Loading...
HomeMy WebLinkAboutTurbo Data Systems, Inc. - TDS - 2008-06-16 CL FU Council/Agency Meeting Held Deferred/Continued to XAppr ved ❑ Conditionally Approved ❑ Denied tit erk s igna e Council Meeting Date 6/16/2008 Departmen ID Number CT08-11 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO HONORABLE MAYOR AND CITY COUNCIL MEMBERS SUBMITTED BY SHARI L FREIDENRICH CPA, CITY TREASUR PREPARED BY SHARI L FREIDENRICH CPA CITY TREASUR SUBJECT Approve the Contract between the City of Huntington Beach and Turbo Data Systems (TDS) for Parking Citation Processing Services Statement of issue Funding Source Recommended Action Alternative Action(s) Analysis Environmental Status Attachment(s) Statement of Issue The City of Huntington Beach has contracted with Turbo Data Systems (TDS) for processing citation payments since 1992 TDS provides a database of parking citation information collects payments and provides direct download of parking citation information The contract has expired and City Council action is required to approve a new contract in the amount of$507 000 Funding Source Appropriations are budgeted in the 2007/08 budget in the Other Contracts account, 10025201 69450 Appropriations have been requested for the 2008/09 budget Recommended Action Motion to Approve the contract between the City of Huntington Beach and Turbo Data Systems Alternative Action(s) Do not approve the contract between the City of Huntington Beach and Turbo Data Systems and direct staff accordingly REQUEST FOR CITY COUNCIL ACTION MEETING DATE 6/16/2008 DEPARTMENT ID NUMBER CT08-11 Analyses In August 1992 the Police Department began contracting with TDS to process parking citation payments and to maintain a citation database for the City TDS has been in existence since 1985 and provides a high level of service for the processing of parking citations TDS is a local company that provides a full spectrum of parking citation payment processing for the City from the point where the citation is downloaded to a database to placing a Department of Motor Vehicle (DMV) hold on an unpaid citation TDS currently provides parking citation processing to over 80 cities/agencies in the Central and Southern California areas Parking Control Officers (PCO) or Police Officers issue all parking citations in Huntington Beach PCOs utilize automated citation units due to the high volume of citations they issue All pertinent information is keyed into the unit which then prints out the citation to be placed on the illegally parked vehicle When Police Officers issue a parking citation they handwrite it on a multiple copy form In order to track and accurately record all actions pertaining to parking citations they are transferred to a parking citation database PCOs directly download their citations from their electronic units to the database Handwritten citations are manually keyed into the database Clients may pay for citations in a variety of ways Payments can be made directly to TDS by credit card via Interactive Voice Response (IVR) over the telephone, or by credit card through the internet Checks or money orders may be brought to the Police Department and placed in a drop box Clients may also pay TDS directly by mailing a check to their location TDS provides all updates regarding payments to the parking citation database TDS processes all parking citation payments that are received at their location, as well as those that were paid via the Police drop box TDS provides a comprehensive website which allows city staff to retrieve a substantial amount of information related to parking citations In addition TDS provides timely information upon request by the City staff TDS processes all payments updates the status of citations deposits all funds received into a city depository account mails delinquent notices and retrieves DMV information to place holds on overdue unpaid citations Citations placed on hold with the DMV are released after 18 months if they remain unpaid Once the DMV removes an unpaid citation from the hold status, the City Treasurer coordinates with TDS to send the delinquent citations to the City s collection agency and to the State of California to be recovered under the State Intercept Program Oversight and funding for the Turbo Data contract was transferred from the Police Department to the City Treasurers Department in October of 2007 with the adoption of the 2007/08 budget The City Treasurer along with the City s Central Services Division has negotiated a new contract with Turbo Data The Municipal Code section 3 02 190 (c) Interagency purchase agreements was used as the basis for the selection of Turbo Data as the vendor The City Treasurer and Central Services staff is satisfied that the contract fees are competitive and fair The increases to the fee schedule primarily reflect postal increases 2 5/28/2008 10 15 AM REQUEST FOR CITY COUNCIL ACTION MEETING DATE 6/16/2008 DEPARTMENT ID NUMBER CT08-11 The FY 2007/08 budget and proposed FY 2008/09 budget allocations will be sufficient to cover the proposed contract In FY 2004/05 Turbo Data received payments for 65 551 parking tickets totaling $2 9 million for an average ticket value of $44 24 In FY 2005/06 Turbo Data received payments