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HomeMy WebLinkAboutC35470 - 60-Month Lease for Mailing SystemCITY OF PALM DESERT CITY CLERK DEPARTMENT STAFF REPORT REQUEST: AUTHORIZATION TO FINALIZE NEGOTIATION AND EXECUTE 60-MONTH LEASE OF A NEOPOST MAILING SYSTEM FOR THE CITY OF PALM DESERT (CONTRACT NO. C 35470 ). SUBMITTED BY: Rachelle D. Klassen, City Clerk CONTRACTOR: Neopost USA Inc., 478 Wheelers Farms Road, Milford, CT 06461 DATE: July 14, 2016 CONTENTS: • Staff Report • Neopost Proposal and Fliers • Notice Inviting Bids • Draft Neopost Lease (pending) • Bid Opening Sheet - April 8, 2016 • Results of Reference Polling Recommendation By Minute Motion, authorize: 1) Staff to finalize negotiation of 60-month Lease Agreement for a Neopost IN-700 Mailing System for the City of Palm Desert, effective August 2016; 2) Mayor to execute said Lease Agreement, subject to satisfaction of the City Attorney — funds in an amount not to exceed $5,500 are available in the FY 2016-2017 Budget, Account No. 1104159-4342000 - Office Equipment -Rental, and will be programmed accordingly in subsequent years. Strategic Plan Obiective This request represents routine conduct of the City's municipal affairs; there is no specific Strategic Plan Goal associated with it. Backaround City's current Pitney Bowes postage machine was purchased shortly after Council approval in June 2004. The unit has performed admirably for some 12 years. However, the frequency and severity of maintenance issues have both increased over the past year, with the machine and repair parts becoming obsolete; replacement is necessary. Requests for Proposals were solicited in April 2016, with bidding options of outright purchase, 36- or 60-month lease terms. Specifications requested for the brand new unit included: Batch (same -sized) processing at least 140 pieces per minute. Automatic feeder for mixed -size mail. Staff Report - Mailing System Lease with Neopost July 14, 2016 Page No. 2 • Integrated scale to weigh and measure mixed -size mail in compliance with USPS Shape -Based Pricing. • Dynamic Weighing Platform (mixed -size) processing at least 75 pieces per minute. • 30-pound Weighing Platform. • Online postal rate and software updates. • E-mail alerts to advise when supplies are low. • Online Departmental Accounting for Postage Tracking. • Processing Certified and Return Receipt Mail Electronically with discounts. Return Receipts to be digitally archived for retrieval from desktop. Multiple users (chosen by City Administration) may utilize the module. • Dotional Feature: Shipping Software for LISPS Commercial Base Pricing on Priority Mail, Is'Class Parcel, and Priority Mail Express. • Dotional Feature: Address Cleansing Software to ensure mail and package deliverability. Bids were received from three vendors: VENDOR FP Mailing Solutions Addison, IL Pitney Bowes Gardena, CA Neopost' Milford, CT Model CentorMail Max Connect+2000 IN-700 Purchase 36-Mo. Lease 60-Mo. Lease Price $15,997.25 $11,222.28 $ 9,115.20 $606.80/m❑ $511.701mo $469.051mo. $429.961mo.* $475.411mo.' $385.071mo." * Reflects updated proposal and pricing following City -requested on -site demonstration of Pitney Bowes and Neopost systems for staff to compare features, user interface, and accessories. Riverside County 8% Sales Tax rate would need to be added to the updated monthly amounts. City Clerk Clerical Assistant and Records Technician, who are primary operators for daily mail processing, and the rest of City Clerk staff were most favorably impressed with operation of the Neopost IN -Ida, its user interface, and all references received from our neighboring cities' mail departments using the Neopost system. Neopost lease pricing is all-inclusive of: - Equipment Maintenance (parts and labor); 1 Vendors bidding based on the NASPO/WSCA (Western States Contracting Alliance) contract, which is the "best U. S. Government Contract Rate" as requested in the RFP. H.•iWPdataIWP000SiStaH Repor}sWosrage meter-2016. wpd 2 Staff Report - Mailing System Lease with Neopost July 14, 2016 Page No. 3 - Guaranteed 5-hour on -site response; - Local live administrative support; - Online Postage Rate and Software Updates; - Professional Installation and Training. If desired later, optional NeoShip (for parcels) and Infuse Desktop (address management software to match mail pieces to verified USPS System addresses) are available with NASPO/WSCA rate at time of acquisition to be included in the lease agreement. A 60- month lease is deemed to be the most cost-effective transaction, with any future system upgrades usually not available before at least the third year of operation, and given our past experience with Mailing Systems lasting at least 9-10 years. Fiscal Analvsis The approximate $5,500 annual lease cost for the Neopost IN-700 Mailing System for 60 months is only slightly more than the annual maintenance cost (solely) of the current City - owned Pitney Bowes DM 1000 System, which is $4,100 for FY 2016-2017, with the knowledge that the unit is obsolete and requiring more frequent and involved servicing. Leasing of mailing system equipment that serves all Citywide Departments and includes all maintenance costs is the most prudent option for the need at this time. Further, with updated equipment that is synchronized with the U.S. Postal Service, it also allows the City to take advantage of shape-, weight-, and class -based pricing discounts to save on postage expense (e.g. savings of approximately $1,300 annually [$1.30 per piece] for Certified Mail/Return Receipt pieces alone). A FY 2016-2017 Budget White Paper regarding replacement of the City's current Mailing System was approved in April during the Council Study Sessions. Therefore, your action to approve this item is respectfully requested. Submitted by: Reviewed: �elle . Klassen, MMy ,City Clerk Jan JMM�oore, Director of Finance Approved: k .1�istih McCarthy, Int *rnt ky Manager rdk Attachments (as noted) H:IWPdataIWPOOCSIStaH ReportsWostage meter-2016. wpd 3 CITY OF PALM DESERT, CALIFORNIA NOTICE INVITING PROPOSALS FOR THE PURCHASE OR LEASE OF A NEW POSTAGE METER / MAILING MACHINE SYSTEM PUBLIC NOTICE IS HEREBY GIVEN that the City of Palm Desert is currently accepting sealed proposals for the Purchase or Lease of a New City Postage Meter / Mailing Machine System. Sealed proposals will be received in the OFFICE OF THE CITY CLERK until Friday. April 8, 2016, up to the hour of 4:30 p.m. Pacific Davliaht Time, at which time they will be opened and evaluated. Proposals must be submitted on the form provided and delivered to City Clerk, City of Palm Desert, 73510 Fred Waring Drive, Palm Desert, CA 92260-2578, before the time and date stated above in a sealed envelope plainly marked on the outside "SEALED PROPOSAL FOR THE PURCHASE OR LEASE OF A NEW POSTAGE METER / MAILING MACHINE — DO NOT OPEN WITH REGULAR MAIL." Options available, price, delivery date, and model year will be taken into consideration when reviewing the proposals. This RFP creates no obligation on the part of the City of Palm Desert to award the contract or reimburse proponents for proposal preparation expenses. The City of Palm Desert reserves the right to accept or reject any and all proposals, in whole or in part, received as a result of this request, to waive any irregularities, to negotiate in any manner necessary to best serve the interest of the project, and to take all proposals under advisement for a period of 60 days. The City's evaluation may include information provided by the proponent's references and may also consider the proponent's past performance on previous contract with the City or other institutions. For more information regarding this project, please contact Rachelle Klassen, City Clerk, City of Palm Desert, 73510 Fred Waring Drive, Palm Desert, CA 92260-2578, T: (760) 346-0611, ext. 304, or rklassenecitvofoalmdesert.orq, no less than three (3) business days prior to the closing date. The City of Palm Desert is looking to purchase or lease a Postage Meter / Mailing Machine System at the best U. S. Government Contract Rate. The postage meter will weigh packages and enable the City to affix the proper postage to the package. It will also stamp standard letters and seal envelopes. The City is not interested in a machine that folds and places mail into envelopes with this solicitation. Specifications being requested include, but are not limited to, Digital Mailing System with the following: 1) Batch (same -sized) processing at least 140 pieces per minute. 2) Automatic feeder that can handle mixed -size mail. 3) Integrated scale that can weigh and measure mixed -size mail in compliance with USPS Shape -Based Pricing. 4) Dynamic Weighing Platform (mixed -size) processing at least 75 pieces per minute. 5) 30-pound Weighing Platform. 6) Online postal rate and software updates. 7) E-mail alerts to advise when supplies are low. 8) Online Departmental Accounting for Postage Tracking. 9) Processing Certified and Return Receipt Mail Electronically with discounts. Return Receipts will be digitally archived for retrieval right from desktop. Multiple users (chosen by City Administration) may utilize the module. 10) Optional Feature: Shipping Software for USPS Commercial Base Pricing on Priority Mail, 1st Class Parcel, and Priority Mail Express. 11) Optional Feature: Address Cleansing Software to ensure mail and package deliverability. The machine must be new and installed at 73510 Fred Waring Drive, Palm Desert, California, and ready to use as soon as possible after July 1, 2016. The vendor must provide the City with adequate training and any necessary user manuals. City requests a contact service person in case the machine is in need of maintenance. Please note your response time and fully describe the service your company will provide. As the machine will be used by a number of City Staff, the City requests at least 50 accounts (specify the number available on your recommended unit). Successful vendor must service the postage machine on an ongoing basis and provide any necessary supplies. The City sends out approximately 3,500 pieces of 1st Class Mail, plus approximately 5 other mail items, per month (approximately 42,000 pieces of mail annually). Please specify your machine specifications, description, make and model, as well as speed. City requires an acceptance period of at least 30 days subsequent to completion of the installation and training on the equipment. During this 30-day period, the system must perform without major interruption of services and in compliance with all representations offered in the vendor's proposal. Should the system fail to perform satisfactorily, the 30- day time frame for acceptance will start over until such time as the system performance is satisfactory for a period of 30 consecutive days. Final Payment/First Lease Payment will be withheld, and the warranty period will not begin, until system acceptance. While the machine's primary function will be to seal, weigh, stamp, and process mail, the City of Palm Desert may consider possible options for printing graphic art on outgoing mail. Please provide details and price of your system. Please also provide recommended machinery and any respective warranty. Warranty should be shown separately on the bid sheet with the details. Prices should be expressed in total and in lease amounts for three- (3) and five- (5) year periods and be inclusive of all costs. Dated this 18th day of March, 2016. City of Palm Desert /s/ IZadwI&D. Kla4v"w 73510 Fred Waring Drive RACHELLE D. KLASSEN, CITY CLERK Palm Desert, CA 92260-2578 CITY OF PALM DESERT, CALIFORNIA CITY OF PALM DESERT, CALIFORNIA DATE: Andl8.2016 PROJECT/SERVICES NAME: Rev2015 BID or RFP OPENING TIME: 4:30 Vim. Notice Invitina Pr000sals for the Purchase or Lease_ of a New Postave Meter / Mailina Machine Svstem 'Contract nor/Bidder d city �P Yl '{1oAS. ps{^1L.5Ar A4%-e-. Purchase Price -4151 9111-7 -# q � k.s' 3 Yr., Qtr. .5Yr Qtr 0 q L3 #it51�qa i `GSA r. # I �'Wt I isa— .2� - 44-r * 1 W -0 1, oli I -65S. Klassen, Rachelle From: Munoz, Rae Sent: Tuesday, June 21, 2016 4:02 PM To: Klassen, Rachelle; Sanchez, Gloria; Mendoza, Grace Subject: Neopost Post & Pitney Bowes - Current Users Summary Hello, Ladies. I called the organizations that utilize Pitney Bowes & Neopost as given to us by their sales reps during the demos. I spoke with their postage meter operator and asked the following questions: 1. Current Meter type. 2. What type of meter did they have before. 3. Common issues that do not require a service call. 4. Issues that require a service call. 5. Customer service experience via phone. 6. On -site customer service experience with Technician. 7. Other comments and/or what we should know before we buy. Neopost: Indio — Indian Wells — Rancho Mirage 1. All location utilize IN700 series. 2. Rancho Mirage was the only city that went from a Pitney Bowes meter to Neopost. 3. The only common issue that all 3 location have, is that when running a sealed pieces of mail through the machine when the sealer option is on, the meter will jam. Ultimately being an operator error and they all stated it was an easy fix, by clearing the jam in the feed tray. 4. Only Indio & Rancho Mirage have had to make service calls via phone on their meter for the following reason: 1) Annual preventative maintenance; 2) Meter errors when loading updates/funds, which ultimately are server issues, not a meter malfunction. 5. All location stated they have had great experience with customer service over the phone. 6. All location stated they have had great experience with on -site Technicians, stating most would arrive same day or the following morning. 7. All location stated that the meters are quick, user friendly, and gave overall positive feedback on the company. Pitnev Bowes: Eisenhower Medical Center **Note: Palm Springs is no longer a PB customer & the staff member who operates the meter was not available to give feedback on current meter.** 1. Connect 2000 & 3000 2. Pitney Bowes (Meter type unknown) 3. Only service calls placed have been for annual maintenance; no other issues. 4. No service calls have been placed. S. Customer service via -phone has been great. 