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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement DCM: David Gaines DATE: May 3, 2022 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager to execute a contract with MTM Recognition Corporation, for Service Awards for the Human Resources Department; providing for the expenditure of funds therefor; and providing an effective date (RFP 7904 – awarded to MTM Recognition Corporation, for three (3) years, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $150,000.00). INFORMATION/BACKGROUND The City of Denton desires to recognize employees who have maintained regular, full time or part time employment status at their milestone anniversaries (five, ten, fifteen, twenty, twenty-five, etc.). Before COVID, an annual Awards Banquet was held to show our appreciation for employees reaching these milestone anniversaries. During the banquet, they were presented with a certificate, pin, letter of appreciation, and a gift booklet that they could select a gift from (the amount allowed to spend was determined by the number of years the employee had been with the City). The City of Denton previously had a contract for the Service Awards package (certificate, pin, and gift booklet), however, that contract expired in 2019. The City desires to truly recognize our employees for their continued service and return the Service Awards program to previous recognition levels. Below is a table outlining the amount allowed based on the number of years an employee has been with the City. Gift Book Value Certificate Pin Presentation Style Special Gift 5 Year $50 Certificate/jacket/letter of appreciation Lapel pin Presentation Folder No 10 Year $100 Certificate/jacket/letter of appreciation Lapel pin Presentation Folder No 15 Year $150 Certificate/jacket/letter of appreciation Lapel pin Presentation Folder No 20 Year $200 Certificate/jacket/letter of appreciation Lapel pin Presentation Folder No 25 Year $250 Certificate/jacket/letter of appreciation Lapel pin Presentation Folder No 30 Year $300* Certificate/jacket/letter of appreciation Lapel pin Presentation Box Yes 35 Year $350* Certificate/jacket/letter of appreciation Lapel pin Presentation Box Yes 40 Year $400* Certificate/jacket/letter of appreciation Lapel pin Presentation Box Yes *Note – the Special Gift is an opportunity for the City to acknowledge the senior award recipients with an additional gift. An example gift would be a paperweight with a small replica certificate inside, a writing pen with logo, or similar. The price range for this gift would be $30.00 - $50.00 each. (The item will be pre-determined with the awarded vendor and presented to the recipient along with the certificate, pin, gift book, and letter of appreciation.) City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Below is a breakdown of previous years' spend, as well as the number of recipients that were recognized. FY17 FY18 FY19 FY20 FY21 Service Award Packet and Gift 29,885.56 22,735.02 23,736.51 - 28,284.16 Number of Employees Recognized 232 203 211 207 223 Please note, that Service Awards were canceled in Fiscal Year 2020 due to COVID budget cuts. This is an item/program that is budgeted for in the Human Resources Department budget. Fiscal Year Year 1 Year 2 Year 3 Year 4 Year 5 Contract Total Service Award Packet and Gift $27,000.00 $27,000.00 $28,350.00 $29,767.50 $32,063.84 $144,181.33 Annual Contingency - $1,350.00 $1,417.50 $1,488.38 $1,562.79 $5,818.67 Yearly Total $27,000.00 $28,350.00 $29,767.50 $31,255.88 $33,626.63 $150,000.00 Request for Proposals was sent to 128 prospective suppliers, including four (4) Denton firms. In addition, specifications were placed on the Procurement and Compliance website for prospective suppliers to download and advertised in the local newspaper. Two (2) proposals were received, references were checked, and proposals were evaluated based upon published criteria including catalog, compliance with specifications, probable performance, and price. Best and Final Offers (BAFO) were requested from the top firm. Based upon this evaluation, MTM Recognition Corporation was ranked the highest and determined to be the best value for the City. NIGP Code Used for Solicitation: 080 - Badges, Awards, Emblems, Name Tags and Plates, Jewelry, etc. Notifications sent for Solicitation sent in IonWave: 128 Number of Suppliers that viewed Solicitation in IonWave: 19 HUB-Historically Underutilized Business Invitations sent out: 14 SBE-Small Business Enterprise Invitations sent out: 62 Responses from Solicitation: 2 RECOMMENDATION Award a contract with MTM Recognition Corporation, for Service Awards for the Human Resources Department, in a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $150,000. PRINCIPAL PLACE OF BUSINESS MTM Recognition Corporation Oklahoma City, OK ESTIMATED SCHEDULE OF PROJECT This is an initial three (3) year contract with options to extend the contract for two (2) additional one (1) year periods, with all terms and conditions remaining the same. FISCAL INFORMATION These products and services will be funded through the using department’s budget on an as-needed basis. The City will only pay for services rendered and is not obligated to pay the full contract amount unless needed. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Pricing Evaluation Exhibit 3: Ordinance and Contract Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Crystal Babcock, 940-349-7766. Legal point of contact: Marcella Lunn at 940-349-8333.