SLED Market Research Recap: Utility Bill Processing Related Services

Published: July 05, 2022

BROWARD, COUNTY OF (FLORIDA)CHICAGO, CITY OF (COOK) (ILLINOIS)FLORIDA STATE DEPARTMENTS (FLORIDA)Information TechnologyProcurementProfessional ServicesPublic Utilities

An insight into procurement trends of the utility bill processing related services market

The State, Local and Education (SLED) public utilities team recently conducted research on utility bill processing services within the procurement market across the SLED government spectrum.

These services encompass a wide range of topics from the printing and mailing of utility bills, to the collection and processing of payment. It is important to note that payment processing can be via an online self-service interface or via the physical mail system. There may also be options for customers to pay in person at government offices.

The majority of these projects are bid out at the city, county, and special district levels, as local governments and municipalities manage most of the utility services.

GovWin data shows that contract awards and values for utility bill processing related services were on the rise in the years before 2020 and dropped in 2021 and 2022. There are several reasons to explain this drop with the most prominent being the COVID-19 pandemic. Many local governments instituted utility bill payment pauses, extensions, or relief programs. These programs and the delay in utility bill processing during the early years of the pandemic likely had some impact on the recent procurement market trends. However, as more people are getting back to work and relief programs continue for some, we’d anticipate seeing a rise in bids in the next few years.

It is important to keep in mind that some governments may opt to extend their existing contracts and/or adjust existing contracts that may have been impacted by the pause or slowdown in processing utility bill payments during 2020-2022.

Below are some examples of pre-RFP utility bill processing related services currently being tracked in GovWin:

UTILITY BILL COLLECTION SERVICES  - Broward County, Florida

UTILITY BILL PRINTING AND MAIL – Broward County, Florida

UTILITY MANAGEMENT SERVICES – Florida Department of Management Services

WEB HOSTING PRINTING AND MAILING UTILITY BILLS AND OTHER DEPARTMENTAL MAILING REQUIREMENTS – Chicago, Illinois