CR 01-108 Folder - Inserter - Mailing Machine Purchase
C\1Y OF
-
August 2, 2001
HOPKINS
Council Report 2001-108
FOLDER - INSERTER - MAILING MACHINE PURCHASE
Proposed Action
Staff recommends adoption of the following motion: Move to approve budaet
adiustment and purchase of a new folder - inserter mailina machine for utilitv bills and
city mailinas.
Overview
Currently the city owns a folding machine which was purchased in 1994 at a cost of $ ?
The current machine falls short of our needs. It does not insert return envelopes (these
are inserted by hand), legal size pages or pre folder flyers. It does not seal or count the
number of pieces processed. The sealing is done through the postage meter and the
pieces are hand counted for postage costs. The entire process is very time consuming.
.
With approval from the council, finance is moving toward monthly billing instead of
quarterly billing. This effort is being done to reduce the size of the bills for customers
and improve cash flow. With the transition to monthly bills approaching, the amount of
bills generated, on a monthly basis, will likely triple. To help expedite this process we
have received quotes and demonstrations of folding-inserting machines from two
companies.
Primary Issues to Consider
. How much?
. Is there a need?
. Which machine fills our need the best?
Staff recommendation
Finance recommends purchasing the folding-inserting machine from Neopost.
Although Neopost is not the lowest quote, we feel their machine fulfills our current and
f~~:uateIY' _
Lon Yager
Finance Director
Financial Impact: $_10,424_ _Budgeted: Y/N _N_ Source: _Utility funds
Related Documents (CIP, ERP, etc.): Notes:
City of Hopkins
PrOposal
FoIder/lnserter Mailing Machine
The City is in need of a new folder/inserter machine. We have received two bids on
folder/inserter machines; one from Neopost for $10,424 and Girard Business Machines for
$9,785, state tax not included.
The City has a basic folding/inserting machine purchased in 1994. This machine only folds
and inserts up to two 8 % x 11 pages. It does not have the capability to insert return
envelopes, legal size pages or pre-folded flyers.
Utility Billing is currently using the folder/inserter machine only to insert bills into the mailing
envelopes. Return envelopes are being hand inserted, run through the postage meter for
sealing and then hand counted before being taken to the Post Office.
The City is moving toward monthly utility billing, and we are in need of a folder/inserter
machine that will accommodate not only the increased volume of bills processed, but
eliminate the manual hand insertion of return envelopes, sealing through the postage meter
and counting total number of pieces processed.
In a comparison between the two machines, both have three feed document stations,
. programmable jobs, folding patterns, piece count, form thickness detection, central control
panel for programming jobs, and seaVno seal selection.
However, the Neopost also has the ability to fold stapled sets, piece count to 100 per set,
has more versatility for feed trays, will insert pre-folded flyers, accommodates more forms in
each feed tray. We also own a Neopost postage meter, which could be connected directly to
the folder/inserter machine. A comparison listing for the two machines is attached.
Although the Neopost machine is $639 more than the Girard machine, we feel that the
Neopost will better meet our needs. The machine is more versatile, and we have done
business with Neopost and have been very satisfied with their products and service.
U/IZO/Ul l'YhU l'{:33 ~A!, 7ti3 51H ~U3~
~~ neopost
FEATURES & FUNCTIONS
Monthly recommended volume capacity
Theoretical Spec. Speed/cycles per hour
.~
Practical speed-net actual processing speed
for 2 letter size documents
Manual operations required per 1,000
finished documents
,~
Load 'N' Go automatic job set up (or similar
concept)
Maximmn No. of Stations
.~
Maximum folding capacity/# of 20lb. Tri-
folded
*'
Multi-functional feeders-ability to feed sheets
or inserts from each feeder
No. of finished envelope exit options
Double document detection on every feeder
Accurate thiclmess detector unaffected by
dust~ ink, and paper color/technology
Envelope hopper/paper tray capacities!
loading without the need to fan
Envelope loading-on-the-fly (while running)
~
Easy access to paper path
.
Feeder swap/total capacity-ability to load all
feeders with same documents-systeln empties
one then automatically switches to next feeder
Large and clear fully graphical display
Llnaa Jensen
IlfI U U ,j
SI68/Mini 3+ Competitive Matrix
P.F.E. Mini 3+
25,000
2,300/hr.
