HomeMy WebLinkAbout1KCITY COUNCIL STAFF REPORT
DATE: JANUARY 13, 2022 CONSENT CALENDAR
SUBJECT: APPROVAL OF AMENDMENT NO. 1 TO THE LICENSE AGREEMENT
(A6456) WITH MOBILEMONEY, INC. TO DECREASE THE LICENSE FEE
PER TRANSACTION AND INCREASE THE MAXIMUM TRANSACTION
FEE FOR AUTOMATED TELLER MACHINE (ATM) SERVICES AT THE
PALM SPRINGS INTERNATIONAL AIRPORT, AND EXERCISE OPTION
1 TO EXTEND THE AGREEMENT FOR ONE YEAR THROUGH JANUARY
3, 2023
FROM: Justin Clifton, City Manager
BY: Department of Aviation
SUMMARY:
This action approves Amendment No. 1 to License Agreement A6456 with MobileMoney,
Inc., which will decrease the ATM license fee per transaction from $1.85 to $0.75,
increase the maximum transaction fee from $3.50 to $3.95, and exercise the first one-
year extension option through January 3, 2023.
RECOMMENDATION:
1. Approve Amendment No. 1 to License Agreement A6456 with MobileMoney, Inc.
to modify the agreement compensation and exercise the first one-year extension
option through January 3, 2023, for Automated Teller Machine (ATM) Services at
the Palm Springs International Airport.
2.Authorize the City Manager and/or his designee to execute all necessary
documents.
BUSINESS PRINCIPAL DISCLOSURE:
A search of records on the California Secretary of State website identifies MobileMoney,
Inc., as a California corporation. According to the Public Integrity Disclosure submitted on
December 21, 2021, the corporate officers are Lawrence J. Dunnwald owning eighty
percent and William J. Dunnwald owning twenty percent (Attachment 1).
Item 1K - 1
City Council Staff Report
January 13, 2022 – Page 2
MobileMoney, Inc., License Agreement A6456, Amendment No. 1
BACKGROUND:
Following a competitive public solicitation procurement process in October 2018 (RFP
03-19), the City Council at its meeting of December 19, 2018, approved a license
agreement with MobileMoney, Inc., for the operation of three (3) Automated Teller
Machines (ATMs) at the Palm Springs International Airport; one located in the main
terminal and one located in each of the two Airport concourses. The original term of the
License Agreement was for three years, with two additional one-year options, effective
January 15, 2019.
STAFF ANALYSIS:
Although the initial impact of the COVID-19 pandemic began in March 2020, the ATM
industry continues to be impacted by the infrequent use of cash, increased use of plastic
or digital payments, and the increased costs to transport cash in armored courier vehicles.
In order for MobileMoney to continue operations at the Airport and supply passengers
with the option to withdraw cash, MobileMoney is proposing to modify their License
Agreement in Amendment No. 1.
Under this modified License Agreement, MobileMoney will provide and maintain the
existing ATMs that are fully ADA compliant and continuously available. MobileMoney has
proposed increasing the customer fee from $3.50 per withdrawal to $3.95 per withdrawal,
with no other customer transaction fees. The proposal includes a reduction in the license
fee for the Airport, from $1.85 to $0.75 per transaction occurring at the ATMs. The
following table indicates the number of cash withdrawal transactions over calendar years
2019, 2020 and 2021.
Month 2019 2020 2021
January 800 687 169
February 848 699 203
March 910 411 322
April 933 58 261
May 594 64 259
June 435 114 247
July 421 142 232
August 399 126 251
September 461 132 269
October 554 162 296
November 595 17 312
December 639 198 280
Total Transactions 7,589 2,810 3,101
Item 1K - 2
City Council Staff Report
January 13, 2022 – Page 3
MobileMoney, Inc., License Agreement A6456, Amendment No. 1
Staff is requesting City Council approval of Amendment No. 1 to License Agreement
A6456 with MobileMoney, Inc. If the Amendment is not approved, the Airport will need to
prepare and release an RFP for Automated Teller Services to assist the passengers with
cash withdrawal options, a process which will likely take several months.
