ORD 2013-18 Amending Ordinance code - CH 44 - Alarm Systems I
ORDINANCE NO. 2013-18
AN ORDINANCE AMENDING THE CITY OF HUNTSVILLE, TEXAS CODE OF ORDINANCES, SPECIFICALLY
CHAPTER 4 "ALARM SYSTEMS"; PROVIDING FOR A PENALTY; MAKING OTHER PROVISIONS AND FINDINGS
THERETO;AND DECLARING AN EFFECTIVE DATE.
WHEREAS, the Huntsville Code of Ordinances, Chapter 4 "ALARM SYSTEMS" provides for the regulation of certain businesses for
the health,safety and public welfare of the City's residents;and
I
WHEREAS,various state laws regulate alarms, alarm companies,alarm installers and alarm sales in the state of Texas;and
WHEREAS, Texas Local Government Code § 214.191 (formerly Texas Local Gov't. Code Ch. 218) authorizes municipal permits for
certain alarm systems;and
WHEREAS,Texas Local Government Code§ 233.091 authorizes county regulation of certain alarm systems and expressly does not
affect the authority of a municipality to enact ordinances regulating alarm systems;and
WHEREAS, City Council finds it necessary to amend its existing alarm regulations to protect the public safety based on changing
technology and use of alarm systems; now therefore
i
WHEREAS,the City Council of the City of Huntsville,Texas now wishes to amend Chapter 4 to help promote the health,safety and
welfare of its residents;
WHEREAS,notice of the agenda for this meeting,was given in accordance with law by posting the same at the place reserved and
designated for notices of public meetings and public activities and prior to the adoption of this ordinance.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE,TEXAS,that:
SECTION 1: The facts and matters set forth in the preamble of this Ordinance are found to be true and correct and are
hereby adopted, ratified,and confirmed.
SECTION 2: Huntsville Code of Ordinances Chapter 4 "ALARM SYSTEMS" is hereby amended by replacing it with the Chapter
4"ALARM SYSTEMS"that is attached hereto as Exhibit"A".
SECTION 3: All ordinances or parts of Ordinances that are in conflict or inconsistent with the provisions of this Ordinance
shall be, and the same are hereby, repealed and all other ordinances of the City not in conflict with the provisions of this
Ordinance shall remain in full force and effect.
SECTION 4: Should any paragraph, sentence, clause, phrase or section of this Ordinance be adjudged or held to be
unconstitutional, illegal or invalid, the same shall not affect the validity of this Ordinance as a whole or any part or provision
thereof,other than the part so declared to be invalid,illegal or unconstitutional.
SECTION 5: This Ordinance,being a penal ordinance,becomes effective ten(10)days after its date of passage by the City Council,as
provided by Article 4.14 of the Charter of the City of Huntsville,Texas.
First Reading Date: April 16,2013
PASSED AND APPROVED on the Second Reading on this the 7th day of May 2013.
THE CITY OF HUNTSVILLE
Mac Woodward, M yor
5APPRTT 5
VED AS TO FORM:
Lee dward, 1 cr nary Le ar Schneider, City Attorney
PUBLISHER'S AFFIDAVIT OF PUBLICATION
THE STATE OF TEXAS, County of Walker
I, Bill Hamilton, of the aforesaid County and State, do solemnly swear that I am interim Publisher
of The Huntsville Item, a daily newspaper of general circulation
which has been continuously and regularly published at Huntsville, Walker
County, Texas, and is a legal newspaper and the attached notice was published
in said newspaper.
City of Huntsville 2 consecutive/subsquent dates previous
to the return day therof to wit:
On 10-May 2013 On 12-May 2013
On 2013 On 2013
On 2013 On 2013
On 2013 On 2013
Jam`-
W!� ' Publisher
Subscribed and sworn to this 13th day of May 2013
Notary Public, Walker County, Texas
NINA HANSEN
My Commission Ex
(Seal) n J MvY 27.2017]
l
5/8/13 Print
From: Lee Woodward (LWoodward@huntsvilletx.gov)
To: nina2hansen@yahoo.com;
Date: Wed, May 8, 2013 8:38:20 AM
Cc:
Subject: Alarm ordinance
Good morning! Could you please run this twice between tomorrow and 5/17? Thank you!
