SR 05-09-2023 5A
City Council
Report
City Council Meeting: May 9, 2023
Agenda Item: 5.A
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To: Mayor and City Council
From: Joseph Cevetello, Chief Information Officer, Information Services Department
Subject: Award Agreement with Konica Minolta Business Solutions for Managed Print
Services
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of no possibility of significant effect on the environment pursuant
to Section 15061(b)(3) (Common Sense Exemption) of the
California Environmental Quality Act (CEQA) Guidelines.
2. Authorize the City Manager to negotiate and execute an agreement with Konica
Minolta Business Solutions for Managed Print Services (MPS) for the Information
Services Department. This recommended award is made as an exception to the
competitive bidding process pursuant to Section 2.24.250 (c) and is for a total
amount not to exceed $1,105,000 over a five-year period.
Summary
In recent years, the City has made a concerted effort to modernize City systems and
services and has implemented technologies to allow staff to work throughout the City
campus. The City’s printing needs have shifted in response to these changes as staff
print at multiple printers not only the one closest to their desk, and the amount and type
of printing has transformed. The City’s current fleet of printers from a variety of vendors
are both leased and owned and many have exceeded their life expectancy. This
approach to City printing is inefficient and complicates support and management of
printing technology.
A Managed Print Services (MPS) program would allow for the assessment,
consolidation, and management of the City’s copier and printer needs, while ensuring
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that the devices are serviced, maintained, and/or replaced by a vendor. This will
minimize downtime, improve repair response, and ensure consistent technology and
tools for staff at a lower annual cost than what the City pays currently. Staff
recommends that Konica Minolta Business Solutions (Konica) be awarded a five-year
contract not to exceed $1,105,000 to provide managed print services as an exception to
the competitive process, pursuant to State of Colorado Solicitation #RFP-NP-18-001
(NASPO Value Point Master Agreement for Copies and Managed Print Services ).
Discussion
The City currently has a fleet of approximately 290 printing devices from various
vendors of which 150 are Konica devices. Of the total, approximately half are under a
maintenance agreement. This means that 50% of our printing devices are not covered
for repair costs. Given their age, the City is experiencing increased costs for repair that
are not covered under any contract. In addition, the current printer fleet is spread
across multiple purchase orders, which requires significant staff time to manage. The
City currently spends approximately $240,000 annually on Ricoh and Konica printers
excluding toner and paper. The City also has approximately 50 HP printers that are not
currently supported. Over the next four years, the City plans to replace all non -Konica
printers with Konica devices and centralize printing contracts and payments. This
moves all devices under one comprehensive contract and includes maintenance and
support for all City printers at a lower annual cost than what the City pays currently. In
addition, the City will seek to reduce the number of printing devices based on actual
printing requirements, potentially reducing the annual printing costs in future years
(starting in Year 2 of this contract).
A MPS program would consolidate the City’s printer equipment, by implementing a
strategy that best suits the City’s printing, scanning, and copying needs, creating a
single enterprise agreement for the procurement, support, and management of all City
printers. As part of their scope of services, Konica would evaluate existing printers and
replace, maintain, or retire equipment. They will provide a plan to transition existing
devices into this new comprehensive agreement. Under this contract, the City would be
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consolidating all owned and leased printers (including HP and Ricoh) into the Konica
fleet and replace all non-Konica devices within five years.
The proposed MPS project will also modernize the City’s printer management
capabilities, support printing from mobile devices and allow for more detailed usage and
cost reporting. MPS will also significantly improve service response time.
Funding for this contract over a 5-year period includes:
Year 1 - $195,000
Year 2- $208,000
Year 3- $221,000
Year 4- $234,000
Year 5- $247,000
Staff seeks approval to enter into an agreement with Konica as an exception to the
competitive process.
Exception to Competitive Bidding
Staff recommends Konica Minolta Business Solutions to provide managed print services as an
exception to competitive bidding per Municipal Code 2.24.250(c), as defined below. The State of
Colorado conducted a competitive process in 2018 through NASPO Value Point, for copiers and
managed print services (which resulted in Master Agreement No. 140597). Contract No. 140597 was
awarded on August 2019 to Konica Minolta to provide Multi-function Devices (MFD’s), Single-function
Printers, Production Equipment, Large/Wide Format Equipment, Scanners, and MPS and software
bundles that enable and enhance the productivity and capability of the Devices. The City of Santa
Monica will utilize this contract which offers the most competitive pricing for MPS services and best
meets the City’s needs.
c. When Competitive procedures were followed by a governmental agency, including a federal, state,
county, city, joint powers agency, special district, or cooperative purchasing agency consisting of
one or more such agencies, that are equivalent to the procedures set forth in this Chapter, and the
goods or services are supplied to the City at the same or better price as the price obtained by that
agency.
Environmental Review
The award agreement is categorically exempt from CEQA pursuant to Section
15061(b)(3) of the CEQA Guidelines. The award agreement is covered by the
commonsense exemption which states that CEQA does not apply, “where it can be
seen with certainty that there is no possibility that the activity in question may have a
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significant effect on the environment.” The agreement will provide the
City with managed printing services. Therefore, it can be seen with certainty that the
proposed agreement would not result in adverse physical impacts on the environment,
and as such, is categorically exempt from CEQA.
Financial Impacts and Budget Actions
Staff seeks authority to approve funding from the Information Technology Replacement
and Services Fund to award an agreement with Konica Minolta Business Solutions for
managed print services. Funds for this purchase are available in the FY 2022-23 Capital
Budget. Various funds will reimburse the Information Technology Replacement
and Services Fund based on actual expenditures. Printing software included in this
contract will allow the City to document actual usage for billing by Department/Division.
Contract Request
FY 2022-23
Budget
Request Amount
Future Budget Requests Department/CIP Account # Total Contract
Amount
$195,000 $910,000 C7100030.689000 $1,105,000
Prepared By: Margaret Talamantes, Administrative Services Officer
Approved
Forwarded to Council
Attachments:
A. Oaks Konica Minolta 2023
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CITY OF SANTA MONICA
OAKS INITIATIVE NOTICE
NOTICE TO APPLICANTS, BIDDERS, PROPOSERS
AND OTHERS SEEKING DISCRETIONARY PERMITS, CONTRACTS,
OR OTHER BENEFITS FROM THE CITY OF SANTA MONICA
Santa Monica’s voters adopted a City Charter amendment commonly known as
the Oaks Initiative. The Oaks Initiative requires the City to provide this notice and
information about the Initiative’s requirements. You may obtain a full copy of the
Initiative’s text from the City Clerk.
This information is required by City Charter Article XXII—Taxpayer
Protection. It prohibits a public official from receiving, and a person or entity from
conferring, specified personal benefits or campaign advantages from a person or
entity after the official votes, or otherwise takes official action, to award a “public
benefit” to that person or entity. The prohibition applies within and outside of the
geographical boundaries of Santa Monica.
All persons or entities applying or receiving public benefits from the City of
Santa Monica shall provide the names of trustees, directors, partners, and officers,
and names of persons with more than a 10% equity, participation or revenue interest.
An exception exists for persons serving in those capacities as volunteers, without
compensation, for organizations exempt from income taxes under Section 501(c)(3),
(4), or (6), of the Internal Revenue Code. However, this exception does not apply if
the organization is a political committee or controls political committees. Examples of
a “public benefit” include public contracts to provide goods or services worth more
than $25,000 or a land use approval worth more than $25,000 over a 12-month
period.
In order to facilitate compliance with the requirements of the Oaks Initiative,
the City compiles and maintains certain information. That information includes the
name of any person or persons who is seeking a “public benefit.” If the “public
benefit” is sought by an entity, rather than an individual person, the information
includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d)
officer, or has (e) more than a ten percent interest in the entity. Therefore, if you are
seeking a “public benefit” covered by the Oaks Initiative, you must supply that
information on the Oaks Initiative Disclosure Form. This information must be updated
and supplied every 12 months.
DocuSign Envelope ID: F5640921-D7EB-4EC2-8E1F-FA0F136C567F
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Packet Pg. 85 Attachment: Oaks Konica Minolta 2023 (5190 : Award Managed Print Services Contract)
FOR CITY USE ONLY:
Bid/PO/Contract #___________________________Permit #
CITY OF SANTA MONICA
OAKS INITIATIVE DISCLOSURE FORM
In order to facilitate compliance with the requirements of the Oaks Initiative, the
City compiles and maintains certain information. That information includes the
name of any person or persons who is seeking a “public benefit.” If the “public
benefit” is sought by an entity, rather than an individual person, the information
includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d)
officer, or has (e) more than a ten percent interest in the entity.
Public benefits include:
1. Personal services contracts in excess of $25,000 over any 12-month period;
2. Sale of material, equipment or supplies to the City in excess of $25,000 over a
12- month period;
3. Purchase, sale or lease of real property to or from the City in excess of
$25,000 over a 12- month period;
4. Non-competitive franchise awards with gross revenue of $50,000 or more in
any 12-month period;
5. Land use variance, special use permit, or other exception to an established
land use plan, where the decision has a value in excess of $25,000;
6. Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12-
month period; or
7. Payment of “cash or specie” of a net value to the recipient of $10,000 in any
12- month period.
Name(s) of persons or entities receiving public benefit:
Name(s) of trustees, directors, partners, and officers:
Name(s) of persons with more than a 10% equity, participation, or revenue interest:
Prepared by: ___________________________ Title:___________________________
Signature:_______________________________________ Date:__________________
Email:_____________________________________Phone:______________________
04/20/2023
Assistant SecretaryMyrthaEugene
201-825-4000cbdg@kmbs.konicaminolta.us
None
Please refer to attached Konica Minolta's Secretary Certificate
Konica Minolta Business Solutions U.S.A.,Inc.
DocuSign Envelope ID: F5640921-D7EB-4EC2-8E1F-FA0F136C567F
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Packet Pg. 86 Attachment: Oaks Konica Minolta 2023 (5190 : Award Managed Print Services Contract)
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Packet Pg. 87 Attachment: Oaks Konica Minolta 2023 (5190 : Award Managed Print Services Contract)
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Packet Pg. 88 Attachment: Oaks Konica Minolta 2023 (5190 : Award Managed Print Services Contract)