Commission Item Summary & MemorandumC;UMMISSIUN IItM SUMMAKY
Condensed Title:
Request For Approval To Award Contracts to Sharp as the Primary Vendor and Xerox as the
Secondary Vendor, Pursuant to Invitation to Bid No. 46-06/07 For The Leasing of Copiers In The
Estimated Annual Amount of $193,000.
Ke Intended Outcome Su ported:
Enhance ExtemaUlntemal Communications from and Wtthin the City.
Supporting Data (Surveys, Environmental Scan, etc.): The Employee Satisfactory Survey
indicates that 69% of employees either agreed or strongly agreed on being provided with all the
tools and equipment needed to do quality work.
Issue:
Shall the Ma or and C' Commission a rove the bid contrail awards?
Item Summa (Recommendation:
The purpose of invttaiion to Bid No. 46-06/07 (the "Bid") is to establish a contrail(s), by means of
sealed bids, to a qualified vendor(s) for Citywide digital copier service. The contract is to include but
not limited to the delivery, integration, installation, service and maintenance including toners of all
equipment pursuant to this bid solidtation. This includes an estimated 70 plus walk-up shared,
integrated digital copiers to multiple locations.
The Bid was revised in response to vendors request for our requirements to be set standard to the
industry, at a pre-bid meeting which was held on August 31, 2007. The Bid was re-issued September
10, 2007, with an opening date of September 26, 2007. Both BidNet and RFP Depot issued notices to
prospective bidders which resulted in the receipt of eleven (11) bids.
A User Group (the "Group") convened on December 5, 2007, to review the responsive bids. On
January 8, 2008, the Group re-convened and was provided with Copier Demonstrations in order to
evaluate and rank the bidder.
The Group recommended Sharp as the primary vendor and Xerox as the secondary vendor should
Sharp be unable to perform its contrail obligations.
The Administration recommends a rovin the award of contracts.
Board Recommendation:
Financial
Funds:
OBPI
Financial Impact
Clerk's Office
~a+a~rt~a trttN c, a F
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® MIAMIBEACH
Cify of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
To: Mayor Matti H. Bower and Members of the Ci C tssion
FROM: City Manager Jorge M. Gonzalez
~aTE: February 13, 2008
suBJECT: REQUEST FOR APPROVAL TO ACCEPT THE CITY MANAGER'S
RECOMMENDATIONS RELATIVE TO THE RANKING OF FIRMS;
AUTHORIZE NEGOTIATIONS WITH SHARP AND XEROX, PURSUANT TO
INVITATION TO BID N0. 46-06/07 FOR THE LEASING OF COPIERS; AND
FURTHER AUTHORIZE THE MAYOR AND CITY CLERK TO EXECUTE
AGREEMENTS UPON COMPLETION OF SUCCESSFUL NEGOTIATIONS
BY THE ADMINISTRATION IN THE TOTAL ESTIMATED AMOUNT OF
5193,000.
ADMINISTRATION RECOMMENDATION
Accept the ranking authorizing negotiations and authorize execution of contracts.
FUNDING
Funds in the estimated amount of $193,000 are available from Citywide budgeted
accounts.
ANALYSIS
The purpose of Invitation to Bid No. 46-06/07 (the "Bid") is to establish a contract(s), by
means of sealed bids, to a qualified vendor(s) for Citywide digital copier service. The
contract is to include but not limited to the delivery, integration, installation, service and
maintenance including toners of ail equipment pursuant to this bid solicitation. This
includes an estimated 70 plus walk-up shared, integrated digital copiers to multiple
locations.
The Bid was revised, in response to vendors request in order for our requirements to be
standard to the industry, in a pre-bid meeting which was held on August 31, 2007. The
Bid was reissued September 10, 2007, with an opening date of September 26, 2007.
