TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Managed Print Services Contract 2016-1358
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider authorizing the General Manager to exercise the first option year on contract 2016-1358 for managed print services (copiers/printers) with Ray Morgan Company.
Body
BUDGETARY/FISCAL IMPACT:
The fiscal impact of the contract extension is estimated at $203,935. The actual amount is dependent on the amount of printing and the percentage of color printing. Historically, expenses attributed to the Managed Print Service contract has averaged $180,000.
BACKGROUND/RATIONALE:
On May 11, 2016, the Board of Directors awarded a three-year contract in the amount of $572,557.36 to Ray Morgan Company for managed print services. The contract supplies copy machines for all District facilities and provides maintenance and consumable supply (such as toner) for both copiers and networked printers. Staff Report 15-222b requested more money to be added to the contract to cover accessories and for two more copiers to be added to the contract to cover the Division 3 re-opening. The cost for accessories was spread over the base period of the contract and totaled $69,301.23.
Actual costs for printing and copying for the entire District under the Managed Print Services contract for the base period were under $180,000 per year, including the volume of printing added by copiers at Division 3. The District incurs no charges for scanning.
The contract also included provisions for the District to exercise two option years at its discretion. The cost schedule for the option year is outlined in the cost proposal for contract 2016-1358. The option year pricing is only slightly higher than the base year and still considered fair and reasonable according to the open procurement process that resulted in the contract award. Overall, vendor performance has been within acceptable parameters. There h...
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