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HomeMy WebLinkAboutIR 2537 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 2537 ;'PT(gf ~5ffOR1To the Mayor and Members of the City Council September 5, 1975 Subject: BULK MAIL AND ENVELOPE COSTS 1073 Information was requested during the budget hearing concerning the use of bulk mail for water bills. Mr. James Wade of the Fort Worth Postmasters Office was contacted and he stated that "the City could not send a legal bill for goods or services rendered unless it was sent by first class mail." He further stated that the "Final Notice" must be mailed in an envelope. Cost of Envelope Billing In response to the request for a report on the savings that could be made by changing from envelope billing to post card billing, the following in- formation is submitted: 1. It is estimated that to develop a new water bill to fit a post card, submit the card for bids, receive bids, award contract, and receive delivery is from 3 to 4 months. During that period, the Data Pro- cessing Division would modify the existing water billing program. 2. The Council authorized the purchase of envelopes on July 28, 1975 (M&C P-1070) which will be adequate to meet the needs for the next fiscal year. Funds in the proposed budget will finance the following year's supply which would be ordered in July 1976 provided the practice is continued. 3. The annual cost of envelopes to supply the needs of 116,000 accounts for a 12-month period is $10,653. The difference between 1st class postal card bills and the envelope billing is expected to continue to be 2(,%. Using cards the postal savings would be $27,840. The charges made by office services for inserting the bill and the return envelope is estimated at $9,266. The total estimated savings would be $47,759. Equivalent to 3.4(,% per customer per month ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 2537 - Page 2 '0'PoFryTo the Mayor and Members of the City Council September 5, 1975 o �rexPy Subject: BULK MAIL AND ENVELOPE COSTS Oe» Billing Inserts 1. The envelope billing has been used to furnish informative pamphlets to the water customers during the past year by Citran, Traffic Engin- eering, Public Works and the Water Department. In an effort to determine the effectiveness of the inserts and to see if the material inserted was read, the Water Department has enclosed a questionnaire with three questions and a space for comments in 5% of the bills mailed daily since August 22. Customers are being asked to respond by returning it with his water payment. Thus far, 244 rep- lies have been received (September 5th). Two-hundred eighteen cus- tomers have indicated they read most inserts and 226 indicate they are interested in the information furnished by the City. Significantly these customers indicated their desire for additional informative leaflets. Although this is a very early report, it appears that the envelope mailing has provided a new avenue of communication with the citizens of Fort Worth. 2. The return envelope has provided a convenient method for the customer to mail his payment. It has been observed that the daily flow in incoming mail is rather uniform compared to previous years of peak periods about twice each month. 3. When the envelope billing was initiated in 1974 the Water Department received hundreds of notes and letters of thanks for providing return envelopes. esp t ully muted, c c N. Line City Manager RNL:vm ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS