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HomeMy WebLinkAbout10B - Animal Control Contract 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: October 3, 2005 10B Randy Hofstad, Lieutenant CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER TO AMEND THE CONTRACT WITH 4 PAWS ANIMAL CONTROL FOR ANIMAL CONTROL SERVICES FOR THE CITY STARTING OCTOBER 4, 2005 DISCUSSION: Introduction This agenda report is addressing the City being notified by its Animal Control Service contractor of a rate increase effective October 4, 2005. History After the city's longtime animal control officer, Robert McCallister, retired March 31, 2005, the City needed to find a replacement for our animal control services. Scott County, Shakopee, Belle Plaine, Jordan and New Prague were also in need of a new animal control officer so a committee was formed under the auspices of the Scott County Association for Leadership and Efficiency (SCALE). . The committee looked at three possible alternatives: 1. Continue to contract the animal control services with an outside contractor; or 2. Work with the other members to form a multi-jurisdictional animal control unit; or 3. Each city forms its own animal control unit. The committee received two bids from outside animal control contractors. As a result of those bids it was determined that the most cost effective and efficient decision was to award the contract to 4 Paws. The Council approved a resolution to that effect at its March 21, 2005, meeting. In July the City's and Scott County were notified that 4 Paws was getting out of the animal control business. Their representative, Curt Finch, said they were going to concentrate on their kennel business only. Finch said he was currently negotiating with his employees to sell the animal control portion of the business to them. In August the City received a letter stating that 4 Paws, under new management, could and would continue to provide the animal control services but at an increased price. Prior Lake's new cost would be $31,000 per year compared to $14,800 per year as approved in March. Current Circumstances Since being notified of the rate increase the committee met to re-visit the issue. Sgt. Balfanz of the Shakopee Police Department was assigned to research the options for the group. He contacted Bloomington and Eden Prairie who provide their own animal control service. He also looked at the feasibility of starting an animal control unit through the police department. His conclusion was 4 Paws is still the best option for the City of Shakopee even after the rate increases. (A copy of his report is attached to this agenda report.) I took the information Sgt. Balfanz had provided and I contacted Apple Valley and Lakeville police departments. Apple Valley, who provides its own animal control service, indicates its budget for 2005 is $124,230. www.cityofpriorlake.com I:\COUNCIL\AGNRPTS\200i3\ 1 00305 ~lf6f1~s~2.44 7.4230 / Fax 952.447.4245 Lakeville has one full time animal control officer at approximately $45,000. In addition to that they use Community Service Officers (CSO) and occasionally patrol officers for animal pick ups. They also have vehicle costs, conference fees and veterinary fees that were estimated at $7,050 annually. They contract with local veterinarian clinics for animal drop-offs. Those figures were not readily available. Their annual costs were estimated in excess of $52,500, not including patrol officer, CSO and animal drop-off costs. If the Prior Lake Police Department was responsible for animal control for the City, several areas would have to be addressed. The most significant cost would be personnel. The present authorized CSO service is 50 hours per week. Additional CSOs would have to be hired and trained to handle the animal control duties. Even then police officers would have to handle the calls when a CSO is not on duty, taking them off the street during that time. In addition to personnel expenses the City would incur the initial cost and maintenance of a vehicle, training, portable kennels and animal handling equipment. Even with all this in place, there currently is no local facility willing to take animals from the City. Neither Prior Lake Pet Hospital or Paws or Pals kennels, was interested in being a drop-off site for dogs and cats and River Valley Clinic has no boarding on site. 1n short, if Prior Lake were to undertake this work alone, it appears the initial annual costs would exceed $100,000. ISSUES: The council should determine if it desires to authorize the Mayor and City Manager to execute a revised contract making 4 Paws the City's animal control service starting October 4, 2005. The contract is for the period October 4, 2005, through October 4, 2006. The only revisions to the document are the price and a 60-day cancellation provision. The 4 Paws proposal is considered the most desirable even after the rate increases for the following reasons: 1. The cost is the lowest compared to the other proposals. 