HomeMy WebLinkAboutMatrix Consulting Group Ltd. 06.21.2025AMENDMENT NO.2 TO THE AGREEMENT BETWEEN
THE TOWN OF LOS ALTOS HILLS AND
MATRIX CONSULTING GROUP, LTD.
THIS AMENDMENT NO. ��jj TO THE SERVICES AGREEMENT is made at Los Altos Hills,
California, as o ;&fte, 21 , 2025, by and between THE TOWN OF LOS ALTOS
HILLS ("Town"), a municipal corporation, and MATRIX CONSULTING GROUP, LTD.
("Consultant"), (sometimes referred together as the "Parties") who agree as follows:
RECITALS
A. On October 30, 2023, Town and Consultant entered that certain Services
Agreement ("Agreement") whereby Consultant agreed to provide consulting services to the
Town for the 2023 Pathway Fee Nexus Study. A true and correct copy of the Agreement and
its exhibits is attached as Attachment A.
B. On February 26, 2025, Town and Consultant executed Amendment No. 1 to the
Services Agreement ("Amendment No. I") whereby Consultant agreed to extend the contract
term to the Town for the 2023 Pathway Fee Nexus Study to June 30, 2025. A true and correct
copy of Amendment No. 1 is attached as Attachment B.
C. Town and Consultant now desire to amend the Agreement.
NOW, THEREFORE, for and in consideration of the promises and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Town
and Consultant hereby agree as follows:
All terms which are defined in the Agreement shall have the same meaning when
used in this Amendment, unless specifically provided herein to the contrary.
2. Revision of Title. The title of consulting services to be provided is
revised from "2023 Pathway Fee Nexus Study" to "2025 Pathway Fee
Nexus Study."
Extension of Contract Term. The Term of Services identified in Section
3 of the Agreement is hereby modified as follows: The services and/or
materials furnished under this Agreement shall commence November 1,
2023, and shall be completed by Ju*e-30—December 31, 2025, unless
terminated pursuant to Section 5(f).
4. Provide attendance and support for the Pathways Committee (PWC)
meeting, Financial and Investment Committee (FIC) meeting, Planning
Commission (PC) meeting, and City Council (CC) meeting as described
in Consultant Proposal (Attachment C).
All other terms, conditions and provisions in the Agreement remain in full force and effect. If
there is a conflict between the terms of this Amendment and the Agreement, the terms of the
Agreement will control unless specifically modified by this Amendment.
TOWN OF LOS ALTOS HILLS
By. /
Peter Pirnejad, rty Manager
Date: � f.,,,._ 2( ZcizS
Attested:
UR
Arika Birdsong -Miller,
City Clerk
Matrix Consulting Group, Ltd.
By: June 3, 2025
Signature Date
Alan D. Pennington
Print Name/Title
AGREEMENT
THIS AGREEMENT Is made and entered into on the 60'day of October, 2023 by and
between the TOWN OF LOS ALTOS HILLS (hereinafter referred to as "TOWN") and
Matrix Consulting Group, Ltd. (hereinafter referred to as "CONTRACTOR"). In
consideration of their mutual covenants, the parties hereto agree as follows:
1. CONTRACTOR.. Shall provide or furnish the following specified services and/or
materials:
2023 Pathway Fee Nexus Study
2. EXHIBITS,. The following attached exhibits are hereby incorporated into and made a
part of this Agreement:
Proposal from CONTRACTOR dated September 12, 2023
3. TERMS. The services - and/or materials furnished under this Agreement shall
commence November 1, 2023 and shall be completed by June 30, 2024, unless
terminated pursuant to Section 5(f).
4. COMPENSATION. For the full performance of this Agreement:
a. TOWN shall pay CONTRACTOR an amount not to exceed Nineteen Thousand
Five Hundred dollars and zero cents ($19,500.00) within thirty (30) days following
receipt of Invoice and completion/delivery of services/goods as detailed in Sections
1, 2, and 3 of this Agreement and only upon satisfactory delivery/completion of
goods/services in a manner consistent with professional/industry standards for the
area in which CONTRACTOR operates. TOWN is not responsible for paying for
any work done by CONTRACTOR or any subcontractor above and beyond the not
to exceed amount.
b. Town shall not reimburse for any of CONTRACTOR's costs or expenses to deliver
any services/goods. Town shall not be responsible for any interest or late charges
on any payments from Town to CONTRACTOR,
c. CONTRACTOR is responsible for monitoring Its own forces/employees/agents/
subcontractors to ensure delivery of goods/services within the terms of this
Agreement. TOWN will not accept or compensate CONTRACTOR for incomplete
goods/services.