6. Great experience with on -site Technician Sal (the same Tech who services our current meter). 7. 1 spoke with Cindy and she noted that she has been with EMC for 28 yrs and has been processing the mail for most of her career. She mentioned that they tired Neopost and did not like their meter, due to the machine breaking regularly and the customer service was horrible. I then asked on average how many parcels of mail do they send out daily, she answered with 1,OOOs & 1,OOOs. If you would like any other information or have questions, please let me know. -Rae 4?#e Lynn JKunoz CCerica(Assistant, city CCerk's Office City of (Palm (Desert 73510 'Fred Waring Drive Palm Desert, C4 92260-2578 (760) 346-0611, Ert. 301 rmunoz cityofPa(mdesert.ora Klassen, Rachelle From: Wong, Michelle <M.Wong@neopost.com> Sent: Monday, June 13, 2016 4:36 PM To: Klassen, Rachelle Subject: Neopost Proposal Revised Attachments: CityofPalmDesertJune20l6.pdf Good afternoon Rachelle, Thank you so much for taking my call earlier. I attached the proposal for your review. Your quote already included the online access to postage tracking from your desktop that breaks down the departments, postage amounts, and classes sent out. I also included the optional add on of the roll tape label dispenser with differential weighing on the scale and of course the mailing system right above the IN700 that can process mixed mail envelope flaps whether they be closed or nested . let me know if you have further questions or concerns and I will be more than happy to address them. We hope that you have found value in the solutions we have presented and can earn your business in the near future. It is always a pleasure. Have a great day!!! Sincerely, Michelle Wong Senior Account Executive Neopost Southwest District Phone:(909) 466-1655 Work Cell: (760) 218-0495 Fax: (909) 466-1656 3130-D Inland Empire Blvd Ontario, CA. 91764 m.wona(d)ne000st.com www.neoDostsw.com >-1J NEOPOST Send. Receive. Connect. s■"d N.=w. Ca r.ts .wr 'Ua , or ftft Ft* .z. Mail Processing Solution City of Palm Desert Michelle Wong Senior Account Executive 760.2 1 8.0495 cell m.wong@neopost.com Neopost Southwest District Statement of Confidentiality This proposal and supporting materials contain confidential and proprietary business information of Neopost USA. These materials may be printed or photocopied for use in evaluating the proposed project, but are not to be shared with other parties. Neopost solutions enable companies to expertly send and receive digital documents, physical mail and packages, allowing them to connect better with their customers. Founded in 1924, Neopost has grown to become a global leader in mailing solutions, and a major player in digital communications and shipping solutions. Neopost provides a wide range of hardware, software and services tailored to organizations of all sizes. We believe that people are the key to business success. Our decentralized operational philosophy fosters local customer relationships based on accessibility, responsiveness and trust. A Worldwide Network -� . , �'M North America 39% over 3 of sales 200 U.S. locations s, 2oo employees Di rest presence in countries Solutions ; distributed in 500 R&D engineers Over in sales r 800rOOO customers Global Footprint With a Strong Local Presence rl_� ,OPQST Data Cleansing & Enrichment Maintain high -quality contact databases with accurate addresses that improve mail and package deliverability. FR - 4 'rr — rj — A Document Printal Print high -resolution color docu at the lowest costs per page. Extend your in-house printing capabilities. Mail Metering Move your mail out the door with ease, allocate the costs, and report on your spending patterns. Business Process Solutions Document Automation Create engaging, ready -for - automation documents that cost less to process and send. ,oldInAgrInserting Automate mail assembly with high-performance, ultra -secure document handling equipment. Parcel Shipping Shlp packages through any carrier using comparison shopping software that eliminates overspending. Delivery Channel Management Distribute documents via physical mail or digital delivery based on your customers' preferred format. Mail Addressing Print stand -out envelopes or postcards that increase response rates. Simplify direct mail preparation. Mail & Packag Open a whole day's mail in minutes. Track the arrival, movement and delivery of packages at your facility. Sird A•:rv0 Cowwrl 11% _ IN-700 Mailing System Product Overview Internet -connected iMeterTM postage meter provides access to a suite of powerful Apps • Modern, ergonomic design with a color touchscreen and multiple weighing platform options Mixed -size automatic feeder handles different mail shapes with no sorting required r In --line Dynamic Scale accelerates processing by weighing and measuring mail on the fly Exclusive Postal Rate Wizard offers guided selection across 140 LISPS@ rates and services Automatic secure sealing and a built in postage label dispenser enhance productivity Additional Feature System Dimension Quiet inkjet printing w/low ink email alerts Up to 140 1etters/min. (75 in dynamic mode) Envelope thickness up to 5/8" Auto -downloaded postal rate updates 6 Rate shortcut keys & 9 joblimprint memories a Standard and 2 customizable ad slogans 10 customizable text messages Automatic mail class inscriptions Date received printing for incoming mail 70-department account tracking (expandable) PIN -protected access for up to 50 operators MyNeopost account w/postage usage reporting NeoFundsO bill -for -postage service Mailing System with tray (Length x Depth x Height) Weight 67" x 18" x 13" 78 lbs. The IN-700 carries Neopost's Eco Label. The Eco label signifies the implementation of green strategies surrounding raw materials, packaging and energy consumption to reduce or eliminate impact an the environment. L A J The IN-700 is compliant with environmental regulations and Energy Star. 5m'+d Ric wr Znn�m burin ,.y °o° connGctSuite e-cerbly Electronic Certified Mail" Sofution Product overview of 1 • Simple web -based solution that streamlines the preparation & management of Certified Mail`" • Prepare one mail piece at a time or upload multiple addresses for batch processing No forms to handwrite and no labels or Return Receipt" cards to apply to envelopes Centralized tracking of all items you've mailed - no need to enter long tracking numbers Saves $1.40 per letter by providing a digital signature in place of the green card R Mailing activity and signature information automatically stored and organized for you in the cloud Additional Features No local software to install Easy -to -use interface and process flow Compatible with most web browsers Supports multiple users Custom profiles for users and document settings Generates LISPS® form 3877 (Firm Mailing Book) if round dating/proof of mailing is desired Delivery status reports by date range Reports are downloadable for import into other systems Stores all data for the lifetime of your subscription CarwnectSuilte U r 1 I Stop handwriting LISPS® Certified Mail`" forms. Streamline your preparation