2. The level of service has been good since 4 Paws started acting as our animal control service on April 1, 2005. 3. 4 Paws will handle other animals, not just dogs and cats. FINANCIAL IMPACT: With McCallister the City was paying $15,600 per year. Since April 1, 2005 the City was scheduled to pay $14,480 the first year and 18,100 the second year of the contract with 4 Paws. The new proposed rate would be $31,200 per year. This amount has been incorporated into the 2006 budget. ALTERNATIVES: 1. Adopt a resolution authorizing the Mayor and the City Manager to execute the City's standard contract authorizing 4 Paws to continue to be the City's Animal Control Officer. 2. Take no action at this time. RECOMMENDED MOTION: Alternative 1. FROt1 : FOURPAWS FAX NO. :9527076967 Aug. 26 2005 09:24AM Pi 4 PAWS/Scott County Animal Control 12848 Chestnut Blvd. Shakopee, MN. 55379 952-894-9065 FAX 952-707-6967 8/2/05 To: Police Department~ Prior Lake, Shakopee, and Scott County Attn: Frank Boyles - City Manager Lt. Randy Hofstad - PrIor Lake PD From: Mike Baroun 4 PAWS/SCott County Animal Control Thank you for your patience during our reorganization here at 4 PAWS. Our group, working here in Scott County, is now 4 PAWS/5aJtt County Animal Control and it is our hope that we can continue to do business with your Cities and the County for many years to come. Recently, we Inadvertently Included information pertaining to rate increases in your areas in a memo distributed to Jordan, Belle Plaine, and New Prague. Those cities were requesting Information on the costs of resuming service and needed the infor- mation quickly so we passed on a memo which had the information they wanted but it also contained a preliminary draft of rate increases for your areas as well. The rate increase request for your areas was not finalized and should not have been dis- tributed at that time. We do apologize that this rate increase information found its way to your areas via that memo. We should have remembered that your group shares pertinent information county-wide. Unfortunately, it is true that we do need to request a rate increase in hopes of mak- ing our business profitable as soon as possible. We are including that request for a rate increase at this time in order to clear up some of the confusion caused by the previous memo and to give your areas time to consider these changes or to seek other alternatives for animal control services, should we be unable to provide these.services in the future. Clearly, 4 PAWS made some miscalculations when determining the current bid. That bid was based on the assumption that at least 25 to 30 pets would be returned to their owners every month in each area (Prior Lake, Shakopee, and Scott County) and therefore the fixed monthly fee could be set very low. After 5 months it is clear that return~ to owners are more likely to average about 8 to 12 per month in each area. As a result, the income from returns to owner falls well short of projections and the monthly fee does not cover the shortcomings. 4 PAWS based their estimates on the limited data they had from the areas involved and then used return to owner rates which are unobtainable in any area except for the City of their origin. 4 PAWS should have known better but they were mistakenly over-optimistic. ------~ 4 PAWS should have used the data from a city like Savage when projecting how many animals would be picked up and how many would probably be claimed by their own- ers. Savage has always been a profitable and successful program for 4 PAWS- but be- cause the contract in Savage was based on a per call response fee and a monthly fee, and had collected fees being paid to the Oty and then being repaid to 4 PAWS-the Savage contract seemed just too different from the proposal being made in Scott County. However, the only really significant figure when comparing contracts is the annual cost to the City and the amount collected from owners and paid to 4 PAWS. Based on the figures (reprinted below) provided by the City of Savage last month to their City council (when they considered anq approved of the recent bid submitted by 4 PAWS for continued service) and making adjustments for population, types of ani- mals, and geography- we were able to come up with some useable numbers for re- bidding the Scott County area as a fixed fee program. Average Monthlv Fee Average Monthly AverageMonthly fee for past 2 years Impound fees col- less Impound fees I acted collected Savage $3,122 $587 $3,122 -$587 $2,535 To continue at our current level of service in Shakopee, Prior Lake, and Scott. County we are asking you to consider changing our monthly fees to the fol- lowing: Shakopee: $2,900.00 per month Prior Lake: $2,600.00 per month Scott County: $2,800.00 per month These rates are well below the suggested rate guidelines established by the Animal Humane Society. We believe these rates are much more realistic for the services pro- vided considering the increasing price of gas, labor costs, insurance requirements, boarding and disposal requirements, and fleet