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HomeMy WebLinkAbout15 FacilitiesCITY OF SAN BERISTAR:DINO - REQUEST FOR COUNCIL ACTION From: James Sharer, Facilities Manager Dept: Facilities Management Date: J ul y 7, 1999 SOU L Synopsis of Previous Council Action None Recommended Motion: 1. Adopt Resolution Subject: Resolution of the Mayor and Common Council of San Bernardino authorizing execution of an agreement with the City of Inglewood relating to the processing of parking citations. 2. Authorize the Director of Finance to amend the FY 99 -00 budget to 1)increase Parking Citation revenue (account number 001 - 000 -4420) by $70,000 to a total of $600,000 and 2) adjust the Facilities Management Budget by adding $56,000 to account number 001- 326 -5502 and decrease $6,000 from account number 001- 321 -5604 and 3) decrease $6,000 correspondingly from the MIS budget. Contact person: James Sharer Supporting data attached: Staff Report FUNDING REQUIREMENTS: Council Notes: Contract with City of Inglewood for parking citation processing James W. Sharer Phone: 384 -5244 Ward(s): All Amount: Net savings to the General Fund of $20,000 Source: r/ `Finance Agenda Item No. IS $114p R9 CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION STAFF REPORT SUBJECT Resolution of the Mayor and Common Council of San Bernardino authorizing execution of an agreement with the City of Inglewood relating to the processing of parking citations. BACKGROUND The City of San Bernardino currently does in house computer processing of parking citations at an approximate annual cost of $12,000 in direct costs. This involves the printing of notices and tracking of citations. This software is 10 years old, is not year 2000 compliant, and lacks many necessary features. The City has been using 9 inch magnetic tapes to communicate with the DMV. The DMV is in the process of eliminating the use of these tapes in favor of IBM cartridges. Because the City does not currently use IBM cartridges it would be cost prohibitive to purchase new hardware and software to perform this function. A number of options were considered to replace the current system, including: purchase of new software and hardware, contracting out the citation processing /adjudication system, and a combination of purchase of software and lease of equipment. After reviewing the options we recommend that we contract with the City of Inglewood. To date , 77 cities contract with Inglewood for this service. All cities contacted regarding their performance highly recommended this service. No other processing options included the features and connectivity Inglewood offers without a significant increase in price. The City of San Bernardino would connect via existing frame relay, giving connectivity to all necessary personnel. Processes which currently take months to complete would take days under the new system. Customer service would be greatly improved due to more current and correct data being available and through the improved adjudication tracking process. Inglewood will provide San Bernardino with online access to the DMV. Access to DMV records is necessary to obtain registered owner information to facilitate collections through the use of mailings and DMV holds. State law requires we mail a notice to the registered owner of a vehicle. Inglewood will print and mail these delinquent notices for San Bernardino. The registered owner of a vehicle has 14 days from the mailing of the notice to appeal the citation or 21 days to pay it without additional penalty. Online DMV access allows the mailing of these notices to coincide with the time limits required from the original citation. This results in less confusion about when late fees are attached. Online DMV access also provides immediate current registered owner information. This greatly reduces the occurrence of vehicles being sold prior to that data being obtained through other means. Online DMV access results in an overall higher collection rate. The City of Inglewood will provide the software for San Bernardino to track all parking citations through the payment process. The City's current system has the ability to track all parking citations but does NOT have the ability to process payment plans. State Law requires cities to offer a payment plan to violators. Currently, payment plans are processed manually. The software Inglewood offers will allow San Bernardino to computerize its payment plans. The City of Inglewood offers the most innovative collections available in the industry. DMV holds will be placed automatically and can be removed through online DMV access. Inglewood will place offsets against State Tax Returns and /or Lottery Winnings. Inglewood will pursue other collection means when necessary. Inglewood will input all handwritten citations into the system. Inglewood will take mail in payments of citations and will do a wire to the City to transfer the money collected on a monthly basis. Inglewood will provide Facilities Management with detailed reports that staff will review to ensure the correct revenue amount is sent and all cites are accounted for. Currently, San Bernardino tracks the adjudication process manually. When someone appeals a citation, it is reviewed by an administrator