HomeMy WebLinkAboutSS2 - Parking Meter Study SessionOutsourcing Parking Meter Operations &
Enforcement
CENTRAL PARKING SYSTEMS INC.
CITY COUNCIL STUDY SESSION
MARCH 22, 201 1
CURRENT OPERATIONS & ENFORCEMENT
• :• City manages 2,675 metered spaces
:• Meters are outdated and broken & do not accept
credit cards
Collection vehicles need replacement
❖ Current Staffing - Meters are:
Maintained and collected by 3.72 FTEs
❖ Expired meters enforced part time by 3 Community Service
Officers
❖ Net parking meter revenue - $3 million /year.
PARKING METER MODELS IN OTHER CITIES
❖ Other parking operation models:
❖ Charlotte, NC
❖ Chicago, IL
❖ Atlanta, GA
❖ Anaheim, CA
❖ Santa Monica, CA
❖ Long Beach, CA
PARKING METER RFQ - KEY GOALS
❖ RFQ Goals:
❖ Provide Customer Outreach
❖ Improve Quality of Service to Customers
❖ Modernize Parking Meter Infrastructure & Equipment
❖ Maximize Parking Meter Revenue
❖ Improve Parking Meter Enforcement Activities
RFQ EVALUATION CRITERIA
❖ 7 proposals received
❖ Evaluation Committee:
❖ Administrative Services, City Manager's, PD and Fieldman
Rolapp & Associates (financial advisors - consultant)
Evaluation Criteria (rated on a numeric scale):
Customer Service /Outreach
❖ Experience on Similar Projects
Qualifications of Firm and Staff
Proposed Revenue Enhancements
•:•
Infrastructure/ Equipment Replacement Options
Service Deployment
•:• Central /Duncan /SP Plus received the top 3 scores of the
7 proposals (unanimously).
THE TOP THREE
Interview Panel:
•:• Administrative Services, City Manager's Office, PD and City
Attorney's Office
❖ Applied same evaluation criteria - more detailed
discussion with top 3
:• Central's preparation and 3 weeks of on -site assessment
before interview set them above the others
❖ Reference Checks:
•:• 3 references per company
Central's references were all outstanding, and responded
immediately. Highest marks in areas of customer
service /community outreach and revenue enhancements.
PARKING RFQ - SELECTION CRITERIA
• :• $3.01 M Minimum Revenue Guarantee - TO CITY
• :• Consultant's Proposed Operating Costs ( +profit)
Consultant's Proposed Infrastructure /Equipment
Replacement Amortization costs
:• Excess Revenue Share %'s (City % /Consultant %)
RECOMMENDATION: CENTRAL PARKING SYSTEM INC
Central Parking:
:• Received highest marks from reference checks for customer
service /community outreach and revenue enhancements
:- Spent 3 weeks assessing City's current operations and enforcement
processes and talking to customers
Proposed lowest operating costs ( +profit)
Offered a more detailed and thorough plan for infrastructure
replacement
Worked with the City and agreed to the most advantageous revenue
share for the City at 88.5% (City)/ 1 1.5% (Central)
CENTRAL AGREEMENT - REVENUE TERMS
❖ Revenue Terms per Proposed Agreement:
•:• Fi rst $ 3,010,3 51 to City (g uaranteed)
:• As available, $1,186,617 to Central for operating costs +
profit and infrastructure amortization
•:• Anything in excess of $4,196,968 split 88.5% to City
1 1.5% to Central.
Year 3 - Central to receive an incentive of an additional 5%
revenue share making split 83.5% (City) / 16.5% (Central)
Year 5 - Central to receive another 5% revenue share making
split 78.5% (City) /21.5% (Central)
CENTRAL AGREEMENT - OTHER TERMS
7 year contract
:• 2
day
termination
with cause
7
day
termination
without
cause - no penalty
+ Ownership of all parking meter infrastructure remains with City
No rate or hour increases as part of contract. City has sole
authority to change rates, hours of operation or add meters
City employees will have first priority in Central's hiring for
Newport Beach
24 hour response time for complaints (including broken meter
reports)