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HomeMy WebLinkAboutFIN-2025-140 - NSP25-074 Corporate PrintingStaff Report Financial Services Department www. kitchen er.ca REPORT TO: Committee of the Whole DATE OF MEETING: April 7, 2025 SUBMITTED BY: Ryan Scott, Chief Procurement Officer PREPARED BY: Jenny Ung, Procurement Specialist WARD(S) INVOLVED: N/A DATE OF REPORT: March 24, 2025 REPORT NO.: FIN -2025-140 SUBJECT: NSP25-074 Corporate Printing - Property Tax, Utility, and Miscellaneous Bills RECOMMENDATION: That the City extend the agreement for Corporate Printing of Property Tax, Utility, and Miscellaneous Bills with KUBRA Data Transfer LTD, Mississauga, Ontario for a three (3) year period, with no options for renewal, provided a satisfactory contract is executed. REPORT HIGHLIGHTS: • The purpose of this report is to obtain approval to proceed with a non-standard procurement in accordance with Procurement By-law 2022-109; • This report supports the delivery of core services. BACKGROUND: The City's Revenue Division utilizes an external printing provider to print all property tax, utility, and miscellaneous invoices. KUBRA Data Transfer LTD ("Kubra") was awarded the contract through a open competitive procurement process in 2022. It took approximately eighteen (18) months and an extensive amount of staff resources to transition this service to an external printing provider. Some examples of the work that was undertaken included: New formatting for each type of invoice or letter, including adjustments for envelope folding, placement of details on the bill, and colour testing; Creation of control files to guide the printing company for inserts into each envelope; Testing for all documents including property tax bills, utility bills, collections letters, etc. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. Page 10 of 88 Currently, City staff resources are limited due to the ongoing implementation of several projects, including Concur Phase 2, ActiveNet, and Success Factors. The City's total estimated spend against this contract for a three-year period is $712,465. The actual spend will depend on the level of activity throughout the term of the contract. It is being recommended that the City enter into a three (3) year extension agreement with KUBRA Data Transfer LTD. REPORT: In accordance with the Procurement By-law 2022-109, Section 15 — Non -Standard Procurement, Council's approval is required as the total value of the deliverables for this non-standard procurement exceeds the delegated authority. A non-standard procurement is the acquisition of goods, services or construction through a process or method other than the process and method normally required for the type and value of the required deliverables, as identified below: Requirement Procurement Value Excluding Taxes Procurement Process Approval Authority Goods, Services or $30,001 - Non -Competitive or Chief Construction under the $120,000 Limited Procurement circumstances included Competition Officer in Schedule "C". Goods, Services or $120,001 or Non -Competitive or Council Construction under the more Limited circumstances included Competition in Schedule "C". In accordance with the Procurement By-law 2022-109, Schedule "C", "Goods, services and construction may only be acquired through a non-standard procurement process under the following circumstances: Item 4: The procurement is for additional deliverables by the original supplier of the goods or services that were not included in the initial procurement if a change of supplier for such additional goods or services: a) cannot be made for economic or technical reasons such as requirements of interchangeability or interoperability with existing equipment, software, services or installations procured under the initial procurement; and b) would cause significant inconvenience or substantial duplication of costs for the City. The extension would allow the City to complete several printing cycles, providing an opportunity to assess potential adjustments to the new process. This would ultimately Page 11 of 88 contribute to a more informed and effective future procurement process, facilitating a smoother transition to the approved printing provider. The documentation was reviewed by S. Saleh, Director Revenue, M. Ignor, Manager, Utility Billing and Customer Service and J. Ung Procurement Specialist, who concur with the above recommendation. STRATEGIC PLAN ALIGNMENT: This report supports the delivery of core services. FINANCIAL IMPLICATIONS: Funding will be provided from Revenue Division's Operating Accounts. COMMUNITY ENGAGEMENT: INFORM — This report has been posted to the City's website with the agenda in advance of the council / committee meeting. PREVIOUS REPORTS/AUTHORITIES: There are no previous reports/authorities related to this matter. APPROVED BY: Jonathan Lautenbach, Chief Financial Officer, Financial Services Department Page 12 of 88