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 to expand the virtual server platform and replace aging equipment purchased in 2011. 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 $157,947.29.
This legislation will also authorize the Director of Finance and Management, on behalf of the DoT, to establish a purchase order from an existing UTC (FL005296, BPO BPCMP45B) with AdvizeX Technologies, which expires June 30, 2015. The purchase order will provide for new data storage equipment to expand and replace aging equipment in the storage area network (SAN). The UTC provides the City with a minimum 27% discount off of EMC list prices for VNX equipment and related peripherals, 52% off of list for EMC switches, 15% off of standard pricing for professional services, 15% off for hardware maintenance and 44% off of EMC list prices for software maintenance. AdvizeX is offering the VNX equipment at a 45% discount, switches at 52%, professional services at 17%, hardware maintenance at 15%, and software maintenance at 45%. The total cost of the equipment and services is $612,760.00.
Although both UTCs (FL005254- OnX USA LLC & FL005296- AdvizeX Technologies) are due to expire June 30, 2015, the Department of Finance and Management, Purchasing Office will be extending the contracts for an additional one year term.
Finally, this legislation authorizes 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, and training services in the amount of $33,495.14. The original agreement (EL011737) was authorized by ordinance 1716-2010, passed December 13, 2010. The agreement was most recently renewed by authority of ordinance 0556-2015, passed March 23, 2015 through purchase order (EL016817). These new licenses and training are needed to support the expansion of the current virtual environment. The need for these new licenses was not known at the time of the original agreement. Through the State of Ohio Virtualization Program, OARnet offers significant discounts on VMWare that are not available in the market place. So 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 ordinance also requests to waive the competitive bidding provisions in accordance with Chapter 329 of the Columbus City Code. OARnet pricing discounts for VMWare are greater than can be achieved through the bid process. This has been confirmed most recently through solicitation SO037822, published in July 2011.
These purchases will support continued virtualization of the City's technology infrastructure. Virtualization of infrastructure hardware has been a continued cost savings and efficiency measure since implementation by the DoT in 2008. The hardware and software utilized for virtualization and server systems in the City supports over 450 systems for City agencies, including Payroll/HR system, Accela, CUBS, and GIS. EMC, Cisco and Hewlett Packard (HP) components provide the virtualization platform between the City's redundant data centers. The purchases 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.
This ordinance also authorizes the transfer of appropriation and cash between projects within the Information Services Bond Fund, and will amend the 2015 Capital Improvement Budget (CIB), passed by Columbus City Council March 23, 2015 via Ordinance # 0557-2015, to accommodate for the additional expenditure authorized by this ordinance.
EMERGENCY:
Emergency action is requested to ensure that the necessary purchase order for equipment and services is established in a timely manner to eliminate the risk of data backup failures and for the end-of-life equipment to be replaced as soon as possible.
FISCAL IMPACT:
The total cost of this ordinance is $804,202.43, with funds for this expense coming from both the Department of Technology, Information Services Division, Internal Service Fund ($62,561.58) and the Department of Technology, Information Services Division, Capital Improvement Bond Fund ($741,640.85) by expending the existing balance of $468,280.13 in the Enterprise System Upgrades Project # 470047-1000000 and transferring appropriation and cash from the following multiple projects (as identified in Section three (3). Sufficient funding in the amount of $804,202.43 is available in both the Department of Technology, Information Services Division, Capital Improvement Fund and the Department of Technology, Information Services Divison, Internal Service Fund.
CONTRACT COMPLIANCE NUMBERS:
Vendor 1: OnX USA LLC F.I.D.#/CC#: 27-1445264 Expiration Date: 02/02/2017
Vendor 2: AdvizeX Technologies F.I.D.#/CC#: 37-1504931 Expiration Date: 08/04/2016
Vendor 3: OARnet/OSU F.I.D.#/CC#: 31-6025986 (105) Expiration Date: Non Profit Organization (NPO)
Title
To amend the 2015 Capital Improvement Budget; to authorize the transfer of appropriation and cash between projects; to authorize the Director of the Department of Finance and Management, on behalf of the Department of Technology, to establish multiple purchase orders with the following vendors: AdvizeX Technologies and OnX USA LLC, from existing Universal Term Contracts (UTC's), for the purchase of various equipment (hardware, software, installation and support services); to also authorize the Director of the Department of Technology to modify a contract with OARnet/OSU for VMware software licensing, maintenance and support, and training services; to waive the competitive bidding provisions of Columbus City Code; to authorize the expenditure of $741,640.85 from the Department of Technology, Information Services Division, Capital Improvement Bond Fund ($741,640.85) and the Department of Technology, Information Services Divison, Internal Service Fund ($62,561.58); and to declare an emergency ($804,202.43)
Body
WHEREAS, 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 but will be extended for an additional one year term. The total cost of this equipment purchase is $157,947.29; and
WHEREAS, this legislation will also authorize the Director of Finance and Management, on behalf of the DoT, to establish a purchase order from an existing UTC (FL005296, BPO BPCMP45B) with AdvizeX Technologies, which expires June 30, 2015 but will be extended for an additional one year term. The total cost of the equipment and services is $612,760.00; and
WHEREAS, this legislation authorizes the Director of the Department of Technology (DoT) to modify a contract with OARnet/OSU, a non-profit organization, for VMWare software licensing, maintenance and support, and training services in the amount of $33,495.14; bringing the total cost associated with this ordinance to $804,202.43; and
WHEREAS, this ordinance requests to waive the competitive bidding provisions in accordance with chapter 329 of the Columbus City Code to allow the Department of Technology to continue the maintenance and support service for existing VMWare software licenses and to purchase additional licenses, maintenance and training With OARnet/OSU and;
WHEREAS, this ordinance also authorizes the transfer of appropriation and cash between projects within the Information Services Bond Fund, and will amend the 2015 Capital Improvement Budget (CIB), passed by Columbus City Council March 23, 2015 via Ordinance # 0557-2015; 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 multiple purchase order(s) for equipment with the following vendors: AdvizeX Technologies and OnX USA LLC, and also for the Director of the Department of Technology to modify a contract for VMware software licensing, maintenance and support, and training services with OARnet/OSU, 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, on behalf of the Department of Technology, be and is hereby authorized and directed to establish multiple purchase orders with the following vendors: AdvizeX Technologies/FL005296, BPCMP45B/Expiration date: 6/30/15 and OnX USA LLC/UTC FL005254, BPCMP46B/Expiration date: 6/30/15; but will be extended for one additional term period, from pre-existing Universal Term Contracts (UTC's), for the purchase various equipment (hardware, software, installation and support services), in the amount of $770,707.29.
