Water_and_Wastewater_(Sewer)_Rate_Study_and_Annual_Proposition_218_True-Up_Analysis_Service.pdf

REQUEST FOR PROPOSAL

WATER AND WASTEWATER (SEWER) RATE STUDY AND ANNUAL

PROPOSITION 218 TRUE-UP ANALYSIS SERVICE

26-282

Issued By:

City of Milpitas Purchasing Division

455 E. Calaveras Blvd.

Milpitas, CA 95035-5411

City of Milpitas Purchasing Website

RELEASE DATE: October 21, 2026 DEADLINE FOR QUESTIONS: November 4, 2026

RESPONSE DEADLINE: December 2, 2026, 12:00 pm

RESPONSES MAY BE SUBMITTED ELECTRONICALLY TO:

https://procurement.opengov.com/portal/milpitas-ca https://www.milpitas.gov/264/Bid-Opportunities

The City of Milpitas

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218

True-Up Analysis Service

I. Notice of Request For Proposals II. Introduction

III. Scope of Services IV. Vendor Questionnaire V. Submission Instructions

VI. Evaluation and Award Process VII. Evaluation Criteria

VIII. Terms & Conditions

Attachments:

A - Attachment A - RFP Submittal Forms to Complete B - Attachment B - Exemplar C - Attachment C - Scope of Services D - Attachment_D_-_Cost_Proposal_Form

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282

I. Notice of Request For Proposals

Notice is hereby given that the City of Milpitas (“City”) will receive electronic proposal submittals for Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service until Wednesday, December 2, 2026 12:00 pm Pacific Time. Proposals shall be valid for the term specified for the resulting contract in accordance with the information set forth in this Request for Proposal ("RFP").

The scope of work, content of the proposal, and the selection process are described in the RFP.

Interested parties may obtain copies of the RFP through the Milpitas purchasing website at https://www.milpitas.gov/264/Bid-Opportunities or directly through OpenGov at https://procurement.opengov.com/portal/milpitas-ca.

Any Addenda will be posted on OpenGov. It is the sole responsibility of each prospective Proposer to check OpenGov on a daily basis through the close of the solicitation for any applicable addenda or updates. The City does not assume any liability or responsibility based on any defective or incomplete proposal submittals. Solicitation information posted in OpenGov may change without notice to prospective Proposers. The final executed Contract Documents shall supersede any information posted or transmitted on OpenGov.

SUBMITTING THE PROPOSAL: The City requires that proposals be submitted electronically through its eProcurement website on OpenGov. Proposals must be submitted through OpenGov by the Submittal Deadline. It is the sole responsibility of the Proposer to ensure that its proposal is submitted through OpenGov before the RFP Submittal Deadline.

Electronic proposal submittals require uploading electronic attachments. All uploaded documents must be attached as separate Microsoft Word, Excel, or Adobe PDF files only.

Submission of attachments containing embedded documents is prohibited. It is the responsibility of the Proposer to familiarize itself with the OpenGov eProcurement system, and the City does not assume any liability or responsibility for late proposals.

Registration. Proposers must register on OpenGov to submit proposal responses. If you are not already registered, please go to https://procurement.opengov.com/portal/milpitas-ca and click on +Subscribe. There is no cost to register for or participate in City of Milpitas solicitations.

License and Bonding. Proposer shall be licensed and bonded in accordance with industry practices, laws, rules, and regulations governing the performance of services required in this

RFP.

For more information regarding the RFP, please contact:

Jennifer Cheng

Senior Special Project Associate jcheng@milpitas.gov https://www.milpitas.gov/264/Bid-Opportunities https://procurement.opengov.com/portal/milpitas-cs

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Communications with any City elected official, non-designated staff, or Evaluation Committee member regarding this RFP is strictly prohibited. All email communications must be directed to the designated Procurement Contact for this solicitation or their designee, if applicable. Any vendor who communicates with parties or via methods not provided for in this RFP, may be subject to disqualification.

II. Introduction

II.A Summary

The City of Milpitas (City) is seeking to hire a consultant to perform a Proposition 218 cost of service and rate study to establish water and sewer rates for fiscal years 2028-29 through 2032-

33. In addition, the City is seeking consultant support for an Annual Proposition 218 True-Up to be performed following the close of each fiscal year.

II.B Background

The City of Milpitas is located in Santa Clara County near the southern tip of San Francisco Bay, adjacent to the City of San José. Milpitas is a general law city, incorporated in 1954, and operates under a Council-Manager form of government. The City Council consists of the Mayor, who is elected every two years, and four Council members elected at-large to staggered four-year terms.

The City’s utility customer base includes a substantial technology, manufacturing, and industrial sector, regional retail centers, and a large number of restaurants.

According to the City’s FY 2024-25 Annual Comprehensive Financial Report, the City’s largest employers are Cisco Systems (3,600 employees), KLA (2,917), and Western Digital Technologies/SanDisk (1,219). The California Employment Development Department estimates the City’s labor force at 43,700, with 41,900 employed residents and an unemployment rate of

4.2 percent (August 2026, preliminary, not seasonally adjusted).

