Amended City Council Regular


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  ITEM 20.       
Meeting Date: 02/09/2021  
Submitted For: Lisette Camacho
Department: Budget and Finance  

Subject
AUTHORIZATION TO ENTER INTO A LINKING AGREEMENT WITH KONICA MINOLTA BUSINESS SOLUTIONS U.S.A, INC. FOR DIGITAL COPIERS, MULTIFUNCTIONAL DEVICES, 3D PRINTERS, RELATED SUPPLIES, MAINTENANCE AND MANAGED PRINTER SERVICES
Presented by: Lisette Camacho, Director, Budget and Finance 
Purpose and Recommended Action
This is a request for City Council to authorize the City Manager to enter into a multi-year Linking Agreement with Konica Minolta Business Solutions, U.S.A, Inc. for Digital Copiers, Multifunctional Devices, 3D Printers, Related Supplies, Maintenance and Managed Printer Services and to authorize the City Manager, at the City Manager's discretion, to renew the agreement for an additional four (4) years, renewable on an annual basis, in an amount not to exceed $750,000 over the entire term of the agreement. 
Background
Konica Minolta Business Solutions, U.S.A, Inc. is a national supplier of Digital Copiers, Multifunctional Devices, 3D Printers, Related Supplies, Maintenance and Managed Printer Services.  Most purchases are in small dollar amounts made by numerous departments throughout the City.  The purchases are made using funds budgeted by the departments for various products on an as-needed basis.  Department buyers consider price, availability, efficiency and time when making small dollar purchases.  Approval of this linking agreement combines the purchases and expenditure authority with Konica Minolta Business Solutions, U.S.A, Inc under a single agreement and ensures all city departments benefit from the pricing under this contract.  
 
The Linking Agreement utilizes the Mohave Educational Services Cooperative Purchasing Agreement to link with the Mohave Educational Services Cooperative, Inc. contract 20J-KMBS-0129.  All products offered through Mohave Educational Services Cooperative have been awarded by virtue of a public competitive process.  The agreement has an effective date of January 29, 2021 with an initial expiration date of January 28, 2022 and allows for four (4) one-year renewals to January 28, 2026.
Analysis
If approved, this agreement will be used for city-wide, multi-departmental purchasing of Digital Copiers, Multifunctional Devices, 3D Printers, Related Supplies, Maintenance and Managed Printer Services. By consolidating and aggregating its purchases, the City can receive discounted pricing on all purchases. 

Cooperative purchasing allows counties, municipalities, schools, colleges and universities in Arizona to use a contract that has been competitively procured by another governmental entity or purchasing cooperative.  Such purchasing helps reduce the cost of procurement, allows access to a multitude of competitively bid contracts and provides the opportunity to take advantage of volume pricing.  The Glendale City code authorizes cooperative purchases when the solicitation process used complies with the intent of Glendale’s procurement processes.  This cooperative purchase is compliant with Chapter 2, Article V, Division 2, Section 2-149 of the Glendale City Code, per review by the City’s Procurement Division.
Previous Related Council Action
On March 22, 2016, City Council approved a contract with Konica Minolta Business Solutions, U.S.A, Inc.
Community Benefit/Public Involvement
Cooperative purchasing allows the city to use a contract that was competitively procured by another government entity or purchasing cooperative.  Such purchasing helps reduce the cost of procurement, allows access to a multitude of competitively bid contracts and provides the opportunity to take advantage of volume pricing. 

Fiscal Impact
Fiscal Year: FY2020-21
Fiscal Year Amount Requested: $150,000
Budgeted Y/N?: Y
Account: Various
Transfer Required? Y/N: N
If Yes, what account will be used?:
Budget and Financial Impacts:
Departments utilize Konica Minolta Business Solutions, U.S.A, Inc. for the purchase of Digital Copiers, Multifunctional Devices, 3D Printers, Related Supplies, Maintenance and Managed Printer Services based on their anticipated needs. Expenditures with Konica Minolta Business Solutions, U.S.A, Inc. are not to exceed $750,000 for the entire term of the agreement. Expenditures beyond the current fiscal year are contingent upon Council budget approval. 
Attachments
KM Linking Agreement


    

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