for 69 777 parking tickets totaling $3 2 million for an average ticket value of $45 86 In FY 2006/07 Turbo Data received payments for 59 662 parking tickets totaling $2 7 million for an average ticket value of$45 25 The City promotes the election of payments by IVR and through the Web on the City s website and in FY 2004/05 25% of tickets were paid electronically In FY 2006/07 the number of electronic payments increased by 24% to a total of 31% paid electronically Strategic Plan Goal C-2 City Service — Provide quality public services with the highest professional standards to meet community expectations and needs assuming that the city is sufficiently staffed and equipped overall Environmental Status N/A Attachment(s) Turbo Data Contract and exhibits City C-loWs, • . . ® o • - 1 Purchasing Certification and Insurance Document 2 Services Contract between the City of Huntington Beach and Turbo Data Systems Inc for Citation Processing Services 3 6/3/2008 11 35 AM ATTACHMENT # 1 CITY OF HUNTINGTON BEACH Service Agreements Purchasing Certification 1 Date 5/22/08 2 Department City Treasurer 3 Requested By Shan Freidennch 4 Name of Consultant Turbo Data Inc 5 Amount of Contract $507,000 6 Are sufficient funds available to fund this contract? Yes ® No ❑ 7 Company Number and object code where funds are budgeted 100 25 201 69450 8 Is this contract less than$50,000? Yes ❑ No 9 Does this contract fall within$50,000 and $100,000? Yes ❑ No 10 Is this contract over$100,000? Yes N No ❑ (Note Contracts requiring City Council approval need to be signed by the Mayor and City Clerk Make sure the appropriate signature page is attached to contract) 11 Were formal written proposals requested from at least three available qualified firms? Yes ❑ No If no, explain The inter-agency agreement process was utilized 12 Attach list of vendors from whom proposals were requested(include name of company, address, contact person, and telephone) 13 Attach proposed scope of work Attached Services Contract 14 Attach proposed payment schedule Attached E7 Le -cam Dep ead Signature RICHARD AMADRIL, Manp� ip ag Central Services Division -si� ISSUE DATE CERTIFICATE OF INSURANCE 4 ✓ 1 07/10/2007 PRODWER Cert#4781 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND SHIPKEY INSURANCE AGENCY INC CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER THIS CERTIFICATE P O BOX 3745 DOES NOT AMEND EXTEND OR ALTER THE COVERAGE AFFORDED BY THE TUSTIN CA 92781 POLICIES BELOW (714)838 9225 FAX(714)838 9212 COMPANIES AFFORDING COVERAGE COMPANY A GOLDEN EAGLE INSURANCE CO INSURED COMPANY TURBO DATA SYSTEMS INC B GOLDEN EAGLE INSURANCE CO ICOMPANY 18302 IRVINE BLVD STE 200 C GOLDEN EAGLE INSURANCE CO TUSTIN CA 92780 COMPANY D OAK RIVER INSURANCE CO OVERAGES THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY OF ISSUED OR MAY PERTAIN THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS CO POLICY EFFECTIVE POLICY EXPIRATION LTR TYPE OF INSURANCE POLICY NUMBER DATE(MM/DD/YY) DATE(MM/DD/YY) LIMITS GENERAL LIABILITY GENERAL AGGREGATE $ 2 000 000 X COMMERCIAL GENERAL LIABILITY CBP 8291884 JUL 1 07 JUL 1 08 PRODUCTS COMP/OP AGG $ 2 000 000 LAMS MADE � OCCUR PERSONAL&ADV INJURY $ 1 000 000 A OWNERS&CONTRACTORS PROTEACH OCCURRENCE $ 1 000 000 FIRE DAMAGE(A y One F re) $ 100 000 MED EXPENSE(Any One Person)$ 5 000 AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ 1 000 000 ANY AUTO BA 8291784 JUL 1 07 JUL 1 08 ALL OWNED AUTOS BODILY INJURY X SCHEDULED AUTOS (Per Person) $ B X HIRED AUTOS APP D S T P'ORM BODILY INJURY X NON OWNED AUTOS $ gg�� p ��+�y �r I (Per Accident) .dL' ER C Lttid il'l�lY tt �Y PROPERTY DAMAGE $ Cii 111 GARAGE LIABILITY I 1 AUTO ONLY EA ACCIDENT $ ANY AUTO 'OTHER THAN AUTO ONLY — L — EACH ACCIDENT $ AGGREGATE $ EXCESS LIABII ITY EACH OCCURRENCE S 1000000 i✓ X UMBRELLA FORM CU 829t084 JUL 1 07 JUL 1 08 AGGREGATE $ 1000000 OTHER THAN UMBRELLA FORM WORKER S COMPENSATION AND STATUTORY LIMITS EMPLOYERS LIABILITY 2210010735 071 JUL 1 07 JUL 1 08 EACH ACCIDENT $ 1000000 D THE PROPRIETOR/ X INCL DISEASE POLICY LIMIT $ 1000000 PARTNERS/EXECUTIVE — OFFICERS ARE EXCL DISEASE EACH EMPLOYEE $ 1000000 A OTHER CBP 8291884 JUL 1 07 JUL 1 08 $250 000 EMPLOYEE DISHONESTY DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS ALL OPERATIONS ADDITIONAL INSURED PER FORM ATTACHED 30 DAYS NOTICE COMPANY ELECTION EXCEPT FOR NON PAYMENT WHICH IS 10 DAYS CERTIFICATE HOLDER AS ADDITIONAL INSURED _ CANCELLATION _ SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF THE ISSUING COMPANY WILL MAIL 30 DAYS CITY OF HUNTI NGTON BEACH ITS AGENTS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT OFFICERS AND EMPLOYEES 2000 MAIN ST 10 DAY NOTICE OF CANCELLATION APPL S F R NONPAYMENT OF PREMIUM HUNTINGTON BEACH CA 92648 -- AUTHORIZED REPRESENTATIVE' " ATTACHMENT #2 SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND TURBO DATA SYSTEMS, INC FOR CITATION PROCESSING SERVICES Table of Contents I Scope of Services 1 2 City Staff Assistance 2 3 Term, Time of Performance 2 4 Compensation 2 5 Extra Work 2 6 Method of Payment 3 7 Disposition of Plans, Estimates and Other Documents 3 8 Hold Harmless 3 9 Professional Liability Insurance 4 10 Certificate of Insurance 5 11 Independent Contractor 6 12 Termination of