Item 12 - Purchase Order Contract with Quadient, Inc. for Postage, Supplies, and Shipping Parcels (Specification No. 26-061)

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Finance and Management Services www.santa-ana.org/finance Item # 12 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report May 19, 2026 TOPIC: Postage, Supplies, and Shipping Parcels AGENDA TITLE Purchase Order Contract with Quadient, Inc. for Postage, Supplies, and Shipping Parcels (Specification No. 26-061) (General Fund) RECOMMENDED ACTION Award a Purchase Order Contract to Quadient for postage, supplies, and parcel shipping services in an amount of $375,000, for a one-year term beginning May 19, 2026 and expiring May 18, 2027, with provisions for four (4), one (1) year renewal options, in a total amount not to exceed $1,575,000. GOVERNMENT CODE 484308 APPLIES: No DISCUSSION The Finance and Management Services Agency's Central Services Division provides automated mailing services for the City, including bulk mailing of public notices for meetings, neighborhood meeting invitation flyers, business tax certificates, and various other daily mailings. On May 7, 2024, the City Council awarded an evergreen contract with Quadient Inc. for an annual amount of$200,000. The annual contract amount for the contract term from May 8, 2025 through May 7, 2026 was exceeded primarily due to increased mailing volume associated with the Rental Registry Program, additional citywide mailers from various departments, and increased operational demand. While postage rates have increased in recent years, the higher contract usage was driven mainly by the increased volume of required mailings and notices. Staff is requesting approval of a new contract with Quadient Inc. for an amount not to exceed $1,575,000 to support ongoing operational mailing needs, including capacity to pay outstanding invoices for services and goods previously provided during the prior contract term. Santa Ana Municipal Code, Section 2-807(d) authorizes the City to purchase against contracts from any public agency utilizing a competitive bid process. Sourcewell, a cooperative government purchasing agency, awarded a contract to Quadient Inc. (070125-QDT)as a result of an open, competitive bidding on behalf of its members, which includes government agencies.