City of Richmond posts Intent to Award notice for consultant to conduct Cost of Service Analysis of city utilities.
RFP H12159-1 Utility Cost of Service
Due Date: June 13, 2012
Time 3:30 P.M. EST
Contact: Dena Hasty 804-646-5722
The Department of Public Utilities (DPU) of the City of Richmond is seeking competent, experienced and qualified consultants to submit proposals for providing the following services for its gas, water, wastewater and stormwater utilities:
A. Perform detailed cost of service analysis of Gas, Water, Wastewater and Stormwater Utilities that includes, but is not limited to:
1. Analyze and understand the operations and facilities of each utility;
2. Detailed analysis of utility financial viability to include review of assets, liabilities, equity, current and future capital projects, customer base, volumes, rates, etc. and make recommendations concerning future rates and rate structures;
3. Analyze and understand wholesale contracts and their impact on utility operations and financial results;
4. Analyze and understand scheduled capital projects and their impact on utility operations and financial results;
5. Analyze and understand existing debt service and future debt service needs;
6. Identify risks and opportunities and recommend operating and/or investment scenarios that would mitigate risks and enhance the performance of the utility;
7. Present conclusions and recommendations to Utility management that include scenarios of various rate structures and future rate changes;
8. Support Utility management in the identification of unique rates and/or processes for customers with hardship issues;
9. Recommend appropriate implementation plans;
10. Support Utility management prepare documents for presentation to City administration and City Council; and
11. Additional requirements as identified.
Addendum No. 1 (pdf)
Questions and Answers
Thursday, August 2, 2012
Raftelis Financial Consultants, Inc.
1031 S. Caldwell Street, Suite 100
Charlotte, NC 28203
Award Amount: $200,927.00
Intent To Award Notice
Since inception, RFC’s focus has been on providing utilities with the financial, management, and rate expertise needed to maintain financial sustainability while providing high quality services to their customers.
Financial & Rate Consulting
A utility must maintain rates that generate sufficient revenue, while also meeting its pricing objectives, such as equitably distributing costs to the customers. RFC provides many different financial and rate consulting services to help utilities meet their goals and objectives while maintaining a financially sustainable organization. RFC’s staff have assisted more than 500 water, wastewater, and stormwater utilities on over 1,000 financial and/or rate projects. Through this experience, we have become very familiar with the issues and challenges that utilities face, and are able to provide our clients with a variety of solutions to meet these challenges and achieve their objectives. Our experience allows us to see our clients’ issues from different perspectives and to ensure value-added solutions.
Affordability Analysis and Program Development
Debt Issuance Support
Financial and Capital Improvements Planning
Rate and Fee Ordinance Development
Rate Case Support
Rate Structure Development
City of Newport News
RFC completed a cost of service study for City of Newport News Department of Public Utilities, Waterworks Division (Waterworks), which helped Waterworks gain approval for its proposed water rates.
City of Suffolk
RFC has been selected for multiple multi-year engagements with the City of Suffolk (City) to provide financial services to the City’s Department of Public Utilities (DPU). RFC’s engagements with DPU have addressed the financial, accounting, and pricing issues that have confronted the City and impact its water and wastewater systems.
Metropolitan Government of Nashville and Davidson County – Metro Water Services
The Metropolitan Government of Nashville and Davidson County – Metro Water Services (MWS) has contracted RFC for three consecutive five-year engagements. During these engagements, RFC has conducted several annual studies for MWS.