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Home My WebLink AboutTR-54-92 THE CORPORATION OF THE TOWN OF NEWCASTLE REPORT Meeting: GENERAL PURPOSE & ADMINISTRATION COMMITTEE File# Date: June 15, 1992 Res. # Report#: TR-54-92 File#: By-Law# Subject: EMPLOYEE PURCHASE PLAN - MICROCOMPUTER EQUIPMENT Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. That the report TR-54-92 be received; 2 . That the proposal to continue the employee purchase program for microcomputer equipment for an estimated amount of $50, 000 - $60,000 for 1992 be approved; and 3. That the funds required be drawn from the Working Funds Reserve Account (2900-00001-0000) for the current year to be repaid by December 31, 1994 through an employee payroll deduction program during the current term of council; and 4 . That the procedures set out in Purchasing By-Law #82-96, Section 5, Paragraph 6, be waived for this particular transaction; and 5 . Complete Computer Consulting Incorporated be awarded the contract to supply microcomputer equipment and service for the employee purchase program as outlined in TR-54-92 . BACKGROUND & COMMENTS: Since the introduction of microcomputers to the town in 1989 there has been an ever increasing implementation of related hardware and software applications throughout the organization. This has brought about the need for well trained computer users in a relatively short period of time. In order to ease in this transition, in 1989 and 1990, council previously approved employee purchase plans to allow employees to buy microcomputers for use at home. The plan was not TR-54-92 Page 2 proposed in 1991 due to the conclusion of the term of council. i i The employee purchase program is not only an opportunity for staff and council to purchase the microcomputers at volume discount prices, additionally, costs for computer training are reduced and necessary skills acquired more quickly. This is evident in the staff that have participated in previous employee purchase programs. I The requests to offer this program once again emphasizes the interest of the employees to improve their microcomputer knowledge at home and apply these skills on the job. The benefit of this program is of a highly perceived value to the employee at a minimal cost to the organization which is particularly important during these times of economic restraint. To illustrate this, the cost of loaning the employee the purchase price of the equipment is approximately the cost of one short training course over the same period of time. The attached Microcomputer Purchase Agreement (Schedule A) , outlines the terms and conditions of the plan and the repayment schedule. This plan provides for an interest free loan to be repaid through a payroll deduction, with the interest costs absorbed by the Town to appear as a taxable benefit on the participants T-4. The Equipment Specification (Schedule B) outlines the cost of new equipment and i upgrades to existing equipment. The anticipated average cost is approximately $2100 for a complete system with a printer. This would equate to approximately $36 .00 per pay over the term of the loan. i The purchasing by-law requires that the stated value of the contract be awarded by tender. Due to the complexity of the specifications and the need to continue with appropriate standards, quality and level of service, we have obtained quotations from several existing reputable suppliers. / JO TR-54-92 Page 3 After an analysis of the equipment and services offered, staff feel that Complete Computer Consulting Incorporated is providing the best overall package of price, quality and service to the employee and is being recommended to provide the employee purchase plan for members of council and staff. In conclusion, the new program provides the tools necessary for training and educating in the latest technologies. The equipment packages have been selected based on the following: I i • Needs/Requests/Benefits for Employees • Cost Benefits to the Organization • Price Performance - balancing cost and quality of the equipment • After purchase Service and Warranty The plan, based on this criteria, will provide a very palatable solution for both municipality and employee. A continuation of this i process will prove to be very strategic as the municipality grows and the use of computers becomes even more predominant in the workplace. Respectfully submitted, Recommended for presentation to the Committee, arano, H.BSc. , AMCT, Lawrence E. Ko stiff, Treasurer. Chief Administrative Officer Attachments i THE CORPORATION OF THE TOWN OF NEWCASTLE EMPLOYEE MICROCOMPUTER PURCHASE PLAN TERMS AND CONDITIONS SCHEDULE A General Terms and Conditions Purpose The Employee