Town of Los Altos Hills Page I of 6
short form
Updated 4/26/22
Town of Los Altos Hills
26379 Fremont Road
Los Altos Hills, CA 94022
c. NON-DISCRIMINATION. No discrimination shall be made in the employment of
persons under this Agreement because of the race, color, national origin, age,
ancestry, religion or sex of such person.
d. INTEREST OF CONTRACTOR. It is understood and agreed that this Agreement
is not a contract of employment and does not create an employer-employee
relationship between the TOWN and CONTRACTOR. At all times
CONTRACTOR shall be an independent contractor and CONTRACTOR is not
authorized to bind the TOWN to any contracts or other obligations without the
express written consent of the TOWN. In executing this Agreement,
CONTRACTOR certifies that no one who has or will have any financial interest
under this Agreement is an officer or employee of TOWN.
e. CHANGES, This Agreement shall not be assigned or transferred without advance
written consent of the TOWN. No changes or variations of any kind are authorized
without the written consent of the City Manager. This Agreement may only be
amended by a written instrument signed by both parties.
f. TERMINATION. This Agreement may be terminated by TOWN upon seven (7)
days written notice to CONTRACTOR. Monies owed for work satisfactorily
completed shall be paid to CONTRACTOR within 14 days of termination.
g. RECORDS. All reports, data, maps, models, charts, studies, surveys,
calculations, photographs, memoranda, plans, studies, specifications, records,
files, or any other documents or materials, in electronic or any other form, that are
prepared or obtained pursuant to this Agreement and that relate to the matters
covered hereunder shall be the property of the TOWN. CONTRACTOR hereby
agrees to deliver those documents to the TOWN at any time upon demand of the
TOWN, It is understood and agreed that the documents and other materials,
including but not limited to those described above, prepared pursuant to this
Agreement are prepared specifically for the TOWN and are not necessarily
suitable for any future or other use. Failure by CONTRACTOR to deliver these
documents to the TOWN within a reasonable time period or as specified by the
TOWN shall be a material breach of this Agreement. TOWN and CONTRACTOR
agree that until final approval by TOWN, all data, plans, specifications, reports and
other documents are preliminary drafts not kept by the TOWN in the ordinary
course of business and will not be disclosed to third parties without prior written
consent of both parties. All work products submitted to the TOWN pursuant to this
Agreement shall be deemed a "work for hire." Upon submission of any work for
hire pursuant to this Agreement, and acceptance by the TOWN as complete, non-
exclusive title to copyright of said work for hire shall transfer to the TOWN. The
compensation recited in Section 4 shall be deemed to be sufficient consideration
Town of Los Altos Hills Page 3 of S
Short form
Updated 4128122
matrix
consulting group
maw,fttrixin-
consulting group
September 12, 2023
WooJae Kim, director of Public Works
Public Works Department
Town of Los Altos Hills
26379 Fremont Road
Los Altos Hills, CA 94022
Dear Mr. Kim:
The Matrix Consulting Group is pleased to have this opportunity to submit a proposal to conduct
a Pathway Nexus Study for the Town of Los Altos Hills. Our firm stands apart from other firms
for the following reasons:
Experience In nexus and user fee analyses: Our firm and consulting team have conducted
numerous Impact fee and user fee studies for municipalities over the last 20 years across
the United States, with recent California clients including: Los Altos, Manhattan Beach,
Orange, South San Francisco, and San Mateo.
Experience with the Town of Los Altos Mills: Our firm completed a Cost Allocation Plan
and User Fee Study for Los Altos Hills, as well as worked with the Town on the previous
Pathway impact fee analysis.
• Data Driven Analysis: While cost allocation and user fee methodologies are standardized,
our project teams review all previous assumptions to ensure accuracy and develop
current service assumptions based on information provided by staff, vetting data to
ensure accurate representations of support services.
• Client Support: We provide our clients with defensible work products and transfer
Intangible knowledge and recommendations associated with adoption and
implementation, Furthermore, we are committed to supporting our clients well after
project completion to ensure internal adjustments and updates are done accurately, and
results are applied appropriately.
I am the firm's President, authorized to negotiate on the firm's behalf, and bind it contractually. I
can be 'reached at the address and phone number listed above or via email at
rbradyamatrixe net.
y�
Richard Brady, President
Matrix Consulting Group, Ltd.
•1650 S. Amphlett Blvd., Suite 213 m San Mateo, CA 94402 61650.858.0507
SF Bay Area (Headquarters), Charlotte, Dallas, Fort Myers, Irvine, Portland, St. Louis
Proposal to Conduct a Pathway Fee study Los Altos Hills, CA
These project management approaches have resulted in all our projects being delivered
at a high level of quality, on time and on budget.
i
The following chart outlines our approach to conducting the Pathway Impact Fee Study.
