HomeMy WebLinkAboutPR 17360: CONTRACT WITH MCCADVANTAGE FOR PRINTING AND MAILING OF WATER BILLS •
Memorandum
City of Port Arthur, Texas
Finance Department
To: Floyd T. Johnson, City Manager
From: Deborah Echols, Director of Finance/W
Date: October 23, 2012
Subject: Proposed Resolution 17360
The City entered into a 2 year contract with MCCadvantage by Resolution 10- 468,for the printing and
mailing of water bills.
This resolution provides for a 2 year renewal of the contract.
P. R. 17360
ask: 10/23/10
RESOLUTION NO.
A RESOLUTION AUTHORIZING A TWO (2) YEAR
RENEWAL OF THE CONTRACT BETWEEN THE CITY OF
PORT ARTHUR AND MCCADVANTAGE FOR THE
PURPOSE OF PROCESSING AND MAILING WATER
BILLING STATEMENTS IN AN AMOUNT NOT TO EXCEED
$28,000 PER YEAR; FUNDING AVAILABLE IN ACCOUNT
NO. 001-1035-515.21-00
WHEREAS, the City entered into a contract with MCCadvantage for the purpose of providing high
quality water bills to the Citizens of Port Arthur by Resolution 10 -468, Exhibit A; and
WHEREAS, the billing will be mailed by MCCadvantage promptly and accurately in a timely
fashion; and
WHEREAS, MCCadvantage has more than fifty five years experience in this arena; and
WHEREAS, MCCadvantage will design, process, print, and deliver to USPS on stock they provide,
including a return envelope for $0.14 each, estimated annual cost of $28,000 per year; and
WHEREAS, the City received a quote from Creditron for the same services for $0.213; and
WHEREAS, MCCadvantage is the lowest, most responsive provider of the service; and
WHEREAS, the term of the agreements states that each bill will be mailed at the lowest possible
rate, reducing postage approximately $0.10 on each statement mailed; and
WHEREAS, the terms of the agreement was for a period of two years with the option to renew for
additional two year renewals with the agreement of both parties, and a thirty -day cancellation clause.
WHEREAS, the City and MCCadvantage agree to a two year renewal.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. That the City Council hereby approves a two year renewal with MCCadvantage
Services for the purpose of processing and mailing water statements, in an amount
not to exceed $28,000 per year.
Section 3. That an authorized agent of MCCadvantage will sign this resolution agreeing to the
terms thereof.
Section 4. That a copy of this Resolution be spread upon the minutes of the City Council.
READ, ADOPTED, AND APPROVED, this day of October, 2012, AD, at a Regular
Meeting of the City Council of the City of Port Arthur, Texas by the following vote:
AYES: Mayor:
Councilmembers:
NOES:
Mayor
ATTEST:
Sherri Bellard, City Secretary
APPROVED AS TO FORM:
\(Olt (0
Val Tizeno;'City A ey
APPROVED FOR ADMINISTRATION:
Floyd T. Johnson, City Manager
41 ddia'
Deborah Echols, Director of Finance
001 - 1035 - 515.21 -00
J. Scott Molenburg, MCCadvantage
EXHIBIT "A"
P.R.16016
l jja: 10/14/10
ID '
RESOLUTION NO. ' 7 CD 8
A RESOLUTION AUTHORIZING THE CITY MANAGER TO
EXECUTE A CONTRACT WITH MCCADVANTAGE FOR
THE PURPOSE OF PROCESSING AND MAILING WATER
BILLING STATEMENTS
WHEREAS, the City desires to enter into a contract with MCCadvantage for the purpose of
providing high quality water bills to the Citizens of Port Arthur; and
WHEREAS, the billing will be mailed by MCCadvantage promptly and accurately in a timely
fashion; and
WHEREAS, MCCadvantage has more than fifty five years experience in this arena; and
WHEREAS, MCCadvantage will design, process, print, and deliver to USPS on stock they provide,
including a return envelope for $0.14 each, estimated annual cost of $28,000; and
WHEREAS, The City received a quote from Creditron for the same services for $0.213; and
WHEREAS, MCCadvantage is the lowest, most responsive provider of the service; and
WHEREAS, the term of the agreements states that each bill will be mailed at the lowest possible
rate, reducing postage approximately $0.10 on each statement mailed; and
WHEREAS, the terms of the agreement is for a period of two years with additional two year
renewals with the agreement of both parties, and a thirty -day cancellation clause.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR:
Section 1. The facts and opinions in the preamble are true and correct.
