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TO: Mayor Thomas J. Weisner
FROM: Charles Koch, Assistant Director of Finance
DATE: March 9, 2016
SUBJECT:
Requesting Approval to accept the 5 Year Lease Proposal of Pitney Bowes for Connect + 2000 Series Postage Machine for the Mailroom.
PURPOSE:
To obtain the approval to lease the postage machine under the NJPA State and Local Term Rental, Contract #0403012-PIT.
BACKGROUND:
In December, the Post Office notified us that our current postage machine could no longer be used after December 2016. We need to replace the machine by the end of 2016 or we will not be able to post outgoing mail.
The Connect + 2000 Series Postage Machine is on the National Joint Powers Alliance (NJPA), Contract #0403012-PIT. Thus, the City can forgo the local bidding process. NJPA provides national cooperative contract purchasing solutions for member agencies which include all government, education and non-profit agencies nationwide.
DISCUSSION:
By leasing a new machine now, we will not have any interruption in our outgoing mail service. Leasing also allows the purchase to be spread out over time and any problems with the machine will be covered by Pitney Bowes. The lease is for five years at $421.83 per month and at the end of the term we will own the machine. Interest of 2.1% is included in the lease payment. Money for this lease is budgeted in 101-2543-415.39-12. We received quotes from Postal Source and Pitney Bowes, which was the lowest quote. Pitney Bowes used the NJPA State and Local Term Rental, Contract #040301012-PIT for their quote.
IMPACT STATEMENT:
The City of Aurora must have a postage machine to post outgoing mail. Without replacing the current machine we will not be able to process outgoing mail.
RECOMMENDATIONS:
That approval be granted to accept the lease proposal offered by Pitney Bowes.
cc: Alderman O’Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Mesiacos, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution Requesting Approval to Accept the Five (5) Year Lease Proposal from Pitney Bowes for Connect + 2000 Series Postage Machine for the City Hall Mailroom.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the previous City Hall Mailroom postage machine is being decommissioned by the United State Post Office at the end of the year 2016; and
WHEREAS, the Revenue & Collection Division desires to lease a Connect + 2000 Series Postage Machine for the Mailroom from Pitney Bowes through the NJPA State and Local Term Rental, Contract #0403012-PIT for sixty (60) months at $421.83 per month; and
WHEREAS, the 2016 City Budget provides funds in 101-2543-415.38-01 (General Fund) which will be transferred to 101-2543-415.39-12 (General Fund) for this project.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: it does hereby approve a five (5) year lease agreement with Pitney Bowes of Lisle, Illinois for one (1) Connect + 2000 series Postage Machine in the amount of $421.83 per month for the City Hall Mailroom through the NJPA State and Local Term Rental, Contract #0403012-PIT and does hereby authorize its Purchasing Director to issue the necessary orders to implement purchase of same.