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Home My WebLink About94-264 Resolution No. 94-264 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH DIRECT RESPONSE RESOURCE, INC. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Richard B. Helwig, City Manager, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute an agreement on behalf of the City of Elgin with Direct Response Resource, Inc. for services in connection with vehicle license applications, a copy of which is attached hereto and made a part hereof by reference. s/ George VanDeVoorde George VanDeVoorde, Mayor Presented: September 28, 1994 Adopted: September 28, 1994 Omnibus Vote: Yeas 6 Nays 0 Attest: s/ Dolonna Mecum Dolonna Mecum, City Clerk A,- 1 AGREEMENT THIS AGREEMENT is hereby made and entered into this 30g day of 1994, by and between the CITY OF ELGIN, ILLINOIS, a municipal corporation (hereinafter referred to as "City" ) and DIRECT RESPONSE RESOURCE, INC. , an Illinois corporation (hereinafter referred to as "DRR" ) . NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: 1. DRR shall print, provide and mail all vehicle license renewal applications which may be directed by City' s Finance Director for the period of October 1, 1994, through October 31, 1994 . 2 . DRR shall provide all services required of it pursuant to the terms of this agreement on or before October 31, 1994 . 3 . The City will provide a vehicle license tape on or before October 21, 1994 . 4 . Time is of the essence of this agreement. 5 . City shall pay DRR a total sum based on the number of applications created and mailed by DRR pursuant to this agreement according to the following rates : Number of Applications Price Per Thousand 27 , 000 - 30, 999 $308 . 70 31,000 - 38,999 285. 87 39 ,000 - 41,999 260 .74 42 ,000 or more 254 . 29 ift 5 . Nothing in this agreement shall be construed to create an agency, employment or partnership relationship or agreement between the parties hereto. DRR shall be considered to be an independent contractor. 6 . The terms of this agreement shall be severable. In the event that any of the terms of this agreement are found to be void or otherwise unenforceable, the remainder of this agreement shall remain in full force and effect. 7 . This agreement shall be subject to and governed by the laws of the State of Illinois . CITY OF ELGIN By \A-C et Richard B. Helwig City Manager Attest: 67 CieClerk Y DIRECT RESPONSE RESOURCE, INC. an Illinois corporation B 2 1 Elm1j&;, Agenda Item No . 04 -... e: a September 6 , 1994 TO: Mayor and Members of the City Council FROM: Richard B. Helwig, City Manager SUBJECT: Preparation and Mailing 1995 Vehicle License Application. PURPOSE The purpose of this memorandum is to request City Council approval for the proposal by the Direct Response Resource, Inc. to mail the City's 1995 vehicle license applications . BACKGROUND rk Each year the City of Elgin mails the next year' s vehicle license application from the current file of vehicle license applicants . The process involves ordering forms, processing vehicle license files, printing the applications, bursting the printed forms and finally mailing the applications. Purchasing and three divisions of Finance are involved in the process to produce a vehicle license application. The Direct Response Resource (DRR) , proposes to streamline the process by providing all the associated services to pro- duce and mail an application. DRR offers a quality product which will allow City personnel to focus their time on other projects . DRR provides this economical package by merging vehicles owned by an individual onto one application form and uses the first class postage rate for Carrier Route Presort. The Vehicle License Application is a new concept for DRR however, they have served First Chicago, Continental Bank, City Bank and Abbott Labs in Direct Marketing Consultation and produc- tion. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None. r 1995 Vehicle License Applications September 6, 1994 Page 2 F FINANCIAL IMPACT The 1994 budget provides funds to order forms and to produce and mail the vehicle license applications. The estimated expense for the city to process the vehicle license applica- tions is $17 ,585 . The DRR package for the service and estimated postage is $17,562 . Although there are no direct financial savings, a substantial benefit is achieved by saving staff time (60 hours) and computer/printer time (27 hours) which can be directed toward other projects. The cost for the service provided by DRR ($9,512) will be off set primarily by savings in postage and printing. Therefore, there will be no net impact on the 1994 Budget. LEGAL IMPACT A written Contract shall be prepared. RECOMMENDATION It is recommended that the City Council accept the proposal for the outsourcing of the 1995 vehicle license application. Respectfully submitted, I 1 (/ James R. Nowicki Finance Director • Richard B. Helwig City Manager JRN:daw Attachment r { RESEPO SERESOURCE 2970 Moria Avenue • Suite 210 Northbrook Illinois 60062-2024 