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May 01, 2009

Incumbent License Office Agents in Sikeston & Union Retain Management After Undergoing Bidding Process

The Missouri Department of Revenue, after utilizing a competitive bid process, today awarded the management of two more local motor vehicle license offices.  The two offices awarded today are in Sikeston/Miner and Union.

Terry R. Cole has been awarded the right to run the Sikeston/Miner license office.  He has been the agent since February 2005, and also served as the office agent from 1981 to 1993.  The license office will remain at 1515 E. Malone Ave.

The license office in Union has also been awarded to the incumbent agent, the Union Chamber of Commerce.  The Chamber of Commerce has operated the office since 1973.  The license office will remain at 105 S. Oak St.

Details about any changes in the operating hours of the offices, if any, will be announced by the agents.

The two offices awarded today are the latest to have their management chosen using a new bidding process that was implemented when Gov. Jay Nixon took office on Jan. 12.  The new system calls for people or groups to submit detailed bids to obtain the management contracts to operate the offices.  The Sikeston/Miner office received two bids and there was one bid for the Union office.

Karen King Mitchell, director of the Missouri Department of Revenue, said the process has gone well.

“The teams evaluating these bids were looking for the best business plan for each office,” Mitchell said. “I am proud of how thorough and conscientious the teams were.”

As part of his bid, the Sikeston/Miner office agent agreed to return 7 percent (or about $12,400) of the agent’s transaction fees to the state.  The cumulative amount of estimated annual funds that will be returned to the state from the nine license offices that have been awarded so far under the bidding process is $69,012.

“The willingness of agents to return some of their profits is a great cost-efficiency measure for the state,” 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.