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Home My WebLink About4.02 CompEquipBidWvr CTTY CLERK File # AG E N DA STATE M E NT CITY COUNCIL MEETING pDATE: August 3 :L999 SUBJECT: c-, Request for Bid Waiver: Purchase of Computer Equipment. (Prepared by: Nick Stevens, Information Systems Manager) ATTACHMENTS: 1. Department of General Services State of Californi?Letter 2. Resolution Waiving the Competitive Bid Process and Authorizing Staff to PurchaSe Computer Hardware Under State Contract. RECOMMENDATION: Adopt Resolution waving the Competitive Bid Process and Authorizing Staff to Purchase Computer Hardware Under State ~ ' Contract at the lowest price available. FINANCIAL STATEMENT: Adequate funding exists in the adopted Fiscal Year 1999-2000 budget. DESCRIPTION: Iii the adopted Fiscal Year 1999/2000 budget funding was appropriated for several computer related projects. In order to proceed with implementation in a timely and efficient manner it is important to procure the necessary equipment early in the fiscal year. Staff has evaluated a program operated by the State of California, which authorizes public agencies to make computer related purchases from pricing obtained Under a State of Cali£omia competitive bid process (Exhibit 1). Staff has determined that the use of this program will allow the implementation of the computer projects in a timely manner and assure that .the City is receiving competitive pricing. BID WAVER: The City's Purchasing Ordinance requires that major purchases be subject to a competitive sealed bid process. However, the City Council is aUthorized to waive this requirement Under certain exceptions. The following conditions must be met in order for Staff to proceed with procurement directly through the State of California authorized vendors: · When another public agency has administered a competitive bidding proCess within the past two years for the same or substantially similar supplies, services or equipment. · When City Council specifically waives the ~ompetitive bid process by a four-fifths (4/5) vote. The State of California has completed an exhaustive competitive bid process for computer hardware and software that is identical to that desired by the City. This contract i.s administ~red, by the State of California Department of General Services (DGS) through the California State Computer Store (Exhibit 1). The State currently has negotiated purchase agreements with two retail firms: Compucom and GE capital. Provided that a bid waiver is approved, Staff will obtain pricing from both and place the order based upon the best price received for the specified item. This process satisfies the first criteria Under the City of Dublin bid waiver policy. As noted it will be necessary for a4/5 vote to approve this procurement process. A resolution approving the exception to the purchasing ordinance is attached as Exhibit 2. COPIES TO: _. ITEM NO. -~_~ \kDUBLINFS2kNICKS$\CC Agenda'Statemenis\CC Agerid~i: lip ve~tras.Doc Scope of Items T° Be Purchased The City bUdgeted for the acqUisiti°n of 40 c0mpfiter WorkStations for Othis fiscal year~ Inthe first: fe~ weeks of the new year, we have already purchased four machines through the use of purchase orders. The remaining 36 machines will be bought in groups over the course of the fiscal year. The purcha[~ sUbmitted in this agenda item is the first of five groupings.'' UtiliZing reserVes fron~ the internal se~'i~e~ Fund, the City is Schedi le t-, o- 3 piaa' -'3id 3 purchased as far back as 1994 and are in need of being reph~e& ~Ihese:-older~ ~adfilneS~operate ineffectively on the City's netWork and newer Pentium III-based workstations will better meet the City's needs. Due to the storage limitations because of the Civic Center 'ect, these computers will be t as part was provided to replace nine compUters being used'in Police Services. The remaining' computers wiil"i~e ..... purchased as space and the build-out schedule allows. Staff proposes to purchase new workstations that will be capable °£ meeting the City'i needs f0r the nexi~ 3-4 years. In order to maintain standardized equipment~ S~ffls~'~5'~'~i~a~;~i~e/i"~'~'~i':'~'i~i~ standard workstatiOn, with anHP 17" monitor and'a 3coni'h~0ri~ i'ii~effaCe c~d. Estimated Costs Staff has obtained preliminary pricing for all items to be purchased. Staff'evaluaieffth~ ~i5~. b~'ed"Ui~fi all ChargeS including sales tax and'a State surcharge ofi:21%~' The"~'l;i~ under the State contract and reimburses the statefor their CoSt in preparing thepurChasa progrm, staff believes that the total costiS Competitive and it reduces ~e's~ Costs in and administering a sealed bid process. In addi~i~)~'i~:~e tnty can procurement in a much shorter time frame than would be required if a seal~d'~b~d The following reflects the preliinln~~ io~clii~'~-i~'~i~a' -~,(~i~a~ri~e~'i~e~,--i~-~-¢~i~ this Bid Waiver: Item Quantity Unit Price Total HP Vectra VE, PII1450Mbz, 64MB ~ ............ 