HomeMy WebLinkAbout4.10 AwardBidKonicaCopiers
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CITY CLERK
File # rnl5][Q-[2J[Q
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AGENDA STATEMENT
CITY COUNCIL MEETING DATE: August 4, 1998
SUBJECT:
Award of Bid For Two Konica 2223 Copiers
~ Report by: Paul S. Rankin, Assistan~ City Manager
EXHlBITS ATTACHED:
1.
Bid Results
RECOMl\1ENDATION:
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1) Award bid to Konica Business Machines U.S.A. Inc. and
authorize Staff to issue the necessary Purchase Order, including a
change order to provide an Automatic 2-Sided Copy Unit. 2)
Authorize Staff to dispose of the existing equipment as surplus in
accordance with City policies.
FINANCIAL STATEMENT:
Sufficient funds are available in the Fiscal Year 1998-99 Internal
Service Fund Budget for the purchase of the two copiers.
DESCRIPTION: The Fiscal Year 1998-99 Budget includes funds to replace two copiers. One
machine is a Konica Model 1790 at the Police Department Administrative Office, originally purchased in
April 1991. The second machine is a Konica Model 1503 at the Dublin Senior Center, purchased in June
. 1988. Both of these copiers have produced over 130,000 copies and have exceeded their useful life. The
City is no longer able to include the machines on a service agreement due to the unavailability of
replacement parts from the manufacturer. Bid packages were provided to six copy machine dealers. In
addition the notice inviting bids was posted as required by the City's purchasing ordinance. A total of
three bids were received by the deadline of 10:00 a.m. on July 27, 1998. Two bids had to be returned
without being opened because they arrived after the stated deadline.
Specified Machines.
The original costs of the machines being replaced were less than $2,775 each. The original cost is used to
build up replacement funds in the Equipment Replacement Fund. In preparing the Budget Estimate, Staff
found that the purchase of suitable machines would be substantially more than the reserved replacement
funds. Staff requested Bid proposals for both a 15 copy per minute machine and a 23 copy per minute
machine. The budget was based upon list pricing from dealers was $6,510 for the Police Copier
Replacement and $7,120 for the Senior Center Copier.
Based upon the bids received (see attached comparison) the 23 Copy per minute machine, including
options, could be obtained for both locations without exceeding the funds budgeted. The Base Bid was
for two Konica 2223 copiers, each containing 2 paper drawers with a 550 sheet capacity. Quotations were
also requested for optional equipment including; a Reversing Automatic Document Feeder (Option B-1)
and a 10 bin sorter without an in-bin stapler (Option B-2). The low bidder for the Base Bid and both
Options B-1 and B-2 was KonicaBusiness Machines U.S.A. Inc..
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CO PIES TO: Bidders
ITEM NO. 4.10
G:\FINANCE\FREDWORD\CPRBID.DOC
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Trade-In Allowance
All bidders were requested to provide, as part of their bid, a Trade-In Allowance if any for the existing,
machines. Konica Business Machines did not provide for a Trade-In allowance. As shown on the Bid
Comparisons the net cost to the City after any Trade-In allowance was compared among all bids. Even
after including this factor, Konica remained the low bidder. Staff will dispose of the current machines in.
accordance with the existing City policy.
Request To Approve Chan~e Order At Time Order Is Placed
Given the favorable bids received Staff has also discussed with the Low Bidder, the cost to obtain an
optional feature, which will provide for automatic two-sided copying. The machine as bid would only
provide for manual two-sided copying. Koruca has indicated to Staff that the cost of adding this feature to
the 2223 machine including Option B-2 features would be $496 for each machine. Even with this
negotiated feature added to Konica's bid, the tota1 cost of a purchase from Konica remains at less than the
bids submitted by the other two bidders. The cost for each machine from Konica Business Machines,
including the Automatic Duplexing Unit is $4,665. This cost is also less than the amount budgeted.
Recommendation
Staff recommends that the City Council award the bid for two Koruca Model 2223 copiers to Konica
Business Machines U.S.A. Inc., including a change order to accommodate an Automatic Duplexing Unit
on both machines. Staff will issue the necessary Purchase Order and proceed with the disposal of the
surplus equipment in accordance with City policies.
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