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� � � with both residential and commercial projects and they know the strengths of major developers and commercial tenants. Once proposals were received, KMA prepared in- depth economic analyses of the proposais and then made recommendations on the best offer for the Agency. Agency Board members involved with the Retail-Cinema sub-committee reviewed the detailed analyses prepared by Mr. Kelly. Once the developer, Western Innisfree Ventures, was selected, KMA became an essential resource to staff involved with the negotiations for the Disposition and Devetopment Agreement (DDA). The negotiation process was time intensive and KMA continually analyzed the financial parameters and advised staff accordingly until a DDA was negotiated. As part of their service to the Agency, KMA prepared a"Reuse Valuation Study", which is an analysis of the proposed offer and what the Agency is getting for what it is giving. This report was presented to the public and the Agency Board as part of the DDA approval process. Whv This Amount and This Form of Aqreement� The Agency has typically had what is termed a`not to exceed' agreement with KMA. The agreement has specified a dollar amount, which cannot be exceeded without seeking further Board approval, but staff has assigned the specific services performed under the agreement, as the different projects have evolved. This has provided the ultimate cost control to the Board but has allowed a considerable flexibility to staff to assign the consultanYs services to whatever projects are then most active. Based on the average cost for KMA over the last two years, staff has suggested an additional `not to exceed' cap of $50,000 to provide sufficient funds to essentially keep KMA `on retainer' for whatever projects emerge over the next 6-12 months. It is important to emphasize that under this form of agreement, staff provides KMA with an authorization to expend on a particular activity; and that without such authorization. no funds are spent. Under the first amendment to the agreement, executed on January 14, 2002, the Retail-Cinema project consumed about half of the requested $100,000. The EI Camino project, the Downtown Housing Strategy and the update of the Five- Year Implementation Plan consumed the remainder of the amount in the current budget. What Other Proiects? KMA will complete final feasibility reports for various projects, and assist with the Disposition and Development Agreement negotiations of the EI Camino project. It is very hard to develop typical costs for redevelopment activities. During some periods we have gone for six months without using KMA. This agreement will ensure that the Agency has the services of KMA when the need arises. Page 2 of 3