Section 2. The City Manager is hereby authorized to execute an agreement with
MCCadvantage Services in substantially the same form as attached hereto as Exhibit 1.
Section 3. That a copy of this Resolution be spread upon the minutes of the City Council.
READ, ADOPTED, AND APPROVED, this 19 of October, 2010, AD, at a Regular
Meeting of the City Council of the City of Port Arthur, Texas by the following vote:
•
AYES: Mayor: /
�
Coun � / ' � /.L/ �_� ;� / , � �
aeiv[
NOES: f 1�cy\I,
Mayor
ATTEST:
/
Sherri Bellard, Acting City Secretary
APPROVED AS TO FORM:
Val Tizeno, Acting • Attorney
APPROVED FOR ADMINISTRATION:
Steve Fitzgibbons, City Manager
/(041441 '024
Deborah Echols, Finance Director
001 -1032- 515.21 -00
s/finance/resolutions/munibill service contract
ExHIBIT 44 1 //
1
Mjdvantage
P.O. Box 2235
T allahassee, Florida 32316
C 1.800161.1633
tax 1.850.575.8852
www. mcc advantage.com
mccadvantage@municode.com
June 30 2010
Ms. Deborah Howey Echols, CPA
Director of Finance
City of Port Arthur
444 4 Street
Port Authur, Texas 77641
Dear Deborah,
Thank you for your interest in Municipal Code Corporation (MCC) and the MuniBill$ services we provide
to local governments. MCC understands your community has unique needs and we offer a variety of
services to meet those needs. We are pleased to provide the attached proposal for your billing
requirements.
ABOUT MCCadvantage MCCadvantage, a division of MCC, specializes in providing local governments
with high - quality, leading -edge statement processing and bill presentment services. We offer a wide
variety of statement output options to ensure your customers receive the type of statement that is right for
them. MCC's approach to statement processing sets the standard in the industry.
WHY USE MCC? MCC is family owned and operated and focuses on providing the highest possible level
of professionalism and customer service. The following distinguishes MCC as the best:
b TRUST - Municipal Code Corporation (MCC) has more than 55 years of experience focused solely
on providing services to local government. MCC has over 3,000 city and county customers in 49
states.
CUSTOM - DEVELOPED SOLUTIONS - Our statements are easy to read and understand. We work
directly with your staff to insure your statements are exactly the way you and your customers want
them. Our staff has over 28 years of billing experience.
.L FAST TURNAROUND - We know how important your revenue stream is. Statements normally
reach the USPS within one business day of our receipt of your data file. We work closely with the
USPS to insure speedy delivery to your customers.
-i. QUALITY - Our "Advantage 10" quality process insures quality and integrity on each and every
statement that leaves our door. MCC's cutting -edge printing technology produces some of the best
print quality in the industry.
,L IN -HOUSE CREATIVE SERVICES - MCC has been in the publishing business for over 55 years,
and has kept up with the evolution of technologies to the benefit of our customers. We have a
creative team of talented graphic artists to help you create statement inserts, newsletters or any 1
other important customer communications.
,I.. DISASTER RECOVERY - All data sent to MCC is saved, archived and available at your request in
the event of a natural disaster. Additionally, MCC's disaster plan is thorough and tested; a copy is
available on request.
PAYMENT OPTIONS TO FIT YOUR CUSTOMER'S LIFESTYLES - If you are interested in return
payment options, please contact us for further information.
•I. SAFE AND SECURE - You can be assured your customer's information is safe and secure from
prying eyes. At MCC we take no risks and employ all necessary measures to insure your data is
always protected.
If you have any questions or desire additional information, please call me anytime. I would also be happy
to schedule a conference call with all interested parties, or meet with you personally.
