HomeMy WebLinkAbout15.C.2. Copier Lease
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MEMORANDUM " . ",.. .. L, "
To: Mayor and City Council
Mark McNeill, City Administrator
From: Mark Themig, Facilities and Recreation Director
Meeting Date: March 16,2004
Subject: Copier Lease
INTRODUCTION
The lease and service agreement for the Parks and Recreation copier expires on March
29th. I am recommending entering into a lease agreement with Metro Sales for a Ricoh
Afficio 2238C Color Digital Imaging System.
BACKGROUND
The City entered into a lease agreement for our current copier in 2000. This copier
operated well during the first two years of the lease, but has been plagued with
breakdowns as our volume increased over the past two years. In 2003, the vendor
rebuilt most of the copier in an attempt to resolve the breakdowns. Although it helped
initially, the frequency of breakdowns appears to be increasing.
DISCUSSION
Barb Potthier, Customer Service Representative, and Judy Techam, Secretary, have
been researching copier options and obtaining copier quotes (Attachment A). Weare
recommending that the City enter into a three-year lease and service agreement with
Metro Sales for a Ricoh Aficio 2238C. This is a monochrome/color networked copier and
printer. It has a number of features including multiple paper trays, scan to email or file,
document server, and a facsimile module.
A key advantage in this unit is new technology that provides a high-volume black and
white copying rate, and a low-cost, no minimum color rate. The service agreement being
proposed includes 204,000 black and white copies each year (17,OOO/month).
Previously, we were billed quarterly for a set number, and usually exceeded this amount
during the summer while not utilizing the full amount in the other seasons. By setting the
copying volume at an annual amount, our high volume summer copying will be balanced
during the winter months.
Color copies are at $0.1 O/copy (a significant savings over other color copying services)
and can be made available to the entire City. In discussing this option with the City's
management team, we see the ability to reproduce color documents in~house at a
significant savings an advantage to the City. The networked feature of this unit makes it
accessible to other City staff as a color printer too, and we can track users and add
restrictions to prohibit making unnecessary color copies.
The unit's scanning function will also give us the opportunity to convert paper copies to
electronic documents for use in posting information on the web and distributing
information electronically. The unit will also serve as our fax machine, which is in need of
replacement. Finally, the document server will allow staff to print frequently used forms
and documents at the touch of a button.
BUDGET IMPACT
Based on our copying volume and current service agreement costs, we had included
$750/month for copier leasing and service in our 2004 budget. The proposed lease and
service agreement for this unit is $536/month for equivalent volume. As I understand, the
service costs on copiers has decreased significantly due to new technology.
We are recommending continuing with the lease arrangement in order to eliminate a
significant one-time budget impact, but reducing the lease term to three years. This will
allow us to upgrade more frequently to meet our growing volume. The service
agreement includes all copier maintenance and repair, and all color/black and white
copying supplies except for paper and staples. All other features are included in the
lease.
ALTERNATIVES
1. Enter into agreement with Metro Sales for lease and service contract on a Ricoh
Aficio 2238C.
2. Do not enter into the proposed lease agreement.
3. Table for additional information.
RECOMMENDATION
Alternative #1.
RECOMMENDED ACTION
If City Council concurs, authorize appropriate City officials to enter into agreement with
Metro Sales for lease and service of a Ricoh Aficio 2238C Color Digital Imaging System.
M~~
Mark Themig
Facilities and Recreation Director
2004 COPIERS
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IKON BUSINESS BUSINESS SALES SALES
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Savin 4045 Mita 5035 color Ricoh 2045 Color
$390 doesn't $798
Price - 36 month lease $498.00 include copies/fax doesn't include copies/fax $495.37 $536.00
Copies per month - B&W
not included in lease $153.00 17,000 $272
Copies per month - Color
not included in lease 3,000 $270
Fax yes $34 $34 yes yes
Scanner yes yes yes ? yes b&w/color
Price - service included included included included included
B&W 17,000
Copies included in service 17,000 17,000 Color 3,000 17,000 17,000
I::S& W ;.10
Copies per minute 45 50 31 45 Color 28
B&W.0105
.016 B&W Color .10
Overage charge 0.0099 0.009 .09 Color 0.0105 no volume commitment
renuired on color
Network Printing yes yes yes yes yes
Adobe Reader Print Drive yes
Automatic Document Feeder yes yes yes yes yes
Duplex yes yes yes yes yes
Multi Sheet Bypass yes yes yes 50 100
Paper storage 3500 3000 3000 2500 3000
Reduction/Enlargement yes yes yes yes yes
Sorting, collating yes yes yes yes yes
Staple, 3 hole punch yes yes yes yes yes
~torage Of frequentlY usea
documents yes yes yes yes
Parts/Labor/Maintenace yes yes yes yes yes
T oner/Drums/Rollers yes yes yes yes yes
Service Calls 2-6 hours yes yes 0-3 hours 0-3 hours
Delivery, Installation, Training included included included yes yes
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