HomeMy WebLinkAboutStaff Report 3699
City of Palo Alto (ID # 3699)
City Council Staff Report
Report Type: Consent Calendar Meeting Date: 5/6/2013
City of Palo Alto Page 1
Summary Title: Life Pack 15 Monitor Warranties
Title: Recommendation to Purchase Eighteen (18), 5-Year Extended
Warranties for New Electrocardiogram (EKG) Monitors for a Not-to-Exceed
Total of $93,000
From: City Manager
Lead Department: Fire
Recommendation
Staff recommends that Council approve an agreement and authorize the City Manager to
purchase eighteen (18), five-year extended warranties for the new Electrocardiogram (EKG)
monitors, through Physio Control, Inc. for the amount not to exceed a total of $93,000.
Executive Summary
The Fire Department recently purchased 18 Life Pack 15 EKG monitors for just under $500,000.
All monitors come with a standard one-year warranty. This CMR is for approval of an extended
warranty for each monitor at a cost of $5,165 each, and a total of $93,000 for all monitors. This
includes on-site annual calibrations and repairs, loaner monitors if needed for major repairs,
software upgrades, remote troubleshooting, etc. This is a sole source from Physio Control, the
manufacturers of the Life Pack 15. The five-year service agreement is attached.
Background
Due to the complicated hardware and clinical significance of the monitors used in the field for
patient assessment, data transmissions and reporting, the need for extended warranties is
justified. The older model monitors were sold to a reseller and the funds from the sale will help
offset the costs for the extended warranties. The total reimbursement from the sale of the
older monitors is $77,850, leaving the City with an additional $15,150 to meet the service
contract. Currently, the additional funds are in the ALS/EKG Monitor Replacement CIP #FD-
12000.
Once the money is received from the reseller, funds will be transferred to the existing CIP fund
for this purchase.
City of Palo Alto Page 2
Discussion
EKG monitors are a critical piece of equipment used by paramedics every day in Palo Alto. This
life-saving and operationally necessary equipment allows paramedics to deliver the highest
levels of advanced life support to the community. The measurable outcomes have increased
paramedic efficiency, enhanced diagnosis and treatment capabilities, and saving patients’ lives
in cardiac situations.
In December 2012, Council approved the purchase of 18 Life Pack 15 EKG monitors in an
amount not to exceed $540,000 that included a standard one-year warranty. Extended
warranties were not available at the time of purchase because the City was utilizing discount
pricing received by another emergency medical services provider and not purchasing directly
from the vendor.
The extended warranty includes on-site annual calibrations and repairs, identical loaner EKGs if
needed for major repairs, software upgrades and remote troubleshooting. EKG monitors have
a serviceable life expectancy of five to ten years. Due to the life-saving mission of the
equipment, complicated hardware and clinical significance of the monitors used for patient
assessment, data transmissions and reporting, extended warranties are a prudent investment.
To offset the cost, the older Phillips EKG monitors that were replaced were declared surplus
and sold to Foremost Equipment.
Resource Impact
The five-year warranty costs of $93,000 will be partially offset by the receipt of $77,850 from
the sale of older monitors. The remaining funding of $15,150 will be derived from an existing
project: the ALS/EKG monitor Replacement CIP #FD-12000.
Attachments:
Attachment A: Extended Warranty Contract LP15 (PDF)
TECHNICAL SERVICE SUPPORT AGREEMENT
End User #Bill To #PALO ALTO FIRE711 SIERRASTANFORD, CA 94305
PALO ALTO FD250 HAMILTON AVE6TH FLOORPALO ALTO, CA 94301
00011303 00011302
Contract Number:
The designated Covered Equipment and/or Software is listed on Schedule A. This Technical Service Agreementis subject to the Terms and Conditions on the reverse side of this document and any Schedule B, if attached.If any Data Management Support and Upgrade Service is included on Schedule A then this Technical ServiceSupport Agreement is also subject to Physio-Control's Data Management Support and UpgradeService Terms and Conditions, rev 7/99-1.
This Technical Service Support Agreement begins on
Price of coverage specified on Schedule A is $92,970.00 per term, payable in a One Time installment.
Special Terms
Accepted: Physio-Control, Inc.
By:
Title:
Date:
Customer:
By:
Print:
Title:
Date:
Purchase Order Number:
Territory Rep:WENN67Mark Plummer800-442-1142 x2556800-772-3340Phone:FAX:
Customer Contact:Kimberley Roderick650-329-2220650-322-3607Phone:FAX:
1/3/2013 and expires on 1/2/2018.
NONE
Reference Number:N67-1632 NewPrinted: 3/14/2013 Page 1 of 5
PHYSIO-CONTROL, INC.
TECHNICAL SERVICE SUPPORT AGREEMENT TERMS AND CONDITIONS
Customer's signature or purchase order referencing this Technical Service Support Agreement are required prior to Physio-Control's
acceptance of this Agreement. This Agreement covers only the equipment listed on Schedule A ("Covered Equipment"). These terms
constitute the complete agreement between the parties and they shall govern over any other documents. These terms may not be
revised in any manner without the prior written consent of Physio-Control.
