As many of you may be aware, our Courier Service is about to undergo some changes. The bottom line: Lanter Delivery is not renewing the contract with the Commonwealth and the service provided to KYVL will cease mid-August.
What has happened? The Federal Reserve Banks has changed the business model, for many reasons. “These changes have enabled the Reserve Banks to reduce their national check-processing infrastructure so that, by early 2010, they expect to be processing paper checks at one location nationwide, down from 45 in 2003.” [http://www.federalreserve.gov/paymentsystems/check_about.htm, retrieved June 22, 2010] The federal system was a major part of the Lanter Delivery infrastructure and without it, LDS cannot continue service to KYVL without having to increase fees by more than double. Rather than continue with an unsustainable model, LDS is pulling out of this market.
KYVL has started working with Finance to release a request for bids – our buyer has all the documentation, volume and route information to create the bid. Finance is fully aware of our deadline and the impact on hundreds of organizations in Kentucky should the service have any type of lull.
Lanter has committed through mid-August. We’ve had a couple of reports that we have some drivers who are telling their libraries incorrect information. If you hear of such discussions, please notify us or feel free to clarify for your staff. You may recall in 2007 it was the KYVL Resource Sharing Workgroup who assisted us in creating the RFP and conduct the bid evaluations. As far as we know, we will employ a similar approach this time – the KYVL Resource Sharing Workgroup will assist with statistics, needs analysis, service allocation across the state, etc.
Feel free to contact Enid Wohlstein (enid.wohlstein@ky.gov) with questions. We may be in blackout soon so please be assured that covering this service is of the highest priority for us and we will share information with you and the membership as we are able.