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HomeMy WebLinkAbout26 - Submissions - Planning & Development Permitting Fee Analysis (2)478.697.7965 matrixcg.net jspires@matrixcg.net From:Josh Spires To:Bozeman Procurement Subject:[EXTERNAL]Planning and Development Permitting Fee Analysis RFP submission - Matrix Consulting Group - Submitted on 2/24/26. Date:Tuesday, February 24, 2026 10:34:39 AM Attachments:Bozeman Development Fee Proposal.pdf CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Good morning, my name is Josh Spires, and I am a Proposal Analyst for Matrix Consulting Group. Attached you will find our proposal submission for the City of Bozeman RFP for the Planning and Development Permitting Fee Analysis. Please let meknow if you have any questions or need any additional information from me at this time. Thank you, -- Josh Spires Proposal Analyst Matrix Consulting Group BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP BOZEMAN, MONTANA PROPOSAL TO CONDUCT A PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS FEBRUARY 25, 2026 BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 0 LETTER OF TRANSMITTAL 1 PROJECT APPROACH AND RELATED EXPERIENCE 2 FIRM PROFILE 11 PROPOSED SCHEDULE 15 COST PROPOSAL 16 AFFIRMATION OF NONDISCRIMINATION 17 TABLE OF CONTENTS BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 1 Rebecca Harbage Deputy Director of Community Development City of Bozeman PO Box 1230 Bozeman, MT 59771-1230 Dear Ms. Harbage, Matrix Consulting Group, Ltd. is pleased to have this opportunity to submit a proposal to conduct a Planning & Development Permitting Fee Analysis for the City of Bozeman. Our proposal is based on our review and understanding of the Informal Request for Proposals (IRFP). Our experience in providing similar services and understanding of the impact and implementation issues faced by jurisdictions comes from work with various clents including Fort Lauderdale, Miami Beach, Alachua, Nassau, and Osceola counties (FL); Raleigh (NC), Rio Grande County (CO), Lewis County and Richland (WA); Bellaire, Dallas, and Garland (TX). Additionally, we are currently working on a parks and recreation fee study for the City of Great Falls, MT. We have a highly skilled and experienced team to work with the City on this project. Our team includes Allyson Brekke, a Bozeman resident and a Manager in our Development Services Practice. Before she joined the firm, she worked for Gallatin County as Deputy Planning Director, and prior to that, she worked for the City of Bozeman, where she became Planning Director. At Matrix Consulting Group, we distinguish ourselves from our competitors through our commitment to delivering unparalleled value. Our staff has a deep understanding of the service-level and process assumptions underlying the cost of service. This dual expertise allows us to provide comprehensive insights and solutions that optimize efficiency and maximize our clients' value. Our proposed project team incorporates this dual expertise with experts from the fields of fee and development services. I am the firm's President, authorized to represent the firm contractually. Courtney Ramos, a senior vice president and leader of the financial services practice, can provide any additional information you may need. She can be reached at the address and phone number below or via email at cramos@matrixcg.net. ALAN D. PENNINGTON President, Matrix Consulting Group, Ltd. 1875 S. Grant Street, Suite 960 San Mateo, CA 94402 650-858-0507 apennington@matrixcg.net www.matrixcg.net BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 2 Our firm’s approach to project management and quality control is grounded in proven practices that strike a balance between technical objectivity and client collaboration. By combining data-driven analysis, interactive engagement, and subject matter expertise, we ensure each project is both accurate and responsive to organizational needs. While every project is unique, each is managed according to: Jurisdiction-specific Data-Driven analysis providing objective, transparent foundations for decision-making. Collaborative Interactions ensure that staff expertise is reflected in process assumptions and that stakeholder input is appropriately recognized. Over 20 years of Technical Expertise relating to regulations associated with cost analysis, development standards, as well as best management practices for cost recovery. Quality Control is paramount, ensured through detailed project planning, defined responsibilities, and regular client reviews. Financial data is validated by tying expenditure data to budget documents and cross-checking metric workloads with published reports. Knowledge Transfer is a critical component of our methodology, ensuring that staff gain a clear understanding of the study’s process, outcomes, and impacts, while also building the capacity to evaluate options and implement