Both BidNet and RFP Depot issued notices to prospective bidders which resulted in the
receipt of the following eleven (11) bids:
1. BCS Document Solutions
2. DANKA Office Imaging
3. US Imaging Solutions
4. IKON Office Solutions .
5. BARLOP Business Systems
6. Accelerated Business Solutions
7. SHARP USA
8. XEROX Corporation
Commission Memorandum -1T8-46-06/07
February 13, 2008
Page 2 of 5
9. TGI Office Automation
10. RICOH Americas Corporation
11. TOSHIBA Business Solutions
The test of responsiveness performed by the Procurement Department resulted in the
following vendors being deemed non-responsive by failing to comply with the City's
General and Special Conditions:
RICOH Business Solutions
DANKA Office Imaging Company
A User Group (the "Group") convened on December 5, 2007, to review the responsive
bids. The Group consisted of the following individuals:
• Donnovan Ireland, Central Services Coordinator, Central Services
• Keith Wilder, Senior Management Analyst, Public Works Department
• Kristin Tigner, Assistant Director, Human Resources Department
• Linette Nodarse, Special Events Production Liaison, Tourism & Cultural
Development
• Nelson Martinez, Systems Support Manager, IT Support
• Rocio Rodriguez, Financial Analyst III, Parking Department
• VictorArmendariz, Records Manager, Building Department
• Vincent Tuzeo, Technology Coordinator, Police Tech Services
On January 8, 2008, the Group reconvened for copier demonstrations and to evaluate
and rank the responsive bidders. Nelson Martinez was unable to evaluate and rank due
to an emergency meeting. However, a quorum was obtained.
The Group received a 25 minute product demonstration from each bidder in order to
obtain visual and tangible display of the capabilities and functionality of each proposed
copier. In addition, the Group was provided with Performance Evaluation Surveys
received from clients of each vendor. The Group was also briefed on the Evaluation
Criteria and method of award to be utilized to rank the vendors.
Pursuant to Section 2-369 of the Miami Beach City Code, the City shall award the
contract to the lowest and best bidder. In determining the lowest and best bidder, in
addition to price, the Group considered the following Evaluation Criteria to rank the
bidders:
a. The experience and quailcation of the bidder (vendor) and key
personnel (10 points);
b. CostNalue (40 points);
c. Methodology/Approach (25 points);
d. Past performance based on number and quality of the Performance
Evaluation Surveys (10 points); and
e. Copier Demonstration (15 points).
Bidders were asked to quote on 5 different options of copier speed (one being a color
copier/printer), each falling within a volume range of copies, since it was stipulated in the
bid that no overages would be paid. Bidders were also asked to quote on a 36 month
lease agreement with option to renew and a 60 month lease agreement for an estimated
~~
Commission Memorandum - ITB-46-06/07
February 13, 2008
Page 3 of 5
70 plus walk-up shared integrated digital copiers to multiple locations. Should the City
elect to enter into a 3 year contract, said contract may be renewed by mutual agreement
for an additional 3 year term, whether the option to renew is exercised will be contingent
upon the needs of the City and market conditions at the time of renewal. The renewal
discussions may include but not be limited to cost of copiers and/or replacement of
copiers.
Because of the high level of complaints being addressed by the Procurement
Department repeatedly coming from various different departmental Procurement
Liaisons, it was established that a need to make a change was eminent. The Toshiba
copiers are 5 years old or older, which makes them apt to break down sooner, and parts
are no longer readily available.
The Group discussed their individual perceptions of the bidder's quaycations,
experience, cost/value, methodology/approach, past performance and copier
demonstration. The Group, after much discussion during deliberation, recommended
Sharp as the primary vendor and Xerox as the secondary vendor should Sharp be
unable to perform its contract obligations. Both vendors share the highly sought
attributes by the City departments placing reliability and service at the top of their list.
There are 85 copiers reported in the City of which 54 have a speed of 28 pages per
minute ("ppm") and 31 have a speed of 55 ppm.
The cost tabulation for each bidder is as follows:
Copies per
Minute
SHARP
XEROX
TOSHIBA
US IMAGING
20PPM (1,000 -
5,000
25 117.53
22 70.00
129.60
23 m 93.24
30PPM (5,000 -
10,000
31 136.32
194.00
35 199.41
221.71
45 PPM (10,000-
15,000
207.51
50 326.00
239.43
281.67
55 PPM (20,000 -
30,000
307.73
$384.00
399.00
469.03
COLOR COPIER
30 PPM 690.11 698.00 35 m 51.00 674.11
ACCELERATED
Copies per BUSINESS
Minute IKON BARLOP SOLUTIONS TGI
20PPM (1,000 -
5,000 25 m 175.00 23 0.14 25 m 134.43 21 53.00
30PPM (5,000 -
10,000 179.75 156.14 207.00 30 m 149.00
45PPM (10,000-
15 000 248.09 225.85 50 m 262.00 217.00
55PPM (20,000 -
30,000 367.04 X348.48 50 359.00 318.50
COLOR COPIER
30PPM 618.15 97.22 32 m 735.17 439.00
z~
Commission Memorandum - ITB-46-06/07
February 13, 2008
Page 4 of 5
RANKING ORDER
1. SHARP USA
2. XEROX Corporation
3. US Imaging Solutions
4. Accelerated Business Solutions
5. BARLOP Business Systems
6. IKON Office Solutions
7. TGI Office Automation
8. TOSHIBA Business Solutions
9. BCS Document Solutions
The Group recommended the following two (2) firms as primary and secondary:
SHARP USA -Four (4) first place votes.
XEROX Corporation -Three (3) first place votes.
Background of the two top-ranked bidders follows:
SHARP USA
Sharp will offer current production models with advanced capabilities which include, but
are not limited to, scanning to a-mail, embedded software with web-based management
tools.
Sharp is offering to work closely with the City, through a compilation of professionals,
starting from a project manager, an assigned account coordinator for service, an
assigned account manager for sales, as well as an assigned primary technician with four
back up technicians. The project manager will work with the City to create a customized
reporting tool which will be assessed by the City on a quarterly basis.
Sharp offers a 28,000 square feet full service facility located in Miami Lakes. It is a fully
stocked warehouse, parts department, shop service department, Gient services
department, accounting department, executives and sales department. Each technician
has a company vehicle that is fully stocked with commonly used parts for that account
which is called the "car stock". Sharp will offer an automated dispatch system (ADS)
which will tie the equipment ID number and nature of the problem with the client
information stored in the sharp business system database.
Sharp was awarded the "Evergreen Award" on January 21, 2008, in recognition of
outstanding environmental practices and a commitment to a sustainable future. The
Evergreen Award is granted to the government contractor that actively demonstrates the
highest overall commitment to environmentally sound manufacturing .and operating
procedures. Sharp meets our environmentally friendly requirement.
XEROX CORPORATION
Xerox offers to work closely with the City with a team of professionals led by the account
sales manager, followed by the account manager and an administrative national account
manager to ensure requirements are met.
Xerox will also work with the City to provide periodic management and service reports. as
well as automatic read (rather than manual). Xerox will offer enhanced features on their
00
Commission Memorandum - ITB-46-06/07
February 13, 2008
Page 5 of 5
copiers, such as print to (mailbox to save and store jobs to retrieve at a later time),
scanning to a-mail, scan to desktop, and scanning in color.
Xerox will provide Customer Service Engineers (CSE}who will provide maintenance and
service response. Xerox CSEs maintain inventory to allow fora 90% completion rate of
work performed within the same day to support machine failures, if it does not have the
part needed, it will tap into its Distribution Parts Network, with over 60 local and. regional
parts centers and national inventory center.
The Performance Evaluations Surveys revealed a highly satisfactory overall average
rating of 10 for both Sharp and Xerox.
Based on the aforementioned, the User Group recommended primary and secondary
awards, to Sharp and Xerox, respectively.
The monthly usage average expense with the current Toshiba copiers has been $15,500
with some months being either higher or lower for a total annual cost of $196,000. The
added benefit to the City with the recommended award is to have new copiers with
enhanced features in order to streamline the workflow as well as meeting higher
demands on the service level and maintenance expectations. Furthermore, the
recommended award. offers a range of speed options to allow each department to have
their needs met without the added overage charges in contrast to the previous contract.
The recommended contract(s) will not allow for any overage cost for departments
exceeding their copy allowances. Additionally, the total annual expenditures for each
department reflect the total value of new copiers as follows:
Current Average Coolers
Cost wlToshlba Sharu
28 ppm @ 31 ppm @
$85,063.32/Annual) $88,335.36/Annuall
55 ppm @ 55 ppm @
$119,828.64/Annuail $114,475.56/Annuall
CITY MANAGER'S REVIEW
Inasmuch as the Xerox 22 ppm is 40% lower in cost than the Sharp
25 ppm copier, the City Manager accepts the recommendation of the Group, Sharp as
primary and Xerox as secondary, but in exercising his due diligence, is recommending
that the Xerox 22 pages per minute copier be included in the award, unless Sharp via
negotiations, lowers its cost to the same or lower monthly cost as Xerox. All other
copiers are being recommended for award to Sharp as the lowest and best bidder.
CONCLUSION
The Administration recommends that the Mayor and City Commission, accept the City
Manager's recommendation relative to the ranking of fines; authorize negotiations with
Sharp and Xerox; and further authorize the Mayor and City Clerk to execute
agreement(s) upon completion of successful negotiations by the Administration.
T:\AGENDA\20081February 13\ConsenAlTB-48.08-07 Lessiny d Copiers - Memo.doc
3Q
~~ MIAMI BEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
To: Mayor Matti H. Bower and Members of the City Commission
FROM: City Manager Jorge M. Gonzalez
DaTE: February 13, 2008
suB~ECT: REQUEST FOR APPROVAL TO ACCEPT THE CITY MANAGER'S
RECOMMENDATIONS RELATIVE TO THE RANKING OF FIRMS;
AUTHORIZE NEGOTIATIONS WITH SHARP AND XEROX, PURSUANT TO
INVITATION TO BID NO. 46-06/07 FOR THE LEASING OF COPIERS; AND
FURTHER AUTHORIZE THE MAYOR AND CITY CLERK TO EXECUTE
AGREEMENTS UPON COMPLETION OF SUCCESSFUL NEGOTIATIONS
BY THE ADMINISTRATION IN THE TOTAL ESTIMATED AMOUNT OF
$193,000.
Accept the ranking authorizing negotiations and authorize execution of contracts.
FUNDING
Funds in the estimated amount of $193,000 are available from Citywide budgeted
accounts.
ANALYSIS
The purpose of Invitation to Bid No. 46-06/07 (the "Bid") is to establish a contract(s), by
means of sealed bids, to a qualified vendor(s) for Citywide digital copier service. The
contract is to include but not limited to the delivery, integration, installation, service and
maintenance including toners of all equipment pursuant to this bid solicitation. This
includes an estimated 70 plus walk-up shared, integrated digital copiers to multiple
locations.
The Bid was revised, in response to vendors request in order for our requirements to be
standard to the industry, in a pre-bid meeting which was held on August 31, 2007. The
Bid was reissued September 10, 2007, with an opening date of September 26, 2007.
Both BidNet and RFP Depot issued notices to prospective bidders which resulted in the
receipt of the following eleven (11) bids:
1. BCS Document Solutions
2. DANKA Office Imaging
3. US Imaging Solutions
4. IKON Office Solutions
5. BARLOP Business Systems
6. Accelerated Business Solutions
7. SHARP USA
8. XEROX Corporation
Commission Memorandum - ITB-46-06/07
February 73, 2008
Page 2 of 5
9. TGI Office Automation
10. RICOH Americas Corporation
11. TOSHIBA Business Solutions
The test of responsiveness performed by the Procurement Department resulted in the
following vendors being deemed non-responsive by failing to comply with the City's
General and Special Conditions:
RICOH Business Solutions
DANKA Office Imaging Company
A User Group (the "Group") convened on December 5, 2008, to review the responsive
bids. The Group consisted of the following individuals:
• Donnovan Ireland, Central Services Coordinator, Central Services
• Keith Wilder, Senior Management Analyst, Public Works Department
• Kristin Tigner, Assistant Director, Human Resources Department
• Linette Nodarse, Special Events Production Liaison, Tourism & Cultural
Development
• Nelson Martinez, Systems Support Manager, IT Support
• Rocio Rodriguez, Financial Analyst III, Parking Department
• Victor Armendariz, Records Manager, Building Department
• Vincent Tuzeo, Technology Coordinator, Police Tech Services
On January 8, 2008, the Group reconvened for copier demonstrations and to evaluate
and rank the responsive bidders. Nelson Martinez was unable to evaluate and rank due
to an emergency meeting. However, a quorum was obtained.
The Group received a 25 minute product demonstration from each bidder in order to
obtain visual and tangible display of the capabilities and functionality of each proposed
copier. In addition, the Group was provided with Performance Evaluation Surveys
received from clients of each vendor. The Group was also briefed on the Evaluation
Criteria and method of award to be utilized to rank the vendors.
Pursuant to Section 2-369 of the Miami Beach City Code, the City shall award the
contract to the lowest and best bidder. In determining the lowest and best bidder, in
addition to price, the Group considered the following Evaluation Criteria to rank the
bidders:
a. The experience and qualification of the bidder (vendor) and key
personnel (10 points);
b. Cost/Value (40 points);
c. Methodology/Approach (25 points);
d. Past performance based on number and quality of the Performance
Evaluation Surveys (10 points); and
e. Copier Demonstration (15 points).
Bidders were asked to quote on 5 different options of copier speed (one being a color
copier/printer), each falling within a volume range of copies, since it was stipulated in the
bid that no overages would be paid. Bidders were also asked to quote on a 36 month
lease agreement with option to renew and a 60 month lease agreement for an estimated
Commission Memorandum - ITB-46-06/07
February 13, 2008
Page 3 of 5
70 plus walk-up shared integrated digital copiers to multiple locations. Should the City
elect to enter into a 3 year contract, said contract may be renewed by mutual agreement
for an additional 3 year term, whether the option to renew is exercised will be contingent
upon the needs of the City and market conditions at the time of renewal. The renewal
discussions may include but are not be limited to cost of copiers and/or replacement of
copiers.
Because of the high level of complaints being addressed by the Procurement
Department repeatedly coming from various different departmental Procurement
Liaisons, it was established that a need to make a change was eminent. The Toshiba
copiers are 5 years old or older, which makes them apt to break down sooner, and parts
are no longer readily available.
The Group discussed their individual perceptions of the bidder's qualifications,
experience, cost/value, methodology/approach, past performance and copier
demonstration. The Group, after much discussion during deliberation, recommended
Sharp as the primary vendor and Xerox as the secondary vendor should Sharp be
unable to perform its contract obligations. Both vendors share the highly sought
attributes by the City departments placing reliability and service at the top of their list.
There are 85 copiers reported in the City of which 54 have a speed of 28 pages per
minute ("ppm") and 31 have a speed of 55 ppm.
The cost tabulation for each bidder is as follows:
Copies per
Minute SHARP XEROX TOSHIBA US IMAGING
20PPM (1,000 -
5,000 25 m/$117.53 22 m 70.00 129.60 23 m 93.24
30PPM (5,000 -
10,000 31 m/$136.32 194.00 35 m/$199.41 221.71
45 PPM (10,000-
15,000) $207.51 50 m/$326.00 $239.43 $281.67
55 PPM (20,000 -
30,000 307.73 384.00 $399.00 469.03
COLOR COPIER
30 PPM $690.11 $698.00 35 m/$451.00 $674.11
ACCELERATED
Copies per BUSINESS
Minute IKON BARLOP SOLUTIONS TGI
20PPM (1,000 -
5,000) 25 m 175.00 23 m 0.14 25 m 134.43 21 m 53.00
30PPM (5,000 -
10,000) 179.75 156.14 207.00 30 m 149.00
45PPM (10,000-
15,000) $248.09 $225.85 50 m/$262.00 $217.00
55PPM (20,000 -
30,000 $367.04 348.48 50 m $359.00 $318.50
COLOR COPIER
30PPM $618.15 $497.22 32p m/$735.17 $439.00
Commission Memorandum - /TB-46-06/07
February 13, 2008
Page 4 of 5
RANKING ORDER
1. SHARP USA
2. XEROX Corporation
3. US Imaging Solutions
4. Accelerated Business Solutions
5. BARLOP Business Systems
6. IKON Office Solutions
7. TGI Office Automation
8. TOSHIBA Business Solutions
9. BCS Document Solutions
The Group recommended the following two (2) firms as primary and secondary:
SHARP USA -Four (4) first place votes.
XEROX Corporation -Three (3) first place votes.
Background of the two top-ranked bidders follows:
SHARP USA
Sharp will offer current production models with advanced capabilities which include, but
are not limited to, scanning to a-mail, embedded software with web-based management
tools.
Sharp is offering to work closely with the City, through a compilation of professionals,
starting from a project manager, an assigned account coordinator for service, an
assigned account manager for sales, as well as an assigned primary technician with four
back up technicians. The project manager will work with the City to create a customized
reporting tool which will be assessed by the City on a quarterly basis.
Sharp offers a 28,000 square feet full service facility located in Miami Lakes. It is a fully
stocked warehouse, parts department, shop service department, client services
department, accounting department, executives and sales department. Each technician
has a company vehicle that is fully stocked with commonly used parts for that account
which is called the "car stock". Sharp will offer an automated dispatch system (ADS)
which will tie the equipment ID number and nature of the problem with the client
information stored in the sharp business system database.
Sharp was awarded the "Evergreen Award" on January 21, 2008, in recognition of
outstanding environmental practices and a commitment to a sustainable future. The
Evergreen Award is granted to the government contractor that actively demonstrates the
highest overall commitment to environmentally sound manufacturing and operating
procedures. Sharp meets our environmentally friendly requirement.
XEROX CORPORATION
Xerox offers to work closely with the City with a team of professionals led by the account
sales manager, followed by the account manager and an administrative national account
manager to ensure requirements are met.
Xerox will also work with the City to provide periodic management and service reports as
well as automatic read (rather than manual). Xerox will offer enhanced features on their
Commission Memorandum - ITB-46-06/07
February 13, 2008
Page 5 of 5
copiers, such as print to mailbox (to save and store jobs to retrieve at a later time),
scanning to a-mail, scan to desktop, and scanning in color.
Xerox will provide Customer Service Engineers (CSE) who will provide maintenance and
service response. Xerox CSEs maintain inventory to allow fora 90% completion rate of
work performed within the same day to support machine failures, if it does not have the
part needed, it will tap into its Distribution Parts Network, with over 60 local and regional
parts centers and national inventory center.
The Performance Evaluations Surveys revealed a highly satisfactory overall average
rating of 10 for both Sharp and Xerox.
Based on the aforementioned, the User Group recommended primary and secondary
awards, to Sharp and Xerox, respectively.
COST COMPARISON
The monthly usage average expense with the current Toshiba copiers has been $15,500
with some months being either higher or lower for a total annual cost of $196,000. The
added benefit to the City with the recommended award is to have new copiers with
enhanced features in order to streamline the workflow as well as meeting higher
demands on the service level and maintenance expectations. Furthermore, the
recommended award offers a range of speed options to allow each department to have
their needs met without the added overage charges in contrast to the previous contract.
The recommended contract(s) will not allow for any overage cost for departments
exceeding their copy allowances. Additionally, the total annual expenditures for each
department reflect the total value of new copiers as follows:
Current Average Copiers
Cost w/Toshiba Sharp
28 ppm @ 31 ppm @
$85,063.32/Annuall $88,335.36/Annuall
55 ppm @ 55 ppm @
$119,828.64/Annuall $114,475.56/Annuall
CITY MANAGER'S REVIEW
Inasmuch as the Xerox 22 ppm is 40% lower in cost than the Sharp
25 ppm copier, the City Manager accepts the recommendation of the Group, Sharp as
primary and Xerox as secondary, but in exercising his due diligence, is recommending
that the Xerox 22 pages per minute copier be included in the award, unless Sharp via
negotiations, lowers its cost to the same or lower monthly cost as Xerox. All other
copiers are being recommended for award to Sharp as the lowest and best bidder.
CONCLUSION
The Administration recommends that the Mayor and City Commission, accept the City
Manager's recommendation relative to the ranking of firms; authorize negotiations with
Sharp and Xerox; and further authorize the Mayor and City Clerk to execute
agreement(s) upon completion of successful negotiations by the Administration.
T:WGENDA\2008\Februery 13\ConsentllTB-48-OB-07 Leasing of Copiers - Memo.doc