HomeMy WebLinkAboutCS 54-05PICKERING
REPORT TO
COUNCIL
Report Number: CS 54-05
Date: June 21,2005
Fro m:
Gillis A. Paterson
Director, Corporate Services & Treasurer
Subject:
Convenience Photocopiers
Proposed Lease Agreement - August 1, 2005 to July 31, 2010
Recommendation:
1. That report CS 54-05 of the Director, Corporate Services & Treasurer be received
and that;
2. RFP-6-2005 submitted by Toshiba Canada, to replace fourteen convenience
photocopiers and provide one color photocopier be accepted;
Council authorize the Director, Corporate Services & Treasurer to execute a lease
agreement with Toshiba Canada for the provision of photocopiers as proposed in
Recommendation #2 above;
Council authorize the Director, Corporate Services & Treasurer to alter terms,
conditions and/or suppliers if necessary, to meet, maintain and provide departmental
photocopy services for the City; and,
5. Staff at the City be given the authority to give effect thereto.
Executive Summary:
The City is currently at the end of a 66-month lease agreement with Konica/Minolta to
provide a total of 14 convenience copiers within all divisions and facilities at a
contracted rate of $0.0173 per copy. This lease agreement expires on June 30, 2005.
Supply & Services have completed a Request for Proposal (RFP-6-2005), a summary of
the results are attached. The Iow proposal was submitted by Toshiba Canada, at a rate
of $0.0202 per copy, for the supply of fourteen (14) non-networked departmental
convenience copiers and one (1) color non-networked copier at a rate of $0.2833 per
copy.
The proposal from Toshiba Canada includes the placement of new copiers, service,
parts and toner. In the event there is a need to reduce or add the number of copiers
due to need, this can be reviewed by the vendor and adjustment can be made to the
lease agreement. This may or may not affect the proposed price per copy.
It is the recommendation of Supply & Services to enter into a new 60-month lease
agreement with Toshiba Canada.
Report CS 54-05
Convenience Copiers
Date: June 21,2005
Financial Implications:
It is anticipated that with the new lease agreement with Toshiba Canada, the annual
overall operating cost for the convenience copiers will increase by approximately
$2,400.00 per year.
The inclusion of a color photocopier to be installed in the Print/Mailroom will incur an
annual cost estimated to be approximately $2,800.00 per year based on a projection of
10,000 color copies per year.
Background:
The City of Pickering currently requires fourteen (14) departmental convenience copiers
of various capacities to fulfil the corporate photocopy requirements. Due to the expiry of
the current lease agreement with Konica/Minolta, Supply & Services have solicited the
marketplace by issuing a Request for Proposal.
Vendors were requested to submit two pricing options:
Option I
To replace the existing photocopiers with new digital photocopiers with equivalent
features and capability of providing photocopy services of the Konica/Minolta models
currently in use.
Option 2
To replace the existing photocopiers with new digital photocopiers with features of:
network printing
scanning
scan-to-email
receive and send fax function and
capable of providing photocopy services as the Konica models currently in
use,
Color photocopier
An analysis was undertaken to review the viability of providing a color photocopier. The
City's annual expenditure in 2004 to produce approximately 10,000 color photocopies
was approximately $11,000.00. Based on the proposed price of $0.2833 per copy, a
lease with Toshiba Canada for a color photocopier could realize a 70% annual savings
on color photocopies.
Report CS 54-05
Convenience Copiers
Date: June 21,2005
It is the recommendation of the Manager, Information Technology to enter into an
agreement for convenience copiers under the terms of Option 1.
Please note the information provided in the proposals may be subject to the Municipal
Freedom of Information and Protection of Privacy Act and may be subject to release
pursuant to the Act. A proponent has identified their proposal as confidential therefore
this summary is being submitted as confidential information to Council.
Council Resolution #237/99 provides the Director, Corporate Services and Treasurer
the authority to make changes in respect of replacing photocopiers. Also, under
Definition 01.04 of the Lease Financing Policy, this lease is not deemed to be a Material
Lease, in that there is no material financial impact for the municipality. However, since
a new lease term of 60 months would be entered into, this report is submitted for
Council's consideration.
Attachments:
1. Confidential Memorandum dated June 17, 2005
Prepared By:
Vera A. Felger~aCher /
Manager, Supply & Services
B. ~ /
P' rc~har~ii~ng Aj~alyst
Approved / Endorsed By:
Gillis Paterson
Director, Corporate Services & Treasurer
Copy: Chief Administrative Officer
Recommended for the consideration of
Pickering City xCouj:~
The/m~.s j. e¥i,i,i~n, cJ:~e'J Adminis~.ve Officer'