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HomeMy WebLinkAbout1L OCRCITY COUNCIL STAFF REPORT DATE: JANUARY 28, 2021 CONSENT CALENDAR SUBJECT: PURCHASE OF EQUIPMENT TO UPGRADE LIBRARY'S AUTOMATED MATERIALS HANDLING SYSTEM FROM: David H. Ready, City Manager BY: Library SUMMARY The City Council will consider the approval of hardware, software and installation with MK Solutions to upgrade the Library's Automated Materials Handling system. RECOMMENDATION: 1. Authorize issuance of a Purchase Order in the amount of $26,749.86 to MK Solutions of York, PA for the purchase of seven computers, four receipt printers, upgrades to the software, onsite service, and installation fees for the Automated Materials Handling system. Due to the proprietary nature of the automated materials handling system, the City Council may waive the competitive requirements of the Procurement Ordinance and award a Sole Source purchase to MK Solutions pursuant to the provisions of 7.04.020 of the Municipal Code. 2. Authorize the City Manager to execute all necessary documents. BACKGROUND: In April 2012 City Council awarded a contract service agreement with MK Sorting Systems, Inc., now MK Solutions, Inc. for the purchase, installation, and maintenance of a new proprietary automated materials handling system which includes an automated book return system, self-check stations, security gates, and all related hardware and software. The system has been in successful operation since the fall of 2012. The hardware and related software is eight years old, running on Windows XP operating system, and due for an upgrade so that the system can migrate to Windows 10 operating _ system. ·-BTcM NO. \ l ----- City Council Staff Report January 28, 2021 -Page 2 Library Automated Materials Handling System Upgrade STAFF ANALYSIS: MK Solutions, Inc. designed, developed, installed, programmed and has maintained the automated materials handling system at the Library. Their equipment and software is proprietary and they are the only company that can perform the required maintenance on the system. BUSINESS DISCLOSURE: MK Solutions, Inc., headquartered in York, PA, is a corporation registered in Delaware. Martin Weiss is the sole 100% owner of the company and their executed Public Integrity Disclosure as well as their Conflict of Interest and Non-Discrimination certification forms are attached. ENVIRONMENTAL IMPACT: The requested City Council action is not a "Project" as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a "Project" means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is exempt from CEQA pursuant to Section 15378(b)(5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment. FISCAL IMPACT: Cost savings measures have been enacted in other accounts within the Library's General funds in order to redirect funds to use for this project. Sufficient funding is available for the upgrade to the system in the Library's General Fund account 001-2710-42920. Je~~~ Director of Library Services Arron Brown, MBA, CGCIO Deputy City Manager Attachments: David H. Ready, Es City Manager 1. Cost Proposal from MK Solutions, Inc. 2. Public Integrity Disclosure Form -MK Solutions, Inc. 3. Conflict of Interest and Non-Discrimination Certification -MK Solutions, Inc. 2 rnnit mk Solutions, Inc. 75 Acco Drive, Suite A-3 York, PA 17402 SOLUTIONS (860) 760-0438 sales.us@mk-solutions.com Name I Address City of Palm Springs Accounts Payable 300 S. Sunrise Way Palm Springs, CA 92262 USA Item Description Revised based on Jeannie's email (9/30/2020) & 1/13/2021 HARDWARE: Upgrade mk Return and Sorting System to Windows 10 with replacing required hardware & preparation for new mk LibSoft software Operating system changes and required new hardware are not foreseeable and not included in the SLA CONTROL-PART-IP ... """'PLC PC*ttC6905 Industrial PLC PC with EtherCAT Slave Interface for entire return station and sorting system PC-MINI-INDUSTRIA ... ***Application PC*** Industrial Mini PC CPU: Intel QuadCore J1900 Celeron 2.4GHz RAM: 4GB DDR 3 SoDimm SSD: 240GB SSD VGA: Yes USB: 1 x USB 3.0 & 4.USB 2.0 COM: 3 x RS232 OS: Windows 10 Upgrade Self-Check model SC3 from (end of life/ unsupported) Windows XP to Windows 10 with preparation for new mk LibSoft software Page 1 Ship To Palm Springs Public Library 300 S. Sunrise Way Palm Springs, CA 92262 USA Valid Until 2/12/2021 Qty. Price Each 1 3,450.00 2 890.00 Proposal Date Proposal# 1/14/2021 50568 Terms Rep Due on receipt MW U/M Amount ea 3,450.00T ea 1,780.00T 3 rnnit mk Solutions, Inc. 75 Acco Drive, Suite A-3 York, PA 17402 (860) 760-0438 SOLUTIONS sales.us@mk-solutions.com Name / Address City of Palm Springs Accounts Payable 300 S. Sunrise Way Palm Springs, CA 92262 USA Item PC-MINI-INDUSTRIA ... ***Application PC*** Industrial Mini PC Description CPU: Intel QuadCore J1900 Celeron 2.4GHz RAM: 4GB DDR 3 SoDimm SSD: 240 GB SSD VGA: Yes USB: 1 x USB 3.0 & 4.USB 2.0 COM: 3 x RS232 OS: Windows 10 PRINTER-SC3-KIT Receipt printer for SelfCheck SC3 model, includes bracket SE-06-SERVICE-PR ... Service performed to configure all PCs with Windows 10 and required software