Title
Approval of Services Agreement No. AGR17-01 with Diversified Data Processing & Consulting Inc., dba DivDat, for a total contract value of $500,000.00, plus applicable New Mexico Gross Receipts Taxes
Recommended Action
I move that Council approve agreement AGR17-01 with Diversified Data Processing and Consulting Inc, dba DivDat, for a total contract value of $500,000.00, plus applicable New Mexico Gross Receipts Taxes.
Utilities Manager Recommendation
The Utilities Manager recommends that Council approve the motion as presented.
Board, Commission or Committee Recommendation
The Board of Public Utilities recommends that Council approve the motion as presented.
Body
The Department of Public Utilities has been outsourcing bill print and mailing services for at least twenty years, as maintaining the staff and equipment to perform these functions efficiently internally is cost prohibitive. The Department processed 106,339 bills in calendar year 2014 for a total cost of $75,560.72., or $0.71 cents per bill, which includes paper, envelopes, postage, processing, mailing, and NMGRT. This contract was last competed in 2012, with DivDat being the successful offeror at that time as well.
We received 7 proposals in response to our RFP for Bill Printing, Mailing, and Electronic Notification Services for Utilities. Based on multiple criteria the selection committee again selected DivDat for award. DivDat’s performance under the existing agreement has been excellent.
Alternatives
The Utilities Department does not have the staff or equipment to efficiently process monthly utilities bills internally. Should this contract not be approved the Department would have to extend the current contract on a month to month basis while we evaluated award to the next responsive bidder or reissuing the RFP.
Fiscal and Staff Impact
There is no fiscal or staff impact as these services have been ongoing and are already incorporated into our budget and work plan.
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