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RTC#02-070

February 26, 2002

SUBJECT:

Award of Contract for the Lease of a High Volume Copier (#F0202-43) (RTC#02-070)

REPORT IN BRIEF

Approval is requested for the award of a contract to Xerox Corporation of San Jose for a four-year lease of a high volume digital copier for the Department of Information Technology.

BACKGROUND

The requested copier will be located in the Department of Public Safety Records Division (DPS/Records) and will be used primarily to copy police and fire case files. Records staff spend an average of eight hours per day photocopying these files for distribution to outside agencies, the public and the court system. The current volume is approximately 1,000,000 copies per year.

Selection of a copier for this division is complicated--not only by the extremely high volume of copies, but also by the fact that it must operate 24 hours per day seven days per week, often requiring after-hours service. There is also lack of space in the Records area, limiting the size and footprint of the copier selected.

DISCUSSION

In early 2001, Information Technology Department (ITD) and Records staff began searching the marketplace for a copier which will meet the high volume, small footprint, electronic distribution, and security needs of DPS/Records and which could replace the existing OCE copier at the completion of its lease.

Reviews of products offered by OCE, Mita, Pitney-Bowes and Xerox indicated the only high capacity/small footprint machine with sufficient electronic capabilities was the Xerox DC490SI, a machine that can copy 90 pages/minute. In addition, the Xerox DC490SI can scan electronic copies to a network server at 65 images/minute, offers direct e-mail access with secure login (network user name and password), and can generate audit trail reports detailing both user and destination of network copies. The machine also offers 24X7 remote diagnostics, which should resolve the after-hours service issues.

Xerox offered a "no cost" demo of the copier to the City, and a DC490SI was installed in DPS/Records in December 2001 for a three-month period. DPS/Records staff have found this copier to meet their needs.

Several years ago, ITD staff determined that the best method for acquiring copiers is to rent or lease them. This allows easy upgrade as new technology emerges and provides flexibility when requirements change. For that reason, staff recommends entering into a four-year lease of the Xerox DC490SI copier currently on site in the DPS/Records area.

Section 2.08.070(b) of the Sunnyvale Municipal Code exempts from competitive bidding those purchases where the City's requirements can be met solely by a single patented article or process. Staff research indicates the Xerox DS490S digital copier is the only high volume/small footprint copier currently on the market with electronic distribution security sufficient for Department of Public Safety use.

FISCAL IMPACT

Total cost to the City for a four-year lease will not exceed $102,000, including all maintenance and supply costs except paper.

Funds are available in ITD Account 760090 - Provide and Maintain Satellite Copiers.

RECOMMENDATION

It recommended that Council award a four-year contract in an amount not to exceed $102,000 to Xerox Corporation of San Jose for the lease of a Xerox DC490SI digital copier.

Prepared by:
Elaine Wesely
Purchasing Officer

Reviewed by:
Mary J. Bradley
Director, Finance

Shawn Hernandez
Director, Information Technology

Approved by:
Robert S. LaSala
City Manager

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