City Council MemorandumCity Council Memorandum
City Council Memorandum
City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: JANUARY 16, 2024 FROM: RIVERSIDE PUBLIC LIBRARY WARD: ALL
SUBJECT: SIXTY-MONTH LEASE RENEWAL AGREEMENT WITH CANON SOLUTIONS AMERICA, INC., FOR INSTALLATION, EXCESS PER PAGE USAGE AND MAINTENANCE OF TEN (10) COPIERS/PRINTERS AT VARIOUS LIBRARY LOCATIONS IN THE AMOUNT OF $45,600 ANNUALLY ISSUES:
Approve a sixty-month renewal lease agreement with Canon Solutions America, Inc., for the installation, excess per page usage and maintenance of ten (10) Canon copiers/printers at various Library locations in the amount of $45,600 annually.
RECOMMENDATIONS:
That the City Council:
Approve a renewal lease agreement with Canon Solutions America, Inc., for the installation, excess per page usage and maintenance of ten (10) Canon copiers/printers at various library locations for a sixty-month term at an annual cost of $45,600, totaling $228,000 over the entire lease term; Authorize the Purchasing Manager to procure the ten (10) Canon copiers at the agreement pricing from a “follow-on” contract to an existing competitively bid contract from DuPage County, Illinois, per Purchasing Resolution Section 702(h); and Authorize the City Manager, or his designee, to execute necessary documents for the renewal Lease Agreement with Canon Solutions America, Inc.
BACKGROUND:
The Riverside Public Library offers free use of computers available to the public at all ten (10) library locations. Also available to the public are walk-up copier and printing services at a nominal cost. Printing costs per the Fees and Charges are $0.15 per page for black and white and $0.20 per page for color. Photocopying costs are $0.20 per page. The year-to-date revenue received from this service $6,669 and is deposited into the miscellaneous library receipts-printing account number 5135000-343839.
The library has a productive relationship with Canon Solutions and Canon Solutions has consistently provided reliable and quality service thereby allowing the Library to provide low-cost copying and printing to the public.
DISCUSSION:
The renewal Lease Agreement with Cannon Solutions will provide for the continued usage and maintenance of ten (10) copiers to replace existing Canon copiers that have reached the end of the current 60month lease. Copiers are replaced every 60 months to maintain the lowest maintenance costs. The agreement will be a “piggy-back” contract from an existing competitively bid contract, assuring the most competitive pricing for this agreement.
The cost associated with the renewal lease agreement is $1,145.82 plus applicable taxes ($1,246.08) per month for $14,952.95 annually. Staff have determined from the prior billing year that the average charges for excess per image usage per month were $2,553.92 and the renewal lease of $1,246.08 resulted in an estimated cost of $3,800 per month or $45,600 annually.
The City of Riverside Public Library is requesting to utilize Canon Solutions America, Inc., for copier replacement, lease and maintenance of the existing Canon copiers using Omnia contract FI-R0251-18. The County of DuPage, Illinois, solicited for high-speed efficient office copier/printers through RFP #18-020-LG issued January 17, 2018. The RFP resulted in five (5) bids and the top two (2) bidders were then interviewed. After interviews both bidders were asked to submit a best and final offer (BAFO). Based on the lower pricing of the BAFO a contract issued to Canon Solutions America, Inc., effective from October 1, 2018, through September 30, 2023. On May 3, 2023, an amendment was issued extending the term though March 31, 2024, and updating pricing.
Per Purchasing Resolution 23914, Section 702(h), which states that “Competitive Procurement through the Informal Procurement and Formal Procurement process shall not be required (h) When Services, Except for Professional Services, can be Procured from a Contractor who offers the same or better price, terms and conditions the as the Contractor previously offered as the Lowest Responsive Bidder under Competitive Procurement or negotiations conducted by the City or another public agency, provided that, in the opinion of the Manager, it is in the best interests of the City to do so.” The Purchasing Services Manager concurs that the recommendation complies with the current Purchasing Resolution 23914, Section 702(h).
The Innovation and Technology Director concurs with this agreement.
STRATEGIC PLAN ALIGNMENT:
This item contributes to Strategic Priority No. 1 Arts, Culture & Recreation and Goal 1.1: Provide diverse community experiences and personal enrichment opportunities for people of all ages and Strengthen Riverside’s portfolio of arts, culture, recreation, senior and lifelong learning programs and amenities through expanded community partnerships, shared use opportunities and fund development.
This item aligns with each of the five Cross-Cutting Threads based on the definitions in the Envision Riverside 2025 as follows:
Community Trust - This item aligns with Community Trust by ongoing efforts in supporting community participation and engagement for all members of the community.
Equity - This item aligns with Equity by guaranteeing that all library customers have access to low-cost printing.
Fiscal Responsibility - This item aligns with Fiscal Responsibility by identifying revenue to offset operating costs.
Innovation - This item aligns with Innovation as the City of Riverside will be following the best practice of materials recovery.
Sustainability & Resiliency - This item aligns with Sustainability & Resiliency by providing printing resources at a low cost.
FISCAL IMPACT:
The fiscal impact of this action is $45,600 annually, for a total cost of $228,000, for a 60-month term lease. The General Fund, Library Administration, Other Equipment Maintenance/Repair account 5130000-424220 has sufficient funding to cover the contract costs for the current fiscal year. The year-to-date revenue budgeted and received from public printing and copying ($6,669 received to date in General Fund, Miscellaneous Library Receipts-Printing revenue account 51350000-343839) helps to partially offset copier lease costs. Future years’ contract costs will be included in the department budget presented to City Council for adoption.
Prepared by: Angela Henson, Senior Management Analyst
Prepared by: Erin Christmas, Library Director
Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Kris Martinez, Assistant City Manager
Approved as to form: Phaedra Norton, City Attorney
Attachment:
Cannon Solutions Lease Agreement
County of DuPage Cooperative Agreement
Canon Solutions ● Page 2Canon Solutions ● Page 2
Canon Solutions ● Page 2
Canon Solutions ● Page 2