Back

PROPOSAL:

Authorize Use of Cooperative Federal, State, School, and Local Government Procurement Lists to Lease Photocopier Equipment

SYNOPSIS:

The AQMD has lease and maintenance agreements that cover 41 photocopiers including high-volume, color, and walk-up floor copiers. Analysis of existing lease practices indicates that economies-of-scale cooperative leasing from extensive procurement lists of federal, state, school, and local government agencies will allow staff to replace outdated equipment and lease new copiers resulting in annual savings of approximately $189,000. Furthermore, lease agreement terms are expected to be reduced from 5 years to 3 years which allows flexibility in meeting operational needs and adapting changes in copier technology. Funds are included in the 1998-99 Budget and successive years would require annual appropriations.

COMMITTEE:

Administrative, June 19, 1998; Less than a quorum was present during the discussion of this item; those Committee Members who were present communicated their concurrence.

RECOMMENDED ACTIONS:

1. Declare 20 copiers owned by the AQMD as surplus and authorize removal from the fixed asset inventory.

2. Authorize the use of cooperative federal, state, school, and local government procurement lists to lease photocopier equipment and provide service agreements for up to 35 copiers/copier printers for 36 months at a cost not to exceed $532,000 per year, plus applicable taxes and fees.

Barry R. Wallerstein, D.Env.
Acting Executive Officer

Background

AQMD has lease and/or maintenance agreements with six companies that cover 41 photocopier machines producing a combined average of 2,000,000 copy impressions per month. This includes high-volume copy/printers in the printshop, graphics color copiers, and walk-up floor copiers used by employees. Current leases are expiring on 21 copiers. AQMD owns the remaining 20 photocopier machines, which are recommended to be surplused.

Proposal

The current AQMD annual expenditure for copiers is approximately $721,000. Through economies-of-scale cooperative leasing using extensive federal, state, school, and local government procurement lists, staff can lease copiers at volume competitive bid prices for approximately $532,000 per year plus taxes and fees resulting in an annual savings of approximately $189,000. Lease agreements will be reduced from 5 years to 3 years to allow flexibility to meet operational needs and adapt to changes in copier technology. Staff will give full consideration to all businesses, including minority, women, and disabled veteran business enterprises that are on the government procurement lists. Staff will compare the competitive bid pricing of the agencies and will further negotiate to gain additional savings and benefits including credits for surplused copiers as trade-ins.

Staff is recommending authorization to use the cooperative federal, state, school, and local government procurement lists to lease photocopier equipment, to surplus 20 copiers by method of selling or salvaging, and to authorize their removal from the fixed asset inventory, as detailed on Attachment A.

Resource Impacts

Funds are included in the 1998-99 Budget and successive years would require annual appropriations.

Attachment

A -- Copiers To Be Surplused and Removed from Fixed Asset Inventory

/ / /