HomeMy WebLinkAboutCC AG PKT 2012-01-09 #HJJ j � F 5 A e� }
AGENDA STAFF REPORT =, i
cgUr ORN
DATE: January 09, 2012
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Shally Lin, Interim Director of Finance /City Treasurer
SUBJECT: APPROVAL OF POSTAGE MACHINE LEASE AGGREEMENT
WITH PITNEY BOWES
SUMMARY OF REQUEST:
That the City Council adopt Resolution No. 6209 approving a lease agreement
with Pitney Bowes for Postage Machines for the Police Department and City Hall
BACKGROUND AND ANALYSIS:
In 2006, the City purchased postage equipment from Priority Mailing Systems
(formerly PFE International Inc.) for City Hall and entered into 48 month
agreements to lease a meter reader for the City Hall equipment and to lease
postage equipment for the Police Department. The agreements did not include
maintenance or costs to update the rate chips when postage rate increased.
The agreement ended in 2009 and currently the City is leasing the same
equipment on a month to month basis. The leased equipment has a combined
total monthly cost of $165.08. In addition, the company charged an hourly rate of
$250 per equipment for each service call and $180 per equipment for each rate
increase chip. The City is expecting a postage rate change in January 2012.
The City requested for proposals from several companies but only two submitted
proposals. The two companies are Pitney Bowes and Priority Mailing Systems.
The City finds the most cost effective proposal is from Pitney Bowes, which
includes the following equipment and services:
• Two new mail feeders with maintenance agreement
• Two new meters with maintenance agreement
• Postage rate update at no extra charge.
There are two options on the monthly charges: (1) $178.43 per month for 60
months, or (2) $191.90 per month for 48 months.
Agenda Item H
The increase of $13.35 per month based on a 60 month contract will have the
following benefits — two new pieces of equipment, no extra charge for rate
change and maintenance, and increase productivity.
ENVIRONMENTAL IMPACT:
There is no Environmental Impact related to this item.
LEGAL ANALYSIS:
The City Attorney has reviewed and approved the agreement as to form.
FINANCIAL IMPACT:
The approval of the 60 month agreements would decrease expenses by $279.90
for the 2011/2012 fiscal year with the elimination of the postage rate change cost
that is expected to occur in January 2012.
RECOMMENDATION:
It is recommended that the City Council adopt Resolution No. 6209 approving 60
month lease agreements with Pitney Bowes for postage machines at the Police
Department and City Hall.
SUBMITTED BY:
NOTED AND APPROVED:
2.
ally Lin UUA. Ingram, City Wnager
Interim Di ector of Finance /City Treasurer
Prepared by: Michael O'Brien, Accountant
Attachments:
A. Resolution No. 6209
B. Pitney Bowes Lease Agreements
C. Pitney Bowes Proposal
Page 2
RESOLUTION NUMBER 6209
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
APPROVING THE AGREEMENT WITH PITNEY BOWES FOR
POSTAGE EQUIPMENT AND SERVICE
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:
Section 1. The City Council hereby approves the Agreement between the City
of Seal Beach and Pitney Bowes for Postage Equipment and Service - in the
amount not to exceed $129.80 per month (City Hall Agreement) and $48.63 per
month (Police Department Agreement).
Section 2. The Council hereby authorizes the City Manager to execute the
Agreement.
PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a
regular meeting held on the 9th day of January , 2012 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number 6209 on file in
the office of the City Clerk, passed, approved, and adopted by the Seal Beach
City Council at a regular meeting held on the 9th day of January , 2012.
City Clerk
Proposal Prepared for
4" 0
B ,ity �';
November 21, 2011
Elizabeth Leff, Area Sales Executive
Elizabeth. leff(a corn
(949) 235 -0640
94 1 L
Pitney Bowes
Pitney Bowes
About: Pitney Bowes Inc. is a $6 billion global provider
integrated mail, messaging and document managemen
solutions headquartered in Stamford, Connecticut. The
company serves over 2 million businesses of all sizes in
more than 130 countries.