Review Existing Work with Publio Deternn1he and Conduct.
Pathway Fe,: , — Works &,Planning �-� Update Current and Arlsdlctlor al
M.ako' p .
Recommendatlons 8aff to: Calfect Data Proposod Fees Comparisons
I
Provide Public Sa.fiftWorks Presei�nnt
.at Pathways ,
tte omm ndatlons Papa prt
Psrovl:e--�AllcworFuturo �3 Comnailori,airidlty
ti.dates: Council (Meetings
Results will allow the Town to meet its primary objective of this endeavor: the adoption
of new fees able to meet costs associated with pathway construction related to
development projects.
Matrix Consulting Group 2
Proposal to Conduct a Pathway Fee Study
Los Altos Hills, CA
project team has conducted police, fire, public works, parks, libraries, and
community center specific and citywide comprehensive Impact Fee studies to
ensure compliance with A131600 and now AB602 requirements.
Industry Standards: The Matrix Consulting Group Is aware of the Industry
standards as it relates to development and implementation of impact fees,
including the creation of two separate fee components (cost + admin) as well as
utilization of different cost factors (sq, ft, vs. equivalent dwelling units).
Policy Development and Deporting Requirements: The project team has worked
with clients to develop specific policies as it relates to Development Impact Fees
including the option to annually update the fees utilizing the Construction Cost
Index (CCI). These policies also include the reporting requirements relating to
collection of impact fees in a separate fund and disbursements of these funds.
As the points above highlight, the Matrix Consulting Group is very familiar with public
sector and local government impact fee programs. Our familiarity ranges from
conducting the cost analysis to developing and evaluating the policies and procedures
behind the impact fee program. This makes us uniquely qualified to provide the best
product to the Town.
The following table includes a sampling of recent California clients for whom we have
provided similar scopes of service:
Our familiarity ranges from conducting the cost analysis to developing and evaluating the
policies and procedures behind the impact fee program. This makes us uniquely qualified
to provide the best product to the Town.
Services provided to the above listed clients were delivered by our proposed project
executive and project manager out of our San Mateo (headquarters) and Irvine, CA
offices.
Matrix Consulting Group q.
Gen.
Fire
Police
Parks &
TIP
Library
other
Jurisdiction
Govt.
DIF
DIP
rtes DIF
DIF
DIF
DIFs
Blythe, CA (2018)
X
Downey, CA (2016)
X
Los Altos Hills, CA (2018)
X
Menlfee, CA (2021)
X
X
X
X
X
X
X
Novato FPD, CA (2015)
X
Orange, CA (2019)
X
X
X
X
San Mateo, CA (2021)
X
X
X
South San Francisco, CA (2020 / Current)
X
X
X
X
X
X
Walnut, CA (2023)
X
Our familiarity ranges from conducting the cost analysis to developing and evaluating the
policies and procedures behind the impact fee program. This makes us uniquely qualified
to provide the best product to the Town.
Services provided to the above listed clients were delivered by our proposed project
executive and project manager out of our San Mateo (headquarters) and Irvine, CA
offices.
Matrix Consulting Group q.
Proposal to Conduct a Pathway Fee Study
Los Altos Hills, CA
Khushboo Ingle The primary focus of Ms. Ingle's tenure with the firm has been on
Senior Manager, Financial Services studies. She is also highly knowledgeable in policies
Project Manager and procedures and has assisted with numerous management and
staffing audits,
Length of Service: Most recently, Ms. Ingle has led or assisted with studies for the
11 years following California jurisdictions: los Altos Hills, Adelanto, Menifee,
Glendale, Riverside, Orange, Manhattan Beach, Redwood City, San
Mateo, Santa Clara, Millbrae, South San Francisco, South Pasadena,
and Montebello.
Ms. Ingle is trained in Revenue Enhancement and is a CSMFO Member.
Madison Bixson Ms. Dixson is an analyst who assists our senior staff on cost allocation
Consultant, pian, user fee, development impact fee, and cost of service
Analyst engagements.
Length of Service: Recent California clients include: Menifee, Calimesa, Fairfield, Daly City,
2 years South San Francisco, Redwood City, Palo Alto, Burbank, and Glendale.
Her role on this project would be to serve as an Analyst, involved in
attending meetings, data input, and developing models.
Abnash Minhas Ms. Minhas Is an analyst who has recently joined our firm to assist our
Consultant, staff on cast -of -service engagements including cost allocation plan,
Analyst user fee, and development impact fee studies.
