Agenda

Return

C. 87

To:	Board of Supervisors
From:	Monica Nino, County Administrator
Date:	July 27, 2021

Contra

Costa

County

Subject:

TAX AND BOND COUNSEL CONTRACT - STRADLING YOCCA CARLSON & RAUTH

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 07/27/2021

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Timothy Ewell, (925) 655-2043

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: July 27, 2021
,

BY:	, Deputy

RECOMMENDATION(S):

APPROVE and AUTHORIZE the County Administrator, or designee, to execute a contract with Stradling Yocca Carlson & Rauth in an amount not to exceed $250,000 for tax and bond counsel services for the period of July 27, 2021 through June 30, 2024.

FISCAL IMPACT:

The cost of tax and bond counsel services is covered in the cost of issuance included in each bond issue. Fees will be capped at a maximum dollar amount (for both tax and bond counsel services) based on the type of bond issuance (e.g. lease revenue bond, tax revenue anticipation notes, etc.). This allows the County to plan for costs of issuance related to it's future bond transactions.

BACKGROUND:

On May 21, 2021, the County issued a Request for Proposals (RFP) for tax, bond and disclosure counsel services. After review by Debt Affordability Advisory Committee (DAAC) and firm interviews, Stradling Yocca Carlson & Rauth was recommended to the County Administrator for consideration of a contract award to provide bond and tax counsel services to the County through June 30, 2024 with two, optional one-year extensions based on performance through June 30, 2026.

The County anticipates issuing bonds during this time period to fund new capital projects and refund existing debt at lower interest rates, especially if the current federal prohibition on advance refundings is lifted as part of congressional action on infrastructure. In addition to assistance with bonds, the services of Stradling Yocca Carson & Rauth are needed on an occasional basis to prepare presentations to rating agencies and complete other ad hoc projects in support of County business. It is important to retain a firm with these particular skills to ensure that the County is able to take advantage of potential refunding opportunities as they arise and stay updated on both market trends and other public finance related legal issues.

The firms experience with housing related financing was of particular interest to the DAAC and County Administrator due to the significant amount of federal and state funds available for housing development in the near term. In addition, there is increased interest by cities statewide in using Enhanced Infrastructure Financing Districts (EIFDs) to fund regional infrastructure projects. Having a firm that has experience in housing and innovative financing mechanisms will be important for this contract cycle.

CONSEQUENCE OF NEGATIVE ACTION:

The County would not have the necessary legal representation on the issuance and sale of bonds.

CHILDREN'S IMPACT STATEMENT:

No impact.