Agreement 6 13 Assignment and Delegation 6 14 Copyrights/Patents 7 15 City Employees and Officials 7 16 Notices 7 17 Consent 8 18 Modification 8 19 Section Headings 8 20 Interpretation of this Agreement 8 21 Duplicate Original 9 22 Immigration 9 23 Legal Services Subcontracting Prohibited 9 24 Attorney's Fees 10 25 Survival 10 26 Governing Law 10 27 Entirety 10 SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND TURBO DATA SYSTEMS, INC FOR CITATION PROCESSING SERVICES 7# THIS AGREEMENT ("Agreement") is made and entered into this 16 day of pJu/oC 20eff,, by and between the City of Huntington Beach a municipal corporation of the State of California, hereinafter referred to as "CITY, and Turbo Data Systems, Inc , a California corporation hereinafter referred to as "CONTRACTOR " WHEREAS, CITY desires to engage the services of a CONTRACTOR for citation processing services, and CONTRACTOR has been selected to perform these services, NOW, THEREFORE, it is agreed by CITY and CONTRACTOR as follows 1 SCOPE OF SERVICES CONTRACTOR shall provide all services as described in Exhibit "A," which is attached hereto and incorporated into this Agreement by this reference These services shall sometimes hereinafter be referred to as the "PROJECT " CONTRACTOR hereby designates Roberta Rosen who shall represent it and be its sole contact and agent in all consultations with CITY during the performance of this Agreement 2 CITY STAFF ASSISTANCE CITY shall assign a staff coordinator to work directly with CONTRACTOR in the performance of this Agreement 21029 1 3 TERM,TIME OF PERFORMANCE Tune is of the essence of this Agreement The services of CONTRACTOR are to commence as soon as practicable after the execution of this Agreement by CITY (the "Commencement Date") This Agreement shall expire three (3) years from the commencement date unless sooner terminated as provided herein All tasks specified in Exhibit "A" shall be completed no later than three (3) years from the Commencement Date of this Agreement The time for performance of the tasks identified in Exhibit"A" are generally to be shown in Exhibit "A" This schedule may be amended to benefit the PROJECT if mutually agreed to in writing by CITY and CONTRACTOR 4 COMPENSATION In consideration of the performance of the services described herein, CITY agrees to pay CONTRACTOR on a tune and materials basis at the rates specified in Exhibit "B," a fee, including all costs and expenses, not to exceed Five Hundred Seven Thousand Dollars ($ 507,000 00 _) 5 EXTRA WORK In the event CITY requires additional services not included in Exhibit "A" or changes in the scope of services described in Exhibit "A," CONTRACTOR will undertake such work only after receiving written authorization from CITY Additional compensation for such extra work shall be allowed only if the prior written approval of CITY is obtained 6 METHOD OF PAYMENT CONTRACTOR shall be paid pursuant to the terms of Exhibit "B," which is attached hereto and incorporated by reference into this Agreement 21029 2 7 DISPOSITION OF PLANS, ESTIMATES AND OTHER DOCUMENTS CONTRACTOR agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, data or programs, maps, memoranda, letters and other documents, shall belong to CITY, and CONTRACTOR shall turn these materials over to CITY upon expiration or termination of this Agreement or upon PROJECT completion, whichever shall occur first These materials may be used by CITY as it sees fit 8 HOLD HARMLESS CONTRACTOR hereby agrees to protect, defend, indemnify and hold harmless CITY, its officers, elected or appointed officials employees, agents and volunteers from and against any and all claims damages, losses, expenses, judgments, demands and defense costs (including, without limitation, costs and fees of litigation of every nature or liability of any kind or nature) arising out of or in connection with CONTRACTOR's (or CONTRACTOR's subcontractors, if any) performance of this Agreement or its failure to comply with any of its obligations contained in this Agreement by CONTRACTOR, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of CITY CONTRACTOR will conduct all defense at its sole cost and expense and CITY shall approve selection of CONTRACTOR's counsel This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable The policy limits do not act as limitation upon the amount of indemnification to be provided by CONTRACTOR 9 INSURANCE In addition to CONTRACTOR's covenant to indemnify CITY, CONTRACTOR shall obtain and furnish to CITY, a policy of general public liability insurance, including motor 21029 3 vehicle coverage covering the PROJECT Said policy shall indemnify CONTRACTOR, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with the PROJECT, and shall provide coverage in not less than the following amount combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than$1,000,000 Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the PROJECT shall be deemed excess coverage and that CONTRACTOR's insurance shall be primary Under no circumstances shall said above-mentioned insurance contain a self- insured retention, or a "deductible" or any other similar form of limitation on the required coverage 10 CERTIFICATE OF INSURANCE Prior to commencing