The City's reprographics services utilizes a digital mailing system (equipment) to facilitate its mail handling requirements. This equipment seals envelopes, meters about 66,000 pieces of mail per year, and stamps the pre-printed postage on it, which results in a $0.03 per piece discount on First Class mailings. The current equipment is at the end of its agreement period. Staff conducted a comparison to determine whether it was best to extend the agreement on the current equipment or to enter an agreement for new equipment. The determining factors included the age and normal life expectancy along with the maintenance costs and history of the current equipment compared to the costs of new equipment.

The current equipment rate is $572 per month while comparable new equipment would be $595 per month. Staff reviewed other functionally-equivalent equipment and found a unit that cost $448 per month. To ensure that the proposed unit could meet the performance requirements, an offsite demonstration was conducted at a nearby company that currently uses the same model. It was determined this model would meet Brea’s needs.

Staff received a price quote from National Joint Powers Alliance (NJPA) contractor, Neopost USA, who is a nationally-recognized digital, mailing, and shipping solution provider. NJPA is a public agency cooperative purchasing program that provides purchasing solutions to assist governmental entities in obtaining their requirements at competitive prices due to higher national volume levels. Use of these cooperative purchasing programs is authorized under section 3.24.170 of the Brea City Code. The rental of this unit will be administered through MailFinance, Neopost's finance arm. Purchase orders will be issued in 12-month increments for this 60-month rental.