REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Dahle Bulosan, Chief Financial Officer
Subject:
title
Approve and authorize execution of Amendment No. 1 to the Services Agreement with Turbo Data Systems, Inc. for parking citation payment processing services extending the term to September 1, 2021
body
Statement of Issue:
City Council approval is requested to amend the service agreement with Turbo Data Systems, Inc., for parking citation payment processing services for one year through September 1, 2021.
Financial Impact:
No fiscal impact. Appropriations are included in the FY 2020/2021 budget in Business Unit 10035209.69505. Amendment is for the extension of time only. No additional contract dollars are included in this amendment.
Recommended Action:
recommendation
Approve and authorize the Mayor and City Clerk to execute the “Amendment No. 1 to Service Agreement Between the City of Huntington Beach and Turbo Data Systems, Inc. for Parking Citation Payment Processing Services.”
end
Alternative Action(s):
Do not approve the recommended action and direct staff accordingly.
Analysis:
The City of Huntington Beach has maintained an external contractor to perform the citywide processing of all parking citations since 1992. At the end of 2010, the contract was expanded to include adjudication processing and hearing examiner services. In 2012, Turbo Data Systems assumed responsibility for collection of past due parking citations from our third party collection agency.
The Huntington Beach Police Department invested in an upgrade of equipment provided by Turbo Data Systems for issuing and transmitting parking citation data. This technology is proprietary and 16 handheld units would need to be replaced if the contract was not extended.
Five years ago, the Huntington Beach Police Department expressed their desire to continue working with Turbo Data Systems based on their client interface, level of expertise in the industry, and their ability to utilize existing equipment. Based on those factors, the City was able to enter into an interagency agreement with the City of Anaheim, who had the best pricing and the most recent contract awarded with Turbo Data Systems. The City of Anaheim’s current contract will not expire until 2021. The terms of the original contract resulted in a monthly savings of over $10,000. The City’s original contract with Turbo Data Systems was for an amount not to exceed $1.3 million over five years. Staff recommends extending this contract by one year to continue utilizing the interagency best pricing established as part of the original agreement.
City Council authorization is requested to amend the existing services agreement to extend the agreement for one year to September 1, 2021. No additional contract dollars are required for the amendment. The Huntington Beach Police Department desires to continue utilizing Turbo Data Systems for another year. The Turbo Data Systems agreement also provides for Franchise Tax Board delinquent collection processing fees, supplies, and postage increases. Additionally, Turbo Data Systems has the ability to collect in all 50 states in the U.S., resulting in higher collection rates on the increasingly diverse population of visitors coming to Huntington Beach as a destination city.
Environmental Status:
Not applicable.
Strategic Plan Goal:
Enhance and modernize public safety service delivery
Attachment(s):
1. Amendment No. 1 to Service Agreement Between the City of Huntington Beach and Turbo Data Systems, Inc., for Parking Citation Payment Processing Services
2. Certificate of Insurance
3. Original Service Agreement Between the City of Huntington Beach and Turbo Data Systems, Inc., for Parking Citation Payment Processing Services