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City of Founds View Staff Report To: From: Item Title/Subject Item No. 02B Type of Business: WK Date: Feb. 5, 2007 City Administrator Review Honorable Mayor and City Council Desaree Crane, Assistant to the City Administrator Review Newsletter Postage Costs At the December 4, 2006, Work Session, delivery options were discussed for the Mounds View Matters Newsletter. Staff was directed at this Work Session to start the process of delivering the newsletter via U.S. Postal Service (USPS). At the start of this process, Staff discovered that the cost of delivering the newsletter by USPS was higher than reported at the December 4, 2006 Work Session. In addition to the higher than expected delivery costs, additional copies of the newsletter may need to be printed in order to accommodate the many apartment complexes and mobile home parks in Mounds View. The new preliminary costs for delivery/mailing of the newsletter via Standard/Bulk Rate by the USPS would cost approximately $1,089.80 per issue ($6,538.80/year). Standard Bulk Rate means that the USPS has within 2 weeks to deliver the newsletter upon receipt. If the City Council wished to deliver the newsletter via First Class Mail (delivery within a week upon receipt), then it the cost would be approximately $4,086.75 per issue ($24,520.50/year). This does not include what the printing company will charge for delivery to the post office and sorting the newsletter in accordance with USPS standards. Due to the present staffing at the City, Staff feels that sorting and delivery of the newsletter by City employees would be a big undertaking and would require hiring of additional employees or volunteers. A future issue with delivery of the newsletter is the proposed rate increase by the USPS. The USPS is currently proposing a rate increase for 2008. Attached is the proposed increase for your reference. Attached is the December 4, 2006 Work Session Staff Report on Newsletter Delivery Options. Staff would like more time in researching delivery and printing options. In addition, Staff is researching into reducing the number of issues to a more seasonal or quarterly timeframe. Staff sent an email to Jonathan Thomas, Mounds View Charter Commission Chair to see if there are any issues with the City Charter and see if this option would be viable under the current City Charter. As soon as Staff receives a response by the Charter Commission, Staff will inform the City Council. The March/April Mounds View Newsletter will be delivered by our current vendor, Independent Delivery Service. Respectfully submitted, Desaree Crane