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Finance and Management Services <br />www.santa-ana.org/finance <br />Item # 17 <br />City of Santa Ana <br />20 Civic Center Plaza, Santa Ana, CA 92701 <br /> Staff Report <br />May 7, 2024 <br />TOPIC: Blanket Order Contract for Postage, Supplies, and Shipping Parcels <br />AGENDA TITLE <br />Award Blanket Order Contract to Quadient, Inc. for Postage, Supplies, and Shipping <br />Parcels in an Annual Amount Not to Exceed $200,000 (Specification No. 24-043) <br />(General Fund) <br />RECOMMENDED ACTION <br />Award Blanket Order Contract to Quadient, Inc. for postage, supplies, and shipping <br />parcels for an initial one-year term beginning May 8, 2024 and expiring on May 7, 2025, <br />with provisions for annual renewal of the contract until terminated. <br />GOVERNMENT CODE §84308 APPLIES: Yes <br />DISCUSSION <br />The Finance and Management Services Agency’s Central Services Division provides <br />automated mailing services for the City, including bulk mailing of public notices for <br />meetings, neighborhood meeting invitation flyers, business tax certificates, and various <br />other daily mailings. <br />On July 6, 2023, the Finance and Management Services Agency purchased a Quadient <br />iX-9 Automated Mailing Machine after staff performed market research and determined <br />it was the automated mailing machine that best fit the City’s needs. This machine was <br />installed and has been utilized since October 2023, replacing an older Quadient mailing <br />machine, the Hasler Neopost IM5000 Mailing System, purchased in 2014 which had <br />become non-compliant due to updated United States Postal Service (USPS) standards <br />and regulations related to Intelligent Mail Indicia. <br />Previously, the process to pay for USPS Postage required the City to provide a check <br />payable to the USPS, which would then transfer payment to Quadient for depositing into <br />an online account accessible to the City for as-needed postage. <br />The postage payment process has since changed, and with the new Quadient machine, <br />USPS Postage is pre-paid by Quadient, then invoiced to the City on an as-needed <br />basis. The cost of shipping parcels and mailing machine supplies (mail meter strips,