Xerox printers and copiers have been kicked out of a state government building in the U.S.
According to abc27.com, the Pennsylvania House abruptly severs its deal for printers and copiers with Xerox. The breach of contract will allegedly cost taxpayers more than 5 million dollars.
House Chief Clerk Dave Reddecliff, who signed off on the deal, said “We’re eating 5 million dollars,” thinking the contract was not worth it and caused a waste.
The house found a deal with Canon at US$189,000 a month or US$11.3 million over five years, which it thought would save over $4 million. Although Xerox countered with an even lower offer, the house said the trust was gone.
“They should’ve come back to us a long time ago and said, ‘folks, based on the data, you don’t need certain machines, you don’t need these larger machines, heck, you don’t need this machine at all over here.’ They never did that,” Reddecliff said.
Xerox sees it differently and thinks taxpayers will be forced to pay even more for a bad Canon deal. It questions the lack of transparency or open bidding in the Canon deal. The OEM also accuses that the House for misspending millions of taxpayer dollars by relying on outside consultants to “unravel” the Xerox contract.
Xerox had already sent a letter to the house to protest the lack of transparency in the Canon bidding. It alleges the Request for Proposal form was not put out for the deal.