Broward County Commission Regular Meeting


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AI-26539 25.       
Meeting Date: 05/22/2018  
Director's Name: George Tablack
Department: Finance & Administrative Services Division: Purchasing

Information
Requested Action
MOTION TO AWARD open-end contract to single bidder, Arrowmail Presort Company, Inc., for Mailing Services, Bid No. OPN2115594B1, for the Enterprise Technology Services Division, in the three-year initial term estimated amount of $617,020, inclusive of allowances in the amount of $537,000, and authorize the Director of Purchasing to renew the contract for two one-year periods, for a five-year potential estimated amount of $1,028,367. The initial contract period shall begin on the date of award and terminate three years from that date.

ACTION:  (T-10:43 AM)  Approved.  

VOTE:  8-0. Commissioner Sharief was not present.
Why Action is Necessary
In accordance with the Broward County Procurement Code, Section 21.31.a.4, the Board is required to approve all purchases exceeding $250,000 per annum or $400,000 in a multi-year period.
What Action Accomplishes
Provides an open-end contract for processing services of the mail for various County agencies.
Is this Action Goal Related
Previous Action Taken
None.
Summary Explanation/Background
THE PURCHASING DIVISION AND THE FINANCE AND ADMINISTRATIVE SERVICES DEPARTMENT/ENTERPRISE TECHNOLOGY SERVICES DIVISION RECOMMEND APPROVAL OF THE ABOVE MOTION.
 
The Office of Economic and Small Business Development did not reserve this project for Small Business Enterprises under the Sheltered Market Program, or assign County Business Enterprise (CBE) participation goals to this solicitation, based on the review of services requested (Exhibit 2).

The purpose of this contract is to provide mailing services which include mail processing, metering sealing, weighing, addressing, labeling, folding, inserting, tabbing, data services, machine barcoding, pre-sorting and sorting, special mailings, processing of certified and express mail, postcards, packages, commingling of flat letters and metered mail, and same day pick-up from specified County locations and delivery to the United States Post Office.

The allowances included in this contract, in the total amount of $537,000 for the three-year initial term, cover postage fees associated with mailings. Expenditures for the postage allowance items must be approved by the contract administrator and will be reimbursed at the contractor's actual incurred cost, without mark-up (Exhibit 1 - Bid Allowance Line).

In accordance with the Broward County Living Wage Ordinance No. 2008-45, as amended, Section 26-101 (i), these are covered services. Arrowmail Presort Company, Inc. has agreed to be bound to the contractual obligations of the Living Wage Ordinance.

In accordance with the Broward County Workforce Investment Program, Broward County Administrative Code, Section 19.21, these services are subject to the Workforce Investment Program. Arrowmail Presort Company, Inc. has agreed to be bound to the contractual obligations of the Workforce Investment Program.

The Enterprise Technology Services Division has reviewed the bid submitted by Arrowmail Presort Company, Inc. and concurs with the recommendation for award (Exhibit 3). There were no final vendor performance evaluations completed for Arrowmail Presort Company, Inc.; however, Arrowmail Presort Company Inc. was awarded an interim contract, for which the Contract Administrator completed an interim vendor performance evaluation. Arrowmail Presort Company, Inc. received an overall score of 4.58 out of a possible 5.  

The Purchasing Division researched the prices submitted by the single bidder, Arrowmail Presort Company, Inc., and has determined that the prices submitted are fair and reasonable based upon a comparison to the current contract and a local government contract (Exhibit 4). 

The initial bid submitted by Arrowmail Presort Company, Inc. was $631,090.35; the vendor offered a voluntary price reduction for Line Item 4, from $.02 to $.015 each for Process Service Fee: Addressing (Ink Jet); Line Item 10, from $.007 to $.004 each for Process Service Fee: Folding and Inserting; Line Item 25, from $.05 to $.012 each for Process Service Fee: Certified Mail; Line Item 26, from $.05 to $.012 each for Process Service Fee: E-Certified Mail; and for Line Item 27, from $.05 to $.015 each for Process Service Fee: Express Mail, resulting in an overall savings of $14,070 and a revised total estimated three-year initial term amount of $617,020.35. The Broward County Procurement Code, Section 21.30.f.2(c), allows for acceptance of a voluntary reduction after bid opening, if such reduction does not result in the modification or deletion of any condition of the bid.

Incumbent: Interim contract to Arrowmail Presort Company, Inc. Contract Number and Title: K1229009X1, Mail Fulfillment Services. Contract Term: February 20, 2018 and continue on a month-to-month basis for a period not to exceed six months, or until award of a replacement contract, whichever occurs first. Expenditures to date: $19,327.95.

There was no protest of appeal filed regarding this procurement.

The bid posted on March 28, 2018 and opened on April 6, 2018; one bid was received with no declinations (Exhibit 1).
Source of Additional Information
Brenda J. Billingsley, Director, Purchasing Division, (954) 357-6070

Fiscal Impact
Fiscal Impact/Cost Summary:
Each requisition processed against this open-end contract will be funded by the appropriate source at the time of release.

Requisition No. ETS0000736
Attachments
Exhibit 1 - Bid Tabulation
Exhibit 2 - Goal Memorandum dated November 27, 2017
Exhibit 3 - User Concurrence Memorandum signed April 12, 2018
Exhibit 4 - Price Analysis


    

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