as well as settings SHIPPING Packaging and Shipping SE-OS-SERVICE-TE ... Onsite Service performed by mk Service Technician to prepare/configure (1) PLC PC, (2) Return Station PCs, (4) SelfCheck PCs SHIPPING Packaging and Shipping INSTALL-ONSITE On-Site Installation Page 2 Ship To Palm Springs Public Library 300 S. Sunrise Way Palm Springs, CA 92262 USA Valid Until 2/12/2021 Qty. Price Each 4 890.00 4 550.00 10 195.00 1 490.00 15 195.00 980.00 1 3,400.00 Proposal Date Proposal# 1/14/2021 50568 Terms Rep Due on receipt MW U/M Amount ea 3,560.00T ea 2,200.00T 1,950.00T 490.00T 2,925.00T 980.00T ea 3,400.00T 4 rnlilt mk Solutions, Inc. 75 Acco Drive, Suite A-3 York, PA 17402 (860) 760-0438 SOLUTIONS sales.us@mk-solutions.com Name / Address City of Palm Springs Accounts Payable 300 S. Sunrise Way Palm Springs, CA 92262 USA Item Description SOFTWARE: mk LibSoft Software Subscriptions for SelfChecks and Return/Sorting System, due to end of life version and compatibility with Windows 10 SW-LIBSOFT ***4 SelfChecks, 2 Return Stations*** Annual Subscription for mk LibSoft Plus Software Period: January to December Annual price increase 2.5% SET-UP-FEE-LIBSOFT One Time Set-Up Fee per LibSoft Software Subscription (included in on-site installation fee) TERMS: Payment Terms 50/4 ... For mk Hardware 50 % advance payment due on receipt of invoice 45 % of order value with delivery 5 % of order value after installation For Software Solutions / Subscription invoicing takes place in advance for 1 year after installation For Maintenance Contracts (SLA) invoicing takes place after initial warranty and for 1 year in advance. To secure proposed SLA pricing, receipt of order is required with system purchase. NOTE: Annual invoices are based on calendar year. For all orders, please email purchase order or this completed & signed document to sales.us@mk-solutions.com Signature & Date Page 3 Ship To Palm Springs Public Library 300 S. Sunrise Way Palm Springs, CA 92262 USA Valid Until 2/12/2021 Qty. Price Each 6 625.00 6 0.00 Subtotal Proposal Date Proposal# 1/14/2021 50568 Terms Rep Due on receipt MW U/M Amount ea 3,750.00T ea 0.00T USD 24,485.00 Sales Tax (9.25%) USD 2,264.86 Total USD 26,749.86 5 1. Name of Entity mk Solutions, Inc. PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM 2. Address of Entity (Principle Place of Business) 75 Acco Drive, Suite A-3, York, PA 17402 3. Local or California Address (if different than #2) N/A 4. State where Entity is Registered with Secretary of State Delaware If other than California, is the Entity also registered in California? ITT Yes n No 5. Type of Entity ~ Corporation D Limited Liability Company D Partnership D Trust D Other (please specify) 6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity ___ M_a_r_k_u_s_F_lo_ry ____________ D Officer I&] Director D Member D Manager [name] D General Partner D Limited Partner •Other ___________ _ ___________________ D Officer D Director D Member D Manager [name] D General Partner D Limited Partner •Other ___________ _ ___________________ D Officer D Director D Member D Manager [name] (Revised 09 13 18) D General Partner D Limited Partner •Other ___________ _ CITY OF PALM SPRINGS -PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM Page 1 of 2 6 7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity EXAMPLE JANE DOE 50%, ABC COMPANY, Inc. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] A. Michael Weiss 100%, mk Solutions, Inc. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] B. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] C. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] D. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] E. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT. Signature of Disclosing Party, Printed Name, Title Date ~f//1~ January 15, 2021 Rachel A.G. Davis, Business Development Manager (Revised 09 13.18) CITY OF PALM SPRINGS -PUBLIC INTEGRITY DISCLOSURE FORM APPLICANT DISCLOSURE FORM Page 2 of 2 7 CITY OF PALM SPRINGS, CA CONFLICT OF INTEREST AND NON-DISCRIMINATION CERTIFICATION Conflict of Interest. Contractor acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in this Agreement nor shall Contractor enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. Contractor warrants that Contractor has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement. Covenant Against Discrimination. In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition ( each a "prohibited basis"). Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City's lawful capacity to enter this Agreement, and in executing this Agreement, Contractor certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship; and further, that Contractor is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting. NAME OF CONTRACTOR/VENDOR: ----'-m=k=S=o:;..;.lu=t=io:;..;.n=s ...... l""""'n=c. _________ _ NAME and TITLE of Authorized Representative: (Print) RachelA.G. Davis. Business Development Manager Signature and Date of Authorized Representative: (Sign) ___ (_~'-'-_'f"=;.a..=....;;........;ar'-'-",:.tt,... ....... '!W=...;;.,;:;~· ______ (Date) January 15, 2021 8