TO:
Honorable Mayor and Members of the City Council
THROUGH:
Mark Danaj, City Manager
FROM:
Bruce Moe, Finance Director
Steve S. Charelian, Revenue Services Manager
Gwen Eng, Purchasing Manager
SUBJECT:Title
Contract with Turbo Data Systems, Inc. for Parking Citation Processing for an Estimated Annual Amount of $135,000 (Finance Director Moe).
WAIVE FORMAL BIDDING; APPROVE
Line
_________________________________________________________
Recommended Action
RECOMMENDATION:
Staff recommends that the City Council waive formal bidding per Municipal Code Section 2.36.150 (cooperative purchasing) and approve a parking citation processing contract with Turbo Data Systems, Inc. for an estimated annual amount of $135,000.
FISCAL IMPLICATIONS:
The annual estimated value of the contract is $135,000. This is based on annual volume of 65,000 citations. In the event citation volume exceeds this threshold, the actual amount paid to Turbo Data Systems may exceed $135,000. However, this would also result in higher citation revenue to the City.
The City currently contracts with Turbo Data for citation processing, with current annual costs of $150,000. As a result of this new contract, and assuming like citation volume, the City will realize estimated annual savings of $15,000.
The City receives approximately $2.8 million in revenue annually from parking citations.
Sufficient funds are budgeted in the fiscal year (FY) 2015-2016 Finance Department budget for these services. Future annual costs will be budgeted accordingly.
BACKGROUND:
In 2006, the City Council approved outsourcing parking citation processing, and contracted with Turbo Data Systems, Inc. for that service. Outsourcing was determined to be the best method of processing and collecting parking citations due to the need to maintain certain technologies, as well as to achieving maximum efficiencies (see Attachment 2 for original staff report from 2006). Turbo Data Systems handle...
Click here for full text