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Home My WebLink AboutItem 4.10 AwardOfBidComputers (2) .~ -4 CITY CLERK File # nfZlf6l~-~[Q] AGENDA STATEMENT . CITY COUNCIL MEETING DATE: OCTOBER 15,1996 SUBJECT: Award of Bid for PC Computers, Printers, and Related Equipment (Prepared by: Steve Honse, Admin. Assistant) EXHIBITS ATTACHED: 1. Resolution Awarding Bid 2. Computerland of Fremont Fax Explaining Bid Error 3. MicroAge Fax Explaining Bid Error RECOMMENDATION: ~ Adopt Resolution Awarding the bid for "Computers, Printers, and Related Equipment" to New Technologies and Rejecting Certain Bids Received. FINANCIAL STATEMENT: The cost for the items to be purchased totals $36,771.43, which is less than the adopted budget estimates. See Report DESCRIPTION: In accordance with the City Purchasing Ordinance, Staffhas prepared and distributed bid specifications for ilie purchase of computer equipment. The Equipment included: PC Workstations with monitors; ....lrinters; and miscellaneous network connection devices. The bid documents solicited cost proposals for we following items: ' , LISTING OF ITEMS INCLUDED IN THE BID SPECIFICATIONS ITEM BID ITEM #l~PC Workstations HP Model VL Series 4 PC with Keyboard and Monitor 16MB RAM and 1 OOmhz processor QUANTITY 13 BID ITEM #2~ Printers HP LaserJet SSi MX Printer with 20MB RAM and HP LaserJet SL-FS Printer 3 1 BID ITEM #3 ~ Accessories 3COM 16-Bit Ethernet Cards #3CS09B-TP and Isobar 6 Ultra Surge Protectors 7 17 .------~-.--------------CO-piESTO:----------------'----------- ------ ITEM NO. ~ It) A description of the placement and need for the equipment is included in a subsequent section of this report. The bid docwnents segregated the total items requested into 3 components or "Bid Items", as " ..' !' shown above. The bid proposal forms were structured to permit the City to award the bid to more than one vendor, based upon the three components. The intent was to provide flexibility in the event that one bidder was capable of offering a significant price savings on any of the major categories or "Bid Items". . BIDS RECEIVED Bid documents were distributed to a total of 17 vendors with a requirement for all bids to be submitted not later than 1 :00 p.m. Tuesday October 8, 1996. A total of eight responses were received by the prescribed time and the results are summarized in the table below: BID RESULTS Item #1 Item #2 Item #3 Total Bid Computers Printers Accessories (quantity=13) (quantity=4) Thibault Associates 24,775.55 14,016.42 1,584.98 40,376.95 Home & Business Computer 24,556.51 13,416.51 1,513.34 39,486.36 Computerland of Fremont 23,078.90 13,000.00 ~::~!l;i:~\i:::~~~:!~!!l:i:!~::~i!i~l$,i~~~i!ii 36,942.54* Microgear, Inc. 23,497.77 12,897.52 4,701.83 41,097.12 Adtech 23,478.70 13,921.91 :::!r;:M:::::m:!:Ji:!:IQi$.;f2~:~:! 38,036.60* DataWest Computer Systems 23,560.71 13,403.93 1,340.65 38,305.29 New Technologies 22,952.24 12,445.50 1,373.69 36,771.43 MicroAge Computermart 24,134.33 llmWf@~~~4g~fll::~~: 1 ,594~52 35,157.43* .. Bids Recommended To Be Rejected - See Be/ow . BIDS RECEIVED WHICH DO NOT MEET REOUIREMENTS OF THE BID PROCESS The bid specification designated specific Hewlett~Packard computer and printer equipment in order to be consistent with existing City Network components. All of the bidders were consistent with this requirement. However, one firm, Adtech, did not submit a complete bid on the Miscellaneous Items identified in Bid Item #3. Adtech bid only on surge protectors and not the required Network Interface cards. As a result, Staff has made an initial determination that the bid is not responsive and would recommend that the City Council reject the bid. Review of the bid results identified two other vendors, who indicated that there were errors in the cost proposals submitted. Com'puterland of Fremont submitted a bid for Bid Item #3 Accessories, that was significantly lower than the nearest competitor. In discussions with the vendor they realized that an error was made in the price on the bid proposal form. (See Exhibit "2") The sales representative indicated that they could only offer the to sell the equipment at a higher price. Based on the error represented by the vendor, Staff would recommend that the City Council reject the bid submitted by Computerland of Fremont. MicroAge Computermart also submitted a bid with a substantial error. The price quoted for Bid Item #2 - Printers, was significantly lower than the nearest competitor. The vendor indicated to Staff that he had made a mistake and had quoted on the wrong model. The firm would not provide the equipment at the . price specifie.~ in the bid. Attached as Exhibit "3" is a statement from MicroAge. Based on the error represented by the vendor, Staff would recommend that the City Council reject the bid submitted by MicroAge Computermart of Diamond Bar, California. RECOMMENDATION TO A WARD BID BASED ON TOTAL OF ALL ITEMS ~AlthOlllgh the bid was allowed to be divided into three parts, there will not be a significant cost savings to award Bid Items to more than one vendor. Once the bids with errors are removed from consideration, New Technologies is the low bidder for both Bid Item #1 - Computer Workstations, and Bid Item #2 - Printers. In addition, New Technologies is clearly the low bidder when considering the total cost of all .ee bid items. New Technologies Bid Item #3 - Accessories, is only $33.04 more than that of the low bidder for this component (Data West Computer Systems). Considering the extremely small differential and the benefits to be derived by dealing with a single vendor, Staff recommends that the award be based upon the total for all three Bid Items, resulting in an award to New Technologies. OVERVIEW OF PURCHASE AND FINANCING SOURCES This bid award includes the following components: 1) replacement of obsolete PC Computer Workstations and printers; 2) the purchase of