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3.4. SR 05-05-1997?ity of **ITEM 3.4.** iver MEMORANDUM TO: Mayor and City Council FROM: Sandra Thackeray, City Clerk DATE: May 5, 1997 SUBJECT: Request to Purchase Copy Machine for Building Department The Building Department is requesting to lease a copy machine for a 48 month period. The machine being considered is an upgrade from the existing machine. The upgrade includes added features such as a sorter, duplexer, extra paper drawers, larger paper capacity and a faster speed. The existing copy machine will be purchased by the Wastewater Treatment Department. The Building Department has budgeted for the purchase of a new copy machine. The department budgeted a total of $10,000 to be divided into three years, with the intention of entering into a lease agreement. Therefore, approximately $3,500 has been budgeted for 1997. The lease being considered is a 48 month lease. After the 48 months have passed, the lessee has the option of returning the copier, renewing the lease, or purchasing the machine for the fair market value. Two copiers have been under consideration for lease. They include: A Canon 6521 from IKON Office Solutions and a Ricoh 4522 from Metro Sales. Both machines are comparable in price. However, staff feels that the Ricoh better meets the needs of the department. Staff has also been pleased with the quality and efficiency of the existing Ricoh 4415 and with the service provided by Metro Sales. Canon 6521 Lease Payment = $185/mo. for 42 months plus two month's payment to start Service = .0200 per copy - minimum 4,000 copies/month. Ricoh 4521 - Lease Payment = $180/mo. for 48 months Service = .0174/copy - No minimum (Option of two additional paper trays @ $23/mo) 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425 Staff is proposing that the Council authorize the two paper tray option which would then bring the monthly lease price to $203.00 ACTION REQUESTED Council motion to authorize the city to enter into a 48 month lease program for a 4522 Ricoh Copy Machine including the option of two additional paper trays at $203 per month. \XelkriverXsyskshrdoc\councilXcopymach.doc