TITLE
Recommendation to adopt Specifications No. PA-01310 and award a contract to Response Envelope, Inc., of Ontario, CA (WBE), in the amount of $150,000, to furnish and deliver printed envelopes for the period of one year, with the option to renew for two additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is being requested to enter into a contract with Response Envelope Inc., for furnishing and delivering printed envelopes to the City of Long Beach. This award combines the estimated annual requirements for the Citywide Departments to secure pricing at the highest possible discount available.
The scope of departments that utilize this contract is Citywide. The largest users are multiple bureaus in Financial Management that send correspondence pertaining to utility billing, business licenses, ambulance billing, parking citations, purchase orders, and other required correspondence. Other department users include the Health and Human Services, Community Development, Civil Services, and Technology Services.
The bid for furnishing and delivering printed envelopes was advertised in the Press- Telegram on June 14, 2010 and 392 potential bidders specializing in printing envelopes were notified. Of those bidders, 69 downloaded the bid via our electronic bid system. The bid document was made available from the Purchasing Division located on the seventh floor of City Hall, and the Division's website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. A bid announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority and women's business groups. Five bids were received and opened on July 15, 2010. Of those five bids, one was a Woman-owned Business Enterprise (WBE), one was a Small Business Enterprise (SBE), and one was a local vendor. Response Envelope of Ontario, CA (WBE), is the lowest responsible bidder.
Local Business Outreach
Our outreach goal during the bid process is to encourage Long Beach businesses to take advantage of our local preferences offered by the City and submit bids for City contracts. We assist businesses with registering on our Bids Online database to download the bid specifications. Ten bids were downloaded by local vendors; however, only one bid was submitted by a Long Beach company, which was not the lowest responsible bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Amy R. Burton on July 28, 2010 and Budget Management Officer Victoria Bell on August 2, 2010.
SUSTAINABILITY
In keeping with the City's Green Purchasing Policy, the bid specifications requested bidders to provide a recycled envelope option for each line item.
ยท Environmental benefits - Response Envelope complied with the bid
requirements and provided a competitive price for the recycled envelopes
so that department users may have the option to purchase recycled envelopes.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. PA-01310 and award a contract concurrently is requested on August 17, 2010 to ensure that a contract is in place expeditiously.
FISCAL IMPACT
The cost of this contract, in the estimated annual amount of $150,000, is included in various Citywide funds. This amount reflects an increase in quantities to be printed, the four-color process printing options, and the increase in paper cost.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
LORI ANN FARRELL
DIRECTOR OF FINANCIAL MANAGEMENT/CFO
APPROVED:
PATRICK H. WEST
CITY MANAGER