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Agenda Item 4A Staff Originator: Ann J. Blair, City Clerk Date: August 12, 2002 Topic: Consider Resolution No. 02-94 Approving the Purchase of Scanner and Designating Funding Source Votes Required: Simple Majority (3/5) Background At the August 8, 2002 Work Session, the Council considered and discussed Staffs recommendation that a new scanner unit and its accompanying software be purchased for the City. Staff has proposed that approximately $20,000.00 be approved for this purchase, with the funding source identified as Contingency Account 10 1 -499-4905-000. Staff recommends the purchase of a multi -function scanner / printer / copier unit from Coordinated Business Systems based upon their quotation. This purchase includes the hardware, acessories, software, technical support, installation, and ongoing training. It also includes a 90-day standard electro/mechanical parts and labor warranty, as well as a 5-year manufacturer's guarantee which provides limited additional coverage. A full service maintenance agreement is available which is inclusive and covers repair and replacement and all items except for paper and staples. The maintenance agreement is volume -based and is one-third of a cent (.0003) for scanned images and not more than .0125 (approx. one cent) for printed or copied images. Currently, our existing copy -only machine generates a volume of approximately 31,500 images per month at a cost per image of .0132. It is not known exactly how many images per month the new scanning unit will reduce the volume on the current machine, but it will extend the life of the existing copying and printing machines and therefore forestall the need for future replacement. Maintenance is typically performed on a quarterly basis. Because it is difficult to estimate volume at this point, the vendor, Coordinated Business Systems, is willing to provide the City with a full service maintenance agreement for the first quarter (through December, 2002) for a fee of $300, which is based upon a volume of 30,000 prints and unlimited scanned images. After that time, usage would be evaluated and estimated based upon the quoted per -image rates.