Microcomputer Purchase Plan was proposed to allow employees to purchase microcomputers at a volume discount price and provide an interest free loan for the purchase of the equipment to be repaid through a payroll deduction for the term of council. Eligibility The plan will be available to full-time and permanent part-time Town of Newcastle Employees and Town Council. Temporary part- time Employees will be able to take advantage of the Town's discounts but not the financing. Limits per employee Participants are limited to a single system. The offer also applies to employees who purchased previously and wish to upgrade or purchase one additional system. The Town will provide interest free financing on a maximum principal amount of $2500. Delivery and Title All equipment will be picked up at the Town Office. Title to the equipment will be given to the participant upon delivery. Participants must complete Schedule C , Employee Purchase Agreement and appropriate payroll forms for the payment through payroll deduction. Taxable Benefit The interest costs absorbed by the Town will be appear as a taxable benefit on each participant's pay cheque and T-4 slips. Software Participants may purchase software packages with the group purchase to take advantage of volume/corporate discounts. These products when purchased with new equipment will be installed by the vendor at no additional charge. A library of standard software packages used by the Town is maintained by Computer i i Page 2 Services staff, with software available on an overnight and weekend basis to participants . Each participant will acknowledge that some software available under this plan, purchased or on loan, is protected by Copyright laws and may not be copied. /. Accessories � This plan does not extend to items outside of Schedule B. Technical Support f, Computer Services staff will be available to provide technical assistance at scheduled time periods. Changes after equipment delivered Once the equipment has been delivered; employees wishing to change or add to their system must do so independently from the Town at their own expense. Payment Options j Participants may choose one of the following payment options: 1. Full payment at time of delivery. 2 . Total cost to be paid through payroll deductions over the next 29 months commencing in August 1992 . 3. Partial, payment at time of purchase, balance paid through payroll deduction over the next 29 months . Upon resignation for termination of employment, the outstanding principal will ,b'e deducted from the earnings owed with any remainder payable by cheque before the last day of work. J, Hardware The only /hardware eligible for financing is the equipment specif//i�d/In Schedule B from the vendor. The hhr are (excluding notebook and laptop) comes with a 1 year war r�any. In the event of breakdowns, the participants can bring th r/equipment to the Town Office at which time the vendor will povide on site service twice per month. i REVISED Page 2 Services staff, with software available on an overnight and weekend basis to participants. Each participant will acknowledge that some software available under this plan, purchased or on loan, is protected by Copyright laws and may not be copied. Accessories i This plan does not extend to items outside of Schedule B. Technical Support Computer Services staff will be available to provide technical assistance at scheduled time periods. Changes after equipment delivered Once the equipment has been delivered, employees wishing to change or add to their system must do so independently from the Town at their own expense. Payment Options Participants may choose one of the following payment options : 1. Full payment at time of delivery. 2 . Total cost to be paid through payroll deductions over the next 29 months commencing in August 1992. 3. Partial payment at time of purchase, balance paid through payroll deduction over the next 29 months. Upon resignation or termination of employment, the outstanding principal will be deducted from the earnings owed with any remainder payable by cheque (certified cheque/money order) before the last day of work. Hardware The only hardware eligible for financing is the equipment specified in Schedule B from the vendor. The hardware (excluding notebook and laptop) comes with a 1 year warranty. In the event of breakdowns, the participants can bring their equipment to the Town Office at which time the vendor will provide on site service twice per month. I Page 3 Notebooks and laptops come with a 2 year depot warranty, with optional pickup at the Town of Newcastle office twice per month. The attached Schedule B provides pricing, typical configurations and other options. I i i I I I I I i i i I / 110 i CORPORATION OF THE TOWN OF NEWCASTLE EMPLOYEE MICROCOMPUTER PURCHASE PLAN EQUIPMENT SPECIFICATION SCHEDULE B Model 1: 386-33 MHz (Intel) Unit Pst/Gst Incl. 2 MB Ram 64 Cache 40 MB Hard Disk Drive 1.44 Floppy Drive 3 .5" 1.2 Floppy Drive 5 .25" Super VGA Video Card (512K) Super VGA Color Monitor Serial Mouse Dos 5. 