Report to Mayor and City Council
Tuesday, May 03, 2022
Consent
SUBJECT:
Title
CONSIDER APROVING A COOPERATIVE PURCHASING AGREEMENT WITH STAPLES ADVANTAGE FOR OFFICE SUPPLY CATALOG SOLUTIONS (OFFICE SUPPLIES) AND JANITORIAL SUPPLIES IN A NOT-TO-EXCEED AMOUNT OF $400,000 PER FISCAL YEAR (CITY COUNCIL)
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I. SUMMARY
City department’s use competitively solicited cooperative agreements by other government jurisdictions or public agencies to maximize cost savings and efficiently use staff resources when purchasing goods and services. Sourcewell, a State of Minnesota local government agency, awarded two contracts to Staples LLC: Contract No. 012320-SCC for Office Supply Catalog Solutions (Office Supplies); and Contract No.101320-SCC Janitorial Supplies. These two contracts are available to the City of Carson to be used as cooperative purchasing agreements. Staples Contract & Commercial LLC provides office equipment and supplies, and custodial supplies required by City departments. Staff is recommending approving the use of Sourcewell's cooperative purchasing agreements with Staples LLC for an amount not to exceed $400,000 per fiscal year.
II. RECOMMENDATION
Recommendation
TAKE the following action:
1. WAIVE the formal bidding procedures as defined by the Carson Municipal Code, Section 2610, as allowed by Section 2611 (g).
2. AUTHORIZE the City of Carson to utilize a Cooperative Purchasing Agency, Sourcewell, as allowed by Section 2611 (g) and issue Citywide purchase orders for an amount not-to-exceed $400,000 per fiscal year.
3. APPROVE the award of term purchase order contracts for both office supplies and janitorial supplies to Staples for the period beginning July 01, 2022 through November 16, 2024, for a not-to-exceed amount of $400,000 per fiscal year.
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III. ALTERNATIVES
TAKE any other action the City Council deems appropriate.
IV. BACKGROUND
Staples Contract & Commercial LLC has been the City of Carson’s primary vendor for Office Supply Catalog Solutions, and Janitorial Supplies on an as-needed basis through will call and online ordering. The Staples online portal allows department staff to create a quote or an item list and save the list through the internet. The Finance department purchasing team accesses the online portal, reviews departments’ request(s), adds items to the cart, and completes the purchase. This process has proven to be efficient, convenient, and cost effective.
To maximize cost savings and staff resources, many governmental jurisdictions or public agencies combine their contracting efforts through cooperative purchase agreements, which increases pricing competitiveness and lowers operating costs through significant volume discounts. When comparing the administrative costs required, such as product research, vendor research, advertising, awarding and administering the contract, it is more cost effective to make purchases through a cooperative purchase agreement. The pricing terms and conditions for this agreement were determined through a competitive solicitation conducted by Sourcewell.
The recommendations in this report are in accordance with the City Purchasing Code Section 2611 which authorizes City departments, when it is advantageous to the City, to use cooperative purchasing agreements approved by the City Council to purchase supplies through legal contracts of other governmental jurisdictions or public agencies, eliminating the need to perform additional competitive bidding.
This Cooperative Purchasing Agreement was created, competitively bid, evaluated, and awarded by Sourcewell through the following Request for Proposals: RFP No. 012320 dated on January 23, 2020 (Office Supply Catalog Solutions) and RFP No. 101320 dated October 13, 2020 (Janitorial Supplies and Equipment with Related Services).
• Office Supply Catalog Solutions No. 12320-SCC: Contract Term effective February 02, 2021 to November 16, 2024, and may be extended up to one additional one-year period upon request of Sourcewell and with written agreement by Vendor.
• Janitorial Supplies and Related Custodial Products No. 110415-SCC:Contract Term effective February 01, 2021 to November 16, 2024, and may be extended up to one additional one-year period upon request of Sourcewell and with written agreement by Vendor
The Cooperative Purchasing Agreement will allow the City of Carson to:
• Meet the requirements for competitive solicitation
• Eliminate the need for RFPs, making it easier and faster to receive needed supplies
• Gain access to thousands of products for same day purchasing, including all in-stock items at the Staples store located within the City of Carson, including special order items.
V. FISCAL IMPACT
Funds requested for the use of this cooperative agreement are already included in the Fiscal Year 2022-2023 proposed budget. Departments will use their own funding to purchase these products as required.
VI. EXHIBITS
Prepared by: Rita McCullum, Purchasing Manager