CITY COUNCIL STAFF REPORT
DATE: JULY 8, 2026 CONSENT CALENDAR
SUBJECT: APPROVAL OF AMENDMENT NO. 2 TO CONTRACT SERVICES AGREEMENT 24I149 WITH VALLEY MAIL DELIVERY FOR MAIL AND
COURIER SERVICES
FROM: Scott C. Stiles, City Manager
BY: Brenda Pree, City Clerk
SUMMARY:
This action will approve Amendment No. 2 to Contract Services Agreement 24I149 with Valley Mail Delivery for mail and courier services, to extend the term of the agreement for an additional year, from July 1, 2026, through June 30, 2027, for an additional amount of $60,000 and a revised contract amount not to exceed $135,000, waiving Palm Springs Municipal Code Sections 7.03.02(1)(d) and 7.03.04 which require a formal solicitation process, which would allow staff time to follow through with the formal procurement process of soliciting bids.
RECOMMENDATION:
1. Approve Amendment No. 2 to Contract Services Agreement 24I149 with Valley Mail Delivery for Mail and Courier Services, to extend the contract through June 30, 2027, and add an additional $60,000 for a revised amount not to exceed $135,000;
2. Waive Palm Springs Municipal Code Sections 7.03.02(1)(d) and 7.03.04, which require a formal solicitation process;
3. Authorize the City Manager of designee to execute all necessary documents.
BACKGROUND:
Valley Mail Delivery has provided mail and courier services to the City since 1989. The City entered into a two-year agreement with Valley Mail Delivery for mail and courier services on June 1, 2024, through June 30, 2026, in the amount of $75,000. The City now wishes to extend the contract for one additional year, through June 30, 2027, for an additional amount of $60,000 and a revised amount not to exceed $135,000.
City Council Staff Report
July 8, 2026 -- Page 2
Amendment No. 2 to Contract Services Agreement 24I149 with Valley Mail Delivery The contract was secured under an informal procurement process, during which staff obtained three competitive quotes. The quotes, received in April 2024, are outlined below, with Valley Mail Delivery providing the lowest bid:
1. Valley Mail Delivery (VMD) – $2,942 Monthly Average.
2. Majestic Courier Services – $1,745/week. (Approximately $6,980 monthly.)
3. HR Courier Services – $12,360/month.
STAFF ANALYSIS:
Amendment No. 1 to the Contract Services Agreement 24I149 added an additional route, raising the average monthly expense to $3,643. Amendment No. 2 would extend the term through June 30, 2027, for a total amount not to exceed $135,000.
Staff are seeking a waiver of Palm Springs Municipal Code Sections 7.03.02(1)(d) and
7.03.04, which require a formal solicitation process for services over $75,000. This approval will allow staff time to prepare, issue and award a new contract through the formal solicitation process.
FISCAL IMPACT:
Funding is available in the City Clerk’s Document Management fund, where these services are budgeted annually.
REVIEWED BY:
Department Director: Brenda Pree
Deputy City Manager: Jeremy Hammond
City Manager: Teresa Gallavan for Scott Stiles
ATTACHMENTS:
A. Amendment No. 2 to Contract Services Agreement 24I149 B. Contract Services Agreement 24I149 and Amendment No. 1