process and start saving today with ConnectSuite e-Certify from Neopost, Here's how it works: Enter recipient's address or import a text file containing multiple addresses for batch processing. Addresses are validated for accuracy and proper formatting. Mail piece data uploaded to u5PV. Print one or multiple banner pages. Banner pages contain the return address, recipient address and a Certified Mail- barcode. Banner pages are placed on top of the document sets intended for the same recipient. Banner pages and corresponding document sets are folded together and inserted into a double window Certified Mail'" envelope. Meter the Certified Mail" envelope(s) for $1.40 less than the "green card" paper -based method (reflects reduced amount for electronic Return Receipt"" service). Delivery status of all sent items is automatically tracked and displayed in a user-friendly online portal. Download electronic PDF signature files as needed (replaces "green card"). All activity and signature files are stored for the lifetime of your subscription. Run simple or advanced searches and print or export reports. r�wi�wrr.�ew� y4_TUr.■ r.-..y... yy=PO�.yO. � .0 . •a.sa, acr�a,rn.x 7rie 7�a�� �r��..rr. r.rrwd�a�maa.m►� �n . WRTWFx W v il.l F.�.TJr �y .^W Y.V. $5,34' Ca a itIAn nn fnr Pvary Inn (-PrtifiPd letters. and 11,400.00 per 1,000 SOLUTION SUMMARY IN700 mailing system with 301b interfaced scale, dynamic weighing shape based platform, 100 departments for postage tracking with online access to reports from desktop, Connect Suite Web based E CERTIFY with ERR City of Palm Desert IS 5000 mailing system with 301b interfaced scale, dynamic weighing shape based platform, catch tray, online postage tracking with access to reports from desktop, connect suite web based E Certify with ERR, 0 WSCA Lease All Inclusive WSCA Lease All Inclusive 36 months at $420.57 a month 36 months at $658.05 a month 60 months at $343.18 a month 60 months at $530.26 a month Add on the Roll Tape Dispenser Printer with differential weighing on scale 36 months at $475.41 a month 60 months at $385.07 a month please add applicable taxes** Billed quarterly I± Add on the Roll Tape Dispenser printer with differential weighing on scale 36 months at $712.89 a month 60 months at $572.14 a month please add applicable taxes** Billed quarterly All inclusive lease includes: Equipment Maintenance (parts and labor) Guaranteed 5 hours to be on site backed up by top notch local live admin and support team plus me a local rep, Online Postage Rate and software updates, Professional installation and training April 7, 2016 Racheile Klassen City of Palm Desert City Clerk 73510 Fred Waring Drive Palm Desert, CA 92260 Re: Purchase or Lease of a New Postage Meter/Mailing System Dear Ms. Klassen, On behalf of Neopost USA Inc. (hereinafter referred to as Neopost), I would like to thank you for the opportunity to submit a response to the bid requested. We have prepared our response in the format you have requested. All products offered in our proposal are new, and in current production, commercially available, and represent the latest innovations in digital technologies. After carefully reviewing all of your required specifications, Neopost can meet or exceed the requirements set forth in the solicitation. Neopost USA Inc. response is presented under our NASPO/WSCA contract #ADSPO11-00000411-4 State of California contract #7-12-70-25. Thank you once again for this opportunity. If you have questions or need additional information please contact Michelle Wong at 760-218-0495(Phone) or m.wonoaneoaost.com Respectfully, i April L. Gist Contract Support Specialist - NAGA Proposal Desk 11 ,,,•); t 11':/--., I/Ft WI ::rlcr" Fiaou. Ro z%d, t•lillord, CT 06^.61, 7 703'.:t01 -1101? CITY OF PALM DESERT, CALIFORNIA PROPOSAL FOR THE PURCHASE OR LEASE OF A NEW POSTAGE METER / MAILING MACHINE SYSTEM COMPANY Neopost USA Inc. ADDRESS 478 Wheelers Farms Rd. Milford, CT 06461 TELEPHONE 203-301-3400 E-MAIL FAX 203-301-2600 government@neopost.com Make / Model of POSTAGE METER / MAILING MACHINE SYSTEM (Please attach any additional information that describes unit and supports the following pricing): "'Please see the attached porposal"' 1. Purchase Price: $8,440.00 - Mailing System & Web Certify w/ERR Riverside County, California, 8% Sales Tax $ 6 7 5.2 0 $9,115.20 TOTAL 2. Quarterly Lease Cost (3-year Lease): $1,261.71 Riverside County, California, 8% Sales Tax $83.97 $1,345.68 TOTAL 3. Quarterly Lease Cost (5-year Lease): $1,029.54 Riverside County, California, 8% Sales Tax $62.01 $1,091.55 TOTAL SIGNATURE OF AUTHORIZED ZZ, --- REPRESENTATIVE: �� PRINTED NAME/TITLE: Kevin O'Connor VP, US Marketing DATE: 4/8/2016 NOTE: The City of Palm Desert is not bound to accept the lowest or any quote that may be received in response to this solcitation. '"-Neopost USA Inc. response is presented under our NASPOANSCA contract #ADSP011-000004114 St of CA contract 7-12-70-25.lf tease is the procurement method, Neopost USA Inc. has attached the Neopost Government tease terms and conditions that would be applicable. Powerful Choice F Mail Center LEI it OptirnizinJ Management IN-700 Series The Powerful Choice For Optimizing Mail Center Management When it comes to meeting your most demanding mailing needs, nothing delivers like the Neopost IN-700 Series. Available in two models, the IN-700 and IN-750 are true representations of our next generation mailing systems. The sleek and modern design depicts clean lines and bold edges while maintaining the Neopost commitment to build and ship products in the most ecological manner. With the IN-700 Series, you get access to a growing suite of services and apps to improve postal, parcel and related digital communications. Experience Full IM`pb Benefits! Neopost offers two online shipping solutions that meet the latest Intelligent Mail' Package earcode (IM'pb) requirements. Based on your shipping volumes, NeoShip and EMS provide the tools you need to create compliant labels and optimize savings. Maximize Control of Shipping and Mailing Operations Neopost's optional EMS software offers a host of tools to manage costs, streamline operations and help build and maintain customer relationships. This technology can analyze your company's mail and shipping operations, pinpoint incorrect addresses and lost packages, identify where money is being wasted, as well as offer new methods for increasing efficiency with respect to mail processing operations and account chargeback. EMS offers: • Rate shopping (available on EMS multi -carrier only) • Address correction and validation services • Work aheadWK==Ty::•-•. • Scan & drop • A comprehensive reporting package - E _ ' Environmental Commitment The IN-700 Series carries Neopost's Eco-Label which aims to provide a clear and consistent set of environmental performance criteria used in the design phase of our products. J How We Reduce Our Environmental Footprint: • Neopost limits the machine weight and the amount of raw materials used for production. • The volume of our packaging is kept to a minimum and is 100% cardboard and recyclable. • Packaging for the IN-700 Series represents less than 20% of the total weight of the packed product. • The user-friendly sleep mode helps reduce energy consumption. • We develop our products to ensure a minimum recyciability rate of 75%. The IN-700 Series is compliant with environmental Regulations and ENERGY STAR Performance and Productivity 1. Mixed Mail Feeder 2. Weighing Platform ner 6. Dynamic Scale 5. Color Touch Screen 4. Power Conveyor Stacker 1. Mixed Mail Feeder Eliminate hand sorting by size or weight. Self -aligning rollers prevent jams or misprints. The 700 Series is among the strongest performers in the market, processing up to 140 Ipm (IN-700) and 175 Ipm (IN-750). 