performance of the work hereunder, CONTRACTOR shall furnish to CITY a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement, the certificate shall A provide the name and policy number of each carrier and policy, B shall state that the policy is currently in force, and C shall promise that such policy shall not be suspended, voided or canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice, however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium 21029 4 CONTRACTOR shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by CITY The requirement for carrying the foregoing insurance coverage shall not derogate from CONTRACTOR's defense, hold harmless and indemnification obligations as set forth in this Agreement CITY or its representative shall at all times have the right to demand the original or a copy of the policy of insurance CONTRACTOR shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required 11 INDEPENDENT CONTRACTOR CONTRACTOR is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of CITY CONTRACTOR shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll deductions for CONTRACTOR and its officers, agents and employees and all business licenses if any, in connection with the PROJECT and/or the services to be performed hereunder 12 TERMINATION OF AGREEMENT All work required hereunder shall be performed in a good and workmanlike manner CITY may terminate CONTRACTOR's services hereunder at any time with or without cause, and whether or not the PROJECT is fully complete upon 30 days notice Any termination of this Agreement by CITY shall be made in writing, notice of which shall be delivered to CONTRACTOR as provided herein In the event of termination, all finished and unfinished documents, exhibits, report and evidence shall, at the option of CITY, become its property and shall be promptly delivered to it by CONTRACTOR 21029 5 13 ASSIGNMENT AND DELEGATION This Agreement is a personal service contract and the work hereunder shall not be assigned, delegated or subcontracted by CONTRACTOR to any other person or entity without the prior express written consent of CITY If an assignment, delegation or subcontract is approved, all approved assignees, delegates and subcontractors must satisfy the insurance requirements as set forth in Sections 9 and 10 heremabove 14 COPYRIGHTS/PATENTS CITY shall own all rights to any patent or copyright on any work, item or material produced as a result of this Agreement 15 CITY EMPLOYEES AND OFFICIALS CONTRACTOR shall employ no CITY official nor any regular CITY employee in the work performed pursuant to this Agreement No officer or employee of CITY shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code 16 NOTICES Any notices, certificates, or other communications hereunder shall be given either by personal delivery to CONTRACTOR's agent (as designated in Section 1 hereinabove) or to CITY as the situation shall warrant or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses specified below CITY and CONTRACTOR may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U S certified mail-return receipt requested 21029 6 TO CITY TO CONTRACTOR City of Huntington Beach Roberta Rosen ATTN Shari Freidenrich, City Treasurer Turbo Data Systems, Inc P O Box 190 18302 Irvine Boulevard, Suite 200 Huntington Beach, CA 92648-0190 Tustin, CA 92780-3464 17 CONSENT When CITY's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transaction or event 18 MODIFICATION No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties 19 SECTION HEADINGS The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement 20 INTERPRETATION OF THIS AGREEMENT The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining 21029 7 covenants and provisions of this Agreement No covenant or provision shall be deemed dependent upon any other unless so expressly provided here As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law 21 DUPLICATE ORIGINAL The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original Each duplicate original shall be deemed an original instrument as against any party who has signed it 22 IMMIGRATION CONTRACTOR shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of the United States Code regarding employment verification 23 LEGAL SERVICES SUBCONTRACTING PROHIBITED CONTRACTOR and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder CONTRACTOR understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for 21029 8 CITY, and CITY shall not be liable for payment of any legal services expenses incurred by CONTRACTOR 24 ATTORNEY'S FEES In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party 25 SURVIVAL Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive 26 GOVERNING LAW This Agreement shall be governed and construed in accordance with the laws of the State of California 27 ENTIRETY The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement The parties also acknowledge and agree that no representations, inducements promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement, warranty, fact or circumstance not expressly set forth in this Agreement This Agreement, and the attached exhibits, contain the entire agreement between the parties respecting the subject matter of this 21029 9 Agreement, and