Title
Parking Meter Contract - Amendment (Ordinance S-48247)
Description
Request to authorize the City Manager, or his designee, to execute an amendment to Contract 135354 with IPS Group Inc. (IPS), to extend the term by three months. Further request to authorize the City Treasurer to accept, and the City Controller to disburse, all funds related to this item.
Report
Summary
The purpose of this amendment is to provide a three-month extension to the existing contract while negotiations occur for the replacement contract. The current contract with IPS will expire on Jan. 27, 2022. No additional funds are needed for this short contract extension.
The Street Transportation Department (Streets) has approximately 1,700 wireless single-space parking meters capable of both coin and credit card transactions through IPS. These smart meters operate on proprietary financial software that utilizes wireless technology for two-way communications with the parking meters to accept and monitor payments, monitor the status and use, provide remote diagnostics, and allow for settings to be changed remotely. Streets has parking meters installed in the downtown and midtown areas of Phoenix.
Streets also operates approximately 540 parking meters that remain in service prior to the initiation of this contract with IPS. These parking meters are coin-only and do not offer credit card transactions or other connected features. These coin-only meters are not impacted by the IPS contract.
This existing meter technology was previously approved by the Information Technology Department.
Procurement Information
A formal RFP procurement was conducted in 2021 in accordance with Administrative Regulation 3.10, and the evaluation panel recommended a vendor. Streets requires additional time to conduct contract negotiations and have a vendor-signed contract before presenting contract recommendation to the City Council. This extension will provide staff the opportunity to complete contract negotiations which are beneficial to the vendor and the City. This extension will allow the City to continue the business relationship without a lapse in service with IPS until the new contract for parking meters is awarded and begins.
Contract Term
The term of this three-month extension will be from Jan. 28, 2022 through April 27, 2022.
Financial Impact
This is an expense and revenue generating contract. No additional funds are being requested at this time.
Concurrence/Previous Council Action
The City Council approved:
- Parking Meter Technology Contract 135354 (Ordinance S-39393) on Nov. 28, 2012;
- Parking Meter Technology Contract 135354 - Amendment (Ordinance S-43895) on Sept. 6, 2017;
- Parking Meter Technology Contract 135354 - Amendment (Ordinance S-44122) and on Dec. 13, 2017; and
- Parking Meter Technology Contract 135354 - Amendment (Ordinance S-46975) with IPS on Oct. 7, 2020.
The Transportation, Infrastructure and Innovation Subcommittee recommended City Council approval for the Street Transportation Department to issue the formal RFP for a successor contract for parking meter services on April 7, 2021, by a vote of 4-0. The City Council approved the issuance of the formal RFP on May 19, 2021.
Location
Council Districts: 4, 7 and 8
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Street Transportation Department.