SECTION 2: That the Director of the Department of the Department of Technology be and is hereby authorized to modify a contract for VMware software licensing, maintenance and support, and training services with OARnet/OSU, in the amount of $33,495.14. The total amount of funds being requested via this ordinance is $804,202.43.
SECTION 3: That the 2015 Capital Improvement Budget is hereby amended as follows to account for appropriations and transfer of funds between projects:
Department of Technology, Information Services Dept./Div. 47-02
Information Services Bonds Fund (carryover) #514:
Project Name/Number/Subfund Current CIB Amount Revised Amount Amount Change
47-02 Police Infrastructure:
470047-100008 /carryover /002 $57,149 $ -0- ($57,149)
47-02 Disaster Recovery Phase II:
470037-100000 /carryover /002 $250,000 $ -0- ($250,000)
47-02 Enterprise System Upgrades (GIS):
470047-100005 /carryover /002 $1,714 $ -0- ($1,714)
47-02 Media Service Field Cameras:
470054-100007 /carryover /002 $24,873 $ -0- ($24,873)
47-02 Unisys Migration:
470058-100000 /carryover /002 $75,000 $71,919 ($3,081)
47-02 Telephone Upgrades:
470052-100000 /carryover /002 $3 $ -0- ($3)
47-02 Enterprise System Upgrades:
470047-100000 /carryover /002 $468,281 $805,101 $336,820
SECTION 4: That the City Auditor is hereby authorized and directed to transfer funds and appropriations within the Information Services Bonds Fund as follows:
Transfer from:
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Police Infrastructure| Project Number: 470047-100008 (Carryover) | OCA Code: 514478| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $57,148.19
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Disaster Recovery Phase II| Project Number: 470037-100000 (Carryover) | OCA Code: 470037| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $250,000.00
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Enterprise System Upgrades (GIS)| Project Number: 470047-100005 (Carryover) | OCA Code: 474705| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $1,714.00
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Media Service Field Cameras| Project Number: 470054-100007 (Carryover) | OCA Code: 514254| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $24,873.00
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Unisys Migration| Project Number: 470058-100000 (Carryover) | OCA Code: 514758| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $3,081.44
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Telephone Upgrades| Project Number: 470052-100000 (Carryover) | OCA Code: 470052| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $3.00
Transfer To:
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Enterprise System Upgrades| Project Number: 470047-100000 (Carryover) | OCA Code: 514047| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $336,819.63
SECTION 5: That the expenditure of $804,202.43 or so much thereof as may be necessary is hereby authorized to be expended from:
CAPITAL FUNDING:
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Enterprise System Upgrades| Project Number: 470047-100000 (Carryover) | OCA Code: 514047| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $612,760.00 | AdvizeX Technologies
Dept./Div.: 47-02| Fund: 514| Subfund: 002| Project Name: Enterprise System Upgrades| Project Number: 470047-100000 (Carryover) | OCA Code: 514047| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $128,880.85 | OnX USA LLC
OPERATING FUNDING:
Dept./Div.: 47-02| Fund: 514| Subfund: 001| OCA Code: 470202| Obj. Level 1: 03| Obj. Level 3: 3369| Amount: $7,953.40| OARnet/OSU
Dept./Div.: 47-02| Fund: 514| Subfund: 001| OCA Code: 470202| Obj. Level 1: 03| Obj. Level 3: 3358| Amount: $17,981.74| OARnet/OSU
Dept./Div.: 47-02| Fund: 514| Subfund: 001| OCA Code: 470202| Obj. Level 1: 03| Obj. Level 3: 3336| Amount: $7,560.00| OARnet/OSU
Dept./Div.: 47-02| Fund: 514| Subfund: 001| OCA Code: 472417| Obj. Level 1: 03| Obj. Level 3: 6649| Amount: $29,066.44| OnX USA LLC
SECTION 6: 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 7: 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 8: 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 9: That this Council finds it in the best interests of the City to waive the competitive bidding provisions of the Columbus City Codes Chapter 329.
SECTION 10: 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.