ENVIRONMENTAL IMPACT:
The requested City Council action is not a “Project” as defined by the California
Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the
whole of an action, which has a potential for resulting in either a direct physical change in
the environment, or a reasonably foreseeable indirect physical change in the
environment. According to Section 15378(b), a Project does not include: (5)
Organizational or administrative activities of governments that will not result in direct or
indirect physical changes in the environment.
FISCAL IMPACT:
Based on the number of monthly transactions in 2020 and 2021, Staff anticipates the
annual revenue generated from the ATM License Agreement to be approximately $2,000.
REVIEWED BY:
Department Director: Harry Barrett
City Manager: Justin Clifton
ATTACHMENTS:
1.Public Integrity Disclosure Form.
2.Amendment No. 1 to Agreement A6456 with MobileMoney, Inc.
Item 1K - 3
AVIATION DEPARTMENT:
City Council Meeting of 01-13-22
APPROVAL OF AMENDMENT NO. 1 TO THE LICENSE AGREEMENT (A6456) TO
MOBILEMONEY, INC. TO DECREASE THE LICENSE FEE PER TRANSACTION AND
INCREASE THE MAXIMUM TRANSACTION FEE FOR AUTOMATED TELLER
MACHINE (ATM) SERVICES AT THE AIRPORT AND EXERCISE OPTION 1 TO
EXTEND THE AGREEMENT FOR ONE YEAR THROUGH JANUARY 3, 2023
ATTACHMENT 1
PUBLIC INTEGRITY DISCLOSURE
Item 1K - 4
DocuSign Envelope ID: 802397CA-DAC7-429C-901E-247AA3EED982
Item 1K - 5
Who Mu st File?
CITY OF PALM SPRINGS
PUBLIC INTEGRITY DISCLOSURE
(IN STRUCTION S FOR APPLI CANT S)
Applicants that are NOT a nat ural person or group of natu ral people that w ill be ident ified on
the app lication, and seek a City approval dete rmined by a vote of City officials. Examples
include corporat io ns, limi t ed liab ili ty compan ies, trusts, etc. that see k a C ity Co uncil approva l,
or an approva l by one of t he C ity's board or commissions.
Why Mu st I File?
The City of Palm Spri ngs Public In t eg rity Ord inance advances tra nspa rency in
municipa l government and ass ists pub lic offic ials in avo iding confl icts of interest. The
C ity's Public Integrity Ord inance , codified in Chapter 2.60 of t he mun icipal code , reflects the
C ity's interest in ensuring t hat compan ies (a nd ot her legal entit ies that are not natu ra l
people) doing bus iness in the communi ty are t ransparent and make disclosure as to the ir
owne rship and management, and further that t hose compan ies disclose t he identity of any
person , with an beneficial ownership inte rest of five percent (5%) or more.
When Mu st I File?
You must file t his form w ith t he Office of the City Cler k at the same t ime when you file your
appl icat ion fo r a City app roval dete rmined by a vote of City offic ials, whether elect ed or
appo int ed.
(Revised 09 13 18)
CITY OF PALM SPR INGS -PUBLIC INTEGRITY DISCLOSURE
(INSTRUCTION FOR APPLICA NTS)
Page 1 o f 2
DocuSign Envelope ID: 802397CA-DAC7-429C-901E-247AA3EED982
Item 1K - 6
Wh at Mu st I Di sclose?
A. T he names of al l natural persons w h o are officers, d irect ors, members, managers,
trustees , and other fiduciaries serving t rusts or ot her types o f o rgan izat io ns (attorneys,
accountant s , etc.).
N ote: (1) you must make these disclosures in relation to the applicant entity, and also in relation to any related
entity that owns a pa,t of, or makes a profit based upon the business of the applicant entity. D isclosu res may
in clude parent, subs id iary or affi liated entities of the appl ica nt entity; (2) if any entity that is not a natural
person serves the applicant entity (e.g ., as a member of an applicant LLC), then all officers, directors,
members, managers, trustees, etc., of the second entity must be disclosed).
B . T he names of persons owning a beneficial inte rest of five percent (5%) or more in you r
entity , Owne rs/investors who have such an in terest hold either investment power or
voti ng power, i.e., they can (i) se ll or t ransfe r the ir interest, or (i) vote their in terest in
management decisions.
NOTE : USE ADDIT IONAL PAGES AS NECESSARY
Wh at if I Have Question s?