9 ........ $1,~'~4107 $ii5,92~.'6§ ................ HP 3Com NIC 9 $79.55 $715.95 HP 17" Monitor 9 _ $332.10 $2'988190 Service Charge 1.21% $177.04 Sales Tax 8.25% $1,207.10 Total $16,015.62 These prices received for the hardware reflect significant di'sco~,uts price. 'Th~ ................ City has previously utilized the State Contract to obtain hai:dWare ....................... systems. There is sufficient funding in the adoptedirit~rnkl 'S~ide~F~i get in order to purchase the identified items. Recommendation ecomrnends that the C~ty Counml adopt the Kesolut~on m ExhilS~t 2 and authorize ~ to pr~~ with the procurement of nine Hewlett PaCkard computer PC workstations at a cost of $16,015.62 through the California state purchasing program. ~.,c',m'~DEPARTMENTomc~ OF GENERAL SERVICES Dear Information Technology Customer:. Welcome to the California State Computer Store[ We are' happy to have the opportunity to serve you with storewide services and locations in Sacramento, San Francisco and Los Angeles. We hav~/'chosen through oui-competitive bidding process two outstanding business partners to oper~t'e our store facilities: GE Capit~.t IT Solutions and Compucom, Inc. GE Capital IT Solutions has the contract for the Sac. ramento store; Gompucom operates the stores in San Francisco' and Los Angeies. Both firms are highly respected information technolo~st integrators with years of experience serving government, education, and commercial customers nationwide. Our three stores detiver information technology products, services and solutions to cities, c°unties, special districts, public education, and state agencies throuahout California. We continue to streamline the business of g6vemment by providing our customers products and expertise that give the gift of time. The store has several time saving features including a catalog on the Intemet at wwW. dgs.ca.gov. · I urge you to contact your customer account manager at the Department of ' General Services, Ohice of Information Services to learn how we can help you be more productive. If you do not know your customer account manager, call (916)324-6255 for more information. _ Yours sincerely, PETER G. STAMISON, Director DepaM~ment of General Services '' ..... A-z7 ATTACHMENT 1 RESOLUTION NO. - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN WAIVIiNG THE COMPETITIVE BID PROCESS AND AUTHORIZING STAFF TO NEGOTIATE THE PURCHASE OF COMPUTER HARDWARE AS PART OF A STATE OF CALIFORNIA NEGOTIATED PURCHASE AGREEMENT WHEREAS, the Dublin Municipal Code provides that exceptions to the competitive bid process may be approved by the City Council subject to certain conditions; and WHEREAS, waivers of the competitive bid process are valid only upon approval by a four-fifth (4/5) City Council Vote; and WHEREAS, the State of California has administered a competitive bid process and selected three retail vendors to sell computer related soft-ware and equipment at established prices; and WHEREAS, the State of California has extended the ability for local government agencies to obtain this preferred pricing for qualified purchases; and WHEREAS, the City of Dublin is in need of purchasing computer hardware in a cost effective manner. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does specially waive the competitive bid process pursuant to Dublin Municipal Code §2.36.050(a)(11) and authorizes Staffto purchase computer hardware as presented in the Staff'Report of August 3, 1999. PASSED, APPROVED AND ADOPTED this 3rd day of August, 1999. AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: City Clerk K~ G/8-3-99/reso-computers. doc F:\CC Agenda StatementskHP Vectra Resolution. doc ' ~ ATTA C H M E NT 2