Explanation
BACKGROUND:
This legislation authorizes the Director of Finance and Management, on behalf of the Department of Technology (DoT), to establish a purchase order from an existing Universal Term Contract (UTC FL005254, BPO BPCMP46B) with OnX USA LLC, which expires June 30, 2015. The purchase order will provide for new HP servers and related peripherals (item B on the UTC) to expand the virtual server platform for the virtualization of the Voice Over IP (VOIP) environment which is approaching end of life for current standalone servers. This virtualization will also provide the migration platform for the Police VOIP initiative. The UTC provides the City with a minimum 11% discount off the list price of this type of HP equipment, and OnX is providing this equipment at a 26% discount. The total cost of this equipment purchase is $247,270.50, discounted by $88,217.50 from the list price of $335,488.00.
This legislation will also authorize the Director of the Department of Technology (DOT) to modify an agreement with OARnet/OSU, a non-profit organization, for VMWare software licensing, maintenance and support in the amount of $29,640.16. This ordinance will authorize a modification of the agreement to purchase (16) new licenses ($20,550.56) and maintenance fee for one year ($9,089.60) at a total cost of $29,640.16 which will begin from the date of a certified purchase order by the City Auditor. These new licenses are needed to support the expansion of the VOIP virtualization initiative. Through the State of Ohio Virtualization Program, OARnet offers significant discounts on VMWare that are not available in the market place. It is in the City's best interests to procure VMWare through OARnet, instead of through another procurement process. The pricing offered the City reflects the agreed upon public sector discounts available to all participants in the State of Ohio Virtualization Program.
This legislation will authorize the Director of Finance and Management, on behalf of the DoT, to establish a purchase order from an existing UTC (FL005675, BPO BPCMP31BA) with Network Dynamics Inc., which expires September 30, 2015. The purchase order will provide network engineering services for the VOIP virtualization transition from standalone servers to the virtual environment. Current VOIP software in use will be utilized in the virtual environment at no additional cost to the City. Network Dynamics is offering the Cisco Network Engineering services at the UTC negotiated discounts. The total cost of the network engineering service is $41,725.00.
Finally, this legislation will authorize the Director of Finance and Management, on behalf of the DoT, to establish two purchase orders from an existing UTC (FL005447, BPO BPCMP30H) with Network Dynamics Inc., which expires June 30, 2016. The first purchase order will provide replacement of existing network equipment at Police HQ that is at end of life and does not support Power Over Ethernet (POE) which is used by VOIP telephones. The UTC provides for a 50% minimum discount off of Cisco list prices for hardware, and a 28% discount for SMARTnet hardware maintenance. Network Dynamics is offering the hardware and SMARTnet maintenance at the UTC negotiated discounts. The total cost of the network equipment and maintenance is $142,930.14. The second purchase order will provide for VOIP telephone equipment and licenses for the Police Crime Lab that will be implemented in their new facility scheduled for opening in September, 2014. Network Dynamics Inc., the City's UTC provider, will provide the telephones & licenses at a cost of $52,663.00
These purchases will support virtualization of the City's VOIP infrastructure and the upgrade of the Police HQ network infrastructure. Virtualization of infrastructure hardware has been a continued cost savings and efficiency measure since implementation by the DoT in 2008. Cisco and Hewlett Packard (HP) components provide the virtualization platform between the City's redundant data centers. The total purchases of $514,228.80 to be authorized in this ordinance are needed in order to keep this critical infrastructure stable and properly sized to meet the City's needs.
EMERGENCY:
Emergency action is requested to ensure that the needed services are not delayed; thus reducing the risk of potential outage and or interruption in services associated with the necessary services requested.
FISCAL IMPACT:
Approval of this ordinance will allow for the expenditure of $514,228.80. Funding for this project is available and will be coming from the Department of Technology the Information Services Capital Improvement Fund, Project #:470046-100000 - Connectivity Project (Carryover - $257,972.27), Project #:470046-100005 - Police Network Upgrade Project (Carryover - $142,930.14), Project #:470052-100000 - Telephone Upgrade Project (Carryover - $60,663.39), Project #:470052-100005 - Police Telephone Upgrade Project (Carryover - $12,000.00) and from the Public Safety Capital Projects Bond Fund, Project #:330033-100000 - Police Property Room/Crime Lab Project ($40,663.00). This ordinance is contingent on the 2014 City of Columbus Bond Sale.
CONTRACT COMPLIANCE:
OnX USA LLC CC#: 271445264 Expiration Date: 12/02/2015
OARnet/OSU CC#: 316025986-105 (Non-Profit Organization) Expiration Date: 04/10/2015
Network Dynamics Inc. CC#: 363941419 Expiration Date: 11/07/2014
Title
To authorize the Director of the Department of Finance and Management, on behalf of the Department of Technology to establish purchase orders with OnX USA LLC for the acquisition of equipment and maintenance services, and Network Dynamics Inc. for network services and Cisco hardware equipment, licenses and maintenance; to authorize the Director of the Department of Technology to modify an agreement with OARnet/OSU, for the purchase of additional VMWare software licensing and maintenance fee services for theVoice Over IP (VOIP) and the Police network infrastructure projects; to authorize the expenditure of $473,465.80 from the Department of Technology, Information Services Division, Capital Improvement Fund, and $40,663.00 from the Department of Public Safety, Capital Improvement Bond Fund; and to declare an emergency. ($514,228.80)
Body
WHEREAS, it is necessary for the Director of the Department of Finance and Management, on behalf of the Department of Technology, to establish purchase orders with the vendors for hardware, maintenance and services, in connection with the Voice Over IP (VOIP) and the Police network infrastructure projects from three (3) pre-existing Universal Term Contract's (UTC's) with vendors (OnX USA LLC and Network Dynamics Inc. ), established through the competitive bid process by the Purchasing Office for a total cost of $484,588.64; and
WHEREAS, it is necessary for the Director of the Department of Technology (DoT) to modify an agreement with OARnet/OSU, a non-profit organization, to purchase (16) new VMWare software licenses at $20,550.56 and maintenance for one year at $9,089.60 for a total cost of $29,640.16 for the Voice Over IP (VOIP) and the Police network infrastructure projects. The term coverage for the 1st year maintenance on the new licenses will be for one year from the date of a certified purchase order by the City Auditor.
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 purchase orders with two vendors from pre-existing Universal Term Contracts for hardware, maintenance and services, in connection with the Voice Over IP (VOIP) and the Police network infrastructure projects; and for the Director of the Department of Technology to modify an agreement with OARnet/OSU, for the purchase of additional VMWare software licensing, and maintenance fee, to ensure that these projects are not delayed, therefore for the immediate preservation of the public health, peace, property, safety and welfare; now,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1: That the Director of the Department of Finance and Management, on behalf of the Department of Technology, is hereby authorized to establish a purchase order with the following vendors for hardware, maintenance and service, in connection with the Voice Over IP (VOIP) and the Police network infrastructure projects from three (3) pre-existing Universal Term Contracts (UTC), established through the competitive bid process by the Purchasing Office; Network Dynamics Inc. -( $195,593.14 and 41,725.00), and OnX USA LLC, - ($247,270.50) for a total of $484,588.64. That the Director of the Department of Technology (DoT) be and is hereby authorized to modify an agreement with OARnet/OSU, a non-profit organization, to purchase (16) new VMWare software licenses at $20,550.56 and maintenance for one year at $9,089.60 for a total cost of $29,640.16. The term coverage for the 1st year maintenance on the new licenses will be for one year from the date of a certified purchase order by the City Auditor.
SECTION 2: That the expenditure of $514,228.80 or so much thereof as may be necessary is hereby authorized to be expended from:
Dept./Div.:47-02| Fund: 514| Subfund: 002| OCA Code: 512246| Project Number: 470046- 100005 | Project Name: Police Network Upgrade - Carryover | Obj. Level 1- 06| Obj. Level 3- 6655| Amount $142,930.14| {Network Dynamics Inc.}
Dept./Div.:47-02| Fund: 514| Subfund: 002| OCA Code: 470052| Project Number: 470052- 100000 | Project Name: Telephone Upgrades - Carryover| Obj. Level 1- 06| Obj. Level 3- 6655| Amount $60,663.39| {Network Dynamics Inc.:FL005675-$41,725.00 & OARnet/OSU - $18,938.39}
Dept./Div.:47-02| Fund: 514| Subfund: 004| OCA Code: 514446| Project Number: 470046- 100000 | Project Name: Connectivity Project - Carryover| Obj. Level 1- 06| Obj. Level 3- 6655| Amount $257,972.27|{OnX USA LLC-$247,270.50 & OARnet/OSU - $10,701.77}
Dept./Div.:47-02| Fund: 514| Subfund: 002| OCA Code: 514252| Project Number: 470052- 100005 | Project Name:Police Telephone Upgrade - Carryover| Obj. Level 1- 06| Obj. Level 3- 6655| Amount $12,000.00|{Network Dynamics Inc.}
Dept./Div.:30-01| Fund: 701| OCA Code: 701033| Project Number: 330033- 100000 | Project Name: Police Property Room/Crime Lab Project- 2014 Bond Sale Fund| Obj. Level 1- 06|Obj. Level 3- 6655| Amount $40,663.00| {Network Dynamics Inc.}
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 all contracts 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 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.