Sewer and Wastewater System

The wastewater collection system consists of approximately 160 miles of gravity sewers and generally flows from east to west and south to north towards the San Francisco Bay. Most of the collection system flows by gravity to the Milpitas Main Lift Station then is pumped to the San Jose-Santa Clara Regional Wastewater Facility through dual force mains. The Venus Way Lift Station (Venus Way LS) pumps sewage from a small portion of the City that is at a lower elevation up to a higher elevation where it then flows by gravity to the Main LS. The collection system also includes almost 3,000 manholes.

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Wastewater from the City’s collection system is conveyed to and treated by the San Jose-Santa Clara Regional Wastewater Facility (RWF). The RWF serves 1.5 million residents and over 17,000 businesses in eight cities and four sanitation districts:

• Cities of San José, Santa Clara, Milpitas

• Cupertino Sanitary District (Cupertino), West Valley Sanitation District (Campbell, Los Gatos, Monte Sereno, and Saratoga)

• County Sanitation Districts 2-3 and Burbank Sanitary District (both unincorporated)

The City of Milpitas pays a share of the capital cost of the RWF, based on the City’s capacity rights in proportion to the 167 MGD total capacity of the RWF. The City also pays a share of the operating cost, based on the volume of wastewater discharged to RWF. The City has rights to discharge 14.25 MGD to the RWF under its current allotment.

Water System

The City’s water service area is supplied by the San Francisco Public Utilities Commission (SFPUC) and Valley Water (VW). The overall water service area is approximately 12 square miles, which generally coincides with City limits, except for some areas in the Calaveras Hills along the City’s eastern edge. The City can be divided into two distinct topographical areas: the relatively flat “valley floor” on the western side and the steeper “hillside” area within the Calaveras Hills.

Service elevations within the City range from near sea level in the west to almost 900 feet above mean sea level (msl) in the east.

As of January 1, 2026, the City’s population was estimated to be 82,107 and the City had 16,993 metered water service connections. The City has nine customer billing codes organized into three categories (residential, commercial, and public/ institutional) and up to three connection types (water, fire, and irrigation). Almost 89 percent of connections were residential, which includes multi-family connections.

Under normal conditions, the City operates its potable water system such that the SFPUC and VW supplies remain separate. The City’s existing potable water system includes the following major facilities: five turnouts, one emergency groundwater well, three emergency interties, five storage reservoirs, five pump stations, 17 pressure reducing valves (PRVs), one groundwater well (currently under construction) and approximately 183 miles of pipelines.

The City purchases recycled water from the South Bay Water Recycling (SBWR) Program. The SBWR Program is an on-going, multi-year effort to use high-quality recycled water produced at the RWF and distributed for irrigation, industrial, and other purposes. The SBWR Program is administered through the City of San José’s Environmental Services Division. Recycled water is used for irrigating public and private areas such as parks, medians, and industrial uses to supplement potable water use. The City maintains and operates approximately 24 miles of SBWR-owned recycled water lines that serve approximately 252 service connections. The City

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282 has an agreement with SBWR to be reimbursed for its costs to operate and maintain the SBWR-owned system within the City.

The City bills for water and sewer services on a bi-monthly basis.

Purpose and Objectives of Rate Studies

Public agencies in California conduct cost-of-service and rate studies to ensure there is a strong nexus between rates charged to customers and costs incurred to provide service, as required by Proposition 218. The City of Milpitas (City) last conducted a cost-of-service study in 2022-23, which established rates for Fiscal Years (FY) 2023-24 through 2027-28.

The major objectives of the rate studies are:

• Develop a five-year financial plan to sufficiently fund the City's operations and maintenance (O&M) expenses, debt service payments, and Capital Improvement Plan (CIP) while adequately funding reserves and meeting debt coverage requirements.

• Conduct a cost-of-service analysis that establishes a clear nexus between the cost to serve customers and the water and sewer rates charged to customers, per Proposition 218 requirements.

• Develop a five-year schedule of water and sewer rates that is fair, equitable, and compliant with Proposition 218.

Annual Proposition 218 True-Up

The City is also seeking consultant support for an Annual Proposition 218 True-Up to be performed following the close of each fiscal year, as described in Section 11 of Attachment C – Scope of Services.

II.C Timeline

All times shown are Pacific Time.

Release Date October 21, 2026

Question Submission Deadline November 4, 2026, 12:00pm

Proposal Submission Deadline December 2, 2026, 12:00pm

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III. Scope of Services

III.A Scope of Services

Download and review "Attachment C - Scope of Services" under the "Attachments" tab.

IV. Vendor Questionnaire

In order to be fully compliant with the requirements of this RFP, Proposers must, at a minimum, respond to and provide the information noted below. Proposer may also include any additional information they feel is relevant to the RFP. Once submitted, the Proposer's submittal, including any supplementary documents, become the property of the City.