AN ORDINANCE AMENDING THE CITY OF HUNTSVILLE,TEXAS CODE OF ORDINANCES, SPECIFICALLY CHAPTER 4
"ALARM SYSTEMS"; PROVIDING FOR A PENALTY; MAKING OTHER PROVISIONS AND FINDINGS THERETO;AND
DECLARING AN EFFECTIVE DATE. Passed and approved by the City Council of the City of Huntsville on May 7,2013. Lee Woodward,
City Secretary
Lee Woodward, TRMC
City Secretary
City of Huntsville
936-291-5403
IwoodwardCcbhuntsvilletx.gov
1212 Avenue M
Huntsville,TX 77340
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Thank you.
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CITY COUNCIL AGENDA
Cly it 5/7/2013
Agenda Item: 7a
Item/Subject: Consider authorizing the City Manager to enter into a three-year agreement with
CitySupport, LLC, for alarm management services on a revenue-sharing basis.
Initiating Department/Presenter: Public Safety
Presenter: Kevin Lunsford, Director of Public Safety
Recommended Motion: Move to authorize the City Manager to enter into a three-year agreement
with CitySupport,LLC for alarm management services on a revenue-sharing basis.
Strategic Initiative:Strategic Initiative#4- Huntsville is a well-managed, sustainable community that
values its natural resources and provides exceptional public services.
Discussion: Currently, alarm permits, etc. are handled by police department records personnel. Over
the years, this has proven to be unproductive, largely due to manpower issues. The police department
currently has one receptionist and two records clerks — the same manpower as was in place in 1982.
Due to the demands of their job, it is inefficient for them to continue handling alarm management
issues. We have looked at other areas of the police department to which to assign this task, but have
been unable to find a suitable alternative within our agency. With that in mind, research began into
private companies that manage police alarm programs.
During our research, we examined and met with a number of companies that offer these services,
CitySupport, LLC being one such. All of the companies offer the same basic services — managing all
aspects of an alarm program, to include issuing permits, tracking the false alarms, sending notifications,
collecting fees, etc. This is generally done on a revenue-sharing basis, usually an 80/20 or 70/30 split.
CitySupport, offers an 80/20 agreement in which the City receives 80% of any fees collected. This is the
only fee charged by the management company—20%of what they collect.
CitySupport was chosen over other companies because of their competitive rates and their exceptional
customer service. We have been in contact with other police agencies who utilize their services and
have received positive reports. These include great working relationships with CitySupport as well as
significant decreases in their false alarms. The agreement is attached and has been reviewed/approved
by the City Attorney. While this is a 3-year agreement, it may be terminated by either party, with or
without cause, with a 30-day notice. Mr. Steve Popp, Account Manager for CitySupport, will be present
to answer any questions.
Previous Council Action: The first reading of the proposed alarm ordinance amendment was presented
to the Council at the regularly-scheduled meeting held on April 16, 2013. The second reading, and
possible approval,of Ordinance 2013-18 is scheduled for May 7, 2013. If approved, this is the ordinance
that will be managed by CitySupport, LLC.
Financial Implications:
❑There is no financial impact associated with this item.
