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CO y%° STAFF REPORT
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Office of the City Manager
DATE: November 1, 2011
TO: Mayor and City Council
FROM: Donald Penman, City Manager
By: Linda Garcia, Com unications, Marketing and Special
Projects Manager
SUBJECT: ONE-YEAR EXTENSION IN THE AMOUNT OF $65,000.00 TO
THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE
CITY OF ARCADIA AND THE FERGUSON GROUP FOR
FEDERAL LEGISLATIVE ADVOCACY SERVICES
Recommendation: Approve
SUMMARY
The City of Arcadia has utilized the services of The Ferguson Group since 1996 for the
purpose of obtaining federal funding for City projects. The current Professional
Services Agreement with The Ferguson Group expires on December 31, 2011. Based
on the City's positive experience with the company and the desire to use their services
in the future, staff is recommending that the City Council approve a one-year extension
(Amendment No. 9) to the Professional Services Agreement between the City of
Arcadia and The Ferguson Group.
BACKGROUND
The depressed economic situation the country has been in for some time now has
created serious challenges for cities in terms of paying for capital expenditures, whether
they be infrastructure or equipment related. Over the years, Arcadia's ability to bring to
fruition certain infrastructure and facility improvements, as well as to be able to
purchase certain equipment, has been aided significantly by the use of federal funds
obtained with the assistance of The Ferguson Group. Money has been received for law
enforcement purposes, for the Ruth and Charles Gilb Arcadia Historical Museum, and
the most significant and ongoing funding has been for traffic, street and water system
improvements. Since the City first retained The Ferguson Group, millions of dollars
have been secured through our federal lobbying efforts.
Mayor and City Council — PSA Extension for The Ferguson Group
November 1, 2011
Page 2
DISCUSSION
Although it has become increasingly more difficult to obtain federal funding for local
projects, staff believes it is worthwhile to continue the City's partnership with The
Ferguson Group due to their ongoing assistance with our water and transportation
projects as well as for their expertise and guidance in sourcing potential funding
opportunities for these and other projects. Obtaining federal funds in the coming years
promises to be quite challenging due to a number of factors, including the 2012
Presidential election and the political environment in Congress. Members of The
Ferguson Group's team are very knowledgeable about the funding process and the type
of money that is available; their familiarity, excellent reputation and experience with the
Members of Congress and the Washington political community has been, and will
continue to be, quite helpful.
While the future is impossible to predict, and frankly staff does not expect much in the
next couple of years, it is important for the City to explore all feasible funding
opportunities and to do so in a manner that optimizes our chances of success in a very
competitive environment. Maintaining our relationship with The Ferguson Group, and
through them with Congressional leaders, Arcadia is better positioned to take
advantage of any opportunities that may arise in the near or long-term future.
Accordingly, staff is asking the City Council to authorize a one-year extension to the
City's Professional Services Agreement with The Ferguson Group.
FISCAL IMPACT
The Ferguson Group has agreed to maintain the current annual fee of 65,000.00. This
retainer includes unlimited hours of monthly service and overhead expenses. As in the
past, the cost will be shared among the General Fund (35%), the Water Fund (50%)
and the Redevelopment Agency (15%). Funds are included in the 2011-2012 operating
budget and in the 2012-2013 draft budget.
RECOMMENDATION
It is recommended that the City Council authorize the City Manager to execute a
one-year extension in the amount of $65,000.00 to the Professional Services
Agreement between the City of Arcadia and The Ferguson Group for federal
legislative advocacy services.