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 §84308 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.
Postage, Supplies, and Shipping Parcels
May 19, 2026
5 7
6 8
Staff researched available procurement options and determined that Quadient Inc. meets the City’s specifications and can provide the Postage, Supplies, and Shipping Parcels to be utilized by the Finance and Management Agency – Central Services Division. By leveraging the procurement power through cooperative purchasing, the City of Santa Ana is able to obtain nationally vetted, high quality products at competitive volume pricing, and is in accordance with the City’s existing Purchasing Guidelines.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Total contract costs for Postage, Supplies, and Shipping Parcels are limited to an amount not to exceed $1,575,000 over the term of the agreement. Funding is available in the current FY 2025-26 budget and funding for subsequent fiscal years will be included in the proposed budget for City Council consideration.
Optional Four, 1-Year Extensions
FY 2027-28 01110120-63020
Finance &
Management
Services -
Purchasing
Postage/Printing $300,000
FY 2028-29 01110120-63020
Finance &
Management
Services -
Purchasing
Postage/Printing $300,000
FY 2029-30 01110120-63020
Finance &
Management
Services -
Purchasing
Postage/Printing $3000,000
FY 2030-31 01110120-63020 Finance &
Management Postage/Printing $300,000
Fiscal Year Accounting Unit -
Account #
Fund
Description
Accounting Unit -
Accounting No.
Description
Amount
Subtotal for Year 1 $375,000
01110120-63020
Finance &
Management
Services -
Purchasing
Postage/Printing $75,000
01110120-63020
Finance &
Management
Services -
Purchasing
Postage/Printing $300,000
FY 2025-26
(May - Jun)
FY 2026-27
(Jul - May)
Postage, Supplies, and Shipping Parcels
May 19, 2026
5 7
6 8
Services -
Purchasing
Subtotal $1,200,000
Total $1,575,000
Submitted By: Alexander Trinidad, Executive Director of Finance & Management Services Agency
Approved By: Alvaro Nuñez, City Manager