IV.A Proposer Contact Information* Please provide your firm's name and your full name, title, direct phone number, and email address.

*Response required

IV.B Time is of the Essence* Time is of the essence for each and every provision of this solicitation and the resulting Agreement/Contract. Proposer confirms that it has thoroughly reviewed every requirement of this solicitation and the accompanying sample Agreement/Contract and will furnish all necessary documents outlined in this solicitation and its attachments. By confirming this question, you understand that failure to provide any and all additional documents requested by City, including, but not limited to, forms, subcontractor information, bonds, proof of insurance, etc. may result in the disqualification of your firm's proposal submittal.

☐ Please confirm *Response required

IV.C Acknowledgement of Addenda* Any Proposal submitted that does not acknowledge each and every addendum issued for this solicitation may be considered non-responsive. By confirming this prompt, you agree that you have seen and responded to all addenda to this RFP.

☐ Please confirm *Response required

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IV.D Acknowledgement of Questions and Responses* Any Proposal submitted that does not acknowledge all questions received and the City's corresponding answers for this RFP may be considered non-responsive. By confirming this prompt, you agree that you have seen all questions and answers for this RFP.

☐ Please confirm *Response required

IV.E Current W-9* Please upload your firm's current W-9 form.

*Response required

IV.F Prior Contract Failure* You MUST disclose any alleged significant prior or ongoing contract failures, any civil or criminal litigation or investigation pending which involves your firm or in which your firm has been judged guilty or liable.

If there are none to disclose, you MUST state the following in response to this question:

“Proposer confirms that it has no prior or ongoing contract failures, civil or criminal litigation or pending investigation.”

Failure to comply with this provision will disqualify your proposal.

*Response required

IV.G Cover Letter* Attach a cover letter that addresses all the following items:

A. Introduce the Proposer and include the names, titles, addresses, and telephone numbers of the individual(s) with authority to bind the Proposer during the period that the proposals are being evaluated.

B. Identify the legal form of the firm, and if a corporation, shall identify in which state the firm was incorporated.

C. The cover letter shall be signed by a principal of the firm or other person authorized to negotiate and authorized to contractually obligate the firm and act on behalf of the firm.

D. Identify the location of the firm’s home office, and whether the firm has management staff in California.

E. The number of employees in the firm and in California.

F. Name, address, and telephone number of the Proposer’s point of contact for a contract resulting from this RFP.

Failure to cover each item listed above may be grounds for disqualification.

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IV.H Firm and Program Team / Key Personnel* Address all the following in your response:

A. Provide a general description of the firm, including a brief history and its experience in providing similar services as those requested in this RFP, including the length of time the Proposer has been providing the services described in this RFP.

B. Identify and designate the project manager authorized to act on behalf of the firm and act as the principal contact for the City.*

C. Provide resumes and biographical information for the professionals who will be preparing, reviewing and interacting with the City on the rate studies and the annual Proposition 218 true-up analysis work. For each individual, clearly specify whether their role will support the rate study work, the annual Proposition 218 true-up analysis, or both. Resumes should not exceed one page per person and should be included as attachments to the proposal response.

D. Provide resumes and biographical information on the professionals that will be involved in Proposition 218 community outreach and stakeholder engagement, including any subconsultants the Proposer intends to use for this work. Describe their roles, the tasks they will perform, their key personnel, and their experience with Proposition 218 outreach for California water and wastewater agencies. The Proposer shall remain responsible for all work performed by subconsultants.

E. For questions 8(b) through 8(d), identify any individuals, and their expected roles and responsibilities, who will serve as backups.

F. The proposal shall state that no changes in key personnel will be made without written consent of the City.

Failure to comply with each item listed above may be grounds for disqualification.

*Note, if, and when the City interviews prospective firms, such persons shall be in attendance and materially contribute to the presentation and discussion.

*Response required

IV.I Qualifications and Experience* Address all the following in your response:

A. Provide a summary of your firm’s history, its capabilities and its recent relevant experience (within the last five (5) years).

B. Describe your demonstrated experience with similar projects and qualifications including professional licenses and certificates.

C. Provide a description of at least three (3) water rate studies and three (3) wastewater rate studies prepared for and adopted by California local agencies within the last five (5) years. A combined water and wastewater rate study may count toward both requirements.

D. Provide description of your firm’s experience in providing ongoing annual review of actual revenue collections and expenditures for water and wastewater systems to ensure

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282 continued compliance with Proposition 218 requirements (see Attachment C – Scope of Services, Section 11, Annual Proposition 218 True-Up). Describe any experience with undertaking a mid-cycle rate adjustment based on results of annual compliance review.

*Response required

IV.J Project Workplan and Scope of Services* A. Project Understanding and Approach: Confirm and describe your firm’s understanding of the project objectives and your overall approach to executing the work. Detail the systematic process you will use to deliver the services described in Attachment C – Scope of Services. Identify any proposed modifications, enhancements, or alternative approaches that would improve project outcomes or efficiency, along with the rationale for those changes.

