Buying print technology and associated services

Learn about the all-of-government print technology and associated services contract. It covers printers, photocopiers, scanners and associated print services, such as consumables (cartridges) and software.

Level of compliance Main audience Other

Recommended

  • Principals and Tumuaki
  • Staff responsible for buying on behalf of their school
  • Boards

Benefits of this contract

All-of-government contracts are optional for schools to join. If you are not joining this contract and entering into a commercial agreement with a print supplier instead, it is still recommended that your school considers the advice on this page.

Learn more about all-of-government contracts:

All-of-government contracts

Joining an all-of-government (AoG) contract is likely to save your school both time and money, and reduce risk.

The AoG print technology and associated services (PTAS) contract offers the following benefits to schools.

  • You will save approximately 8% compared to purchasing services through a non-AoG arrangement.
  • You are free to choose your pricing option (for example, monthly lease or managed cost per copy).
  • Pricing will not increase over the term of the contract (unlike commercial contracts, which often include an annual CPI or regular price increase).
  • A3 printing is charged at the same price as A4.
  • There is no charge for the scan function.
  • There are no committed volumes (commercial contracts often have a minimum volume which means that schools may end up paying for printing that it doesn’t need).
  • Early termination costs must be disclosed and transparent pricing provided in an AoG contract 'statement of work' to ensure that schools can make informed decisions about the financial impact of ending a contract early.

All-of-government print team support

The AoG print team can provide schools with support when negotiating with suppliers. They also provide advice to schools relating to commercial print contracts outside of the AoG contract.

The AoG print team can be emailed at print.coe@mbie.govt.nz.

Transition to the third generation of the contract

  • A new print technology and associated services AoG contract launched in September 2022.
  • Schools who had joined the AoG contract prior, were automatically transitioned to the new contract.
  • Statements of work agreed between schools and suppliers prior to September 2022 and the new contract remain in effect until their specified expiry.
  • All new AoG statements of work agreed from September 2022 onwards are made under the terms of the third generation of the AoG contract.

How to join the contract

The process for joining the PTAS contract is similar to that for other AoG contracts.

  1. Complete a non-disclosure agreement
  2. Read about the contract and the memorandum of understanding
  3. Complete the joining form
  4. Define your print requirements
  5. Request a proposal and pricing from suppliers
  6. Choose your preferred supplier
  7. Delivery of print services

1. Complete a non-disclosure agreement

What is a non-disclosure agreement?

If your school has not signed up to an AoG contract before, you will need to complete a non-disclosure agreement (NDA) available on the NZ Government Procurement (NZGP) website.

Non-disclosure agreement form – NZGP(external link)

You can email school.buying@education.govt.nz to find out if your school has already completed an NDA.

2. Read about the contract and the memorandum of understanding

What is a memorandum of understanding?

Log in to the NZGP website to access more information on the contract. You will need to use your school-linked RealMe account because you will have access to commercially sensitive information.

Print technology and associated services – NZGP(external link)

School-linked RealMe

The memorandum of understanding (MoU) is in the 'contract documents' section of the PTAS contract page. The MoU sets out the obligations of schools participating in the contract.

3. Complete the joining form

What is a joining form?

The joining form confirms your school agrees to the terms set out in the MoU.

  • You can request a joining form for the contract by emailing print.coe@mbie.govt.nz.
  • Your completed joining form must then be emailed to print.coe@mbie.govt.nz.
  • Once the joining form is processed, you will receive a confirmation email.
  • You can now begin engaging with suppliers.

Supplier contact details can be found on the NZGP website (you will need to be logged in with a school-linked RealMe account).

PTAS suppliers – NZGP(external link)

4. Define your print requirements

Think about your current print contract:

  • how does your school buy and use print services?
  • what is working well and what is not?
  • what is important to your school when buying?

Also consider:

  • the number and type of current devices, including multi-functional devices, printers, photocopiers and scanners
  • your print volumes over the past 12 months for colour and black and white (mono) printing and estimated future volumes
  • the way devices are set up (eg, how users access to the devices are controlled)
  • any improvements that you would like to see (eg, reducing spend, productivity improvements, sustainability).

Your current print supplier can inform you of your current usage and device specifications.

The requirements and quote template will help you capture these details.

5. Request a proposal and pricing from suppliers

  1. You may engage 1 or more of the suppliers on the panel to request a quote.
  2. If you have 5 or more devices, we recommend that you get multiple quotes.
  3. It is preferable that you decide on a pricing model (see below) before requesting quotes so that the price comparison across suppliers is simple. However, you can request that the supplier quotes multiple pricing options.

You can use the requirements and quote to help you request quotes from suppliers.

We encourage you to contact the AoG print team at this time if you have any questions.

Email: print.coe@mbie.govt.nz.

6. Choose your preferred supplier

Compare each supplier's offer and keep our print contract buying advice in mind. (See below.)

When selecting a preferred supplier, you must consider the supplier's pricing as well as the solution offered.

When comparing pricing, you should also take into account any early termination costs included.

Once you confirm a preferred supplier:

  • they will prepare a statement of work (SoW) that reflects your requirements
  • they will work with NZGP to make sure that their terms meet the requirements of the AoG PTAS contract
  • once NZGP reviews and confirms the SoW, it can be signed by your school and the supplier.

