MFD Contract User Guide - 1.10.25.docx

Contract User Guide Revised January 10, 2025

STATE OF WISCONSIN

DEPARTMENT OF ADMINISTRATION

Division of Enterprise Operations State Bureau of Procurement

NASPO Multi-Function Devices, Printers, Related Software and Services Contract # 505ENT-M25-MFDCOPIER-00 Contract Overview

Contract Term Initial Contract Term: August 1, 2024- July 31, 2026 Renewal Term: Coterminous with the Master Agreement. The Leads State Colorado may exercise renewals up to 36 months. If all renewals are exercised, the contract term ends July 31, 2029.

Table of Contents

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CONTRACT OVERVIEW

These mandatory contracts are Participating Addendums (PA) from the NASPO Multi-Function Devices and Related Software, Services, and Cloud Solutions Master Agreement (MA). This replaces the State’s copiers, printers and related devices contract no. 505ENT-M20-MFDCOPIER-00 effective August 1, 2024.

Lease agreements executed via the expired copiers and printer contract no. 505ENT-M20-MFDCOPER-00 should reference the expired contract in the PO for the duration of the lease agreement because those contract terms apply.

ELIGIBLE USERS

Each contract is available for use by Wisconsin state agencies, UW campuses, and other entities authorized to use state contracts such as Wisconsin municipalities as cited in Wisconsin statutes s. 16.73. The contract is mandatory for State agencies and campuses and optional for all other users.

SCOPE OF PRODUCTS

Hardware Contract offerings include Multi-function Devices (Group A and B), single-function printers (Group D), production and industrial print equipment (Group C), large/wide format equipment (Group E), scanners (Group F), specialty printers (Subgroup D1), and printer supplies (excluding paper). Purchasing Entities may either lease, rent or purchase devices from the Contractor or their authorized resellers (the Contractor’s Information Sheet lists their authorized resellers).

Software Also offered are software bundles that enhance the productivity and capability of the devices and IT solutions (as they relate to Multi-Function Devices) such as Software as a Service (SaaS), cloud-based offerings, and web-based fleet management tools. See section 4.1 of this document for software purchase exclusions. For all other software and cloud solutions, please see the Cloud Solutions and Software Value Added Reseller (SVAR) portfolios. Purchasing Entities must follow their internal business process for any software purchase under this PA such as but not limited to a cloud brokerage review and large, high-risk IT project review. It is the Purchasing Entities’ responsibility to determine which business processes apply.

Toner Lease and rental devices require a maintenance agreement. If a device does NOT have a maintenance agreement (maintenance agreements are optional for owned devices), then new toner should first be purchased from the Statewide General Office Supplies and New Toner Contract no. 505ENT-M24-OFFSUPPLY-01. If that contract does not provide the desired toner, this contract may be used.

Type of Groups (i.e., devices) Offered by Contract Contractors were awarded different “Groups”, so each contract does not include all offerings mentioned in section 1.2.1; however, each Group includes related software and printer supplies. A copy of each contract (i.e. PA) is provided in the “Documents” section of the Contractor’s Information Sheet, which include terms and conditions specific to that Contractor.

The following Groups are available on each contract. An “X” means the Contractor was awarded that Group.

Lexmark

Group A – Multi-Function Devices, A3

*Prints sizes up to Ledger (11”x17”)

Group B – Multi-Function Devices, A4

*Prints sizes up to Legal (8.5”x14”)

Group C – Production Equipment

*Group C also includes the following Sub-Groups:

C1 – Standalone Production Devices C2 – Industrial Print Equipment

X

Group D – Single Function Printers

*Group D also includes Sub-Group D1 – Specialty Printers

Group E – Large/Wide Format Equipment

*Prints sizes greater than Ledger

Group F – Scanners

Group G – Software

Group H – Consumable Supplies

CONTRACT EXCLUSIONS

The contract scope does not include:

a) Group I – Managed Print Services

b) Not Specifically Priced Open Market Items (i.e., not included in the Master Agreement Price Lists)

c) Stand-alone software purchases are limited to software listed in the Master Agreement Price List(s) for equipment that was purchased through this Participating Addendum or participating addendum no. 505ENT-M20-MFDCOPIER-02.

d) Software installation, integration and support Services shall be limited to the software listed on the Master Agreement Price List(s). Such Services shall only be provided for equipment that was purchased through this Participating Addendum or participating addendum no. 505ENT-M20-MFDCOPIER-02.

e) Any Software installation and integration Services in excess of $50,000 must be approved in writing by the State Contract Manager.

f) The following items were excluded from the original solicitation:

1) Interactive White boards;

2) Computers, monitors, or other related hardware items;

3) Fax machines;

4) Kiosk machines;

5) Overhead Projectors; and

6) Cameras.

