SUBJECT/RECOMMENDATION:
Title
Approve a purchase order to ParkMobile LLC, of Atlanta, GA for reimbursement of transaction fees for mobile parking in an amount not to exceed $1,097,454.00, from January 1, 2026 through November 30, 2029, pursuant to Clearwater Code of Ordinances Section 2.563 (1)(c) Piggyback and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
On February 16, 2023, City Council approved a Parking Service Agreement between the City of Clearwater and ParkMobile for Pay-by-Cell parking technology. This contract is set to expire on December 31, 2025. To ensure continuity of mobile parking services, the Parking Systems Division seeks authorization to piggyback on Omnia Contract #158974 (issued by Region XIV Education Service Center in response to RFP 24-S835, - Parking Meters, Software, Systems and Related Products and Services) through a rider service agreement. Under this piggyback, the City will receive more favorable pricing, with a user fee of $0.40 compared to the standard $0.45. The rider will incorporate modifications necessary to maintain the terms and conditions of the City’s original agreement with ParkMobile.
Under the current program, users are charged $0.40 per transaction for using the mobile parking service. ParkMobile accepts traditional credit card and mobile wallet payments (Visa, MasterCard, Amex, Discover, Apple Pay and Google Pay) from end users. All parking revenue, including the transaction fee, is remitted to the City’s Parking Division, which then reimburses ParkMobile for the $0.40 transaction per transaction fee.
For budgeting purposes, Fiscal Year (FY) 24 actuals were used rather than FY25 projections, as parking lot closures from Hurricanes Helene and Milton reduced FY25 transaction volumes. In FY24, the City’s Parking System recorded 602,114 ParkMobile transactions. Utilization has steadily increased over the current contract term and is anticipated expected to continue increasing.
The estimated number of transactions and corresponding fees are based on FY24 monthly averages with an estimated 20% increase projected for 2028 and 2029. The initial term of the Omnia Contract #158974 is from January 1, 2026 - November 30, 2027 (23-months) with two, one-year renewal options. To mirror this contract’s timeframe the estimated transaction fees per period are calculated as follows:
• Initial Term (January 1, 2026-November 30, 2027): 1,154,052 transactions at $.40 each = $461,621.00
• Renewal Option 1 (12.01.27-11.30.28): 722,537 transactions at $.40 each = $289,015.00
• Renewal Option 2 (12.01.28-11.30.29): 867,044 transactions at $.40 each = $346,818.00
Total Estimated Cost: $1,097,454.00
APPROPRIATION CODE AND AMOUNT:
Funding is available in the Public Works-Parking Division cost code 4351333-530300, Contractual Services, funded by revenues from the Parking Enterprise Fund. Funding for future years will be requested as part of the annual budget process.
USE OF RESERVE FUNDS:
N/A
STRATEGIC PRIORITY:
Consent to extend this contract accomplishes
1. High Performing Government, 1.2,1.3,1.5
4. Environmental Stewardship, 4.2, 4.4
