UPS Contract Update
Express Courier & Ground Delivery Logistics
As we transition into the new fiscal year, we are communicating signification changes to the university’s United Parcel Service, Inc. (UPS) contract. The university previously used an E&I Cooperative contract that was adopted for campuswide use. This contact was set to renew June 13, 2022, but the option to renew was ultimately terminated by UPS. Illinois did attempt to solicit and award our own contract, but the vendor community chose not to compete directly in the Illinois Higher Education space. Left with one alternative, IPHEC awarded 2207GAL, a Sourcewell contract, adopted for campuswide use.
Transitioning to the new contract has not been an easy process. Most notably, contract pricing is higher, for some shipments, than we experience in our last contract. Accessorial discounts are slightly different, with the only discount able being for pick-ups. These issues are shared with all public institutions. It has been communicated to us that all shipping and delivery related service companies are not currently willing to compete for new contracts. They have streamlined their agreements and in UPS’s case, reduced their staffing for assisting government related and higher education agencies. UPS has transitioned to a single rate chart nationwide. Many users initially experienced various account issues. We have had steady communication with UPS and have been assured these issues have been resolved. As new issues arrive, we will continue to escalate them for resolution.
If you have any questions about rates or services, please use the following for resources:
If you have any questions regarding this change, please contact the Purchasing and Contracts Management Office.