Title
Auditor-Controller’s Office recommending the Board:
1) Make findings pursuant to County Ordinance Code Section 3.13.030(B) that the provision of Mello Roos bond administrative services for various Community Facilities Districts by special tax consultants require specialty skills and qualifications not expressly identified in County classifications;
2) Make findings in accordance with Procurement Policy C-17, Sections 3.4.2(f) and 3.4.3 that the procurement is for services where the continuity of the providers will provide efficiency or critical knowledge, other providers cannot provide similar efficiencies or critical knowledge, and competitive bidding would produce no economic benefit to the county;
3) Approve and authorize the Auditor-Controller to sign retroactive Agreement 10488 with NBS Government Finance Group dba NBS, for a total amount not to exceed $500,000, for a term of five years from May 1, 2026 to April 30, 2031; and
4) Authorize the Auditor-Controller to sign amendments related to Agreement 10488, contingent upon approval by County Counsel and Risk Management, that do not increase the maximum contract amount or extend the contract term.
FUNDING: Mello Roos District Revenues.
Body
DISCUSSION / BACKGROUND
The Auditor- Controller requests that the Board of Supervisors approve a Contract with NBS for five years with an amount not to exceed $500,000. The County Officer with responsibility for administering this agreement is Joe Harn, Auditor-Controller.
Since the County issued its first Mello Roos bonds in 1994, the County has engaged special tax consultants to provide bond administration services to the County. The cost of these services will be exclusively the responsibility of the developers and/or property owners in the districts. NBS assists the Auditor-Controller’s Office in administering the County’s Mello Roos Districts in accordance with state law, federal law, and the bond indentures. NBS assists Cities and Counties in California in managing over 200 Mello Roos Districts. With NBS assistance, the County’s likelihood of a material error or omission in administering the County’s Mello Roos Districts is reduced to a low level. The Auditor-Controller recommends that the County contract with NBS to prepare the Districts’ tax roll, and to serve, when requested, as the County’s expert in Mello Roos District administration.
In accordance with County Ordinance Chapter 3.13, Section 3.13.030, comparative cost analysis would not be feasible. Special skills and qualifications are needed to perform the work of this contract and the Consultant possesses the skills and experience specific to those required for bond administration of Mello Roos Districts.
Due to departmental delays in bringing this Agreement for Board consideration, the Board is being asked to approve Agreement 10488 retroactively to cover the period beginning May 1, 2026, to ensure the continued administration of Mello Roos Districts. The Auditor-Controller’s Office will review processes to limit the need for a retroactive agreement in the future.
ALTERNATIVES
N/A
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Funding is from special tax proceeds collected for the Community Facilities Districts.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Board Clerk’s office will forward the executed agreement to the Auditor-Controller for distribution.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Joe Harn