supercede all prior understandings and agreements whether oral or in writing between the parties respecting the subject matter hereof IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized offices the day, month and year first above written TURBO DATA SYSTEMS, INC , a CITY OF HUNTINGTON BEACH, a California corporation municipal corporation of the State of California B print name Mayor ITS (circle one)Ch irm residen ice President lty Clerk By Li 5Li�r-N INITIATED AND APPROVED nameof ITS (circlePrint cc Chief Financial Officer/Asst �� Secretary Treasurer E)City T surer l APPROVED AS TO FORM REVIEWED'AND APPROVED �- v r �� City Attorney „ V City Adimpistrator 21029 10 EXHIBIT "A" A STATEMENT OF WORD In order to collect funds for all issued parking citations for the City of Huntington Beach Treasurers Department (CITY) the City is partnering with a company to facilitate efficient collection of citations Turbo Data Systems Inc (CONTRACTOR) shall provide the services as specified in Section B of this Exhibit A B CONSULTANT'S DUTIES AND RESPONSIBILITIES PARKING CITATION PROCESSING I Basic Processing — CONTRACTOR will enter manual citations and citation dispositions into CITY s database within 2 business days The basic service includes database maintenance daily system backups toll free phone number for the public Interactive Voice Response System (IVRS) with customized recorded information and citation lookup capability pticket com web based Inquiry System for the public with customized content Customer Service Representatives (8 00 am — 5 00 pm Monday through Friday excluding holidays) to speak with the public regarding parking citation issues, ongoing Client support, and documentation and training for use of the TDS provided online system 2 Handheld Ticket Writer Interface CONTRACTOR will provide for automated import of electronic citations into CITY's database within I business day CONTRACTOR will maintain and update the hot sheet or scofflaw files on a daily basis for CITY to upload into their handheld ticket writers CONTRACTOR will work with CITY to implement any changes required for handheld ticket writer equipment 3 System and Document Storage Citations paid or dismissed will be retained on the computer system for 3 years and then removed Unpaid citations will be retained on the computer system for 5 years and then removed Citation documents will be stored for 2 years from date of issue and then shredded Payment documents will be stored for 2 years from the date of payment and then shredded 4 Online Reporting Provide monthly reports online indicating the status of all citations, such reports to be available for CITY access no later than the thirtieth(30th)day of the following month 5 DMV Interface for Registered Owner Name Retrieval Attempt to obtain name and address of responsible party of cited vehicles for those citations that have not been cleared prior to their notice generation date 6 Notice Processing Print the required Notice of Violation and mail to each responsible party whose name has been retrieved within 15 to 21 days after the citation has been issued Includes second jmp/contracts group/exA/5/21/08 1 of 5 EXHIBIT "A" notices mailed for bounced checks, partial payments and name or address changes The notice date shall be extended whenever there is an unusual delay in delivery of information or citations to CONTRACTOR All postage notice forms and envelopes will be provided by CONTRACTOR 7 DMV Interface for Placing Registration Holds Transmit a Notice of Delinquency to the California DMV for vehicles with California license plates after a Notice of Violation has been mailed to the responsible party and CONTRACTOR has not received notification that the citation has been cleared This Notice of Delinquency will be transmitted to the California DMV within 2 business days after the date specified by the CITY to be the DMV Date 8 DMV Interface for Releasing Registration Holds Transmit a Notice to the California DMV that a Notice of Delinquency has been cleared within 2 business days after CONTRACTOR has received notification of clearance 9 DMV Interface for Monthly Payment File — Receive payment file from DMV as available (currently monthly) and update DMV transactions into CITY database providing reporting for reconciliation purposes 10 Courier Service — CONTRACTOR will provide Courier Service to CITY two times per week for the purpose of picking up citations and other documents to be delivered to CONTRACTOR and to return reports and other documents to CITY 11 Collection and Payment Processing CONTRACTOR shall provide the following collection and payment processing services for CITY a) Provide P O Box where payments are mailed b) Courier pickup from P O Box daily c) Open all mail d) Verify payment amounts and record on computer system within 2 business days(48 hours) e) Use postmark date to establish payment date f) Respond to reasonable non judicial public inquiries by phone mail g) Return questionable mail to CITY for decision h) Make bank deposits to CITY bank account i) Verify amounts deposited by citation number j) Provide toll free number for citizen inquiries k) Provide weekly reports for bank statement reconciliation 1) Provide monthly