1,3 80/hr.
30
No/must program each job to run or
use limited Quick Start mode
2 sheet feeders and 1 insert/sheet
feeder
3 in automatic mode
5 pages manually fed only
No
2/conveyor stacker not available
No
No/Infra red system
100/1 OOlNo, fanning is required for
envelopes and inserts
Difficult
No, must open machine, then remove
fold plates by hand to clear jam
Yes on 2 sheet feeders only/total
capacity 200 sheets
No. small alphanumeric only
2/01
Investment Summary
for
City Of opkins
July 9, 2001 QT01-266050109
PROPOSED EQUIPMENT
1 SI68 3-Station w/Standard Feeders (auto-
separation)
1 SI72 Conveyor Stacker
System Features included
3 Modular feed stations
.. Load-N-Go automated job set up
9 One-touch programmable job pre-sets
.. Central control panel
FlexFeed technology
Automatic document separation (thickness) adjustment
.. PowerFold technology tri-folds up to 5 sheets
Postage meterinterface ready
Secure-N-Feed thickness detection at feeder
.. Daily Mail operation-For manual feeding of document sets - up to 5 pages stapled
Small 29.5"footprint
Two Preventative Maintenance visits per year
PURCHASE SUMMARY
eqUiPment:
Maintenance:
STANDARD PRICE
$11,890.00
$1,059.00 annually
GOVERNMENT PRICE
$10,424.20
No Annual Maintenance in Year 1*
EXPIRES 08/08/01
Neopost offers a full line of mailing, shipping and folding - inserting equipment. We also offer our
exclusive Price Protection Program which includes equipment, maintenance, Rate Change Protection and
meter rental all on one convenient invoice - guaranteed not to increase for the term of the lease.
Notes:
Delivery 30-45 days
*Annual Maintenance of $1,059.00 begins in Year 2
Taxes not included (0'11. ~7
Ht'DLI7
it' neopost
~"/17/0~ TUE 15:03
49
FAX 952 890 5530
GIRARD'S BUSINESS MACH
Girard's Business Machines, Inc.
11910 12th Avenue South. Burnsville. MN 55337 (952) 890-4827
www.girardsinc.com
july 17. :!OOI
TO:
Ttrry Ob~rmaicr
City of Hopkins
952-935-1834
Fax
Nate Girard
GBM, Inc.
Number of pages including this page 1
Phone: 952-890-4827
FROM:
001
Dear T crt)' , ~
Thank you for thinking or Girardr~ Bu~inl.::ss Machines and Lhe t!quipment wt! sell and servict!. As per our phone conversatic~n on
folder and inserters J would ask Thar YOll consider this form an official quotation for the potential acquisition of 1 (one) PFE :
Minimaikr 3 Plu~ l'oldcr / insl::rLcr. Should you have any further needs please do not hesitate to call me at your earliest conveni!cncc.
In additioll. 1 would be happy to offc:r you a demonstration at your location aL your convenit:!nce, simply name the place and tirrie.
I QTY.
DESCRIPTION
PRICE
i
i :
SIN #
50-16~c
A 1 I 43AA PFE Minimailcr. 3 PLUS
$11,350.00
State GSA Qualified
L
$8,885.00 :
Price Includes:
Local Set-up and Installation
Operator Training and Programming
90- Day Warrant)'.
GBM Clean Kit
Factory Freight (delivery: is normal at I to 3 weeks) $85.00
Minnesota Sales Tax Exempt f)}7. G
TOT AL DELIVERED PRICE $8,970.00
I b 3~12~
I Price does not include ~xL~ntleu service coverage, which is $979.00 for 12 months (after original warranty) and exempts
conslImables items.
www girardsinc.com
'30 Ultct ~~~~-
. I'deopost MN
Fax:6516398525
Jul 17 '01 8:58
S168 Exclusive Features
Load and Go - Automatic set-up
P.03
Multi-Function Feeders- Documents, BRE's, multiple sheets
from any leerkrs
Linked (cascading) Feeders
Conveyor Stacker
Daily Mail ftmction for stapled sets
Power Fold- Knife/oldfor crisper fold
Self:" Cleaning .and self-setting f.alders
OMR Option
9 Pre-programable lockable jobs
.