Community Facilities District Administration Services and Availability (Standby) Charges Administration Services

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1 WESTERN MUNICIPAL WATER DISTRICT OF RIVERSIDE COUNTY REQUEST FOR PROPOSAL For Community Facilities District Administration Services and Availability (Standby) Charges Administration Services Responses to this Request for Proposal (RFP) are to be submitted to: Western Municipal Water District Attn: Anna Briones, Senior Accountant Meridian Parkway Riverside, California Telephone: (951) No later than 5:00 p.m. on February 12, 2017, submit two (2) original copies and one (1) electronic file copy (in PDF format) of the proposal in a sealed envelope and marked: Proposal for CFD and Availability Charges Administration Services ; and submit one (1) original copy of the fee proposal in a separate sealed envelope and marked: Fee proposal for CFD and Availability Charges Administration Services. A copy of this RFP and related documents are available on the District s website at General information regarding the CFDs can be found at and at for the Availability Charges. I. INTRODUCTION Western Municipal Water District (the District) is responsible for the administration of the following Community Facilities Districts (CFD): CFD 88-1, Improvement Area (IA) # 2 of CFD 88-1, and CFD The District is seeking proposals from interested and qualified proposers to provide CFD administration services for these existing CFDs, as well as administration of availability (standby) charges. II. DISTRICT BACKGROUND Western Municipal Water District (the District) was formed in 1954 under the Municipal Water District Act of The District is governed by a five person board of directors, elected to four year terms by the registered voters in the District s five election divisions. The District s service area consists of a 527-square mile area of western Riverside County. Within the District s boundaries are the communities of Jurupa, Rubidoux, Riverside, Norco, Corona, Lake Elsinore, Canyon Lake, Temecula, and Murrieta. Page 1 of 7

2 The District acts as both a wholesale and retail water purveyor. The District purchases most of the water it sells from the Metropolitan Water District of Southern California with the majority coming from northern California via the State Water Project, while the balance of MWD s supply to the District is provided by the Colorado River Aqueduct. The District also operates a brackish groundwater treatment plant, the Arlington Desalter. In addition to providing about 60,000 acre feet per year of wholesale water to eight other water agencies, the District provides about 25,000 acre feet per year of water directly to its over 23,000 retail water customers. The District also provides wastewater collection and treatment to portions of its retail service area. CFDs In 2005, the Murrieta County Water District (MCWD) was merged into and became a part of the District. As a result of the merger, the District became the administrator of the three CFDs. These CFDs issued bonds to finance primarily water and wastewater infrastructure. The bonds are payable from proceeds from an annual assessment levied and collected from properties located within the CFD boundaries. All of the outstanding bonds of the CFDs were refinanced in September Total bonds outstanding as of June 30, 2017 are as follows: $2,120,000 for 88-1, $1,410,000 for IA-2 and $1,770,000 for The bonds for CFD 88-1 and CFD 99-1 mature in October 2030, and the bonds for IA#2 mature in October For the tax year, 1,864 parcels, 327 parcels, and 161 parcels were levied for 88-1, IA-2 and 99-1, respectively. The FY17 Annual Report for each of the CFDs are posted on the District s website at The Rates and Method of Apportionment, Boundaries Map, and a copy of this Request for Proposal are available at Availability (Standby) Charges The District collects on the property tax roll a water and sewer availability charge, also referred to as a standby charge. The availability charges are assessed annually on every parcel within the Murrieta service area. The District has continued this practice from the former MCWD. The funds derived from the charges are used for system operating and maintenance expenses. Since all properties benefit from a maintained water and sewer system, both connected and unconnected properties are assessed. For the tax year, 4,189 parcels were levied for the water charge and the same number of parcels were levied for sewer. The District collects approximately $130,000 annually for each water and sewer charges. Information regarding the availability charges is available at Page 2 of 7

3 III. SCOPE OF SERVICES The selected firm will be responsible for the following tasks: CFDs Research and Analysis Gather and research data necessary for the comprehensive administration services of each CFD. Generate audit maps that will depict the current year s levied properties within each CFD. Confirm accuracy in levy and identifying any parcel changes. Annual Assessment Preparation Update and maintain current assessor s maps for all special district parcels. Ensure all building permit information is accurate and updated. Review current debt service schedule, request and analyze fund balances and administrative costs, determine budget increases/decreases/cpi adjustments and assist in annual budget preparation. Generate assessment rolls that are to be attached to the levy resolutions and ordinances for Board approval. Submit special tax levy to the Riverside County Auditor-Controller s office prior to statutory deadline for inclusion on the consolidated property tax bills. Monitor any changes to the secured tax roll which necessitate new or adjusted property tax bills and prepare requests to County to prepare such bills. Prepare annual levy reports, including Senate Bill 165 (Local Agency Special Tax and Bond Accountability Act) reports, for each CFD. Delinquency Research, Analysis and Administration Review the collection of delinquent special taxes with respect to the foreclosure covenant and/or with the requirements of the bond issue for each CFD. Update delinquency history of the parcels located in each CFD based on payment information obtained from the County property tax system. Determine payment status of parcels with each CFD, following December 10 and April 10 property tax installment due dates. Prepare correspondence to be forwarded by the CFDs to the Auditor-Controller s office for removal of special taxes. Record notices to remove delinquent installments with exhibits. Prepare strip request for Auditor-Controller s office after recordation. Submit parcel information to foreclosure attorney. Annual Disclosure Requirements Determine continuing disclosure requirements for each CFD. Prepare updates that comply with SEC rules and report to the California Debt and Investment Advisory Commission (CDIAC). Page 3 of 7

