REPORT TO COUNCIL
SUBJECT
Title
Authorize the Issuance of a Five-Year Purchase Agreement in the Amount of $542,747.49 to Axon Enterprise, Inc., for In-car Hardware, Software, Delivery, and Installation of Upgraded Mobile Automated License Plate Recognition System from Axon Fleet 2 to Fleet 3 for the Department of Public Safety (F25-091)
Report
REPORT IN BRIEF
Approval is requested to authorize the issuance of a Purchase Agreement to Axon Enterprise Inc., of Scottsdale, AZ in the amount of $542,747.49 for the in-car hardware, software, delivery, and installation of upgraded mobile automated license plate recognition system from Axon Fleet 2 to Axon Fleet 3.
EXISTING POLICY
Pursuant to Section 2.08.040 of the Sunnyvale Municipal Code, Council approval is required for the procurement of goods and/or services greater than $250,000 in any one transaction.
Section 2.08.070(b)(3) authorizes the purchase of goods and/or services to be exempted from the competitive bidding requirements when the solicitation of bids or proposals would be impractical, unavailing or impossible.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
BACKGROUND AND DISCUSSION
The Department of Public Safety (DPS) seeks approval for a five-year (60-month) agreement with Axon Enterprise, Inc. to upgrade the current in-car video recording system from Axon Fleet 2 to Fleet 3.
Fleet 3 offers enhanced video resolution, increased storage capacity, and improved system reliability compared to Fleet 2. A significant upgrade is the addition of integrated Automated License Plate Recognition (ALPR) technology, which was not available in Fleet 2. This allows for real-time vehicle identification and tracking, supporting more effective and efficient law enforcement operations. Currently, only 4 of 35 patrol vehicles within the DPS fleet of are equipped with an ALPR. By upgrading to Fleet 3, DPS will expand ALPR capability from just 4 patrol vehicles to the entire fleet, with minimal additional cost. This will greatly enhance the department’s ability to identify and track vehicles across the city, improving public safety outcomes.
The Fleet 3 system is fully integrated with Evidence.com, the department’s existing platform for managing digital evidence from body-worn cameras and Taser devices. This integration will ensure streamlined data management, enhance the security and chain of custody of digital evidence, and reduce administrative burden. The proposed upgrade is essential to maintaining operational efficiency and ensuring that DPS remains aligned with current technological standards.
The proposed purchase agreement is a sole source contract. Currently, DPS patrol cars are equipped with Axon hardware and software. Standardizing with Axon for the proposed update ensures compatibility and continuity with existing systems, which is critical for operational efficiency.
FISCAL IMPACT
The annual cost for the Fleet 3 system is $109,986. The FY 2024/25 20-year Resource Allocation Plan includes $64,700 annually in Program 12700 - Public Safety Administrative Services to maintain the current Fleet 2 system. Additionally, there is $93,120 of General Fund equipment replacement budget included every five years under Project P20901 - Public Safety Equipment for the current ALPR replacement that can also be used to fund the agreement. Therefore, the net cost of the new system will be approximately $450,000 over twenty years or about $22,500 per year.
These costs will be included as part of the FY 2025/26 Recommended Budget and 20-year Resource Allocation Plan under Program 12700 in the General Fund.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the NOVA Workforce Services reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
RECOMMENDATION
Recommendation
Take the following actions:
- Approve the Issuance of a five-year Purchase Agreement in substantially the same form as Attachment 2 to the report and in an amount of $542,747.49 to Axon Enterprise, Inc.; and
- Authorize the City Manager to execute the Purchase Agreement when all necessary conditions have been met.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $250 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
_X_ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: David Battaglia, Purchasing Officer
Reviewed by: Dennis Jaw, Acting Director of Finance
Reviewed by: Kathleen Boutté Foster-Gee, Director of IT
Reviewed by: Phan Ngo, Director of Public Safety
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. Axon Enterprise Master Services and Purchasing Agreement Draft
2. Quote - Axon Fleet 3