Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Christine Taylor
DATE: December 16, 2025
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the City Manager to execute a contract To provide specialized crash-report monitoring and
subrogation recovery services for a pilot program of the Human Resources Department with Peachtree
Recovery Services, Inc. (Provider); authorizing the City Manager to take those actions necessary for city’s
performance under the contract; providing for the retention of a percentage by provider for amounts
recovered through performance of the services; and providing an effective date (File 8939 – awarded to
Peachtree Recovery Services, Inc., for a one (1) year term).
INFORMATION/BACKGROUND
The Risk Retention Fund is utilized to cover repair costs for City-owned property and vehicles damaged in
accidents. When the City is not at fault, the Risk Management division conducts investigations to identify
responsible parties and pursue subrogation to recover repair or replacement costs. In addition to direct repair
expenses, the City may also seek compensation for associated damages such as loss of use, diminished
value, and revenue loss.
Currently, staff rely on third-party appraisal services to determine claim values, with each appraisal
averaging $200. The department manages a continuous caseload of approximately 150–200 claims, all
administered by a single claims administrator. Risk Management does not have access to valuation software
based on industry and market standards, nor does it maintain agreements with software vendors. Due to
cost considerations, the department does not plan to acquire such software at this time.
VENDOR OVERVIEW AND FISCAL IMPACT SUMMARY
The City of Denton is evaluating a specialized vendor — Peachtree Recovery Services, Inc. (PRS)—to
enhance recovery efforts related to not-at-fault property damage claims. PRS identifies property damage
incidents by reviewing crash reports directly through the Texas Department of Transportation (TxDOT),
eliminating the need for City staff to submit files. PRS independently calculates repair costs and manages
the recovery process, including claims up to 10 years old—capturing missed historical opportunities. Their
performance-based model requires no upfront costs. PRS operates on a contingency-only basis, with sample
agreements indicating an average vendor retention of approximately 16.5%.
Utilizing PRS offers several strategic benefits. This vendor increases revenue by recovering damages the
City currently does not pursue or cannot accurately calculate, including supplemental damages such as loss
of use, diminished value, and loss of revenue. Their services reduce staff workload by outsourcing
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
valuation, investigation, and recovery tasks, while also improving accuracy through access to industry-
standard valuation tools not available internally. The Assistant City Managers support the revenue-
generating agreement that replenishes the Risk Retention Fund and ensures third parties fully compensate
the City for damages incurred.
PRS increases revenue capture by identifying overlooked or historic claims and reduces workload on staff
while generating funds for the Risk Retention Fund. This one-year pilot will support evaluation prior to a
formal solicitation.
RECOMMENDATION
Award a contract with Peachtree Recovery Services, Inc., to provide specialized crash-report monitoring
and subrogation recovery services for a pilot program for the Human Resources Department, in a one (1)
year term.
PRINCIPAL PLACE OF BUSINESS
Peachtree Recovery Systems, Inc.
Suwanee, GA
ESTIMATED SCHEDULE OF PROJECT
This is a one (1) year contract.
FISCAL INFORMATION
This is a revenue-generating agreement. PRS retains a small contingency percentage of recovered revenue.
All remaining funds flow directly into the City’s General Fund.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Ordinance and Contract
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Tiffany Harris, 940-349-7822.
Legal point of contact: Marcella Lunn at 940-349-8333.