❑Item is budgeted: In the amount of$
Agenda Item # Page 1
Oltem is not budgeted:
®Item is estimated to generate additional revenue: Based on the number of alarm permits issued in
2012, plus the number of unpermitted alarms responded to during the same year, we can estimate an
income of approximately $4,000 for permit issuance alone: 500 addresses responded to x $10
residential permit fee = $5000 x .80 (80% net from alarm management company) _ $4000. If 2012
statistics remained unchanged for 2013, we would roughly estimate an additional $3160 in revenue for
false alarms. This is based on responding to 79 different addresses in excess of 5 times during the year:
79 addresses x$50 false alarm fee for 5th-8th false alarm = $3950 x .80 (80% net from alarm management
company) _ $3160. Thus, expected revenue could be conservatively estimated at $4000 + $3160 =
$7160 TOTAL. These are very conservative figures based only on the less expensive residential fees(not
the more expensive commercial fees). If, however, the program is properly implemented and
monitored, the false alarms should be reduced as would the false alarm revenue. Although some
revenue would be generated, this is not designed to be viewed as a revenue generating issue, but rather
a compliance issue. Any revenue would go directly into the General Fund.
Approvals: ®City Attorney ®Director of Finance ®City Manager
Associated Information:
• Alarm Management Service Agreement(pages 3-10)
Agenda Item # Page 2
Alarm Management Service Agreement
for the City of Huntsville, Texas
This Agreement (hereinafter "Agreement") is made and entered into by and between CITYSUPPORT,
LLC, a Texas Limited Liability Company ("Company"), and the City of Huntsville, Texas ("City"),
hereinafter individually referred to as"Party" and collectively referred to as the "Parties."
RECITALS
WHEREAS, Company is in the business of providing services to municipalities with alarm ordinances;
and
WHEREAS, City desires to retain Company to administer and manage City's Alarm Management
Program, including collections in accordance with City's Alarm Ordinances.
NOW, THEREFORE, in consideration of the mutual promises and covenants contained in this
Agreement,the parties,each intending to be legally bound, agree as follows:
AGREEMENT
1. Term. This Agreement shall commence on the effective date and continue in full force and
effect for three (3)years thereafter("Initial Term") unless earlier terminated as provided elsewhere in
this Agreement. City has the option to renew this Agreement for an additional three (3)year term and it
may exercise that option by delivering notice to Company at least sixty(60)days prior to the expiration
of the Initial Term.The effective date of this Agreement is
2. Termination. Either party may terminate this Agreement,with or without cause, by providing
the other with notice of termination at least thirty(30) days in advance of the termination effective
date.
3. Scope of Services. Company agrees to perform the services set forth in the Scope of
Services attached hereto as Exhibit "A" ("Services") and incorporated herein by this reference as though
fully set forth.
In the event City determines additional work beyond that contained in the Scope of Services is
necessary for the effective administration of the City's Alarm Management Program, City may request
Company perform this additional work. Following receipt of City's written authorization for the
performance of such additional work, Company shall make all reasonable efforts to perform the
additional work requested, submitting to City itemized invoices for the additional work performed.City
agrees to deliver to Company,within 30 days of the invoice date, payment in full for each such itemized
Agenda Item# Page 3
invoice submitted.
4. Compensation. Company shall be compensated in accordance with the Schedule of
Compensation attached hereto as Exhibit "B" and incorporated herein by this reference as though fully
set forth.
Additionally, the parties acknowledge the terms of this Agreement relating to the Company's
compensation were negotiated and established based upon current City ordinances and fee schedules
applicable to alarm permits in effect on the effective date of this Agreement. In the event there is a
change in any of the fees during the term of this Agreement, as extended from time to time, Company
shall have the right to request modification of this Agreement's compensation terms. Company shall
notify City, in writing, of Company's desire to negotiate new compensation terms and each party shall
engage in good faith negotiations regarding same. If the parties are unable to reach agreement within
thirty (30) days after Company delivers notice to City, Company may terminate this Agreement
immediately upon delivering notice of termination to City.
5. Obligation of City. City shall make available and/or deliver to Company, on a timely basis,
those items Company determines necessary for Company's performance of its obligations under this
Agreement, including, but not limited to, information, personnel, and technical support.