recommendations effectively. Our integrated approach combines analytical accuracy with collaborative practices and technical excellence to create a comprehensive framework that delivers trustworthy, fair, transparent, and replicable outcomes, enhances team competencies, and facilitates the smooth translation of study results into actionable implementations—all while adhering to project schedules and budgets. Our approach is designed to integrate seamlessly with existing City operations, minimizing staff burden while ensuring that institutional knowledge, operational nuances, and policy considerations are fully incorporated into the analysis. Transparency and consistent communication are central to our methodology. We establish clear points of contact and maintain regular check-ins to coordinate data needs, confirm assumptions, and review interim findings. At each stage of the project, we meticulously review all information and metrics, with a primary focus on verifying inputs and assumptions before arriving at any final conclusions. This structured, iterative review process allows City staff to provide timely feedback and ensures alignment with current operations and expectations. While our team will take primary responsibility for data collection, validation, and cleanup, we view City staff as essential partners in confirming operational realities and interpreting results. Draft analyses, cost allocations, fee calculations, and fully burdened hourly rates will be shared for review to verify accuracy and practicality before finalization. This collaborative approach not only strengthens the integrity of the final deliverables but also ensures that the results are readily understood and defensible. PROJECT APPROACH AND RELATED EXPERIENCE BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 3 Finally, our services are designed for long-term usability. We provide clear documentation, editable Excel- based models, and knowledge transfer throughout the engagement so that City staff can readily update assumptions, costs, and fees as conditions change. By integrating our team into the City’s existing workflows and prioritizing communication, verification, and capacity-building, we ensure that the project outcomes are both technically sound and operationally sustainable. WORK PLAN Below are descriptions of the tasks, including deliverables, we will complete to develop a Planning and Development Services fee study for the City. TASK 1: STUDY OBJECTIVES AND PROJECT SCHEDULE The project team will meet with staff to discuss issues identified by the project team and to clarify any concerns the City has regarding the current fee study methodology. Discussions will include: • Review of the City’s specific needs and critical issues surrounding the development and implementation of the fee study. • Opportunities for improvement and restructuring of previous studies and/or review and discussion of existing methodologies and calculations. • Discussion of concerns or issues that should be addressed during the study. After the meeting, the project team and the designated City staff will have a better understanding of the overall approach and methodology the team will use to conduct the study. TASK 2: DATA COLLECTION After the kickoff meeting, Matrix Consulting Group will provide the City with a list of initial data requirements for the study. This will allow our project team to review this information thoroughly in preparation for initial discussions with staff. A typical list of data collection items includes: • Current fiscal year adopted budget. • List of all budgeted personnel by program. • A list of all current fees being charged will be included in the analysis. • List of comparative jurisdictions for the fee survey. • Last fiscal year revenue reports for fees or services. • Volume or workload metrics for all fees included in the analysis. • Copy of any previous fee studies or analyses. TASK RESULT We will present the City with a project schedule. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 4 The above list is just a sampling of the type of information that will be requested. Providing these items allows our project team to familiarize itself with the City’s structure and current financial practices. TASK 3: DEVELOP A SCHEDULE OF CURRENT AND POTENTIAL FEES FOR SERVICE The scope of this effort will be all planning-related fees charged by the City. When reviewing planning- related fees, it is important to consider alternative fee structures and current best practices. When reviewing these types of fees, we look at things such as: • Deposit-based fees vs. project-based • Hourly or flat rate • Cross-departmental support • Direct material costs (postage, software, etc.) It is important to note that this meeting occurs first to ensure that any major proposed structural changes are captured before collecting time estimate information or developing