Explanation
BACKGROUND:
This legislation authorizes the Director of the Department of Technology to extend a contract established through purchase orders DL000046 (established in the year of 2000) and EL900834 (established in the year of 1999) with the Xerox Corporation, for printer maintenance support services, effective April 1, 2011 through September 30, 2011, in the amount of $44,854.64. The original contract provides language that allows for contract renewals and modifications each year on the contract anniversary date. This contract was most recently modified and renewed by authority of ordinance 0527-2010, passed July 14, 2010 (purchase order EL010994). The Department of Technology also request that the passage of this ordinance will provide for an extension of existing purchase order (EL010994) and funds through September 20,2011.
Also, this ordinance requests approval of $5,000 for contingency funding within the $44,854.64 for the period April 1, 2011 through September 30, 2011, to be utilized in the event of excess prints, overruns and/or any unforeseen circumstances. These contingency funds will not be utilized if not needed.
When this contract was last modified, the intent was to utilize a competitive procurement process to award a new contract for this service. However, unforeseen delays require the extension for another six months to ensure continued service with the current vendor. Specifications for a formal bid are being prepared for this service, and it is anticipated that a new contract will be awarded by October 1, 2011 as a result of a forthcoming competitive procurement process. This ordinance requests approval to continue services provided by the Xerox Corporation and to waive the competitive bidding provisions of the Columbus City Codes (Section 329) to continue services with the existing company and existing contract. The cost of this modification was determined through negotiations with the vendor upon receipt of a price quote and researched cost analysis. The quoted monthly prices for the next six months are unchanged.
The Department of Technology established the above-mentioned contracts in January 2000 and October 1999, respectively, for sixty-month lease/purchase agreements with the Xerox Corporation for two Xerox high-speed 4635MX laser-printing systems operated by the City. Upon the lease expiration for these systems, the Department of Technology exercised the right to purchase both systems. At that time, the two original purchase orders were modified into one contract agreement for the renewal of future maintenance. These systems provide high volume printing support services critical to many city applications such as payroll, wage and tax statements, Auditor's warrants, jury summons, income tax forms and water bills.
EMERGENCY DESIGNATION:
Emergency designation is being requested to immediately facilitate prompt payment; to continue with services that are necessary to support daily operations; to ensure no service interruptions.
FISCAL IMPACT:
During fiscal years 2009 and 2010, $77,966.88 and $88,000.00 was legislated respectively with the Xerox Corporation for annual maintenance support services associated with both printers. The total cost of this ordinance for 2011 is $44,854.64, with (1) $39,854.64 for the period April 1, 2010 through September 30, 2011, and (2) $5,000.00 contingency funds to be utilized in the event of excess prints, overruns and/or any unforeseen circumstances, representing the maintenance cost for both printer systems, and (3) that the existing purchase order EL010994 be extended. Funding is budgeted within the Information Services Division, internal services fund budget. The aggregate contract total, including this modification, through the Department of Technology is $1,456,606.18.
CONTRACT COMPLIANCE NUMBER:
Vendor Name: Xerox Corporation CC #: 16 - 0468020 Expiration Date: 03/03/2013
Title
To authorize the Director of the Department of Technology to modify, increase and renew a contract with Xerox Corporation to extend term period for six months for annual printer maintenance support services and additional contingency funds needed to satisfy any unforeseen circumstances; to waive the competitive bidding provisions of the Columbus City Codes; to authorize the expenditure of $44,854.64 from the Department of Technology, Information Services Fund; and to declare an emergency. ($44,854.64)
Body
WHEREAS, the Department of Technology established contracts for two sixty-month lease/purchase agreements with the Xerox Corporation with the option to renew each year on the anniversary date, and
WHEREAS, upon the lease expiration of these systems, the Department of Technology exercised the right to purchase both systems, these systems provide high volume printing support services that are critical to many city applications such as payroll, wage and tax statements, auditor's warrants, jury summons, income tax forms and water bills, and
WHEREAS, the total cost of this modification is $44,854.64, (1) $39,854.64 for the period April 1, 2010 through September 30, 2011 and $5,000.00 contingency funds to be utilized in the event of excess prints, overruns and/or any unforeseen circumstances, representing the maintenance cost for both printer systems; and that the passage of this ordinance will provide for an extension of existing purchase order (EL010994) and funds through September 20,2011.
WHEREAS, this ordinance requests approval of $5,000.00 for contingency funding within the $44,854.64 for the period April 1, 2011 through September 30, 2011, to be utilized in the event of excess prints, overruns and/or any unforeseen circumstances. These contingency funds will not be utilized if not needed.
WHEREAS, this ordinance requests approval to continue services provided by the Xerox Corporation, and to waive the competitive bidding provisions of the Columbus City Codes (Section 329); and
WHEREAS, an emergency exists in the usual and daily operations of the Department of Technology in that it is necessary to immediately extend a contract with Xerox Corporation for annual maintenance support services for two printing systems to facilitate prompt contract execution and related payment for services, for the immediate preservation of the public health, peace, property, safety and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1: That the Director of the Department of Technology be and is hereby authorized to modify extend and increase a contract established through purchase orders DL000046 (established in the year of 2000) and EL900834 (established in the year of 1999) with the Xerox Corporation, for printer maintenance support services, effective April 1, 2011 through September 30, 2011, in the amount of $44,854.64. This ordinance also requests approval of $5,000 for contingency funding within the $44,854.64 for the period April 1, 2011 through September 30, 2011, to be utilized in the event of excess prints, overruns and/or any unforeseen circumstances, and to extend the existing purchase order EL010994 and associated funds through September 30, 2011.
SECTION 2: That for the purpose stated in Section 1, the expenditure of $44,854.64 or so much thereof as may be necessary is hereby authorized to be expended from:
Division: 47-02| Fund: 514 |Subfund: 001| OCA Code: 470202| Obj. Level One: 03 | Obj. Level Three: 3372| Amount: $39,854.64
Division: 47-02| Fund: 514 |Subfund: 001| OCA Code: 470202| Obj. Level One: 03 | Obj. Level Three: 3372| Amount: $5,000.00
SECTION 3: That the City Auditor is authorized to make any accounting changes to revise the funding source associated with this contract modification and expenditure of funds associated with this contract.
SECTION 4: That the request to modify, increase and extend a contract with Xerox Corporation and to waive the competitive bidding provisions of the Columbus City Codes (Section 329) is authorized.
SECTION 5: That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.