HomeMy WebLinkAbout2014-07-08 - AGENDA REPORTS - CNTRCT MULTI-FNCTN COPIERS (4)Agenda Item: 6
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR City Manager Approval: `4�A�k
Item to be presented by: Joseph Oerum
DATE: July 8, 2014
SUBJECT: CONTRACT FOR CITY-WIDE MULTI -FUNCTION COPIERS
DEPARTMENT: City Manager's Office
RECOMMENDED ACTION
City Council:
Award a contract for City-wide multi -function copiers to American Business Machines, a
local Santa Clarita business, for a five year contract in the amount of $472,200 plus a 10%
contingency of $47,220 for unforeseen overages for a total not to exceed $519,420.
2. Authorize the City Manager or designee to execute all documents, subject to City Attorney
final document approval, contingent upon the appropriation of funds by the City Council in
the annual budget for such fiscal year.
BACKGROUND
The City currently owns and utilizes copiers from various manufacturers, throughout all City
facilities. Based on the input from departments and analysis of copier and printer usage reports,
Purchasing staff developed a list of staffs needs and replacement equipment. Purchasing then
identified a solution that will realize total savings between $125,000 - $250,000 over the next
five years.
Staff recommends City Council award American Business Machines (ABM) a contract for the
attached Total Solution Lease Agreement with Canon Financial Services, Inc. in accordance with
the California State University (CSU) Piggyback Contract MEA -70818, a copy of which is filed
in the Purchasing office.
As proposed, the City will enter into a five year lease agreement which would encompass the
acquisition of 37 multi -function copiers, ongoing maintenance and servicing as required, and
toner consumables. As a component of this agreement, the City will also purchase all toner
cartridges for its existing standard color and black and white printers, at a significantly
discounted cost as compared to the current competitively awarded costs for these consumables.
On July 11, 1995, the City Council approved the use of "piggyback" purchasing. This process
permits the City to place orders against a competitively awarded, pre-existing public agency
contract.
An Agreement of Understanding (Agreement) exists between The Regents of the University of
California and The Trustees of the California State University (CSU), establishing the California
Higher Education Consortium (CHEC). Through this collaborative relationship, the CHEC seeks
to combine procurement and contracting activities and efforts to obtain best value goods and
services while reducing total acquisition costs.
Accordingly, the Agreement resulting from the solicitation recognized the participation of 23
campuses of the Trustees of the California State University system. CSU issued a bid for copier
services. CSU Piggyback Contract MEA -70818 was competitively solicited in January of 2005
and awarded shortly thereafter. An extension of the contact was given to Canon (American
Business Machines) in 2012.
Staff believes this contract provides the most competitive pricing and highest quality equipment
to the City, thereby offering the best value. In order to secure this pricing for a five year contract,
the City will need to finalize a Purchase Order before the November 2014 expiration of the
extension deadline.
ALTERNATIVE ACTIONS
Other actions as determined by the City Council.
FISCAL IMPACT
Adequate funds for this project were appropriated during the Fiscal Year 2014-2015 budget
process in Accounts 12002-5111.005 and 12200-5111.005.
ATTACHMENTS
Total Solution Lease Agreement
NI
City of Santa Clarita Schedule A
Authorized Customer Signature
Title
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Authorized Dealer Signature
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