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June 26, 2009

Bolivar, Savannah and St. Charles License Office Contracts Awarded Through Competitive Process

Management contracts for three more local motor vehicle/license offices were awarded today by the Missouri Department of Revenue.  The granting of the offices came as a result of a comprehensive bidding process that has been championed by Gov. Jay Nixon.

The three offices awarded today are in Bolivar, Savannah and St. Charles.  This brings to 28 the total number of offices granted under the new system.

T & J Stark Enterprises LLC has been awarded the contract to operate the Bolivar License Office.  The company is affiliated with the current office agent, Karen Jean Stark, who has been the agent since 2005.  The office will move to a new location at 450 S. Main Ave. (Southgate Center Mall).

The license office in Savannah has been awarded to Cathy Bowman, who has been the office agent since 2008.  The office will remain at its current location of 411 Court St.

Kielty Enterprises Inc. has been awarded the right to operate the St. Charles License Office.  The office will continue to be at 2499 Raymond Dr.

Details about any changes in office operations, if any, will be announced by the agents.

The three offices awarded today are the latest to have their management chosen using a bidding process that was implemented when Gov. Nixon took office on Jan. 12.  The process calls for people or groups to submit detailed bids to obtain the management contracts to operate the offices.  The St. Charles office received four bids, and Bolivar and Savannah each received one bid.

Karen King Mitchell, director of the Missouri Department of Revenue, said she is pleased with how the competition for license offices has progressed.

“The process to compete for the right to operate these offices is transparent and open to anyone,” Mitchell said.  “It’s been gratifying to see the quality of the bids that have resulted from this new process because the ultimate winners will be the citizens of the state of Missouri.”

Some winning bidders have chosen to return part of their estimated office revenues to the state.  The Bolivar office will return percent one-half of 1 percent ($800) of its first-year revenues, and St. Charles will return 3.5 percent ($19,336).  The Savannah office bid did not include any return to the state.  The cumulative amount of estimated funds that will be returned to the state in the first contract year from the 28 license offices that have been awarded so far is $150,780.

“The willingness of agents to return some of their profits is a great cost-efficiency measure for the state, and the amount returned to the state will undoubtedly grow as more bids are awarded,” Mitchell said.

For a list of winning bidders for license offices, please go to http://oa.mo.gov/purch/awardedfeeoffices.pdf.

All 183 local license offices provide services that are overseen by the Missouri 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, applying for titles for motor vehicles, and the issuance and renewal of registration for motor vehicles, boats and outboard motors.

Additional information on the bids will be posted by the Missouri Office of Administration within the next few days.