Q-; THE IRVINE COMPANY
of
THE MACALINE OF ORANGE COUNTY SINCE IY74
Support: We can support our customers through an
unparalleled blend of Email, voice response units, contract
telephone centers and live Pitney Bowes representatives at
our own telemarketing centers. Thousands of direct sales
and service employees provide on -site support around the
globe.
41 L
Pitney Bowes
Edwards
_ t�� ,..' F Santa Ana Unified School District
A
BR
Engineering the Row of communication-
Solution 1: DM400 Digital Mail Machine
Automatic feeding and sealing
Process up to 95 mailpieces per minute
Automatically process postcards, letters, and flats
Integrated scaleup to 10 pounds
10 programmable jobs to pre -set postage for
different sizes and classes of mail
Accounting function tracks uo to 50
Up to 300 accounts option
Weigh -on -the -Way option
0 Mix weights and sizes
@ L p" Putney Bowes
Engineering the flow ofcommunication-
3
DM400 High Speed Internet Features
° Constant high -speed i nternet connectivity for
postage download, postal updates, and software
upgrades
Online access to USPS services (Delivery
confirmation, Certified mail)
Online access to your PB account to order supplies,
track postage, and request service
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Pitney Bowes
Engineering the flow of communication-
-
4
7 a [I r 7A MOM!-
° Pitney Bowes provides a single source for:
Quality hardware and software
° Local account support and service
°
Installation and training
Customer service and technical support
Supplies (Ink, Tapes, Envelopes)
Postage and Billing
Purchase Power Plus- download postage, pay
later
No postage download fees or rate change fees
Op, Pitney Bowes
Engineering the flow of communication-
OPERATOR PRODUCTIVITYAND TRAINING EXCELLENCE
For all products that we install, our skilled professionalswill effectively deliver the agreed upon installation
and training services. Furthwmore, if you attend our acclaimed Mat( Management Seminar, the will train
your c-mployeelsl on the latest and most efFiciern use of postal services.
PURCHASE POWER "" S ERV ICE
The Pitney Bowes Bank, Inc. provi-7es postage advances to all qualified customers in good standing. You will
not have to pay for postage in advance. You can mail now and pap laterwhenyou gel your bill.
At Pitney Bmves, we are committed to maintaining long -term partnerships with our customers. If our sales and service
support team has been unabie to satisfy you, I would tike to hear from you. Please call my office at 1 -900 -622 -2296.
We won't be satisfied until you are satisfied.
,_1 ; /'-)
Pat Brand
Pitney Bowes president, U.S. Mailing
IFF
Engineering the flow of communication-
n.
Customer Satisfaction Guarantee
Customer Benefits
Pltney Gower. US Mailing is committe to providing our customers with the Finest products backed by the high quality care
and service. As long as you continually ma!Main coverag ?with a Pitney Roves maintenance a9r -4m ?nt for hardware and a
software maintenance agreement for software after warranty, Pitney Bowes promises to provide you the following:
GUARANTEED PRODUCT PERFORMANCE
Give us a Chance to fix it' "' • -
'or all new Finney 6o branded products we guarantee pedcrmance to cur specifcations for the
initial term of the lease or three years it purchased. If, during that period, he product does nct perform to
7. . . = - '•
our �c�eation., and we cannot reach it, we wid teplace it AVth a oomoaiab'• =- product If during the first
2. Give us a to ninet
d ays after !ns;a!laucn the replacem produc: does not perform as s3ecified, you will oe entitled r
replace-it
a refund of payments made to us for the replacement product. If the original or replacement oroducl Sails
to p2rf crm due to the use of a non-Pitney row =s cr nsumaale supaSy or unapproved seftwarefiardwara
will make it right up to
modifirat :nn, this guarantee wi not apply.
a full refund.on any
GUARANTEED NATIONWIDE SERVICE
monies you spent.