Paid Citation Distribution Report 12 Out of State Citations CONTRACTOR shall process citations for non California license plates by entering the citation information into the system database and reporting them along with all other citations on the database with the standard reports If they become delinquent requests for registered owner information will be sent to the appropriate out of state DMV CONTRACTOR will incur any costs for retrieving out of state registered owner information The Notice of Intent will be generated to the registered owner and the fine amount requested CONTRACTOR will jmp/contracts group/exA/5/21/08 2 of 5 EXHIBIT "A" receive payment from CITY based on the amount of revenues collected from out of state citations after the Notice of Intent has been issued This amount will be billed monthly for the prior months' receipts (as determined from our database and/or reports) Payments collected via credit card will also incur any applicable credit card fees which are charged directly to the CITY 13 IVR and Web Payment Systems - Payment by Credit Card Through the Interactive Voice Response (IVR) System that all callers go through when they call our Toll Free numbers and through the pticket com web site CONTRACTOR will accept credit card payments via Visa and MasterCard The systems authorize each transaction while the caller is on the phone or online Customers are given an authorization number or email confirmation to confirm their charge The IVR system and the pticket com web payment system both automatically update the citation database with the payment immediately Credit Card monies are paid to a CITY bank account and are reconciled daily CITY receives their own `merchant statement'which is balanced with a credit card postlog which shows in detail which citations were paid and for what amount and showing that these funds have been deposited into the customers account Should there be any charge backs to a merchant account the funds are pulled directly from the CITY account and the citation should be reactivated much like a bounced check The violator will be sent a notice and will then proceed to DMV hold CONTRACTOR will provide a daily accounting of fines that have been collected on the City s behalf CITY will be responsible for reconciling the accounts on a daily basis 14 Administrative Adjudication Processing Service — Not Applicable CONTRACTOR does not provide Administrative Adjudication Processing Service for the CITY for contested parking violations 15 Online Inquiry Access for Customers' Staff Access via the Internet includes online access 24 hours a day, 7 days a week for CITY personnel to inquire on CITY s database This access includes citation inquiry (includes citation status history status, administrative adjudication status notes etc ), the ability to enter and view notes, post dismissals/payments view daily deposits made at CONTRACTOR's facility and view daily file transfers sent from the handheld ticket writer software and received at CONTRACTOR s facility CONTRACTOR's technical staff will provide support CONTRACTOR will provide a real time secured high speed connection to the citation database through the CITY S Internet connection CITY must meet software hardware and Internet connection requirements CONTRACTOR will install a small client side application on the CITY s PC that will enable the CITY to click and connect directly to the TDS inquiry system jmp/contracts group/exA/5/21/08 3 of 5 EXHIBIT "A" 16 Additional Notices—CONTRACTOR will mail a Final Notice after all penalties have been applied and before the DMV Hold is placed This notice will inform the responsible party that the citation has become delinquent(all penalties will be added) and the full amount indicated is due to avoid the withholding of the vehicle registration and further collection efforts 17 Interface with CITY s outside Collection Agency CONSULTANT shall provide an interface to the CITY s outside Collection Agency by running a quarterly file to be given electronically to the specified Collection Agency for further collection efforts Records in the file will include various categories of outstanding citations including a) Out of State Delinquent Citations b) Citations that did not hold at DMV c) Citations removed from DMV Hold after 2 years d) Citations removed from DMV hold due to Transfer of Ownership 18 At the CITY s option provide ICS Collection Service—Outstanding citations (DMV No Holds or DMV Transfer of Ownership Releases or Non California plates) are transferred into the ICS system on a weekly basis Up to two collection letters will be mailed for each ICS account requesting payment Delinquent accounts are sent to TransUmon credit reporting agency on a weekly basis Paid accounts are reported to TransUmon weekly Payments are processed daily and deposited to the City's regular citation processing bank account The TDS Customer Service Center will handle all ICS related calls through a special toll free number dedicated to ICS accounts Monthly reporting shows all accounts moved to the ICS system and all payments received due to ICS efforts FRANCHISE TAX BOARD INTERAGENCY OFFSET SERVICE 19 CONTRACTOR shall collect outstanding parking violations by