If you have any questions about how to complete this form , please contact:
City Attorney , Edward Z. Kotkin (ema il: Ed ward.Kotki n@pa lmspringsca.gov)
PENALTIES
Falsification of informat ion or fa ilu re to report information req uired to be reported
may s ubject you to admin istrative act ion by the Ci ty .
(Revised 09 13 18)
CITY OF PALM SPR INGS -PUBLIC IN TE GRITY DISCLOSURE
(INSTRUCTION FOR APPLICAN TS)
Page 2 of 2
CITY OF PALM SPRINGS – PUBLIC INTEGRITY DISCLOSURE
APPLICANT DISCLOSURE FORM
Page 1 of 2
(Revised 09 13 18)
PUBLIC INTEGRITY DISCLOSURE
APPLICANT DISCLOSURE FORM
1.Name of Entity
2.Address of Entity (Principle Place of Business)
3.Local or California Address (if different than #2)
4.State where Entity is Registered with Secretary of State
If other than California, is the Entity also registered in California? Yes No
5.Type of Entity
Corporation Limited Liability Company Partnership Trust Other (please specify)
6.Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify)
Note: If any response is not a natural person, please identify all officers, directors,
members, managers and other fiduciaries for the member, manager, trust or other entity
_________________________________________________ Officer Director Member Manager
[name]
General Partner Limited Partner
Other ____________________________________
_________________________________________________ Officer Director Member Manager
[name]
General Partner Limited Partner
Other ____________________________________
_________________________________________________ Officer Director Member Manager
[name]
General Partner Limited Partner
Other ____________________________________
MOBILEMONEY, Inc.
941 Calle Negocio
San Clemente, CA 92673
same as above
California
Lawrence John Dunnwald
William Joseph Dunnwald
DocuSign Envelope ID: 802397CA-DAC7-429C-901E-247AA3EED982
Item 1K - 7
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CITY OF PALM SPRINGS – PUBLIC INTEGRITY DISCLOSURE FORM
APPLICANT DISCLOSURE FORM
Page 2 of 2
(Revised 09 13.18)
7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity
EXAMPLE
JANE DOE
[name of owner/investor]
50%, ABC COMPANY, Inc.
[percentage of beneficial interest in entity
and name of entity]
A.
[name of owner/investor] [percentage of beneficial interest in entity
and name of entity]
B.
[name of owner/investor] [percentage of beneficial interest in entity
and name of entity]
C.
[name of owner/investor] [percentage of beneficial interest in entity
and name of entity]
D.
[name of owner/investor] [percentage of beneficial interest in entity
and name of entity]
E.
[name of owner/investor] [percentage of beneficial interest in entity
and name of entity]
I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF
CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT.
Signature of Disclosing Party, Printed Name, Title
Date
Lawrence John Dunnwald
William Joseph Dunnwald 20% MOBILEMONEY, Inc.
80% MOBILEMONEY, Inc.
12/21/2021Lawrence Dunnwald, Owner / CEO
DocuSign Envelope ID: 802397CA-DAC7-429C-901E-247AA3EED982
12/21/2021
Item 1K - 8
1/DocuSigned by:
L~FB~:::~1
AVIATION DEPARTMENT:
City Council Meeting of 01-13-22
APPROVAL OF AMENDMENT NO. 1 TO THE LICENSE AGREEMENT (A6456) TO
MOBILEMONEY, INC. TO DECREASE THE LICENSE FEE PER TRANSACTION AND
INCREASE THE MAXIMUM TRANSACTION FEE FOR AUTOMATED TELLER
MACHINE (ATM) SERVICES AT THE AIRPORT AND EXERCISE OPTION 1 TO
EXTEND THE AGREEMENT FOR ONE YEAR THROUGH JANUARY 3, 2023
ATTACHMENT 2
AMENDMENT No. 1 TO LICENSE AGREEMENT A6456
Item 1K - 9
AMENDMENT NO. 1 TO LICENSE AGREEMENT
FOR MOBILEMONEY AUTOMATED TELLER MACHINE AT
PALM SPRINGS INTERNATIONAL AIRPORT
This Amendment No. 1 to the License Agreement (A6456) ("Amendment No. 1"), is made
and entered into this _____ day of ______, 2022, by and between the CITY OF PALM
SPRINGS, a California charter city and municipal corporation, ("City") and MOBILEMONEY ,
INC., a California Corporation, ("Licensee"). City and Licensee are individually referred to as
"Party" and are collectively referred to as the "Parties".
