AG 1995 11 06 - Laserfiche WebLink

Home Browse Search

MEMORANDUM DATE: TO: FROM: November 1, 1995 Jim Cook, Director Kevin Ward, Food Stamp Unit Supervisor RE: Food Stamp Coupon Issuance Currently the Cabarrus County Department of Social Services, Food Stamp Unit, dispenses food stamp by way of ATP cards (authorized to participate). The clients must take these cards to the local post office and have the ATP cards cashed. For each transaction the United States Post Office charges $3.16. On July 21, 1995, the Department of Social Services received a notice from the North Carolina Department of Human Resources, Division of Social Services, stating that effective January 1, 1996, the post office will no longer continue to "cash" the food stamp ATP cards. Therefore, an alternative method must be established for the distribution of food stamp benefits. As a result of this decision our agency immediately started to discuss all available options for issuing food stamp coupons. The options include county ATP issuance, county direct mail issuance, or contractor direct mail issuance. After careful consideration of all the available options, we decided to go with the only truly viable option of contractor direct mail issuance. A request for proposals to contract for direct mail issuance of food stamp coupons was formulated, and mailed out to 4 companies. Initially the proposals were to be returned by October 16, 1955 at 2:00 p.m.. Unfortunately only one proposal was returned, therefore, the proposals were re-mailed with a return date of October 30, 1995 at 2:00 p.m.. Three proposals were returned on October 30. Two of the three proposals came in with the same amount per transaction ($0.43) plus all necessary postage. Direct mail issuance will mail actual food stamp coupons directly to the client without any type of exchange being necessary by the client. First class mail will be the standard method of delivery, however, for households with questionable mailing situations registered mail will be used. Registered mail will increase the expense of dispensing food stamp coupons. After researching the two lowest proposals of $0.43 per transaction plus postage, we have decided to recommend the county contract with the company Cost Containment, Inc. (CCI), of 3305-C Durham Drive, Raleigh NC 27603. Our decision is based on CCI's proposal meeting all the necessary insurance agreements, the company's 16 years of experience, and references form other counties including neighboring counties of Rowan, Mecklenburg, and Iredell. All total, 54 counties are currently under contract with CCI.