6. Ownership Rights. Company owns the software developed for and to be utilized in the
operation and administration of City's Alarm Management Program ("Application software"),and
Company retains all rights and titles therein and thereto. Company grants to City a non-transferable
limited right to use the application software during the term of this Agreement, solely in connection
with the performance of this Agreement, with said right terminating at the time this Agreement
terminates.
City shall own all data relating to the alarm permits, including the documents prepared by
Company for the purpose of administering and operating City's Alarm Management Program.
Upon termination of this Agreement, each party shall, upon written request from the other
party, promptly return to the other all documents, data, equipment, software, and other material
belonging to, or otherwise owned by, the other party.
7. Confidentiality. The information and material Company receives from City regarding the
individuals and/or businesses covered by City's Alarm Ordinance, or participating in City's Alarm
Management Program,as well as the documents and material Company generates therefrom, are
confidential, and except as required for its performance under this Agreement, Company shall not
disclose confidential information to any third party without City's prior written consent, unless Company
is otherwise required by law to do so. Further, Company shall instruct its personnel to comply with the
restrictions placed on the use and/or disclosure of said confidential information.
Agenda Item # Page 4
a. Hold Harmless. Company shall defend, indemnify, and hold harmless the City, its officers, its
employees, and its agents ("Indemnitees") from and against all loss, damage, expense, liability, claims,
demands,suits,judgments and costs, including reasonable attorneys'fees, arising from the wrongful or
negligent acts or omissions of Company, its employees or its agents, in connection with the performance
of this Agreement.
9. Insurance. Company shall procure and maintain for the duration of this Agreement a
Comprehensive General Liability(CGL) policy with a minimum coverage in the amount of One Million
1 per occurrence and Two Million Dollars 2 000 000.00 in annual aggregate
Dollars($ ,000,000 00) p ($ )
coverage for bodily injury and property damage including coverage for Company's contractual obligation
to indemnify the Indemnitees as required under paragraph 8 of this Agreement.The policy shall include
an endorsement that names City as an additional insured.
The policy shall be issued by a company licensed to do business in the State of Texas with a
claims paying ability rating of"BBB" or better by S&P (or the equivalent by any other Rating Agency) and
a rating of A:VII or better in the current Best's Insurance Reports, unless such requirement is otherwise
waived, in writing, by the City Manager or his/her designee.
Company shall not modify, suspend, void, or cancel coverage under such policy except after
providing City with at least thirty(30) days prior notice.The prior sentence notwithstanding, if coverage
is to be suspended,voided, or cancelled for non-payment of premiums,the notice to City shall be at
least ten (10)days prior notice.
Company shall provide City with a duly executed certificate of insurance for the above coverage,
including additional insured endorsement, prior to commencing performance under this Agreement.
10. Permits and Licenses. Company shall obtain and maintain during the term of this
Agreement,
all appropriate permits, licenses,and certificates that may be required in connection with the
performance of services under this Agreement.
11. Notices. Any notice given in connection with this Agreement shall be given in writing, will be
sent by registered or certified U.S. Mail, postage prepaid, or by commercial overnight delivery service,
by facsimile, or electronic transmission, and will be deemed delivered either on the date of return
receipt acknowledgment(in the case of U.S. Mail), or on the next day after the sending of the notice (in
the case of facsimile or electric transmission notice or overnight delivery service). Notices and other
communications shall be addressed as follows:
Agenda Item 4 Page 5
Address if to Company: Address if to City:
CitySupport, LLC
Post Office Box 850
Howe,TX 75459-0878
kelly@citysupport.com (email)
Attention: Kelly Popp Attention:
Either party may notify the other, in writing,of a new address or contact person to which notices
or other communications are to be delivered.
12. Assignability. Neither party shall be permitted to assign its rights or obligations under this
Agreement without the prior written consent of the other party.
13. Non-Waiver. The failure of either party to exercise any of its rights under this Agreement for a
breach thereof will not be deemed to be a waiver of such rights or a waiver of any subsequent breach.