If a Purchasing Entity wants a scope exclusion item to be reconsidered, they may submit a request to the State Contract Manager explaining why the product or service is needed.

Devices Currently Leased Under Expired Contract No. 505ENT-M20-MFDCOPIER-00 Lease agreements executed via the expired copiers and printer contract no. 505ENT-M20-MFDCOPER-00 should reference the expired contract in the PO for the duration of the lease agreement because those contract terms apply. For STAR supported agencies, the expired contract numbers are still available for reference in STAR.

WI CONTRACT AND NASPO MASTER AGREEMENT NUMBERS

Per section 5 of this document, reference the WI PA and NASPO MA numbers on orders.

HOW TO PURCHASE FROM THIS CONTRACT

STEP 1- DETERMINE THE APPROPRIATE GROUP AND CONTRACTOR(S)

Determine which Group(s) applies for the desired purchase, and which Contractors were awarded the pertinent Group(s) (section 1.2.4 of this document).

STEP 2- COMPARE DEVICES AND COST INDEPENDENTLY OR WITH CONTRACTOR

Review the desired devices and pricing independently (Pricing Sources section in the Contractor’s Information Sheet) or collect quotes from the Contractor(s) or Authorized Dealer(s). Contact information is provided in Contractor’s Information Sheet.

Considerations When Determining Equipment Needs:

a) Estimate how many copies will be needed each month, and if you need color or black and white copies.

b) Determine what other machine requirements you need such as 3-hole punch, Fax, Post Script, cabinet, etc.

c) Decide if you want to lease, buy or rent the machine based on your business needs.

d) Request an itemized quote (this information will be required on the State’s order).

e) Inquire about the following when obtaining a quote:

1) The electrical connections required

2) Any hard drive removal or erasure requirements

3) Confirm telephone lines will work with the make/model you are considering.

4) Information regarding upgrade or downgrade equipment, if needed.

5) Your specific network installation to ensure all costs are considered

6) Move costs, if needed

7) Buy out costs, if desired

STEP 3- REVIEW CONTRACTOR TERMS AND CONDITIONS

If entering into a maintenance agreement, leasing or renting a device, the Purchasing Entity should read the Contractor forms to understand what they are agreeing to (even if the form was already negotiated for convivence). If the lease is through a finance company (i.e., not the contractor) there may be additional requirements that the State is not accustomed to. The Purchasing Entity is responsible for negotiating the terms in the forms and may negotiate better pricing regardless of acquisition method (i.e., purchase, rent, lease). The forms are provided in the Contractor’s Information Sheet.

STEP 4- PLACE AN ORDER

Place an Order with the desired Contractor(s) or their Authorized Reseller(s). Options may be available to purchase from their NASPO ValuePoint Store (which are provided in the Contractor’s Information Sheet, Pricing Sources section) or orders may be placed via PO or P-Card depending on your organization’s business process. Section 5 of this document provides language that the State should include in all orders.

*For State Agencies using STAR, STAR Supplier ID’s have been provided in the Contractor’s Information Sheet.

DEVICE ACQUISITION METHODS (i.e., purchase, lease, rent) The following acquisition methods are available:

*Maintenance Agreements are optional for purchased devices.

Up to 120 Months Group C, and Sub-Groups C1 and C2 Devices only.

*Maintenance Agreements are required for leased devices.

Capital Lease

Straight Lease

*Maintenance Agreements are required for rental devices.

Short-Term Rental

*All orders have contract language to include, regardless of acquisition method. See section 5 of this document for further information.

PURCHASE OPTIONS

Purchasing Entities may elect to purchase equipment from any Group and may elect to enter into a Maintenance Agreement. See section 3.4.2 for owned device Maintenance Agreement considerations.

LEASE OPTIONS

Purchasing Entities should initiate lease agreements directly with the Contractor or their Authorized Reseller. The lease forms applicable to each Contractor are provided in their Information Sheet. Purchasing Entities may negotiate lease terms and/or pricing with the Contractor.

Fair Market Value (FMV) LEASE A Purchasing Entity may enter into an Initial Lease Term of 24, 36, 48, or 60 months based upon the available options.

Upon the Initial Lease Term expiration, a Purchasing Entity may exercise one of the following:

a) Purchase the equipment to own;

b) Renew the lease on a month to month basis, or a 12 month basis; or

c) Schedule a pickup with the Contractor to return the equipment.

Capital Lease (Also called $1 Buy Out) A Purchasing Entity may enter into an Initial Lease Term of 24, 36, 48, or 60 months.

