Title
Resolution Authorizing the City of Ann Arbor to Join the NJPA (National Joint Purchasing Alliance) Contract for Office Supplies awarded to Staples Business Advantage and Approve a Three-Year Contract with Staples Business Advance with a Two-Year Renewal Option
Memorandum
Attached for your review and approval is a resolution to authorize the City of Ann Arbor to join the NJPA (National Joint Purchasing Alliance) contract awarded to Staples Business Advantage for purchase of office supplies and to approve a three-year contract with Staples Business Advantage with a two-year renewal option.
The City of Ann Arbor's previous contract with Staples Business Advantage was piggy-backed on the Washtenaw County contract with the Company; which was publicly bid and included a provision allowing other government entities to "piggy-back" on the bid process when contracting with Staples Business Advantage. That contract expired January 9, 2009. Staples has agreed to continue service under the previous contract terms until a new contract has been approved by City Council.
The City recently joined NJPA Cooperative Purchasing Program. This gives the City access to more than 200,000 competitively bid products from more than 40 nationally recognized vendors.
There are two other cooperative programs offering office supply contracts, MiDeal with OfficeMax and US Communities with Office Depot. A price comparison has resulted in Staples being the lowest responsible vendor.
Purchases of office supplies from Staples city-wide totaled approximately $176,000.00 for the 2007 calendar year. The NJPA pricing structure reduces our current pricing by 3.72%. The City of Ann Arbor would receive a 2% per year conversion rebate, in addition to a 2% NJPA volume rebate per year. We currently receive a 1.5% rebate from Staples annually. This results in a savings of 6.22% ($10,947.00) each year of the contract.
Staff recommends approval of this contract.
Staff
Prepared by: Dee...
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