Consulting Service for Water Cost of Service Study

The City of Livermore, California is requesting proposals for consulting services to prepare a comprehensive water cost-of-service study and five-year rate schedule recommendation, with proposals due November 2, 2026 by 2:00 PM via www.bidnetdirect.com.

The scope requires analysis of the Livermore Municipal Water System's enterprise fund, including historical and projected revenues, expenses, usage trends, reserve policies, billing and collection procedures, capital improvement plans, and growth projections across approximately 10,800 customer connections in a 14-square-mile service area. The consultant must develop alternative rate structures, create a 10-year financial planning model, and prepare a comprehensive public outreach and communications plan supporting rate adoption. Proposition 218 compliance is a critical qualification requirement; proposers must demonstrate relevant experience with Proposition 218 proceedings and cost-of-service studies in California, and provide three project references of similar scope. The project timeline extends through October 11, 2027, when the Proposition 218 public hearing is scheduled; final deliverables are due within two weeks of rate adoption.

Cost proposals must include estimated consulting hours, hourly rates by job classification, and a total not-to-exceed amount inclusive of ancillary costs and travel. Evaluation criteria weight experience of firm and key personnel at 50%, approach to services at 20%, ability to meet desired schedule at 10%, project cost at 10%, and references at 10%. The City anticipates proposal review and ranking by November 13, 2026, with contract award scheduled for November 20, 2026, and performance beginning December 1, 2026. Questions are due October 21, 2026 at 5:00 PM. Submissions must include cover letter, team qualifications, work plan, personnel allocation, cost summary, public outreach plan, references, legal disclosures, and acknowledgement of the City's Professional Services Agreement terms and insurance requirements.