77-5797R4L
RESOLUTION'N0. 5797
RESOLUTION REJECTING PROPOSALS FOR LEASING
COMPUTER SYSTEM AND AUTHORIZING NEGOTIATION
BE IT RESOLVED by the City Council of .the City of Richfield as follows:
1. The council finds as follows:
A. On June 28, 1976 this council"authorized the administrative staff to
commence the preparation of specifications which could be used for the
receipt of competitive bids for the lease of a new computer system to the
city.
B. On June 28, 19.76 this council engaged the consulting firm of Intech,
Inc. to assist the city in the preparation of bid specifications and in
the evaluation of the bids.
C. During the period from June, 1976 until June, 1977, Intech, Inc..,. in
cooperation with the staff personnel of the city, undertook the preparation
of draft bid specifications and contract documents which could be used as a
basis for the receipt of competitive bids for the leasing of a computer
system. They .then notified approximately 40 potential providers of computer'
systems of a pre-bid conference. Seventeen potential bidders attended that
pre-bid conference, to which they were given the opportunity to provide, and
did provide extensive input and reaction to the draft specifications and.
documentation. Prospective bidders were given desired information about the
particular needs of the city and the intent of the specifications and a final.
draft of specifications and other documentation was thereafter prepared.
D. On June 13, 1977 the city council approved the final bid specifications -
and documentation and authorized advertisement for bids, to be received on
July 15, 1977.
E. The advertisement forbids was published in-the official newspaper of
the city, the St. Paul Disptach and Finance and Commerce..
F. On July 15; 1977, the city received 8 written lease proposals from
suppliers of computer systems.
G. The specifications required that the bidders provide information on
a substantial nu~ber of matters, relating to themselves and .their respective
bids.. The specifications also contained the form of lease to be signed at
the time of bidding and entered into by the successful bidder.. It speci-
fied a lease term of 6 years.
H. Upon receipt of the bids, the city staff and Intech, Inc.undertook an
evaluation of the bids received. Such evaluation disclosed that each of
the bidders had imposed qualifications upon the bid specifications and
.. that none of the bidders had signed the form of lease provided in the
specifica ions; as required by the bidding documentation.
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Resolution No. 5797 p2-
I. None. of the bids which wire submitted completely .followed or used
the format supplied by the city.- In-a number of instances the information
required by the city was not provided nitiailye~ It was necessary to search
the proposals submitted to asclertain whether such proposals contained the
information required by the city and in`those instances. where it did `not,
to contact the bidder to obtain the requested. information.. -
• J. At the conclusion of the'~,evaluation process, Intech, Inc. provided
the.city with an "Evaluation o~if Bids - City of Richfield -'Computer System",<
dated September 1977, a copy of which is given Clerk Number C-9795 and
ordered placed on file. Suchlevaiuation contains an individual bid review.
of each of the bidders, as wel~`I as conclusions and recommendations. These
include the.recommendation.that all. bids be rejected. and that the council
authorize negotiations with or%e of the bidders, i.e., Four-Phase Systems, Inc.,
for the lease of a computer system to the city.
2. The council further advises asp follows:
A. None of the bids. have co~plied with the bid specifications...
Bo The lease of anew computer system for the city does not appear amenable
to exact bid specifications. (This has been demonstrated by the above des-
cribed experience of the city~~and arises out of the fact. that there are
substantial variations among suppliers of lease computer systems on such
matters as equipment design, equipment performance, capabilities, proven
.equipment rzliability, repair costs, the availability of repair services,
training programs, and other programming services provided by the suppliers.
The city has undertaken in good faith. to obtain such a lease through compet- _-
itive bidding. ;Under these circumstances it appears that the interests of
the city can best be served b~ negotiating with that supplier of a computer
system whose equipment system,) maintenance services and lease rates appear
to hold out the best prospe,et',for_providing the city with a suitable computer
system lease.
3. The city council authorizes and documents that the following actions be
taken: ;~ j -
A. All bids of July 15, 1977 for the leasing of a new computer system
to the city. are rejected. '
B. The city staff, with the~~advice and assistance of Intech, Inc., is
authorized and directed to enter into: negotiations with Four-Phase Systems,
Inc, to develop a proposed lease of a computer system to the city, with
such proposed lease to be subiriitted to the city council for consideration
as soon as this conveniently may be done..
Passed by the City Council of the~,City of Richfield, this 26th.-day of
September, 1977.
.. .~
' r' Loren L. Lack Mayor -
ATTEST:
Thomas J. M ~ fi City Clerk '~,
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