HomeMy WebLinkAbout09 - Lease /Purchase of Autocite ComputersAgenda Item No. 9
CITY OF NEWPORT BEACH MEMORANDUM
October 26, 1998
TO: Honorable Mayor and Members of the City Council
FROM: Dick Kurth, Administrative Services Director (acting)
Bob McDonell, Chief of Police
SUBJECT: Lease /Purchase of Autocite Computers
Recommendation:
We recommend that the City of Newport Beach enter into a lease /purchase agreement and
approve a budget amendment to appropriate $19,500 to obtain 13 hand -held Autocite
computerized ticket writers. This new equipment will replace 12- year -old ticket writers currently
in use with the Parking Control Unit of the Police Department.
Executive Summary:
The Police Department and the Administrative Services Department are in agreement that it is
necessary to replace the existing machines. They have become obsolete and increasingly
problematic, and they are not compatible with current technology. The new equipment will
provide performance enhancements in the field and in the processing of the citations. The price
is reasonable, and excellent financing is available. We recommend that procurement be
approved at this time (the beginning of the "off season').
Background:
At the present time, the Police Department owns 13 hand -held "Autocite" parking ticket writers.
These are hand -held computers, which are 12 years old. They have performed well in the field
over the years, but they are not compatible with the remittance processor in the Administrative
Services Department, and their technology has become obsolete. A key factor is the inability of
the current ticket writers to print bar codes or optical character readable (OCR) text. The
equipment is also requiring more maintenance, which results in greater downtime. In addition,
the support computer, a 33mhz, 386 IBM compatible PC, and the software used to operate the
ticket writers have also become outdated, difficult to maintain, and slower in all functions.
The replacement version of the "Autocite," manufactured and sold by Enforcement Technology
Inc., has a backlighted keyboard and display, making it easier to use at night. Its printer is faster
and quieter, and it is considerably more flexible in functions, data storage capability, and overall
usability. The ticket it produces is larger and easier to read, and no ribbon is required (our
current models use a $3.00 ribbon which only lasts for 100 citations). This new unit is
compatible with the Administrative Services Department's computerized processor because each
citation has an OCR readable line. The new machines have been field- tested by several of our
own Parking Control Officers, who determined that they are quite effective and easy to use.
Other models were field - tested as well, but they did not measure up to the level of this equipment
in terms of compatibility, portability, speed, and ease of use.
The conversion to AU[ocile ticket writers will benefit Administrative Services in two key areas:
payment processing and customer service. Processing of OCR readable citations will be faster
and more accurate, since much of the need to hand key information will be precluded. Most
citation payments are mailed in, but walk -up customers presenting Autocite tickets for payment
at the Central Cashiering counter will also benefit from the expedited process.
The total cost to purchase 13 replacements is about $56,000, including the trade -in value for the
old units. The new units carry a full parts and labor warranty for one year, which would result in
a $5.050 savings in maintenance costs for the first year. In light of the current interest rate
market, a three -year lease /purchase plan would be advantageous. A rate in the low 5% range can
be expected, and this would result in a cost of approximately $19,500 a year for three years.
Assuming these rates hold, we recommend financing the procurement with a three -year lease -
purchase agreement.
Recommended Action:
Approve appropriation of $56,000 from General Fund unappropriated surplus Fund Balance to
Police Department (Traffic) capital outlay account I830 -9400 for procurement of replacement
equipment as described above.
Respectfully Submitted.
Dick Kurth
Administrative Services Director (acting)
5. 04
Bob McDonell
Chief of Police
City of Newport Beach
BUDGET AMENDMENT
1998 -99
EFFECT ON BUDGETARY FUND BALANCE:
Increase Revenue Estimates
�X Increase Budget Appropriations AND X
❑ Transfer Budget Appropriations
from existing budget appropriations
from additional estimated revenues
X from unappropriated fund balance
EXPLANATION:
NO. BA- 017
AMOUNT: 519,500.00
Increase in Budgetary Fund Balance
Decrease in Budgetary Fund Balance
No effect on Budgetary Fund Balance
This budget amendment is requested to provide for the following:
To appropriate $19,500 from General Fund unappropriated surplus fund balance for the lease purchase of 13
hand -held computerized parking citation computers (Total Cost of Equipment $56,000).
ACCOUNTING ENTRY:
BUDGETARY FUND BALANCE
Fund Account Description
General 3605 Fund Balance Control
REVENUE APPROPRIATIONS (3601)
Fund /Division Account Description
6010 6100 Proceeds from issuance of lease
EXPENDITURE APPROPRIATIONS (3603)
Amount
Debit Credit
$56,000.00
Division Number
Account Number
Aufomafic Sysfem Enfry.
Signed:
aal Approval: Finance Dire Date
Signed:
Administrative Approval: City Manager Date
Signed:
City Council Approval: City Clerk Date
Description
Division
Number
1830
Police - Patrol
Account
Number
9300
Equipment, NOC $56,000.00
Division
Number
6010
General Fund -Other Financing Sources /(Uses)
Account
Number
9904
Debt Service $19,500.00
Division
Number
Account
Number
Division
Number
Account
Number
Division Number
Account Number
Aufomafic Sysfem Enfry.
Signed:
aal Approval: Finance Dire Date
Signed:
Administrative Approval: City Manager Date
Signed:
City Council Approval: City Clerk Date