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6.18 Page 29 2. Child Care Demand Analysis for Surrounding Residential Neighborhood This analysis would be designed to link and quantify the demand for childcare associated with the residents in the surrounding neighborhood. KMA would work with City staff to identify the neighborhood boundaries for purposes of the analysis. For population and demographic information about the neighborhood, the US Census would be used and updated as necessary for significant residential construction that has occurred since the year 2000. National and state surveys adjusted for neighborhood demographics will be used to quantify demand for new child care spaces generated by residents of the neighborhood, by the age of the children and the types of childcare demanded. The conclusions of this analysis with respect to demand for child care center spaces may be aggregated with the project generated demand to determine total demand for a child care center located in the project area. 3. Child Care Center Demand and Supply Evaluation (Optional/Not Included in RFP) In this task, KMA will assess the balance between the demand for, and the supply of, chifd care spaces in Redwood City by age group. KMA will analyze the impact of the new demand generated by the Project on the existing demand/supply equation. KMA will also determine whether the existing supply is sufficient to meet the needs of the surrounding neighborhood. KMA anticipates working with City staffJ including the Child Care Coordinator, to gather local data on the child care industry for this task, as well as evaluating any input Stanford may have on this subject. Product: Draft technical memorandum, featuring graphics and tables. Upon completion of all tasks, the memorandum will be incorporated into a final report. E. Housing Impact Analysis 1. Housing Needs Analysis - by Affordability Level KMA will prepare a housing needs analysis that will quantify, by affordability level, the housing demand associated with the proposed Project. KMA has prepared similar analyses for medical facilities in the cities of San Carlos, Menlo Park and Palo Alto (also a Stanford University project), as well as for housing nexus fee studies in many cities. Roughly fifteen years ago, KMA developed a proprietary model to perform the nexus analysis and allocate households into affordability levers using local, state and federal data sources. KMA has refined the model over the years and now has considerable experience adapting the model to specific projects with data supplied by the project applicant as available. KMA is able to perform the anafysis with data from the federal government regarding the distribution of jobs by occupation, linked to recent San Mateo County compensation levels and Keyser Marston Associates, tnc. \\Sf-fs1\wp\99\99900\900b-851 to 900\900b-865 Rev.doc Page 13 January 2009