Sincerely,
J Scott Molenburg
MCCadvantage
a division of Municipal Code Corporation
2
TABLE OF CONTENTS
EXECUTIVE SUMMARY 4
SCOPE OF WORK 5
MuniBill$ QUOTATION SHEET FOR CITY OF PORT ARTHUR 8
ADDITIONAL SERVICES 9
3
PROFESSIONAL SERVICES PROPOSAL
FOR BILLING SERVICES
EXECUTIVE SUMMARY
MCCadvantage, a division of MCC will provide you and your customers the highest possible level of
service. Our corporate goal is to focus on the details of each customer's needs. MCCadvantage team
members are creative, good communicators, ask questions and leverage their experience to solve
problems. The company was founded in 1951 and offers services to local governments nationwide. While
MCCadvantage is a relatively new division, MCC has more than 55 years of service to local governments.
The MuniBill$ service takes advantage of MCC's skill, equipment and technology to offer you the most
efficient and affordable services available. We work hard to maintain the high level of service and integrity
our Clients have come to expect in all our services.
Customer Service /Sales Approach
Our focus on service begins with our sales approach. We listen carefully to your concerns and address
each issue individually. Our response time to inquiries is normally a couple of minutes via e-mail
(constantly monitored) or within the half -hour for phone communication. Customers frequently send notes
and emails reminding us how rare this level of service is. But at MCC we make it a priority. MCC is a
family - owned, medium -sized business, which means our clients receive a level of personal service
unparalleled in the industry. Our size also allows us to provide technological resources smaller firms can't
offer. Our most valuable assets are our customers and our reputation. We earn our reputation by offering
helpful suggestions and solutions for your unique situation.
Employee Focus
MCC is a privately owned Corporation. We are financially sound, having been in business for more than
55 years. MCC's President and Board of Directors are focused on improving MCC though investments in
people, technology and facilities. MCC has recently refurbished many offices and has a Health and Fitness
Gym with showers, Laundromat, and a walking trail through our 10 -acre campus. MCC also provides
employees a Quarterly Production Reward system based on the profits of the company. Through this
incentive, our employees feel an ownership in the company.
4
SCOPE OF WORK
MUNICIPAL CODE CORPORATION, a corporation duly organized and existing under the laws of the
State of Florida, hereinafter referred to as MCC, hereby offers to perform billing services for CITY OF
PORT ARTHUR hereinafter referred to as Client.
MCCadvantage, a division of MCC, agrees to provide Client "MuniBill$" services defined herein and at
pricing contained in Schedule 1.0. The Client agrees that MCCadvantage shall be its exclusive provider of
these goods and services during the term of this agreement.
COMPENSATION — In full and complete compensation for all goods and services provided by
MCCadvantage hereunder, Client aggress to pay MCCadvantage according to the rates set forth in
Schedule 1.0. Prices quoted in Schedule 1.0 are based upon specifications provided by the Client. If there
is a change in specifications or instructions to the original quotation, the work performed will be billed at an
adjusted rate agreed to by Client. MCCadvantage will provide to Client an invoice after each production
run consisting of all fees, as outlined in Schedule 1.0, including a summary of postage used. A monthly
late payment charge may be assessed on statements not paid within thirty (30) days. The price for
materials may be re- evaluated at the annual anniversary date of the effective date of the contract, taking
into account any fluctuations in the price of paper and supplies. Any price increase will be supported by
supplier documentation and provided to the City for review. In no event may any increase be greater than
the actual increases in the cost of materials.
POSTAGE — MCCadvantage will require that the Client maintain a permanent postage deposit in
connection with this agreement. Client shall deposit in advance with MCCadvantage the initial sum
specified in Schedule 2.0 as the permanent postage deposit. The amount of this deposit is based on
expected volumes and postage rates and is subject to change based on changes to the volume and prices
defined in Schedule 2.0, or customer payment history. All mail pieces are sent at the lowest possible
postage qualifying rate taking full advantage of automated USPS discounts. Client will be notified in writing
in advance if a change in the amount of the deposit is necessary. Upon termination of the Agreement,
MCCadvantage shall retum the deposit amounts to Client after payment of all services and postage. If
client fails to maintain the deposit at the prescribed levels, or if client fails to maintain current status of all
invoices as described in the "Compensation" section, MCCadvantage may suspend its performance under
this agreement and hold customers statements /bills (at MCCadvantage discretion) until the deposit is
received. The outgoing statements /bills will leave MCCadvantage utilizing the MCC postage permit for
USPS postage payment.
