Report Prepared by: Julie A. Trujillo, Deputy Finance Officer, Finance Department
Title
SUBJECT: Approval of Professional Services Agreement with ABS Direct, Inc. to Provide Printing and Mailing Services for City Billing Statements for the Five-Year Period July 1, 2019 Through June 30, 2024, for an Approximate Annual Cost of $33,800 Plus Postage Expenses
REPORT IN BRIEF
Considers approving a five-year Professional Services Agreement with ABS Direct, Inc. for $33,800 annually to provide printing, folding, inserting, sealing and applying postage on the statements for municipal services, business licenses and miscellaneous receivables.
RECOMMENDATION
City Council - Adopt a motion approving a Professional Services Agreement with ABS Direct, Inc. to provide printing and mailing services for City billing statements and authorize the City Manager or the Assistant City Manager to execute all necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended; or
2. Refer matter back to staff for changes; or
3. Deny.
AUTHORITY
Chapter 3.04, Purchasing System, sets forth procedures for contracting for professional services.
CITY COUNCIL PRIORITIES
As provided for in the 2019-20 Proposed Budget.
DISCUSSION
The City contracts with ABS Direct, Inc. to provide printing and mailing services for City billing statements. The services includes printing, folding, inserting, as well as sealing and applying postage on the statements for municipal services, business license and miscellaneous receivables. The current contract is set to expire on June 30, 2019.
The City recently conducted a Request for Proposal (RFP) for printing and mailing services. Five companies submitted proposals for consideration. The proposals were analyzed based on the following criteria: (1) vendor background and years of experience, (2) quality assurance and technical resources, (3) ability to provide the scope of services that the City requires and (4) the ability to meet the City’s delivery times. The scoring was based on 100 maximum points.
The proposals have been evaluated and scored as follows:
Firm Average Score
ABS Direct, Inc. 99
Infosend 94
Pre-Sort Center 85
ENCO Utility Services 82
Datamatx 79
After evaluating the RFPs on completeness of bid, location of company, explanation of services and price, staff recommends ABS Direct, Inc.
ABS Direct, Inc. is located in Modesto and has employees that live in Atwater, Turlock and Delhi areas. The City is able to take advantage of their local telephone number and the free courier service they offer. The courier service is available every workday. The City’s monthly newsletters are printed by a company in Turlock and are picked up by this courier service and delivered to ABS for insertion into the monthly utility statements.
ABS Direct, Inc. is consistent and reliable and produces quality products. The company also provides timely service and has maintained a good working relationship with the City. The company is also very responsive in making format and programming changes at the City’s request in a timely manner.
IMPACT ON CITY RESOURCES
The estimated annual cost for the service is approximately $33,800 plus postage. The total cost may vary based upon the number of bills printed, the cost of paper and the actual postage rate. The cost is included in the Water, Wastewater, Refuse and Finance department proposed budgets for FY 2019-20. The departments will need to include this cost in their budgets annually through FY 2024. The new contract will begin on July 1, 2019.
ATTACHMENTS
1. Agreement for Professional Services
2. Exhibit A - Scope of Services
3. Exhibit B - Pricing Schedule
4. Certificate of Liability Insurance