B. Project Workplan, Tasks and Timeline: Provide a detailed work plan that outlines each major task, sequential timeline, key milestone, and final deliverable. Clearly identify any prerequisites or dependencies required to complete each task.

C. Resource Allocation and Responsibility Matrix: Identify the responsible parties for each task. Clearly list all resources, data, and staff time you expect the City to provide to ensure project success.

D. Risk Management and Assumptions: State all critical assumptions underlying your work plan. Identify potential risks that could delay the project (specifically regarding the preparation of the rate studies) and propose mitigation strategies for each.

*Response required

IV.K References* List a minimum of three (3) references for whom comparable services were provided in the last five (5) years utilizing the References form included in Attachment A - RFP Submittal Forms to Complete. Include the name of the government agency, name of the contact, telephone number of the contact, email address of contact (if available), brief description of the services provided and your firm’s role, and the start and completion date. Preference is for the references to include the government agencies identified in your response to Question 9(c).

Note: Do not use the City of Milpitas as one of your customer references.

*Response required

IV.L Cost Proposal*

ONLY PROVIDE COST INFORMATION IN THE COMPENSATION QUESTION BELOW. DO NOT

INCLUDE COMPENSATION INFORMATION ANYWHERE ELSE IN YOUR PROPOSAL.

All proposers must submit a comprehensive Cost Proposal by completing and uploading Attachment D - Cost Proposal Form in accordance with the requirements detailed below and the instructions within the attachment itself.

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The Cost Proposal must be fully inclusive of all cost required to fulfill the Scope of Services and obligations of the Agreement. This includes, but is not limited to: all professional labor, management, overhead, profit, and expenses.

• Excel Upload: Submit the completed form in its native Excel format. Do not attempt to modify or override the locked formulas in the spreadsheet.

• Signatures: The form must be signed by an authorized representative legally empowered to bind your firm. You may upload a supplementary PDF version to provide this signature if needed.

• Hourly Rates & Allocation: Detail the hourly fee schedule for all proposed personnel and indicate the estimated percentage of the total scope of work to be completed by each individual or labor classification.

• Additional Fees: Disclose and describe any fees not captured in the standard fee schedule, including any one-time, implementation, or up-front costs.

• Reimbursable Expenses: Itemize a detailed schedule of any applicable reimbursable expenses.

• Clarifying Information: Provide any explanatory notes or assumptions as a separate document. Do not alter the structure of the Cost Proposal Form.

Note: The Excel file has been locked to prevent changes to formulas and requested information. Please do not try to override the formulas included in the spreadsheet. Any additional or clarifying information should be attached as a separate attachment.

*Response required

IV.M Certification of Proposer* Complete, sign, and upload your Certification of Proposer form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

IV.N Non-Collusion Declaration* Complete, sign, and upload your Non-Collusion Declaration form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

IV.O Nondiscriminatory Employment Certificate* Complete, sign, and upload your Nondiscriminatory Employment Certificate form here. See Attachment A - RFP Submittal Forms to Complete.

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282

IV.P Wage Theft Certification* Complete, sign, and upload your Wage Theft Certification form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

IV.Q Proposer's Statement Regarding Insurance Coverage* Complete, sign, and upload your Proposer's Statement Regarding Insurance Coverage form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

IV.R Worker's Compensation Insurance Certification* Complete, sign, and upload your Worker's Compensation Insurance Certification form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

IV.S Compliance with or deviation from RFP and Agreement* Complete, sign, and upload your RFP and/or Agreement Exceptions form here. See Attachment A - RFP Submittal Forms to Complete.

*Response required

V. Submission Instructions

V.A Proposal Submittal

A. Proposals must be submitted electronically through the City's eProcurement website https://procurement.opengov.com/portal/milpitas-ca.

B. Submittal Deadline. Proposals must be uploaded to and submitted on the OpenGov website by the specified Submittal Deadline.

C. Responsibility. Proposer is solely responsible for ensuring its proposal is successfully uploaded and submitted in accordance with the RFP requirements before the Submittal Deadline. The City shall not be responsible for any delays in transmission or errors in your submitted response. Proposals must be uploaded in Microsoft Word, Excel or Adobe PDF format only, using as few files as possible. Do not wait until the last minute to upload files and submit your proposal response as delays can occur. In the event that there is a problem uploading documents or submitting your proposal, please contact OpenGov support for assistance at https://opengov.my.site.com/support/s/contactsupport, Chat: http://support.opengov.com, Email: support@opengov.com, or Phone: (650) 336- 7167.

https://procurement.opengov.com/portal/milpitas-ca https://opengov.my.site.com/support/s/contactsupport http://support.opengov.com/ mailto:support@opengov.com

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D. Extension of Submittal Deadline. The City reserves the right to extend the Submittal Deadline when it is in the best interest of the City to do so.