14. Force Majeure. Neither party will have any claim or right against the other for any failure of or
delay in performance by such other party if the failure or delay is caused by or the result of causes
beyond the reasonable control of such other party, including, but not limited to, acts of God,fire,flood,
hurricane, or other natural catastrophe; terrorist actions, laws, orders, regulations, directions or actions
of governmental authorities having jurisdiction over the subject matter hereof, or any civil or military
authority, national emergency, insurrection, riot or war; inability to obtain equipment, material or other
supplies, or other similar occurrence beyond the control of the affected party.Any such delay or failure
will suspend the affected Services until the delay or failure ceases.
15. Choice of Law. Any dispute under, or related to, this Agreement shall be decided in
accordance with the laws of the State of Texas.
16. Severability. if any part of this Agreement is held unenforceable,the rest of this Agreement
shall nevertheless remain in full force and effect.
17. Entire Agreement. This Agreement is the entire agreement between the parties and it cannot
be amended or modified orally.This agreement may be supplemented, amended or revised only by a
writing which is signed by each of the parties.
Agenda Item# Page 6
I
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date first above
written.
CITYSUPPORT, LLC CITY OF HUNTSVILLE,TEXAS
By: By:
Exhibit"A"
Scope of Services
Generally, Company shall, consistent with City's current alarm ordinance, as amended from time to
time, provide, operate, and maintain City's Alarm Management Program. In connection therewith,
Company is responsible for developing, providing, installing, operating, and maintaining the system
necessary to communicate with City, its Police Department, and those members of its citizenry affected
by the alarm ordinance. As used herein, the term "Company's system" shall mean the equipment,
including, but not limited to computer hardware and software, as well as the personnel and supplies
necessary to carry out and operate City's Alarm Management Program and perform Company's duties
and obligations articulated in the Alarm Management Service Agreement More specifically, Company
shall provide a system capable of performing, producing and otherwise generating the following
outcomes:
1. System Interface. Company's system shall enable Company to communicate with the various
City departments necessary for the effective performance of City's Alarm Management Program,
including, but not limited to,City's Police Department, Further, the system will enable Company to
transfer data between Company and the Police Department's Records Management System (RMS).
2 System Capability, Functionality. Company's system, in addition to interfacing with City's
departments, and as described with more particularity in the paragraphs that follow, shall acquire,
access, assimilate, produce, record and store data relevant to the operation of City's Alarm Management
Program;generate and issue notices, permits and billing statements; track accounts receivables; and
generate reports.
3 Billing and Collection. (a)Company's system shall perform billing and payment collection
functions consistent with the terms of City's alarm ordinance. Except as otherwise provided herein,
Company will generate billing statements that include the following details:
i. the name and mailing address of the individual or business billed;
ii.the nature of the bill (i.e. initial registration, permit renewal, excess alarm fee);
Agenda Item # Page 7
iii. previous amount due;
iv. new charges;
v. payments received (and/or other adjustments);
vi. the current amount due;
vii.the date payment is due; and.
viii. a telephone number with instructions to call should the individual or business have
questions about its bill.
Additionally, billing statements shall include a detachable form to be remitted with payment.
(b) Company's system will provide customers with the ability to make payment on-line, or by
mail. On-line payments may be made by check(electronic funds transfer)or credit card and such
payments shall be processed through a secure site. Payments by mail shall be delivered to a Post Office
Box maintained and managed by Company.
(c) Company's system shall track the occurrence of each incomplete payment brought about by
customer's initiation of a stop payment order, chargeback, or delivery of a bad check of any kind, as well
as the fee, if any,associated with each such occurrence. Company's system shall add any such fee
assessed or otherwise incurred to the balance due from such customer and subsequently deliver a new
bill to customer.
