IBJNews

Local parking vendor eyes contract with ACS

Back to TopCommentsE-mailPrintBookmark and Share

A local company that fears losing a lucrative parking-enforcement contract with Indianapolis hopes to retain the business by making a deal with the private firm that received approval to lease city parking meters.

Founded in 1994, T2 Systems Inc. makes software to manage fee collections and enforcement for parking violations for universities and governments. The city of Indianapolis has been a customer since 1998 and just renewed a three-year contract this past summer.

But T2 Systems CEO and co-founder Mike Simmons said he was worried his company would lose the agreement if the city leased its parking meters to Dallas-based Affiliated Computer Services.

After months of contentious debate, City-County Council members voted 15-14 Monday evening to turn over meter operations to ACS. Despite the change in management, Simmons said he’s more confident T2 Systems will keep the business than he was during the days leading up to the vote.

T2 Systems is negotiating a new deal with ACS to continue providing city services and could have an agreement signed within the next few weeks, Simmons said. The length of the new contract is part of the discussions.

“We were optimistic, but we hadn’t received any direct feedback on what role we might play,” he said, “and we were forced to assume the worst.”

Most important, a “six-figure” contract is on the line, said Simmons, who declined to be more specific.

“The city of Indianapolis is certainly one of our top five customers in the country,” he said. “I would classify the relationship and revenue as very meaningful to us.”

ACS, meanwhile, is remaining tight-lipped about its potential relationship with T2 Systems.

Company spokesman Chris Gilligan said in an e-mail that ACS does not discuss the status of confidential business contracts while they’re being negotiated.

“However, when signing any contract, ACS will look to bring the best value to the people of Indianapolis to provide the best parking experience,” he said.

Gilligan cited ACS’s partnerships to manage the parking meters with Indianapolis-based Denison Parking and Evens Time Inc.

Deputy Mayor Michael Huber said T2 Systems has done a "great job" for the city.

"ACS has told the mayor that they're committed to maximizing opportunities for local companies," he said. "Therefore, we're not surprised that ACS and T2 would be in negotiations."

Under a new deal, T2 Systems would continue to provide the same enforcement services to the city. The only difference would be that ACS would be T2’s customer instead of the city's, Simmons added.

Overall, T2 Systems has about 360 customers and 115 employees.

As part of its deal with the city, ACS also has agreed to add 200 jobs in Indianapolis in the next two years.

The city worked to revise the terms of its proposed deal with ACS after public opposition mounted. The changes give Indianapolis greater flexibility in removing parking meters and the option of terminating the agreement every 10 years.

Supporters say the deal brings a long overdue upgrade to the system even as it generates revenue for infrastructure improvements.

The deal calls for ACS to give the city $20 million upfront and an estimated $363 million to $620 million in meter revenue over the life of the 50-year deal.

Opponents nevertheless have complained the deal is short-sighted and riddled with hidden costs.
 

ADVERTISEMENT

  • Indy ain't seen nothing yet!
    You lucky Indy citizens -- you better pay attention to the parking fine collectors. That's what this whole parking upgrade scam is about -- how to separate your hard earned money from your wallets. All the rest of the arguments are bogus. You've sold out a basic city function and lost control so that a profit-minded private enterprise can make it work "better." "Better" means the citizens pay more to enrich a few. If it's such a great deal the city should be doing the work and remain in control.

    PT Barnum is alive and well in Indiana -- a sucker (in this case a whole city/county) is born every minute. You will soon regret this stinker of a deal but will have to wait 10 expensive years to change anything while you shell out more and more cash to enrich ACS. Like the Men's Wearhouse guy says, "I guarantee it."
  • Parking Fines
    I received a parking ticket, with 7 days to pay, and was told I could pay on-line. Three+ days went by and it had not been entered in the system. Had to mail it.
    This company should be replaced.

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. I always giggle when I read comments from people complaining that a market is "too saturated" with one thing or another. What does that even mean? If someone is able to open and sustain a new business, whether you think there is room enough for them or not, more power to them. Personally, I love visiting as many of the new local breweries as possible. You do realize that most of these establishments include a dining component and therefore are pretty similar to restaurants, right? When was the last time I heard someone say "You know, I think we have too many locally owned restaurants"? Um, never...

  2. It's good to hear that the festival is continuing to move forward beyond some of the narrow views that seemed to characterize the festival and that I and others had to deal with during our time there.

  3. Corner Bakery announced in March that it had signed agreements to open its first restaurants in Indianapolis by the end of the year. I have not heard anything since but will do some checking.

  4. "The project still is awaiting approval of a waiver filed with the Federal Aviation Administration that would authorize the use of the land for revenue-producing and non-aeronautical purposes." I wonder if the airport will still try to keep from paying taxes on these land tracts, even though they are designated as "non aeronatical?"

  5. How is this frivolous? All they are asking for is medical screenings to test the effects of their exposure. Sounds like the most reasonable lawsuit I've read about in a while. "may not have commited it" which is probably why they're suing to find out the truth. Otherwise they could just ask Walmart, were you negligent? No? OK, thanks for being honest.

ADVERTISEMENT