E. Forms. To be considered for award, each proposal shall be made on forms furnished by the City in this RFP where applicable.

F. Late Proposals. The Submittal Deadline is absolute. Proposals will not be accepted after the Submittal Deadline.

G. Signature. To be considered for award, your proposal response documents shall be signed by an authorized representative of your firm.

V.B Proposal Modifications or Withdrawal of Proposal

Any Proposer wishing to make modifications to a proposal that has already been electronically submitted may utilize the "unsubmit response" option on their submitted proposal, make their modifications, and then submit their response again prior to the specified Submittal Deadline. Proposers are solely responsible for ensuring that their final responses are submitted prior to the Submittal Deadline. The eProcurement system will not allow submittal of proposal after the Submittal Deadline.

Proposer’s authorized representative may only withdraw proposals through the OpenGov website prior to the Submittal Deadline.

V.C Authorized Signature(s)

Proposal documents must be signed by a person or persons legally authorized to contractually bind the Proposer. If requested by the City, Proposer shall provide additional documents demonstrating the signer's legal authority, such as a current power of attorney or a certified copy of the bylaws or resolution of the board of directors.

V.D Examination of Contract Documents

Proposers shall be solely responsible for carefully and thoroughly examining the RFP, all attachments including the Agreement, responses to questions, and addenda, if any, (collectively referred to as “Contract Documents”). Furthermore, Proposers are solely responsible for informing themselves with respect to local labor availability, means of transportation, necessity for security, laws and codes, local permit requirements, wage scales, local tax structure, contractors’ licensing requirements, availability of required insurance, and other factors that could affect the provision of the goods and services specified in this RFP. Proposers shall be solely responsible for their failure to examine the Contract Documents.

Proposer shall satisfy themselves as to the character, quantity, and quality of the goods and services to be provided as set forth in this RFP. The failure or neglect of the Proposer to examine the Contract Documents shall in no way relieve them from any obligations with respect to the RFP or Agreement. Submission of a Proposal response shall constitute an acknowledgment upon which the City may rely that the Proposer has thoroughly examined and is familiar with the

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Contract Documents. Proposals shall include complete compensation for all goods and services to be provided under the Contract Documents.

V.E Interpretation of Contract Documents

If any person is in doubt as to the true meaning of any part of the RFP or finds discrepancies or omissions in the RFP, they may submit a request for an interpretation or correction through the OpenGov Question & Answer portal for this RFP no later than the specified deadline for questions.

The City will provide a response in the Question & Answer section of the RFP and issue a formal addendum if required. This solicitation and all such responses or addenda shall be incorporated into the resulting Agreement, whether directly or by reference. Oral and other interpretations or clarifications shall be without legal or contractual effect. It is the sole responsibility of each Proposer to check the website for addenda and questions/answers prior to submitting a proposal. In the event that this solicitation is obtained through any means other than the City's e-procurement portal on OpenGov, the City will not be responsible for the completeness, accuracy, or timeliness of the final solicitation document.

To submit questions:

A. Go to the Milpitas Procurement Portal at https://procurement.opengov.com/portal/milpitas-ca;

B. Click on the title of the solicitation to open the solicitation page;

C. Click on the "Question & Answer" tab, and then click "Ask Question."

Responses to questions/requests for clarification will be posted to the solicitation on the OpenGov website.

The deadline for submitting questions related to this solicitation is: Wednesday, November 4, Questions and the City's responses posted on OpenGov are considered to be a part of or clarification to the RFP and are considered to be addenda to be acknowledged by Proposers in their Vendor Questionnaire. The City may also issue, at its sole discretion, a separate addendum document in response to questions/requests for clarification.

It is the responsibility of each Proposer to ensure that they have registered on OpenGov and subscribed to receive notifications. To register a new account, go to the City's e-procurement website https://procurement.opengov.com/portal/milpitas-ca and click + Subscribe.

Any proposal submitted that does not acknowledge each and every question/answer may be considered non-responsive and disqualified from further consideration. Addenda and Questions/Answers, if any, shall be acknowledged in the relevant item responses in the Vendor Questionnaire.

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V.F Addenda

Addenda issued to this RFP, if any, will be posted on the City's eProcurement website. However, it is the sole responsibility of the Proposer to check the website to determine whether any addenda have been issued.

Any interpretation of the Contract Documents will be made only by written addenda from the City, which will be posted on the OpenGov website. The City will not be responsible for any explanations or interpretations provided in any other manner. No person is authorized to make any oral interpretation of any provision in these Contract Documents to any Proposer, and Proposer shall not rely on any such oral interpretation.

The City reserves the right to revise the Contract Documents prior to Submission Deadline.

Revisions, if any, shall be made by written addenda. All addenda issued by the City shall be part of this RFP and Contract Documents. Addenda will be issued by the City through OpenGov. It is the responsibility of each Proposer to ensure that they have registered on OpenGov to receive all notifications.