Experience: Her role on this project would be to serve as an Analyst, involved in
1 year attending meetings, data input, and model development.
Resumes for our project executive and project manager have been included below.
Matrix Consulting Group 6
Proposal to Conduct a Pathway Fee Study
KHUSHF300 INGLE
SENIOR MANAGER, MATRIX CONSULTING GROUP
Los Altos Hills, CA
Ms. Ingle is a Senior Manager who manages cost allocation plan, user
Relevant CA Clients:
fee, development Impact fee, and cost of service engagements. Her
Berkeley
experience with the firm also includes participation in operational
Citrus Heights
audit engagements focusing on reviewing organizational, staffing,
Cupertino
and internal processes to enhance services.
Dixon
Khushboo's relevant experience Include:
Elk Grove
• Completed over 100 cost of service studies for clients across the
Fairfield
United States.
Humboldt County
• Analysis focuses on verifying and reviewing cost of service
Livermore
Long Beach
assumptions and ensuring compliance with best practices.
Los Altos Hills
° Expertise also includes impact fee studies and development fee-
Manhattan Beach
studies.
Orange
Pacific Grove
Experience Highlights
Redwood City
San Bernardino County
Los Altos Hills, CA: Khushboo served as the Project Manager on this
San Mateo
engagement which looked at updating the Town's Pathway impact
Santa Clara
fee analysis. Key analysis Includes:
Santa Clara County
• Determining appropriate land use categories for charges.
Sonoma County
• Identifying growth projections and appropriate nexus
South San Francisco
considerations for pathway Impact fees.
Stanislaus County
• Presenting results of the analysis to committees / Council.
Sunnyvale
Vacaville
Winters
San Mateo, CA: Khushboo served as the Project Manager on this
engagement for evaluating development fees and impact fees. Key
analysis Included:
Years of Experience: 11
• Identifying all impact fees that needed to be updated per AB1600
Education:
requirements.
• Documenting population and growth assumptions.
B.A., University of
° Presentation to stakeholders to ensure understanding of results.
California — San Diego,
International Economics
Role on This Engagement:
Khushboo will serve as the Project Manager on this engagement,
M.A., University of
California — San Diego,
leading interviews and coordinating necessary data collection for the
International Affairs
financial analysis, policy discussions, and working with the Data
Analyst to compile and analyze data.
Professional Association /
Certification:
California Society of
Municipal Finance Officers
Revenue Enhancement
Best Practices
Matrix Consulting Group
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
Work Plan and Schedule
The Town of Los Altos is interested in updating Its Pathway Impact Fee to ensure that
new development is paying for the current cost of construction of trails and pathways
within the community. The nexus analysis must be in compliance with AB1600 and
AB602. The purpose of this analysis is to review growth projections and pathway needs
and determine the appropriate nexus for the in -lieu fee. The following tasks outline our
detailed approach to completing the Town's requested'scope of services:
Task 1 1 Data Collection
Prior to any initial meetings, the Matrix Consulting Group will provide the Town with a list
of initial data requirements for the study including information such as the current
network of pathways, current cost estimates of pathways, and revenue collected by the
pathways fee. The provision of these Items will allow our project team to familiarize
themselves with the Town's structure and Its current cost allocation plans and practices.
Task 2 A Study Objectives and Project Schedule
Once the data has been collected, the project team will then meet with designated Town
staff to discuss any issues identified by the project team, as well as to clarify any existing
issues or concerns held by the Town regarding the current cost allocation plan or user
fee study methodology. Discussions will include:
Review of the Town's specific needs and critical issues surrounding development
and implementation of the pathway impact fee study.
Opportunities for improvement and restructuring of previous impact fee
methodology.
Discussion of cost recovery goals and targets for the impact fee analysis.
At the culmination of the meeting, the project team and the designated Town staff will
leave with a greater understanding of the overall approach and methodology that will be
taken by the project team to conduct the study for the Town.
Matrix Consulting Group 10
Proposal to Conduct a Pathway fee Study Los Altos 1-1111s, CA
projection as well as expected development (single family and multifamily) as well as
expected pathway needs.
The project team will meet with Town staff to review these draft impact fees based upon
land use type.
'ask 6 I Comparative Pathway or Similar Impact Fee Survey
Utilizing the comparative jurisdictions identified by the Town, the project team will
conduct a comparison of the full cost of Pathway Impact Fee or similar type of Impact
Fees to other surrounding jurisdictions. This comparison will be conducted based upon
construction project types, (e.g., new single family home, etc.) to provide Town staff with
a clearer comparison of the impact of the fee upon future development.