Note: All SoW arranged through the AoG contract will be set to last 60 calendar months by default (excluding any short-term leases).

7. Delivery of print services

The SoW will set out the start date of services.

Once the print devices are installed, your school is participating in the AoG PTAS contract.

Key considerations for print contracts

Suppliers

There are 4 suppliers on the AoG panel:

  • Brother International (NZ)
  • Canon New Zealand
  • Fujifilm Business Innovation New Zealand
  • Ricoh New Zealand.

Supplier contact details can be found on the NZGP website (you will need to be logged in with a school-linked RealMe account).

PTAS suppliers – NZGP(external link)

Pricing models for devices

There are a range of different pricing options. In all pricing models, the school pays for services and maintenance separately.

Options differ based on how you will pay for print device costs:

  • monthly lease
  • outright purchase
  • managed cost per copy
  • short-term lease.

Monthly lease

A fixed monthly cost is paid to lease print devices of your school's choice.

Outright purchase

Print devices are paid for up front and in full.

Managed cost per copy

A negotiated per-copy rate is paid for print devices selected by the supplier to suit the school’s needs.

Short-term lease

Print devices are leased for 3 months or fewer. This is only suitable for temporary requirements.

Service and maintenance rates

The pricing options above have capped service and maintenance rates. These are charged per copy and include the maintenance of devices and provision of all consumables (for example, printer cartridges).

Paper and any other stationery requirements not specifically for the device are not included in the scope of the contract. These can be purchased through the AoG office supplies contract.

Buying office supplies

Selecting devices and device ownership

Aside from under the managed cost per copy pricing model, schools will need to select their print devices at the start of the contract. Under the managed cost per copy pricing model, the supplier manages/optimises the fleet over the term of the contract to cater for the changing needs of a school.

The ownership of the devices stays with the supplier in all pricing models, aside from the outright purchase model. Therefore, the devices will be returned to the supplier at the end of the contract term.

General print contract buying advice

Selecting a pricing model

Monthly lease

Most schools use a monthly lease pricing model. This is the simplest model and does not require you to forecast accurate print volumes.

However, you can afford to pay up front for the print devices, outright purchase may be a good option. This would save on finance charges.

Managed cost per copy

If you have confidence in future printing volumes, the managed cost per copy models may be used.

However, be aware that if actual volumes are 10% higher or lower than estimated, the contract may need to be varied to adjust the cost per copy rates. This is to support the consistent recovery of the capital cost over the term of the contract.

Best time to consider joining the PTAS contract

If your school's existing contract is approaching expiry, this is the best time to consider joining the AoG PTAS contract.

  • You will not incur any early termination costs associated with an existing contract.
  • Printers can be refreshed with no costs carried over from previous contracts.
  • Your school will have the best chance of being offered a competitive rate by all suppliers.

We recommend you begin the planning and joining process 3-6 months ahead of contract expiry. Existing suppliers are also likely to make contact at this time to discuss renewal.

Terminating an existing contract

You can terminate your existing contract to sign on to a new one. However, if you are doing this, you will need to consider the cost impact of terminating the contract early.

  • While it often appears that savings will be achieved month by month, there is almost always a financial implication for schools when terminating a contract. This may make a change of contract more expensive than finishing an existing contract.
  • You may want to break a contract early and risk an early termination charge because of issues with old equipment. Before you do, make sure the supplier is meeting their responsibility to keep leased equipment functioning properly. If this is not satisfactory, then you may consider leaving the contract.
  • A contract should only be terminated by the school when fully informed about all of the associated costs.

If you are considering breaking a contract early, contact print.coe@mbie.govt.nz for advice.

Sponsorship deals

Supplier proposals which include some form of sponsorship is a common offering for schools.

Be aware that:

  • sponsorship can look appealing because it may include the business making donations to support school events or sports teams
  • suppliers almost always charge the school the costs of their sponsorship by raising the price of the cost per copy or lease rates
  • sponsorship can be provided under an AoG contract, but it is not encouraged. Any sponsorship arrangements provided under the AoG contract will be outlined in the SoW with all costs disclosed so that the school can make a informed decision.

Contract duration

The AoG print team recommends a 5-year term. A 5-year term works out to be the best balance between equipment life and costs paid.

Shorter-term contracts provide schools with less time to pay the cost of the equipment. This makes monthly charges significantly higher. For example, if a school pays the equipment off in 3 years, the supplier will receive the equipment back fully paid for and in good condition in shorter time frame. This will work in the supplier’s favour.

Impact to borrowing thresholds

Your school board can only borrow within the limits set by section 155 of the Education and Training Act 2020 and the conditions specified in regulation 12 of the Crown Entities (Financial Powers) Regulations 2005.

This limit is set at a maximum repayment of interest and principle of 10% of your school's annual operation grant.

Monthly payments under AoG print contracts for equipment are treated as finance leases resulting in a debt repayment.

The monthly repayments will be included in the borrowing limit calculation. We recommend that you consult your school's financial services provider when you enter a new leasing arrangement.

Contacting regional dealers

You should contact the AoG panel suppliers' head offices directly instead of going through their regional dealer.

Panel suppliers will give you a quote using AoG terms and pricing and facilitate it through their dealer if appropriate.

PTAS providers – NZGP(external link)

Regional dealers will still provide services and maintenance and are the key contact during the contract period.

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