Upon Initial Lease Term expiration, the Purchasing Entity will receive the equipment title and shall not be subject to any additional expense in order to assume possession of the equipment.

Straight Lease A Purchasing Entity may enter into an Initial Lease Term of 24, 36, 48, or 60 months.

Upon Initial Lease Term expiration, a Purchasing Entity may do one of the following:

a) Renew the lease on a month to month basis, or a 12-month basis; or

b) Schedule a pickup with the Contractor to return the equipment.

RENTAL OPTIONS

Purchasing Entities should initiate rental agreements directly with the Contractor or their Authorized Reseller. The rental forms applicable to each Contractor are provided in their Information Sheet. Purchasing Entities may negotiate rental terms and/or pricing with the Contractor.

Cancellable Rental A Purchasing Entity may enter into an Initial Rental Term of 24, 36, 48 or 60 months. A purchasing entity may cancel the Rental Term early by providing the Contractor thirty (30) day prior written notice.

Upon the expiration of the Initial Rental Term, a Purchasing Entity may do one of the following:

a) Renew the rental on a monthly or annual basis; or

b) Schedule a pickup with the Contractor to return the equipment.

Short-Term Rental A Purchasing Entity may enter into an Initial Rental Term of 12 or 18 months.

Upon the expiration of the Initial Rental Term, a Purchasing Entity may do one of the following:

a) Renew the rental on a monthly or annual basis; or

b) Schedule a pickup with the Contractor to return the equipment.

MAINTENANCE AGREEMENT OPTIONS

Each Contractor’s maintenance agreement forms are provided on their Contractor Information Sheet.

A Useful Life (referenced throughout the sections below) is the period during which a device is expected to be usable for the purpose in which it was manufactured.

Maintenance Agreement For Leased And Rental Devices (Required) Contractors are required to provide a Maintenance Agreement on all devices that are leased or rented by a Purchasing Entity. The Maintenance Agreement shall be priced based on a cost per click rate, or a monthly base charge. The Maintenance Agreement term shall be equal to the term of the lease or rental agreement.

Maintenance Agreement For Purchased Devices (Optional) Purchasing Entities may elect to enter into a Maintenance Agreement for devices they already own, or devices they acquire through an up-front purchase.

The Maintenance Agreement term can be determined by the Purchasing Entity as long as it doesn’t exceed 60 months on Group A, Group B, Group D, Sub-Group D1, Group E, and Group F devices.

The Maintenance Agreement may be priced on a flat rate fee, which shall include parts, labor, preventative maintenance (if applicable) and service calls. Supplies may or may not be included.

Maintenance Agreement Renewal And Price Increase No Maintenance Agreement shall be subject to automatic renewals. Pricing shall remain firm for the initial term of the Maintenance Agreement (e.g. 24, 36, 48 months etc.). Upon renewal of the Maintenance Agreement, Contractor may adjust the pricing, as long as the pricing does not exceed Master Agreement rates.

Each Renewal Term shall not exceed 12 months, the residual value of the device, or the Useful Life of the device. Capital Leases are excluded from going into renewal.

Maintenance Agreement For Legacy Devices Upon request from the Purchasing Entity, Contractor may provide a Maintenance Agreement on any device that is owned or was leased or rented through WI’s previous DOA copier and printer contracts, or via any other means, provided the device hasn’t reached the end of its Useful Life, and the Maintenance Agreement term does not exceed the Useful Life of the device. Useful Life is the period during which a device is expected to be usable for the purpose in which it was manufactured.

Devices that were previously serviced by another Dealer or Manufacturer must be inspected and repaired, if necessary. Upon mutual agreement, Contractor may charge Purchasing Entity for any parts and/or labor required to bring the device up to acceptable maintenance levels.

If the device has been at the Purchasing Entity’s location for less than five (5) years, then Maintenance Agreement pricing shall not exceed the new Master Agreement pricing, until the Purchasing Entity reaches the five (5) year mark.

If the device has been at the Purchasing Entity’s location for more than five (5) years, then Maintenance Agreement pricing shall not exceed 120% of the service and supply pricing in the new Master Agreement.

SOFTWARE

SOFTWARE EXCLUSIONS

a) Software included in the PAs shall not be utilized as a standalone imaging solution but as a means to enhance the capabilities of the devices.

b) Stand-alone software purchases are limited to software listed in the Master Agreement Price List(s) for equipment that was purchased through this PA or participating addendum no. 505ENT-M20-MFDCOPIER-00.

c) Software installation, integration and support Services shall be limited to the software listed on the Master Agreement Price List(s). Such Services shall only be provided on equipment that was purchased through this PA or participating addendum no. 505ENT-M20-MFDCOPIER-00.

d) Any Software installation and integration Services in excess of $50,000 must be approved in writing by the State Contract Manager.

