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Agenda Report
November 10, 2025
TO: Honorable Mayor and City Council
THROUGH: Finance Committee
FROM: Department of Finance
SUBJECT: AUTHORIZE THE CITY MANAGER TO ENTER INTO A CONTRACT
WITH AVENU GRS, LLC DBA AVENU INSIGHTS & ANALYTICS LLC
FOR THE UPGRADE OF COLLECTIONS SOFTWARE FOR A PERIOD
OF UP TO FIVE YEARS IN AN AMOUNT NOT-TO-EXCEED $443,290 RECOMMENDATION:
It is recommended that the City Council:
1. Find that the action proposed herein is not a "project" subject to the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 21065 and within the meaning of Section 15378(b); and
2. Authorize the City Manager to enter into a contract with Avenu GRS, LLC DBA Avenu Insights & Analytics LLC (Avenu Insights) for the upgrade of collections software for a period of up to five years in an amount not-to-exceed $443,290.
BACKGROUND:
The Municipal Services Collections Division conducts outreach and settlement for various delinquent accounts including property damage, paramedic ambulance services, returned checks, utility accounts, civil citations and various fees and charges. The Division receives an average of 120 new accounts per month, each with an average balance of $700. In Fiscal Year 2025, the division successfully collected a total of $2,034,536.
Staff depends on the use of account management software to assist with their daily activities, and it provides the tools necessary to support outreach, payment tracking, and communication with account holders.
The software that is currently in use, the Columbia Ultimate Debt Collection System (CUBS), is out of date and has since been transitioned to a new updated hosted software product. As such, support for the legacy CUBS system is no longer available, and the MFFTINHOF 11/10/2025AGENDA ITEM NO.4
Authorization to Enter Into a Contract for Collections Software November 10, 2025
system cannot be maintained or updated in its current format. There is a need to transition to an updated software.
The City of Pasadena issued a request for proposals (RFP) for Collections Software on June 17, 2025. Notification of the RFP was sent to 32 vendors, with 36 vendors downloading the RFP document. The City received five proposals by July 15, 2025, in response to the RFP, one of which was a Pasadena company. The selection committee, comprised of staff from the Finance, Water and Power, and Information Technology Departments, independently evaluated the five proposals received in accordance with the evaluation criteria set forth in the RFP. The committee selected two proposals that received the highest evaluation scores for inten/iews. The interviews were held by the selection committee in August 2025 for the proposers to clarify the information in their proposals. The scores for each proposal are provided in Attachment A.
Avenu Insights received the highest overall score. Their score was based on the RFP response, demonstration of the software, and the thoroughness of the various elements of the software they offer to meet the daily tasks needed to conduct outreach to delinquent accounts. The updated collections software Avenu Insights provides will support staff efforts to establish and track various customer accounts, prepare and track payment plans and payment types, generate letters, and send various automated electronic notifications, including text messages. The software also includes various customizable reports capable of creating dashboards and data summaries that enable users to drill down to specific account fields. Due to these capabilities, the panel found the Avenu Insights software to be a great overall fit to meet the City's needs.
Avenu Insights was established in 1978 and possesses over 40 years of experience supporting more than 3,000 state and local governments in all 50 states. The company focuses on revenue recovery and support sen/ices for numerous government agencies, including the City of Los Angeles, Sarasota City in the state of Florida, and the state of Louisiana. They have also supported the City of Pasadena with Utility Users Tax and Transient Occupancy Tax management services. By offering an updated and refreshed version of the CUBS collection software, they have demonstrated a commitment to meeting the various evolving needs of agencies that seek to maximize their revenues by the effective use of advanced software. The cost of the contract for up to five years is $443,290 and includes a one-time implementation cost of $96,700.
COUNCIL POLICY CONSIDERATION:
Approval of this contract award addresses the City Council's goal of maintaining fiscal responsibility.
ENVIRONMENTAL ANALYSIS:
CEQA excludes from environmental review, actions that are not "projects" as defined by CEQA Guidelines Section 21065 and within the meaning of Section 15378(b). Sections 21065 and 15378(b) define a project as an action which may cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. Section 15378 excludes from the definition of "project" continuing Authorization to Enter Into a Contract for Collections Software November 10, 2025
administrative or maintenance activities, such as purchases for supplies and services.
The actions proposed herein, authorizing the City Manager to enter into a contract for the upgrade of collections software, is an administrative activity for the purchasing of sen/ices, and therefore is not a "project" as defined by CEQA. Since the action is not a project subject to CEQA, no environmental document is required.
FISCAL IMPACT:
The total cost associated with this action is $443,290 for up to five years. Funding will be addressed by the utilization of existing and future budgeted appropriations in the Finance Department's Operating Budget in the General Fund (101). There are no indirect or support costs associated with this contract.
Respectfully submitted,
VICKEN j^/IC) ERGANIAN
Acting FFnance Director/City Treasurer
Prepared by:
Ariel Ar^fte
Municipal Services Manager
Approved by:
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'MARQUEZ
City Manager
Attachments): 1
Attachment A: Proposal Evaluation Summary