Our nationwida service force will respond to s ervice and prventative maintenance requests as part of
your maintenance agreement for hardware. If the find that %ve cannot return your Pitney Bowes branded
equipment to a satisfactory operating condition within a reasonable time, where appropriate, we will
provideyouwith a barter at no additional cost.
HELP LINE SUPPORT
For customerswith products that are supported through our Diagnostics Center, toll -free telephone technical
assistance is available Idonday through Friday, BOO A bt until 8:00 P.M. EST exclusive OF holidays.
RATE CHANGE PROTECTION
With our ability to accommodate a wide range of carriers,we are your rate data source. Also, should you
select arty or our plans that include software rate prolection,we guarantea chat you will not be charged for
unexpected rate changes within the scope of your plan.
OPERATOR PRODUCTIVITYAND TRAINING EXCELLENCE
For all products that we install, our skilled professionalswill effectively deliver the agreed upon installation
and training services. Furthwmore, if you attend our acclaimed Mat( Management Seminar, the will train
your c-mployeelsl on the latest and most efFiciern use of postal services.
PURCHASE POWER "" S ERV ICE
The Pitney Bowes Bank, Inc. provi-7es postage advances to all qualified customers in good standing. You will
not have to pay for postage in advance. You can mail now and pap laterwhenyou gel your bill.
At Pitney Bmves, we are committed to maintaining long -term partnerships with our customers. If our sales and service
support team has been unabie to satisfy you, I would tike to hear from you. Please call my office at 1 -900 -622 -2296.
We won't be satisfied until you are satisfied.
,_1 ; /'-)
Pat Brand
Pitney Bowes president, U.S. Mailing
IFF
Engineering the flow of communication-
n.
Leasing Options for City of Seal Beach,
Option Term /Months Monthly Payment
° DM400 60 $ 129.60
° DM400 46 $ 139.67
° ®M100
60
$
46.63
° DM100
46
$
52.03
Lease payment includes meter rental,
maintenance, installation, and training.
No postage download fees or LISPS rate
change fees.
° Pricing effective until 12/20/11
® Pitney Bowes
Engineering the flow of communication-
7
Pitney Hawes
Engineering the flow of communication
WSCA Installment Option A Agreement Account # 60
I
IntelliLink Interface / PSD for DM100
Your Business Information
Accounting (10 Dept) Software
1
5 lb Integrated Weighing
1
CAN #
ORDER #
Integrated Weighing Platform
CITY OF SEAL BEACH
Professional Installation and Training
1
IntelliLink Subscription with Value Based Services
Full Legal Name of renter
DBA Name of renter
Tax ID # (FEINrrIN)
211 8TH ST
SEAL BEACH
CA
90740 -6305
Billing Address
City
State
Zip+4
21911410864
Billing Contact Name
Billing Contact Phone #
Billing CAN #
911 SEAL BEACH BLVD
SEAL BEACH
CA
90740 -5601
Installation Address (If different from billing address)
City
State
Zip+4
21911411862
Installation Contact Name
Installation Contact Phone #
Installation CAN #
Credit Card #
Name on Card
Exp Date
Type of Card
Tax Exempt # State Tax (if applicable) Fiscal Period (from - to)
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Qty
1
Business Solution Description
Mail Stream Solution -1
DM100 Desktop Mailing System w /Moistener
1
IntelliLink Interface / PSD for DM100
1
Accounting (10 Dept) Software
1
5 lb Integrated Weighing
1
Confirmation Services Welcome Kit for DM100
1
Integrated Weighing Platform
1
Professional Installation and Training
1
IntelliLink Subscription with Value Based Services
Check items to be included In customer's payment
0 Equipment Maintenance (1st year included)
Provides service coverage including certain parts and tabor
Software Maintenance (1st year included)
Provides revision updates and technical assistance
Soft - Guard® Subscription
Provides postal and carrier updates
If you do not elect to include Soft- Guard® protection with your lease, you will automatically
receive updates at the then - current rates
IntelliL(nkTM Subscription /Meter Rental
Provides simplified billing and includes ( )resets per year
(x) Confirmation services Electronic access to postal confirmation service
( ) Purchase Power Receive an invoice for postage,censofidated bi8irt
and enhanced management reporting information.