2. Weighing Platform 10, 30 or 70 lb. platforms handle even the heaviest parcels and oversized packages with ease. Add differential weighing to ® reduce manual processing and handling. 3. Barcode Scanner 4. Power Conveyor Stacker Keep mail flowing to achieve maximum throughput by reducing the number of starts and stops. 5. Color Touch Screen _ Enhance operations and minimize keystrokes with an easy -to -read — color touch screen. Large, descriptive prompts and menu keys make navigation a breeze. The Rate Wizard provides concise steb-by-step instructions, making LISPS rate selection easy. 6. Dynamic Scale Save time and eliminate errors Accurately weighs, rates and using a Barcode scanner for classifies mail at speeds up to 75 depart mentlaccount entry and Ipm (IN-700) and 110 Ipm (IN-750). processing LISPS' Extra Services. Reliable sensors detect dimensions to ensure compliance to LISPS Shape -Based Pricing requirements. rr SerieP ecifications We've Got Processing speed (batch) IN-700 Up to 140 Ipm You Covered Processing speed (batch) IN-750 Up to 175 Ipm (postcard) Dynamic weighing speed IN-700 Up to 75 Ipm Neopost maintains a Dynamic weighing speed IN-750 Up to 110 Ipm (postcard) network of offices Envelope minimum 3.5" x 5" across the country ----- - to provide local Envelope maximum 10" x 13" customer support and trained technicians Envelope thickness Up to 5/8" who are ready to assist you. You can Envelope orientation Landscape or portrait be confident that when you need - -- - -- - -- ---- knowledgeable support or expert service, Internal tape dispenser- standard the point -of -contact will be a Neopost Job imprint memories 9 office in your area consisting of a team Ad slogans 30 of local professionals. . Personalized text messages 10 custom Incoming date stamp Standard Default rate settings Standard Why Choose Neopost? Postage meter tapes Yes, integrated automatic label dispenser —_ Neopost is a global leader in mailing 4-digit PIN code 50 solutions, shipping services and digital Accounts/departments 70 standard communications. We believe that Rate wizard Standard - people are the key to business success. - Rate shortcut keys - — E That's why our products and services are -- — - tailored to help p your organization improve Automatic postal rates download Standard - the quality of its interactions and bring Low -ink email alerts Standard people closer together. Online postage usage reporting Standard In this age of multichannel communications, Options we guide and empower you to interact in Dynamic scale Available new and innovative ways. We advise you on Differential weighing g 9 Available how to create cost-cutting synergies. We — deliver global coverage with a strong local External weighing platform Optional 10, 30 or 70 lb. presence, offering you continual support by Accounts/departments upgrade 100, 300 or 500 phone, onsite or online. Barcode scanner Available External USB report printer Available Today, Neopost is present in 31 countries and has a network of partners in Connectivity LAN standard more than 90 countries. We promote Modem available responsible business and sustainable USB-memory key �- Available W _ development through our products NeoShip Available and outreach programs. Our 6,200 - "- EMS (Enhanced Mailing &Shipping) --- Available employees worldwide are committed -- to making your interactions more ARM (Account Report Manager) Available responsive and more powerful - offering E-Services with Electric Return Receipt " Available you a competitive edge that will open System Dimensions Length x Depth x Height up a wealth of business opportunities. iN-700/I1N-750 with catch tray (no DWP) 50" x 18" x 13" Find out more at neopostusa.com IN-700/IN-750 with dynamic scale & catch tray 67" x 18" x 13" Neopost IN-700 vs Efficiency Pitney Bowes Connect+ 2000 Key Advantages of Neopost System �u Whether processing uniform or mixed mail, the IN-700 outpaces Connect+ 2000 standard speeds by almost 10%. The IN-700's exclusive mixed -size feeder automatically straightens mail as it enters the system, allowing changeover from letter to large envelope stacks with no feeder guide adjustments. IN-700 can also feed different envelope sizes in the same stack, eliminating the tedious task of sorting letter -size and large envelopes into separate stacks prior to processing. Adhesive postage tape for the Connect+ 2000 requires a cumbersome pinch and peel process for the operator. Loading a new tape roll is a multi -step process. IN-700 strip tapes work just like you'd expect - they're simple to load with a single backing that's easy to peel. Operational Costs Printing the next -generation I6I-Lite meter stamp, IN-700's ink cartridge yield more than triples that of the Connect+ "Standard" cartridge and tops the "Large" cartridge by 8,000 imprints. The IN-700 offers lower postage ink costs and less cartridge waste. The system will even send you an email when you're running low on ink. In addition to the ink cartridges, each Connect+ 2000 has at least 2 print heads that require periodic replacement. The IN-700 ink cartridge has the print heads built in, and it's the only ink consumable item you'll ever have to replace. IF you simply want to print postage with your meter, the Connect+ 2000 may not be the best choice. You'll pay for black or color ink cartridges that are pgt utilized For postage printing regardless of how you use the machine. That's because the Connect+ 2000 purges ink from all cartridges during Frequent system -controlled print head cleaning. As a result, black and color cartridges can run out of ink in just a few months without ever being used - and when any cartridge expires, metering mail is disabled. Specifications Neopost IN-700 Pitney Bowes Connect+ 2000 1� Uniform Mail 130 letters/min. Processing Speed (paid upgrades to 160 or 180 available) 75 letters/min. Mixed Mail 70 letters/min. Processing Speed (paid upgrades to 95 or 115 available) Up to 26,000 imprints Ink Cartridge Yield Up to 8,000 (standard) or 18,000 (large) imprints 1 # of Ink Cartridges 2 (black graphics model) or 6 (color graphics model) N/A # of Separate 2 (black graphics model) or Print Heads 4 (color graphics model) Connect+ Hidden Ink Costs Pitney $owes' Connect+ color mail machines use six ink cartridges that require four separate print heads- The price tag for a 1 complete set of ink cartridges and print treads is a whopping $1,200.00. Plus, C+ customers will need to buy and stock another set of backup cartridges to ensure their outbound mail never gets delayed (see #4 below). 