TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 32515 with Transworld Systems, Inc., of Rancho Cordova, CA, for external collection services, to extend the term of the contract to November 8, 2023, with the option to renew for two additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is requested to amend Contract No. 32515 with Transworld Systems, Inc. (TSI), a collection agency, to continue providing external collection services. The purpose of extending the contract with TSI is so the City of Long Beach (City) may complete a competitive procurement process to select and implement the City’s first centralized debt collection system.
On November 8, 2011, the City Council awarded a contract to NCO Financial Systems, Inc., now known as Transworld Systems, Inc., as part of its adoption of Request for Proposal (RFP) FM 11-045 to provide collection services for various types of delinquent accounts, which include the following: utilities (gas, water, refuse, and sewer), ambulance transports, false alarms, business licenses, marina fees, City taxes, property damage claims, and other City permits and charges, for a period of two years, with the option to renew for three additional one-year periods.
On October 11, 2016, the City Council authorized the City Manager to extend Contract No. 32515 for a period of one year, with the option to renew for two additional one-year periods. On June 18, 2019, the City Council authorized the City Manager to further extend Contract No. 32515 for a period of one year, with the option to renew for two additional one-year periods. Contract No. 32515 is set to expire on November 8, 2022.
The Commercial Services Bureau in the Financial Management Department (Department) is tasked with pursuing money owed to the City. Department staff work to contact those with a delinquent account and attempt to collect payme...
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