City Council Agenda
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Memo to: |
Manteca City Council |
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From: |
Brad Wungluck, Director of Development Services |
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Date: |
September 1, 2026 |
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Subject: |
Second Amendment to the Professional Services Agreement with Harris & Associates, Inc. for Fiscal Impact Analysis Peer Review Services |
Recommendation:
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Adopt a resolution approving the Second Amendment to the Professional Services Agreement with Harris & Associates, Inc. for Fiscal Impact Analysis Peer Review Services, increasing the total not-to-exceed Contract Amount to $100,000.
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Background:
On August 25, 2025, the City entered into a Professional Services Agreement with Harris & Associates, Inc. to provide independent Fiscal Impact Analysis peer review services. The agreement was established to assist the City in evaluating fiscal studies prepared for annexation applications and other major development proposals requiring analysis of long-term municipal revenues and expenditures.
The City's General Plan requires Fiscal Impact Analyses for certain development projects to ensure that new development adequately contributes toward the cost of municipal services and does not adversely impact the City's fiscal condition. Independent peer review of these analyses provides the City with additional technical expertise and ensures that fiscal assumptions, methodologies, and conclusions are reasonable and consistent with accepted industry practices.
Since execution of the agreement, Harris has continued to provide timely and thorough reviews of developer-prepared FIAs and has worked closely with City staff and project applicants throughout the entitlement review process. Harris has provided expert reviews that have assisted the City in ensuring that all FIA’s being provided to the City provided accurate analysis of the fiscal impact to the City for each project and determine whether the impact might need to be mitigated in some way to meet the General Plan goals and policies.
On June 24, 2026, the City executed the First Amendment to the agreement. The First Amendment incorporated an updated scope of services and extended the contract term through June 30, 2027.
Additional contract capacity is necessary to allow Development Services to continue assigning FIA peer reviews to Harris as development applications requiring this analysis are submitted to the City. Increasing the total contract authorization to $100,000 will provide sufficient capacity to continue these services during the current contract term without requiring a separate professional services agreement for each individual FIA review.
Staff therefore recommend increasing the total authorized compensation under Contract No. C2025-150 from $50,864 to $100,000, an increase of $49,136. All other provisions of the agreement, as previously amended, would remain in full force and effect.
The proposed amendment does not substantially change the scope of services but continues the City's ability to obtain specialized fiscal consulting services necessary to evaluate complex development proposals. Harris has provided municipal finance consulting services to the City for more than ten years and possesses extensive experience reviewing fiscal analyses for California municipalities.
Approval of the amendment will allow staff to continue utilizing Harris as development activity and annexation applications proceed over the coming year.
Fiscal Impact:
Approval of the proposed amendment will increase the agreement’s total not-to-exceed amount from $50,864 to $100,000.
Sufficient funding is available for this amendment in the Development Services Fund (Fund 340). Costs associated with Fiscal Impact Analysis reviews will be recovered through applicable developer application fees, consistent with the City's established cost-recovery practices.
Documents Attached:
Attachment 1 - Resolution
Attachment 2 - C2025-150
Attachment 3 - C2025-150 Amendment 1
Attachment 4 - Professional Services Agreement Amendment