Amendment to Professional Services Agreement with Kosmont Companies.
 

Approve First Amendment to the Agreement.

In May 2025, the City entered into an agreement with Kosmont Companies to provide economic development consulting services for $35,000, and that agreement is still in effect. In November 2025, the City asked Kosmont to prepare a proposal to analyze the highest and best uses for a City property on Rosecrans Avenue. The study was proposed to not exceed $50,000. A third proposal from Kosmont was requested in March 2026, to assist the City in setting up an Enhanced Infrastructure Financing District (EIFD), This will provide the City an opportunity to collect a higher portion of property tax revenues when properties within the district are reassessed. This proposal came in two phases; the first is to study the feasibility for $30,500, and the second was to prepare the fiscal analysis and then manage the actual implementation of the district for $62,500 to 76,500.

The fiscal analysis is not started yet, but the potential for the City to see property tax increment far exceeds the cost establishing the EIFD.

Goal 5: Develop a strategy for major developments. (second proposal)
Objective 1.8: Explore and evaluate the creation of an Enhaced Infrastructure Financing District (EIFD). (third proposal)

Not to exceed $192,000.00.

72 Hours posted notice pursuant to the Ralph M. Brown Act.