Task 7 I Craft Pathway Fee Report
The draft fee results and comparative survey will be incorporated into a draft Pathway
fee report. The draft fee report will have the following components:
• Executive Summary: Providing a brief overview of the background of the scope,
the overall methodology, the results of the analysis, and the implementation
guidelines (including future fee increases),
• Legal Framework: This will outline the current legal requirements for Pathway
fees, and how the proposed fee will meet these requirements.
Growth Projections: This section of the report outlines the growth projections.
Pathway Fee.Analysis: This section demonstrates the calculation used to derive
the full cost of the fees, as well as the recommended fees by the Town.
Comparative Survey: This section outlines how the Town's calculated and
recommended fees compare to other jurisdictions.
These components will result in a consolidated draft report that will be distributed Town
staff for review. It will be required to be reviewed by all the different departments to
ensure that assumptions are presented accurately,
Matrix Consulting Croup 12
Proposal to Conduct a Pathway Fee study Los Altos Hills, CA
Task 11 1 implementation and Future support
The Matrix Consulting Group is committed to helping our clients not only develop
accurate and defensible cost plans, user, and Pathway fees, but helping ensure that they
are able to Implement the results of the study appropriately. Our project team will work
with Town staff to facilitate an understanding of the results of each study, and how to
incorporate those results Into budget documents, fee schedules, and other Town
materials.
Our client support does not stop once final reports have been Issued or models delivered.
We understand that questions can arise about the development of a study well after
project completion and are committed to working with our clients to answer any
questions about methodologies and applications of results. Furthermore, we ' are
accessible to our clients to answer technical questions about updating models, providing
guidance on the use of alternative allocation metrics, and development of new user or
impact fees. This support is provided to our clients at no extra cost.
Project Schedule
This project is anticipated to take approximately 16 weeks (4 months) to complete. For
each task referenced in the Town's scope of work, we have identified the time frame
during the six-month period In which the evaluation will be completed,
Task
Project Week(s)
Deliverable
Data Collection
Weeks 1 — 2
Data Collection and Project Schedule Memo
Study Objectives __ ....
Weeks 1-2
_............_._..._..............
Initial Meeting with Key Town Staff
Assess Current Infrastructure
s
Weeks 2-6
_...........
Town Pa.thw.....a...y,s...Map
ProJ acted GrowthWeeks4-3
_............._.......,.
'Analysis
_......... .
... ...._.
....... ............_........_...,_........oulafiion
Growth
...__.......................__.....
... .... ............ ...........,....,.,............................._....,.1-1........._.....,_...........................,....._.......,........._p...,.......,.,......_ee
pomparati
.............._...................
....................__._............................................_............_..................._._................__........................_.........__......................................_..._...
Per Unit Results
e Survey.......
_........._......,......__....
Weeks 5-12
................_............................,,.,__......._....,...................,,..,,.........__........._..........
Survey Results
...
................._.............................................._......_.....
r port .................._..._................_............._...._......,,...............,....,..._..._.........,.,._.._..........._._.............,.,...........,,,,.....p_,,..,,,,,,...._.._..,,,,,,.......
.............__,............. _._......................_...,.....
Weeks 10-14
...... ..,......,...._._.._......,,,......,...........,........_..............._..._..,.....,.._..._._,,....,,.,........,..,,,..,......._........,,,,.....,_..._...,
Draft Impact Fee Report
Fina.L.Repo t.,....,_
_.p..............................................._......,,........_.............................,.................,,.,,_...__._......_........
Weeks 12-16
....,,..,,._........... ..........__.............,..._... ............... ................. ._...
Final Impact Pee Report
Backu.,..,_Documentation....................._...........,,..,...._Weeks.,1,6*._....,.,......................,.,Deliver,..._of
_...,.................._,........__.....,....y
........,,.,,._.. _.._...,.,,.,.....,,._.....,,..,........__.....,,.,....._.....,...
Impact Fee Backup Do............_....._..,,...,............,.................
cumentation
Presentation of Final Report
Weeks 16+
Presentation at Requested Meeting(s)
All timelines can be adjusted based on Town staff goals, objectives, and time constraints
Matrix Consulting Group 14
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
6 Duration of Proposal
The Matrix Consulting Group confirms that this proposal shall remain effective for a
minimum of ninety (90) days beyond the submittal date.
Matrix Consulting Croup 16
T WN O, OS TOS LLS
By: 'k r
Peter Pirnejad, City Manager
Date: 2-1-2 (,12-o2S
Attested:
By
rika Birdsong filler,
City Clerk
Ma 'x ConsuAing Group, Ltd.
