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Home My WebLink AboutAgenda Statement 1979/01/09 Item 07ITEM TITLE SUBMITTED BY CITY OF CHULA VISTA COUNCIL AGENDA STATEMENT Item No. 7 For meeting of 1/9/79 RESOLUTION 9 ~ ~ / Accepting bid of DataPhase Systems Inc. for automated library circulation system, and rejecting all other bids. ,- Brad Simon, City Librarian ~~~` John Pavlicek, Data Processing Consultant (4/5TH'S VOTE REQUIRED YES NOXXX) ITEM EXPLANATION On September 26, 1978, bids were officially received from C.L. Systems, Gaylord Bros., Inc., and DataPhase Systems. The Gaylord bid did not meet Chula Vista Public Library specifications. Both C.L. Systems and DataPhase substantially com- plied with the City's requirements. The basic bids, when tabulated, show CLSI as $8387 lower in cost. However, from two and a half years forward, DataPhase is less expensive to operate to the point where projected over a seven-year period, DataPhase saves the City some $31,025. Please see attachment. COST ANALYSIS CLSI DATAPHASE Computer and Software $139,500 $152,480 Sales tax for above 8,370 9,149 Conversion 0 *2,000 1st year supplies *7,667 *4,532 1st year maintenance *16,296 *11,860 Freight *617 *approx. $1,000 Insurance '550 *600 Installation $ Site Preparation *400 *500 Sales tax on total of first 1,437 1,103 year costs excluding computer and software TOTAL FIRST YEAR COST $174.,837 $183,224 ($8,387 difference) (continued) rvi~rn~Tn tRh 1131 I J Agreement Resolution Ordinance Plat Notification List Other X Graph ENVIRONMENTAL DOCUMENT: Attached Submitted on FINANCIAL IMPACT - The recommended computerized circulation system would be financed in the same manner as the City financed the Burroughs B2500 computer in December, 1972. On acceptance of a purchase contract by the City Council, the City of Chula Vista will make a down payment of $20,000 and the remaining cost will be financed on a seven (7) year lease/purchase contract with seven equal annual payments of approximately $24,980. The interest rate should be between 6% and 62o with payment to begin July 1, 1979. STAFF RECOMMENDATION Recommend purchase of DataPhase equipment, program and software, at a cost of $161,629 ($152,480 plus 6o sales tax), as the more economical and desirable system. BOARD/COMMISSION RECOMMENDATION -The Board of Library Trustees, at their special meeting of December 20, 1978, approved the evaluation and recommendation of staff for the purchase of the DataPhase system. They recommend to City Council that the DataPhase system be purchased. COUNCIL ACTION ~` t:,~ i` °~ '; `~, i~:_.~~''~ of Form A-113 (Rev. 5/7~ -2- Item No. 7 For meeting of 1/9/79 Additional six years maintenance Additional six years labels Additional four terminals to accommodate six years growth Additional six years insurance PROJECTED SEVEN-YEAR COSTS CLSI DATAPHASE $ 97,776 $83,160 9,156 2,292 41,552 23,320 3,300 3,600 $326,621 $295,596 ($31,025 or l00) In evaluating the bids, we established the following criteria: a. Program and Equipment Capability b. Suitability of Equipment and Program c. Reliability and Maintenance d. Documentation of Software (Blueprint of Program) e. Vendor Financial Stability f. Delivery Timetable g. Conversion h. Cost Program and Equipment Capability - DataPhase offers more capacity with the initial system and there is less need to update or replace equipment as increased requirements demand more capacity. This includes future in-house growth and/or the addition of other libraries, (e.g., National City). The DataPhase system will provide, where CLSI does not, the capability to interface with the City's Burroughs computer and key-tape machines. DataPhase equipment will also permit the City's Data Processing Department to utilize the DataPhase equipment for other tasks during non-library usage hours. Expansion Capability and Future Growth - Comparable upgrading and expansion of the CLSI equipment would be substantially more expensive to accomplish. Both CLSI and DataPhase systems can be expanded, with additional cost, beyond any expected growth required by the library within seven years. However, neither vendor has stated what additional growth beyond our immediate needs can be accommodated with the original equipment. In adding more libraries, a main consideration would be data storage capacity. DataPhase offers approximately 