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HomeMy WebLinkAboutSurplus - Nextel Cell PhonesCITY OF PALM DESERT SPECIAL PROGRAMS DEPARTMENT STAFF REPORT REQUEST: Authorize Surplus of Nextel Cellular Phones SUBMITTED BY: Frankie Riddle, Director of Special Programs APPLICANT: City of Palm Desert DATE: November 15, 2012 CONTENT: None Recommendation By Minute Motion: xe- 1. Authorize City staff to sell Nextel cellular phones at $5.00 per phone; and 2. Authorize staff to surplus remaining Nextel cellular phones to Cellunex. Discussion Staff was notified by Nextel that it would be phasing out its cellular phones and switching over to Sprint effective July 2013. As a result, the Nextel phones that the City was utilizing would become obsolete around July 2013. However, Nextel was already in the process of phasing out some of the Nextel towers, which limited phone coverage/service for City employees. Since Sprint and Nextel technology is not compatible, there would be no communication through old Nextel phones. As a result, staff researched options (e.g. new providers vs. cost, stipends, reverting back to two- way radios, etc.) and after some discussion, a two pronged approach was undertaken as follows: 1. Staff that required communication with vendors, contractors, businesses, etc. while out in the field were provided a $40 cellular phone stipend. 2. Staff that did not require communication with vendors, contractors, businesses, etc. reverted to utilizing a two-way radio. The change went into effect on October 1, 2012. The City purchased new two-way radios primarily for Public Works Streets, Building & Safety, and Code Compliance. Stipends were issued to other designated staff. Staff also contacted companies to determine if there was any value in the old phones. Listed below are two companies that purchase cellular phones: Pace Butler, Oklahoma City, OK: $4.00 per lb at 18 Ibs = $72.00 Cellunex, Minneapolis, MN: $100.00-$150.00 for remaining phones* STAFF REPORT AUTHORIZE SURPLUS OF OLD NEXTEL PHONES NOVEMBER 15, 2012 PAGE 2 Previously staff has been allowed to purchase unused phones at $5.00, which is more than what Cellunex will pay (e.g., 60 phones/$125 = $2.08 per phone). As a result, the request includes the purchase of old phones by City staff. Since the old Nextel phones are no longer being used, staff is requesting authorization to surplus old phones as outlined within the recommendation. Fiscal Analysis There is no fiscal impact associated with this request. Submitted By: Franki Riddle, Director of Special Programs M. hryM. Wohlmuth, City Manager (i rY COUNCIL ACTION APPROVED f DENIED RECEIVED OTI-IER MEETING DATE -15 -a ,/ AYES: N. NOES: N 0/i( ABSENT: ti n P� ABSTAIN: VERIFIED BY: ToT / Original on File with City Clerk's Office