AGREEMENT FOR PROCESSING PARKING CITATIONS
AGREEMENT FOR PROCESSING PARKING CITATIONS
This Service Agreement is made by and between
Citation Management, a division of Professional
Account Management LLC, 633 W. Wisconsin
Avenue, Suite 1600, Milwaukee, WI 53203,
hereinafter referred to as "Contractor" and The City
of CLEARWATER, FL, a municipal corporation
existing under the laws of the State of Florida, P. O.
Box 4748, Clearwater, Florida 33758-4748,
hereinafter referred to as "Agency" and entered into
this jJ.~day Of_~ ' 2005. The
parties intend by this greement to provide for the
processing of fines, penalties, and forfeiture thereof,
in connection with the issuance of citations for
parking violations, and the collection of delinquent
parking fines and penalties pursuant to the code of
ordinances of the City of Clearwater and Florida
State Statutes. In the furtherance of this purpose,
the parties do hereby agree to the following terms
and conditions, specified herein as defined in the
Request For Proposal (#22-05) Addenda to the RFP
#22-05 dated April 18, 2005, Citation Management's
response to the RFP #22-05 dated April 26, 2005
and Citation Management's letters dated June 16 and
June 30, 2005.
ARTICLE I u, PROCESSING
1.1 REFERRAL AND
RECONCILIATION
Contractor shall receive and process parking
citations, which the Agef"cy mails or delivers to the
Contractor. The Agency shall deliver, mail, or
transmit all parking citations issued daily. The
Contractor will make three (3) drop box pickups of
parking citations each week at one (1) location to be
determined within the City of Clearwater. The
Contractor will provide a local bonded courier service
to empty and secure the contents of the drop box
and have delivered to the Contractor overnight.
Contractor will provide a daily reconciliation of the
number of citations delivered by the Agency.
1.2 COMPUTER PROGRAMS AND
HARDWARE
Contractor will provide all the computer programs,
written procedures and other supporting items used
in carrying out the purpose of this Agreement. The
Contractor shall provide the Agency with the Model
Series X3 AutoCITE Handheld Computers. The
Contractor shall be responsible for the warranty and
maintenance of all the hardware and software
including the AutoCITEs and other computer
equipment listed on Exhibit A. The Agency is
responsible for any damage, loss, and/or theft of
any/all computer hardware, software, and/or
equipment used by the Agency at the Agency
location .,
1.3 BASE PROCESSING
Citations issued by the Agency (AutoCITE or manual)
will be entered onto the Contractor's Service Center
Computer System and cleared upon payment or
other disposition. Requests for Registered Owner
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information will be sent to the appropriate'
Departments of Motor Vehicles (DMV). The Notice
of Illegal Parking (NOI) will be generated to the
Registered Owner and the penalty or fine amount
requested. Return payments will be made directly to
the Contractor. DMV registration holds will be placed
on vehicles having unpaid parking fines and fees due
against those vehicles according with the Florida
Vehicle Code and other applicable state and local
laws. The Contractor will be responsible for any
and all Court, State, and DMV charges for the hold
placement. DMV holds shall be removed through
DMV when the registered owner satisfies the entire
amount of parking citation fines, fees, and penalties
due against the vehicle. Once the citations have
been entered into the system, it will be the
Contractor's responsibility to complete all the
processing required by the Agreement, even after
the termination of the Agreement.
1.4 NOTICE GENERATIONS AND
MAILING
The Notice of Illegal Parking (NOI) will be generated
by Contractor and mailed by the Contractor to the
Registered Owner requesting the penalty and/or fine
amount due. Postage for the notices will be paid by
the Contractor. Return payments will be made
payable to the Agency and mailed directly tothe
Contractor. The Contractor will complete all
collections and banking activity.
1.5 SUSPENSION OF PROCESSING
Contractor shall suspend processing any citation
referred to it for processing upon written notice to do
so by the Agency. Contractor shall maintain records
indicating any suspension of a citation as a result of
Agency's request. Contractor shall be paid the
contractual rate hereinafter provided for processing
these suspended citations.
1.6 COMPUTER SYSTEM
Contractor will prOVide Agency with Internet inquiry
capability at the Agency location for inquiry into the
system for retrieval of parking citation information.
This capability will be in the form of five (5)
concurrent user licenses installed at the Agency
location. The Agency will be responsible for all
connection and/or line costs.