Any solicitation response that does not acknowledge each and every addenda issued may be considered non-responsive and disqualified from further consideration. Addenda and Questions/Answers, if any, shall be acknowledged in the relevant item responses in the Vendor Questionnaire.

V.G Completion of Proposal Response

Each Proposer shall submit its response in strict conformity with the requirements of this RFP and the Contract Documents. Proposals shall be prepared using the Forms provided in Attachment A - RFP Submittal Forms to Complete. Use of Submittal Forms other than those provided by the City will not be permitted. Proposals shall be executed by an authorized signatory as described in these Submission Instructions. Proposers shall fill in all blank spaces (including inserting “N/A” where applicable). Proposers shall neither delete, modify, nor supplement the Submittal Forms nor make substitutions thereon. Oral, telephonic, and electronic modifications will not be considered. Any alterations or deviations in the Submittal Forms may result in your proposal being deemed non-responsive and disqualified from further consideration.

Failure to completely execute and submit the required Submittal Forms and provide the information specified in the Vendor Questionnaire prior to the Submittal Deadline may render the Proposal nonresponsive.

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VI. Evaluation and Award Process

VI.A Award of Contract

Award, if made, will be made to the Proposer offering the most advantageous proposal after consideration of all evaluation criteria set forth the section entitled "Evaluation Criteria." An Evaluation Committee will be established by the City. Proposers not meeting the minimum requirements established in this RFP and not submitting all required documents may be deemed non-responsive to the RFP and thus may not be considered by the Evaluation Committee. The Evaluation Committee will evaluate all proposals received in accordance with the Evaluation Criteria. The City shall not be obligated to award to the lowest priced proposal but will make an award in the best interests of the City after all factors have been evaluated.

VI.B References

The Evaluation Committee may also contact and evaluate the Proposer's and subcontractor's references; contact any Proposer to clarify any response; contact any current users of a Proposer’s services; solicit information from any available source concerning any aspect of a proposal; and seek and review any other information deemed pertinent to the evaluation process.

VI.C Additional Discussions

Discussions, such as interviews or system demonstrations, may, at the City’s sole option, be conducted with a short-list of responsive and responsible Proposers for the purpose of clarification to assure full understanding of, and responsiveness to, the RFP requirements or to provide the City with a demonstration of the proposer’s proposed product or software. Revisions may also be requested by the City, at its sole option, after original submissions and before award for obtaining best and final proposals.

Each Proposer shall be accorded fair and equal treatment throughout this process. The City will not disclose information submitted by competing Proposers.

VI.D Contract Negotiations

A Notice of Intended Award will be posted to the RFP on OpenGov. Final award is contingent upon successful negotiation of a contract based on the City’s standard terms and conditions.

Negotiations shall be confidential and are not subject to disclosure until after agreement is reached. If contract negotiations cannot be concluded successfully and in a timely manner with the top-ranked Proposer, the City may, in its sole discretion, initiate negotiations with the next highest scoring Proposer.

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The City reserves the right to contract in the manner that most benefits the City, including awarding more than one contract if desired. The City also reserves the right to cancel this RFP in its entirety and at its sole discretion.

Once negotiations are successfully completed, the Proposer will be recommended to the City Council for contract approval, and the City Council has the final authority to approve or reject the contract award.

VI.E Protest Procedure

Should any Proposer protest the award to the Proposer offering the most advantageous proposal after consideration of all Evaluation Criteria, such protest should be submitted in writing to the designated Purchasing Contact for this solicitation. All protests received will be filed and adjudicated in compliance with the City Municipal Code Section “I-2-3.19– Protest Procedure”.

VII. Evaluation Criteria

No. Evaluation Criteria Scoring Method Weight (Points)

1. Cover Letter and Compliance with RFP Requirements

• Has the firm provided a full and clear response to the requested information in the Cover Letter?

• Have all required sections and information in the RFP been provided clearly and completely?

0-10 Points 10 (10% of Total) https://library.municode.com/ca/milpitas/codes/code_of_ordinances?nodeId=TITIAD_CH2PU_S3PRMEPR_2-3.19PRPR https://library.municode.com/ca/milpitas/codes/code_of_ordinances?nodeId=TITIAD_CH2PU_S3PRMEPR_2-3.19PRPR

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2. Firm and Program Team / Key Personnel

• Does the firm’s history and length of experience in providing similar services demonstrate organizational stability and depth?

• Does the proposed team possess the requisite education, professional qualifications, and experience in performing similar services?

• Are the primary responsibilities of the principals and team members clearly defined, demonstrating sufficient organizational depth and backup capabilities to handle the workload without unauthorized personnel changes?

• If subconsultants are proposed for Proposition 218 community outreach, are their roles clearly defined, are they qualified for the tasks assigned, and does the Proposer demonstrate how it will manage and remain accountable for their work?

