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HomeMy WebLinkAboutItem 13 - Purchase Order Contracts for Promotional ItemsFinance and Management Services www.santa-ana.org/finance Item # 13 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report August 20, 2024 TOPIC: Aggregate Purchase Order Contracts for Promotional Items AGENDA TITLE Aggregate Purchase Order Contracts with Promotethis!, Impact PromoSource, LLC (previously Graphic Printsource, Inc.), and Superior Promos for Promotional Items (Specification No. 23-024) (General Fund and Non -General Fund) RECOMMENDED ACTION Authorize the City Manager to execute an amendment to increase the annual aggregate not -to -exceed amount of the citywide purchase order contracts with vendors listed below by $355,000 for promotional items, for a new annual aggregate amount not to exceed amount of $550,000. Vendor Location Impact PromoSource, LLC. Corona, CA Promotethis! Huntington Beach, CA Superior Promos Brooklyn, NY GOVERNMENT CODE 484308 APPLIES: Yes DISCUSSION The Purchasing Division establishes annual citywide purchase order contracts with vendors that provide services and materials required by City departments on a recurring basis. The City currently utilizes an assortment of promotional items for educational and outreach purposes to disperse information about the City of Santa Ana throughout the community at various community and professional events. On March 21, 2023, the City Council awarded aggregate citywide purchase order contracts to Promotethis!, Graphic Printsource, Inc., Superior Promos, and QCORP Printing Solutions for a not -to -exceed aggregate amount of $975,000, after a competitive Invitation for Bids process to supply promotional items to the City. The original award was for a term of one year, with four (4) one-year renewal options. If the City exercises all options, the aggregate purchase order will expire at the end of March 2027. Since then, Graphic Printsource, Inc. has become Impact PromoSource, LLC. A contract was not fully executed with QCORP Printing Solutions due to the vendor's Amend Aggregate Citywide Purchase Order Contracts for Promotional Items August 20, 2024 Page 2 failure to respond to the City's requests for required documents to establish the contract. There is an increased need for promotional items throughout multiple departments, including the Public Works Agency, Human Resources, Parks, Recreation, and Community Services Agency, Community Development Agency, Planning and Building Agency, and Library. Therefore, staff recommends an amendment to increase the annual aggregate not -to -exceed amount of citywide purchase order contracts by $355,000 to provide sufficient resources for promotional items (i.e., lanyards, pens, coasters, key chains, reusable water bottles, water coloring books, colored pencils, etc. at community and professional events, such as job fairs, health fairs, neighborhood meetings, reading programs, and other various community engagement and marketing opportunities. ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Funding is available in the FY 2024-25 budget for an annual aggregate amount of $550,000 in various departmental Miscellaneous Operating Expense accounts (no. 63001) and other various departmental accounts as listed below. Future fiscal year funding for a total aggregate amount not to exceed $2,200,000, including any remaining amounts not spent in previous fiscal years during the term of the contract, will be included in the proposed budgets for City Council consideration. Prior to utilizing the citywide contracts, the requesting departments will follow the Purchasing Policies and Procedures (Policy) and ensure funds are available. Upon successful completion of the fiscal review, the Purchasing Division will approve orders in accordance with the Policy. Department / Division Account PWA — Water Resources Division 06017644-63001 PWA— Parks, Fleet & Facilities 01117651-63001 PWA — Parks, Fleet & Facilities 07317100-63001 PWA — Parks, Fleet & Facilities 07517100-63001 PWA — Maintenance Division 06817640-63001 PWA — Engineering CIP 08617613-63001 PWA— Engineering CIP 01117611-63001 PWA — Engineering DEV 10117605-63001 PWA — Engineering Traffic 01117620-63001 PWA — Admin 10117601-63001 CDA — Economic Development 01118810-63001 CDA — Housing 13318780-63001 CDA Work Center SAY 01213020-63001 CDA Work Center One Stop 12318756-63001 HR — Benefits and Wellness Fair 08109053-62120 Amend Aggregate Citywide Purchase Order Contracts for Promotional Items August 20, 2024 Page 3 HR — Benefits Event — Rideshare 03109050-69106 HR — Recruitment Job Fair 01109050-62200 HR — Organizational Development and Training 01109050-62120 HR — Admin 01109050-63001 PD — Various Accounts 01114420-63001 01114405-63001 01114404-63001 Library — Various Accounts 01111110-63001 01211020-63001 Parks, Recreation and Community Services — 01113230-63001 Various Accounts 01113220-63001 01213020-63001 Planning & Building Agency — Various Accounts 01116500-63001 01116510-63001 01116520-63001 01116530-63001 01116540-63001 01116550-63001 01116560-63001 01216010-63001 Finance & Management Services Agency 01110100-63001 City Clerk's Office 01107031-63001 City Manager's Office 01103010-63001 Submitted By: Kathryn Downs, Finance and Management Services Executive Director Approved By: Alvaro Nunez, City Manager