost to accommodate new development, consistent with ARS §9-463.05 and City policies. In general terms, the dual rationale nexus considers the need for infrastructure expansion and benefit to feepayers from infrastructure improvements. Part of the "need" evaluation includes consideration of other revenue sources such as current fund balances and sales tax dedicated to improvements. TASK 3 Identify Capacity Needs and Cost This task will evaluate the multi -year capital needs over the ten-year study period as provided by City staff and the projected infrastructure required to maintain current levels of service. Raftelis will work with City staff to determine eligible capital projects needed to accommodate new development. We will review cost estimates for infrastructure improvements and work with City staff to allocate costs between existing and new development. Furthermore, revenues dedicated for funding existing or future facilities will be identified, as required by ARS §9- 463.05. Attachment: Raftelis Scope of Work -Prescott DIF and Rate Study (2124 : Rate & Fee Study Contract with Raftelis) Non -Utility DIF Study and Associated Documents - Attachment Page 2 Packet Pg. 245