draft fee results. However, adjustments can be made throughout the study. TASK 4: CONDUCT TIME DATA GATHERING WORKSHOPS The project team will conduct workshops to gather time estimates for each service included in the study, interview key City personnel, and analyze the various activities. The flowchart shows an example of the steps involved in permit processing and the time associated with each step As shown in the flowchart, the application/permit processing steps will be documented in detail. Staff will be provided time to edit or comment on the time estimate information. Intake Planning Tech: 15 mins Routing Planning Tech: 10 mins Initial Review Planner: 1 hour Final Review Planner: 30 mins Issue Permit Planning Tech: 15 mins TASK RESULT We will provide the City a data collection list. TASK RESULT Our team will develop a proposed fee structure. TASK RESULT We will create time estimate workbooks. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 5 TASK 5: DEVELOP FULLY BURDENED HOURLY RATES Based on the City's staffing and budget information, the project team will calculate fully burdened hourly rates, including direct and indirect costs. The following points highlight the cost components and factors included in fully burdened rates: • Direct costs: This component accounts for the salary and benefits associated with each employee or position and is reflected in City staffing and salary reports. • Indirect costs—departmental: This component accounts for administrative and management support provided to line-level staff, operational services, and supplies used to execute job duties. It is developed through staff interviews and budget analysis. • Indirect costs—citywide: This component accounts for citywide support, such as Finance and HR support provided by other departments or staff. If no indirect rate is available, the project team will calculate one. Once the cost components have been documented and developed, the project team will review the MOUs and discuss them with staff to determine appropriate productive-hour calculations. Focusing on available hours will ensure that fully burdened hourly rates account for leave accruals (holiday, vacation, and sick) and any meetings or training. The project team will utilize the results of this task and Task 4 to calculate the full cost of services. TASK 6: PERFORM A TOTAL COST ANALYSIS Matrix Consulting Group's costing model is built based on the City’s operations, budget detail and intended uses for the results. This method is a customized approach specific to each jurisdiction for cost analysis of user fee services. It is a "bottom-up" approach, the most defensible methodology for calculating user fees. The methodology incorporates the time estimate information and fully burdened hourly rate information. The following graphic shows the cost calculation: This costing method uses time and annual activity data to establish the cost of providing services on a unit and annual basis. Once the time spent on a fee activity is determined for each individual or position, the team uses its fee and rate software to apply the fully burdened hourly rates calculated before. Time Estimate Fully Burdene d Rate Full Cost Fee TASK RESULT Calculated fully burdened hourly rates. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 6 The resulting costs are presented at the unit level and compared with the existing fee schedule. The City will obtain detailed information regarding cost recovery surpluses and deficits at a per unit level. TASK 7: CONDUCT A COMPARATIVE SURVEY OF SIMILAR JURISDICTIONS The project team will work with City staff to review comparable information from Belgrade, Billings, Kalispell, Missoula, Whitefish, and two mid-size jurisdictions outside of Montana. This survey activity will be conducted utilizing the following: • Developing fee scenarios for the City to compare with other jurisdictions. • Collecting contextual information such as population size, budget, staffing, the last time a fee study was done, and the last fee schedule update. As market surveys do not adequately inform about the relationship between a jurisdiction's costs and fees, these steps ensure we provide the City with the most information possible. TASK 8: REVIEW/REVISE FEE STUDY RESULTS Because the analysis of service fees is based on data and estimates provided by City staff, all participants must be comfortable with our methodology and with the data they have provided. TASK 9: PREPARE A DRAFT FEE STUDY REPORT Upon conclusion of the fee study, we will prepare a detailed report summarizing the results of each of the previous work tasks described above. This report will include: • A succinct executive summary discussing the study, methodology, and results. • A narrative describing the services included in the study. • A section on proposed modifications to the current fee schedule. • The analysis includes a section on per-unit and annual results, and where workload data is available. TASK RESULT Draft Results Workbooks. TASK RESULT Comparative graphs included in the draft report. TASK RESULT Revised draft results workbooks. