REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
December 16, 2025
FROM
BEAHTA R. DAVIS, Director, Regional Parks Department
SUBJECT
Title
Agreement with Kaizen Laboratories, Inc. for Point of Sale and Park Reservation System
End
RECOMMENDATION(S)
Recommendation
Approve Agreement with Kaizen Laboratories, Inc., including non-standard terms, for a Point of Sale and Park Reservation System, hardware, and merchant processing services for Calico Ghost Town Regional Park, Glen Helen Regional Park, Cucamonga-Guasti Regional Park, Mojave Narrows Regional Park, Mojave River Forks Regional Park, Prado Regional Park, and Yucaipa Regional Park, for the period of December 17, 2025, through December 16, 2032, with the option to extend for two additional one-year periods, in an amount not to exceed $1,540,678.
(Presenter: Beahta R. Davis, Director, 387-2340)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The Agreement with Kaizen Laboratories, Inc. (Agreement) will allow Regional Parks Department (Department) to operate a reservation and point-of-sale system at all Regional Parks (Parks). The Department’s use of park fee revenue will fund the software, hardware, and merchant processing services fees in the not to exceed amount of $1,540,678 for the seven-year period. The fee amounts will be based on the actual number of credit/debit card payments processed, which is based on a 2.9% interchange fee plus a $0.30 per transaction fee for the first year of the contract and 3.5% interchange fee plus a $0.30 per transaction fee in years two through seven. Adequate appropriation and revenue are included in the Regional Parks Department 2025-26 budget and will be included in all future recommended budgets.
|
Annual Software Costs |
|
Contract Year |
Kaizen’s Fee |
|
Year 1 |
$49,000 |
|
Year 2 |
$49,000 |
|
Year 3 |
$49,000 |
|
Year 4 |
$49,000 |
|
Year 5 |
$49,000 |
|
Year 6 |
$49,000 |
|
Year 7 |
$49,000 |
|
Total |
$343,000 |
|
Hardware Costs |
|
Units |
Kaizen’s Fee |
|
22 POS devices |
$7,678 |
|
Merchant Processing Services Costs |
|
Units |
Kaizen’s Fee |
|
2.9% interchange fee - Year 1 |
$170,000 |
|
3.5% interchange fee - Years 2 - 7 |
$1,020,000 |
BACKGROUND INFORMATION
The Department requires a Point of Sale (POS) system and Reservation system to operate the sale of all items at the Parks. This includes entry into Parks, items for sale, events, camping and fishing. Additionally, the Department requires a merchant processing services provider to process transactions from the POS software platform to the bank. The Department’s current POS contract will expire in February of 2026, and the Department is asking the Board to approve the Agreement with Kaizen.
Kaizen Laboratories, Inc. (Kaizen) was incorporated on May 9, 2022; Kaizen was founded with a singular vision to work with communities that interact with government services especially with park and recreation departments. Kaizen’s software is specifically created for outdoor recreational applications. Kaizen offers not only a reservation system but adds value by providing camping and event specific applications that add increased use and value to users. They work with communities in Arizona, Massachusetts, California, and Colorado.
Approval of this Agreement with Kaizen will provide the Department with a new POS and reservation system, and a merchant services processing provider giving the Department the ability to continue to process sales to Park guests.
The Agreement with Kaizen contains the following non-standard County terms:
1. This Agreement is effective as of December 17, 2025, and expires December 16, 2032, with two additional one year extensions options, but may be terminated earlier in accordance with provisions of the Contract.
• The County standard contract term is five years. This Contract is for seven years.
• Potential Impact: Agreeing to the seven-year contract term allows the County to receive a lower merchant processing service interchange fee of 2.9% for the first year of the Contract compared to a 3.5% processing service interchange fee in years two through seven of the Contract.
2. The Agreement with Kaizen limits its aggregate maximum liability to the amount of fees paid to Kaizen for the applicable services during the twelve-month period prior to the date the cause of action arose.
• The standard County contract does not include a limitation of liability.
• Potential Impact: Claims could exceed the limitation on liability cap leaving the County financially liable for the excess.
3. The Agreement does not include a clause that would allow the County to terminate the contract for convenience with 30 days’ notice.
• The standard County contract reserves the right for the County to terminate the contract for convenience with 30 days’ notice.
• Potential Impact: The contract can only be terminated for cause.
PROCUREMENT
The Regional Parks Department released Request for Proposal (RFP) No. PARKS25-PARKS-5843 on May 6, 2025. The RFP requested proposals for a reliable and user-friendly Point of Sale (POS) & Park Reservation system used for key operations such as reservations, data analysis, and event management. The RFP was posted to the County’s Electronic Procurement Network (ePro).
Ten proposals were received by the established deadline in response to the RFP. Proposals from ten agencies listed below met the minimum requirements and continued through the evaluation process.
1. Civic Plus - Manhattan, Kansas - $78,900 annual bid
2. Adroit IT Solutions - Rosemead, California - $109,150 onetime/$65,500 annual bid
3. Art Street - San Diego, California - $8,798 annual bid
4. Birchwood Ratcliff & Associates LLC - Coral Springs, Florida - $69,250 annual bid
5. Campspot - Grand Rapids, Michigan - No bid price
6. Comprise Technologies Inc - Navesink, New Jersey - $27,000 onetime/$12,000 annual
7. Kaizen Laboratories Inc. - New York, New York - $49,000 annual
8. PerfectMind dba Xplor Recreation - Creve Coeur, Montana - $27,000 onetime/$50,000 annual
9. US eDirect LLC - Plano, Texas - $70,590 onetime/$30,000 annual bid
10. Vermont Systems Inc. - Essex Junction, Vermont - $39,900 annual bid
The evaluation committee, with representation from IT, reviewed and evaluated the proposals based on the criteria released in the RFP. The criteria included: Qualifications and Experience, Technical Review, Cost/Revenue, References, and Interview, Presentation, or Demonstration.
Based on the evaluation criteria, the evaluation committee determined Kaizen Laboratories, Inc best met the needs of Regional Parks and is being recommended for award. No protests were received.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Suzanne Bryant, Deputy County Counsel, 387-5455) on December 4, 2025; Risk Management (Stephanie Pacheco, Staff Analyst II, 386-9008) on November 7, 2025; Purchasing (Jessica Barajas, Supervising Buyer, 387-2065) on November 7, 2025; and County Finance and Administration (Elias Duenas, Administrative Analyst, 387-4052) on November 25, 2025.