4 Prepare annual continuing disclosure reports in accordance with the Continuing Disclosure Agreement and file the reports with the Municipal Securities Rulemaking Board (MSRB) using Electronic Municipal Market Access (EMMA). Prepare and submit annual report to the CDIAC for each CFD. Other Items as Required Collect data required to calculate prepayment, verify paid/unpaid status, generate prepayment quote, determine use of proceeds, and initiate a recording of a revised Notice of Special Tax Lien. Respond to property owner calls regarding the CFDs. Provide a summary of parcel tax information for annual reporting with the State Controller s Office (AB 2109). Education of Finance department staff with respect to new regulations affecting the CFDs. Availability (Standby) Charges Gather and research data necessary for the comprehensive administration services of the availability charges. Generate audit maps that will depict the current year s levied properties. Confirm accuracy in levy and identifying any parcel changes. Generate assessment rolls that are to be attached to the levy resolutions and ordinances for Board approval. Submit special tax levy to the Riverside County Auditor-Controller s office prior to statutory deadline for inclusion on the consolidated property tax bills. The administrator will report directly to the District s Chief Financial Officer and to the Finance Committee. IV. GENERAL REQUIREMENTS Standard Contract for Service The selected administrator will enter into an agreement with the District based upon the contents of this RFP and the administrator s proposal. The District s standard Contract for Service document is available at The consultant shall carefully review the document, especially in regard to the indemnity and insurance provisions, and include with the proposal a description of any exceptions requested to the standard contract. If there are no exceptions, a statement to that effect shall be included in the proposal. Terms of Contract The term of the agreement shall be for a period of five (5) years from date of fully executed contract. However, the District reserves the right to cancel the contract upon thirty (30) days written notice to the firm. Page 4 of 7

5 V. ANTICIPATED PROPOSAL SCHEDULE The District has identified key dates as follows: RFP Issuance January 17, 2018 Proposals due February 12, 2018 Interviews by District staff February 26-28, 2018 tentative Selection Date March 5, 2018 VI. PROPOSAL SUBMITTAL No later than 5:00 p.m. on February 12, 2018, submit two (2) original copies and one (1) electronic file copy (in PDF format) of the proposal in a sealed envelope and marked: Proposal for CFD Administration Services ; and submit one (1) original copy of the fee proposal in a separate sealed envelope and marked: Fee proposal for CFD Administration Services. All proposal materials are to be provided to: Anna Briones, Senior Accountant Western Municipal Water District Meridian Parkway Riverside, CA Proposals received after the deadline will not be considered. If additional information is needed, contact Anna Briones via at abriones@wmwd.com or by phone at (951) This RFP does not commit the District to award an agreement or defray any costs incurred in the preparation of the proposal. All proposals submitted in response to this request become the property of the District and public record, and as such may be subject to public review. The District reserves the right to request additional information or clarification, reject any and all proposals should it deem in its best interest to do so, and to negotiate a final agreement and price with the successful firm providing the best overall value to the District. VII. PROPOSAL REQUIREMENTS The proposal response must be concise and well organized, and demonstrate the proposer understands the scope of work. Proposals should not exceed ten pages in length. Supporting information that would assist the District in the selection process may be included as an Appendix, which will not be included in the page limit. The proposal shall include, at a minimum, the following information: Cover or Transmittal Letter The cover letter should be no longer than two pages and signed by an officer of your firm indicating that the response is valid for 90 days and that the officer is legally authorized to Page 5 of 7

6 contractually bind your firm. The cover letter should also summarize the key points of your firm s response. Company Information The proposal should provide a description of your firm and its relevant experience providing CFD and Availability Charges administration services. The proposal should state the size of the firm and the location of the principal office from which the services are to be performed. Describe your firm s revenue sources (e.g., consulting services, administration services, etc.) and current financial position. Provide your firm s most recent financial statements (to be included as an appendix item). Project Team The proposal should describe the qualifications, including professional licenses, and relevant experience for all personnel and other specialists who will be assigned to the CFDs. The description should also include the role and responsibilities of each team member with regard to the administration of CFD s and Availability Charges. (Resumes may be included as an appendix.) Client References For the firm s office that will be assigned responsibility, list the most significant engagements (maximum of three) performed in the last two (2) years that are similar to the engagement described in this request for proposal. Indicate the scope of work, date, and the name and telephone number of the principal client contact. Deliverables The proposal should provide a list of deliverable products and the timing of their delivery. Internal Quality Control The proposal should include a comprehensive description of your firm s internal quality control procedures, for example tracking property classification changes that result in a change in assessment. Standard Form of Agreement The proposal should include a description of any exceptions requested to the District s Contract for Service document available at If there are no exceptions, a statement to that effect shall be included in the proposal. Insurance Certifications/Bonding The proposal should describe the types and limits of insurance/bonding your firm currently has. Fee Proposal (submit one original copy in a separate sealed envelope) This fee proposal must include any and all fees that will be required in connection with the outlined scope of services. Fees should be broken down by individual CFD/Availability Charges. The response should specify the basis upon which your fees will be calculated and any expenses for which you would expect reimbursement. Page 6 of 7

7 VIII. SELECTION CRITERIA AND PROCESS The District s evaluation and selection process will be based on a comprehensive review of the proposals using the following criteria: Completeness and clarity of proposal; understanding the scope of work Experience with this type of scope of work Professional qualifications of key personnel Internal quality control Client satisfaction and recommendations Cost of services Firms submitting the best proposals may be invited to an interview conducted by a selection panel made up of members from District staff. The number of firms to be invited for interviews is at the discretion of the District. The District recognizes the significant effort required to respond to this RFP and therefore discourages any firm or team which lacks the required experience to submit a proposal for evaluation. Page 7 of 7

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