0-10 Points 20 (20% of Total)

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3. Qualifications and Experience

• How effectively do the firm’s history, core capabilities, and professional credentials demonstrate their readiness to handle this project?

• Does the firm demonstrate extensive experience preparing water and wastewater studies within the State of California? How well do the required California case studies from the last five years validate the firm's track record?

• How strongly does the vendor demonstrate technical experience in ongoing Prop 218 annual compliance tracking and mid-cycle rate corrections?

0-10 Points 25 (25% of Total)

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282

4. Project Workplan and Scope of Services

• Does the vendor demonstrate a thorough understanding of the project objectives, and is their overall technical approach systematic and efficient?

• Is the work plan detailed, realistic, and sequential, with clearly defined milestones, final deliverables, and task dependencies?

• Does the proposal include a clear responsibility matrix identifying the accountable party for each task?

• Are the requested City resources, data, and staff time clearly listed, reasonable, and manageable for City staff to provide?

• Has the vendor identified critical assumptions, realistic project risks, and highly effective mitigation strategies to prevent delays?

0-10 Points 25 (25% of Total)

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282

5. References Initial Evaluation: Are the references provided for the same or similar services as those required by the City of Milpitas? Are they of similar scale? Are they for other public entities in California and/or with other municipalities similar to the City?

Follow-up Reference Checks: Are the firm’s references from past clients and associates overall favorable? What is the Proposer’s record of deliverables submitted on time and within budget? Does the firm communicate with, collaborate with, and take direction well from City staff?

0-10 Points 10 (10% of Total)

Water and Wastewater (Sewer) Rate Study and Annual Proposition 218 True-Up Analysis Service 26-282

6. Cost Proposal Cost proposals must be comprehensive and include all costs necessary to fully execute the Scope of Services and fulfill the obligations of the Agreement. This includes, but is not limited to, all professional labor, management, overhead, expenses and profit.

This section will be scored by the Purchasing Office using a mathematical formula whereby the lowest price proposal will receive the maximum number of points for this section, and each remaining Proposer will receive a pro rata score calculated as (lowest Total Base Bid ÷ Proposer’s Total Base Bid) × 10 points. The Total Base Bid (7-Year Term) from Section 3 of the Cost Proposal Form will be used for scoring. Pricing for the optional task in Scope of Services — Section 9(h) is not included in the cost evaluation.

0-10 Points 10 (10% of Total)

VIII. Terms & Conditions

VIII.A Term of the Agreement

The Agreement is anticipated to commence on or about March 1, 2027, and to remain in effect through December 31, 2034 which is eighteen (18) months after the close of Fiscal Year 2032-33, the final fiscal year covered by the rate study. This term allows sufficient time for the issuance of the City’s audited financial statements for FY 2032-33 and the subsequent completion of the final annual Proposition 218 true-up analysis, providing an intentional buffer in the event of delays.

The first contract year is anticipated to run from March 1, 2027, through June 30, 2028 (approximately 16 months), followed by five subsequent standard (12) month contract years.

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The final contract year (Contract Year 7) will span an eighteen-month period, running from July 1, 2033 through December 31, 2034. There are no option years.

VIII.B Attachment Review

Please review attachments to ensure the proper Sample Contracts and forms are included

VIII.C Communication

Interested parties must comply with the communication requirements specified herein. Any vendor who communicates with parties or via methods not provided for in this RFP, may be subject to disqualification. Such communication includes, but may not be limited to, contact with City elected officials, non-designated staff, or any member of the Evaluation Committee regarding this RFP. All email communications must be directed to the designated Procurement Contact for this solicitation or their designee, if applicable.

All questions regarding this RFP shall be submitted through the RFP Q&A Portal prior to the designated deadline for questions. The City is not responsible for any explanation, clarification, interpretation, or approval made or given in any manner, except by addendum or response to questions published to this solicitation in OpenGov.

VIII.D Definition of Terms

For the purposes of this RFP, the following definitions will be used:

A. Contractor/successful Contractor/successful Proposer. The terms “Contractor,” “successful Contractor” and “successful Proposer” refers to the party selected to enter into a contract with the City as a result of this RFP.

B. Evaluation Committee. An independent committee established by the City to review, evaluate, and score proposals, and recommend award of contract to the Proposer that submitted the proposal determined by the committee to be in the best interest of the City based on an assessment of "best value" in accordance with the specified evaluation criteria.

C. May. Indicates something that is not mandatory but permissible.

D. Must/Shall. Indicates a mandatory requirement. A proposal that fails to meet a mandatory requirement may be deemed non-responsive and disqualified from further consideration.

E. Proposer. The person or firm making a legally binding offer.

F. Proposal. The offer submitted by the Proposer.

G. RFP. Acronym for Request for Proposal; same as Solicitation and Contract Documents.

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H. Should. Indicates something that is recommended but not mandatory. Failure to do what "should" be done will not result in rejection of your proposal but may result in lower scores during evaluation.

