HomeMy WebLinkAboutTR-1-99
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Meeting:
Date:
Report #:
Subject:
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
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File#r- \'6'.0. \)
Res.#(".,PI't -13. 'I;
By-Law # ?9.- 3
MONDAY, JANUARY 4, 1999
TR-1-99 File#:
ACQUISITION OF PHOTOCOPIERS
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1. THAT Report TR-1-99 be received;
2. THAT Council accept the proposal from Xerox Canada Ltd., Cobourg, Ontario, to rent
two (2) only photocopiers, Model 5365 and one (1) only photocopier, Model 5034, at a
per copy rate of .01654 cents per copy, plus taxes, as per Schedule "C" attached, for a
term of five (5) years;
3. THAT the attached By-law (Schedule "A") authorizing the Mayor and Clerk to execute
the agreement be approved; .and
4. THAT the funds be drawn from the 1999 Unclassified Administration Current Account
for leases, FORTHWITH.
BACKGROUND AND COMMENT:
For the past several years, the Municipality of Clarington has standardized on Canon
photocopiers which have been acquired through various lease agreements. This process has
proven to be very beneficial and until recently, was the most cost effective.
During the past couple of years, photocopier dealers and manufacturers have started to offer
rentals on a cost per copy basis as an alternative. This arrangement provides the Municipality
with a cost effective approach to photocopying without actually ever owning the equipment.
8Ul
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TR-1-99
Page 2
The Municipality currently has two photocopiers that were included in both the 1997 and 1998
Capital budgets, Unclassified Administration, Leases, which for various reasons, including the
investigation of the rental option, were not acquired. These copiers are located in the Treasury
and Public Works/Community Services Departments. In addition, in the 1998 Capital Budget,
funds were provided to acquire an additional small copier for the north end of the Treasury
Department.
Subsequently, a Request for Proposal was issued requesting potential bidders to quote on the
following three (3) options for each ofthe three (3) photocopiers.
Option A: Outright Purchase
Option B: Lease
Option C: Rental- Based on per Copy.
Proposals were received and tabulated as per Schedule "B" attached.
A review of the prices submitted shows that the proposal submitted by Xerox for Option "C",
rental cost per copy, is the most cost effective. Note, the prices submitted by Xerox include
acceptance of the trade-in of our existing equipment.
The pricing and rental option submitted is based on an existing agreement between Xerox and
the Kawartha Pineridge School Board. All terms and conditions of this agreement will apply to
the Municipality of Clarington. Staff at the Kawartha Pineridge School Board have advised that
excellent service has been provided by Xerox.
Based on the overall monthly cost, the Xerox copiers were brought in on a trial basis. All
Departments have advised that the equipment and service provided has been satisfactory.
Note, as the acquisition of photocopiers is treated as a Municipal expense rather than a
department expense, the overall usage of the organization was considered. It was revealed
that the photocopier located in the Clerk's Department, which is used for printing Council
agenda's was no longer able to handle the volume and was consequently experiencing
8u2
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TR-1-99
Page 3
excessive breakdowns. Therefore, rather than locate one of the new copiers in Treasury as
indicated in the budget, the new copier was put in to the Clerks Department, with their copier
being transferred to Treasury. This arrangement was also done on a trial basis and has
proven to be satisfactory to both departments.
Based on existing leases, it is estimated that this method of acqUlnng the three (3)
photocopiers will save the Municipality approximately $11,400.00 per year. Amortized over the
standard 36 month lease, this amounts to $34,200.00 savings.
This acquisition is not in keeping with the Municipality's past practice of standardizing, however
staff are confident that Xerox will provide satisfactory service. Although the agreement is for a
five (5) year term, Xerox will replace any copier during that time that it is not performing
satisfactorily.
In previous years, funds have been budgeted for photocopiers under the Capital Budget,
UFlclassified Administration. This acquisition will require that funds for 1999 be provided for in
the current operating, Unclassified Administration.
The Treasurer has reviewed the funding requirements and concurs with the recommendation.
After further review and analysis of the proposals, it was agreed that the proposal from Xerox
Canada Ltd., Cobourg, Ontario, for the two (2) model 5365's and the one (1) Model 5034, be
recommended for acceptance; FORTHWITH.
Respectfully submitted,
~~OAMCT
Treasurer
Reviewed by,
jl--~-t0~
Franklin Wu, M.C.I.P., R.P.P.
Chief Administrative Officer
MM*LB*ld
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Schedule "A"
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
BY-LAW #99-
Being a By-law to authorize a contract between the
Corporation of the Municipality of Clarington and Xerox
Canada Ltd., Cobourg, Ontario.
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY ENACTS
AS FOLLOWS:
1. THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the
Corporation of the Municipality of Clarington wrth the Corporation Seal, a contract
between Xerox Canada Ltd. and said Corporation with respect to the rental of the
following three (3) photocopiers.
Two (2) Model 5365
One (1) Model 5034
2. THAT this agreement attached hereto as Schedule "A" form part of this By-law.
By-law read a first and second time this day of January, 1999.
By-law read a third time and finally passed this day of January, 1999.
Mayor
Clerk
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