Title
Copier/Printer Maintenance
History
The Recreation Department copier maintenance agreement with Gordon Flesch Company, Inc. for the Sharp MX5500 copier/printer was previously an annual, prepaid, base rate contract. The rate was based on an estimate of usage and though some years Village usage exceeded that rate, last year usage fell beneath the rate. When copies exceeded the amount, a per copy charge was applied, but when usage fell beneath the rate there was no credit for the underutilization.
When faced with an increase in the annual amount, staff reviewed options for service. The only other company that services this machine is Gateway who handles several other Village copiers. A quote was requested through Gateway and although their black and white copy charges were less, their color per copy charges exceeded that of Gordon Flesch. The color copying is predominantly used on this machine, so the Gateway price was significantly higher.
The structure of pricing was reviewed with Gordon Flesch and it was determined that by moving to a quarterly, per image rate contract based on actual usage a savings could be realized. The per image rates are $.0103 per black image and $.0578 per color image. The contract would be in an amount not to exceed the 2012 budgeted amount of $5,994. The total estimate for copier utilization in 2012 is $5,700 based on the 2011 utilization. In addition, the first five months of this year were pre-paid as part of the current agreement with Gordon Flesch.
On July 2, 2012, this item was reviewed and approved by the Parks and Recreation Committee and referred to the Board for approval.
Financial Impact
The 2012 budgeted amount for maintenance of the Sharp MX5500 copier/printer by Gordon Flesch is $5,994. Changing to a per image rate charge will yield an estimated savings of approximately $300.
Recommended Action/Motion
I move to approve the Copier/Printer Maintenance Contract change with Gordon Flesch Company, Inc. from an annual base rate contract to a quarterly per image rate contract, not to exceed the budgeted amount of $5,994, with an option to renew for one year increments thereafter not to exceed an annual increase of 5%.