Renewal entered into with:Vendor: OfficeMax, Itasca, Illinois
Amount: $2,500,000
Renewal: 2nd of 3
Pricing Changes: None. However, This three-year renewal period, as all previous renewal periods, provides for cumulative participation incentive discounts (all previously earned since the inception of the contract or earned in future years of the contract) to be applied for each year. Included in the original IPHEC contract award was a "CORE LIST" consisting of 200 items where the vendor could have increased the prices from 7% (FY04) and 3% (FY05), but OfficeMax/Boise Office Products has held the "core list" items to minimal cost increases (.0045%) since November 1999 to current. The current "core list" consists of 229 of the major dollar expenditure items purchased by the IPHEC.
Service/Product Changes: None
Comments: The IPHEC receives participation incentives for the purchase of (1) office products or (2) office products and IT peripherals where discounts may be earned separately or in combination during each year. For example: (1) if the IPHEC expenditures are $7.7 million for office products in FY05, the IPHEC would earn a cumulative discount for .05% (1/2 percent) participation discount (or participation rebate if selected) beginning July 1, 2005; and (2) if the IPHEC expenditures are $11.5 million for office products and IT peripherals combined in FY05, the IPHEC would earn an additional cumulative discount of .05% (1/2 percent) participation discount (or participation rebate if selected) beginning July 1, 2005.
The University award process may be delayed up to thirty days as this award goes through a state approval process.
