Board of Estimate and Contract:
RESOLVED, that an Ordinance adopted by the City Council on August 12, 2026, and signed by the Mayor on August 13, 2026, authorizing the Mayor to Enter into a Cell Phone Disposal and Data Removal Agreement with PaceButler Corporation and Authorizing the Disposal of Eighty-Six (86) Obsolete Smartphones - (there is no cost to the City associated with this Agreement, as PaceButler Corporation shall bear all shipping, handling, processing, and recycling expenses. Any proceeds received from the resale of eligible devices shall be deposited in accordance with applicable City financial procedures); be, and the same is hereby approved.
City Council:
AN ORDINANCE AUTHORIZING THE MAYOR TO
ENTER INTO A CELL PHONE DISPOSAL AND
DATA REMOVAL AGREEMENT WITH PACEBUTLER
CORPORATION AND AUTHORIZING THE DISPOSAL
OF EIGHTY-SIX (86) OBSOLETE SMARTPHONES
Whereas, in correspondence dated July 15, 2026, the Commissioner of the Department of Management Services formally requested authorization for the Mayor to enter into and execute the Cell Phone Disposal and Data Removal Agreement with PaceButler Corporation, together with such non-material modifications as may be approved by the Corporation Counsel, and to execute any and all documents necessary to carry out the intent and purpose of this Ordinance; and
Whereas, the Department of Management Services has recommended that the City enter into a Cell Phone Disposal and Data Removal Agreement with PaceButler Corporation for the secure disposal, data destruction, recycling, and potential resale of obsolete City-owned smartphones; and
Whereas, the Finance Department has identified eighty-six (86) CAT S62 smartphones that have reached the end of their useful life, have been replaced with newer devices, and are no longer needed for municipal operations; and
Whereas, PaceButler Corporation, located at 5915 NW 23rd Street, Oklahoma City, Oklahoma 73127, has provided electronic device disposition and data destruction services to government agencies, municipalities, nonprofit organizations, and law enforcement agencies throughout the United States since 1987; and
Whereas, under the proposed Agreement, PaceButler Corporation will collect, transport, securely erase all data from, recycle, or remarket the obsolete smartphones at no cost to the City of Mount Vernon; and
Whereas, PaceButler Corporation shall provide prepaid shipping labels, pay all shipping and processing costs, schedule pickup at the City's convenience, and furnish an itemized statement within ten (10) business days following receipt of the devices; and
Whereas, PaceButler Corporation will compensate the City for each device having resale value in accordance with its current pricing schedule, which is updated periodically, and will recycle any device with no resale value in accordance with R2v3 electronics recycling standards; and
Whereas, the Agreement requires PaceButler Corporation to securely remove all City data from each device using data sanitization methods that comply with HIPAA (45 CFR §164.310(a)(1)), NIST Special Publication 800-88 Revision 1, and Department of Defense Standard 5220.22-M, including cryptographic wiping, verification, and factory reset procedures, with any device that cannot be sanitized being physically destroyed in accordance with applicable recycling standards; and
Whereas, upon completion of the data destruction process, PaceButler Corporation will provide the City with a Data Clearing Certificate identifying each device by its IMEI and serial number as verification that all data has been permanently removed; and
Whereas, PaceButler Corporation maintains secure processing facilities with controlled access and video surveillance and is required under the Agreement to maintain Commercial General Liability Insurance in amounts of not less than One Million Dollars ($1,000,000.00) per occurrence and Two Million Dollars ($2,000,000.00) aggregate, naming the City as an additional insured, and to indemnify and hold harmless the City from claims arising from PaceButler's negligence, willful misconduct, or breach of the Agreement; and
Whereas, participation in the program will result in no cost to the City, while allowing the City to receive compensation for devices with resale value and ensuring the environmentally responsible disposal of obsolete electronic equipment; and
Whereas, the City Council finds that authorizing the execution of the Agreement and the disposal of the obsolete smartphones is in the best interests of the City of Mount Vernon.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Mount Vernon, New York, as follows:
Section 1. Authorization to Execute Agreement. The Mayor is hereby authorized and directed to enter into and execute the Cell Phone Disposal and Data Removal Agreement with PaceButler Corporation, together with such non-material modifications as may be approved by the Corporation Counsel, and to execute any and all documents necessary to carry out the intent and purpose of this Ordinance.
Section 2. Authorization to Dispose of Obsolete Smartphones. The City Council hereby authorizes the disposal of eighty-six (86) obsolete CAT S62 smartphones previously assigned to the Finance Department, together with any associated equipment identified by the Department of Management Services, through PaceButler Corporation in accordance with the terms and conditions of the Agreement.
Section 3. Data Security and Environmental Compliance. Prior to disposal or resale, PaceButler Corporation shall securely erase or destroy all data contained on the devices in accordance with the standards set forth in the Agreement, including compliance with applicable HIPAA, NIST, Department of Defense, and R2v3 electronic recycling requirements. A Data Clearing Certificate documenting the disposition of each device shall be provided to the City.
Section 4. Compensation to the City. The City is authorized to receive payment from PaceButler Corporation for any devices determined to have resale value based upon PaceButler’s current pricing schedule in effect at the time the devices are evaluated. Devices determined to have no resale value shall be recycled without cost to the City.
Section 5. No Fiscal Impact. The City Council finds that there is no cost to the City associated with this Agreement, as PaceButler Corporation shall bear all shipping, handling, processing, and recycling expenses. Any proceeds received from the resale of eligible devices shall be deposited in accordance with applicable City financial procedures.
Section 6. Severability. If any section, subsection, sentence, clause, phrase, or provision of this Ordinance is for any reason held to be invalid or unconstitutional by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance.
Section 7. Repealer. All ordinances, local laws, resolutions, or parts thereof inconsistent with the provisions of this Ordinance are hereby repealed to the extent of such inconsistency.
Section 8. Effective Date. This Ordinance shall take effect immediately upon its adoption by the City Council and subsequent approval by the Board of Estimate and Contract.