FORCE MAJEURE — Neither party shall be responsible for delays or failures in performance resulting from
acts or occurrences beyond reasonable control of such party, including, without limitation: fire, explosion,
power failure, flood, earthquake, hurricane or other act of God, civil commotion, terrorism, or acts of public
enemies; any law, order, regulation, ordinance, or requirement of any government or legal body or any
representative of any such government or legal body; or labor unrest, including without limitation, strikes,
slowdowns, picketing or boycotts. In such event, the party affected shall be excused from such
performance (other than any obligation to pay money) on a day -to -day basis to the extent of such
interference. The other party shall, likewise, be excused from performance of its obligations on a day -to-
day basis to the extent such party's obligations relate to the performance so interfered.
CONFIDENTIALITY — MCCadvantage agrees that any and all data, reports and documentation supplied
by Client or its affiliates or third parties on Client's behalf, which are confidential and which are clearly
designated as confidential, shall be subject only to the disclosure requirement for the performance of
MCCadvantage's obligations hereunder, and will be held in strict confidence and shall not be disclosed or
otherwise disseminated by MCCadvantage without the written consent of Client.
LIMITATION OF LIBILITY — The parties hereto agree that this agreement is only for the production of
goods and services. MCCadvantage shall be liable only to the extent of re- mailing a correction or
5
corrected job as soon as possible to rectify the mistake. Breach of contract damages shall be limited to the
value of the work performed. In the event of a breach of the terms of this agreement, MCCadvantage shall
not be liable for loss of business, incidental or consequential damages, or costs in excess of billing for
services related to the specific job. MCCadvantage is not liable for incidental or consequential damages,
including revenue, even if MCCadvantage has been advised of the possibility of such loss or damage.
PERFORMANCE — MCCadvantage shall handle the laser printing and mailing of the Client's bills.
Expected volumes are defined in schedulel.0. MCCadvantage will receive data for the billing from the
Client multiple times per month. MCCadvantage will receive data in a format mutually determined by both
MCCadvantage and the Client. Data compression is allowed as mutually agreed to by MCCadvantage and
Client. MCCadvantage shall simplex (one side) laser print the data on pre - printed forms as described in
schedule 1.0. If required, MCCadvantage shall set up the form and program to include scan lines for
intelligent inserting. The Client will then provide the matching criteria for such intelligent programming.
INSERTS - Client may request that inserts be included with mailings. The Client has the option of either
providing the inserts or contracting with MCCadvantage Creative Services to provide inserts. Inserts
provided by the Client are required to meet MCCadvantage's inserting equipment specifications. (A
MCCadvantage specification sheet is available upon request.) Inserts provided by Client normally must
arrive no earlier than two (2) weeks in advance of the first required mailing and no later than three (3) days
before the first mailing day. Upon arrival, inserts are "Quality" checked to insure they meet specifications.
At Client's request and MCCadvantage's approval, MCCadvantage may attempt to use inserts not meeting
minimal specifications. However, additional costs may be assessed and /or mailings may be delayed. It is
MCCadvantage's policy to ALWAYS work with the Client through issues that may arise and do what's best
for the Client and their customer. Any unused inserts will be destroyed or returned at Client's request
(shipping charges apply).
•
6
CLIENT RESPONSIBILITY - The Client agrees to:
• Transmit data files to MCCadvantage's FTP site in the method agreed upon according to the
provided schedule.
• Ensure postage funds are available per specifications provided in "Scope of Work ".
• Quality check data files in advance of sending to MCCadvantage.
• Provide camera ready artwork for graphics.
• Pay MCCadvantage for services billed (Net 30).
• Provide MCCadvantage insert specifications to Client's insert vendors (if other than
MCCadvantage).
• Provide an explanation of billing record layout or mapping document to MCCadvantage.
• Meet USPS "NCOA" and "Move Update" requirements (unless done through MCCadvantage). If
done through MCCadvantage, client agrees to update their records with matches per USPS
requirements.
• Review and approve design of billing statements.
• Pay applicable state or sales tax.
• Pay for any unused forms of as a result of a format change or contract modification.
• Client is encouraged to QC billing statement content using PDF images during each mailing to
insure statement quality.
• Client is required to sign off on parallel testing once completed to insure statements meet Client
expectations.
• Client is required to sign off on "deployment" normally after the first month's mailings. The
deployment period may be extended with mutual agreement from Client and MCCadvantage. At
the conclusion of the deployment period, changes will be billed at Technical Services rates in
accordance with Schedule 1.