PROPOSAL 708 498-3993 •Fox 708 498-4090 August 26, 1994 Mr. Martin Gregory Assistant Finance Director City of Elgin 150 Dexter Court Elgin, IL 60120 - 5555 Dear Marty, The following information is a revision to my August 11 proposal. This revision is in result of our recent telephone conversation. Cost Vehicle Sticker Application based on 35,000 mailed packages after file merge (conservative estimate). Lot Cost: $9,512 (Outgoing mailing package and fulfillment envelopes). Planning Time Schedule 9-13-94 Proposal to be reviewed by board 9-27-94 Final approval given by board 9-29-94 Design meeting 10-7-94 Litho proofs 10-14-94 Receipt of live data 10-21-94 Stock produced 10-25-94 Live imaged proofs 10-31-94 Mail Date r Specializing in Direct Marketing Consultation and Production 3 r Mr. Martin Gregory August 26, 1994 Page -2- First Class Postage Rates Carrier Route Presort: 23¢ 5-digit Zip+4 Barcoded 23.3¢ 3-digit Zip+4 Barcoded 23.9¢ •The above prices are good for 30 days and can be locked in with a written commitment. • The above costs are inclusive of all the services necessary to produce, process and mail your Vehicle Sticker Application, with the exception of postage. • Costs are based on quantities listed. Variances of more than 10% above highest or 10%below the lowest quantity will cause prices to be adjusted accordingly. • All billing will be administered by DRR Outsourcing is becoming a business standard in the 1990's. The opportunity for you to focus on your business and do what you do best assures your organization of increased effectiveness and productivity. Thank you for your consideration. Sincerely, Derek Singleton DS:jm r r - ' El • �,t+ °�E� � , Agenda Item No. 1 i•- o� -...,tili,7 September 6, 1994 TO: Mayor and Members of the City Council FROM: Richard B. Helwig, City Manager SUBJECT: Bid #94-070 - 1995 Vehicle Stickers PURPOSE The purpose of this solicitation is to award a contract for the 1995 City Vehicle Stickers and miscellaneous business licence decals . BACKGROUND �k Eight vendors were solicited and three bids were received for tt the printing of the 1995 City Vehicle Stickers and the miscel- laneous business license decals per the attached tabulation sheet. The face side of next year' s sticker features the 85th anni- versary of the "Elgin National Watch Company Observatory" , which was selected by Council at your June 22nd Committee of the Whole Meeting; the seat belt awareness reminder "Buckle Up Elgin" will appear again on the reverse side of the stick- er. A picture of each design is attached for Council ' s infor- mation. The low bidder, St. Louis Sticker Company, has performed this same work for the City in past years having printed our annu- al vehicle stickers and miscellaneous business licenses in 1990 and again last year. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Mr. Gary Kutina - Director of Observatory for School District U-46 . FINANCIAL IMPACT r There are sufficient funds for this annual purchase in the Finance Department' s budget under the general classification "License Expense" (Account #010-2005-718-2402 Project #201820) . Mayor and Members of the City Council Page 2 LEGAL IMPACTAll None. RECOMMENDATION The recommendation is to award this contract to the overall, low bidder, St. Louis Sticker Company, for a total amount of $5,200 . 93 . Respect ully submitted, Michael A. Sarro Purchasing Director g- /Ml AI03,c Richard B. Helwit City Manager MAS/db A) A, 4 TABULATION OF BIDS CITY OF ELGIN o aa) '-1 v 0 3.1 ,--I .--H w c I 3-1 4 O do H N (1) U) r-1 Hm O ,s4 ffl Invitation No. #94-70 `° W `o° N 4-1o o -A r-1 + N Ul •-1 > 34 H .-a CO pC Date of Opening August 30, 1994 N m u 0 v H `° KC 3 H Department Finance _ ,°a z 3 w0 MI b o o H 0 4-1 4.3 t T g 3 ww Item UNIT UNIT UNIT Description QUANTITY No. Q PRICE AMOUNT PRICE AMOUNT PRICE AMOUNT 1. Vehicle Stickers - 1995 A. Passenger 48,000 ea .063 $3024.00 .089 $4272.00 B. Truck 8,500 ea .063 535.50 .089 756.50 Combination price 56,500C $79.95/C 4517.18 3559.50 5028.50 ALTERNATE BID Additional cost for printint "Buckle Up Elgin & Seat Belt 1 Logo" on reverse side of Item lA and 1B above. 56,500 ea 7.50/C 423.75 .03 1695.00 .0057 322.05 TOTAL ITEM ! & ALTERNATE BID $4940.93 $5254.00 $5350.55 2. Miscellaneous Decals - 1995 A. Scavenger 50 ea .063 3.15 1.079 53.95 Bl. Taxicab - Color: Red 50 ea .063 3.15 1.079 53.95 B2. Taxicab - Color: Black 50 ea .063 3.15 1.079 53.95 C. Food Delivery 200 ea .063 12.60 1.079 215.80 D. Tobacco 400 ea .063 25.20 .3746 149.84 E. Coin Operated Musical Device 100 ea .063 6.30 .3746 37.46 F. Vending Machine 500 ea .063 31.50 .3746 187.30 G. Automatic Amusement Device 300 ea .063 18.90 .3746 112.38 Combination price 1650/C 260.00/lqt TOTAL ITEM 2 103.95 864.63 orb IPFM8 1 . S5200.93 I $5358.45 $6215.18 Delivery after award: 2-1/2-3 wks 30-45 days 20-25 working days E13 - EL GIN NATIONAL WATCH 41, COMPANY OBSERVATORY 1910 19903 'TIME FROM THE STARS" 14 I v0X0I0X0 AAA L ISi 9 .: 11 A HISTORIC LANDMARK PASSENGER 1995 YL £ LICENSE 00001 - -. I 0 Buckle Up Elgin 00