HomeMy WebLinkAboutE.18 - Staff Report - Data Ticket AgreementCONSENT ITEM
E-18
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: SEPTEMBER 15, 2025
SUBJECT: APPROVE PROFESSIONAL SERVICE AGREEMENT RENEWAL FOR DATA
TICKET FOR THE PROCESSING, COLLECTION AND PROVISION OF HEARING
SERVICES RELATED TO ADMINISTRATIVE CITATIONS ISSUED BY THE CITY
BACKGROUND:
Staff routinely reviews the City’s revenue contracts to ensure proper and timely collections. In 2017, the
City evaluated ways to improve the collection of administrative citation fees, which had been a highly
labor-intensive process. To allow Code Enforcement staff to concentrate on fieldwork, the City partnered
with Data Ticket to manage the collection of administrative fines. Outsourcing this function has freed
staff to focus on broader community improvement efforts, with service costs historically recovered
through the citation process. The partnership with Data Ticket has proven to be an effective and reliable
method for fine recovery.
RECOMMENDATIONS:
Staff recommends that the City Council take the following actions:
1)Approve waiving of purchasing procedures under Azusa Municipal Code Sec. 2-539 Waiving of
Purchasing Procedures in best interest of the City; and
2)Authorize the City Manager to execute a renewable professional services agreement with Data
Ticket for the processing, collection and provision of hearing services related to administrative
citations issued by the City for services from 9/19/2025 through 9/18/2028; and
3)Determine that the adoption of this action does not qualify as a “project” as defined in California
Environmental Quality Act (Public Resources Code Section 21000 et seq.) (“CEQA”). Section
15378.
APPROVED
CITY COUNCIL
9/15/2025
Data Ticket PSA Extension
September 15, 2025
Page 2
ANALYSIS:
State and local law authorize the City to issue administrative citations for violations of the Azusa
Municipal Code (A.M.C. §§1-24 through 1-35). Section 53069.4 of the California Government Code
further authorizes local agencies to impose civil penalties or administrative citations as a means of
enforcing municipal code provisions. These citations may be processed in-house (including collections,
accounting, and appeals) or contracted to a third-party provider.
The proposed agreement renews the City’s contract with Data Ticket, Inc. for processing, collection, and
hearing services related to administrative citations. The scope of services remains unchanged from the
original agreement. Staff successfully negotiated favorable terms, maintaining the same per-citation fees
of $16 for manual processing and $14 for electronic processing, with no CPI increases for the duration
of the contract.
Data Ticket has provided these services to the City effectively for several years. Transitioning to another
vendor would create inefficiencies, require additional staff time to transfer data and reestablish systems,
increase overall administrative burdens, and would not likely result in cost-savings. Keeping these
services with the same provider allows for continuity, efficiency, and cost control.
Pursuant to Azusa Municipal Code Sec. 2-539 (Waiving of Purchasing Procedures), staff recommends
the City Council find it in the best interest of the City to waive competitive purchasing requirements and
approve the agreement with Data Ticket, Inc. Historically, the cost of services has been fully recovered
through citation revenues, with the City netting $217,742 over the past five years after processing fees.
ENVIRONMENTAL DETERMINATION:
This action does not constitute a “project” as defined by the California Environmental Quality Act, as
the activity involves entering into an agreement for professional services and does not create a
commitment to a specific project (Public Resources § 21065; Guidelines § 15378).
Fiscal Year Revenue
FY2020-21 $20,347
FY2021-22 $26,678
FY2022-23 $54,314
FY2023-24 $60,828
FY2024-25 $55,575
Total $217,742
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
FY2020-21 FY2021-22 FY2022-23 FY2023-24 FY2024-25
Data Ticket Revenue Collections
FY2020-21 Thru FY2024-25
Data Ticket PSA Extension
September 15, 2025
Page 3
FISCAL IMPACT:
Processing of administrative fines by Data Ticket will be a per-citation cost of $16 for manual processing
and $14 for electronic processing, with no CPI increases for the duration of the contract. The total cost
paid to Data Ticket will be based on the number of fines processed. Data Ticket collects the fines and
their fees from the Fine collections. Overall, having a third-party administer the collection is much more
cost effective than dedicating a Staff member to handle the administrative processing.
Prepared By: Reviewed and Approved:
Richard Lam Justin Edson
Budget & Revenue Administrator Community Improvement Manager
Reviewed and Approved: Reviewed and Approved:
Jose Jimenez Talika M. Johnson
Director of Econ & Comm Dev Director of Administrative Services
Reviewed and Approved:
Sergio Gonzalez
City Manager
Attachments:
1) Data Ticket Professional Services Agreement
2) Data Ticket Proposed Fees