and a decision rendered. This decision is then typed, submitted for signature, mailed to the appellant, and filed manually. The same process is used for citations that go hearing. Inglewood's software provides built in responses and electronic filing of decisions. This will greatly reduce the time it takes to adjudicate a citation and will allow a higher level of customer service. Existing citation data will be provided by San Bernardino and Inglewood will incorporate it into their system. This is necessary because, as stated earlier, current software used by San Bernardino is not year 2000 compliant. Past citations will be subject to all collection means available through the City of Inglewood. The City of Inglewood will be compensated for processing all existing citation data at a rate of 15% of gross revenues collected, after the City signs an agreement. Inglewood will provide San Bernardino with handheld computers for writing parking citations. This eliminates the cost and error potential of entering cites into the database by hand. They will provide a computer to automatically download these handhelds nightly and upload them into the system. Inglewood will provide monthly reports to San Bernardino as well as the ability for San Bernardino to compose and print custom reports. All of these changes will, for the most part, be transparent to customers. Customers will still have the ability to pay or adjudicate a citation in City Hall. They will talk with City of San Bernardino employees when they have questions about parking citations. Forms and payment addresses will be the only changes customers see. For an additional fee, Inglewood offers administrative support by telephone, however, San Bernardino is not opting for this. It would mean telephone customers would speak with Inglewood employees while walk -in customers would speak to San Bernardino employees. The risk of customer service problems is too great under this scenario. FINANCIAL IMPACT Based on the following individual costs, the estimated annual cost to be billed monthly by the City of Inglewood is $56,000 (this is based on an average 25,000 per year). Citation Processing $1.25 per citation Delinquent Notices .50 per citation Manual Entry .15 per citation Payment Processing .18 per citation Facilities Management will review and approve all appropriate costs for payment. In order for payments to be processed, the Facilities Management Parking Citation budget will have to be amended to add $56,000 to Professional /Contractual (account number 001 - 326 - 5502). With Inglewood's improved collection methods, it is estimated that the City of San Bernardino's parking citation revenues will increase annually by $70,000. In addition, there is approximately $6,000 in MIS costs (this includes citation late notice printing costs) currently in the Facilities Management budget (account number 001 - 321 -5604) and correspondingly in the MIS budget that can be eliminated. These two items produce a total savings of $76,000 which is not only enough to cover the $56,000 annual contract costs but there is a remaining net savings of $20,000 for the City's General Fund. RECOMMENDATION 1. Adopt Resolution 2. Authorize the Director of Finance to amend the FY 99 -00 budget to 1)increase Parking Citation revenue (account number 001 - 000 -4420) by $70,000 to a total of $600,000 and 2) adjust the Facilities Management Budget by adding $56,000 to account number 001 - 326 -5502 and decrease $6,000 from account number 001- 321 -5604 and 3) decrease $6,000 correspondingly from the MIS budget. N"P I Resolution No. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF SAN 3 BERNARDINO AUTHORIZING EXECUTION OF AN AGREEMENT WITH THE CITY OF INGLEWOOD RELATING TO THE PROCESSING OF PARKING 4 CITATIONS. 5 6 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE 7 CITY OF SAN BERNARDINO AS FOLLOWS: 8 9 SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and directed 10 to execute on behalf of the City of San Bernardino an agreement with the City of Inglewood 11 relating to citation processing services, a copy of which is attached hereto as Exhibit A and i 12 incorporated herein by reference. 13 SECTION 2. The authorization granted hereunder shall expire and be void and of no 14 j further effect if the agreement is not executed by both parties and returned to the Office of the 15 City Clerk within 60 days following effective date of the Resolution. e 16 17 1 19 i 20 21 22 23 j 24 25 26 27 23 _ ,� 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH THE CITY OF INGLEWOOD RELATING TO THE PROCESSING OF PARKING CITATIONS. