TITLE
Recommendation to request City Attorney to prepare and authorize City Manager to execute all documents necessary to implement an agreement between the City of Long Beach and Central Parking Systems for parking management services in an amount not to exceed $3,806,275 annually, which includes a contingency of 25 percent (or $761,254) should the scope of services expand. (Districts 1,2,3)
DISCUSSION
In January 1999, the City entered into a five-year Operating Agreement with ACE Parking Management, Inc., to manage and operate parking services in a City-owned parking structure in the Downtown area. In response to changing demands, the City issued a Request for Proposals for parking, security and maintenance services in May 2006. Responses were received from eight parking vendors. A review panel consisting of City staff and downtown stakeholders conducted an extensive review including vendor interviews, site visits and discussions with existing clients. The panel concluded and is recommending that Central Parking Systems (Central) be selected as the City's new provider of parking services.
Central has been in business for over 30 years and has an excellent reputation in the industry. They provide a good compensation package for their employees including medical, retirement and paid leave. Employees working for Central are union represented through USCW Local 324. Staff is recommending a three-year term with two, one-year options to renew (maximum of five years from start date estimated May 2007). The Agreement will provide services on an as needed basis for both City and Redevelopment Agency owned parking lots and structures indicated in Attachment A. Major elements of the proposed scope of work are provided in Attachment B. Currently the majority of lots are operated to address demand, and hours are shifted as needed at the direction of the City's Parking Operations Officer. As service needs change, it may be necessary to add or reduce sites under the scope of the proposed contract. Staff is recommending the City Manager be granted authority to utilize Central for parking services at any location, as needed, as long as it is within the annual "not-to-exceed" contract amount.
It is anticipated that it will take approximately five months to fully staff, train and transition Central into the various lots and structures.
This letter was reviewed by Principal Deputy City Attorney Charles Parkin on December 21,2006, and Budget Management Officer David Wodynski on December 20,2006.
TIMING CONSIDERATIONS
City Council action is requested on February 6, 2007 in order to initiate the transition to Central Parking Systems.
FISCAL IMPACT
The new agreement with Central would provide for an all-inclusive billing structure based on hourly rates for various employees. The fee structure is attached as Attachment C. The not-to-exceed limit for the requested Central contract is $3,806,275 annually, or $317,190 per month, which includes a contingency amount of 25 percent (or $761,254 annually) should the scope of services expand. Sufficient funds are currently appropriated in the General Fund (GP) and the Department of Community Development (CD) and are fully offset by parking revenue.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
PATRICK H. WEST
DIRECTOR OF COMMUNITY DEVELOPMENT
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APPROVED: |
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GERALD R. MILLER |
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CITY MANAGER |