• Client must approve billing statement layout at least 3 (three) weeks prior to deployment
date. If not, an additional surcharge on the initial order of preprinted forms may apply.
7
MuniBill$ QUOTATION SHEET FOR
City of Port Arthur, TX
Schedule 1.0 — Fees for Goods & Services
Paper Bill
• Custom Statement Design $ .13 Per bill
• Data processing & Simplex printing
• Single 8'/2x11 document with 3 perforated return, white, long -grain
24 lb bond paper stock,
• #10 windowed envelope, white, 20 Ib
• Folding, inserting and delivery to USPS
• Minimum monthly statement volumes are 15,000
• CASS /PAVE certification of customer mailing list
• Price does not include postage
• Two color highlight (includes black print)
Selectively included with your paper bill
$ .01 Per bill
• #9 single windowed reply envelope, white, 20 Ib
Initial programming and set -up Waived One time
Optional: Market message on the statement (setup if required) $ 25 Per message
Optional: Subsequent pages to statement $ .04 Per page
Optional: Technical Services (Including programming & insert composition if $125 Per hour
needed)
Optional: Additional copies of statements or rework $ .50 Each
Optional: Additional Inserts - (Does not include printing or design of insert) .01 Each
Optional: CD /DVD archiving of billing data $25 Flat rate for
CD /DVD
creation and
$ .01 per
record per
cycle
Freight, courier, shipping, etc. for items shipped at customer request. Cost Per Request
Optional: MuniBill E — Paperless emailing of statements to customers $ .125 Per Bill
Optional: MuniBill PDF (includes processing & creation) 3 months online N/C Included
Optional: Statement Optimal Design Review & Consulting N/C Included
Optional: USPS NCOA (Endorsement) N/C Included
Optional: Late notices, final bills and cancellation notice (1 -color black) $ .145 Each
Optional: Muni View— Secure online viewing of statements $ N/C Per record
Optional: MuniView — Setup charge if not done at time of deployment Waived One Time
Optional: MuniForwarcling - NCOA forwarding of statements $ .015 Per record
Schedule 2.0 — Permanent Postage Deposit
Permanent Postage Deposit - Estimated volumes 17,000 X .357 Est. Rate .357*
* All statements are mailed at the lowest possible postage rate (.335 is current 5 digit rate)
8
r
Schedule 3.0 — MCCadvantaae Guarantee
MCCadvantage will deliver client bills /statements to USPS within an average of one (1) business day after
applicable determination date. Determination date is based on timely delivery of customer data file to
MCCadvantage at the agreed upon delivery dates and times. Files received before noon are normally
delivered to the USPS same day or next business day. MCCadvantage works closely with the USPS
insuring timely delivery of statements taking advantage of USPS delivery efficiencies.
ADDITIONAL SERVICES
MCC and MCCadvantage can provide additional services /products under this contact. Any of the following
services may be purchased pursuant to this contract.
Document Imaging and Records Management Software (Laserfiche) - MCCi offers Laserfiche (LF)
Software and related services which provides a records repository allowing storage, retrieval and imaging
of all documents. Capabilities include an intuitive browse window, index cards, full -text indexing, keyword
template search, fuzzy word search, and virtually unlimited folders, giving users access to any document
instantly.
Document Scanning Services (MuniScan) - MCCi offers scanning, indexing and integration of hard copy
documents with Laserfiche Software to provide the Client with the most powerful index retrieval search
engine available with the following features: intuitive browse window, index cards, and fuzzy logic.
Process Management Software (MuniTracklt) - MCCi offers the MuniTracklt Software (developed by
Brandt Information Services, Inc.) which is a web based solution designed specifically for Government
organizations. MuniTracklt will save time and money by streamlining business processes.
Code Supplementation and Codification Services (MuniCode) - Municipal Code Corporation offers
supplementation of existing Codes, Codification of Ordinances and Recodification of existing Codes. Our
optional services include legal review, republishing, editorial and index work and electronic options (CD,
Internet).
Creative Services - MCCadvantage can provide design and printing services of inserts. We have a
creative team of talented graphic artists to help you quickly create statement inserts, newsletters or any
other important customer communications at competitive rates.
Electronic Agenda Management ( MuniAgenda) - MCCi offers MuniAgenda Software and related
services which provides electronic automation and creation of Agendas
9