40% more than CLSI with the initial equipment. The DataPhase file access methods are more versatile than those of CLSI. Suitability of Equipment and Program - Both firms offer acceptable levels of expertise. CLSI has more installations. DataPhase, while newer in the field, also has bona fide, successful, installations. Overall, we believe both firms provide adequate equip- ment and programs. Reliability and Maintenance - Both firms offer high grade equipment. However, maintenance concepts differ. When equipment malfunctions occur, CLSI provides phone service to their headquarters. After identifying the problem by phone, they then ship replacement modules to the library and the faulty equipment is sent back to CLSI. If the problem cannot be determined by phone, a technician is sent in. DataPhase's approach is through the manufacturer's service organization, in this case in San Diego. Both vendors have manual by-pass systems to continue operation in case of breakdown which permit continued operation. We prefer DataPhase's approach to maintenance. Documentation of Software (Blueprint of Program) - DataPhase will provide a copy of documentation for their system. CLSI believes that their documentation is highly proprietary and would previously only place it in escrow should they terminate their business. After discussion, they have now offered to supply this. The program documentation arrangement provided by DataPhase is preferred by the Chula Vista Public Library. Vendor Financial Stability -Based on information furnished, neither firm appears exceptionally strong at this time. However, if either were to go out of business, a system installed by CLSI would create substantially more problems for the Chula Vista Public Library than would the DataPhase system. Their equipment is modified and adapted after receipt from the hardware manufacturer. DataPhase equipment is delivered "off the shelf" and not modified. If breakdown occurs or additional equipment is needed from CLSI, problems could result should CLSI no longer remain in business. As a result, DataPhase is preferred. ~ ~ 5~ (continued) ~: : - 3 - 7 Item No. For meeting of 1/9/79 Delivery Timetable - Both firms claim immediate equipment delivery and, in fact, both are eager to ship equipment at this writing. Both firms seem successful in meeting the equipment delivery schedules. Conversion - The bid specifications also request an alternate bid estimate for conversion (i.e., placing borrower and book information into the computer) thereby developing a Chula Vista Public Library database. Since we applied for, and have received, a CETA Special Project Grant, the Chula Vista Public Library would do this in-house and not require the added expense of an outside firm to do the total conversion. Both vendors, after negotiations, and at no cost to us, have offered to provide a librarian/project manager on site to coordinate the work with our staff to accomplish conversion. This we deem most desirable, because of the savings to the City. Both firms will provide a satisfactory database; CLSI at no charge, DataPhase at a cost of $2,000. Cost - Over a seven-year period, DataPhase is clearly the less expensive, as indicated on the attached graph. These figures do not reflect amortization. Furthermore, DataPhase offers more capacity and flexibility than CLSI at the outset. For these purposes, we did attempt to predict the ultimate growth of the Chula Vista Public Library, and to reflect the growth should other libraries join us. DataPhase provides the advantages of more capability and capacity for growth at the outset and in the future. Recommendation - It is recommended that the Mayor and City Council accept the bid from DataPhase Systems for the following reasons: 1. Lower overall cost. 2. Ability to fully utilize DataPhase equipment and program in the event the firm ceases business. 3. DataPhase equipment and program offers more capacity to accommodate growth. CLSI will require additional and more costly components should the system need to be expanded. 4. More timely and effective maintenance and service program. 5. DataPhase equipment provides for use by other City operations. *Money for these items is already included in fiscal year 1978-79 Library operating budget. 9y~-, Agenda Item No. January 2, 1979 Page 4 51 1 z Z y S G 7 fHo~'G~TE~ 7 ~C~IR GOtTS