April 9, 2010
Springfield Not-for-Profit Retains Management of Nevada License Office
JEFFERSON CITY - The current agent for the Nevada License Office has been awarded the contract to continue to manage the operations of the office. The winning proposal was chosen as part of a reformed, competitive bidding process for all of Missouri's local license offices.
Alternative Opportunities Inc. of Springfield will remain the agent for the Nevada office, which is located at 429 E. Walnut St. It won the initial bid for the office last summer and has been operating the office since Sept. 1. Alternative Opportunities is a not-for-profit organization that provides assistance in seeking jobs and other comprehensive services for the disabled, families in crisis and others struggling with critical issues.
The winning bid was one of two submitted for the office. The contract with the state is good for one year, and the state has the right to renew the contract for three additional one-year periods. According to figures from Fiscal Year 2009, an estimated 36,832 transactions were conducted at the office during that year, and $125,459 in processing fees were generated.
The Nevada office is one of 10 offices initially awarded in 2009, but the Missouri Department of Revenue requested that the office management contracts be re-bid because of incomplete information provided by the winning bidder during the first round of bidding.
Bidders have the option of returning a portion of an office's revenues to the state. Alternative Opportunities' winning bid included a 5 percent ($6,272) return to the state. More than $1 million is estimated to be returned to the state in the first full year of operations from the 181 license offices that have been awarded so far under the reformed bidding process. There are 183 offices statewide.
Details about changes in office operations, if any, will be announced by the agent.
Although Gov. Jay Nixon authorized the Department of Revenue to implement the new bidding system in January of 2009, it didn't become part of state law until legislation was signed by the Governor last summer. The new law was overwhelmingly approved by both Republican and Democratic members of the Missouri Legislature.
Alana M. Barragán-Scott, director of the Department of Revenue, noted how the process of awarding license offices has changed from the past.
"It used to be that offices were awarded on a patronage basis, and there was little to no consideration of how an office would be run," she said. "Under the new system, the teams that evaluate bids use criteria such as customer service, the office's location and financial efficiencies to select an agent. Local citizens will benefit because potential agents now have an incentive to propose ideas that will improve customer service."
All local license offices provide services that are overseen by the Department of Revenue, but each office is operated by an independent contractor. Transactions that are conducted at these offices include the issuance and renewal of driver licenses, issuance of titles for motor vehicles, and the issuance and renewal of registration for motor vehicles, boats and outboard motors.
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