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Number of months
Monthly amount
First 60
$48.63
() Required advance check of $ received
( ) Tax Exempt certificate attached
Initial rental term
By your signature below, you are entering into an Installment Lease Agreement pursuant to your Participating Addendum to the WSCA Contract #
EPS060076 -A2 -2. The Terms and Conditions of such WSCA Installment Lease Agreement Option A govern this transaction.
11 Ingram
y Manager jingram @sealbeachca.gov
Print Name Title Email Address
Elizabeth Leff 122
Account Rep
District Office
PBGFS Acceptance
Paget Equipment Vendor. Pitney Bowes Inc.
WSCA OPTION A Form (Rev.04/08) See additional pages for terms and conditions For Sales and Services call 1-000 -322 -8000
Pitney Bowes
Engineering the flow of communication- WSCA Installment Option A Agreement Account # 60
Your Business Information
Installation Contact Name
Credit Card #
Tax Exempt #
Your Business Needs
21911409866
Installation Contact Phone # Installation CAN #
Name on Card
Qty
CAN#
ORDER#
IntelliLink Interface / PSD for DM300C/ DM400C/DM450C
CITY OF SEAL BEACH
Accounting (50 Dept) Software
15-
10 Ib Integrated Weighing
Full Legal Name of renter
DBA Name of renter
Tax ID # (FEIN/TIN)
Integrated Weighing Platform
211 8TH ST
SEAL BEACH
CA
90740 -6305
Billing Address
City
State
Zip+4
_
21911409866
Billing Contact Name
Billing Contact Phone #
Billing CAN #
211 8TH ST
SEAL BEACH
CA
90740 -6305
Installation Address (If different from billing address)
City
Stale
Zip +4
Installation Contact Name
Credit Card #
Tax Exempt #
Your Business Needs
21911409866
Installation Contact Phone # Installation CAN #
Name on Card
Qty
Business Solution De
Mail Stream Solution -1
DM400C Digital Meter Sy
_•I
IntelliLink Interface / PSD for DM300C/ DM400C/DM450C
Accounting (50 Dept) Software
i
10 Ib Integrated Weighing
I
Confirmation Services Training
I
Integrated Weighing Platform
I
IntelliLink Subscription with Value Based Services
Your Payment Plan
P Number of months Monthly amount
st 60 $129.80
( ) Required advance check of $ received
( ) Tax Exempt certificate attached
Initial rental term
Your Acknowledgement
By your signature below, you are entering into an Installment Lease Agreement pursuant to your Participating Addendum to the WSCA Contract #
EPS060076 -A2 -2. The Terms and Conditions of such WSCA Installment Lease Agreement Option A govern this transaction.
� / (,�'Y 1 I ao I I
Sigrydure Date
1 1 11 Ingram City Manager jingram @sealbeachca.gov
Print Name Title Email Address
Eliza Leff 122
AcoDint Rep District Office PBGFS Acceptance
Page 1 Equipment Vendor. Pitney Bowes Inc
WSC40PTION A Form (Rev.04/08) See additional pages for temis and conditions For Sales and Services call 1. 800 - 322 -8000
State Tax (if applicable)
Exp Date Type of Card
Fiscal Period (from - to)
De scription Check items to be included in customees payment
❑ Equipment Maintenance (1st year included)
System Provides service coverage including certain parts and labor
❑ Software Maintenance (1st year included)
Provides revision updates and technical assistance
❑ Soft - Guard® Subscription
Provides postal and carrier updates
If you do not elect to include Sofl-Guard® protection with your lease, you Will automatically
receive updates at the then-current rates
❑ IntelliL(nkTM SubscriptionlMeter Rental
Provides simplified billing and includes ( )resets per year
(x) confirmation services Electronic access to postal confirmation service
( Purchase Power Receive an invoice for postage,consoldated billtrn
and enhanced management reporting information.