maintenance. In Shakopee, Prior lake, and Scott County we are hoping you would consider approving a rate change effective October 1st, 2005. For your convenience, we would be willing to guarantee a 90-120 day notice of termination under these new rates, although we would not anticipate the need to terminate this service. We are committed to the animal control business and we hope you will stick with us. Please note that Curt Finch will continue on as our representative and con- tact person and that he Is authorized to negotiate on our behalf and ap- prove of terms and conditions for 4 PAWS/Scott County Animal Control. At present there will not be any changes in payment procedures due the terms and conditions of the buyout. Thank You, Mike Baroun 4 PAWS/ Scott County Animal Control CITY OF SHAKOPEE POLICE DEPARTMENT MEMO DATE: August 12,2005 TO: Chief Hughes, Chief O'Rourke, ChiefMalz, ChiefVosejpka, ChiefRost, Sheriff Menden FROM: Sgt. Balfanz SUBJECT: Animal Control Options I have been asked to research the options for Animal Control options for the cities in Scott County. The following is a list of the options that I have researched. Option 1: Option 2: FOUR PAWS 4 Paws in an all inclusive animal control option. They respond to animal calls, provide patrol coverage, provide 24 hr coverage, house animals, provide adoption services to animals that are not claimed and pick up animals. Cost: currently $1800/month, 1800 X 12 =$21,600/ year. I expect a significant increase in these rates by October 1,2005. Shakopee has had a total of 138 calls for the months of April, May, June and July. During those four months, Shakopee was charged $7200.00 $7200/ 138 = $52.17 / call During this time, 4 PAWS has impounded 49 dogs, (14 went unclaimed) and 30 cats, (24 went unclaimed). CONTRACT W / ANOTHER PD THAT CURRENTL Y HAS ANIMAL CONTROL PROVIDED BY THE CITY. I have contacted Bloomington and Eden Prairie concerning their animal control service. While not directly asking them if they would provide a service for us, I did inquire as to their staffing levels. Bloomington currently has two animal control officers for the entire city, plus they are responsible for a city kennel. They also kennel animals for Eden Prairie and Richfield. I was told by them that they are currently understaffed for their own city. Eden Prairie has two full time Animal Control Officers. They stated that they had never been contacted and asked to provide animal services for another city. . Option 3: PROVIDE OWN ANIMAL CONTROL The PD could provide animal control for the city on it's own in several different format. Several areas would have to be addressed, with the up front cost being significant. Initially, the department would have to designate a person already employed by the PD to provide animal control. That designated person would have to attend animal control training. Currently, there is no state certification required for employment as an animal control officer in Minnesota. I have identified a certification level training provided by the National Animal Control Association (NACA). The training provides a Level One certification upon completion of a week long course. This course is not offered in Minnesota the rest of 2005 or in 2006. The closest location is Kansas City, Missouri. The cost of the course is currently $475.00. Also, the Minnesota Animal Control Association (MACA) offers a two day course to "complement" the NACA course, titled, "State Statutes and Public Health SchooL" Once the animal control officer completes the NACA level one and the MACA course, MACA will certify them as a certified animal control officer. Staffing: I spoke wi Bloomington and Eden Prairie Animal Control. They both have two full time employees plus part time employees. Eden Prairie Animal Control works from 0600-2100 hours. They are on call, but during the hours between 2100 and 0600 the patrol officers handle the vast majority of animal calls. Also, Eden Prairie supplements their Animal Control efforts with reserves on Thursday, Friday, and Saturday nights. Bloomington also has on call Animal Control when there is no coverage. I would recommend using two 30 hour / week CSO's. Entry level CSO's currently earn $14.116 I hour plus benefits. The city of Shakopee is currently budgeted 4 CSO's in the 2006 budget. If the Shakopee PD were to provide animal control for the city, I would recommend adding a 5th CSO in 2007. Equipment: Equipment can range from using a current city vehicle to a new vehicle equipped with kennels, designated solely for animal control. I believe the Police Department will be able to outfit the Ford F350 truck to be able to handle animal control. It will require a few alterations to the current set up. I have contacted MACA and requested what animal control officers need for equipment. I have yet to receive a response. Kenneling Animals: There are not many options that are cost effective when it comes to this aspect of Animal control. I have contacted several veterinarians in town and have found