DATE:
May 17, 2022
TO:
Mayor and Council Members
FROM:
Nils Bentsen, City Manager
BY:
Melinda Sayre, Director of Government Services/City Clerk Jacquelyn Castillo, Administrative Analyst
SUBJECT:
Contract with Data Ticket, Inc. for Collection Services
RECOMMENDED ACTION
It is recommended that the City Council authorize the City Manager to execute a three-year sole source contract with Data Ticket, Inc. in a not-to-exceed contract amount of $302,250, with an optional extension of two years, for the management and collection of citations, cost recovery, appeals, and hearing officer services.
BACKGROUND
In 2012, the City contracted with Data Ticket, Inc. (Data Ticket) to provide for the management and collection of citations, cost recovery, appeals and hearing officer services. In 2015, the City also re-instituted the use of the special assessment program offered by the County of San Bernardino for collection of outstanding fines. These two programs are used in conjunction to collect fines and fees due from enforcement procedures.
ISSUES/ANALYSIS
From January 1, 2018 through February 28, 2022, collections from Data Ticket have resulted in a total revenue of $669,535 from administrative citations, parking citations, DUI fees, and the Police Multiple Response Program, totaling $208,817.
The annual fees incurred by the City for Data Ticket currently average approximately $100,750 per fiscal year, with fluctuations based upon the number of citations written through the various programs and the number of hearings held.
The Data Ticket contract is unique in that the City and Data Ticket have a joint escrow account through which revenue and payments are passed through. Data Ticket collects fines on behalf of the City and each month reconciles the amount due to the City after payment of their fees. As such, there are budgeted funds each year to pay the Data Ticket invoices.
Staff intends to continue using Data Ticket, Inc. to provide hearing officer services, parking citation processing and processing of citations for the Police Multiple Response Program, Truck Route Program, Off-Highway Vehicle citations, DUI fee collection, Building and Safety Administrative Fines, and special cases in Animal Control and Code Enforcement where collection through means besides the special assessment program is the most appropriate means of collection of fines.
Parking citation processing must be adjudicated and serviced by an agency able to make inquiries with the Department of Motor Vehicles; Data Ticket has that authority. Further, unpaid parking citations are recovered through the DMV registration process, which typically occurs on an annual basis.
FISCAL IMPACT
Funding for this contract will continue to be included in the annual operating budget.
ALTERNATIVE(S)
Provide alternate direction to staff.
ATTACHMENT(S)
None.
Page PAGE 2 of NUMPAGES 2
Staff Report to the Mayor and City Council
Contract with Data Ticket, Inc.
May 17, 2022
City of Hesperia
STAFF REPORT
CITY OF HESPERIA
STAFF REPORT