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°�-421 "_ty STAFF REPORT
Administrative Services Department
DATE: June 18, 2013
TO: Honorable Mayor and City Council
FROM: Hue Quach, Administrative Services Director
By: Jan Steese, Purchasing Officer
SUBJECT: AUTHORIZE AND DIRECT THE CITY MANAGER TO EXECUTE A
THREE YEAR AGREEMENT WITH THE WORKSHOP FOR CITYWIDE
PRINTING SERVICES FOR A NOT TO EXCEED AMOUNT OF $200,000
ANNUALLY BEGINNING JULY 1, 2013, THROUGH JUNE 30, 2016,
WITH THE OPTION OF THREE ONE -YEAR RENEWALS AT THE END
OF THE TERM OF THE AGREEMENT.
Recommended Action: Approve
SUMMARY
In August, 2010, the City Council approved a three year contract for citywide printing
services with Licher DM in the amount not to exceed $270,000 annually. The current
contract is due to expire on June 30, 2013. In April, 2013, staff began the process to
solicit proposals for a new contract for citywide printing services. Proposals were
reviewed by a committee represented by several departments. After careful evaluation
of the proposals, it is recommended City Council approve the award of citywide printing
services to the lowest responsible proposer, The Workshop.
BACKGROUND
The City of Arcadia has outsourced its printing services for many years. The current
contract is with Licher DM and is due to expire on June 30, 2013. Licher DM currently
produces various printed materials such as the newsletter, envelopes, letterhead,
business cards, the Connection, the Hot Sheet and others. In 2010, when the contract
was established with Licher DM, it was intended to cover all printing services citywide.
However, throughout the course of the first year of the contract, staff required printing of
specialty items that were not included in the original contract with Licher DM. When
staff compared pricing from Licher DM, The Workshop, and The Sauce Creative
Services, it was discovered that The Workshop and The Sauce Creative Services could
produce some of the specialty printing projects at a lower price than Licher DM. As a
Award of Citywide Printing Services Contract
June 18, 2013
Page 2 of 3
result of the realized cost savings, it was determined that it would be in the best interest
of the City to seek competitive proposals as opposed to renewing the existing contract
with Licher DM.
DISCUSSION
On April 15, 2013, staff prepared and mailed proposals to thirty -five (35) prospective
vendors. A mandatory pre - proposal meeting was held on April 30, 2013, to allow all
prospective proposers the opportunity to view approximately 168 samples of documents
currently being printed, as well as the opportunity to ask questions about the current
contract and submittal of their proposals. Four (4) proposers attended the mandatory
pre - proposal meeting. The attendees were The Workshop, Licher DM, The Sauce
Creative Services, and Glendale Printing. On May 7, 2013, the City received two (2)
responses to the request for proposals from The Workshop and Licher DM.
A committee consisting of representatives from various city departments was formed to
evaluate the proposals. The committee considered the proposers' thoroughness and
understanding of the scope of work; the company's related experience, references, and
quality of proposals submitted; and overall costs. The results of the committee's
evaluation of the proposals are as follows:
Evaluation Categories
The
Workshop
Licher
DM
Thoroughness & Understanding of Scope of Work (25
points possible)
24.38
22.50
Related Experience (20 points possible)
19.75
20.00
References (20 points possible)
13.88
12.88
Proposal Quality (15 points possible)
19.13
15.38
Cost Proposal (20 points possible)
18.63
13.63
Total averaged points (100 points possible)
95.77
84.39
The RFP stated that all prices quoted are to include delivery and pick up of all
documents, forms, catalogs, plates, negatives, graphic design services, typesetting,
packaging, software, all sub - contractors used, all consumables expended, all overhead,
and any other related costs not specifically mentioned therein. When determining costs,
The Workshop's overall cost was lower than Licher DM. Cost proposals provided by the
two companies are as follows:
The Workshop $142,202
Licher DM $179,405
Award of Citywide Printing Services Contract
June 18, 2013
Page 3 of 3
Staff is confident that The Workshop can perform citywide printing services on a
satisfactory basis as needed. Based on the committee's overall evaluation of the
proposals and the costs submitted by both companies, it is recommended that the City
Council authorize the award of a contract for citywide printing services to The Workshop
for the period of July 1, 2013, through June 30, 2016, with the option to renew annually
for a maximum of three one -year periods.
FISCAL IMPACT
The funding for citywide printing services is included within each department's operating
budget. It is anticipated that the annual costs for printing services will not exceed
$200,000 which will include funds for any special projects that may arise during the
2013 -14 Fiscal Year.
RECOMMENDATION
It is recommended that the City Council authorize and direct the City Manager to
execute a three year agreement with The Workshop for citywide printing services for a
not to exceed amount of $200,000 annually beginning July 1, 2013, through June 30,
2016, with the option of three one -year renewals at the end of the term of the
agreement.
ApprovQd_
Dominic Lazzare�t�
City Manager