South Coast Air Quality Management District

Authorize Lease of Printing System Equipment

SYNOPSIS:

The current lease with Xerox for AQMD print shop high-volume copy/printer equipment expires October 31, 2001. This request is to enter into a new lease and maintenance agreement for print shop equipment.

COMMITTEE:

Administrative, October 12, 2001

RECOMMENDED ACTION:

Authorize use of cooperative federal, state, school, and local government procurement lists to lease printing system equipment for the print shop from Xerox. The 42-month lease includes service maintenance and consumable supplies at a cost not to exceed $398,988 per year.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

On July 10, 1998, the Board authorized staff to use cooperative federal, state, school and local government procurement lists to lease photocopier equipment. These lists were used in obtaining AQMD's current lease and maintenance agreement with Xerox for the print shop's high-volume copy/printer equipment. The current lease expires October 31, 2001. This request is to upgrade and obtain a new lease and maintenance agreement for high-volume print shop equipment using these public-sector cooperative procurement lists.

Proposal

The current annual expenditure for the print shop’s printing system is approximately $363,000. Through economies-of-scale cooperative leasing using federal, state, school and local government procurement lists, staff can lease high-volume copy/printers at volume competitive bid prices. Staff currently leases three Xerox Docutechs, with a combined production rate of 405 pages per minute. In 1999, the Print Shop’s volume was 13.5 million impressions, in 2000 the volume was 13.7 million impressions, and by the end of 2001, it is estimated the total volume will be 14 million impressions.

Leasing of equipment allows meeting current operational needs while maintaining the flexibility to keep up with improvements in technology.

Use of cooperative government procurement lists allows AQMD to take advantage of larger jurisdictions’ competitive bid processes and volume-purchase pricing. Staff has researched the market of products available through these procurement lists, based on AQMD printing and volume copying needs, and recommends the Board authorize a lease with Xerox, the lowest-cost bidder, for high-volume printing system equipment. For a cost increase of approximately 10% over current costs, upgraded equipment would permit considerably faster printing/copying and significantly enhanced capability to coordinate and manage print shop workflow. Such efficiencies allow more jobs--including rush jobs--to be done in-house with current staff and at lower cost. Attachment A reflects a product comparison with the proposed Xerox printing system.

Resource Impacts

Sufficient funds are available in the approved FY 2001-02 Budget for the remainder of this fiscal year. Since this will be a 42-month lease, continuing funds will need to be included in the budgets for each of the remaining fiscal years of the lease.

Attachment

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