deducting the amounts owed to CITY from citizens California State Tax Refunds and/or California Lottery winnings 20 Citations issued to California license plates that have completed the regular citation processing steps and have either been rejected for DMV Hold or have been removed from DMV hold will be qualified for this service The program intercepts Personal Income Tax only, no corporate or partnership funds 21 Name and address information will be processed through a 3rd party provider to retrieve Social Security Numbers (SSN) All citation amounts due for each social security number will be combined Only total amounts of$10 or more owed to CITY will be submitted to the FTB jmp/contracts group/exA/5/21/08 4 of 5 EXHIBIT "A" 22 Parking violators qualified for the FTB program will be notified that CITY plans to submit their names to the FTB for an intercept of any tax refunds or lottery winnings to pay their liabilities 23 A file of names, SSN s and amounts due will be forwarded to the FTB 24 The FTB will send CITY a weekly detail report showing the intercepts (collections)that occurred that week The weekly detail report must be reported to CONTRACTOR immediately so CONTRACTOR can clear the database of outstanding accounts 25 Every month, the State Controller s Office will send a warrant to CITY for the intercepts that occurred the previous month 26 CONTRACTOR will notify FTB if there is a change in the case balance due to actions other than an FTB intercept(payments at CONTRACTOR or CITY) CITY will issue a refund to the debtor if FTB intercepts an amount that is more than the liability or intercepts money after the liability has been paid 27 The FTB database for collections is cleared out in December of each year and the new information must be resubmitted CITY must submit an Intent to Participate Notice every year CONTRACTOR will then submit all accounts that CITY wishes to have intercepted by December I"even if the debtor s account had been submitted in the previous process year 28 CONTRACTOR's Customer Service Center will handle all of CITY s FTB related phone calls through CITY s existing toll-free number C CITY'S DUTIES AND RESPONSIBILITIES 1 Provide deposit slips and endorsement stamps 2 Upload all handheld ticket writer files daily 3 Reconcile daily credit card deposits 4 Answer questions referred by CONTRACTOR 5 Provide direction on unique questions and concerns from violators 6 Provide PC's and internet access for connection to TDS database 7 Sign necessary DMV forms when required for DMV access D WORD PROGRAM/PROJECT SCHEDULE To be determined jmp/contracts group/exA/5/21/08 5 of EXHIBIT "B" Payment Schedule (Fixed Fee Payment) 1 CONTRACTOR shall be entitled to monthly progress payments toward the fees set forth herein in accordance with the following progress and payment schedules Parking Citation ProcessinE Services Basic Processing Fee Per Citation $1055 Included TDS entry of citations and citation dispositions (bounced checks, payments extensions, etc) database maintenance daily system backups online DMV interface (r/o retrieval and placing and releasing registration holds), weekly/monthly reporting, toll free telephone number (for public access) Interactive Voice Response System (IVRS) Customer Service Representatives (8 00 am— 5 00 pm, Monday through Friday excluding holidays), customized recorded telephone information, ongoing Client support, correspondence and other documentation daily pick up of payments and other documents from a TDS provided P O Box, courier service 2 times per week, daily payment processing bank deposits Internet based online inquiry access to the City s database and documentation and training for successful use of TDS provided online system Citation Surcharge $0-$010 per citation If automation % is<30% $0 10 per citation If automation % is 30% -59% $0 06 per citation If automation % is 60% -89% $0 03 per citation If automation % is 90%- 100% no surcharge Due to the fact that fees for processing services are determined by unit and that there are certain fixed costs required to perform these services, regardless of volume the minimum monthly invoice amount for basic citation processing fees shall be$500 00 Out of State Processing 33%of amount collected No charge until payment is collected No charge if payment is made prior to a notice If payment is collected via credit card normal credit card fees will apply in addition Administrative Adjudication Not Applicable(City processes their own) Special Collections (ICS) 33% of amount collected DMV Hold Letters $130 Final Notice Letters $1 16 Credit Card Payment Processing Fee Waived No Fee Paid by Violator All merchant fees paid directly by City Collection Agency Interface Fee per run(quarterly) $100 Fee per record $015 1 Online plus Connections $110/month surfnet Exhibit B EXHIBIT B Fixed Fee Payment ReportNet Online Reporting No Charge Fee Increases Postal Rate Increase Offset Fees will increase immediately to offset the amount of any postal increase Franchise Tax Board(FTB)Interazency Offset Service FTB Offset Service per Qualified License $4 00 plus 15% of any amount collected Included Combining citations by license number for total amount due,eliminating corporate