HomeMy WebLinkAbout09-Finance
CITY OF SAN BERN.DINO
I I 'fYb
- REQUEST FW' COUNCIL ACTION
"
(
~
From: BARBARA PACHON, DIRECTOR OF FIIfAlfCE
Subject: AGREEMENT WITH KASTER-SORT INCORPORATED
FOR PRESORTING SERVICES
Dept: FIIfAlfCE
Date: JANUARY 24, 1995
Synopsis of Previous Council action:
Resolution #93-436 adopted December 6, 1993
DM if ,'f"!. Co.,
ri:C 9:; 1-' %
Recommended motion:
Adopt Resolution
H;k~~~
/ Signature
Contact person:
RARRAR~ PACHOIf. DIRECTOR OF FINANCE Phone:ext - 5242
Supporting data attached:
Ward:
FUNDING REQUIREMENTS:
Amount:
$3,000.00
Source: IAcct. No.!
001-123-5505
IAcct. Descriotionl
General ~
Finance: -tfd/ c- "j? J.(2t'\
/ -
Council Notes:
75-0262
&'&/,-
Agenda Item NO~ . _-
CITY OF SAN BEAN.DINO - REQUEST" COUNCIL ACTION
STAFF REPORT
On December 6, 1993 the city began a pilot project with Mail-Sort
Incorporated for presort mail services. During the pilot project
Mail-Sort Inc. merged with another company and changed its name to
Master-Sort. Master-Sort has been operating under the same
contract terms that were agreed to by Mail-Sort and the city of San
Bernardino.
During the time that the city has utilized Master-Sort there has
been a savings of approximately $54.56 per week which total
$2,837.12 per year. When US Postal Service rates went up January
1, 1995, Master-Sort raised their rates as well. The City has
always had a savings of .02 cents per "f irst class letter. A
breakdown per letter is as follows:
NORMAL POSTAL SERVICE
Cost per first class letter .32 cents
Letters per week 2,728
Total charge to city per week $ 872.96
MASTER-SORT SERVICE
Cost per first class letter .28 cents
City pays Mail-Sort per letter .02 cents
Total Cost per first class .30 cents
letter
Letters per week 2,728
Total charge to City per week $ 818.40
Total average savings per week $ 54.56
Total average savings per year $2,837.12
Currently, there are no other mailsort companies who service the
Inland Empire. If we were to begin service with a new mailsort
company and be their single pick up in the area, they would charge
a courier fee, which is now waived by Master-Sort. Paying a
courier fee would offset currently realized savings.
Central Services (Print Shop) has not encountered any problems with
Master-Sort or their employees and have been very pleased with
their work.
75-0264