AGENDA TITLE:
title
Adopt a Resolution Authorizing the Interim City Manager to Execute Amendment No. 2 with a Two-Year Term Extension for the Professional Services Agreement with Business Recovery Services Inc., of Alameda, CA, for Utility Payment Lockbox Services for a Sum Not-To-Exceed $138,942 (IS-FIN)
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MEETING DATE:
April 1, 2026
PREPARED BY:
Tarra Sumner, Revenue Manager
recommendation
RECOMMENDED ACTION:
Adopt a Resolution Authorizing the Interim City Manager to execute Amendment Number 2 to a Professional Services Agreement with Business Recovery Services Inc., of Alameda, CA, for Utility Payment Lockbox Services by extending the term two years for a total sum not-to-exceed $138,942.
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BACKGROUND INFORMATION:
The City generates approximately 36,000 utility bills each month, of which roughly 5,000 are paid by check and manually processed by Customer Service Representatives. This manual check processing is labor intensive, requiring staff to open envelopes, feed checks and remittance stubs through rapid processing equipment, resolve exceptions, and manually enter approximately 10% of payments due to errors or discrepancies. In addition, Staff must balance accounts and prepare deposits daily. These tasks divert staff from front-line customer service and other essential departmental responsibilities.
On September 18, 2019, following a competitive Request for Proposal (RFP) process, the City Council adopted Resolution 2019-190, approving a Professional Services Agreement with Business Recovery Services Inc. to provide lockbox services for the City's utility billing operations, ensuring that mailed utility payments were collected, processed and deposited efficiently. An amendment to this agreement was approved on December 1, 2022, through Resolution 2022-267, extending the Agreement through September 30, 2025. The original Professional Services Agreement and Amendment No. 1, are collectively referred to as the "Agreement" throughout...
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