1.7 CONTESTED CITATIONS
In the event a registered vehicle owner disputes the
liability for the outstanding parking citation, the
Contractor shall advise the registered vehicle owner
of his/her right to request a court appearance, or an
administrative review or hearing by the Agency.
1.8 CITATIONS DISPOSED OF BY
REVIEW HEARING OR COURT
The Contractor, as a result of an administrative
review or hearing, or court action, may be required
to reduce, cancel or void, on an individual basis,
parking citations, which have been referred to it.
Contractor shall be paid the contractual rate
hereinafter provided for processing the citation
7/12/2005
regardless of the outcome of such action. Contractor
shall maintain records indicating any reduction or
cancellations of parking citations as a result of such
action.
1.9 SERVICE OPTIONS
Agency shall receive, and pay for services as
outlined in Attachment "A" (Schedule of Fees).
1.10 OUT-OF-STATE CITATIONS
FOLLOW-UP COLLECTIONS
Parking citations issued on out-of-state registered
vehicles will be entered onto the system the same as
in-state citations. If they become delinquent (as
specified in Attachment A) a collection follow-up
process will be completed by the Contractor.
Requests for registered owner information will be
sent to the appropriate state agency and delinquent
notices will be mailed. The fine and penalty amounts
will be requested from the registered owner and
instructions issued for payment to be to the
Contractor. The fee for this follow-up collection
service is listed on Attachment "A".
1.11 COLLECTION AND DEPOSIT OF
FUNDS
At the direction of the Agency, the Contractor shall
collect and deposit monies received for the payment
of parking citation fines and fees i:1to the Agency's
parking fine processing bank account at a financial
institution designated by the Agency. The Agency will
be responsible for all costs related to the Agency's
parking fine processing bank account. Contractor
will receive payments from vehicle owners through
the mail andwillprovideandmaintainat.it.s expense
a Post Office Box for receipt of parking citation
payments at a Post Office of the Contractor's choice
local to the Contractors designated Payment
Processing Center.
1.12 IVR PAYMENTS
Contractor shall provide the public with the ability to
pay parking citations using an accepted credit card
via the Contractor provided Interactive Voice
Response system. The cost for this service,
including credit card discount fees, will be recovered
by the Contractor in the form of a convenience fee
assessed to the violator for each such credit card
payment. Funds received from credit card payments
made via the Contractor's IVR system will be
deposited to a Merchant Services Account
maintained by the Contractor at the Contractor's
expense. The balance of the Merchant Services
account will be transferred to a bank account
designated by the City on a weekly basis.
1.13 INTERNET PAYMENTS
At the option of the Agenr.y, the Contractor shall
provide the public with the ability to pay parking
citations using an accepted credit card via the
Contractor provided Inter:1et payment site.
The costs for this service, including credit card
discount fees, will be recovered by the Contractor in
the form of a convenience fee assessed to the
violator for ear.h such credit card payment. Funds
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received from credit card payments made via the
Contractor's Internet system will be deposited to a
Merchant Services Account maintained by the
Contractor at the Contractor's expense. The balance
of the Merchant Services account will be transferred
to a bank account designated by the City on a
weekly basis.
ARTICLE II - GENERAL
2.1 PUBLIC INQUIRIES
The Contractor will process telephone calls, and
correspondence. Explanations of the process for
contesting violations, including the judicial appeal of
the administrative review, hearing, or court
appearance that may come to the attention of the
Contractor, will be handled by the Contractor with
the gUidelines set forth in the Vehicle Code and the
Agency. The Contractor, under strict gUidelines of
the Agency or Court, will schedule Court and/or
Agency Hearings and Administrative Reviews where
applicable.
2.2 CONTRACTOR LIMITATIONS
Contractor may not do any of the following, without
Agency's prior approval, in writing:
(a) Take any legal action;
(b) Threaten any legal action; or
(c) Make any communication, oral or
written, regarding potential legal action.
(d) Disclose any information regarding
driving records or registration information which is in
violation of the provisions of the laws of the State of
Florida.
2.3 USE OF APPROVED FORMS
All forms, delinquency notices, and correspondence
sent by the Contractor must conform to State and
local law and Agency procedures, and be approved
by the Agency.
2.4 TAXES AND FEES
The Contractor will meet any Agency requirements
for a Business License, Local or State Sales or Use
Taxes, but the cost of such license, state or local
taxes, or any other recurring fees will be the
responsibility of the department operating our
systems. The Contractor will pay these taxes or fees
when required.
ARTICLE III - COMPENSA TION
The Agency shall compensate the Contractor for
services according to the Schedule of Fees attached
hereto as Attachment "A" and the terms of this
Article III.
3.1 PROCESSING SERVICES
For performance of the processing services described
in Article I, the Agency will pay the Contractor the
rate set forth on the Schedule of Fees, Attachment
A, for each parking citation entered and processed
7/12/2005
by the Contractor, regardless of the ultimate
disposition or processability of such citation. No
extra processing charge shall be made for a citation
determined to be unprocessable pursuant to
paragraph 1.1 and subsequently corrected and re-
entered into the database. Delinquent In-State and
Out-of-State Collection Services, Special Collection
Processing Services and any other follow-up services
are in addition to regular processing as described in
the Schedule of Fees. The contingency fees are only
for delinquent In-State and Out-of-State Collection
Services, delinquent Special Collection Processing
Services and/or any other delinquent follow-up
services, are not for citations in those categories
which are paid prior to referral for Collection
Services.
3.2 BILLING AND PAYMENT
PROCEDURES
Contractor shall provide the Agency on a monthly
basis with a statement and fee analysis that
accurately reflects the fees earned during the
preceding period. Contractor will invoice the Agency
on (llTlonthly basis and the Agency will issue
payment via a check or electronic payment to the
Co.ntractor. Payment terms will be net 20 days from
invoice date. A 1.5% service charge per month will
be assessed on any balance 60 days or greater in
age. The Agency shali either approve or reject the
statement and fee analysis. If these documents are
rejected by the Agency, Contractor will be notified,
and both parties shall use their best efforts to
resolve the disputed items.
3.3 CONSUMER PRICE INDEX
ADJUSTMENTS
The Contractor will be entitled to a cost of living
adjustment to take effect on the first day of contract
year three (3) of this Agreement and each annual
renewal period thereafter based on the United States
Department of Labor, Consumer Price Index, All
Items, Unadjusted, Urban Areas (CPI-U) for the
previous twelve (12) month period ending March
31st. Contractor must notify the Agency in writing
prior to April 30th with the new per ticket fee and the
inflationary rate used to determine the new fee
structure.
ARTICLE IV - TERM OF AGREEMENT
4.1 PERIOD OF PERFORMANCE
The Period of Performance under this Agreement
shall be for three (3) years and shall commence
upon the approval as attested QY the signing by the
Agency and the Contractor.
4.2 RENEWAL
The term of the Agreement may then be
automatically renewed annually for additional two
(2) one (1) year periods at the Agency's option with
the written mutual agreement of both parties, after
the initial three (3) year period.
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4.3 PRICE INCREASES
The Contractor may request other price increases,
thirty (30) days prior to date of the Agreement. Any
increase in price for this Agreement, excepting CPI in
paragraph 3.4, shall require prior written approval by
the Agency.
4.4 TERMINATION
This Agreement may be terminated in writing,
without cause, by either party upon one-hundred
twenty (120) days written notice to the other.party,
from the date of execution of the Agreement. This
Agreement may be terminated upon the failure of
either party hereto to fulfill any of its obligations
under this Agreement provided that the party
aggrieved by such default has given to the other
party written notice of such default and, for a period
of sixty (60) days from the date of such notice, and
the defaulting party has failed or refused to remedy
such default.
4.5 COMPENSATION
Upon termination of this Agreement, Contractor shall
be compensated for parking citations processed
through the date of termination of the Agreement.
4.6 APPROPRIATION CLAUSE
This Agreement shall be subject to the availability of
an appropriation by the City of Clearwater in each
fiscal year; provided, however, that (i) the City of
Clearwater and agrees to use its reasonable best
efforts to obtain such appropriation in its budget,
and (ii) that in the event the City of Clearwater
fails to obtain an appropriation for the services
described herein, the City of Clearwater covenants
and agrees that it will not permit any other person or
entity to provide the same or similar services.
ARTICLE V - CONFIDENTIALITY
5.1 MATERIALS CONFIDENTIAL
All reports, information, data files and tapes
furnished or prepared by the Contractor, its sub-
contractors, successors or assigns (to the extent
hereinafter allowed) for the purpose of transmittal to
the Agency pursuant to this Agreement are
confidentia I.
