TITLE
Recommendation to authorize City Manager to execute transaction documents, and any additional amendments thereto, with Xerox Corporation, pursuant to the terms and conditions of Master Purchase Agreement No. 28325, wherein Xerox will provide printers, supplies and maintenance services to the Police Department (PD) in an amount not to exceed $550,000 annually for the next five years, including tax, if any, for a total amount not to exceed $2,750,000 for the five-year period from March 1, 2015 through February 28, 2020. (Citywide)
DISCUSSION
On November 19, 2002, the City Council approved Master Purchase Agreement No. 28325 (Agreement) between Xerox Corporation (Xerox) and the City, for the provision of printers, printed documents, print supplies, and print support services. On March 5, 2010, the City Manager executed Transaction Document No. 10 (Amendment) to the Agreement for the lease of Police Department (PD) printers and supplies, printing, and on-site maintenance services in an amount not to exceed $505,000 annually, for the period of March 1, 2010 through February 28, 2015. However, this amount did not include impressions produced in excess of the monthly minimum impressions, and did not include the cost for desktop print services.
Over the past five years, PD has utilized Xerox multi-functional devices to reduce the number of desktop printers, and to increase the number of documents scanned and archived electronically. This has reduced the number and cost for copies printed on desktop printers that utilize costly toners purchased through the City's office supply order contract. Scanning and archiving documents via Xerox multi-functional devices has also improved the organization, searching, sharing, and retrieval of electronic documents by PD staff. However, the printing of a significant number of legal documents is still required for regulatory, legal, and customer service requirements.
Through negotiations with Xerox, the proposed five-year amendment between PD and Xerox reflects a more strategic approach to print and copy services while reducing overall PD costs. This is achieved by rebalancing monthly minimum impressions to reduce premium charges, replacing less efficient machines, and consolidating desktop print management services to reduce overall costs for printer maintenance and supplies through the office supply contract. Amending the agreement for another five years also ensures that the significant investment in the PD electronic document management system built between Xerox machines and Laserfiche is maintained.
The recommendation will allow the City Manager to execute transaction documents under the Master Purchase Agreement No. 28325 for a total amount not to exceed $2,750,000 for the five year period from March 1, 2015 through February 28, 2020.
This matter was reviewed by Deputy City Attorney Kendra Carney on March 2, 2015 and by Budget Management Officer Victoria Bell on January 30, 2015.
TIMING CONSIDERATIONS
The current agreement expires February 28, 2015. City Council action to authorize this agreement is requested by March 17, 2015 to ensure that print services are not negatively impacted.
FISCAL IMPACT
The cost of the proposed amendment, up to $550,000 per year, will bring the total contract authority to $2,750,000 for the five-year period of March 1, 2015 through February 28, 2020. There is sufficient budget in the General Fund (GF) in the Police Department to cover these expenses. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
ROBERT G. LUNA
CHIEF OF POLICE
CHRIS WILDING, DIRECTOR
TECHNOLOGY & INNOVATION DEPARTMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER