Explanation
BACKGROUND:
This ordinance authorizes the Director of the Department of Finance and Management, on behalf of the Department of Technology, to establish a purchase order with OnX USA LLC, utilizing universal term contract FL004390. The purchase order will enable DoT to purchase software licensing, support, and professional services to implement Hewlett Packard's application performance management solution. The application performance management solution will enable DoT to better support the applications utilized by its department customers to conduct their business. These applications include the Performance financial system, the Columbus Utility Billing System (CUBS), and many others.
The total cost to implement the solution is $240,133.99. This includes the cost of software licensing ($152,054.81), one year of software maintenance and support ($33,891.68), training ($15,937.50), and professional services to install and configure the software ($38,250.00). The annual maintenance and support would be an ongoing cost of the application performance management system. The pricing offered by OnX reflects a 70.5% discount off the list price of the Hewlett Packard software licenses, and a 27.5% discount off the professional services. Both discounts exceed the agreed upon discounts established in the UTC, and will expire January 31, 2012.
*OnX USA LLC (formerly known as Agilysys Inc.), HP Equipment, Software and Services, $240,133.99, (FL004390, BPCMP46A - Expiration Date: 6/30/12)
This ordinance also authorizes the appropriation and expenditure of funds, and transfer of cash and authority between projects within the Information Services Bond Fund, and will amend the 2011 Capital Improvement Budget (CIB), passed by Columbus City Council March 7, 2011 via Ordinance # 0266-2011 to allow sufficient funding for this expenditure.
EMERGENCY:
Emergency action is requested to ensure that the necessary purchase orders are established in a timely manner to take advantage of the significant discounts offered by the vendor and to allow the vendor to start their project service work as planned and not delayed.
FISCAL IMPACT:
During fiscal year(s) 2010 and 2011, $248,393.59 and $371,576.08 were expended respectively with OnX USA LLC (formerly known as Agilysys Inc.). Although this expenditure was not budgeted in the capital budget, funds are being borrowed from the " Department of Technology, Information Services Capital Improvement Bond Fund Projects " by transferring cash and authority from the following projects: ($52,882.47) Telephone Upgrades Project (470052-100000; subfund 002), ($101.10) Whittier Peninsula Project (510041-100000; subfund 002) and ($60,973.43) Routing Equipment Project (470046-100002; subfund 002) totaling $113,957.00 to Enterprise System Project - System Upgrades (470047-100000; subfund 002). Also, ($0.08) the Enterprise System Project (ESP) - Asset Management (470047-100003; subfund 003) and ($98,103.53) Server Virtualization Project (470030-100001; subfund 003) totaling $98,103.61 to (470047-100000; subfund 003) the Enterprise System Project (ESP) - System Upgrades (Carryover/BABS) in addition to using existing project funds of $28,073.38. The total amount of $240,133.99 is available within the Department of Technology, Information Services Division, Capital Improvement Bond Fund.
CONTRACT COMPLIANCE NUMBER:
Vendor Name: OnX USA LLC CC#: 27-1445264 Expiration Date: 10/11/2013
Title
To authorize the Director of the Department of Finance and Management, on behalf of the Department of Technology to establish a purchase order with OnX USA LLC (formerly known as Agilysys Inc.), from a pre-existing Universal Term Contract (UTC), for the purchase of HP equipment, software and services; to authorize the appropriation and transfer of cash and authority between projects within the Information Services Bond Fund; to amend the 2011 Capital Improvement Budget; and to authorize the expenditure of $240,133.99 from the Department of Technology, Information Services Division, Capital Improvement Bond Fund; and to declare an emergency. ($240,133.99)
Body
WHEREAS, it is necessary for the Director of the Department of Finance and Management, on behalf of the Department of Technology, to establish a purchase order with OnX USA LLC (formerly known as Agilysys Inc.) for the purchase of HP equipment, software and services from a pre-existing Universal Term Contract (UTC); and
WHEREAS, The Department of Technology manages IT equipment, software and services in support of the City's enterprise and line of business applications; and
WHEREAS, this ordinance authorizes the appropriation and expenditure of funds, and transfer of cash and authority between projects within the Information Services Bond Fund, and will amend the 2011 Capital Improvement Budget (CIB), passed by Columbus City Council March 7, 2011 via Ordinance # 0266-2010, to accommodate for the additional expenditure authorized by this ordinance; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Technology, in that it is immediately necessary for the Director of the Finance and Management Department to establish a purchase order with OnX USA LLC (formerly known as Agilysys Inc.) for the purchase of HP equipment, software and services, for the immediate preservation of 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 Finance and Management is hereby authorized to establish a purchase order from a pre-existing Universal Term Contract (UTC) with OnX USA LLC (formerly known as Agilysys Inc.), in the amount of $240,133.99, (UTC/FL004390). The total amount of funding associated with this ordinance is $240,133.99, with an associated coverage period of twelve months from the date of a certified purchase order issued from the City Auditor's Office.
SECTION 2: That the 2011 Capital Improvement Budget is hereby amended as follows for this expenditure:
Department of Technology, Information Services Dept./Div. 47-02
Information Services Bond Fund #514
Project Name/Number/Subfund Current CIB Amount Revised Amount Amount Change
Routing Equipment:
470046-100002 / 002 (carryover) 100,000 39,027
Telephone Upgrades:
470052-100000 / 002 150,000 97,118
Whittier Peninsula:
510041-100000 / 002 (carryover) 0 102
Whittier Peninsula:
510041-100000 / 002 (carryover) 102 0
ESP - System Upgrades:
470047-100000 / 002 (carryover) 106,923 220,879
Server Virtualization:
470030-100001 / 003 (carryover) 98,104 0
ESP - Asset Management:
470047-100003 / 003 (carryover) 45,001 45,000
ESP - System Upgrades:
470047-100000 / 003 (carryover) 28,074 126,178
SECTION 3: That the City Auditor is hereby authorized and directed to transfer funds and appropriation within the Information Services Bond Fund as follows:
FROM:
Dept./Div. 47-02| Fund: 514| Subfund: 002| Project Number: 470046-100002(Carryover)| Project Name: Routing Equipment| OCA Code: 475142|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $60,973.43
Dept./Div. 47-02| Fund: 514| Subfund: 002| Project Number: 470052-100000| Project Name: Telephone Upgrade - VOIP| OCA Code: 470052|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $52,882.47
Dept./Div. 47-02| Fund: 514| Subfund: 002| Project Number: 510041-100000(Carryover)| Project Name: Whittier Peninsula| OCA Code: 470141|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $101.10
TO:
Dept./Div. 47-02| Fund: 514| Subfund: 002| Project Number: 470047-100000(Carryover)| Project Name: ESP - System Upgrades| OCA Code: 514047|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $113,957.00
FROM:
Dept./Div. 47-02| Fund: 514| Subfund: 003| Project Number: 470030-100001(Carryover)| Project Name: Server Virtualization| OCA Code: 514130|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $98,103.53
Dept./Div. 47-02| Fund: 514| Subfund: 003| Project Number: 470047-100003(Carryover)| Project Name: ESP - Asset Management| OCA Code: 514347|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $0.08
TO:
Dept./Div. 47-02| Fund: 514| Subfund: 003| Project Number: 470047-100000(Carryover)| Project Name: ESP - System Upgrades| OCA Code: 514147|Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $98,103.61
SECTION 4: That the expenditure of $240,133.99 or so much thereof as may be necessary is hereby authorized to be expended from:
Dept./Div. 47-02| Fund 514| Subfund: 003| Project Number: 470047-100000(Carryover)| Project Name: ESP - System Upgrades| OCA Code: 514147||Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $126,176.99
Dept./Div. 47-02| Fund 514| Subfund: 002| Project Number: 470047-100000(Carryover| Project Name: ESP - System Upgrades| OCA Code: 514047||Obj. Level 1: 06|Obj. Level 3: 6649| Amount: $113,957.00
Total Amount of Expenditures = $240,133.99
SECTION 5: 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 6: 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.