DEPARTMENT: Employment and Economic Assistance
FILE TYPE: Consent Action
TITLE
title
Authorization To Execute Contract Amendment With Bywater Business Solutions, LLC
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RESOLUTION
body
WHEREAS, the Employment and Economic Assistance (E&EA) department has contracted with Bywater Business Solutions, LLC for print to mail services since July 2024 as a pilot project to determine efficiency and cost savings from external mail services; and
WHEREAS, learnings from this pilot show increased efficiency and benefits from redeploying mail staff to other work; and
WHEREAS, the contract has been funded through one-time funds and those funds are being exhausted; and
WHEREAS, the E&EA department is exploring state cooperative contracts and request for proposal options to ensure contracting with the lowest cost vendor that provides the most flexible mailing services; and
WHEREAS, potential new contracts may result in technology configuration work that require the services begin in 2027; and
WHEREAS, the current contract has a not to exceed amount of $450,000 with a contract expiration date of December 31, 2026; and
WHEREAS, the E&EA department has identified funds in its 2026 budget that can cover the costs for the remainder of 2026.
NOW, THEREFORE, BE IT RESOLVED, that the Dakota County Board of Commissioners hereby authorizes the County Manager, or delegate, to amend the contract with Bywater Business Solutions, LLC to add $100,000 for a new not to exceed amount of $550,000, subject to approval by the County Attorney’s Office as to form.
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BACKGROUND
The Employment and Economic Assistance (E&EA) Department sends about 3,000 pieces of mail to clients each month. Prior to 2024, this function was performed by staff using county-owned mail equipment. When the equipment’s functional life span ended in 2024, E&EA contracted with a vendor for print to mail services (Attachment: Contract Summary Sheet - Bywater). The funds used for the pilot have been exhausted and existing department funding is available for the remainder of 2026.
Ongoing, these funds will be in the operating budget for 2027 and beyond. These costs are partially reimbursed through Federal Financial Participation revenue.
RECOMMENDATION
recommendation
Staff recommends increasing the contract amount by up to $100,000 for a new not to exceed amount of $550,000 for calendar year 2026 using existing department funds.
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FINANCIAL AND STAFFING IMPACTS
This contract change will use existing funds from the E&EA department budget. Funds must be spent on Federal Financial Participation (FFP) eligible expenses such as this for E&EA to meet its revenue budget. The Bywater print to mail services and postage contract will be funded through 2026 using the remaining $61,876 of one-time funds (not shown below) and up to a $100,000 of funds in the existing E&EA budget.
The table below shows the available funds as of the July forecast, excluding Budget Incentive Program (BIP) carryforwards and Medical Assistance Unwinding allocation.
|
Budget Descriptor |
2026 Amended Budget |
July Forecast |
Available Funds |
|
53 - Dept/County Support |
$3,261,754 |
$3,083,819 |
$177,935 |
|
55 - Office Support |
$377,843 |
$465,099 |
($87,256) |
|
54 - Travel And Training |
$ 67,752 |
$ 50,655 |
$17,097 |
|
Forecasted Available Funds |
n/a |
n/a |
$107,775 |
PREVIOUS BOARD ACTION
None.
ATTACHMENTS
Attachment: Contract Summary Sheet - Bywater
CONTACT
Department Director: Dana DeMaster
Author: Dana DeMaster