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on , the day of , 1999, by the following vote, to wit: Council Members: Ayes NaU Abstain Absent ESTRADA .LIEN I 1gCGINNIS i SCHNETZ (VACANT) ANDERSON MILLER The foregoing resolution is hereby approved this 11999. Approved as to form and Legal content; James F. Penman, City Attorney C 2 City Clerk Judith Valles, Mayor City of San Bernardino day of C I T Y O F �an Bernardino R A C H E L C L A R K C I T Y C L E R K August 18, 1999 Mr. Dean Viereck, Management Information Systems (MIS) Department City of Inglewood 1 Manchester Boulevard P. O. Box 6500 Inglewood, CA 90301 Dear Mr. Viereck: At the Mayor and Common Council meeting of August 16, 1999, the City of San Bernardino adopted Resolution 1999 -210 approving an agreement with the City of Inglewood relating to the processing of parking citations. Enclosed is one (1) original agreement. Please sign in the appropriate location and return the original agreement to the City Clerk's Office, ATTN: Melanie Miller, P. O. Box 1318, San Bernardino, CA, 92418 as soon as possible. Please retain a copy of the executed document for your files. Please be aware that the documents are null and void if not executed within sixty (60) days — October 15, 1999. If you have any questions, please do not hesitate to contact me at (909) 384 -5002. Sincerely, Melanie Miller Senior Secretary P. O. B O X 1 3 1 8, S A N B E R N A R D I N O, C A 9 2 4 0 2 3 0 0 N O R T H 0 S T R E E T S A N B E R N A R 0 1 N 0. C A L I F O H N I A 9 2 4 1 8 - 0 0 0 1 ( 9 0 9) 3 8 4 - 5 0 0 2 ( 9 0 9) 3 8 4 5 1 0 2 F A X -( 9 0 9) 3 8 4- 5 1 5 8 T D 01 T T Y -( 9 0 9) 3 8 4- 5 5 4 0 1999 -210 PARKING TICKET PROCESSING Exhibit A THIS AGREEMENT made and entered into this day of Qu f /G 1999, by and between the CITY OF INGLEWOOD, hereinafter referred to as "INGLEWOOD" and the CITY OF SAN BERNARDINO, hereinafter referred to as "SAM BERNARDINO"; WHEREAS, SAN BERNARDINO is desirous of obtaining computer services to automate its parking citation processing; NOW, THEREFORE, in consideration of the premises, the parties hereto agrees as follows: I SCOPE OF SERVICES gat 1. CITATION PROCESSING SERVICES - (A) INGLEWOOD-will provide the capability for SATIN BERNARDINO to add new citations to the current Citation Master File. (B) INGLEWOOD will provide the capability to enter cash payments to the system, and after balancing, update the current Citation Master File with payment data. (C) INGLEWOOD will provide the capability for SAN BERNARDINO to correct cash and citation errors. (D) INGLEWOOD will provide the capability for SAN BERNARDLNO to print all reports required to audit and control the process performed as (A), (B), and (C) preceding. (E) INGLEWOOD will provide a monthly summary of citations entered, citations paid, and citations cleared. (F) INGLEWOOD will obtain vehicle registration data and add to the Citation Master File so notices of delinquency can be mailed. (G) L;GLEWOOD will prepare "Final Notice of Illegal Parking" for delinquent citations. This final notice shall contain the information specified in Section 40207 of the Vehicle Code. These notices to be either sent to SAN BERNARDINO or mailed depending upon SAN BERNARDINO's request. All postage charges will be paid by SANI BERNARDINO. (H) NGLEWOOD will prepare a computer output supporting the notices prepared for mailing. (I) NGLEWOOD will prepare notification of citations going to lien for DMV. A supporting computer output to be prepared for SAN BERNARDNO. (J) DGLEWOOD will delete any unpaid citations pursuant to DINIV procedures based on the last entries to the "Purging Months Complete and Incomplete" fields of the City control record. (K) E GLEWOOD will maintain a historical backup file of all paid and purged citations based on the last entries to the "Purging Months Complete and Incomplete" fields of the City control record. (L) INGLEWOOD will adhere to a mutually agreeable citation processing schedule. 1 1999 -210: QVI) INGLEWOOD will coordinate with the state Drv[V to prepare a vehicle registration hold (lien) for each citation processed by INGLEWOOD which meets the statutory requirements of the DMV lien process. (N) INGLEWOOD will provide SAN BERNARDINO video display terminal(s) and/or personal computer(s), printer(s) and requisite maintenance for direct connection into the INGLEWOOD Computer Center. A frame relay line is to be acquired and paid for by SAN BERNARDINO. (0) All SAN BERNARDINO citation data remains the sole property of SAN BERNARDINO. (P) SAN BERNARDINO agrees to pool half of all money collected from citatians issued to out - of -state vehicles into a Replacement Hardware fund for the purpose of replacing and/or repairing on -site equipment. (Q) INGLEWOOD reserves the right when necessary, with prior notice and consent to make the entire system unavailable, for hardware and software maintenance. It is understood that the event will be rare, and that consent will not be unreasonably withheld. 2. DELINQUENT CITATION PROCESSING SERVICES - (A) SAN BERNARDINO agrees to fully cooperate with INGLEWOOD. (B) To provide INGLEWOOD with all information deemed necessary for the performance of its services under this Agreement. II COMPENSATION 1. CITATION PROCESSING SERVICES - SAN BERNARDINO agrees to pay INGLEWOOD for it's services the sum of $1.25 /citation processed by the system for the first 50,000 citations. Over 50,000 citation the sum of $.95 /citation and over 200,000 the sum of $.75 /citation, plus the prevailing U.S. first class postage rate, plus a 5 cent mailing service charge for each Illegal Parking notice postcard or a 9 cent service charge for each letter it chooses to hale mailed by INGLEWOOD. Mailing services are optional and may be initiated or discontinued by SAN BERNARDINO at any time. Invoices for services rendered under this Agreement will be prepared by INGLEWOOD and submitted to SAN BERNARDINO on a monthly basis. Invoices are to be paid within thirty (30) days after receipt. Should SAN BERNARDINO require the assistance of INGLEWOOD in the data entry of citations, the processing of cash payments, or the handling of administrative questions, these services will be provided at the City's current rates (per schedule 1), subject to annual adjustment by mutual agreement of the parties or their designated representatives). 