The City of Morro Bay (“City”) is requesting proposals from qualified firms to develop a Development Impact Fee Nexus Study and propose Development Impact Fees (DIF) for the City. The City assesses various development impact fees on new development and redevelopment to help the City pay for the infrastructure required by the new development activity. The City’s impact fee program must comply with the Mitigation Fee Act (California Government Code Section 66000 et seq., also known as Assembly Bill 1600) and the requirements of Assembly Bill 602, effective January 1, 2022.
This RFP is a step in the City’s procurement process to acquire the desired services and products competitively. Firms responding to this RFP shall be prepared to deliver products and perform the work necessary to provide the services described within approximately four to five months of the project start date.
The full RFP is available for review under the Related Documents section of this page.
City Responses to Requests for Information
Q1: Is there an allocated budget for this project? If so, what is the budget?
A: $40,000 has been allocated for this project.
Q2: Could you please provide us with a copy of the 2007 fee study?
A: Yes, please use the following link: https://www.morrobayca.gov/DocumentCenter/View/17998/2007-Development-Impact-Fee-Study
Q3: It appears that the City imposes Governmental Impact Fees, as well as Water and Wastewater Impact Fees. Are the Water and Wastewater Impact Fees to be assessed as part of the requested Nexus Study?
A: Yes, the RFP should assume all City impact fees will be included in the study, including water and wastewater impact fees, affordable housing in-lieu fees, and miscellaneous impact fees (project-specific). Please refer to our most recent AB 1600 report (https://www.morrobayca.gov/DocumentCenter/View/17463/FY-2021-22-AB-1600-Report---Revised?bidId=) for a list of City impact fees. Final study scope will be confirmed during the kick-off meeting or subsequent communications.
Q4: When was the City’s last impact fee study completed? And by whom?
A: The City’s last impact fee study was conducted in 2007 by MuniFinancial.
Q5: The City last went out to bid for an impact fee study in 2018? Was that study completed? If so, can we get a copy?
A: (Edited 8/31/2023) The efforts related to the 2018 request for proposals resulted in an updated user fee study and cost allocation plan. Preliminary work on updating a development impact fee study was completed but a final study was not adopted.
Q6: One of the tasks listed in the RFP is public noticing. This is usually a task performed by City staff, is there a reason that staff is asking consultant to prepare these notices? If so, is it just preparing documentation or actually also doing the noticing?
A: The Public Noticing task is for preparation of draft documents only. City staff will finalize any resolutions and ordinances prepared in relation to this project and will conduct the required noticing.
Q7: Which impact fees are covered under this scope? All, including the Affordable Housing In-Lieu fee?
A: Please see response to Q3 on our RFP webpage.
Q8: Does the City have an established project budget for this?
A: Please see response to Q1 on our RFP webpage.