Explanation
BACKGROUND:
This ordinance authorizes the appropriation of $83,461.00 within the Special Income Tax Fund and authorizes the Director of the Department of Technology to modify an agreement with SHI International Corp. (SHI), utilizing the State of Ohio Multiple Award Contract (MAC) 0A1108, with an expiration date of 6/30/2015, authorized for the City's use by Ordinance No. 582-87, for acquiring Microsoft enterprise software licensing. The original agreement (EL012318) was authorized by ordinance 2075-2011, passed December 5, 2011. The agreement was most recently renewed by authority of ordinance 2693-2013, passed December 2, 2013, through purchase order EL015119. This ordinance will authorize funding for the third and final “true-up” of the enterprise agreement with SHI in the amount of $83,646.00.
1. Amount of additional funds to be expended: $83,646.00
Original contract amount: $1,241,801.55
Amount of original contract and 3 modifications: $4,775,704.57
2. Reason additional goods/services could not be foreseen:
This modification is needed to incorporate additional Microsoft licenses needed to support the Division of Police and other City departments. The need to add additional licensing was not anticipated at the time of the original agreement.
3. Reason other procurement processes are not used:
To take advantage of the most favorable pricing available for Microsoft software, it is in the City’s best interests to utilize the existing agreement with SHI, instead of utilizing alternative procurement methods.
4. How cost of modification was determined:
The price of the additional software reflects the pricing available to all public sector organizations in Ohio through the State of Ohio MAC.
FISCAL IMPACT:
In 2012 and 2013 $1,771,378.76 and $1,678,878.26 was expended respectively with SHI International Corp. (SHI) for acquiring Microsoft enterprise software licensing. The cost associated with this ordinance is $83,646.00 bringing the agg...
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