STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: December 11, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
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SUBJECT
Title
Authorize a three-year service contract, with three one-year renewal options, for project underwriting services for the Office of Economic Development - National Council for Community Development, Inc. dba Grow America, most advantageous proposer of two - Not to exceed Estimated amount of $463,635.00 - Financing: General Fund ($139,090.50) and Public Private Partnership Fund ($324,544.50) (subject to annual appropriations)
Body
BACKGROUND
This action does not encumber funds; the purpose of a service contract is to establish firm pricing for services, for a specific term, which are ordered on an as needed basis according to annual budgetary appropriations. The estimated amount is intended as guidance rather than a cap on spending under the agreement, so that actual need combined with the amount budgeted will determine the amount spent under this agreement.
This service contract will provide for project underwriting services for the Office of Economic Development (ECO). These services are related to real estate-based economic development and community development projects applying for negotiated incentive assistance from the City through ECO pursuant to the Economic Development Incentive Polity. Underwriting/gap analysis is one of the key determinants of a development incentive, allowing City staff to determine that:
* Project costs are reasonable;
* Sources of non-City funds committed to the project are maximized;
* The project is financially feasible;
* The return on equity investment is reasonable;
* The project development team has sufficient capacity and experience;
* The project has a verified financial gap without City assistance
Pursuant to the Economic Development Incentive ...
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