5.2 CONSENT REQUIRED FOR
DISCLOSURE
No report, information, data files, or tapes furnished
or prepared by the Contractor or its sub-contractors,
successors or assigns, shall be made available to any
individual or organization without the prior written
approval of the Agency, other than individuals or
organizations who are reasonably necessary to
effectuate the terms and conditions of this
Agreement or as required by State law.
7/12/2005
ARTICLE VI - CLAIMS AND ACTIONS
6.1 REASONABLE ASSISTANCE OF
CONTRACTOR
In the event any claim or action is brought against
the Agency relating to Contractor's performance or
services rendered under this Agreement, the
Contra.ctor shall render any reasonable assistance
and cooperation, which the Agency might require.
6.2 AGENCY COOPERATION
In the event any claim or action is brought against
the Contractor relating to the Contractor's
performance of services rendered under this
Agreement, the Contractor shall notify the Agency, in
writing, within five (5) days, of said claim or action.
Agency shall render any reasonable assistance and
cooperation that the Contractor might require.
6.3 INDEMNIFICATION BY
CONTRACTOR
Contractor agrees to indemnify and hold Agency
harmless against any and all liability, costs, and
expenses, including attorney's fees, occasioned by
claims or suits for loss or damages arising out of acts
of the agents, servants, employees, successors, or
assigns (to the extent hereinafter allowed) of the
Contractor during the term of this Agreement.
6.4 INDEMNIFICATION BY AGENCY
Agency agrees to indemnify and hold Contractor
harmless against any and all liability, costs, and
expenses, including attorney's fees, occasioned by
claims or suits for loss or damages arising out of acts
of the agents, servants, employees, successors, or
assigns (to the extent hereinafter allowed) of the
Agency during the term of this Agreement.
6.5 INSURANCE
Contractor shall, at its expense, provide general
publiC liability insurance, in an amount not less than
$1,000,000.00, with the Agency named as an
additional insured, and with the insurance carrier
and form of policy subject to approval by the Legal
Counsel of Agency. Contractor shall prOVide a
certificate of insurance, showing the Agency, its
officers and employees, as an additional insured,
with a provision that the poliCY shall not be canceled
or terminated except upon thirty (30) days prior
written notice to Agency. Upon request by Agency,
Contractor shall furnish the original or a copy of such
insurance coverage, which shall be maintained at all
times during the term of this agreement. In addition
to the said liability insurance, Contractor shall
provide and maintain workers' compensation
insurance as required by law and shall furnish d
certificate to the Agency showing such coverage in
effect.
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ARTICLE VII - SUB-CONTRACTING AND
ASSIGNMENTS
7.1 SUB-CONTRACTING
Contractor is authorized to engage sub-contractors
at the Contractor's expense. Contractor shall notify
Agency of the name, address, and other personal
information reasonably requested by agency
regarding any proposed sub-contractor, within 24
hours after Contractor retains said services. If
Agency disapproves of the use of such sub-
contractor, Contractor shall immediately cease to use
same on Agency's account. This approval by the
Agency may not be unreasonably withheld.
7.2 ASSIGNMENTS
This Agreement may not be assigned without the
prior written consent of t~e Agency.
ARTICLE VIII - INDEPENDENT
CONTRACTOR
8.1 CONTRACTOR'S RELATIONSHIP
The Contractor's relationship to the Agency in the
performance of this Agreement is that of an
independent Contractor. Personnel performing
services under this Agreement shall at all times be
under the Contractor's exclusive direction and
control and shall be employees of the Contractor and
not employees of the Agency. Contractor shall pay
all wages and salaries and shall be responsible for all
reports and obligations respecting them relating to
social security, income tax withholding,
unemployment compensation, worker's
compensation, and similar matters. Neither
Contractor nor any agent or employee of Contractor
shall obtain any right to retirement benefits or other
benefits that accrue to employees of the Agency,
Contractor hereby expressly waives any claim it
might have to such rights.
8.2 EQUAL OPPORTUNITY EMPLOYER
Contractor is an Equal Opportunity Employer and
does not discriminate in the hiring, firing, or other
employment practices engaged in by it.
ARTICLE IX - ENTIRE AGREEMENT
9.1 INTEGRATED AGREEMENT
This contract is intended by the parties as a final
expression of their Agreement and also as a
complete and exclusive statement of the terms
thereof, any prior oral or written Agreement
regarding the same subject matter notwithstanding.
This Agreement may not be modified or terminated
orally, and no modification or any claim of waiver of
any of the provisions shall be effective unless in
writing and signed by both parties.
