Consent 1.B.
Regular City Council Meeting
- Meeting Date:
- 08/10/2020
- TITLE
- Mailing Services Contract
- PRESENTED BY:
- Liz Kampa
- Department:
- Finance
RECOMMENDATION
The Committee recommends that the City Council approve, and the Mayor sign, a five-year contract with five additional one-year options to renew, for the City’s Mailing Services, with FP Management, Inc. (DBA Mailing Technical Services, Inc.).
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
Pursuant to the City's Purchasing Procedures, a Request for Proposals (RFP) for Mailing Services for all City departments was advertised in the Yellowstone County News on June 26 and July 3, 2020. Proposals were to be received by Friday, July 17, 2020.
The selection committee consisted of City staff: Liz Kampa-Weatherwax, Andy Zoeller, Dawn Hurd and Jamie Ogger. One proposal was received from FP Management, Inc. (DBA Mailing Technical Services, Inc.), who has been performing these contract services successfully since 2005.
The committee reviewed the proposal and considered Proposal Compliance, Comprehensiveness of Services Provided, Related Experience, Firm Stability, Prior City Experience, Assigned Individuals and Quality Assurance, before considering charges for services. The committee approved the proposal from FP Management, Inc. (DBA Mailing Technical Services, Inc.), and the submitted price matrix was examined prior to recommending award to Mayor and Council.
The City spends an average of $65,000/year on combined postage and fees through the mailing services contract. This includes a $.035/piece discount from standard USPS postage on all letters (the bulk of our mail), a 10% markup from USPS prices for flats, packages and postcards, a $.50/piece fee for certified mail, and a $.07/piece fee for statements and inserts.
The selection committee consisted of City staff: Liz Kampa-Weatherwax, Andy Zoeller, Dawn Hurd and Jamie Ogger. One proposal was received from FP Management, Inc. (DBA Mailing Technical Services, Inc.), who has been performing these contract services successfully since 2005.
The committee reviewed the proposal and considered Proposal Compliance, Comprehensiveness of Services Provided, Related Experience, Firm Stability, Prior City Experience, Assigned Individuals and Quality Assurance, before considering charges for services. The committee approved the proposal from FP Management, Inc. (DBA Mailing Technical Services, Inc.), and the submitted price matrix was examined prior to recommending award to Mayor and Council.
The City spends an average of $65,000/year on combined postage and fees through the mailing services contract. This includes a $.035/piece discount from standard USPS postage on all letters (the bulk of our mail), a 10% markup from USPS prices for flats, packages and postcards, a $.50/piece fee for certified mail, and a $.07/piece fee for statements and inserts.
ALTERNATIVES
City Council may:
- Approve a five-year contract with five additional one-year options to renew, for the City’s Mailings Services, with FP Management, Inc. (DBA Mailing Technical Services, Inc.), or;
- Disapprove a five-year contract with five additional one-year options to renew, for the City’s Mailings Services, with FP Management, Inc. (DBA Mailing Technical Services, Inc.), and provide further direction to staff.
FISCAL EFFECTS
FP Management, Inc. (DBA Mailing Technical Services, Inc.) has been providing mailing services for the City since 2005. All Departments currently utilize this centralized service contract. The City spent $66,000 through the centralized Mailing Services contract in FY20. The Departments have budgeted for this expense.