NBS GOVERNMENT FINANCE GROUP - FIRST AMENDMENT (#2026513)

Page 2 SCOPE OF SERVICES In July, 2025, we completed a high-level review of Planning, Land Development Engineering, and Building fee programs. The review included a preliminary assessment of each fee program’s cost recovery performance, recommended fee structure improvements and a comparison of current fees with neighboring cities. Below is a proposal to expand upon the initial fee program assessment. Working together with City staff, we will review the deliverable from July 2025 and obtain direction from City staff regarding potential changes to fee structures, naming conventions, and categorization within these programs. Following this, we will proceed with a detailed cost analysis for each fee for service to ensure that the updated fees are fully substantiated and aligned with the City's objectives. The technical approach we will follow aligns with industry standard methodology that has been utilized successfully in California successfully for decades. The following is a detailed task plan for completing the scope of services: TASK 1: PROJECT COMMENCEMENT AND DATA COLLECTION Gather preliminary data as accessible through online resources and issue a consolidated data request to the City. Initial data requested will center on adopted budgets, recent financial performance (revenues and expenditures), current labor cost detail and classifications, organizational structures, existing relevant policies, existing time-tracking and workload data, and other items of a more global nature. Conduct a project commencement meeting with City staff members who will oversee the progress, completion, and implementation of its findings. This meeting will include a discussion of expectations, process for conducting analyses, timeline, global data needs, established policies and procedures, and other topics. TASK 2: FEE STRUCTURE REVIEW Meet with each department to review the results of the July 2025 fee program assessment. Obtain direction from City staff regarding opportunities for streamlining fee structures as well as for addition of new fees that are in line with current practices seen in other agencies. Work with City staff to complete initial revisions to existing fee structures including any deletion of fees, potential new fees, or changes in billing practices. Based on the results of this discussion, we will incorporate the list of fees to be evaluated into the fee model template. TASK 3: FACILITATED DATA COLLECTION Work directly with each department to initiate review of the organizational, workload, and time on task data needed to calculate the cost of providing each fee for service. We will first communicate the steps necessary to develop data for justifying fees. Staff will be asked to provide an estimate of time spent on various activities and services performed on an annual basis, as well as on each individual fee for service activity. We will explore software tracking and reporting capabilities that may enhance and streamline data collection efforts. Develop data collection materials and track progress weekly on data submittal activities. Enter data into the fee model and ensure that the cost-of-service analysis is defensible and reasonable. Docusign Envelope ID: CCA93C2D-D7BF-4531-88AB-7BBFCD6F0A7ADocusign Envelope ID: DF0F3531-C78A-8495-81AB-E9DA9043C7B4