RECITALS
WHEREAS, City is the fee owner of that real property known as the Palm Springs
International Airport, a public airport hereinafter referred to as ("Airport"), located at 3400 East
Tahquitz Canyon Way in the City of Palm Springs, California; and
WHEREAS, on January 15, 2019, Parties entered into the Agreement for Licensee to
install, maintain, and operate three Automated Teller Machines (ATMs) within the Airport;
and
WHEREAS, the Parties wish to exercise the first of the two one -year extensions to
take affect January 3, 2022, and to adjust the license fee and maximum transaction fee as
set forth below; and
NOW, THEREFORE, in consideration of the mutual covenants, promises and
conditions set forth herein, the Parties hereto incorporate the recitals set forth above and
further agree as follows:
AGREEMENT
SECTION 1. The true and correct recitals above are incorporated by this reference
herein as the basis for this Amendment No. 1.
SECTION 2. Compensation is hereby amended to include the following:
2.1 License Fee
(a)In exchange for the non -exclusive use of the License Areas pursuant to this
License, Licensee shall pay the City the amount of $0.75 per transaction for each transaction
occurring at the ATMs installed on the Licensed Areas. This license fee shall be paid from
a portion of, not in addition to, any transaction convenience fee received by Licensee,
however, should Licensee elect to not charge a transaction fee to cardholders of Licensee’s
bank or any other customer(s) of the ATMs, Licensee will nonetheless pay City the license
fee for each transaction conducted at the ATM’s. Transaction herein is defined as any
withdrawal or any other surcharge transactions.
Item 1K - 10
2.4 Maximum Transaction Fee .
Licensee may charge a transaction fee not to exceed Three Dollars and Ninety -Five
cents ($3.95) to process a cash withdrawal of funds at the ATMs. Such convenience fee
shall be payable from each cardholder’s bank account. The transaction fee shall not assess
against or charge the City.
SECTION 3 Full Force and Effect. All terms, conditions, and provisions of the License
Agreement (A6456), unless specifically modified herein, shall continue in full force and effect.
In the event of any conflict or inconsistency between this Amendment No. 1 and any provisions
of the License Agreement (A6456), the provisions of this Amendment No. 1 shall in all respects
govern and control. From and after the date of this Amendment No. 1, whenever the term
"Agreement" or "Contract" appears in the Agreement, it shall mean the Agreement as
amended by Amendment No. 1
SECTION 4. The persons executing this Amendment No. 1 on behalf of the Parties
hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized
to execute and deliver this Amendment No. 1 on behalf of said party, (iii) by so executing
this Amendment No. 1, such party is formally bound to the provisions of this Amendment
No. 1, and (iv) the entering into this Amendment No. 1 does not violate any provision of any
other agreement to which said Party is bound.
[SIGNATURES ON FOLLOWING PAGE]
Item 1K - 11
SIGNATURE PAGE FOR AMENDMENT NO. 1 TO MOBILEMONEY, INC. LICENSE
AGREEMENT A6456 FOR AUTOMATED TELLER MACHINES BETWEEN THE CITY OF
PALM SPRINGS AND MOBILEMONEY , INC.
IN WITNESS WHEREOF, the Parties have entered this Amendment No. 1 to the
MOBILEMONEY, INC. LICENSE AGREEMENT A6456 FOR AUTOMATED TELLER
SERVICES as of the day and year first above written.
Signature (Notarized) Signature (Notarized)
Printed Name/Title Printed Name/Title
CITY OF PALM SPRINGS
Approved By:
Justin Clifton
City Manager
Date
Attested By:
Anthony Mejia
City Clerk
Approved as to Form:
Jeffrey S. Ballinger
City Attorney
MOBILEMONEY, INC.
Signature
Name
Title
Signature
Name
Title
Corporations require two notarized
signatures. One signature must be from
Chairman of Board, President, or any
Vice President. The second signature
must be from the Secretary, Assistant
Secretary, Treasurer, Assistant
Treasurer, or Chief Financial Officer.
Item 1K - 12