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 7 • A comparative survey section outlines key fees and compares them to those of other local jurisdictions. The draft report will be provided to City staff for review and comments. The draft report will be provided to City staff for review and comment. TASK 10: FINALIZE FEE STUDY REPORT Any edits or revisions to the draft user fee study report will be incorporated into the finalized report. This finalized report will include all draft elements of the fee study report, as well as any additional cost recovery and policy considerations. TASK 11: PRESENTATION OF RESULTS Presenting results to City officials and/or stakeholders is critical to the success of the engagement as a whole. Because the study's product is often controversial, this final step aims to present a succinct summary that provides decision-makers with key information. STUDY METHODOLOGY Matrix Consulting Group employs a comprehensive, collaborative approach to fee studies that prioritizes accuracy, defensibility, and practical implementation. Our methodology relies on thorough data analysis, extensive staff engagement, meaningful comparative research, and rigorous cost calculations that reflect the true cost of service delivery. Our methods include: • Data Collection: We begin by requesting comprehensive information before initial meetings, including budgets, personnel lists, existing fee schedules, revenue reports, workload metrics, and previous studies. This upfront collection ensures our team is prepared for productive discussions with staff. • Staff Engagement: We employ a collaborative approach, including initial meetings, data-gathering workshops, detailed line-item review sessions, and final review sessions. This iterative process ensures the study reflects operational realities and incorporates staff expertise at every stage. TASK RESULT The draft report will be provided to City staff for comments. TASK RESULT We will develop a final fee study report. TASK RESULT Presentation(s) at City Commission in Late Summer / early fall. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 8 • Alternative Approaches: We will determine whether the City’s current bundled approach is the best option for cost recovery, or whether other alternative structures can be explored to allow for greater cost recovery, such as separate fees for separate services or higher minimum deposits. • Comparative Research: We work with our clients to identify truly comparable jurisdictions and develop specific fee scenarios for accurate comparison. Our surveys collect contextual information, including population, budget, and staffing, presented visually alongside our cost analysis. • Fee Analysis: We utilize a defensible "bottom-up" costing methodology that calculates fully burdened hourly rates, incorporating direct and indirect costs, analyzes total costs using our proprietary model, and provides a comprehensive cost recovery analysis comparing costs to fees at the per-unit level. This integrated methodology ensures transparency, defensibility, and accuracy while providing our clients with the detailed information needed to make informed policy decisions about their fee structures. RELEVANT EXPERIENCE The following table includes a sample of clients for whom we have provided fee analyses for development review over the last 5 years, demonstrating our ability to develop fee analyses nationally. Jurisdiction Planning Fees Building Fees Engineering Fees Env. Fees Fire Fees Alachua County, FL X X X Allentown, PA X X X X Arcadia Lake, OK Asheville, NC X X X Austin, TX X X Bellaire, TX X X X X Cape Coral, FL X X X Champaign, IL X X X Denton, TX X X X Detroit, MI X X Fort Lauderdale, FL X Hazelton, PA X X X X Kissimmee, FL X X Lane County, OR Napa County, CA Raleigh, NC X X X Rockville, MD X X X X Sammamish, WA X X Snohomish, WA X Sparks, NV X Sunrise, FL X The following are project references for clients for whom similar service scopes were provided. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 9 GREELEY, CO Fee Study Evaluation Zachary Bray Senior Budget Analyst (970) 336-4086 Zach.Bray@greeleygov.com The City of Greeley had conducted an external evaluation of its planning and development fees; however, the Finance department wanted to ensure that this evaluation incorporated all cost components. In our review, we determined that key overhead or indirect components, such as services, supplies, departmental, and citywide overhead had been excluded. As such, the analysis had downplayed the level of cost recovery associated with development services. The project team provided recommendations to staff to allow for greater cost recovery. This project was completed in 2025. SAMMAMISH, WA Environmental Health Fee Study Miryam Laytner Planning Manager (425) 296-0623 mlaytner@sammamish.us For this project, the project team worked with Development Services Staff to capture all direct and indirect costs associated with fee-related services, including capturing the costs associated with the permitting center. Fee results were provided on a per unit and annual basis. Fee structures were updated to better capture all fees provided. At the culmination of the project, an excel-based model was provided for annual fee updates. This project was completed in 2022. RALEIGH, NC Development Services Fee Study Noah Wike Fiscal Analyst (919) 996-2180 Noah.wike@raleighnc.gov Matrix Consulting Group worked with the City of Raleigh to develop a comprehensive, activity-based fee model for their Planning and Development Department. Our project team reviewed and recommended improvements to the City's fee assessment practices and financial accounting structures to ensure alignment with best practices and state regulations, including streamlining the fee structure for valuation-based fees to be based on percentage of valuation from 9 tiers to 3 tiers. We have continued to support the City in its implementation efforts, while they phased their transition to the new fee model and provided an update which was completed in 2025. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 10 KENMORE, WA Planning and Development Fee Study Samantha Loyuk Development Services Director (425) 984-6162 sloyuk@kenmorewa.gov The Matrix Consulting Group worked with the City of Kenmore’s Development Services’ Department to review all fees for service for Building, Zoning, and Engineering. Key findings from this analysis was that while permit fees generally recovered costs, plan review fee was low, and the City needed to right size that fee to account for the increased review times associated with code changes. Additionally, the goal of this analysis was to appropriately account for permit support. This project was completed in 2025. MONTEREY COUNTY, CA Planning and Development Fee Study Lori Woodle Finance Manager (831) 759-6682 woodlela@countyofmonterey.gov The project team worked with the County of Monterey’s Housing & Community Development department to evaluate building, planning, engineering, and environmental review fees. A key component of this analysis was to ensure that all staff time spent on fee-related activities were accounted for in the base fee. We also worked with the Planning division to clearly delineate deposit-based fees vs. flat rate work. The results of this analysis were presented and adopted by the Board. This project was completed in 2025 with board adoption in 2026. All of these projects involved our core project team and demonstrate that we can work across different legal and regulatory environments to calculate the most defensible fees for services related to development. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 11 Matrix Consulting Group, Ltd. is a management consulting firm that provides quality analytical assistance to local and state governments. Our history and composition are summarized below: • Our headquarters are in California (with headquarters in San Mateo and a satellite office in Irvine). While based in California, we are registered to conduct business in Montana and we have an office in Bozeman. • We are comprised of 32 full-time and seven part-time management consultants who specialize in analyzing local government functions across the entire spectrum of operational areas. We have a dedicated team of financial services professionals. • Since our founding over 24 years ago, we have worked with more than 2,000 government agencies, conducting cost-of-service and management studies and providing recommendations for operational improvements and cost recovery. The market and service focus of Matrix Consulting Group has always been financial, management, staffing, and operations analysis of local government. The following outlines the core financial services provided by our firm: Full Cost Plans User Fee Studies OMB 2 CFR Part 200 Cost Plans Development Impact Fee Studies Indirect Cost Rate Proposals Fully Burdened Hourly Rates Internal Service Fund Analyses Revenue Projections & Financial Sustainability No other firm understands how public agencies operate or how to help them thrive better. PROJECT TEAM Our firm has worked with local governments for over 24 years, providing cost-of-service and organizational and operational analyses. The following chart outlines the project team. The following table provides summaries of the experience of our proposed project team, including the types and years of experience, recent clients, and project roles. Khushboo Ingle Vice President Project Manager Jaymee Westover Senior Consultant Analyst Allyson Brekke, Manager Technical Analyst Anna