Fiscal Note
The 2016 Information Technology (IT) operating budget includes $4,000 for recycling fees (MUNIS 17200-54245) and $8,000 (MUNIS 17200-48110) for the sale of assets. The fees are paid to Cascade Asset Management for each piece of equipment sent for recycling regardless of whether the equipment can be refurbished and resold. If the piece of equipment can be refurbished and sold, Cascade credits IT with a rebate against future processing fees. At the end of the year, a reconciliation is performed and Cascade pays the City any balance due.
The proposed resolution would allow IT to donate computers and laptops that Cascade Asset Management deems capable of being refurbished to DANEnet, who would in turn donate the refurbished equipment to qualified Digital Divide subscribers. Cascade Asset Management would donate the refurbishment services.
Cascade Asset Management will also be donating refurbished equipment from their corporate partners. At this point, IT cannot estimate how many City laptops and computers will be donated and therefore, the fiscal impacts of participation in this program cannot be determined. IT believes the impact will be minimal and any loss in rebate revenue will be absorbed within their 2016 operating budget. No appropriation is required.
Title
SUBSTITUTE - Authorizing Information Technology to donate computers/laptops sent to DANEnet Cascade Asset Management for refurbishment and redistribution to qualified subscribers in the Digital Divide Pilot areas.
Body
WHEREAS, the City has a two year pilot project underway to provide low-cost, high-speed Internet service to four areas (Kennedy Heights Apartments, Allied Drive NRT, Darbo/Worthington NRT, and Brentwood NRT) in an effort to bridge the Digital Divide; and
WHEREAS, the City has identified that, in addition to low-cost Internet service, educational services and low-cost or free devices for qualified subscribers in the pilot areas are needed and will be coordinated by DANEnet; and
WHEREAS, Information Technology replaces several hundred of their desktop PC’s and laptops annually in order to ensure our computers are capable of running all City applications; and
WHEREAS, Information Technology contracts with Cascade Asset Management for the refurbishment and/or recycling of all City electronics and earns a rebate from the sale of the refurbished equipment; and
WHEREAS, Cascade Asset Management has agreed to partner with the City and provide refurbishment services for computers/laptops without the associated processing fees; and
WHEREAS, the City would like to donate the refurbished computers/laptops to DANEnet for distribution to qualified subscribers in the pilot areas rather than earn a rebate on those devices.
NOW, THEREFORE, BE IT RESOLVED, that Information Technology is authorized to donate its refurbished computers/laptops to DANEnet for distribution to qualified subscribers in the Digital Divide pilot project.
BE IT FURTHER RESOLVED, that Information Technology is authorized to receive refurbishment services from Cascade Asset Management, for laptops/computers being donated to DANEnet, without the associated processing fees.