additional workstations and printers due to additional personnel approved in the Fiscal Year 1996/97 Budget; and 3) additional Workstations for Police Personnel in accordance with the Data Processing Masterplan. REPLACEMENT EQUIPMENT The adopted CIP asswned the need to replace 8 of the existing IBM 386/25 machines. This equipment was first placed into service in 1992 and it is now fully depreciated. The performance of the machines is marginal on the City Network system and typically support and service expenditures are higher than on the newer equipment. The Internal Service Fund (ISF) for Equipment Replacement has adequate funds available to complete the replacement. Due to a workstation failure earlier in the Fiscal Year, one of the eight units has already been replaced. The unit replaced early was purchased individually for less than the amount budgeted. Therefore, the bid currently being considered is for 7 units. . The Budget established for the Replacement of the 7 units: $ 18,900.00 Cost Based On 7 Units @ Recommended Low Bid $ 12,777.81 The ISF will also be the funding source to obtain replacement printers. The City originally purchased individual Ink Jet and Small Laser printers for workstations. However, when the Civic Center Network was established there was a move towards higher volume shared laser printers. The Bid includes two "Replacement" high volume laser printers. (1 at Shannon Center, 1 Planning -Office Area). One smaller individual ink jet printer is being purchased as a replacement for the Police Evidence Room. The Budget established for the Replacement of the 3 printers: $ 9,300.00 Cost Based On Units @ Recommended Low Bid: $ 8,602.63 NEW EOUIPMENT The Network System Upgrade CIP Project included additional equipment in Police Services. Specifically it would: 1) Add one additional Computer Workstation in the Police Records area. 2) Add one additional Computer Workstation in the Police Patrol Report Writing area. Currently there is only one workstation in the Records Area and two are available to service both Traffic and the Patrol personnel. 3) Add one new high speed shared printer f{)r the Police Records Area. Currently the only shared printer is located on the second floor. . The CIP Budget established for the New Equipment: $ 9,750.00 Cost Based On Units @ Recommended Low Bid: $ 7,822.15 All of the new Equipment will be purchased using General Fund monies. In subsequent years an annu\1 charge will be made to the Department Operating Expenses to provide for the future replacement. In addition to the new equipment identified in the CIP, the adopted 1996~97 Budget also provided for computer purchases in Departments where there was a change in staffing. These items were budgeted as part of the Operating Budgets and the funding source is the General Fund. The following are the positions requiring PC Workstations: 1) Finance Manager; 2) Administrative Assistant - Police Services; 3)Recreation Supervisor (Administration I Heritage Center); and 4) Planning - Office Assistant II. All of the workstations will be installed and located at the Civic Center. The collection of replacement funds in future years will be handled as discussed above. The combined amount budgeted for New Positions: $ 10,210.00 Cost Based On Units @ Recommended Low Bid: $ 7,568.84 RECOMMENDATION: Staff recommends that the City Council adopt the attached resolution, which will award the entire bid to New Technologies, and appropriately deal with the rejection of the bids which did not conform to the bid specifications. . . . RESOLUTION NO. - 96 ~ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* . A WARD OF BID FOR "COMPUTERS, PRINTERS, AND RELATED EQUIPMENT" TO NEW TECHNOLOGIES AND REJECTING CERTAIN BIDS RECEIVED WHEREAS, a bid documents were prepared and distributed in accordance with the Dublin Municipal Code for the purchase of specified computer equipment; and WHEREAS, a total of eight bids were received and opened at the time stated in Notice to Bidders; and WHEREAS, a bid was submitted by MicroAge Computermart (MicroAge), of Diamond Bar, California; and WHEREAS, MicroAge acknowledged an error in the pricing for bid Item #2 - Printers, and the vendor subsequently refused to honor the bid; and WHEREAS, a bid was submitted by Computerland (Computerland) of Fremont, California; and WllURL;AS, CQmpl.ltol'lgnd m:knowlcdged Qn €lrmr in tho priQing bid Item #3 - Accessories, and the vQndur subsequently refused to honor the bid; and WHEREAS, a bid was submitted by Adtech (Ad tech) of Ceres, California; and WHEREAS, The bid by Adtech was incomplete in relation to Item #3 - Accessories, was incomplete; and .EREAS, the Instruction to Bidders states that the City reserves the right to reject any proposal; and WHEREAS, the lowest responsive bid for all items specified was submitted by New Technologies, of Santa Fe Springs, California. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby take the following actions, with respect to the rejection of bids for "COMPUTERS, PRINTERS, AND RELATED EQUIPMENT"; bids from the following firms are hereby rejected as unresponsive: MicroAge Computermart, Computerland, and Adtech. BE IT FURTHER RESOLVED that the City Council awards the entire bid for "Computers, Printers, and Related Equipment" to New Teclmologies. The amount of the bid awarded to New Teclmologies is $36,771.43. PASSED, APPROVED AND ADOPTED this 15th day of October, 1996. AYES: NOES: ABSENT: ABSTAIN: .EST: Mayor City Clerk EXHIBIT 1 ULI-~~-l~~b 1~:~4 P.02 46755 Fl'eMQrlt Boulevard frernonl, CA 94538 (5101353.7500 Fax (510) 3.53-7510 ^ TTN: MR. STEVE HONSE. OCT 9, 1996 RE: TIlE ERROR ON THE CITY OF DUBLIN QUOTE PA TED SEPTEMBER 27, 1996. SECTION I. ITEM 3. (B)-SURGE PROTECTORS QUOTED $7.00 ON WR.ONG MANUFACTURES PART ACTUAL ITEM IS YOUR COST OF $44.00. THANKS FOR THE OPPORTUNITY. 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