0 2 Serial/l Parallel/1 Game Port $1,665 .00 1,914.75 Model 2: 486-33 MHz (Intel) 2 MB Ram 128 Cache 40 MB Hard Disk Drive 1.44 Floppy Drive 3 .5" 1.2 Floppy Drive 5 .25" Super VGA Card (512K) Super VGA Colour Monitor Serial Mouse Dos 5. 0 2 Serial/l Parallel/l Game Port $2,170 .00 2,495 .50 Above systems with either case: Mini Tower (Dimensions approx. 16 .2"D * 8.5 11L * 13 .4 11H) Desktop (Dimensions approx. 16 . 3"D * 18.2 11L * 6 .5 11H) Upgrade options for the above models: 105 MB Hard Disk Drive $145 .00 166 . 75 120 MB Hard Disk Drive $205.00 235. 75 2 MB Ram $100. 00 115.00 i I i I Notebook Pricing: Model 1: B386SLF Bondwell Notebook Unit Pst/Gst Incl. 386SL CPU (25 MHz) 2 MB Ram (expandable to 8) 16K Cache 60 MB Hard Disk Drive 1.44 Floppy Drive (3 .5" external) VGA Compatible (LCD) Built-in 2400BPS MNP5 v.42 BIS Modem 8 AF-size NICad batteries Dimensions 1. 6 " * 8.6" * 11.7" Weight 5.21bs with batteries $2,499 .00 2,873. 85 Model 2: B386SLF Bondwell Notebook 386SL CPU (25 MHz) 2 MB Ram (expandable to 8) 60 MB Hard Disk Drive 1.44 Floppy Drive (3.5" external) VGA Compatible (LCD) 8 AF-size NICad batteries Dimensions 1.6" * 8.6" * 11.7 " Weight 5 .2lbs with batteries $2,150 . 00 2,472 .50 Optional carrying case for above notebooks: 40 .00 46 . 00 Laptop Pricing: Model 1: B310SX Bondwell Laptop 386SX CPU ( 16 MHz) 5 MB Ram 80 MB Hard Disk Drive 1.44 Floppy Drive 3.5" VGA Compatible (LCD) 6 C-size NICad batteries Dimensions 13" * 12 .5" * 2 . 1" Weight 7 .51bs with batteries $1,999 .00 21298 .85 i Optional carrying case for above laptop: 40 .00 46 . 00 i Y 3 i Printer Pricing: Unit Pst/Gst Incl. Panasonic 1180i - 9 pin dot matrix 80 columns $207 .00 238.05 Panasonic 1123 - 24 pin dot matrix 80 columns 275.00 316 .25 Panasonic 2624 - 24 pin dot matrix 132 columns 510.00 586 .50 Okidata OL400 - 4 ppm HP Compatible $950. 00 11092 .50 Hewlett Packard IIP+ - 6 ppm $1,125.00 1,293. 75 Toner Cartridge Refill (HP) $105.00 120.75 Toner Cartridge Refill (OKI) 36 .00 41.40 Modem Pricing: Cardinal Modem (Hayes Compatible) 2400 bps $99 .00 113 .85 Dos Software Pricing: Word Perfect 5. 1 $365.00 419 .75 Lotus 2 .3 403 . 00 463 .45 Paradox 3 .5 665.00 764 .75 Windows 3 . 1 120.00 138.00 Dbase IV 785 .00 902 .75 Harvard Graphics 3.0 533 .00 612 .95 Other Pricing: Install Super VGA Colour Monitor and Card (512K) $380.00 437 .00 i i I I i i J THE CORPORATION OF THE TOWN OF NEWCASTLE EMPLOYEE MICROCOMPUTER PURCHASE PROGRAM r PAYROLL DEDUCTION AUTHORIZATION r` SCHEDULE C 1 EMPLOYEE NAME: DATE: DEPARTMENT r� i TOTAL COST OF EQUIPMENT (PST/GST INC. ) ffJ. 1 r' EMPLOYEE'S CONTRIBUTION l; AMOUNT TO BE FINANCED TOTAL PAYROLL DEDUCTION DEDUCTION PER PAY (TOTAL PAYROLL DEDUCTION/// ) AUTHORIZATION: I have received a copy of the Terms and Conditions of the Employee Microcomputer Purchase Plan and agree to abide by the conditions contained within. In the event of resignation or termination of employment with the municipality, I agre that the outstanding principal amount will be deducted from the earnings owed with any remainder payable by cheque before the last day of work. r Furthermore I hereby agree to the payroll deduction shown above and understand that there will be an additional deduction for this program as' a taxable benefit as outlined by government legislation. ,/ Dated Signed r r' -ter ` I PAYROL�; l Date Received Signed I REVISED THE CORPORATION OF THE TOWN OF NEWCASTLE EMPLOYEE MICROCOMPUTER PURCHASE PROGRAM PAYROLL DEDUCTION AUTHORIZATION SCHEDULE C EMPLOYEE NAME: DATE: DEPARTMENT TOTAL COST OF EQUIPMENT (PST/GST INC. ) EMPLOYEE'S CONTRIBUTION AMOUNT TO BE FINANCED TOTAL PAYROLL DEDUCTION DEDUCTION PER PAY (TOTAL PAYROLL DEDUCTION/ ) AUTHORIZATION: I I have received a copy of the Terms and Conditions of the Employee Microcomputer Purchase Plan and agree to abide by the conditions contained within. I In the event of resignation or termination of employment with the municipality, I agree that the outstanding principal amount will be deducted from the earnings owed with any remainder payable by cheque (certified cheque/money order) before the last day of work. Furthermore I hereby agree to the payroll deduction shown above and understand that there will be an additional deduction for this program as a taxable benefit as outlined by government legislation. Dated Signed I i PAYROLL: Date Received Signed I I