2. DELINQUENT CITATION COLLECTION SERVICES INGLEWOOD will, allow SAN BERNARDINO to participate in INGLEWOOD's Delinquent Citation processing program. Said program includes the mailing of individually prepared collection letters and, if requested by SAN BERNARDINO, the placing of offsets against the violator's State Tax Returns and/or Lottery Winnings. In addition, other similar collection efforts may be included 2 1999 -210 ; under the program as authorized by SAN BERNARDINO and agreed to by INGLEWOOD. The fee for said services, if authorized, shall be 15% of the gross revenues received from citations processed using any of the above described collection mechanisms. In addition, the direct expenses associated with this process (not to exceed $2.00 /citation :$0.50 for delinquent letter mailing charges and $1.50 for State Offset Services) will be deducted from the gross revenues. The City also agrees to authorize the Project Manager, at his/her sole discretion, to allow Inglewood to direct the $3.00 registration hold fee that would have otherwise been paid to the DMV to be used to offset direct costs in the processing of delinquent accounts, when, and as applicable as a part of a delinquent strategy. 3. CONVERSION The fees for the conversion of SAN BERNARDINO's existing system to the INGLPArOOD Citation Processing System will be as follows: $0.35 /citation for all citations that do not require either delinquent notices or the placing or removal of DMV registration holds and $0.75 (plus postage and mailing expenses) for all other citations. Optionally, rather than paying for a conversion on a per citation basis, SAN BERNARDINO may compensate INGLEWOOD for conversion in the amount of 15% of gross revenues received, after the date SAN BERNARDINO approves this agreement, from all citations issued prior to the date SAN BERNARDINO's data base is converted. III CONFIDENTIALITY OF DOCUMENTS All of the data prepared assembled, or maintained by INGLEWOOD under this Agreement are confidential and INGLEWOOD agrees that they shall not be made available to any individual or organization without the prior written approval of SAN BERNARDINO, or upon proper court order. All SANI BERNARDINO citation data shall be the property of SAKI BERNARDINO IV DISCRIMINATION INGLEWOOD agrees that during the performance of this Agreement, it will not discriminate against any employee or applicant for employment because of race, creed, color, sex, age or national origin. V DURATION This Agreement to remain in effect, until canceled by either party, with a 90 day written notification. At such time, INGLEWOOD agrees to provide SAN BERNARDINO, in computer readable form, a copy of all data files necessary to process its citations. VI INDEMNIFICATION A. Neither SAM BERNARDINO nor any officer or employee of SAM BERNARDINO shall be responsible for any damage or liability occurring by reason of anything done or omitted to be done by INGLEWOOD under or in connection with any work, authority or jurisdiction delegated to INGLEWOOD under this Agreement. It is also understood and agreed that, pursuant to Government Code Section 895.4 INGLEWOOD shall fully indemnify, defend and hold SAN BERiVARDINO harmless from any liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of anything done or omitted to be done by INGLEWOOD under 3 1999 -210 , or in connection with any work, authority or jurisdiction delegated to INGLEWOOD under this Agreement. B. Neither INGLEWOOD nor any officer or employee of INGLEWOOD shall be respom ble for any damage or liability occurring by reason of anything done or omitted to be done by SAN BERNARDINO under or in connection with any work, authority or jurisdiction delegated to SAN BERNARDINO under this Agreement. It is also understood and agreed that, pursuant to Government Code Section 895.4 SAN BERNARDINO shall fully indemnify, defend and hold INGLEWOOD harmless from any liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of anything done or omitted to be done by SAN BERNARDINO under or in connection with any work, authority or jurisdiction delegated to SAN BERNARDINO under dais Agreement. VII 4 • CHANGES No change, amendmeet or modification to this Agreement shall be effective unless it is in writing, signed by the parties hereto. VIII ENTIRE AGREEMENT This Agreement shall constitute the entire Agreement between the parties. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above. ATTEST City Clerk Hermanita Harris APPROVED AS TO FORM City Attorney Charles Dickerson ATTEST 4 M. CITY OF INGLEWOOD Mayor Roosevelt Dom CITY OF SAN BERNARDINO B Be ty Dean Anderson Mayor Pro Tem APPROVED AS TO FORM AND LEGAL CONTENT. James F. Penman, City A orney Sy: 1999 -210 � W � U z v U ca �-- o vn -- oo --• M to M 609. : ° C4 LT : ton z o U o 4 C/1 C/1 z > Z ¢ J n zi