TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 17, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to decrease purchase order and amend the agreement with Canon Solutions America, Inc, for maintenance and supplies of multifunctional photocopier devices and printers in an amount of $265,977.17, from an amount of $877,876.75, to an amount not to exceed $611,899.58, Account 101-27000-612810, Purchase Order 3116827
Body
Dear Sir:
On December 2, 2021, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order and enter into an agreement with Canon Solutions America, Inc. for maintenance and supplies of multifunctional photocopier devices and printers under the City of Chicago contract 157717, in an amount not to exceed $991,683.97. The contract expires on May 30, 2026.
As of October 4, 2024, the attached list of change orders has been approved.
Original Contract Amount $991,683.97
Date of Board Approval 10/23/2021
Cumulative Change Order (02/01/2024) ($113,807.22)
% Change of Original Contract Value -11.47%
Current Contract Value $877,876.75
Requested Increase or Decrease ($265,977.17)
New Contract Value $611,899.58
% Change of Current Contract Value -30.30%
% Change of Original Contract Value -38.30%
This decrease is due to the utilization of pre-pandemic usage patterns when determining the purchase order’s annual amounts. Post-pandemic usage patterns have shown an overall reduction in printing due to various factors resulting in a decrease in costs.
This change order is in compliance with the Illinois Criminal Code since the change is due to circumstances not reasonably foreseeable at the time the contract was signed, and is in the best interest of the District.
It is hereby recommended that the Board of Commissioners authorize the Director of Procurement and Materials Management to execute a change order to decrease the purchase order and amend the agreement in an amount of $265,977.17 (30.3% of the current contract value), from an amount of $877,876.75, to an amount not to exceed $611,899.58.
Funds will be restored to Account 101-27000-612810.
Requested, Sean T. Kelly, Director of Information Technology, STK:JR:uu
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for October 17, 2024
Attachment