File #: 24-0158    Version: 1
Type: Consent
In control: City Council/Successor Agency to the Redevelopment Agency/Public Financing Authority/Parking Authority Concurrent
Final action:
Attachments: 1. Attachment A - Professional Services Agreement, 2. Attachment B - Accela Subscription Order Form




recommended action



It is recommended that City Council adopt a motion to:


1.                     Approve findings pursuant to Stockton Municipal Code Section 3.68.070, which support and justify an exception to the competitive bidding process; and


2.                     Approve entering into a new contract with Accela Inc. to provide a permitting and land-use management software system for a total not-to-exceed amount of $3,151,453 for ten (10) years.


3.                     Appropriate $356,787.55 from Development Services fund balance to the Community Development operating expenditure account 5510/220-221 for Fiscal Year 2023-24, an aggregate amount of $513,637.55 including the budgeted Technology Internal Service Fund (ISF), for the two-year prepayment of the Service Contract.


4.                     Authorize the City Manager, or designee, to take all necessary and appropriate actions to carry out the purpose and intent of this motion.





Accela is the cloud-based software that serves as the foundation for the Community Development Department’s (CDD) management of Building, Development Engineering, and Planning permitting functions.


CDD acquired Accela software in 2014 with a 10-year contract, with Accela Subscription Services expiring on May 20, 2024.  Since the original implementation, significant investment has been made in streamlining and automating workflows, expanding online services for customers, and integrating with the recently launched CDD Virtual Assistant.  Fire Prevention is also mid-implementation, transitioning their annual and one-time Fire Prevention permits out of the legacy HTE system into Accela.


It is recommended that Council adopt a motion to approve findings that justify and support an exception to the competitive bidding process and authorize the City Manager to execute a Professional Services Agreement (Attachment A) with Accela Inc. for a not-to-exceed contract amount of $3,151,453 for a new 10-year term to provide for continuity of existing services.








A Request for Proposal (RFP) was issued in 2013 to acquire a new software system for permit management. Upon completion of the RFP process, Accela was ranked the highest in many attributes. Implemented in 2015, Accela replaced the legacy HTE software and became the backbone software system for CDD.


Accela is a web-based software-as-a-service (SaaS) product.  This structure ensures the underlying technology is continuously updated and advanced, including ongoing security enhancements and expanded functionality, as part of the contract.  Accela has proven itself highly adaptable to meet the specific needs of Stockton and is recognized as the industry leader in providing government permit management software to multiple levels of government agencies globally.


Present Situation


Over the last six years, CDD has continued to update its Accela configuration, building from the original implementation, expanding online access to core department services for customers such as bill payment, application submittal, inspection scheduling, and more.  Benefits from this effort also include streamlining internal processes and workflows to improve City performance and expedite permit review times.


CDD is working closely with Fire Prevention, moving Fire’s annual and one-time permits out of their existing system and into Accela.  This current effort will provide increased efficiency for staff, faster permit issuance for customers, and provide the online customer services currently available to CDD customers.


Stockton’s Office of Performance and Data Analytics (OPDA) early data analysis identified a baseline level of historical performance for permit review and issuance, and continuously tracks improvement goals.  Accela has recently begun offering their new Enhanced Reporting Database (ERD) which provides direct connection between data in Accela to external platforms such as advanced analytical tools like PowerBi, GIS, and Stockton’s Open Data Portal.  Acquiring the ERD as part of this contract will significantly streamline the process of data analysis and enhance Stockton’s ability to provide timely and advanced data analysis to staff, city leadership, and the public.




Pursuant to Stockton Municipal Code Section 3.68.070, the City Council may approve findings which support and justify an exception to the competitive bidding process. The following findings support such an exception:


1.                     Accela Inc. is the sole provider of Accela software licenses


2.                     It is in the City’s best interest to continue utilizing Accela software for continuity of managing permitting services


3.                     Use of the Single Available Source process is appropriate for this Professional Services Agreement




The total cost of the software for ten (10) years of service is $3,151,453 as shown in Attachment B. Accela provided multiple pricing scenarios with different term lengths, a pre-payment discount option, and inclusion of the ERD. Based on CDD’s analysis, as well as OPDA and the City Manager’s concurrence, the recommendation is based on the following:


                     Ten-year term - Yields the lowest price as compared to a five-year term

                     Two years prepaid - Paying Years 1 and 2 up-front ($513,637.55) yields a 9% discount for the life of the contract


Accela incorporates a 5% annual escalator in all of their contracts, which is reflected in the annual cost breakdown shown below:




Year 1

 $     250,554.90

Year 2

 $     263,082.65

Year 3

 $     276,236.77

Year 4

 $     290,048.62

Year 5

 $     304,551.05

Year 6

 $     319,778.60

Year 7

 $     335,767.53

Year 8

 $     352,555.91

Year 9

 $     370,183.70

Year 10

 $     388,692.88


 $  3,151,452.61


Funding in the amount of $156,850 is available in the Technology Internal Service Fund (ISF) 3020-000-630013-510-511-00-30-000-000- for Fiscal Year 2023-24. Additionally, an appropriation of $356,787.55 from the Development Services fund balance to the Community Development operating expenditure account 5510-000-630002-220-221-10-55-000-000- is proposed. This, when combined with the ISF budgeted amount, brings the aggregate cost of the two-year prepayment to $513,637.55.


The remaining years of service will be allocated through the Technology ISF, account 3020/510-511, and funded by CDD’s Technology Fee which is charged at a rate of 7.5% on most permits for the express purpose of maintaining and improving the technology used by the Permit Center to serve customers.  Sufficient funds will be allocated to sustain the full cost of this agreement.


Attachment A - Professional Services Agreement

Attachment B - Accela Subscription Order Form