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SR-6-R (12) 6-R FD:CMD:RB:DS:br/conturbo.word.pobas Council Meeting: March 23, 1993 Santa Monlcat Callfornia ~/:~ . p.- '. I iJc., 5 .. I~ V }J;}j TO: Mayor and City Councll FROM: city staff SUBJECT: Recommendatlon to Authorize the City Manager to Negotiate and Execute a Contract with Turbo Data systems, Inc. for Parklng citatlon Processing and Payment Recelpt SerVlces INTRODueTION This report recommends that the City Council authorize the city Manager to negotiate and execute a flve-year contract with Turbo Data Systems, Inc. for parklng citation processing and payment recelpt services. BACKGROUND In an effort to reduce parklng citation processlng costs and to contract out payment receipt serVlces currently belng performed by the city, a Request for Proposal (RFP) for these services was lssued. The RFP was sent to nlne flrms and seven flrrns submltted proposals. Of the respondlng flrms, two were ellminated as thelr proposed fees were substantlally higher than the other proposers, and one flrm was eliminated as it had ceased operatlons. EVALUATION OF FINALIST FIRMS The four flnallst flrms were: Turbo Data Systems, Inc.t Enforce- ment Technology, Inc., Lockheed Informatlon Management Services, and the City of Inglewood. 6-1? - 1 - M..1~~ I "'Iii It.. ~ :- - -.. .-~ !J....;J The evaluatIon process consIsted of a thorough reVIew of pro- posals, vendor intervIews and on-site InspectIons of vendor facIll tIes and work systems. The evaluatIon team conslsted of representatives from the city Manager's OffIce, Finance Department and the PolIce Department. At the end of the evaluatlon process, each evaluatIon team member independently rated each fInalIst on thirteen evaluation crIteria ranglng from cost of the various serVIces to be provided, quality of services provIded to the public, and effectiveness of payment receipt procedures. Each of the thirteen criteria were weighted to reflect ItS relatIve Importance to the CIty. Turbo Data Systems, Inc. receIved the highest overall evaluatlon score. Selection of this vendor, who currently processes parking cltatlons for the Cities of Santa Monica, Beverly Hills and West Hollywood, wIll enable the CIty to contInue eXIsting procedures for cooperatIve processing of scofflaws (I.e. vIolators with fIve or more vIolatIons) v-ll th these cities. Contracting with Turbo Data Systems, Inc. will also facilitate a trl-clty cooperatIve effort to Implement the new parkIng CItatIon administrative hearIng process required by state law to be implemented by July 1, 1993. - 2 - FINANCIAL AND BUDGET IMPACT The eXlstlng cost for processlng each issued parking citation is $.62. Turbo Data Systems, Inc. initlally bid $.59 per cltatlon, but staff subsequently negotlated a rate of $.56 for the f lrst two years and $.59 for year three, as part of a five-year contract. The rates for years four and flve are still being negotlated vIi th the vendor. For the first three years of the contract, the net savlngs to the Clty lS $60,000. In addltlon, Turbo Data Systems, Inc. proposed to prov1de payment receipt services for an add1t1onal $.29 per c1tation. For the first three years of the contract th1S 1S approxiJ'l1ately $30,000 less than what it currently costs city staff to provide the same serVIces. Hence, over the next three years, the Clty will real~ze a total cost reductIon of $90,000. Suff1C1ent budget authority 1S 1n the CIty's FY1992-93 budget to lmplement these new fees. RECOMMENDATION It is recommended that the CIty Manager be authorized to negotiate and execute a f1ve-year contract wlth Turbo Data Systems, Inc. Prepared By: Mlke Denn1s, D1rector of Finance Ralph Bursey, CIty Treasurer/Revenue Manager Debby Sowers, License, Permit and Parking Citation ProceSSIng Supervisor - 3 -