SOFTWARE TERMS AND CONDITIONS

The software license agreement and/or end user license agreement (EULA) terms for each device available under the PAs were not reviewed at the time of the PAs signing. The Purchasing Entity is solely responsible for negotiating terms and entering into a software license agreement and/or EULA with the applicable Software Supplier. Unless otherwise negotiated between parties, Purchasing Entities that acquire software shall be subject to the applicable license agreements distributed with such software.

BUSINESS PROCESS FOR SOFTWARE PURCHASES

Purchasing Entities must follow their internal business process for any software purchase under the PAs, such as but not limited to a cloud brokerage review and large, high-risk IT project review. It is the Purchasing Entities’ responsibility to determine which business processes apply.

INFORMATION TO INCLUDE ON PURCHASE ORDER

Per section 7 or 8 (Orders) of each contract, POs should contain the following:

a) “PO is subject to NASPO Contract # __ and State of WISCONSIN PA #__

b) Ordering contact Name, Address and Phone Number

c) Purchase order amount

d) Type of lease or rental and monthly payment

e) Itemized list of accessories

f) Type of service program and rates (e.g., maintenance agreement and cost per copy rates)

g) Any supplemental documents (e.g., lease, rental and/or maintenance agreement)

To the extent the Purchasing Entity and the Contractor agree on additional terms, the terms must be documented in the Purchasing Entity Order and signed by both parties.

MANDATORY LEASE VERBIAGE

For Lease transactions, in addition to the verbiage above, PO’s will indicate:

a) Type of financing acquisition method (FMV, Straight or Capital Lease)

b) Lease term (24, 36, 48, 60 months)

c) Monthly payment

Purchasing Entities that do not issue PO’s may execute the Contractor approved Lease document but must place the verbiage on the leasing document. Approved lease documents can be found on the Contractor's Information Sheet.

MANDATORY RENTAL VERBIAGE

For Short Term or Cancellable Rentals, in addition to the verbiage above, PO’s will indicate:

a) Type of financing acquisition method (Short Term or Cancellable Rental)

b) Rental term (24, 36, 48, 60 months for Cancellable, and 12 or 18 months for Short Term)

c) Monthly payment

Purchasing Entities that do not issue PO’s may execute the Contractor approved rental document but must place the verbiage on the rental document. Approved rental documents can be found on the Contractor's Information Sheet.

BUSINESS CASE EXCEPTIONS

State agencies and campuses are required to purchase printing devices within the scope of this contract unless a business case exception is obtained prior to placing an order.

The below examples describe what to include in your business case exception request to the State Contract Manager. If the device is in a Group that multiple contractors were awarded, copies of emails from all contractors in that Group must be obtained and included in your request unless an additional justification is provided as to why it must be a specific contractor.

COST

An item from a different source is substantially cheaper than the on-contract item, provide the Contract Manager quotes from the Contractor(s) and the requested off-contract vendor. Keep in mind that business case exceptions based on cost are approved on a case-by-case basis.

DEVICE NOT OFFERED THAT IS WITHIN THE CONTRACT SCOPE

If a specific device is within the contract scope but not offered on contract, provide the Contract Manager with a justification as to why the department must have a specific device that similar devices available on the contract cannot provide. Since the price lists are itemized (Contractor’s Information Sheet provides pricing resources in the Pricing Sources section), agencies may review the price lists to determine its availability or ask the Contractor.

TIME SENSITIVITY

If a device is on back order (e.g., 3 months) and the agency needs it sooner than the Contractor’s estimated delivery date to maintain their business operations, provide the Contract Manager emails from Contractor(s) confirming device is on back order and justification as to why the device is needed sooner.

RESPONSIVENESS

The agency has made several attempts to request a device from the Contractor(s) within a specified or reasonable timeframe (specifying the timeframe in the email to the Contractor(s) is preferred). If the Contractor(s) didn’t respond or provide updates within the specified or reasonable time frame, provide Contract Manager the email chain with the Contractor(s) to demonstrate their unresponsiveness.

PROBLEM RESOLUTION

Purchasing Entities should first attempt to resolve complaints, issues or disputes informally with the Contractor. If the issue or dispute cannot be resolved, the issue may be elevated to the State Contract Manager.

Hallee Kox Department of Administration 101 E Wilson St, 6th Fl Madison, WI 53703

(608) 266-7554 Hallee.Kox@wisconsin.gov image1.png