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HomeMy WebLinkAbout2007-06-26 - AGENDA REPORTS - ROSENOW SPEVACEK CONTR (2)Agenda Item:.'.. CITY OF SANTA CLARITA REDEVELOPMENT AGENCY AGENDA REPORT City Manager Approval: r+ CONSENT CALENDAR Item to be presented by: Chris Price DATE: June 26, 2007 SUBJECT: AWARD CONTRACT TO ROSENOW SPEVACEK GROUP TO PROVIDE REAL ESTATE AND FINANCIAL CONSULTING SERVICES FOR THE REDEVELOPMENT AGENCY DEPARTMENT: Community Development RECOMMENDED ACTION 1. Redevelopment Agency approve a contract amendment for an amount not to exceed $125,000 to Rosenow Spevacek Group to provide real estate and financial consulting services. 2. Authorize the City Manager,or designee to execute all documents, subject to City Attorney approval. BACKGROUND In February 2006, the Redevelopment Agency released a Request for Proposals (RFP) to identify a firm to provide various real estate and financial services to assist with implementation of the Downtown Newhall Specific Plan. Seven firms submitted proposals to the purchasing division before the published deadline. Staff narrowed the list to a small group of finalists and three firms presented their qualifications for consideration. Rosenow Spevacek Group was selected to a one-year contract in the amount of $49,900 that expires July 31, 2007. At this time, the Redevelopment Agency has exhausted the current contract funds and staff recommends consideration of a contract amendment in the amount of $125,000. This contract amendment would provide for essential real estate and financial services to help Q�PRO' EU realize developer driven and Agency identified catalytic projects within the Downtown Newhall Specific Plan. While the City's in-house acquisition specialist is an important member of the implementation team, there are a number of specialized RDA functions, reports, and activities that cannot be carried out by existing staff. Specifically, the Redevelopment Agency has, and will continue to benefit from expertise in development pro -forma analysis (vital in helping staff evaluate whether any proposed project will meet the financial goals of the Agency), negotiation of disposition and development agreements (a very specialized area that staff has not been faced with previously), and project financing (assisting staff in developing ways to move Agency assisted projects forward with the least impact on City funds). The Rosenow Spevacek Group has already provided substantial assistance to the burgeoning City Redevelopment team, researching new RDA legislation and drafting the City's new SB53 program and the draft implementation plans currently under consideration. Staff members and the City Attorneys involved with redevelopment have all reported positive experiences with this consultant and recommend continuing their involvement with the advancement of the Agency's goals. ALTERNATIVE ACTIONS Other action as determined by the Redevelopment Agency. FISCAL IMPACT Costs associated with execution of the contract amendment shall not exceed $125,000. Funds are currently available and have been previously appropriated by the Redevelopment Agency as part of the FY2007/2008 Annual Budget Process.