Explanation
Background:
Capital expenditures are required to upgrade the city's server system to encompass both hardware and software upgrades to the current standard of Windows 2003 supported by Microsoft. Microsoft will no longer support the city's current operating system software of Windows NT after December 31, 2004.
It will be impossible to upgrade the operating system without replacing the city's server system hardware. The newer software will be unable to function on the current system hardware. Furthermore, vendors can only support the current hardware on a time and materials basis and can no longer guarantee a quick repair turnaround time due to the age of the hardware. In some cases, necessary parts can no longer be obtained which has caused extended service outages.
Fiscal Impact: Transfers totaling $235,773.21 between various projects within the information services capital projects fund will need to occur in order to accommodate expenditures for this project. In order to complete the project, additional funding will be needed from the Special Income Tax fund in the amount of $250,000.00. The total amount of this project is $485,773.21. Universal term contracts will be used for this project.
Emergency: Emergency action is requested due to time constraints of Microsoft support ending on December 31, 2004 and the need to be on a fully functional operating system by that time.
Contract Compliance: Smart Solutions 34-1403269 Expiration: 6-18-04
Babbage-Simmel 31-1067170 Expiration: 4-5-07
Caspian Software 31-1347857 Expiration: 4-2-05
Software House International 22-3009648 Expiration: 10-30-04
Title
To authorize the City Auditor to appropriate and transfer $250,000.00 from the special income tax fund to the information services capital projects fund, to appropriate $250,000.00 within the information services capital projects fund, to transfer $235,773.21 between projects within the information services capital projects fund, to amend the 2003 Capital Improvement Budget; to authorize the Finance Director to create purchase orders with UTC vendors, to authorize expenditure of $485,773.21 for the replacement of current operating system software and hardware, and to declare an emergency. ($485,773.21)
Body
WHEREAS, the city's operating and hardware systems need to upgraded as the city's current operating system software will no longer be supported by Microsoft after December 31, 2004 necessitating migration of the current operating system to Microsoft Windows 2003, and
WHEREAS, it is necessary to appropriate and transfer funds from the special income tax fund to the information services capital projects fund, and
WHEREAS, the transfer of the $250,000.00 is a temporary measure until the city sells notes or bonds to fund this needed improvement, and
WHEREAS, a transfer is necessary between capital improvement projects of all unencumbered funds within the information services capital projects fund, and
WHEREAS, it will be impossible to upgrade the operating system without replacing the city's server system hardware as the newer operating system software will be unable to function on the current system hardware, and
WHEREAS, the aggregate principal amount of obligations which the city will issue to finance this purchase is presently expected not to exceed $250,000.00, and
WHEREAS, an emergency exists in the usual daily operation of the city in that it is immediately necessary to authorize the replacement and upgrade of the city's operating and hardware systems due to time constraints of Microsoft support ending on December 31, 2004 and the need to be on a fully functional operating system by that time, thereby preserving the public health, peace, property, safety, and welfare; now, therefore:
BE IT ORDAINED BY THE CITY COUNCIL OF COLUMBUS:
Section 1. That the Director of the Department of Finance is hereby authorized to create purchase orders with various universal term contracts for the upgrade of the city's operating and hardware systems.
Section 2. That from the unappropriated monies in the special income tax fund, fund 430, and from all monies estimated to come into said fund from any and all sources, and unappropriated for any other purpose during the fiscal year December 31, 2004, the sum of two hundred fifty thousand dollars ($250,000.00) is hereby appropriated to the City Auditor, Department 22-01, Object Level 1-10, Object Level 3-5502, OCA 902023
Section 3. That the City Auditor is hereby authorized to transfer said funds from Section 2 above to the information services capital projects fund at such time as is deemed necessary by the City Auditor, and to expend said funds, or so much as may be necessary.
Section 4. That the amount of $250,000.00 is hereby appropriated to the information services capital projects fund, Department/Division 47-02, fund 514, subfund 002, as follows:
Dept/Div: 47-02| Fund: 514| Subfund: 002| project number: 470022|OCA code 470022|OL1-03 Code: 6649|Amount: $250,000.00
Section 5. That the City Auditor is hereby authorized and directed to appropriate and transfer funds within the information services capital projects fund, fund 514, subfund 002, Department/Division 47-02, as follows:
Transfer From:
Dept/Div: 47-02| Fund: 514| Subfund: 002| Project number 470005| Project name - System Migration| OCA Code: 286047| OL1-03 Code: 6649|Amount: $171,306.47
Dept/Div: 47-02|Fund: 514| Subfund: 002| Project number 470006| Project name - Disaster Recovery| OCA Code: 286054| OL1-03 Code: 6649| Amount: $62,966.74
Dept/Div: 47-02|Fund: 514| Subfund: 002| Project number 470016| Project name - UPS Upgrade| OCA Code: 470016| OL1-03 Code: 6649| Amount $1,500.00
Transfer To:
Dept/Div: 47-02|Fund: 514| Sub fund: 002| Project number 470022| Project name -Windows 2003 System Migration| OCA Code 470022| OL1-03 Code: 6649| Amount $235,773.21
Section 6. That upon obtaining other funds for this project, the City Auditor is hereby authorized to repay the special income tax fund the amount transferred under Section 3, above, and said funds are hereby deemed appropriated for such purpose.
Section 7. That the City Auditor is authorized to make any accounting changes to revise the funding source for any contract or contract modification associated with the expenditure of the funds transferred in Section 3.
Section 8. The city intends that this ordinance constitutes an official intent for the purpose of Section 1.150-2(e) of the Treasury Regulations promulgated pursuant to the Internal Revenue Service Code of 1986, as amended.
Section 9. That for paying for the cost of this project, the expenditure of $485,773.21 or as much thereof as may be needed by and the same is hereby authorized from the information services capital projects fund, fund number 514, subfund 002, Department/Division 47-02, OCA code 470022, object level three 6649, object level one 06, project number 470022, to pay the costs thereof.
Section 10. That the 2003 capital improvements budget is hereby amended as follows:
CURRENT CIB:
Dept/Div: 47-02|Fund: 514| Sub fund: 002| Project number 470022| Project name - Windows 2003 System Migration| Amount $0.00
Revised CIB
Dept/Div: 47-02|Fund: 514| Sub fund: 002| Project number 470022| Project name - Windows 2003 System Migration | Amount $485,773.21
Section 11. 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.