Marc Mondell, Assistant City Manager

Brian Graves, Information Technology Manager

Adopt a Resolution Authorizing the City Manager to Execute an Equipment Lease with JJR Enterprises, Inc. (DBA Caltronics Business Systems), and the Related Caltronics Prestige Maintenance Agreement.

The City utilizes JJR Enterprises, Inc. (DBA Caltronics Business Systems) as its managed print services provider.  The managed print services program includes maintenance, labor, supplies, service, printer usage and reporting, and ongoing assessment and improvement services in a simple package for all leased copier\printer\scanner equipment deployed at City office locations.  The utilization of a centralized managed print services solution with leased equipment simplifies the process of obtaining supplies, service, and support, makes it easier to adapt to changing needs, allows the City to keep equipment up to date with the latest technology, makes budgeting more predictable, and enables City IT staff to focus more time and attention on integrating new technologies and supporting existing software applications and the underlying network infrastructure.

One of the City's current lease agreements which includes 9 copier\printer\scanner units is nearing the end of its term.  In an effort to reduce costs while also obtaining newer technology with increased print\copy\scan performance, staff negotiated with JJR Enterprises Inc. to procure equipment in refurbished condition under a shorter 39 month term lease.  The proposed agreement covers centralized management, maintenance, and repair of the equipment throughout the term of the lease, as well as toner.  JJR Enterprises, Inc. agreed to eliminate their standard document fee and annual increases have been reduced from 10% to 5%.

Pursuant to Section 3.04.090, Section (E) of the City’s Procurement Ordinance, a Public Interest exception to the City’s competitive bidding process applies when the addition of units to the City’s equipment can be more efficiently added by a particular supplier.  Because the City currently procures the bulk of its printers and copiers from JJR Enterprises, Inc., it would be most efficient from an equipment management and support perspective to replace outdated equipment through the same managed print services provider.

Funding for this expense not to exceed $79,000 is included in the approved budget for FY 2020-21.   Furthermore, by entering this contract, the City will realize a savings of at least $42,900.00 as demonstrated in the table below.