1 1 Red Printhead 1 1 1 1 1 1 1 1 1 1 1 $113-99 I 1 1 1 1 ! 1 1 Florescent Red i Ink Cartridge j 1 1 ! o ! 1 1 i VW99 r---- -----1 Black Printhead ! 1 f 1 1 l f 1 1 .99 1 1 ! 1 1 1 1 'Spot' Black i j Ink Cartridge � 1 ! 1 1 1 1 1 1 ! r � r $187,99 1 1 1 P8 C+ customers have to pay for they don't even use? only the postal indicia using the red cartridge. Even so, the other five cartridges must still be installed - and they often run out of ink in just a few months due to ink -purging maintenance. --------------------1 1 Cyan/Magenta 1 Printhead ! 1 1 1 - 1 ! f i Cyan Ink It i Cartridge � .0,0000po— 1 ! 1 f 1 . 1 } 1 1 f i $66.99 i L— — — - - - - R 1 i Magenta Ink i Cartridge i $66,99 1_--- ---- 4— 1 CONNECT+ INK CARTRIDGE BAY -------------------- 1 Yellow/Black 1 Printhead 1 � ! 1 1 --------------------- 1 i Yellow Ink 11 Black Ink 11 Cartridge Cartridge 1 1 1 19W9 $6&99 1 1 1 — ---- I L_ — — — — — 1 .fr 3 Connect+ machines drain ink from all cartridges even if the system is idle. The ink equivalent of fifty postage imprints is purged through automated print head cleaning. The wasted ink is deposited in a padded tray that, once full, costs $31.99 to replace. 4 When any cartridge expires, all printing is immediately disabled. If the user doesn't have a replacement cartridge, they won't be metering any mail until they get one. (Connect+ Operator Guide, page 192)- isMost Connect+ users don't discover their actual operating costs until after the Connect + system has been installed and they're stuck in a multi -year lease (see comments @ forums,pb.com)- Proprietary Information. Copyright 2015 Neopost USA- Ali Rights Reserved 4W r Mail Processing Solution City of Palm Desert Michelle Wong Senior Account Executive 760.218.0495 cell m.wong@neopost.com Neopost Southwest District Issued 4/7/201 Statement of Confidentiality This proposal and supporting materials contain confidential and proprietary business information of Neopost USA. These materials may be printed or photocopied for use in evaluating the proposed project, but are not to be shared with other parties. Neopost solutions enable companies to expertly send and receive digital documents, physical mail and packages, allowing them to connect better with their customers. Founded in 1924, Neopost has grown to become a global leader in mailing solutions, and a major player in digital communications and shipping solutions. Neopost provides a wide range of hardware, software and services tailored to organizations of all sizes. We believe that people are the key to business success. Our decentralized operational philosophy fosters local customer relationships based on accessibility, responsiveness and trust. A Worldwide Network Solutions Direct distributed in Over - presence in over $1.2B 31 90 in sales ." countries countries North America 39 % Over of sales Zoo sv0,o0o U.S. locations customers 61200 employees 500 R&D engineers Global Footprint With a Strong Local Presence T 6, Data Cleansing & Enrichment Maintain high -quality, contact databases with accurate addresses that improve Mali and package deliverabiliry, Document Printing Print high -resolution color documents at the lowest costs per page. Extend your in-house printing capabilities, Mail Metering Move your mail out the door with ease, allocate the costs, and report on your spending patterns. Business Process Solutions Document Automation Create engaging, ready -for - automation documents that cost less to process and send. wpm Document F nserting Automate mail assembly with high-performance, ultra -secure document handling equipment. Parcel Shipping Ship packages through any carrier using comparison shopping software that eliminates overspending. Delivery Channel Management Distribute documents via physical mail or digitat delivery based on your customers' preferred format. Mail Addressing Print stand -out envelopes or postcards that increase response rates. Simplify direct mail preparation. Mail & Package Receiving Open a whale day's mail in minutes. Track the arrival, movement and delivery of packages at your facility. Learn more at www.neopostusa.com IN-700 Mailing System Product Overview f Internet -connected iMeterr' postage meter provides access to a suite of powerful Apps Modern, ergonomic design with a color touchscreen and multiple weighing platform options M Mixed -size automatic feeder handles different mail shapes with no sorting required • In -line Dynamic Scale accelerates processing by weighing and measuring mail on the fly Exclusive Postal Rate Wizard offers guided selection across 140 USPSOR) rates and services Automatic secure sealing and a built in postage label dispenser enhance productivity Quiet inkjet printing w/low ink email alerts Up to 140 letters/min. (75 in dynamic triode) Envelope thickness up to 5/8" Auto -downloaded postal rate updates 5 Rate shortcut keys & 9 job/imprint memories 8 Standard and 2 customizable ad slogans 10 customizable text messages Automatic mail class inscriptions Date received printing for incoming mail 70-department account tracking (expandable) PIN -protected access for up to 50 operators MyNeopost account w/postage usage reporting NeoFunds'K bill -for -postage service Mailing System with tray (Length x Depth x Height) 67" x 18" x 13" Weight 78 lbs. Environmental Commitment The IN-700 carries Neopost's Eco Label. The Eco label signifies the implementation of green strategies surrounding raw materials, packaging and energy consumption to reduce or eliminate impact on the environment. ro CIO -lip 67 The IN-700 is compliant with environmental regulations and Energy Star. NeoShip Web -based LISPS", Shipping Product Overview Simple online shipping solution for IN- and IS- Series mailing systems Generates IM`)pb-compliant USPSIP% shipping labels in four easy steps Ali -in -one shipping label eliminates the need for meter tapes or address labels Qualifies shipments for reduced Commercial BaseT14 pricing & free USPS1r, insurance coverage Maintains a real-time, searchable database of all your shipments, making tracking simple • Includes free address correction services to ensure deliverability Additional, Features Supports USPS® First Class Package Service - Priority Mail', Priority Mail Express", Library Mail, and Media Mail'" USPSI& Extra Services including: USPSIK Tracking, Signature Confirmation' Insurance, Adult Signature Required, Return Receipt, and Restricted Delivery Private & public address books Rich reporting capabilities Parcel pickup scheduling Requirement A NeoFundsl& or TotalFunds® account An active MyNeopost account Windows,& PC with internet connection LAN/high-speed internet connection to postage meter Windows -compatible inkjet/laser/thermal printer Infuse " 'M 0 Product Overview Infuse Desktop Address Management Software Easily verify, correct and standardize addresses to ensure mail and package deliverability Identify clients and prospects who have moved and download their new addresses Combine multiple