In 2009, the Water Department entered into a contract with DataProse, LLC, to produce utility billing statements and delinquency letters for the Water Department and to manage mailing of the correspondence. The City's current contract will expire on February 9, 2017 and the Water Department recommends entering into another contract with the same vendor for continued services.
In 2016, the City of Plano completed another Request for Proposals (RFP) process and again selected DataProse, LLC, for utility bill printing and mailing services. Sixteen companies submitted proposals. DataProse, LLC, offered the best pricing and services. The City of Plano currently uses the same SunGard Public Sector billing system as the City of Fort Worth. Plano's RFP process meets the City of Fort Worth's standards for competitively selecting a vendor. Furthermore, Plano's selected vendor meets specifications related to the Water Department's SunGard Public Sector billing system and complies with United States Postal Service regulations.
The Water Department desires to enter into a new contract with DataProse, LLC, for continued utility bill printing and mailing services based off the established cooperative purchasing contract with the City of Plano. Entering into a new contract with DataProse, LLC, will reduce the Water Department's costs for bill printing and mailing of its 3.1 million assorted pieces by over $76,650.00 per year. It is estimated that the Water Department will spend $1,401,931.00 during the initial term of the new contract. Of that amount, approximately $1,131,205.00 will be spent on postage. This figure includes projected increases in the number of customer accounts. With 80 percent of the contract expense being postage, it should be noted that because the Water Department staff is unable to predict whether or not a postage increase will occur, the overall amount of the Agreement could increase.
COOPERATIVE PURCHASE - State law provides that a local government purchasing an item under a Cooperative Purchasing Agreement satisfies state laws requiring that the local government seek competitive bids for purchase of the item. The City of Plano's Contract No. 2016-0370-C was competitively bid to increase and simplify the purchasing power of local government entities.
PRICE ANALYSIS - There is a 33 percent price decrease compared to the Agreement awarded on June 2, 2015 (M&C P-11757). The Water Department has reviewed the pricing and determined it fair and reasonable.
M/WBE OFFICE - A waiver of the goal for MBE/SBE subcontracting requirements was requested by the Purchasing Division and approved by the M/WBE Office, in accordance with the BDE Ordinance, because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible.
ADMINISTRATIVE CHANGE ORDER - An administrative change order or increase may be made by the City Manager or his designee for the amount up to $100,000.00 and does not require specific City Council approval as long as sufficient funds have been appropriated.
AGREEMENT TERMS - Upon City Council approval, the initial term of this Contract will begin immediately upon the expiration of the existing contract on February 22, 2017 and will continue through February 21, 2018 to coincide with the dates of the City of Plano's Contract No. 2016-0370-C.
RENEWAL OPTIONS - This Contract may be renewed for one additional one year term at the City's option, in accordance with the terms of the City of Plano's contract. This action does not require specific City Council approval provided that the City Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term. |
