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Home My WebLink About2006 08 28 Regular 305 Televox COMMISSION AGENDA ITEM 305 REGULAR August 28, 2006 Meeting MGR DEPT Authorization REQUEST: The Finance Department is requesting that the City Commission authorize Televox to provide automated customer notification of their delinquent payment status and potential disruption in utility services, authorize City Attorney to review and revise agreement as necessary, authorize City Manager to execute agreement and customer order form with Televox and authorize funding for service fees in the Fiscal Year 2006/2007 Final Budget. PURPOSE: The purpose of this Agenda item is to request that the City Commission authorize Televox to provide automated customer notification of their delinquent payment status and authorize funding for such services. CONSIDERATIONS: The Utility Billing Division of the Finance Department is currently going through a customer service review. A recurring theme throughout this process has been to try and reduce the number of customers that are disconnected each week. During a conference call with Orlando Utilities Company (OUC), they recommended the automated customer notification service - Televox. OUC uses this automated notification process and has seen their number of disconnections decrease from 9% of customer base to 4% of customer base (in excess of a 50% decrease) while collection of bad debt increased. OUC uses this service in place of mailing delinquent notices to their customers. Staff recommends using Televox as an addition or enhancement to our notification process. The current procedure at the City of Winter Springs is a bill is mailed to the customer. If the bill has not been paid by day 21, a delinquent notice is mailed stating their utility service will be disconnected in 12 days if payment is not received by the City by this deadline. Staff is recommending that 6 to 7 days after the delinquent notice is mailed, a telephone notification message is placed to the customer reminding them that they have 3 business days to make their payment or their services will be disrupted. This will add yet another layer of notification to help ensure the customer is not without water service. Currently the City mails out approximately 750 delinquent notices each week with approximately 75 customers being disconnected each week. Regular Agenda Item 305 August 28, 2006 Page 2 of 2 FUNDING: The cost of implementing this process will be: a one time setup fee of $3,000; an estimated $0.28 per customer for up to a two minute message and $0.08 per customer for each additional message minute thereafter; and a $0.12 per record to update incorrect customer telephone numbers. All fees are charged to the users (or utility customers). With this cost schedule in mind, we are estimating a $3,000 one time fee and a $900 monthly fee ($10,800) for this new notification service (conservative estimate). There is funding within the Fiscal Year 2005/2006 budget for the one time setup fee; however, the Fiscal Year 2006/2007 budget (Finance - Utility Billing and Customer Service Division 1360) will need to be adjusted to reflect these new monthly fees. RECOMMENDATION: It is recommended that the City Commission authorize Televox to provide automated customer notification of their delinquent payment status and potential disruption in utility services, authorize City Attorney to review and revise agreement as necessary, authorize City Manager to execute agreement and customer order form with Televox, and authorize funding for service fees in the Fiscal Year 2006/2007 Final Budget (Finance - Utility Billing and Customer Service Division 1360). ATTACHMENTS: Draft Agreement and Customer Order form with Televox COMMISSION ACTION: TeleVox@ HIGH TECH HUMAN TOUCH 1110 Montlimar Dr ISuite 700 Mobile, AL 36609 Phone: 800-644-4266 Fax: 251-634-2971 ORDER DATE CUSTOMER # 224262 TERMS N30 SHIP VIA SALESPERSON Jeff Charnock BILL TO: City of Winter Springs, Florida Ship To: Same Address: 1126 East State Rd. 434 Attention: Michelle Greco Address: Address: City: Winter Springs City: State: FL Zip: 32708 State: Zip: Telephone: (407) 327-5960 Email: mQreco(OOwintersprinQsfl.orQ t-ax: (,;ontact: Michelle Greco Bridge Type: Custom Telephone: (407) 327-5960 Comments: This offer provides a (15) day money back guarantee including setup & usage fees. All Calls are billed in one minute increments. This offer may be cancelled anytime without penalty. Description Total Price HouseCalls ASP One Time Set Up Fee Includes: Multiple Application(s) Setup, File Transfer(s) Set Up, Unlimited Message Scripting & Recording, Pre Assigned Dedicated Account Management for On Going