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CONSIDERATION OF AWARDING OF BID NO. 1213-70, APPROVAL OF CONTRACT NO. K-1213-186 WITH IPS GROUP, INC., IN THE AMOUNT OF $126,615; PERFORMANCE BOND NO. B-1213-82; STATUTORY BOND NO. B-1213-83, AND MAINTENANCE BOND NO. MB-1213-72 FOR AN AUTOMATED PARKING SYSTEM FOR CAMPUS CORNER PUBLIC PARKING.
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BACKGROUND: Parking meter technology has evolved significantly over the past few years. The existing parking meters in the Campus Corner area, which were original installed in the 1970's and upgraded in 2005, are antiquated and only allow payment using coins. Maintenance of these older meters will become more difficult with the passage of time.
Recently, the Campus Corner Merchants Association approached the City of Norman requesting more modern meters with additional payment options, such as payment by either credit card/debit card or payment by cell phone, and a revamping of the parking management business plan for the area (e.g., longer time limit from one hour to two hours and an hourly rate increase from 25ยข to $1.00 for the first hour and $2.00 for the second hour).
The Council Community Planning and Transportation Committee discussed the matter on October 22, 2012. Staff presented two different alternatives for the new system. The first one involves the installation of thirteen multi-space parking meter stations similar to the ones recently installed in the Downtown Parking Lot. The second one, which was preferred by the Campus Corner Merchant Association, involves the installation of individual meters at each of the 159 spaces in the Campus Corner area. The Council Committee directed staff to research the pros and cons of the two alternatives and to provide more information at a later meeting. The recent schedule for that Committee has not permitted this issue to be considered. Staff has proceeded with its research, based on an implementation schedule of August 2013.
DISCUSSION: City staff attended a demonstration by one of the vendors of single space smart meters arranged by the Campus Corner Merchants Association. Upon review of the product and follow-up contact with various cities that use the technology, staff concluded that the individual meter alternative is a viable choice for Campus Corner because the product offers all the payment and enforcement options of the multi-space station. One of the more appealing features to area merchants is that individual meters can be placed in front of the parking space thus eliminating the inconvenience that users may experience if required to walk to the nearest multi-space station. At the individual meter location, customers can complete payment transactions using coins, credit cards, smart cards, tokens and cell phones. On the enforcement side, the individual meters also work in tandem with parking space occupancy sensors that track the time remaining on the meters and issue alerts via smart phone or tablet to the Parking Enforcement Officer responsible for the issuance of citations once the meter expires.
Bid packets for the purchase of a Complete Revenue Control System for Campus Corner Public Parking were mailed on Monday, February 25, 2013. Packets and specifications included both the multi-space and single space meter options. Addenda No. 1 and 2 were issued on Wednesday, February 27, 2013, and Monday, March 4, 2013, respectively. Bids were opened on Thursday, March 14, 2013. The complete revenue control system was bid to consist of either thirteen multi-space pay-by-space parking meter stations or 159 upgraded single space parking meters with vehicle parking space sensors for each on-street parking space.
Bid packets were sent to a total of four vendors and the bid was advertised in the local newspaper. Bids were received from three vendors. Only the bid from Duncan Solutions, Inc., of Milwaukee, WI (Duncan) addressed both meter alternatives. A bid from IPS Group, Inc., (San Diego, CA) (IPS) addressed only the single space meters, and the bid from Cale America, Inc., (Tampa, FL) (Cale) addressed only the multi-space meters.
After reviewing the bids, staff has determined that the most cost effective solution for meters in the Campus Corner area is to install upgraded single-space meters rather than multi-space meters. As this also conforms with the merchants wishes, the implementation of multi-space meters is not recommended.
The bid from Duncan for the single-space meters involves a capital cost of $130,581 with $1,351.50 in recurring monthly costs (i.e., monthly wireless fee for sensors). Likewise, the bid from IPS involves a capital cost of $126,615. IPS also locked in a recurring monthly cost of $1,470.75 for ongoing monitoring issues. In terms of a schedule offered by the vendors, the bid from Duncan indicates that a complete system could be delivered within four months. Meanwhile, the bid from IPS indicates that a complete system could be delivered within two months. The Campus Corner merchants have expressed interest in an operational system by August 1, 2013, in time for the start of the fall semester at the University of Oklahoma. The IPS bid fits better with this schedule. Given the lower capital cost and the more desirable schedule for implementation, the bid from IPS is recommended for award.
The contractor has also been asked to submit performance, statutory and maintenance bonds for the proposed work. This requirement, which was not included in the original request for bids or the in the subsequent amendments, will require a change order in the amount of $5,000. The contractor will submit the aforementioned bonds and change order at a later date. City Council is asked to consider granting the Mayor the authority to complete the execution of the bonds upon delivery and review by the Legal Department. From the day of the Notice to Proceed, the upgraded parking meters and sensors from IPS can be in Norman ready for installation within sixty days, which will allow complete installation by early July of 2013.
Financing of the Campus Corner Parking Meter Revenue Control System is recommended to be funded through remaining Campus Corner Tax Increment Finance District funds, Materials (account 027-9368-431.63-01; project TF0001).
Staff is also working with the Campus Corner Merchants on the Parking Management Business Plan. The plan, which was discussed with the Council Finance Committee on April 17, 2013, includes proposed hourly meter rates, parking time limits and applicable hours and days of enforcement.
RECOMMENDATION: It is recommended that Bid No. 1213-70 be awarded to IPS Group, Inc., (San Diego, CA) in the amount of $126,615.
Staff also recommends that the Mayor be granted authority to complete the execution of the projects performance, statutory and maintenance bonds upon receipt from the contractor.