By: r T/J W a
ignature / Date
�
Print Name Title
Letter of Transmittal
1 Understanding Scope of Services 1
2 Qualifications
3
3 Cost Proposal 9
4 Work Plan and Schedule 10
5 Consultant Agreement Exemptions or Revisions 15
6 Duration of Proposal 16
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
1 1 Understanding Scope of Services
The Town of Los Altos Hills is seeking a nexus study of Pathway Fees required for
residential development projects, as current fees are not providing ample funding of new
pathways construction.
The Matrix Consulting Group works with a wide variety of clients ranging from small
towns to major metropolitan cities in over 45 states across the U.S. and in Canada. Every
project is unique, but it is managed according to the following essential project approach:
We believe very strongly in the science of our craft. As such, our firm utilizes formal
project management and quality control techniques which include:
• Project Management: Ensuring our projects meet the needs and timelines of our
clients are accomplished through the following:
- The project manager and lead analyst develop general and project specific
data collection plans and interview guides.
- All project work activities are defined in advance and tied to each project
team member, deliverables, the schedule, and the budget.
• Numerical Results: Financial analyses are used to develop budgets and
projections, and often are subject to public oversight and review. For this reason,
our firm ensures data determined quality control through the following:
- Expenditure data entered in to cost models are tied to budget documents.
- Revenue projections developed are based on existing workload and
projected development activity.
• Interaction and Reviews: We have frequent client review meetings to discuss the
quality and direction of the project through interim deliverables and draft
documents.
Matrix Consulting Group 1
Proposal to Conduct a Pathway Fee Study
1 2 Qualifications
Los Altos Hills, CA
This section introduces our firm, including history and experience, as well as an overview
of the proposed project team.
Introduction to the Matrix Consulting Group
The Matrix Consulting Group specializes in providing analytical services to local
governments to assist them in providing highly responsive, efficient, and effective
services to their residents. Our firm's history and composition are summarized below:
• Since our founding in 2002, we have worked with over 1,600 government agencies,
conducting cost of service and management studies providing recommendations
relating to operations, improvements, and cost recovery.
Incorporated in California, with headquarters in San Mateo, and offices in 11 other
states, we now have 27 full-time and seven part-time time highly experienced
management consultants who specialize in the analysis of local government
functions encompassing the entire spectrum of critical operational areas.
The market and service focus of the Matrix Consulting Group has always been
financial, management, staffing and operations analysis of local government. The
following outlines our core financial services provided by our firm:
OMB 2 CFR Part 200 Cost Plans User Fee Studies
Full Cost Plans Development Impact Fee Studies
Indirect Cost Rate Proposals Fully Burdened Hourly Rates
Internal Service Fund Analyses Revenue Projections
No other firm has a better understanding of how public organizations operate, or how to
help them thrive.
Impact Fee Study Experience
The Matrix Consulting Group has experience conducting a variety of cost of service and
nexus -based analyses. The primary focus of an Impact Fee Study is to ensure that there
is a nexus between the fee being assessed and the impact being observed. Additionally,
the fee must comply with ABI 600, the Mitigation Fee Act, and the newly enacted AB602.
The following points highlight some of our key qualifications in Impact Fee studies:
• AB 1600 / AB 602 Technical Expertise: The proposed project team has received
training from Government Finance Officers Association (GFOA) as it relates to
Best Management Practices for Development Impact Fees. Additionally, the
Matrix Consulting Group 3
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
Key Personnel
The project team being proposed by the Matrix Consulting Group are all full-time
employees of our firm and subject matter experts in conducting studies of this nature.
The following chart outlines the project team, their specific roles, and reporting structure.
Project oversight and
Town of
overall project approval.
Los Altos Hills
Primary contact for the
project, providing expertise
Courtney Ramos
in reviewing drafts and
Project Executive
presenting results.
T
Responsible for leading
interviews, financial
Khushboo Ingle
analysis, policy discussion
Project Manager
and development.
Coordination of data
collection, support Town Madison Dixson Abnash Minhas
staff in data development, Analyst Analyst
and populate models.
The following table provides a summary of experience of our proposed project team.
Courtney Ramos Ms. Ramos has managed and assisted with numerous cost allocation
Vice President, plans, user fee, management, operations, and staffing analyses for our
Project Executive national clients.
Length of Service: Most recently, Ms. Ramos managed cost of service studies for the
17 years following California jurisdictions: Los Altos Hills, Daly City, Menifee,
Glendale, Manhattan Beach, San Mateo, South San Francisco, South
Pasadena, Pasadena, Orange, Montebello, and Redwood City.
