Public Sector Services

RMD Financial Corporation's Public Sector clients are provided with a broad range of management consulting services and related products. Our clients benefit from the management and computer expertise that RMD's management team offers.

Synopsis of Recent Projects

Operational, Financial, and Management Analysis

The Public Works Division and City Council were concerned about the way the Denver Center For The Performing Arts garage was being operated. RMD completed a detail operational, management, transactional, and financial analysis of the garage facility and its management. We completed the project and were engaged to assist Public Works in the structuring of an RFP and an analysis of the bidders.

Employee Attitude Survey

RMD designed, and administrated an in-depth 85 question employee survey for the City and County of Denver. The purpose of the survey was to determine general attitudes and beliefs, role clarity, problem solving techniques and other organizational characteristics of the City. RMD reported the survey results to the Mayor's Office, senior management of the City and the Denver City Council.

Colorado School Systems Asset Acquisition Policy and Procedures

Denver's Public Schools Board Of Directors decided that the school system needed to establish a new asset acquisition policy and procedures manual as a result of a "financial structure analysis" we completed for them. RMD subsequently was engaged to survey other major Colorado school system's asset acquisition policy and procedures to assist DPS' Board Of Directors in their effort to develop a new asset acquisition policy. RMD was also engaged to develop and implement the new policy and procedures for the school system. DPS continues to acquire assets based on the policy and procedures recommended by our firm.

Survey of Municipal Golf Courses Nationally

The Parks Department of The City of Denver requested that we complete an in-depth national survey of golf courses to develop the City's future guidelines for negotiation golf course concessions. We completed an in-depth financial and management analysis of five bidders who were competing for the Overland Golf Course concession. We ranked each vender in several different ways. The City's internal selection process was not affected by our analysis because our role was to evaluate and rank the bidders for the management of the City.

NFL Survey, Request for Proposals Structuring and Analysis

The management at Denver's Mile High Stadium (MHS) requested that we complete a national survey of NFL teams and stadium management to develop the City's parameters for negotiation of food and beverage concessions at MHS. RMD designed, administered, analyzed the national survey and presented the results to the City. We also completed an in depth financial and management analysis of five bidders who were competing for the MHS food and beverage concession. The City's internal selection process was not affected by our analysis because our role was to evaluate and rank the bidders for the management of the City.

Lease Transaction Analysis

Denver Public Schools requested that RMD complete an analysis of the school system's financial transactions in-order to determine the school system's "true cost of equipment." The school system restructured several major transactions and reduced its capital equipment cost by $1,500,000.

Preliminary Financial Analysis

The General Services Division of The City and County of Denver hired RMD to determine whether a janitorial bidder had the financial and management capacity to be successful at Mile High Stadium. A major element of the project included an evaluation of the bidder's cost and expense structures. We presented our conclusions to both City management and City Council.

Industry Specific RFP Structuring

The public sector's ability to solicit competitive and economically sound bids often depend on the agency's in house expertise and technical support from one or more bidders. The public sector's reliance on the expertise of competitors has and continues to create major creditability and competition conflicts. Public sector agencies are now avoiding these problems by engaging "industry specific RFP structuring firms." RMD Financial Corporation has established itself as an industry leader in this very specialized segment of the financial consulting market. We have structured RFPs for public sector agencies that control over 35% of Colorado's local public sector dollars.

Developed Concept Paper

The Office of Employee Assistance of the City of Denver requested that we develop a "concept paper" and "request for proposal" based on a citywide training program on conflict management and violence in the workplace. We completed the project and management is planning to start training city employees before year end 1995.

Bid and Proposal Analyses

The General Services Administration of Denver was concerned about the way its Purchasing Committee awarded a winning bid on the City of Denver Telecommunications Bid #431195/96 and requested RMD's input. RMD agreed to conduct an in-depth financial analysis of the three bidding vendors. We completed an analysis of each bidder and ranked each vendor in several different ways.

Structured Lease Transaction

Denver's purchasing department and DIA's management engaged RMD to complete a financial analysis of a proposed lease transaction on a fleet of buses at DIA. RMD agreed to conduct an in-depth financial analysis of the bus fleet transaction and recommended an appropriate financial structure.

Asset Acquisition Cost Analysis

The public sector invests substantial dollars in the acquisition of operating equipment (computers, copiers, vehicles, communications and video product) that is acquired via lease and/or finance options. Such lease or finance vehicles include funding costs that are considered high by the public sector. Hence, the public sector's "asset acquisition cost" for such operating equipment is high. We conducted an analysis for a public sector agency that was paying 16.75% to acquire a fleet of vehicles (purchase price $1,000,000) at a time when the agency's "tax exempt" cost of funds was 5.65%. We re structured the lease/finance transaction and reduced the agency's funding cost by 65%, on that transaction. Simply stated, we provide public sector administrators with the financial expertise to negotiate the most financially sound acquisition structure possible. We can assist administrators as they negotiate the purchase of new equipment or restructure existing lease or finance transactions.

Mile High Stadium Operational and Management Evaluation

The City of Denver engaged RMD to assist in determining the economic benefits, if any, in the City privatizing the management of Mile High Stadium (MHS).  We completed a feasibility study of the stadiums management, operation, and capital structures to determine the economic feasibility of out-sourcing all activities at MHS.  We completed the study and recommended that the City “not privatize” MHS.  The City did not privatize MHS.  MHS has an operating budget of $9 million, controls $125 million in City assets, and employs 350 people.

City Golf Course System Operational and Management Evaluation

The Golf Department of the City of Denver requested that we complete an in-depth operational and management evaluation of its golf course system.  The objective was to determine if it was economically feasible for the City to continue out-sourcing golf course concessions.  The Golf Departments leased and owned equipment list includes trucks, pickups, vans, mowers, welders, compressors and other small equipment.  We completed an in-depth financial, operational, and management analyses of the City’s golf course system.  We also helped to develop operational and vendor performance standards that resulted in annual revenues increasing by $1.2 million or 13%.  The Golf Department of the City of Denver has an operating budget of $8.9 million controls $10 million, in City assets and employs 150 people.

DIA Fleet Proposal Analysis

Denver’s Purchasing Department and DIA’s management engaged RMD to complete a financial analysis of the proposers seeking to provide a fleet of buses at DIA.  RMD conducted an in-depth financial analysis of the bus fleet proposals and recommended an appropriate financial structure.  According to its $230,000 annual contract the selected bidder was responsible for transportation and communications equipment, computers and software systems, and maintained a parts inventory of $15,000.

Telecommunications Proposal Analysis

Because the General Services Administration of Denver was concerned about the way its Purchasing Committee awarded a winning bid on the City of Denver Telecommunications Bid #4311-95/96, RMD agreed to conduct an in-depth financial analysis of the three bidding vendors.  We completed an in-depth financial and management analyses of each bidder and ranked each vendor in several different ways.  The selected bidder was responsible for all City-owned communications equipment, computers and software systems, and maintained a parts inventory of $125,000 pursuant to its $1.4 million annual contract.  The City's internal selection process was not affected by our analysis because our role was to evaluate and rank the bidders for the management of the City.

Colorado School Systems Survey

Denver's Public Schools Board of Directors decided that the school system needed to establish a new asset acquisition policy and procedures manual as a result of a “financial structure analysis” we completed for them.  RMD subsequently was engaged to survey other major Colorado school systems asset acquisition policy and procedures to assist DPS’ Board of Directors in their effort to develop a new asset acquisition policy.  RMD was also engaged to develop and implement the new MBE/WBE policy and procedures for the school system.  DPS continues to acquire assets based on the policy and procedures recommended by our firm.

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