4. Records. In addition to the information necessary for the production of billing statements
under paragraph 3 above, Company's system shall maintain the records necessary for operation of City's
Alarm Management Program, including records of the following information:
L current customers, including name, mailing address, issue date of original registration,
registration expiration date, annual registration renewal date, registration number,type of
registration (residential or commercial), contact person and telephone number
ii. registration number assigned to each customer;
iii. amount due from each customer;
iv. customer payment status (current or delinquent);
v. total customer payments received each day, each week, each month and each calendar year;
vi. total customer payments received broken down by payment date, payment type and
registration number;
vii. a list of customers delinquent in their payments including the amount owed by each such
customer and the total amount owed by all such customers;
viii. the total number of violations for each customer/location broken down by the hour of day,
Agenda Item # Page 8
day of the week, week of the month, month of the year, and year;
ix. a list of customers currently pursuing appeal of billing; and
x. a list of customers who have completed the appeals process along with a description of the
outcome.
5. Reports. Company's system shall permit the generation and production of a variety of reports
based upon the entry of a variety of parameters, including, but not limited to, registration number,
customer name, customer address, incident type, and date, including a range of dates. For example,
Company's system shall possess the ability to produce the following types of reports:
i. New alarm registrations issued and the fees collected therefor;
ii.Total number of annual registration renewals billed, including the total dollar amount billed
and the total dollar amount collected
iii.Total number of false alarms by type (i.e. burglar or robbery) and by category(registered or
non-registered customer);
iv.Total number of false alarms billed for each type and category as well as the fees collected
therefor;
v.A list of registrations by customer name, site address, registration number, and/or alarm
company;
vi.A list of the total dollar amount of charges billed, total dollar amount received, and total dollar
amount of charges outstanding; and
vii.Activity reports illustrating registrations (original and renewal), renewal notifications, billing
and collections, as well as false alarm incidents.
6. Additional Functions. Company's system shall be equipped to perform the following
functions:
L generate and assign registration numbers automatically;
ii.generate, print and deliver registrations;
iii. generate, print and deliver billing statements and renewal notices;
iv.generate, print and deliver notices of non-compliance to non-registered alarm users;
v. generate, print and deliver notices of excessive false alarms to registered alarm users;
vi.generate, print and deliver notices and billing statements to non-registered alarm users
who trigger false alarms;
vii. establish and maintain a directory of alarm company's providing service within the
geographical boundaries of City, including in said directory, Alarm Company Name,
address,telephone number,and contact person;
Agenda Item# Page 9
viii. provide a link to City's Alarm Ordinance; and
7. Additional Obligations. In addition to the other obligation contained in this Agreement,
Company shall, during the term of this Agreement, perform the following obligations:
L maintain Company's equipment in good working order to help ensure uninterrupted operation
of City's Alarm Management Program;
ii.take reasonable steps to protect Company's computer system against infection and/or
corruption by means of virus, worm, or other similar invader;
iii. maintain a telephone number individuals may call to speak with someone about the specific
details of their bill or to ask about the alarm permit program generally;
iv. provide training to those City employees engaged in the operation and/or oversight of City's
Alarm Management Program; and
v. provide the personnel necessary to carry out and perform the duties and obligations of
Company as described in the Service Agreement.
Exhibit"B"
Schedule of Compensation
Except as otherwise provided for the performance of additional work, as described in paragraph 3 of the
Alarm Management Service Agreement ("Agreement"), the total of all actual revenues generated and
collected ("Revenues") by and/or on behalf of the City in connection with City's Alarm Management
Program will be divided among City and Company, with Company retaining as compensation twenty
percent (20%) of said revenues and City being entitled to the remaining eighty percent (80%). Revenues
will be calculated and apportioned on a monthly basis and the revenues due City will be directly
deposited into the specific account located at the financial institution designated by City, typically
between the seventh and tenth day of each month. City will be provided with an accounting of the
monthly revenues and City's account will be available for audit by City's designated auditor at a time
that is mutually agreeable to the auditor and Company.
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Agenda Item # Page 10