REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Fred A. Wilson, City Manager
PREPARED BY: Robert Handy, Chief of Police
Subject:
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Approve and authorize execution of a five-year contract for approximately $120,000 annually to administer the False Alarm Reduction Program with PM AM Corporation
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Statement of Issue:
False alarms in the City cause undue stress on Police Department resources making a robust False Alarm Reduction Program necessary to improve staff deployment and cost recovery. Staff recommends this contract based on research demonstrating improved efficiency, operational effectiveness and cost recovery in many other cities utilizing an automated system to manage false alarms. The Finance Commission voted to recommend the contract and the False Alarm Reduction program on January 23, 2019.
Financial Impact:
The City will pay PM AM Corporation twenty percent (20%) of all revenues that PM AM collects in the course of administering the false alarm reduction program. Staff conservatively estimates that revenues for alarm permits and false alarm fines will increase by approximately $200,000 annually, from $400,000 per year to $600,000 per year, based on improved enforcement of HBMC Chapter 5.56. The increase in revenues will offset the additional costs associated with this contract, and should result in a net increase in revenues to the City. These revenues help offset the cost of responding to false alarms.
In order to ensure that there is adequate time provided for technical implementation and for public outreach, the contract will be effective July 1, 2019. Staff estimates that payments to PM AM Corporation will be $120,000 in Fiscal Year 2019/20. Based on a revenue estimate of $600,000 per year, the total estimated amount that will be paid to PM AM each year is $120,000 based on a 20% revenue share. The amount paid to PM AM Corporation over a five-year contract period is $600,00...
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