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HomeMy WebLinkAboutMINUTES - 03312015 - C.108RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute, on behalf of the Public Works Director, a third-party lease/purchase agreement with IBM Credit, LLC, in an amount not to exceed $199,000 for the financing of equipment in the Library’s public copier fleet for the period April 1, 2015 through March 30, 2018. FISCAL IMPACT: Revenue from copying and printing fees offsets a significant portion of the cost. BACKGROUND: On May 7, 2013, the Board of Supervisors approved a board order authorizing the Purchasing Agent to execute a rental/lease agreement with Sharp Business Systems for public printer and copier devices. The current request would authorize the Purchasing Agent to enter into a lease/purchase with IBM Credit, LLC, for the financing of equipment in the Library’s public copier fleet. This transaction will reduce the Library’s costs by as much as $110,000 in rental fees. Purchasing Services has negotiated the pre-payment of equipment costs with Sharp Business Systems. The pre-payment of $177,730 APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 03/31/2015 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor ABSENT:John Gioia, District I Supervisor Federal D. Glover, District V Supervisor Contact: David Gould (925) 313-2151 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: March 31, 2015 David Twa, County Administrator and Clerk of the Board of Supervisors By: Chris Heck, Deputy cc: C.108 To:Board of Supervisors From:Julia R. Bueren, Public Works Director/Chief Engineer Date:March 31, 2015 Contra Costa County Subject:Third-party Lease/Purchase Agreement with IBM Credit, LLC, for Public Library Copiers BACKGROUND: (CONT'D) will be financed through IBM Credit, LLC, at an interest rate not to exceed 2.3% over three years. The total of payments is not to exceed $199,000. In addition, no additional equipment costs will be incurred if the Library retains underutilized equipment beyond three years. Savings for the remaining 42 months of the initial lease-rental is $34,436. If the Library retains the equipment for years four and five, the savings could increase to $110,000. CONSEQUENCE OF NEGATIVE ACTION: Failure to approve the request will not result in operational savings. CHILDREN'S IMPACT STATEMENT: Not applicable.