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SR-417-005 (42) F:PCD/Share/2003CouncilStaffReports/parkingmeteracquisition.doc Council Meeting: March 23, 2004 Santa Monica, CA TO: Mayor and City Council FROM: City Staff SUBJECT: Award of Contract to Duncan Parking Technologies for the Purchase of Parking Meters Introduction This report recommends that the City Council award a contract to Duncan Parking Technologies, Inc. in the amount of $1,806,305.91 for the purchase of 6,600 parking meters mechanisms and 6,400 housings and associated equipment for replacement of existing parking meters and installation of meters at new locations. Background Council conceptually approved a parking meter fee increase and the installation of additional meters at the December 17, 2002 Council meeting. The Council subsequently adopted resolutions and ordinances to increase parking meter rates and establish various parking meter zones as part of the February 25, 2003 mid-year budget review. Council also requested information on the types of meter options available; this was provided via an information item on December 24, 2003. 1 Discussion Staff proposes acquiring 6,600 electronic meters to replace all the single-head mechanical meters in the City and to have an inventory to add additional meters at predetermined locations, such as adjacent to Santa Monica College and business adjacent side-street parking spaces off of Wilshire and Santa Monica Boulevards. Three hundred meter locations that already have electronic mechanisms will not be replaced. The new meters will accept quarters, dimes and nickels as well as a stored value card that the City will sell. The meter deducts one-hour worth of credit each time the stored value card is swiped. Thus, a parker can get two hours worth of parking by swiping a card twice; if the meter is for less than one hour, only the value equivalent to the maximum amount of time allowed is deducted. Staff has also researched mechanisms that can accept credit cards, but the processing fees and cost of real time communications with each meter are prohibitive. Staff considered replacing some single-space meters with multi-space meters, but the places with the highest volume of parkers, such as the downtown and beach areas, are visitor destinations with a great number of non-local parkers. The education and signage required to inform parkers about how to use multi-space meters could be onerous, and complaint volume would likely be high. The City?s previous investment in posts and footings makes their removal and replacement with multi-space meters relatively more expensive. A request for proposals was issued and four proposals were received on February 25, 2004. Of the four, one was an ?alternative? proposal that was not responsive to the City?s request and did not include the required submission of housings and mechanisms and 2 meter management software for testing by City Staff. In addition to reviewing written proposals, staff received demonstrations of the proposed equipment and software from each responsive vendor. Having the opportunity to see and test the products from each of the vendors gave City staff from the treasury, parking enforcement and transportation management divisions an opportunity to become more knowledgeable about the products offered by different vendors. Because of the high quality of all of the products submitted, price was a key determinant of the recommendation to select Duncan Parking Technologies as the vendor for both the mechanisms and the housings. The three responsive proposals included the following pricing: Mechanisms Housings Total (less credit) Duncan Parking Technologies $673,577.91 $1,132,728.00 $1,806,305.91 Mackay Meters, Inc. $936,990.51 $1,155,105.44 $2,092,095.95 POM Incorporated $961,702.64 $1,300,316.32 $2,262,0816.96 Staff recommends Duncan Parking Technologies, Inc. as the best bidder pursuant to the criteria set forth in Municipal Code Section 2.24.072. Duncan?s price proposal was the lowest cost for all of the specified items including electronic mechanisms, software required to collect data from all of the new and old meters and rust-resistant housings. The delivery schedule calls for 1,500 mechanisms and housings to be available 45 days following the 3 issuance of a contract and the balance of the mechanisms and housings to be available 105 days later. Duncan has a long history of providing high-quality, durable parking meters. The City?s parking enforcement, meter repair and revenue collection operations have extensive experience with Duncan meters, including 300 electronic meters, the majority of which were recently in Parking Lot 9 near the Main Street commercial area. The City has found the company to be reliable, experienced and responsive. Duncan meters are also deployed locally in Los Angeles, Beverly Hills and West Hollywood. The City will be contracting separately with firms to install posts at previously unmetered locations, and to remove the existing mechanical mechanisms and install the new electronic mechanisms at existing locations. Full implementation will be phased over a four- month period. The first meter replacement will occur in the downtown area. Following installation of the new mechanisms and housings at all existing locations, staff will evaluate whether additional spaces can be added in commercial corridors if existing posts are relocated and installed. Information on occupancy and usage from the meter management system can help staff to prioritize locations for this type of reconfiguration. The purchase will include the 6,600 meters, plus software, collection carts, and handheld equipment to allow meter collection staff to record how much money was collected at a particular meter, upload the information to a computer system and reprogram meters in the field. The purchase of equipment also includes initial software setup, training for collection, maintenance and parking staff, and includes software and hardware support. The purchase includes a three-year warranty on parts, hardware and all equipment purchased. New 4 meters will be preprogrammed for the new rates and allowable parking duration so new revenue will be collected immediately. In addition to this purchase, the proposal provides a per-meter price for additional housings and mechanisms that can be installed at other high-demand locations or in spaces created by reconfiguring spaces along commercial corridors. Budget/Financial Impact Funds are available in capital account C01087403.589000. Recommendation It is recommended that the City Council award a contract to Duncan Parking Technologies, Inc. in the amount of $1,806,305.91 for the purchase of 6,600 parking meters and 6,400 housings and associated equipment. Prepared By: Suzanne Frick, Director of Planning & Community Development Lucy Dyke, Transportation Planning Manager Diane Howell, Purchasing Agent 5