| | | | | | | | Agenda Item - 5.a.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Scott C. Stiles
| From: | Anand Rao
| | Dept.: | City Manager
| Dept.: | Information Technology
| | Subject: | Award a 60-month lease and maintenance contract to Ricoh, USA for 27 multi-function copiers. (Cost: $669,292.75) (Action Item) | Date: | 1/23/2023 |
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| | | | | | | | OBJECTIVE
For the City Council to award a 60-month lease and maintenance contract to Ricoh, USA for 27 multi-function copiers. |
| | | | | | | | BACKGROUND
The City is currently operating under a 60-month lease and maintenance contract for multi-function copiers that will terminate with a 30-day written notice. The contract expired in June of 2022, but due to the City Hall remodel and closure, the contract was extended on a quarterly basis until construction was completed. Based on age and usage, staff researched and determined that current technology could provide increased functionality with reduced downtime. On September 13, 2022 a Request for Proposal “RFP No. S-1290-A” for 27 multi-function copiers, including 3 production machines was released. Three bids were received that met the RFP specifications. |
| | | | | | | | DISCUSSION
A source selection committee (SSC) of 6 members represented by different departments of the City evaluated the RFP responses based on criteria of Qualifications of the Proposer and Completeness of Responses (35%), Proposers Key Plan and Knowledge and Technical Competence (45%), and Cost of Services (20%). The SSC then performed site visits and viewed product demonstrations by the three vendors, which are listed below. The vendors were then invited to deliver a trial walk-up copy machine to City Hall for City employees to test the functionality, speed, and intuitiveness. After testing all machines, employees completed a survey ranking their choices which contributed to the vendors final score. Upon completion of the site visits and the City copy machine trial week, the SSC scored the vendors and determined that Ricoh, USA offered the proposal that best met all of the City’s requirements and satisfaction.
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RFP S-1290A
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Ricoh, USA
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MRC, Xerox Corp.
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Pacific Office Automation
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TOTALS
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567
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554
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520
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In addition to product quality and pricing, customer service and ability of vendors to deliver their proposals was considered. Referrals for vendors were contacted, and the vendor’s market presence and reputation was researched.
Ricoh, USA is an industry leader in copier innovation and has a reputation for working well with local government agencies in Southern California and currently has an excellent reputation with the City. All machines will be color capable, offer faster printing speeds, will be able to air print from smartphones or tablets, have OCR scanning capabilities, duplex color scanning and connect with our City’s network. Ricoh has proposed a 60-month lease and maintenance contract including all supplies and parts for $133,858.55 per year. Their proposal includes delivery, installation, and training. As part of the installation process, Ricoh will also uninstall and remove the existing fleet of copiers. |
| | | | | | | | FINANCIAL IMPACT
Ricoh’s proposed annual cost is $133,858.55. Total cost of the 60-month contract will be $669,292.75. Ricoh is prepared to offer the City a rebate totaling $13,000.00 bringing the 60-month contract to 656,292.75. The funds for this contract are normal operating expenses submitted as part of the annual Information Technology budget. |
| | | | | | | | RECOMMENDATION
It is recommended that the City Council:
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Award a 60-month lease and maintenance contract to Ricoh, USA for 27 multi-function copiers in the amount of $669,292.75 with a $13,000.00 rebate; and
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Authorize the City Manager to sign the lease and maintenance contract on behalf of the City, and make minor modifications as appropriate thereto.
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