that not many veterinarian offices offer kenneling services. I also contacted Paws, Claws and Hooves for an estimate. When I contacted veterinarians in the 2 city, I was referred to several animal boarding businesses that provide a level of service over what an impound kennel needs. The only veterinarian that I could find in the yellow pages that currently provides a kenneling service in Shakopee is Shakopee Vet Clinic, located on Marystown Road. The prices are based on the weight of the animal being cared for. I was told that they can house more than 25 animals at any given time. Animals are also required to be up to date on their vaccinations. If they are not, the vet will update them for the owner. They are currently not set up to handle animal control. The prices are as follows: 0-101bs $ 13/day 11-40Ibs $15/day 4l-l00lbs $18/day 100 + $21/day The vaccinations are: Bordatello $16.00 Distemper $29.00 Rabies $17.50 Paws, Claws and Rooves (PCR) currently provides a kenneling service for several cities in Hennepin and Carver County. The business is set up for cities to do their own animal control and contract with PCR for kenneling services. They do not provide any animal control services for cities at this time. They have an after hour drop area for the cities that they have contracts with. PCR will also collect fines and licensing fees for the cities it serves. They are located in Chanhassen at the intersections of2l2 and 101, across the river from Shakopee. They currently charge the contracted cities a flat rate of $100 / month plus fees for unclaimed animals. Those fees are as follows: $27.00/day, two day minimum for unclaimed animals. PCR advises that they are required by state law to keep any unclaimed animal for 5 business day. The cost of housing the animal for 5 business days is absorbed by the city contracted with PCR. The five business day state law does not include the first day that the animal is kenneled, weekends or holidays. PCR advises that they usually charge cities for unclaimed animals an average of 8-10 days. PCH also charges $95.00 for inoculations, $35.00 for a bath, and a $40 adoption fee. PCH makes every attempt to have the animals adopted that are not claimed. I was told that they have only ever had to put one animal down since they began the business. If an unclaimed animal was kenneled and adopted by PCR, the average cost would be: $27/day X 8 days =$216 $216 + $95 for Inoculations = $311 $311 + $35 for bath = $346 3 $346 + $40 for adoption = $386 Based on the numbers of dogs that went unclaimed with 4 PAWS (14), the city would have paid $5404.00 in unclaimed dogs in 4 months. When you take the monthly fee and add it to the unclaimed dog fee, the total for the months of April, May, June and July would be: $5804. This number is only for unclaimed dogs. 4PA WS took in 24 unclaimed cats in 4 months. This number does not include the hourly wages of what a CSO would be paid. To estimate the wages spent on calls, I estimated 1 hour as the time spent on each call and multiplied the starting wage of a CSO by the number of calls 4P A WS responded to for the four month period. $14.116 X 138 = $1948.00 When the unclaimed dog total is added to this wage estimate, the total is: $5804 + $1948 = $7752. $7752 /4= $1938 / month This number does not include benefits, equipment costs, fuel, the cost of kenneling cats, or the cost of inoculating, bathing, and adopting a cat. The city is not responsible for any charges of animals that are claimed. Option 4: POST FOR ANIMAL CONTROL SERVICES. At this time, we could take bids from other providers for animal control. This would be a long process. When we looked for animal control in March, we were only able to locate 2 providers. At that time, 4 PAWS was the clear choice based on the competition. I do not believe at this time it is necessary to post for bids. CONCLUSION: When the rates of 4 PAWS and providing the service ourselves are compared, there is currently no reason to switch to providing the services with in the PD. However, these numbers are based on the summer months which typically are the busiest for Animal Control. The estimated cost of $1938 / month did not include gas, benefits, equipment, the cost of kenneling cats, and many other items that come with animal control. Based on the current rates of $1800 / month from 4 PAWS, I recommend staying with their service at this time. As stated earlier, I was told by Curt Finch from 4 PAWS that our rates will be raised sometime around October, 2005. There was a memo circulated throughout Scott County agencies that Curt Finch stated was supposed to have been an interoffice memo at the time. Those rates showed Shakopee paying $2900 / month. Depending on the price increase, this study will have to be reviewed at that date to 4 compare the costs again. Based on the estimated costs of providing our own service though, that raise would have to be significantly higher than we are paying now to validate providing our own service. 5 ~--,,--,".,----_.---.- 'r