SERVICES. The services provided under this Agreement are set forth on Schedule A. Physio-Control strives to return service calls
within two (2) hours, and strives to resolve service issues within twenty-four (24) hours. Following service, Physio-Control will provide
Customer with a written report of actions taken or recommended and identification of any materials replaced or recommended for
replacement. The following services are available:
"Repair Only Service" means repairs, Battery Replacement Service, parts and labor necessary to restore Covered Equipment to
original specifications, subject to Exclusions.
"Inspection Only Service" means inspections of Covered Equipment to verify proper device calibration, mechanical operations
and output measurements, electrical safety check in accordance with National Fire Protection Association (NFPA) guidelines and
labor, subject to Exclusions.
"Repair and Inspect Service" means repairs, Battery Replacement Service, parts and labor necessary to restore Covered
Equipment to original specifications, and inspections to verify proper device calibration, mechanical operations and output
measurements, electrical safety check in accordance with NFPA guidelines and Updates (as set forth below), subject to
Exclusions.
"Battery Replacement Service" means replacement of batteries on a one-for-one, like-for-like basis, up to the number of batteries
and/or devices listed in Schedule A. Only batteries manufactured or distributed by Physio-Control are eligible for replacement.
Battery replacement is available upon Customer notification to Physio-Control of the occurrence of:
(i)Battery failure as determined by Customer's performance testing and evaluation in accordance with the applicable
Operating Instructions; or
(ii)The end of the useful life of the battery as set forth in the applicable Operating Instructions
At the discretion of Physio-Control, battery replacement shall be effected by shipment to Customer and replacement by
Customer, or by on-site delivery and replacement by a Physio-Control Service Technician. Upon Customer's receipt of a
replacement battery, the battery being replaced shall become the property of Physio-Control, and Customer must return the
battery being replaced to Physio-Control for proper disposal. In the event that Physio-Control does not receive the battery,
Customer will be charged at the then-current rate for the replacement battery.
"On-Site Service" means that a Physio-Control factory-trained technician will provide service at Customer's location. Services
will be performed between 8:00am and 5:00pm local time, Monday through Friday, excluding holidays. Customer is to ensure
Covered Equipment is available for service at scheduled times. Some service may not be completed On-Site. Physio-Control
will cover travel and/or round-trip freight for Covered Equipment that must be sent to our designated service facility for repair.
"24-hour On-Site Service" means that a Physio-Control factory-trained technician will provide service at Customer's location at
any time, except on the holidays listed above. Customer is to ensure Covered Equipment is available for service at scheduled
times. Some service may not be completed On-Site. Physio-Control will cover travel and/or round-trip freight for Covered
Equipment that must be sent to our designated service facility for repair.
"Ship-In Service" means that service will be performed at Physio-Control's designated service facility. Physio-Control will cover
round-trip freight for Covered Equipment that is sent to our designated service facility for repair.
If Covered Equipment is not available as scheduled or Customer requests services or goods not covered by this Agreement or outside
of designated service frequency or hours, Physio-Control will charge Customer at Physio-Control's standard labor rates less 10%
(including overtime, if appropriate) and applicable travel costs. Parts required for such repairs will be made available at 15% off the
then-current list price.
EXCLUSIONS. Unless otherwise specified, this Agreement does not include:
·supply or repair of accessories or disposables ·repair of damage caused by misuse, abuse, abnormal operating conditions, use of batteries or other products not distributed
by Physio-Control, operator errors, or acts of God ·case changes ·repair or replacement of items not originally distributed or installed by Physio-Control ·Upgrades and installation of Upgrades ·battery maintenance, performance testing, evaluation, removal and recycling
Reference Number:N67-1632 NewPrinted: 3/14/2013 Page 2 of 5
LOANERS. If Covered Equipment must be removed from service to complete repairs, Physio-Control will provide Customer with a
loaner device, if one is available, until the Covered Equipment is returned. Customer assumes complete responsibility for the loaner
and shall return the loaner at Customer's expense to Physio-Control in the same condition as received, upon the earlier of the return
of the removed Covered Equipment or Physio-Control's request.
UPDATES. "Update" means a change to a device to enhance its current features, stability, or software. If Repair and Inspect Service
is designated for Covered Equipment on Schedule A, Physio-Control will install Updates at no additional cost, provided such Updates
are installed at the time of regularly scheduled service. If parts must be replaced to accommodate installation of new software, such
parts may be purchased at a rate of 30% less than the then-current list price. Updates installed on Covered Equipment designated as
Repair Only Service, Inspect Only Service, or at a time other than regularly scheduled Repair and Inspect Service will be billed on a
separate invoice at the then-current list price less 20%.
UPGRADES. "Upgrade" means a major, standalone version of software or the addition of features or capabilities to a device.
Upgrades must be purchased separately, and are not provided under this Agreement. Upgrades are available at a rate of 17% less
than the then-current list price.
