TITLE
Recommendation to adopt resolution authorizing City Manager to execute contracts with ProForce Marketing, Inc., of Prescott, AZ, TASER International, Inc., of Scottsdale, AZ, and leasing partner Municipal Asset Management, Inc., of Golden, CO, for the purchase of taser equipment and accessories, in an amount not to exceed $1,500,000, for a period of five years;
Authorize City Manager to execute related lease financing documents with TASER International, Inc., of Scottsdale, AZ, and its leasing partner Municipal Asset Management, Inc., of Golden, CO, for a total amount not to exceed $1,047,721; and
Increase appropriations in the Debt Service Fund (DS) in the Police Department (PD) by $500,000. (Citywide)
DISCUSSION
City Council approval is requested to enter into contracts with ProForce Marketing, Inc., TASER International, Inc., and its leasing partner Municipal Asset Management, Inc., not Minority-owned Business Enterprises (MBEs), Women-owned Business Enterprises (WBEs), Small Business Enterprises (SBEs), or Long Beach Businesses (Locals), for the purchase oftaser equipment and accessories. The tasers will provide police officers with a less-lethal alternative to their service weapon. ProForce Marketing, Inc., is the sole authorized taser distributor to police departments for Southern California.
The City's taser equipment and accessories that were purchased in 2004 have aged and are now in need of replacement. The PO is requesting authorization to purchase up to 1,100 tasers and accessories, over the next five years, to ensure that officers continue to be equipped to respond with a functional less-lethal weapon when confronted with violent and non-compliant subjects.
City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process if accompanied by a Resolution adopted by the City Council.
This item was reviewed by Deputy City Attorney Kendra L. Carney on July 30, 2014 and by Budget Management Officer Victoria Bell on July 29,2014.
TIMING CONSIDERATIONS
City Council action on this matter is requested on August 12, 2014, to ensure that new taser equipment and accessories are available for Advanced Officer Training Class (AOTC) and Academy Recruit less-lethal weapon training beginning in September 2014.
FISCAL IMPACT
The Police Department (PO) is requesting contract authority with ProForce Marketing, Inc., TASER International, Inc., and Municipal Asset Management, Inc., for the equipment purchase in an amount not to exceed $1,500,000 over a period offive years. The annual contract expense is estimated at $200,000 and will be included in the annual General Fund (GF) budget in the Police Department (PO).
Financing a portion of this purchase will allow PO to receive 945 tasers, equipment, and supplies up front in FY14. The total amount to be financed, including principal and interest for the lease agreement, will not exceed $1,047,721 over the five-year period, which includes an initial payment of $500,000 to TASER in FY 14, funded by existing appropriations in the GF in the PO, and five additional debt service payments estimated at $109,544 each over the five-year financing period starting in FY 15. The financed amount and payments are based on an estimated interest rate of 2.29 percent, subject to change due to market conditions at the time of final execution of the agreement. The annual debt service appropriation will be requested in FY 15 as a technical adjustment to the PO budget.
The difference between the not to exceed purchase amount of $1,500,000 and the amount to be financed under the lease agreement of $1 ,047,721 is $452,278, which is the amount that will be used to purchase up to 155 replacement tasers and equipment through ProForce Marketing, Inc., on an as-needed basis, and will be expended from the PO budget.
The purchase of tasers is a debt service transaction. Therefore, a budget adjustment is necessary to transfer $500,000 from the GF in the PO to the Debt Service Fund (OS) in the PD. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LONG BEACH AUTHORIZING THE CITY MANAGER TO EXECUTE CONTRACTS WITH PROFORCE MARKETING, INC., TASER INTERNATIONAL, INC. AND LEASING PARTNER, MUNICIPAL ASSET MANAGEMENT, INC., WITHOUT ADVERTISING FOR BIDS, FOR TASERS AND ACCESSORIES IN AN AMOUNT NOT TO EXCEED $1,500,000
Respectfully Submitted,
JIM McDONNELL
CHIEF OF POLICE
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER