Financial Advisory Services

The vendor is required to provide on an as-needed basis, the financial advisory consultant(s) will provide financial and analytical services for various assignments as requested by department.
a. Financial planning and analysis
• The financial advisor shall also review all outstanding indebtedness of the city, district, and agency, and provide recommendations regarding potential refinancing or early extinguishment of such obligations.
• The advisor shall conduct a comprehensive analysis of all available financing options.
• Sale and leaseback arrangements
• Pooled debt participation
• Taxable instruments
• New markets tax credits
• Federal, state, and local grants
b. Debt financing structure preparation
1. Development of debt structural components
• Debt sizing parameters: establish sizing parameters for the proposed debt issuance by evaluating the cash flow requirements for the capital improvements and estimating reinvestment yields over the project term. 
• Maturity schedule: develop an appropriate maturity schedule based on the estimated useful life of the financed assets and projected future demands on pledged repayment sources. 
• This includes a determination of whether to use serial instruments exclusively or a combination of term and serial obligations. 
• Credit structure recommendation: recommend an appropriate credit structure, including identification of acceptable primary and secondary revenue sources to be pledged. 
• The analysis should address the form of the pledge (e.g., revenue vs. general obligation) and consider both issuer and investor perspectives.
2. Credit enhancements and market timing 
• Credit enhancements: evaluate the use of credit enhancements such as letters of credit or municipal bond insurance, and provide recommendations based on cost-benefit analysis. 
• Timing of issuance: advise on the optimal timing for debt issuance to leverage favorable market conditions. 
• This includes consideration of interim financing tools such as bond anticipation notes, revenue anticipation notes, or lines of credit.
3. Debt issuance mechanics 
• Mechanical features of issuance: provide recommendations regarding the physical and technical aspects of the bond issuance, including the feasibility of issuing book-entry-only securities and other modernized debt delivery methods. 
• Method of sale: determine the most appropriate method for selling the obligations—competitive, negotiated, or private placement.
• Prepare them for underwriting services 
• Assist with evaluation, selection, and award of the underwriting firm(s)
4. Legal and credit rating support 
• Validation proceedings: assist bond counsel, as necessary, in any legal validation proceedings required for the issuance of obligations. 
• Credit rating presentations: prepare and support the city and agency in presentations to nationally recognized credit rating agencies to obtain and maintain the highest possible credit rating.
5. Procurement of professional services
• Assist in the identification and procurement of required professional services, including:
• Investment banking (underwriting) services (for negotiated sales)
• Bond counsel
• Printing services (official statements and bond forms)
• Bond registrar, paying agent, and trustee services (if applicable)
• Verification services (for refunding transactions)
• Arbitrage rebate compliance services
• Disclosure services
• The financial advisor shall also perform a post-issuance evaluation of these services to ensure performance and compliance.
6. Ongoing monitoring and legislative updates 
• Legislative and market monitoring: provide continuous updates on current and proposed state or federal legislation, as well as changes in financial market conditions that may impact the city’s financing strategies.
7. Cash flow and revenue analysis 
• Revenue analysis: evaluate projected cash flows from all revenue sources considered as security for proposed debt obligations. 
• Financing recommendation: recommend appropriate debt sizing, financial structure, and detailed terms and conditions for any proposed financial arrangement.
8. Financing team formation 
• Assist in forming a financing team and identifying all necessary professional services, including underwriters, trustees, rating agencies, legal counsel, and other specialists. 
• Underwriting cost assessment: assist in evaluating and determining the full costs associated with underwriting proposed financing arrangements.
c. Cost-benefit, risk analysis, and due diligence for public and private development opportunities
• Baseline scenario analysis: evaluate the economic and real estate value of the property if developed as proposed by the developer.
• Alternative scenario analysis: assess the economic and real estate potential of the property if developed to maximize economic development outcomes, including consideration of leveraging public actions and investments.
- Required services and analyses
• Highest and best use analysis identify the most economically productive use(s) for the development site based on market trends and public benefit potential. 
• Alternative financing options provide recommendations for potential public and private financing strategies, including blended and layered funding mechanisms. 
• Cost-benefit analysis quantifies the projected costs and anticipated benefits (including fiscal, economic, and community impacts) to determine the net value of proposed public investments. 
• Fair market value and reuse analysis assess the value of the property under various scenarios, including adaptive reuse potential and constraints.
• Development cost and financial projections evaluation review and validate the developer’s cost estimates and financial pro forma. provide critical review of assumptions and overall project feasibility. 
• Corporate due diligence confirm that the development entity possesses the financial capacity and experience to complete the project and remains in good standing with regulatory and financial institutions. 
• Public policy linkages identify direct connections between the proposed development and local public policy goals, with emphasis on measurable public benefits. 
• Sensitivity analysis analyze the effect of changes in key variables (e.g., market demand, interest rates, construction costs) on overall project viability and public ROI. 
• Risk and trade-off analysis provide a comprehensive discussion of risk factors and trade-offs from both the city and developer perspectives. 
• Scenario evaluation assess whether there are additional opportunities to increase the return on investment or enhance community benefit beyond what is proposed in the developer’s baseline scenario. 
• Public subsidy assessment ensure that any public subsidy or incentive aligns with the level of public benefit and return on investment and is justified by the inherent risk assumed by the city and the agency. 
• Negotiation supports the city and agency during negotiations with developers, particularly in determining and securing an appropriate return on investment commensurate with the level of public subsidy and risk involved. 
• Financing structure review analyze and report on the pros and cons of each proposed financing arrangement, including risk exposure and long-term implications for the city and agency.
d. Communication and collaboration
• The financial advisor shall maintain ongoing, frequent communication with designated city and agency staff throughout the engagement to ensure coordination, alignment with public objectives, and responsiveness to evolving project needs.
- Contract Period/Term: 3 years
- Questions/Inquires Deadline: July 16, 2025