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APPROVE A MOTION TO ENTER INTO AN AGREEMENT WITH TECH LOGIC CORPORATION TO PURCHASE SELF-CHECKOUT MACHINES AND SOFTWARE LICENSING FOR STOCKTON-SAN JOAQUIN PUBLIC LIBRARIES
recommended action
RECOMMENDATION
It is recommended that the City Council approve a motion to:
1. Authorize the City Manager, or designee, to execute an Agreement with Tech Logic Corporation in an amount not to exceed $181,974.60 for the first year of the Agreement. (Attachment A), and with renewals as specified in the Agreement.
2. Approve findings that support and justify an exception to the competitive bidding process.
3. Authorize the City Manager, or designee, to take necessary and appropriate actions to carry out the purpose and intent of this motion.
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Summary
The Community Services Department staff recommend entering into a new contract with Tech Logic Corporation to purchase self-checkout machines, self-checkout software licensing, and continued support for 13 branch libraries. The proposed purchase will be to replace previously purchased equipment that is no longer supported. The estimated amount in year one is not to exceed $181,974.60. Beginning in year two, annual costs of Licensing and Extended Hardware Warranties are estimated at $21,287.47.
DISCUSSION
Background
The City issued a Request for Proposals (RFP) for library self-checkout systems (PUR 23-006) in November 2022. The RFP review committee, consisting of representatives from Community Services and Information Technology selected Tech Logic Corporation to provide self-checkout machines, self-checkout software licensing, and continued support for 13 branch libraries.
Present Situation
The Stockton-San Joaquin County Public Library System (SSJCPL) provides services at 13 branches, 3 micro libraries, and one bookmobile.
SSCPL procured a new self-checkout system in 2010. The machines that were purchased are no longer supported as they run on Windows XP and the programming is no longer updated and maintained by the original vendor.
It is advantageous for the Stockton-San Joaquin County Public Library system to implement new self-checkout machines and software to replace outdated and unsupported products.
Findings
Pursuant to the Stockton Municipal Code (SMC) section 3.68.070, City Council may approve findings that support an exception to the competitive bidding process. These findings include:
1. The scope of work requires a company experienced in library self-checkout installation and configuration.
2. Use of the RFP process is appropriate for this contract because the project requires specialty work. Since specialty work is required to be performed in strict compliance with City standards, vendor procurement relies on criteria for the evaluation of professional qualifications and performance as the basis for selection. Use of the criteria helps ensure selection of a vendor that will provide the highest quality professional service, which is in the public interest.
3. The City negotiated a contract following the solicitation of competitive proposals in accordance with SMC section 3.68.070.A.3.
FINANCIAL SUMMARY
The County Libraries are funded by San Joaquin County, City Libraries are funded by the City of Stockton. First year licensing and material purchase costs, estimated at $181,974.60, are included in both FY 2023-24 adopted budgets. Beginning in year two of the agreement, licensing and warranty costs, estimated at $21,287.47, will accrue annually and increase 2% each year. Funds will be available in the following accounts:
5011-816-650008-210-000-40-50-000-000
5011-816-650002-210-000-40-50-000-000
5012-807-650008-100-120-40-50-000-000
5012-807-650002-100-120-40-50-000-000
Attachment A - Tech Logic Agreement