Title
Consider recommendation from the Executive Committee to approve a contract with Fundamentals Group dba TXP, Inc., in an amount not to exceed $74,530.00, for economic analysis related to potential EAA aquifer management fee increases and financial reserve policies.
Body
RECOMMENDED MOTION:
Move the board approve Contract No. 21-029-EXE between the EAA and Fundamentals Group dba TXP, Inc., for economic analysis related to potential EAA aquifer management fee increases and financial reserve policies, in an amount not to exceed $74,530.00.
SUMMARY:
The purpose of this agenda item is for the board to consider an Executive Committee recommendation to approve a contract with TXP, Inc., related to the economic impact of potential EAA aquifer management fee (AMF) increases and cash reserve policies.
As has been discussed previously with the board through budget forecast presentations, the current AMF rate (which has remained unchanged since 2012) is likely not capable of sustaining future budget obligations under existing considerations, not the least of which is the present management of fund reserves. Therefore, as the EAA considers the possibility of future increases to the non-agricultural AMF rate, TXP would evaluate the potential economic impacts of such an increase and would identify potential alternative reserve calculation methodologies for consideration to ensure continued programmatic certainty within the existing AMF structure.
To solicit the required services, EAA staff advertised a Request for Proposals (RFP) consistent with the standard EAA procurement process beginning October 24, 2021 through November 17, 2021. EAA staff, through direct notification and publication of the RFP with the Texas Purchasing Group - BidNet Direct and the State of Texas Electronic State Business Daily, reached 237 vendors with notification of the RFP, 89 were M/WBEs. In addition, newspaper publication of the RFP was provided in various newspapers throughout the EAA region.
On the submission deadline of November 17, EAA staff received one proposal from a non-M/WBE vendor. The proposal met the criteria described in the RFP and, while only one proposal was received, EAA staff believes the proposal is competitive and recommends contract award.
Attached to this summary is Contract No. 21-029-EXE, which has been reviewed by legal counsel.
At the meeting on December 7, the Executive Committee voted to recommend the board approve Contract No. 21-029-EXE between the EAA and Fundamentals Group dba TXP, Inc., for economic analysis related to potential EAA aquifer management fee increases and financial reserve policies, in an amount not to exceed $74,530.00.
M/WBE PARTICIPATION:
Fundamentals Group dba TXP, Inc. is not a certified Minority/Woman Business Enterprise.
STRATEGIC PLAN REFERENCE:
This agenda item helps build and create Assuredness in Regulatory Programming - a key objective in achieving the EAA’s goals identified in the 2021-30 Strategic Plan.
FISCAL IMPACT:
Funding in the amount of $74,530.00 is available in the 2021 and 2022 operating budget.