Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to enter into Contract # 6001502 with Human Fliers, LLC, to deliver “Service Interruption” notices (door hangers) and provide services to support survey programs for DWSD customers for a period of four-years, at a cost not-to-exceed $300,000.00 ($75,000.00 per year) and authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of November 14, 2018
Item No. 18-0247
Contract No. 6001502
Vendor: Human Fliers, Inc.
19220 Pelkey
Detroit, MI 48205
Duration: 12/01/2018 - 11/30/2022
Total Amount: not-to-exceed $300,000.00 ($75,000.00 annually)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Detroit Water and Sewerage Department
RE: Delivery of DWSD “Service Interruption” notices (door hangers) and survey program services to support DWSD revenue protection efforts
MOTION
Upon recommendation of Thomas Naughton, Chief Financial Officer, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to enter into Contract # 6001502 with Human Fliers, LLC, to deliver service interruption notices (door hangers) and provide services to support survey program services for DWSD customers for a period of four-years, at a cost not-to-exceed $300,000.00 ($75,000.00 per year) and authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
DWSD currently mails “Service Interruption” notices and follows up with additional delivery of “service interruption” door hangers directly to the property/site. As part of the revenue collection efforts, Human Fliers, LLC’s continued task will be to provide the status on whether property is occupied, vacant and/or abandoned for the purpose of assisting DWSD in updating its data and continued optimization of its collection efforts. Revenue Protection Department (RPD) uses information gathered from the field to determine the probability of payment for services rendered.
JUSTIFICATION
DWSD Revenue Protection Department reports have shown that by hand delivering this additional “service interruption” door hanger notifications to delinquent customers, 41% of customers have resolved their balances to avoid the interruption. Human Flier has been the contracting company providing the delivery service for DWSD on an interim basis under the emergency procurement from May 1, 2018 until November 30, 2018. They have provided a valuable service for DWSD.
PROCUREMENT METHOD
Purchasing, on behalf of the DWSD Revenue Protection Department, published a Request for Quote (RFQ-449446-Door Hangers & Survey) on May 8, 2018 with a closing date of May 24, 2018 for a four-year contract for services to be provided on an as-needed basis. National Institute of Governmental Purchasing (NIGP) category codes used were:
• data processing cards and paper
• mass transportation communications
• media related services
• courier/delivery services
Twenty-six vendors were solicited through the Michigan Intergovernmental Trade Network (MITN) and four bid responses were received. The RFQ requested pricing per delivered notification. The Contractor was to affix a label on the residence that would serve as identifying last service date. The Contractor would also be responsible for neighborhood surveying to confirm property status (occupied/vacant/boarded/inhabitable), and building type (residence, commercial, medical facility, apartment building or industrial). Currently, Human Flier has been the contracting company providing the delivery service for DWSD on an interim basis under the emergency procurement from May 1, 2018 until November 30, 2018. This contract will begin December 1, 2018.
|
Vendor |
Bid response |
DBB/DRB |
|
Human Fliers, LLC |
$2.25 |
Yes |
|
Premier Process Serving, LLC |
$2.75 |
No |
|
KNM |
$8.75 |
Yes |
|
ABA Associates, Inc. |
$14.13 |
Yes |
Purchasing recommends the contract be awarded to Human Fliers, Inc., as the lowest responsive, responsible bidder based on the responses listed above.
FUNDING SOURCE: O & M funded for CPA # 6001502
GL string: 5720-20169-484161-617900-000207-10790-0000-000000 $90,000.00
GL string: 5820-20180-494161-617900-000228-15805-0000-000000 $210,000.00
Duration: four-years
DWSD Department: Revenue Protection Department
Total: $300,000.00 ($75,000.00 annually)