lists and eliminate redundant records in your database Append additional information to your contact lists to improve customer communications Reduce postage and material costs while increasing response rates and customer satisfaction Innovative interface with graphical wizard -based processes and reusable templates CASS Certifiedr' address processing Move Update services via NCDAWk® Works with a wide variety of file formats without hassle Data services include: - De -Dupe ■ Merge/Purge - Apartment Append - Suppression Suite (Deceased, Incarcerated, ❑o No Mail) ■ Extended Change of Address v.w...ti.. sw..n I�J Waste • Postage, paper and envelopes Duplicate printing and handling • Remailing or reshipping Penalties • UPS®IFedE0� address correction fees • USPSO fines on discounted mailings Decelerated Cash Flow Late bill payments and unpaid invoices • Missed marketing opportunities Damaged Customer Relationships • Late fee disputes • Orders not received 5 $3 $60 $720 15 $3 $180 $2,160 25 $3 $300 $3,600 Root Causes of Poor Address Quality Inaccurate addresses enter databases in a variety of ways including data entry mistakes by employees, errors made by customers when filling physical or online forms and data imports of unverified records from external sources. About 17% of Americans (40+ million) change their residence and nearly 20% of all businesses change locations every year. As a result, address databases deteriorate at an estimated rate of 15% annually. The Solution Take control of your data with 5aton Infuse Desktop, Neopost's remarkably simple address management software. Easily verify, correct and standardize addresses to ensure mail and package deliverability. Quickly identify clients and prospects who have moved and download their new addresses. Find and eliminate redundant records in your databases. U% ConnectSuite e-Certify Electronic Certified Mail" Solution 6 .■ Product Overview Simple web -based solution that streamlines the preparation & management of Certified Mail'" Prepare one mail piece at a time or upload multiple addresses for batch processing No forms to handwrite and no labels or Return Receipt" cards to apply to envelopes Centralized tracking of all items you've mailed - no need to enter long tracking numbers Saves $1.40 per letter by providing a digital signature in place of the green card Mailing activity and signature information automatically stored and organized for you in the cloud Additional Features snuatr.+w� Canrlc-cl SUIlC: No local software to install Easy -to -use interface and process flow Compatible with most web browsers rrrr.4+d.► Supports multiple users Custom profiles for users and document settings Generates USPSI& form 3877 (Firm Mailing Book) if round dating/proof of mailing is desired Delivery status reports by date range Reports are downloadable for import into other systems Stores all data for the lifetime of your subscription .a& Stop handwriting USRS1 Certified Mail" forms. Streamline your preparation process and start saving today with ConnectSuite e-Certify from Neopost. Here's how it works: Enter recipient's address or import a text file containing multiple addresses for batch processing. Addresses are validated for accuracy and proper formatting. Mail piece data uploaded to USPSN). Print one or multiple banner pages Banner pages contain the return address, recipient address and a Certified Mail" barcode. Banner pages are placed on top of the document sets intended for the same recipient. Banner pages and corresponding document sets are folded together and inserted into a double window Certified Mail" envelope. Meter the Certified Mail'" envelope(s) for $1.40 less than the "green card" paper -based method (reflects reduced amount for electronic Return Receipt- service). Delivery status of all sent items is automatically tracked and displayed in a user-friendly online portal. Download electronic PDF signature files as needed (replaces "green card"). All activity and signature files are stored for the lifetime of your subscription. Run simple or advanced searches and pant or export reports. *Aw ql RlnYS. w �.A i� �r r� •w rrr �rr.�. SOLUTION SUMMARY City of Palm Desert IN 700 Mailing System with 301b interfaced scale, Dynamic Weighing Shape Based Platform, 100 Departments for Postage Tracking with Online Access to reports from desktop, Connect Suite Web Based Electronic Certified w/Return Receipt WSCA All Inclusive Lease Price: 36 months at $420.57 plus tax* 60 months at $343.18 plus tax* WSCA Purchase Price: IN700 Mailing System $6,920.00 Meter Rental: $62.00 monthly amount Equipment Maintenance: $1,272.00 annual amount First Year is Free Connect Suite E Certify with E Return Receipt $1520.00 Subscription Amount $240.00 annual fee J Optional: Add Neoship Software and label tape dispenser for commercial base pricing 8-13% savings off retail rates for prionty,express, parcels Optional:Add INFUSE Address Cleansing Software Subscription o Add Neoship Software with Label Dispenser: 36 months at $437.10 Pius tax* 60 months at $355.77 plus tax* WSCA Purchase Price: $358.00 Hardware 5.00 monthly subscription Fee Add INFUSE Address Cleansing software 25k Credits Annually 36 month term for 67.00 additional monthly 60 month term for 73.14 additional monthly plus tax* Purchase $750.00 Annual Subscription plus tax* All inclusive lease includes: Equipment Maintenance (parts and labor) Guaranteed 5 hours to be on site backed up by top notch local live admin and support team plus me a local rep who lives in Palm Desert w/8yrs of experience, Online Postage Rate and software updates, Professional installation and training Klassen, Rachelle From: Wong, Michelle <M.Wong@neopost.com> Sent: Wednesday, July 06, 2016 9:29 AM To: Klassen, Rachelle Subject: Neopost Lease Agreement Attachments: CityofPalmDesertLeaseAgreementNJPA.docx; customer guarantee.pdf; City of Palm Desert PO Instructions - Lease.doc Good morning Rachelle, Hope you had a wonderful 41h of July weekend. I have attached the lease agreement for your review along with the PO instructions. I will be giving you a call today to discuss why I switched you to NJPA instead. It is the same price as the WSCA (nothing changes same sales tax etc) and you are an existing member. The reason I switched you is because all of the products under NJPA are government pricing. Under the WSCA the E CERT software was open market. Also, we can add your terms with more flexibility with the Lemon Law you mentioned. I have attached our service guarantee on here for your review as well. Let me know if you need anything further. I am happy to help. I apologize for getting this to you with such delay, I just wanted to make sure we deliver everything that you need. Sincerely, Michelle Wong Senior Account Executive Neopost Southwest District Phone: (909) 466-1655 Work Cell: (760) 218-0495 Fax: (909) 466-1656 3130-D Inland Empire Blvd Ontario, CA. 91764 m.wonQC5)ne000st.com www.neor)ostsw.co_m >--J N EOPOST Send. Receive. Connect. MailFinance A Neopost USA Company Government Product Lease Agreement with Meter Rental Agreement Office Number Office Name: 9920 1 Neopost Southwest District Section (B) Billing Information Company Name (Full legal name)' City of Palm Desert DBA: Billing Address: 73-510 Fred Waring Drive Billing City: Palm Desert Billing Contact Name. Rachelle Klassen Billing Contact Title - City Clerk Billing Contact email Address: rklassen@cityofpalmdesert.org Section (A) Office Information Office Phone # Date Submitted 909 466 1655 7/6/2016 State. ZIP Code + 4. CA 92260 2578 Contact Phone Number. 