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Page 2 of 6 <br />City of Redwood City 1017 Middlefield Road, Redwood City, CA. 94063 Tel: 650-780-7000 www.redwoodcity.org <br />Based on responses to the City’s 2020 RFP for garage services, the City Council contracted with ACE <br />Parking in December 2020. The five-year, $2,233,600 contract authorized the City Manager to amend the <br />agreement with up to a 10 percent increase in operating costs for term years two through five. <br />Additionally, the City Manager was authorized to approve up to four additional one-year extensions, each <br />with: a) up to a 10 percent increase in operating costs and b) the lesser of the annual Consumer Price <br />Index (CPI) or three percent. The initial term of the agreement was set to expire on December 1, 2025. <br />Due to internal administrative delay and the timing of negotiations, the extension was not completed <br />before the expiration date, and services continued without a fully executed extension in place. To address <br />this lapse and ensure continuity of services while a new agreement is finalized, the City Manager approved <br />a short-term three-month extension. The amended term now runs through March 9, 2026. <br />Under the 2020 agreement, ACE Parking provided staff and services to operate and maintain the two <br />downtown garages. These services included but were not limited to: customer assistance; general <br />maintenance of the parking facilities; support for parking equipment; revenue collections; permit program <br />support; and coordination with City departments (Police, Public Works Services, and Engineering and <br />Transportation). Due to the aging infrastructure in the garages, staff directed ACE Parking to perform <br />additional maintenance and enhanced security services that were not fully anticipated in the original <br />scope of work. These services were necessary to maintain safe and reliable operations; however, they <br />were authorized without a corresponding contract amendment at the time, resulting in expenditures <br />exceeding the original contract budget. The proposed new agreement formally incorporates these <br />additional maintenance and security services into the scope of work and aligns the budget with the actual <br />level of service required moving forward. <br />ANALYSIS <br />Since January 2021, ACE Parking has provided the following services to manage and operate the two <br />downtown garages: <br />Ensured safe and accessible parking for the public during the facilities’ hours of operation. <br />Provided guidance and high levels of customer service to patrons of the City’s parking garages. <br />Managed and supervised operations, including revenue collection, reporting, and auditing of the <br />City’s parking facilities and equipment. <br />Maintained the City’s parking facilities and equipment in good working order and resolved outages. <br />Maintained parking facilities, clean and pleasant, as measured by City and industry standards. <br />Maintained, monitored, and enforced security systems within the City’s parking facilities. <br />Directed drivers between Redwood City’s facilities and downtown private parking facilities when <br />garage capacity was reached. <br />Coordinated with Public Works Services on maintenance and repairs of Redwood City parking <br />facilities, and communicated with Engineering and Transportation regarding items requiring <br />additional review and follow-up. <br />The initial term of the agreement with ACE Parking was effective through December 1, 2025. Although <br />staff began preparing a new agreement in September 2025, the extension process was not completed <br />7.C. - Page 2 of 29 <br />76