PRICING. Pricing is set forth on the front page of this Agreement. Prices do not include taxes. Sales, service or use taxes will be
invoiced in addition to the price of the goods and services covered by this Agreement unless Physio-Control receives a copy of a valid
exemption certificate. If the number or configuration of Covered Equipment changes during the Term, pricing shall be pro-rated
accordingly. For Inspection Only Service and Repair and Inspect Service, no pricing deduction will be made for removal of Covered
Equipment if an inspection has already been performed during the Term. Discounts will not be combined with other special terms,
discounts, and/or promotions.
PAYMENT. Payment is due within thirty (30) days of invoice date.
WARRANTY. Physio-Control warrants services performed under this Agreement and replacement parts provided in performing such
services against defects in material and workmanship for ninety (90) days from the date a service was performed or a part was
provided. Customer's sole remedy shall be reservicing the affected unit and/or replacement of any part determined to be defective,
without additional charge, provided Customer notifies Physio-Control of any allegedly defective condition within ten (10) calendar days
of its discovery by Customer. Physio-Control makes no other warranties, express or implied, including, without limitation, NO
WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, AND IN NO EVENT SHALL
PHYSIO-CONTROL BE LIABLE FOR INCIDENTAL, CONSEQUENTIAL, SPECIAL, OR OTHER DAMAGES.
TERM. The initial Term is set forth on the front page of this Agreement. This Agreement shall automatically renew unless terminated
by either party with written notice thirty (30) days prior to the expiration of the then-current term. Prices are subject to change upon
renewal.
TERMINATION. Either party may terminate this Agreement for material breach by the other party by providing thirty (30) days' written
notice to the other party, and provided such breach is not cured within the notice period. In addition, either party may terminate this
Agreement at any time upon sixty (60) days' prior written notice to the other party. In the event of such early termination, Customer
shall be responsible for the portion of the designated price which corresponds to the portion of the Term prior to the effective date of
termination and the cost of any services rendered during the Term.
DELAYS. Physio-Control will not be liable for any loss or damage of any kind due to its failure to perform or delays in its performance
resulting from any cause beyond its reasonable control, including, but not limited to, acts of God, labor disputes, labor shortages, the
requirements of any governmental authority, war, civil unrest, delays in manufacture, obtaining any required license or permit, and
Physio-Control's inability to obtain goods from its usual sources. Any such delay shall not be considered a breach of Physio-Control's
obligations and the performance dates shall be extended for the length of such delay.
DEVICE INSPECTION BEFORE ACCEPTANCE. All devices that are not under Physio-Control Limited Warranty or a current
Technical Service Support Agreement must be inspected and repaired (if necessary) to meet original specifications at then-current list
prices prior to being covered under a Technical Service Support Agreement.
MISCELLANEOUS. (a)Customer agrees to not employ or offer employment to anyone performing services on Physio-Control's
behalf during the Term of this Agreement or for one (1) year following its expiration without Physio-Control's prior written consent; (b)
this Agreement, and any related obligation of other party, may not be assigned in whole or in part without the prior written consent of
the other party; (c) this Agreement shall be governed by the laws of the State in which the service is provided; (d) all costs and
expenses incurred by the prevailing party related to the enforcement of its rights under this Agreement, including reasonable
attorney's fees, shall be reimbursed by the other party.
Reference Number:N67-1632 NewPrinted: 3/14/2013 Page 3 of 5
Contract Number:Servicing Rep:District:Phone:FAX:
Mark Plummer, WENN67WEST800-442-1142 x2556800-772-3340
TECHNICAL SERVICE SUPPORT AGREEMENTPHYSIO-CONTROL, INC.
SCHEDULE A
Equipment Location:PALO ALTO FIRE, 00011303711 SIERRASTANFORD, CA 94305
Model Part Number Serial Number Line Date Date
POS LP15 On Site Repair and 1 Insp per Year:M-F/8-5Scope Of Service
Effective ExpirationRef.
Inspections
Total
LIFEPAK® 15 V15-2-001565 40990458 1 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40990491 2 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40990634 3 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991280 4 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991302 5 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991333 6 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991375 7 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991447 8 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991451 9 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991453 10 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991462 11 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991582 12 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991642 13 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40991643 14 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40995176 15 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40982459 16 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40983001 17 1/3/2013 1/2/2018 5LIFEPAK® 15 V15-2-001565 40983187 18 1/3/2013 1/2/2018 5
** Denotes an inventory line that has changed since the last contract revision or addendum.
Reference Number:N67-1632 NewPrinted: 3/14/2013 Page 4 of 5
TECHNICAL SERVICE SUPPORT AGREEMENTPHYSIO-CONTROL, INC.
SCHEDULE B
LIFEPAK® 15 Monitor/Defibrillator Repair Service includes:
• Standard detachable hard paddle repairs.
• Replacement or repair of Physio-Control battery charging systems on a one-for-one basis with the total number of LP15Defibrillator/Monitors listed in Schedule A, and as determined necessary by Physio-Control.
• Power Adapter repair/replacement.
• Battery Coverage
• Replacement of three (3) LIFEPAK Li-ion Batteries every two (2) years, or upon battery failure
.
Reference Number:N67-1632 NewPrinted: 3/14/2013 Page 5 of 5