Ms. Ramos developed the Technical Models used by the Matrix
Consulting Group. All the references included have Ms. Ramos as the
Project Executive / Project Manager. Ms. Ramos is a GFOA member.
Matrix Consulting Group 5
Proposal to Conduct a Pathway Fee Study
COURTNEY RAMOS
FINANCIAL SERVICES VICE PRESIDENT, MATRIX CONSULTING GROUP
Los Altos Hills, CA
Ms. Ramos is our Financial Services Practice Leader, who oversees
Relevant CA Clients:
cost allocation plan, user fee, development impact fee, and cost of
Citrus Heights
service engagements. Her tenure with the firm has also included
Cupertino
participation in operational audit engagements focusing on reviewing
Dixon
organizational and staffing structures to enhance services.
Elk Grove
Courtney's relevant experience include:
Fairfield
• Completed over 150 cost of service studies for clients across the
Humboldt County
United States.
Livermore
• Analysis focuses on development and documentation of direct
Long Beach
Los Altos HillsOrange
and indirect costs, fair and equitable allocation methodologies,
and defensible results.
Pacific Grove
• Expertise also includes development of fiscal policies and
Redwood City
procedures relating to cost of service and cost recovery.
San Bernardino County
San Pablo
Experience Highlights
San Mateo
Santa Clara
South San Francisco, CA: Courtney served as the project manager on
Santa Clara County
this engagement which determined the full cost of providing city fee-
Sonoma County
based services and evaluated impact fees. Key analysis included:
South San Francisco
• Identifying services provided by City staff, including documenting
Stanislaus County
services, and service levels.
Sunnyvale
• Verifying local and state authorizations for setting and charging
Vacaville
user and impact fees.
Winters
• Documentation of growth projections for appropriate impact fee
Willits
nexus.
Years of Experience: 17
San Bernardino County, CA: This study determined the full cost of
providing Development Services plan reviews and inspections. Key
Education:
analysis included:
A.A. Administration of
• Determining appropriate categories and ranges for services.
Justice, A.A. Sociology
• Defining service level assumptions for each permit type (i.e. # of
Santa Barbara City College
plan reviews and inspections).
(CA).
• Outline enforcement services and determine appropriate costs to
be included in base cost estimates.
Professional Association /
Certification:
Role on This Engagement: Government Finance
Courtney will serve as the Project Executive on this engagement, Officers Association
ensuring timely project deliverables, quality control, and presentation California Society of
support to stakeholders. Municipal Finance Officers
OMB Cost Plan Best
Practices
Matrix Consulting Group
Proposal to Conduct a Pathway Fee Study
3 Cost Proposal
Los Altos Hills, CA
The following chart provides a breakdown of hours by team member and costs for each
task area to conduct a Pathway Fee Study.
Total Project Cost $19,500
The Matrix Consulting Group proposes to perform the tasks and services associated with
conducting a Pathway Fee Study for a fixed-price not -to -exceed fee of $19,500.
Our typical practice is to bill for hours worked monthly, with our contracts set up as fixed
not -to -exceed price contracts. We are open to billing on a task or deliverable basis as well.
Matrix Consulting Group 9
Project
Project
Executive
Manager
Analyst
Total Cost
Data Collection
0
2
2
$650
Study Objectives
2
2
0
$2,050
Assess Current Infrastructure
2
4
4
$3,350
Projected Population Growth
0
2
4
$5,700
Draft Analysis
4
8
14
$6,250
Comparative Survey
0
2
8
$3,800
Draft Report
4
6
12
$8,800
Final Report
2
4
8
$5,150
Backup Documentation
0
2
4
$2,850
Fee Presentation
4
8
0
$4,400
Total Hours
18
40
56
Hourly Rate
$250
$200
$125
Total Professional Fees
...................................................................................................
$4,500
$8,000
$7,000
$19,500
Total Project Cost $19,500
The Matrix Consulting Group proposes to perform the tasks and services associated with
conducting a Pathway Fee Study for a fixed-price not -to -exceed fee of $19,500.
Our typical practice is to bill for hours worked monthly, with our contracts set up as fixed
not -to -exceed price contracts. We are open to billing on a task or deliverable basis as well.
Matrix Consulting Group 9
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
Task 3 1 Assess Current Pathway Infrastructure
The purpose of this task will to be to develop a detailed understanding of the current
organization and layout of the Town's pathways, including the adopted Master Path map.
The information from the Map would be used to determine if the proposed map is still
appropriate given current development impact or if there is the need for additional
pathways not reflected on the map based upon the Town Pathways Committee
recommendation or City Council priorities.
