03 October 2006

ICT Bids

Each year the Division calls for bids to purchase ICT (Information and Communication Technology) equipment for the following year.

The Deputy Head of the Division has initiated the bid process for next year’s Divisional spending on equipment. Because of changing circumstances with budgets and purchasing arrangements (a new finance system, move to leasing rather than buying), it is unclear at the moment how the process will be resolved.

The Division is half-way through replacing photocopiers and printers, and will need to continue this process to replace older, out-of-warranty, more troublesome equipment: about $80,000 of equipment will need to be purchased or leased to cover replacements. Between 120 and 240 desktop, portable, lab and server computers will need to be replaced in 2007 if we are to keep to our policy of disposing of equipment once its warranty expires: replacements will cost from $240,000 to $480,000.

Next year the Division will begin the year with a commitment to honour at least $85,000 in lease payments in 2007 for equipment leased in 2006. Leasing $320,000 more equipment in 2007 will cost around an additional $110,000 in lease payments over a full year.

Financial Services has not provided the Division with details of the cost of leasing the equipment leased in 2006: the figures provided above are based on a rough estimate of the costs of leasing outlined by Financial Services during introductory seminars on the University’s arrangements with Macquarie Bank. The theory is that we pay roughly the same as we would have paid for the equipment if we had purchased it outright, but with 12 payments spread over three years. At the end of the lease the equipment is returned to Macquarie, with additional charges possibly due then if the equipment is not returned in good order.