Barnett Consultant Analyst FIRM PROFILE BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 12 Khushboo Ingle Vice President Ms. Ingle is a Vice President with 13 years of experience who manages cost allocation plans, user fees, development impact fees, and cost of service engagements. Her experience with the firm includes participation in operational audit engagements focusing on organization, staffing, and internal processes. Khushboo has completed over 200 costs of service studies. Ms. Ingle has served as the project manager for a multitude of our clients, including Alachua County (FL), Fort Lauderdale (FL), Allentown (PA), Raleigh (NC), Austin (TX), Bellaire (TX), Kenmore, Sammamish, Richland (WA), Palo Alto, Menifee, Monterey County, and South San Franscisco (CA). Khushboo received a B.A. in International Economics and an M.A. in International Affairs from the University of California – San Diego and is certified in Revenue Enhancement Best Practices. Her role on this project would be to serve as the Project Manager, involved in leading meetings, developing draft results, and reviewing results. Allyson Brekke, AICP Manager Allyson Brekke is in the firm’s Community Development Practice, with specialty knowledge in development review process improvement, historic preservation, grant management and community relations. She is a resident of the City of Bozeman and serves on the Executive Committee of the Montana Association of Planners as the Professional Development Officer. Allyson worked for the City of Bozeman between 2003–2016 and was the Planning Director when she left. She has over 20 years of relevant experience, and during her tenure with the firm so far, she has assisted with multiple studies across the United States including: El Monte and Napa (CA), Boston (MA), Royal Oak (MI), Jefferson City MO), Raleigh (NC), Anacortes and Redmond (WA). Allyson has a MCP in City Planning form the University of Pennsylvania and a BA in Historic Preservation from the University of Mary Washington. Her role on this project would be to serve as a Technical Analyst, providing support in ensuring Montana specific regulation interpretation and development services best practices and industry trends support. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 13 Jaymee Westover Senior Consultant Ms. Westover is an analyst who assists our senior staff on cost allocation plans, user fees, development impact fees, and cost of service engagements. Before working at Matrix Consulting Group, she worked as a Financial Analyst for the City of Knoxville, TN. She has four years of relevant experience, and during her tenure with the firm, she has assisted with fee studies across the United States including: Alachua County (FL), Kenmore (WA), Monterey County (CA), and Raleigh (NC). Jaymee received a B.A. in Political Science and Spanish and an MPPA in Public Policy and Administration from the University of Tennessee, Knoxville. Her role on this project would be to serve as an Analyst, involved in leading meetings, data input, and reviewing models. Anna Barnett Consultant Ms. Barnett is an analyst who assists our staff on cost-of-service engagements, including cost allocation plans, user fees, and development impact fee studies. Anna has recently assisted with projects in Alachua County (FL), Kenmore and Richland (WA), Raleigh (NC), Palo Alto and Glendale (CA). Anna has a B.A. in Mathematics with a concentration in Data Science and a BS in Economics from Wofford College in Spartanburg, South Carolina. Her role on this project would be to serve as an Analyst, involved in attending meetings, data input, and model development. If requested, we are happy to expand upon any of our project team members’ experience. PLANNING AND DEVELOPMENT FEE STUDY EXPERIENCE Our firm has extensive experience conducting Planning and Development user fee studies for municipalities. From the basic process steps for submitting, reviewing, inspecting, and approving applications and permits to the development of processes, procedures, and cost recovery goals, our project teams can address topics such as: v Any additional fees needed on the fee schedule, and methods to simplify and streamline fees. v The costs and benefits associated with deposits and flat fees. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 14 v Setting fees at levels that both recover costs and are not cost-prohibitive. v The process changes associated with moving to digital workflows. v The appropriate use of incentives to achieve goals such as increased affordable housing. v The legal requirements associated with setting and administering user fees. v Cost recovery and implementation options for support services, including long-range planning, Technology Fees, GIS, and other related services. v Financial policy development, including update frequency for fee studies, annual update procedures, and reserve requirements. Beyond understanding processes and assessing time estimates, our project teams are aware of the cross-departmental support associated with application and permit services. These costs are included in the full cost calculation and can be expressed separately as part of the established fees. PLANNING AND DEVELOPMENT OPERATIONAL ANALYSIS EXPERIENCE Since our founding, our firm has extensive experience in conducting staffing, organizational, and operational assessments of planning and development services. Our experience includes: v End-to-end evaluation of permit center operations to improve opportunities for coordination, customer service, and turnaround time. v Clarification of roles and responsibilities in the development review process, including appropriate timing for handoff v Review of municipal codes and conducting updates as needed to align with new processes v Analysis of workload and turnaround times to understand existing staffing needs v Identification of training enhancements and opportunities to improve review times v Audited permit and entitlement applications to identify recurring deficiencies and improve review consistency. This experience allows us to understand development services from a broader perspective than just a financial one and to incorporate this baseline understanding into our conversations with staff and final recommendations. MONTANA AND BOZEMAN EXPERIENCE Our technical analyst, Allyson Brekke, is a Bozeman resident and currently serves on the Executive Committee of the Montana Association of Planners as the Professional Development Officer. Prior to that, she worked for Gallatin County as Deputy Planning Director and prior to that she worked with Bozeman, .leaving ss Planning Director. Additionally, we are currently working on a parks and recreation fee study for the City of Great Falls, MT. BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 15 This project is anticipated to take approximately four (4) months to complete. We usually ask for two (2) weeks from notice to proceed or official award notification to commence the project. For each task referenced in our proposed scope of work, we have identified the proposed week(s) within the five-month period during which the task will be completed. Project Tasks 1 2 3 4 4+ Study Objectives and Project Schedule Data Collection Current and Potential Fee Structure Time Data Gathering Workshops Fully Burdened Hourly Rates Total Cost Analysis Comparative Survey Review and Revise Results Draft Fee Study Report Final Fee Study Report Presentations The City anticipates commencing the project in April, with a four month timeline that would result in draft results being available for review approximately June / July 2026. This would allow for finalization of information in August / September 2026. All proposed timelines can be adjusted based on City staff priorities and in accordance with City preferences and timelines. Presentations to City Commissions will be provided after the final reports are complete. PROPOSED SCHEDULE BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 16 Matrix Consulting Group will conduct a Planning and Development Services fee analysis for the City of Bozeman for a fixed fee of $20,500. The following table provides our proposed cost to conduct the study, listing the time allocations and hourly rates for each staff category: Task Project Manager Analysts Total Cost Study Objectives and Project Schedule 2 2 $800 Data Collection 0 2 $300 Current and Potential Fee Structure Schedule 2 2 $800 Time Data Gathering Workshops 2 4 $1,100 Fully Burdened Hourly Rates 2 8 $1,700 Total Cost Analysis 6 32 $6,300 Comparative Survey 0 16 $2,400 Review and Revise Results 2 4 $1,100 Draft Fee Study Report 6 10 $3,000 Final Fee Study Report 2 6 $1,400 Presentations 4 4 $1,600 Total Hours 28 90 Hourly Rate $250 $150 Total Professional Fees $7,000 $13,500 $20,500 This cost is an all-inclusive, fixed fee that covers any costs that may occur, assuming meetings and presentations are virtual. Our typical practice is to bill for hours worked monthly up to the contract amount. Matrix Consulting Group is committed to helping our clients develop accurate and defensible cost-of- service methodologies and ensure that they can appropriately implement the results of these studies. Our project team will work with City staff to facilitate an understanding of the results and how to incorporate them into final materials. Our client support continues after a final report has been issued. We understand that questions can arise well after project completion and are committed to working with our clients to answer any questions about methodologies and applications of results. This support is provided to our clients at no extra cost. COST PROPOSAL BOZEMAN, MT – PLANNING AND DEVELOPMENT PERMITTING FEE ANALYSIS MATRIX CONSULTING GROUP 17 AFFIRMATION OF NONDISCRIMINATION