Support. $3,000.00 Pricing: Domestic Cost Per First Minute: .20/ Call (Less than 10,000 Calls / Mo) .15/ Call (More than 10,000 Calls / Mo) .12 / Call (More than 50,000 + Calls / Mo) Cost Per Each Additional Minute: .08/ Call Cost Per Each Call Transfer: .08 / Call SmartAppend Batch Scrub .12 / Record METHOD OF PAYMENT D CHECK SUBTOTAL $3,000.00 Check # Institution DMC D AMEX D VISA CREDIT CARD # FULL NAME $3,000.00 Expiration Date: Authorization # : Jeff Charnock Salesperson: Date: Customer Signature: Date: 1210 Hillcrest Road Mobile, Alabama 36695 Phone: 800-644-4266 Fax: (251) 634-2971 UNDER NO CIRCUMSTANCES SHALL TELEVOX BE LIABLE FOR ANY ASSUMED OR REAL LOST PROFITS OR ANY OTHER CONSEQUENTIAL DAMAGES BY CLIENT TO HAVE RESULTED FROM THE INSTALLATION OR USE OF ANY TELEVOX EQUIPMENT OR PROGRAM MATERIAL. DO NOT CALL. HouseCalls is not intended to be used for telemarketing or solicitation purposes outside of a prior business relationship consisting of an (18) month window from date of a last purchase or transaction in accordance with the Federal Government's Do Not Call Policy (www.donotcall.gov). Non Profit organizations are exempt. Client assumes full responsibility for eliminating calling data that extends beyond an (18) month window. DISCLAIMER OF WARRANTIES AND LIABILITY. EXCEPT AS EXPRESSLY INDICATED HEREIN, NEITHER PARTY MAKES ANY EXPRESS OR IMPLIED WARRANTIES, CONDITIONS OR REPRESENTATIONS TO THE OTHER PARTY WITH RESPECT TO THE SOFTWARE PRODUCT OR THE SERVICES PROVIDED HEREUNDER OR OTHERWISE, WHETHER ORAL OR WRITTEN, EXPRESS, IMPLIED OR STATUTORY. WITHOUT LIMITING THE FOREGOING, ANY IMPLIED WARRANTY OR CONDITION OF MERCHANTABILITY, AND THE IMPLIED WARRANTY OR CONDITION OF FITNESS FOR A PARTICULAR PURPOSE, ARE EXPRESSLY EXCLUDED AND DISCLAIMED. EACH PARTY REPRESENTS AND WARRANTS THAT IT HAS CONSULTED INDEPENDENT LEGAL COUNSEL WITH RESPECT TO THE LEGALITY OF THE ARRANGEMENTS DESCRIBED HEREIN, AND THAT EACH SUCH PARTY HAS MADE AN INDEPENDENT DETERMINATION AS TO THE LEGALITY OF THE ARRANGEMENTS DESCRIBED HEREIN UNDER APPLICABLE STATE AND FEDERAL LAWS. LIMITATION OF LIABILITY. A. CLIENT AGREES THAT TELEVOX AND ITS OFFICERS, DIRECTORS, EMPLOYEES, SHAREHOLDERS, AGENTS, LICENSORS AND REPRESENTATIVES WILL NOT BE LIABLE FOR ANY INCIDENTAL, INDIRECT, SPECIAL, EXEMPLARY OR CONSEQUENTIAL DAMAGES, INCLUDING BUT NOT LIMITED TO, DAMAGES OR COSTS INCURRED AS A RESULT OF LOSS OF TIME, LOSS OF SAVINGS, LOSS OF DATA, LOSS OF PROFITS OR LOSS OF GOODWILL, WHETHER FORESEEABLE OR UNFORESEEABLE, THAT MAY ARISE OUT OF OR IN CONNECTION WITH THE AGREEMENT INCLUDING, BUT NOT LIMITED TO, DAMAGES OR COSTS RESULTING FROM THE USE OR INABILITY TO USE THE NETWORK OR SERVICES OFFERED THEREUNDER, EVEN IF TELEVOX HAS BEEN NOTIFIED OF THE POSSIBILITY OR LIKELIHOOD OF SUCH DAMAGES OR COSTS INCURRED, AND WHETHER SUCH LIABILITY IS BASED ON CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, PRODUCTS LIABILITY OR OTHERWISE. B. IN NO EVENT WILL THE AGGREGATE LIABILITY OF TELEVOX FOR ANY DAMAGES INCURRED BY CLIENT EXCEED THE FEES RECEIVED BY TELEVOX UNDER THIS AGREEMENT DURING THE TWELVE (12) MONTHS PRIOR TO THE TIME AT WHICH THE DAMAGES AROSE, REGARDLESS OF THE FORM OF ACTION, WHETHER BASED ON CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, PRODUCTS LIABILITY OR OTHERWISE. INDEMNIFICATION. A. Client will indemnify, defend and hold TeleVox, its shareholders, directors, officers, employees, agents and contractors, harmless against any claims, causes, causes of action, liabilities, damages, penalties, assessments, costs or expenses (including, but not limited to, reasonable attorneys' fees) suffered or incurred by TeleVox and which are caused, directly by (i) the breach by Client of any of its representations, warranties, covenants or obligations under this Agreement, or (i1) the negligence, gross negligence or intentional misconduct of Client or any of its officers, employees, agents, contractors or advisors in connection with the performance by Client of its obligations hereunder. B. TeleVox will indemnify, defend and hold Client, its directors, officers, employees, agents and contractors harmless against any claims, causes, causes of action, liabilities, damages, penalties, assessments, costs or expenses (including, but not limited to, reasonable attorneys' fees) suffered or incurred by Client and which are caused, directly by (i) the breach by TeleVox of any of its representations, warranties, covenants or obligations under this Agreement, or (ii) the negligence, gross negligence or intentional misconduct of TeleVox or any of its officers, employees, agents or contractors in connection with the performance by TeleVox of its obligations hereunder. Customer Signature: Date: