AGENDA MEMORANDUM

 

 

Meeting Date:           September 8, 2008

 

From:                          Mike Thornton, Purchasing Manager

 

Subject:                      Resolution authorizing an agreement with Capital Office Products, Inc. to provide office products and supplies as needed.

 

 

Staff Recommendation:

Staff recommends approval of the resolution authorizing an agreement with Capital Office Products, Inc. to provide office products and supplies, as needed.

 

Analysis:

Departments within the City of Leesburg have the need to purchase office products and supplies necessary to their regular operation.  The purpose of this agreement is to contract with an interested and qualified company to provide office products and supplies at the quoted unit prices and discount percentages.

 

This solicitation was issued as a cooperative effort between Lake County Procurement Services and the City of Leesburg.  The City’s participation in this solicitation with Lake County allows us to benefit from their higher usage of this commodity.  The pooled usage of both agencies will result in lower pricing than the City could obtain on our own.

 

On June 13, 2008 Lake County Procurement Services issued county Request for Proposal (RFP) 08-0616.  On July 9, 2008 the county received three responses to the RFP.

 

Three Lake County staff members and I evaluated the proposals from interested firms. The committee determined that Capital Office Products offered the best pricing as well as meeting all the requirements for service, on-line ordering, and reporting.

 

A summary of the responses received are attached for your review.  The summary includes the value for quoted unit prices on core items as well as percentage discounts for other categories within the office products and supplies commodity.  An office product contract for large organizations typically includes a core list and a discount percent off other categories not in the core list.  The core list is defined by the City and will include the City’s high use items.  The vendor is able to give the best pricing on the core list of known items.  Departments are encouraged to use items from the core list as much as possible to realize the biggest savings.  Leesburg will be able to adjust the core list quarterly based on past use.  The City can remove items no longer used and add items being used more frequently.

 

The pricing tabulation that is attached includes percentage discounts for non-core items.  For the discounts to be equal all vendors were instructed the discount would be off the SP Richards List price.  SP Richards is a nationally recognized wholesaler of office products.  Using this list price established the same ‘starting point’ for all vendors submitting a proposal.  As you can see from the summary sheet, Capital was very aggressive in their discount pricing on printer toner/ink cartridges.  Toner cartridges are a high use-high cost commodity for the City.

 

Evaluation items to note:

 

 

Several departments within the City of Leesburg have been approved to use Capital Office Products for about six months.  At that time, and currently, Capital offered better pricing than Office Depot on copy paper and many other items.  The departments using Capital office products have been very satisfied with their pricing and service.

 

The initial term of the contract will be for one year effective October 1, 2008, and will provide for four one-year renewals.

 

Options:

1.  Approve execution of the agreement with Capital Office Products, Inc.; or

2.  Such alternative action as the Commission may deem appropriate

 

Fiscal Impact

The exact fiscal impact is unknown as it depends on actual purchases by departments throughout the term of the contract.  Based on the significant discount percentages, the City should realize a cost savings with this new contract.

 

Submission Date and Time:    9/4/2008 4:46 PM____

 

Department: _Finance________________

Prepared by:  _Mike Thornton__________                     

Attachments:         Yes__X_   No ______

Advertised:   X___Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                 

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. __________________                                     

                              

Deputy C.M. ______EVES________                                                                         

Submitted by:

City Manager ___________________

 

Account No. ____NA__________

 

Project No. _____NA__________

 

WF No. ________NA___________

 

Budget  ________NA___________

 

Available _______NA___________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH CAPITAL OFFICE PRODUCTS, INC. FOR PROVIDING OFFICE PRODUCTS AND SUPPLIES; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement with Capital Office Products whose address is 700 Ballough Rd., Daytona Beach, Florida 32114-2210 for providing office products and supplies on an as needed basis pursuant to Lake County and City of Leesburg cooperative Request for Proposal 08-0616.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the __8th___ day of ___September______ 2008.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

___________________________________

City Clerk