City Council
Report
City Council Meeting: November 11, 2024
Agenda Item: 5.L
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To: Mayor and City Council
From: Feroz Merchhiya, Chief Information Officer, Information Services Department Subject: Award Purchase Order to Ricoh USA, Inc. for Printer Maintenance, Support, and Services for Ricoh devices
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding that the action is not a project subject to the California Environmental Quality Act (CEQA);
2. Authorize the Procurement Manager to issue a purchase order with Ricoh USA, Inc. for printer maintenance, service, and support for the Information Services Department. This recommended award is made as an exception to the competitive bidding process pursuant to Santa Monica Municipal Code Section
2.24.250(c) and is for a total amount not to exceed $300,000 over a three-year period with future year funding contingent on Council budget approval. 2 of 4
Summary
The City’s remaining Ricoh printing devices are not included in the City’s Managed Print Services (MPS) program, which was implemented to streamline and consolidate the City’s printer and copier management. A portion of the Ricoh fleet remains under a maintenance and services agreement directly with Ricoh, requiring a procurement solution to cover maintenance services and support costs while the City transitions to a fully implemented printing program. To ensure uninterrupted support for these devices, staff is seeking City Council approval to authorize the Procurement Manager to issue a purchase order with Ricoh USA, Inc. for printer maintenance, service, and support for Ricoh devices in the amount not to exceed $300,000 over a three-year period while the City completes the transition to MPS.
Discussion
On May 9, 2023, Council approved award of a contract to Konica Minolta Business Solutions (Konica) MPS. This program allows for the assessment, consolidation, and management of the City’s copier and printer needs. While the intention of the program was to service and maintain all City devices, Ricoh devices could not be incorporated into the MPS program due to certain limitations. As a result, the plan for Ricoh devices was to either replace or retire them in accordance with the City’s needs. During this transitional period, Ricoh device maintenance, service and support remain necessary while the City works towards fully implementing a single enterprise printing solution.
This transition period allows for the gradual termination of Ricoh maintenance and service agreements and gives departments and divisions time to strategize, plan, and budget for future equipment needs as their Ricoh devices are replaced or retired.
The City currently has a fleet of approximately 40 Ricoh printing devices. Of these, a small number remain under a maintenance, service and support agreement, while the others are maintained on an as needed basis to support staff’s printing operations.
These services provide the City with repair and maintenance of the devices and competitive Cost-Per-Copy (CPC) pricing. Staff is seeking Council approval for a purchase order to provide Ricoh device maintenance and support services during the transition to a fully implemented MPS program.
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These printing maintenance and support services can be acquired through Ricoh USA, Inc.’s National Association of State Procurement Officials (NASPO) ValuePoint contract # 7-24-70-46-06. Under the State of California’s Participating Addendum, the City can utilize NASPO Contract to procure printer maintenance, services and support for Ricoh devices.
Vendor/Consultant Selection
Exception to Competitive Bidding
Staff recommends Ricoh USA, Inc. for printer maintenance, service and support for Ricoh devices as an exception to competitive bidding per Municipal Code 2.24.250(c).
The National Association of State Procurement Officials (NASPO) conducted a competitive bidding process awarding Ricoh USA, Inc. as an authorized contractor.
Under the State of California’s Participating Addendum, the City of Santa Monica is eligible to piggyback on the NASPO Master Contract Number: 187846, Contract Number: 7-24-70-46-06. The City of Santa Monica intends to utilize this agreement, which ensures competitive pricing for the City’s printer maintenance, services and support.
c. Competitive procedures were followed by a governmental agency, including a federal, state, county, city, joint powers agency, special district, or cooperative purchasing agency consisting of one or more such agencies, that are equivalent to the procedures set forth in this Chapter, and the goods or services are supplied to the City at the same or better price as the price obtained by that agency;
Environmental Review
The proposed purchase order for printer maintenance, service and support for Ricoh devices is a “project” subject to CEQA. Pursuant to CEQA Section 21065, the project does not meet the definition of a “project” subject to CEQA as it will not “cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment”. Additionally, per Section 15378(b) of the CEQA Guidelines, a “project” does not include continuing administrative or maintenance activities, such as purchases for supplies, personnel-related actions, general policy and procedure making. The purchase order is to maintain, service, and support existing Ricoh devices and would not have a physical effect on the environment, so therefore, is not subject to CEQA.
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Financial Impacts and Budget Actions
Staff seeks authority to approve available funding from various funds to award a purchase order with Ricoh USA, Inc. for printer maintenance, service and support for Ricoh devices. The cost is charged to each department based on the printer maintenance, service and support requisitioned by each department as needed.
Purchase Order Request
FY 2024-25 Request
Amount
Future Years
Amount
Account
Number(s)
Total Contract
Amount
$100,000 $200,000 Various $300,000
Future year funding is contingent on Council budget approval.
Prepared By: Carolyn Connolly, Administrative Services Officer Approved Forwarded to Council
Attachments:
A. Staff Report 05-09-2023 5A MPS Konica
B. OAKS INITIATIVE FORM 2024 RICOH
C. Levine Act Disclosure Form Ricoh