names retrieving SSN by name from 3`d party combining accounts by SSN mailing required FTB letter in advance of placing accounts at FTB,processing payments generated by FTB process receiving phone calls generated by FTB process all systems and operational procedures required for the FTB process CITY shall pay the FTB directly for their collection service(the fee is based on the number of accounts submitted The per account fee is calculated each year by the FTB It is approximately$20 per account) For amounts collected by CONTRACTOR through the credit card systems usual credit card fees if any will apply FTB allows for the collection of items that are not older than 3 years CITY and CONTRACTOR shall meet at least sixty (60) days prior to end of each contract year of this Agreement to review the fees as set forth herein Upon mutual written consent of both parties,an annual adjustment to the fee schedule, either increase or decrease, not to exceed the Consumer Price Index(CPI) for all Urban Consumers in the Los Angeles,Riverside or Orange County areas may be made to reflect unanticipated cost fluctuations Year 1 $164,000 Year 2 $169,000 Year 3 $174,000 Total $507,000 2 Delivery of work product A copy of every memorandum letter report, calculation and other documentation prepared by CONSULTANT shall be submitted to CITY to demonstrate progress toward completion of tasks In the event CITY rejects or has comments on any such product CITY shall identify specific requirements for satisfactory completion 3 CONSULTANT shall submit to CITY an invoice for each monthly progress payment due Such invoice shall A) Reference this Agreement, B) Describe the services performed, C) Show the total amount of the payment due D) Include a certification by a principal member of CONSULTANT's firm that the work has been performed in accordance with the provisions of this Agreement and E) For all payments include an estimate of the percentage of work completed surfnet Exhibit s EXHIBIT B Fixed Fee Payment Upon submission of any such invoice, if CITY is satisfied that CONSULTANT is making satisfactory progress toward completion of tasks in accordance with this Agreement, CITY shall approve the invoice, in which event payment shall be made within thirty (30) days of receipt of the invoice by CITY Such approval shall not be unreasonably withheld If CITY does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for non-approval and the schedule of performance set forth in Exhibit "A" may at the option of CITY be suspended until the parties agree that past performance by CONSULTANT is in, or has been brought into compliance, or until this Agreement has expired or is terminated as provided herein 4 Any billings for extra work or additional services authorized in advance and in writing by CITY shall be invoiced separately to CITY Such invoice shall contain all of the information required above and in addition shall list the hours expended and hourly rate charged for such time Such invoices shall be approved by CITY if the work performed is in accordance with the extra work or additional services requested and if CITY is satisfied that the statement of hours worked and costs incurred is accurate Such approval shall not be unreasonably withheld Any dispute between the parties concerning payment of such an invoice shall be treated as separate and apart from the ongoing performance of the remainder of this Agreement A surfnet Exhibit B EXHIBIT B Fixed Fee Payment RCA ROUTING T INITIATING DEPARTMENT City Treasurer SUBJECT Turbo Data Contract Approval COUNCIL MEETING DATE 6/16/08 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable ❑ Resolution (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable ❑ Tract Map Location Map and/or other Exhibits Attached ❑ Not Applicable ❑ Contract/Agreement (w/exhibits if applicable) Attached (Signed In full by the City Attorney) Not Applicable ❑ Subleases Third Party Agreements etc Attached ❑ (Approved as to form by City Attorney) Not Applicable ❑ Certificates of Insurance (Approved by the CltyAttorney) Attached ❑ Not Applicable ❑ Fiscal Impact Statement (Unbudgeted over$5 000) Attached ❑ Not Applicable ❑ Bonds (If applicable) Attached ❑ Not Applicable ❑ Staff Report (If applicable) Attached ❑ Not Applicable ❑ Commission Board or Committee Report (If applicable) Attached ❑ Not Ap licable ❑ Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable ❑ EXPLAHATDOH FOR WSSNG ATTACHMENTS REVIEWED RETURNED FORWARDED Administrative Staff , Deputy City Administrator Initial City Administrator Initial City Clerk ( ) EXPLANATION FOR RETURN OF ITEM • • • 7Z AL 4jWVa'--Jh 7Z) F&&q 4MAV!S OF7� RCA Author John Roulette o ® City ®f Huntington Beach 2000 Main Street ® Huntington Beach, CA 92648 ,9� ® OFFICE OF THE CITY CLERK ® JOAN L FLYNN CITY CLERK June18 2008 Roberta Rosen Turbo Data Systems Inc 18302 Irvine Blvd Suite 200 Tustin CA 92780-3464 Dear Ms Rosen Enclosed for your records is a copy of the Services Contract between Turbo Data Systems Inc and the City of Huntington Beach for Citation Processing Services Sincerely Joan L Flynn CIVIC City Clerk JF pe Enclosure Agreement G followup agnntltr Sister Cities Anlo Japan ® Waltakere New Zealand (Telephone 714 536 5227)