Projected Population Growth
The key component of any Pathway fee analysis is determining the proportionality and
nexus that exists based upon projected development. During this task, the project team
will conduct research based upon regional forecasted growth as well as internal Town
staff (Public Works and Planning staff) expected growth to determine future population
projection.
In addition to population projections, other elements of data such as number of potential
parcels, build out area, and other information will be requested to help develop options
for pathway fee calculations.
Pathway fees cannot be used to enhance existing service levels. Fees may only be used
to maintain current service levels. During this task, the project team will ensure that for
defensibility purposes any new pathways identified are directly correlated to population
increases.
Task 5 I Draft Pathway Fee Analysis
Utilizing the data collected in the previous two tasks, the project team would calculate
the full cost of the impact fee. This would include the cost of Pathway infrastructure, its
proportionate relation to new development, any administrative overhead, and the
appropriate mechanism (i.e., per square foot or dwelling unit) upon which it would be
assessed.
During this phase of the project, the project team will develop scenarios regarding the
basis for which pathway fees may be assessed. These scenarios will include population
Matrix Consulting Group 11
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
Task 8 I Final Report
Based upon Town staff comments, the project team will revise the Final Report to ensure
all comments and concerns are captured. This final report will serve as the basis for
presentations to internal and external stakeholders.
Task 9 1 Delivery of Pathway Fee Backup Documentation
Unlike other cost of services analyses, the components of a Pathway fee should not be
updated annually, as it is primarily based upon population projections and timeframes
associated with replacement of existing facility and equipment inventory and / or
acquiring new facilities or inventory.
When discussing the draft fee results with Town staff, the project team will share the
initial Excel workbook showing calculations, and at the conclusion of the study, the
project team will provide the Town with the backup workbook showing all calculations. In
this workbook, the project team would also set up a template allowing the Town to update
its Pathway fees based upon a cost factor. The industry standard for updating impact
fees is based upon the construction cost index (CCI). This standard is used as the costs
for impact fees are based upon infrastructure rather than labor or material costs.
Task 10 1 i Present the Final Report to Key Stakeholders
The presentation of results to Town officials and/or stakeholders is critical to the success
of the overall engagement. Because the product from the study is often controversial, the
objective of this final step is to present a succinct summary that provides decision
makers with key information. The Matrix Consulting Group will attend and present the
Study at up to three (3) Pathway Committee, Planning Commission and / or Council
Meetings, including any fee adoption hearings. We believe that these number of meetings
is typically sufficient to ensure that there is buy -in from the stakeholders.
Matrix Consulting Group 13
Proposal to Conduct a Pathway Fee Study Los Altos Hills, CA
5 Standard Consultant Agreement Exemptions of Revisions
We have read and understand the Town's standard Consulting Services Agreement and
have no requests for exemptions or revisions.
Matrix Consulting Group 15
MATRIX
CONSULTING GROUP
May 16, 2025
WooJae Kim, P.E.
Public Works Director
Town of Los Altos Hills
26379 Fremont Road
Los Altos Hills, CA 94022
Dear Mr. Kim:
Matrix Consulting Group appreciates the opportunity to continue working with the Town of Los Altos Hills
on its Pathway Impact Fee Nexus Analysis. The project team has worked with Town staff to revise and
present the nexus analysis at four (4) committee, commission, and council meetings per the original
agreement. The Town Council has requested four (4) additional meeting presentations. Town staff is
also requesting support from the project team in responding to any questions brought by internal or
external stakeholders. For two of the four meetings, assistance is limited to answering questions, while
in two of the other meetings (Planning Commission and City Council), assistance with the presentation is
required. The following table shows the cost per meeting:
Meeting
Estimated Cost
Planning Commission
$1,500
FIC
$750
Pathway Committee
$750
Council
$2,000
Total
$5,000
For attendance and support at these meetings, we are proposing a fixed fee of $5,000. This fee includes
meeting attendance, presentation support, and assistance in developing responses to questions
regarding the existing nexus analysis. If any changes are proposed/required to the existing nexus
analysis drafted in September 2024, then that would be at an additional charge billed at the rate of $250
per hour.
It is anticipated that the additional meetings and support would be provided prior to December 2025.
We appreciate the opportunity to continue to provide services to the Town of Los Altos Hills. Should you
have any questions regarding this quote please feel free to contact me at cramosQmatrixcg net or via
phone at 650-858-0507. Thank you.
Cou.rtwetJ. R.awt,os
COURTNEY RAMOS
Senior Vice President
Matrix Consulting Group
MATRIX CONSULTING GROUP
1875 S Grant Street, Suite 960
San Mateo, CA 94402