1'/12/2005
9.2 COMPLIANCE WITH APPLICABLE
LAWS
Contractor agrees to comply with all laws within the
State of Florida governing the conduct of business,
including but not related to laws pertaining to
licenses, taxes, corporate regulations, and collection
practices.
9.3 GOVERNING LAW
Agency and Contractor agree that the law governing
this Agreement shall be that of the State of Florida.
9.4 CONFLICTING INTERPRETATIONS
Should conflict arise between this Agreement and the
documents referenced in the introduction to this
Agreement, the referenced documents shall govern.
WHEREFORE the parties hereto have entered into
the Agreement on the day and year first hereinabove
written. The agreement is to be prepared in
duplicate and after acceptance by the Agency; a
duplicate copy shall be forwarded to the Contractor.
By:
Title:
fre &; rJ,,1A I
Countersigned:
CITY OF CLEARWATER, FLORIDA
.~ ;:/~
~ank V. Hibbard '
Mayor
,~,~~
Br D. Rutr
Assistant City Attorney
Confldential
9.5 NOTICES TO PARTIES
Any notice required under this Agreement to .be
given to either party may be given by depositing in
the United States mail, postage paid, first-class, a
notice addressed to the following:
Contractor:
Citation Management, a division of
Professional Acct. Mgt. LLC
633 W. Wisconsin Ave
Suite 1600
Milwaukee, WI 53203
Agency:
City of Clearwater
Attn: Parking Manager
P. O. Box 4748
Clearwater, FL 33758
~ c;-_
William~
City Manager
Attest:
· A..W~~~~
12m ~;ill Goudeau ,- .......
o - City Clerk - -
Page 5
7/12/2005
ATTACHMENT A
SCHEDULE OF FEES
The processing fee per citation for the period of this
Agreement will be based on the following options:
RATE PER CITATION ISSUED:
$3.13 will be the processing fee.
The fee will be subject to CPI increases as described
in Section 3.3 of the Agreement. Fee is applicable
for parking citations generated by handheld
computers and electronically transferred to Citation
Management and for manual parking citations
processed by Citation Management into the citation
master file. The 1st Delinquent Notice and 2nd
Delinquent Notice mailing and postage are included
in this price.
CONTRACTOR PROVIDED EQUIPMENT:
The Contractor will supply hardware, software and
other equipment required for the purpose of this
Agreement as identified and specified as required for
the Core and Tier 2 Solution in the Contractor's RFP
Proposal (#22-05) dated April 26, 2005, Addenda to
RFP #22-05 and Citation Management letters dated
June 16 and June 30 2005.
ADDITIONAL FEES:
Should the City require the Contractor to prepare
and maii other regularly scheduled Notices, such as
Habitual Offender Letters, the City and the
Contractor will negotiate the fee to be assesed for
said Notices.
IVR/INTERNET PAYMENT USER
CONVENIENCE FEES
The Contractor will assess and collect a convenience
fee from violators who elect to pay their parking
citations using the Contractor provided pay by phone
(IVR) and pay by Internet options. The convenience
fee will be $2.95 per transaction or 5% of the total
for transactions in excess of $100.
DELINQUENT OUT-OF-STATE FOLLOW-UP
COLLECTION PROCESSING:
The fees for Out-of-State citation follOW-Up collection
processing shall be twenty-eight percent (28%)
of the revenue received on Out-of-State citations
that become delinquent, and 80 days has passed
since the issue date. The Contractor will require that
the Agency execute a standard collection services
agreement before undertaking any collection
processing.
DELINQUENT IN-STATE FOLLOW-UP
COLLECTION PROCESSING:
The fees for In-State citation follow-up collection
processing shall be twenty-eight percent (28%)
of the revenue received on In-State citations that
become delinquent, and 80 days has passed from
the issue date. The Contractor will require that the
Agency execute a standard collection services
agreement before undertaking any collection
processing.
C:onfidentiaJ
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DATA CONVERSION:
Conversion of existing Clancy System data files will
not incur any additional charges.
SYSTEM ENHANCEMENTS
System enhancement or customization requests
beyond the five (5) consulting days for design,
development and testing of any reports not included
in the standard reporting suite beyond will be billed
at the rate of $150 per hour.
BACKLOG CITATION PROCESSING:
All original citations, accompanied by all dispositions
for the same period, defined as the backlog, will be
processed by Contractor at no additional charge.