Explanation
BACKGROUND:
The Department of Technology has a need to renew and modify a contract with Emerson Network Power, Liebert Services, Inc., formerly known as Liebert Global Services, established by Ordinance No. 1160-2006, for annual maintenance and related services associated with the Uninterrupted Power Supply (UPS) systems, utilized by the Department of Technology. The contract was most recently renewed by authority of ordinance 0156-2012 (purchase order EL012677). This contract covers services for computer and data centers at two separate locations, and allows for continuous operations when power fluctuations and failures occur. The original contract provided language that allows for modifications and renewals for additional coverage periods at the end of each year's coverage period, contingent upon the express written approval of all parties and the City's appropriation and authorization of funds.
Approval of this ordinance will make provisions for an annual maintenance service agreement, with a total cost of $45,757.79 and a coverage period of 4/19/2013 through 4/18/2014. The annual maintenance is being modified from an "essential" to a "preferred" level of service to provide for 24hr/7days per week site scan coverage provided by the vendor which includes a software upgrade from version 3.0 to 5.0, at an additional cost of $15,722.00 for a combined total cost of $61,479.79 This service is needed to ensure that the City's data centers will always be fully operational. In addition to the cost for the maintenance and software service upgrades, there is a need to replace capacitors and fans on the City's UPS systems, in order to extend their useful life. The additional cost of this service is $39,881.40. The need for the enhanced maintenance service was not known at the time of the original agreement, therefore it could not be foreseen. As Emerson Network Power is the only factory authorized service provider for the Liebert UPS equipment used at the City data centers, it is best for the City to obtain service from Emerson instead of through alternate procurement methods. Emerson has provided a price quote for the additional service, which has been accepted by the Department of Technology.
Although maintenance service for Liebert UPS systems are available from other suppliers, Emerson Network Power, Liebert Services is the only factory authorized service provider for the UPS equipment used at the City's data centers. Where alternate providers of UPS services are required to utilize Liebert technicians, Emerson's policy is to bill the end user directly and not the third party service provider. Nor does Emerson support third party organizations with technical back-up or guaranteed parts availability. Given the critical need for reliable UPS systems at the City's data centers, it is in the City's best interests to contract directly with Emerson. As such, this ordinance will authorize a waiver of competitive bidding provisions of Columbus City City in accordance with section 329.27.
EMERGENCY DESIGNATION:
Emergency designation is requested to immediately facilitate prompt payment and to avoid interruption in the performance of services necessary in the usual daily operation.
FISCAL IMPACT:
For fiscal years 2011 and 2012, the amounts of $51,162.00 and $46,236.00, respectively were expended for maintenance support and related services with Emerson Network Power, Liebert Services, Inc., formerly known as Liebert Global Services, for the batteries UPS system. The funding for this renewal and modification are within the Department of Technology, Information Services Division, internal service fund ($61,479.79) and Capital Improvement Fund ($39,881.40) Facility renovation -project number 470031-100000/OCA code 470031. The 2013 annual maintenance renewal and upgrades total cost of $101,361.19 will provide annual coverage for two (2) locations, and bringing the contract aggregate total to $421,710.52.
CONTRACT COMPLIANCE NUMBER:
Vendor Name: Emerson Network Power, Liebert Services, Inc. CC#/FID#: 43 - 1798453 Expiration Date: 02/06/2015
Title
To authorize the Director of the Department of Technology to modify and renew a contract with Emerson Network Power, Liebert Services, Inc. for annual maintenance, upgrade software and related services associated with the batteries Uninterrupted Power Supply (UPS) systems, and use capital funds to replace capacitors and fans on the UPS systems, in order to extend their useful life; to waive the competitive bidding provisions of the Columbus City Codes; to authorize the expenditure of $61,479.79 from the Department of Technology, Information Services Division, Internal Service Fund and $39,881.40 from the Capital Improvement Fund; and to declare an emergency. ($101,361.19)
Body
WHEREAS, approval of this ordinance will make provisions for renewal of an annual maintenance service agreement, for $45,757.79 with a coverage period of 4/19/2013 through 4/18/2014; allow the maintenance agreement to be modified from an "essential" to a "preferred" level of service, which includes a software upgrade from version 3.0 to 5.0, at an additional cost of $15,722.00 for a combined total cost of $61,479.79.
WHEREAS, in addition to the cost for the annual maintenance service and upgrades, this ordinance will authorize the Director of the Department of Technology to continue utilizing services provided by Emerson Network Power, Liebert Services, Inc., formerly known as Liebert Global Services, to provide the service of replacing capacitors and fans needed on the City's Liebert UPS systems, in order to extend their useful life at a of $39,881.40 bringing the total for this ordinance to $101,361.19. This service is needed to ensure that the City's data centers will always be fully operational; and
WHEREAS, this ordinance requests approval to waive the competitive bidding provisions of the Columbus City Codes, Section 329.07, to allow the Department of Technology to modify and renew a contract for annual maintenance, software and service upgrades, and related services; and
WHEREAS, an emergency exists in the daily operation of the Department of Technology in that it is immediately necessary to authorize the Director of the Department of Technology, to modify and renew this annual contract, to provide uninterrupted service associated with the UPS utilized at the City's data centers provided by Emerson Network Power, Liebert Services, Inc., thereby preserving the public health, peace, property, safety, and welfare; now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1: That the Director of the Department of Technology be and is hereby authorized to renew an annual contract with Emerson Network Power, Liebert Services, Inc., formerly known as Liebert Global Services, for maintenance service agreement and related services for the batteries Uninterrupted Power Supply (UPS) systems for two (2) locations with coverage period of 4/19/2013 through 4/18/2014, for $45,757.79, and modify the maintenance agreement to upgrade the level of service, which includes a software upgrade from version 3.0 to 5.0, at a cost of $15,722.00 in addition to provide the service of replacing capacitors and fans totaling $39,881.40 for an aggregate total of $101,361.19.
.
SECTION 2: That the expenditure of $101,361.19 or so much thereof as may be necessary is hereby authorized to be expended from:
Div.: 47-02| Fund: 514| Subfund 001| OCA Code: 470202| Obj. Level 1: 03| Obj. Level 3: 3372| Amount: $61,479.79
Div.: 47-02|Fund: 514|Subfund: 002| Project Name: Facility Renovations Project| Project No.: 470031-100000| Project OCA: 470031| Obj. Level 1: 06|Obj. Level 3: 6649|Amount: $39,881.40
SECTION 3: That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 4: That the City Auditor is authorized to make any accounting changes to revise the funding source for any contract or contract modifications associated with this ordinance.
SECTION 5: That the City Auditor is hereby authorized to transfer the unencumbered balance in a project account to the unallocated balance account within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies are no longer required for said project.
SECTION 6: That the competitive bidding provisions of the Columbus City Codes Section 329.07 are hereby waived for good cause shown.
SECTION 7: That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.