Specifications include, but are not limited to: The selected Offeror shall furnish all labor and resources to conduct a comprehensive analysis of the allocation of revenue requirements and total costs of service to be met from water and sewer rates and fees among customer classes in accordance with a generally accepted and legally defensible methodology. The Offeror shall propose rate designs or identify required adjustments to the existing water and sewer rate and fee structures to equitably recover costs, while considering equity among users. In addition, the contractor may provide technical assistance to the City for financial and rate related issues as needed. The Offeror shall provide rate recommendations for Fiscal Year (FY) 2020 and financial projections and recommended rates for fiscal years 2021-2025. These recommendations will be based on an analysis of revenue requirements (allowing for multiple scenarios) and a rate impact study for both systems. The last formal rate study by an outside consultant was completed in 2012 and updated in 2014. The study should also evaluate, and if appropriate, recommend changes to the management structure of the systems. A preliminary report will be due ninety (90) days after the contract is awarded. City staff then have four weeks to review and comment on the recommendations. A final report will be due thirty (30) days after comments are received. The Offeror shall present the finding to the City Council at a Council Work Session. Revenue Requirements The Offeror shall prepare a six year analysis of revenue requirements based on projections of operating expenses, debt service requirements, and costs for the capital improvement program. The analysis should develop base revenue from existing customers at current rates, and then provide a breakdown of any incremental revenue required detailing the amount that will come from the addition of new customers and the amount that will come from rate increases. The analysis should provide a distinction between revenue derived from the sale of services and revenue derived from connection fees and recommend basic policies related to repair and maintenance reserve levels, debt service coverage levels, and capital funding levels. It shall recommend basic policies related to repair and maintenance reserve levels and capital funding levels. A brief evaluation of the benefits of changes to the billing schedule and frequency should be included.