I. Submittal Deadline. The date and time on or before which all proposals must be submitted.

VIII.E Informed Proposer

Each Proposer is expected to fully inform themselves as to the conditions, requirements, and specifications of the RFP before submitting a Proposal. Failure to do so will be at Proposer’s own risk, and they cannot secure relief on the plea of error.

VIII.F Non-Collusion Declaration

Proposer declares that the only persons or parties interested in this bid are those named herein, and that the submitted Proposal is made without collusion with any person, firm or corporation.

Proposer, if awarded a contract, will execute a contract with the City in the form set forth in the Contract Documents, and will provide the specified goods and/or services for the prices set forth in its Proposal.

Each Proposer shall submit a signed Non-Collusion Declaration (See Attachment A) with its Proposal as required in the Vendor Questionnaire.

VIII.G Anti-Discrimination

It is the policy of the City that in connection with all Services performed under the Agreement, there will be no discrimination against any prospective or active employee because of race, color, ancestry, national origin, religious creed, sex, age, or marital status. Proposer agrees to comply with applicable Federal and California laws including, but not limited to, the California Fair Employment Practice Act, beginning with Labor Code Section 1735. In addition, the Proposer agrees to require like compliance by any subcontractor employed to complete any Services under the Agreement.

Each Proposer shall submit a signed Nondiscriminatory Employment Certificate (See Attachment A) with its Proposal as required in the Vendor Questionnaire.

VIII.H Wage Theft Prevention

Proposers must submit a certification statement in the Vendor Questionnaire disclosing whether the Proposer or any of its proposed subcontractors has been found by a final court order or administrative action of an investigatory government agency to have violated federal, state or local wage and hour laws, including but not limited to the federal Fair Labor Standards Act, the California Labor Code and the Milpitas Minimum Wage Ordinance, within the past five (5) years from the bid submission deadline.

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Additionally, each Proposer shall submit a signed Wage Theft Certification (See Attachment A) with its Proposal as required in the Vendor Questionnaire.

VIII.I Insurance Requirements

The successful Proposer must furnish to the City a Certificate of Insurance and all accompanying endorsements proving coverage as specified in the Contract/Agreement attached as Attachment B. Failure to furnish the required certificates in a timely manner may result in forfeiture of the RFP award and associated Contract/Agreement.

Additionally, each Proposer shall submit a signed Proposer's Statement Regarding Insurance Coverage and a signed Worker's Compensation Insurance Certification (See Attachment A) with its Proposal as required in the Vendor Questionnaire.

VIII.J California Secretary of State

The awarded Proposer must have and maintain an active registration and be in good standing with the California Secretary of State throughout the term of the contract. See https://bizfileonline.sos.ca.gov/search/business for more information. The City will verify this prior to contract execution with the awarded Proposer.

VIII.K Milpitas Business License

The awarded Proposer must comply with the City's business license registration requirements set forth in its municipal code. See https://www.milpitas.gov/241/Business-License-Center for more information. The City will verify this prior to contract execution with the awarded Proposer.

VIII.L Conflict of Interest

Pursuant to Government Code section 1090 and any other laws, rules and regulations that may apply, the Proposer covenants that neither it, its subcontractors, nor employees presently have an interest, and shall not acquire any interest, direct or indirect, financial or otherwise that would conflict in any manner or degree with the contract awarded from this RFP. By submitting its Proposal in response to this RFP, Proposer certifies that to the best of its knowledge that no one who has or will have any financial interest in the contract awarded from this RFP is an officer or employee of the City. Additionally, through its Proposal submittal, Proposer acknowledges that it is familiar with Section 87100 et seq. and Section 1090 et seq. of the Government Code of the State of California and will immediately notify the City if it becomes aware of any facts concerning the contract to be awarded that constitute a violation of said provisions.

VIII.M Offers of More than One Price

Proposer is NOT allowed to submit more than one proposal.

https://bizfileonline.sos.ca.gov/search/business https://www.milpitas.gov/241/Business-License-Center

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VIII.N Proposal Prices and Discrepancies

Proposals Prices shall be stated in units and offers made separately on each item. In case of conflict between unit prices and extended prices, unit prices will govern. Where there is a conflict between words and figures, words will govern. In the event that there are unit price items in a compensation proposal and the "amount" indicated for a unit price of an item does not equal the product of the unit price and quantity listed, the unit price shall govern, and the amount will be corrected accordingly. If there is more than one item in a compensation proposal, and the total indicated does not agree with the sum of prices of the individual items, the prices given for the individual items shall govern, and the total will be corrected accordingly.

The Proposer will be bound by said corrections.

VIII.O Taxes

The successful Proposer shall pay all federal, state, and local taxes, levies, duties, and assessments of every nature due in connection with any work provided under the Agreement and shall indemnify and hold harmless the City from any liability on account of any and all such taxes, levies, duties, assessments, and deductions. Proposal prices shall include all applicable sales tax.

VIII.P Experience and…