SR-214-000
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JUN 1 3 1989
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FD:CMD:TJF:brjsrrectds
Council Meeting: June 13~ 1989
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Santa Monica~ Cal1fornia
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TO: Mayor and City Council
fROM: City Staff
SUBJECT: Recommendation to Authorize the City Manager to Negotiate and
Execute a Contract with Turbo Data Systems, Inc. for the Processing
of In-State Parking Citat10ns
Introduction
This is to recommend that the City Council authorize the City Manager to
negotiate and execute a three year contract with Turbo Data Systems, Inc. for
the processing of in-state park1ng c1tatlons.
Background
On June 1~ 1986, the City of Santa Monica initiated a three year contract wlth
Datacom Systems Corporation (now known as Lockheed Datacom) for the processing
of in-state parking citations. During contract renewal negotiations, Lockheed
Datacom requested a substantial price increase. This factor, 1n addition to
the fact that over the past three years other firms have entered 1nto the
parking citation processing market, caused staff to issue a Request for
Proposal (RFP) for these services. The RFP was sent to eight firms: Computll
Corporation, Huntington Beach, California; Enforcement Technologies, Santa
Ana, California; American Management Systems, Arlington, Virginia; Lockheed
Datacom~ Teaneck, New Jersey; Phoenix Group~ Torrance, California; Electronic
Data Systems Corporation, Herndon, Virginia; Tixon Corporation, Detrolt,
Michigan; and Turbo Data System, Inc., Tustin, California.
Faur flrms submitted proposals; Lockheed Datacom, Turbo Data, Enforcement
Technologies and Camputil. All proposals were evaluated based on price and
delivery of specified services.
The following are the prices bld and
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estimated total citation processing cost based on the City's projected volume
of issuance in FY1989/90:
Enforcement Lockheed Turbo
Comput i1 Technologies Datacom Data
Cost Per Citation $ 1.10 $ .75 $ .89 $ .68
Estimated Total Citation $436,981 $ 297,941 $ 353,557 $270,133
Processing Cost
The results of the evaluation showed that all specified services can be met by
Turbo Data, the low bidder. In addition, staff contacted jurisdictions
currently serviced by Turbo Data and obtained favorable evaluations of their
services.
A three year contract is recommended to ensure stability and continuity of
serVlces.
Budget and Financial Impact
Total annual cost to have Turbo Data process the City's in-state parking
citations would be approximately $285,000 as shown below:
Installation
Monthly recurring costs for leasing of
terminals, printers and associated
communications equipment
Processing fees (based on 397,255
citations)
$ 2,416.00
12,168.00
270~133.00
$284,717.00
The Proposed F~1989/90 City budget includes sufficient appropriation authority
to contract with Turbo Data.
During the transition period from Lockheed Datacom to Turbo Data it will be
necessary to compensate Lockheed Datacom at $.89/issued citation. It is
anticipated that the transition period will not exceed sixty days. Sufficient
funds are available in the FY1988/89 and FY1989/90 budgets for the Finance
Department to accommodate this temporarily increased cost.
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Recommendation
It is recommended that the City Manager be authorized to negotiate and execute
a three year contract with Turbo Data Systems, Inc. and to transition from
Lockheed Datacom to Turbo Data as set forth 1n this staff report for the
processing of in-state parking citations.
Prepared by: Mike Dennis, Director of Finance
Toby J. Fox, Collections Manager
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