Report Prepared by: Renie Fagundes, Accountant III, Finance Department
Title
SUBJECT: Contract Amendment with ABS Direct, Inc.
REPORT IN BRIEF
Consider a one-year extension with ABS Direct, Inc. for printing and mailing services.
RECOMMENDATION
City Council - Adopt a motion approving a one year extension to the contract with ABS Direct, Inc. and authorizing the City Manager or 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 in the proposed Fiscal Year 2018-19 budget
DISCUSSION
The City currently contracts with ABS Direct, Inc. to provide printing and mailing services for the billing statements. The billing statements are for municipal services, business license, and miscellaneous receivables. This service includes printing, folding and inserting the statements, as well as sealing, applying postage, and mailing. ABS Direct, Inc. provides a top quality product and timely service.
The current contract expires June 30, 2018. Due to time constraints and the resources it would take if a new vendor were selected, Finance is requesting a one-year contract extension. Finance will be able to prepare and complete a thorough RFP selection process and have the time needed to transition to another vendor if it is determined.
ABS Direct, Inc. has notified the Finance Department that the rate per item for printing and mailing services will remain the same for the next year from July 2018 to June 2019.
IMPACT ON CITY RESOURCES
The estimated annual cost for printing is $46,306 and postage is $147,007 for a total of $193,313 and is included in the proposed Fiscal Year 18-19 budget
ATTACHMENTS
1. Second Amendment to Professional Services Agreement
2. Scope of Services and Fee schedule