Explanation
This legislation authorizes the Director of the Department of Technology (DoT) to enter into a two-year contract with OARnet/OSU, a non-profit organization, for VMWare software licensing, maintenance, and support services. The original agreement (EL011737) was authorized by ordinance 1716-2010, passed December 13, 2010. The agreement was most recently renewed by authority of ordinance 0887-2023, passed by Columbus City Council on April 26, 2023. The total cost associated with this ordinance is $916,566.52 for the coverage term period from April 2, 2024 to April 1, 2026.
Through the State of Ohio Virtualization Program, OARnet offers significant discounts on VMWare that are not available in the market place. As such, it is in the city’s best interests to procure VMWare through OARnet, rather than another procurement process. The pricing offered to the city reflects the agreed upon public sector discounts available to all participants in the State of Ohio Virtualization Program.
Server virtualization is the conversion of one physical server into multiple individual and isolated virtual storage spaces. This industry standard was adopted by the DoT in 2009 to reduce the costs of Data Center operations. This also reduces power consumption, cooling requirements, and provides further capabilities for recovery and availability of information systems. VMWare software is the core component that is needed in order to operate virtual servers that run critical applications for the enterprise such as Accela, CUBS, and 311.
This ordinance also authorizes the appropriation of $1,170,328.00 to the Department of Technology, Information Services Division, from the unappropriated cash balance of the Information Services Operating fund, pursuant to the projections outlined in DoT’s 3rd quarter 2023 review submission.
Additionally, this ordinance authorizes various transfers in the Information Services Division’s operating fund. As part of the 2023 third quarter financial review, the Department of Technology and the Department of Finance and Management identified surpluses and deficits in various object classes within the technology services fund. In order to properly align appropriations with projected expenditures and allow divisions to operate without interruption through the end of 2023, it is necessary to transfer $3,210,538.00 among divisions and object classes within the Information Services operating fund.
Finally, this ordinance authorizes the expenditure of $916,566.52 for the above-mentioned purpose.
NOT-FOR-PROFIT CONTRACT INFORMATION
This agreement is being awarded under City Code section 329.30, which prescribes the method for contracting with not-for-profit organizations. DoT and OARnet negotiated the cost for provision of the above-described services, the costs for which are outlined in the attachment to this ordinance. The services being authorized herein include VMWare software licensing, maintenance, and support.
FISCAL IMPACT
Funds for the above-described services are budgeted and available within the Department of Technology, Information Services Division, Information Services Operating Fund.
CONTRACT COMPLIANCE
Vendor name: OARnet/OSU, 1224 Kinnear Rd Ste. 130, Columbus, OH 43212; DAX Vendor Acct. #: 006163; Expiration Date: Non-Profit Organization (NPO)
Title
To authorize the Director of the Department of Technology to enter into an agreement with OARnet/OSU for VMWare software licensing, maintenance, and support, pursuant to Columbus City Codes sections relating to not-for-profit service contracts; to authorize the appropriation of $1,170,328.00 to the Department of Technology, Information Services Division from the unappropriated cash balance of the Information Services operating fund; to authorize and direct the City Auditor to transfer $3,210,538.00 in appropriations among divisions and object classes in the Information Services operating fund; to authorize the expenditure of $916,566.52 from the Department of Technology Information Services Operating Fund; and to declare an emergency. ($916,566.52)
Body
WHEREAS, the city has a need for VMWare software licensing, maintenance, and support; and
WHEREAS, OARnet/OSU, a local non-profit educational institute, provides the above-described service; and
WHEREAS, On December 13, 2010, Ordinance 1716-2010 passed, authorizing the initial contract; and
WHEREAS, the Department of Technology wishes to continue to obtain services from OARnet/OSU for the above-described services; and
WHEREAS, $1,170,328.00 is available for appropriation in the unappropriated cash balance of the Information Services Operating Fund; and
WHEREAS, the third quarter financial review, conducted by the Department of Finance and Management, identified projected surpluses and deficits in various object classes of several the technology services fund divisions; and
WHEREAS, it is necessary to transfer funds among divisions and object classes in order to allow divisions to continue to operate through the end of 2023; and
WHEREAS, an emergency exists in that it is immediately necessary to authorize the Director of the Department of Technology enter into contract with OARnet/OSU for VMWare software licensing, maintenance, and support, pursuant to Columbus City Codes sections relating to not-for-profit service contracts, and appropriate and transfer moneys within the Information Services operating fund 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 enter into contract with OARnet/OSU for VMWare software licensing, maintenance, and support, pursuant to Columbus City Codes sections relating to not-for-profit service contracts at a cost of $916,566.52 for a term of two years, starting on April 2, 2024 and ending on April 1, 2026.
SECTION 2. That the appropriation of $1,170,328.00 from the unappropriated balance of the Information Services operating fund be and is hereby authorized to the Information Services Division, Division 4701 and 4702, Fund 5100, Subfund 510001, as shown in the attachment to this ordinance. (See 3005-2023EXP)
SECTION 3. That transfers totaling $3,210,538.00 be and are hereby authorized within the Information Services operating fund, Fund 5100, Subfund 510001, as shown in the attachment to this ordinance. (See 3005-2023EXP)
SECTION 4. That the expenditure of up to $916,566.52, or so much thereof as may be necessary, is hereby authorized as provided on the attachment to this ordinance. (See attachment 3005-2023EXP).
SECTION 5. That this agreement is being awarded under City Code section 329.30, which prescribes the method for contracting with not-for-profit organizations.
SECTION 6. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 7. 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 8. 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.