760 346 061 1 Contact Fax Number. 760 340 0574 Purchase Order Number: Section (C) Installation Information (if different than Billing Information) Company Name (Full legal name)' Installation Address (No PO Boxes or General Delivery)' Installation City: State. ZIP Code + 4. Installation Contact Name: Phone Number Installation Contact Title Fax Number Installation Contact email Address Main Post Office Name / Mail Drop off I Post Office 5-Digit ZIP Code: Section (D) Products Quantity Model /Part Number Description (Include Serial Number, if applicable) Cl See additional listed products on attached continuation schedule. 1 NJPA Contract Number 043012-NPI Member ID No 32787 2 IN700 mailing system w/301b interfaced scale, dynamic platform, 3 Connect Suite E Certify E Return Receipt 1000 Subscription 4 Remote Label Printer Section (E) Lease Payment Information & Lease Payment Schedule # of Monthly Payment Tax Status: Period Months (plus applicable taxes) ® Taxable I 60 $385.07 ❑ Tax -Exempt First (Certificate attached) Next Billing Frequency: ❑ Monthly Next ® Quarterly ❑ Annually Next Billing Method: I Current Lease Number ® Standard ❑ Arrears ❑ ACH (Customer to submit authorization form) Section (F) Postage Meter & Postage Funding Information Meter Model: I Machine Model: Postage Funding Method: Postage Funding Account: ❑ Bill Me ® Prepay By Check ® New ❑ ACH Debit (Submit Customer authorization form) ❑ Existing Account ❑ OMAS ❑ CPU (include authorization form) TMS Account # Agency Code Sub Agency Code POC Account # Service Products (Check all that apply) ® Online Postal Rates iMeterTm App (SP10) ® Online Postal Expense Manager iMeterTm App (SP20/NeoStats) ❑ Online E-Services iMeterTm App (SP30) ❑ Online E-Services with Electronic Return Receipt iMeter'' App (SP35) ❑ NeoShip BASIC — Requires NeoFunds/TotalFunds (EP70) ❑ NeoShip PLUS — Requires NeoFunds/TotalFunds (EP70PLUS) ❑ NeoShip ADVANCED - Requires NeoFunds/TotalFunds (NEOSHIPADV)) ❑ NeoShip Install & User Guide (EP70GUIDES) ❑ RunMyMail ® Maintenance ® Installation & Training ❑ Software Support (Maintenance) Covered Product: Section (G) Approval Existing customers who currently fund the Postage account by ACH Debit will not be converted to NeoFunds/TotalFunds unless initialed here This document consists of a Government Product Lease ("Lease") with MailFinance Inc.; and a Postage Meter Rental Agreement ("Rental Agreement"), Maintenance Agreement, and an Online Services and Software Agreement with Neopost USA Inc.; and a NeoFuncis/TotalFunds Account Agreement with Mailroom Finance, Inc. Your signature constitutes an offer to enter into the Lease and, if applicable, the other agreements, and acknowledges that you have received, read, and agree to all applicable terms and conditions (version DireciGovLease-VO4-16), which are also available at htto:l/ne000stusa.com/terms/DitecIGovLease-VO4-16 odf, and that you are authorized to sign the agreements on behalf of the customer identified above. The applicable agreements will become binding on the companies identified above only after an authorized individual accepts your offer by signing below, or when the equipment is shipped to you. Authorized Signature Accepted by Neopost USA and its Affiliates Print Name and Title Date Accepted Date Accepted MailFinance Inc. • 478 Wheelers Farms Road • Milford, CT 06461 • www.neopostusa-.com MailFinance Lease L51186e-04/16 Terms Revision R-04-16 MaiIFinance Government Product Lease Agreement A Neopost USA Company Section (D) Product Continuation Schedule (Continued) Quantity Model / Part Number Description (Include Serial Number, it applicable) 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 Product Lease Agreement Continuation Schedule MaiIFinance Inc. • 478 Wheelers Farms Road • Milford, CT 06461 • www.ne000stusa.com For use with MaiIFinance Lease Forms • Order Continuation Schedule • Terms Revision 04-16 w Neopost SouthWest District 475 Goddard Suite 150 N E O' ' Irvine. CA 92618 x Tel. 949,790.6300 Send. Receive. Connect. Fax: 949.790.6301 www ne000stsw corn CUSTOMER GUARANTEE Equipment Reliability For all new products covered by a Neopost ;Maintenance agreement, we unconditionally guarantee that our products will perform to specification. If for any- reason our products do not perform up to our published specifications and we cannot repair it, we will replace it with a comparable product. We will honor this commitment for the full term of your Neopost lease providing credit is in good standings. Rate Change Protection Guarantee Under our Rate Change Protection Program, Neopost guarantees that you will never again have to pay for an unscheduled rate change during the commercial life of your equipment. The Renewable Rate Change Protection guarantee covers unlimited rate changes for an annual or monthly fee. If subscribed as part of a lease agreement, Rate Change Protection is guaranteed for the term of your Neopost lease. In addition, should the LISPS mandate a rate change within 90 days of your new equipment acquisition, you ,still automatically receive the rate update, free of charge. Equipment Replacement Option Neopost guarantees that when leasing a new product through Aiaffmi ance, upgrade options will always be available. The flexibility offered through leasing allows you to take advantage of all the technological changes that take place. Neopost works hard to make you a customer and promises to work even harder to keep you as a satisfied customer. If for any reason your local office is unable to handle your needs or concerns, please feel free to contact me at (949)790-6300. Your satisfaction is the key to our success. J Jonathan Garcia General Manager Purchase Order Instructions All Government purchase orders must be made payable to the Neopost leasing company MailFinance Inc directly. Please send all purchase orders directly to Michelle Wong at 909-466-1656 (fax) or m.wonR@neopost.com Please make PO to: MailFinance Inc 478 Wheelers Farm Rd Milford CT 06461 In Body of Purchase Order Please Enter: IN 700 Mailing System with Mixed Size Feeder and Catch Tray Dynamic Weighing Platform IN 30 pound weighing platform w/ Differential Weighing & Scale Stand E-Certify Setup, Training with 1K annual piece license Remote Label Printer Meter Rental with Postal Rate Updates (SP10) and Postal Expense Manager (SP20) On -Site Maintenance On -Site Installation and Training 60 Month Lease: $385.07 per month plus tax — Billed Quarterly NJPA Contract Number 043012-NPI Member ID No 32787 If you have any questions please don't hesitate to contact me at 909-466- 1655 Best Regards, Michelle Major Account Manager