Explanation
BACKGROUND:
This legislation authorizes the Director of the Department of Technology to renew an agreement with Netraid for extended warranty services on Hewlett Packard servers and EMC data storage equipment for the term period of July 1, 2016 to June 30, 2017 at a cost of $80,000.00. The Department of Technology procured this service in 2015 through solicitation SA005798 with an option to renew annually for one additional term by mutual agreement and approval of proper City authorities. The latest contract was by authority of ordinance 1524-2015, passed July 13, 2015, through purchase order EL017349.
This ordinance also authorizes the Director of the Department of Technology to modify the current contract term period of July 1, 2015 through June 30, 2016 to increase funds by $10,645.00 to pay for additional equipment requiring coverage under this contract. The aggregate total of the ordinance for funding is $90,645.00.
The Department of Technology requires these services to ensure reliable operations in the City data center. This agreement will provide cost-effective extended warranty service on critical data center equipment and software that has aged out of manufacturer warranty.
1. Amount of additional funds to be expended: $10,645.00
Original contract amount: $62,268.00
Modification 1: $10,645.00
Amount of original contract and modification: $72,913.00
2. Reason additional goods/services could not be foreseen:
The contract does allow for the Department of Technology to add new equipment purchased as manufacturer warranty expires and remove de-commissioned equipment as needed throughout the term period of the contract.
3. Reason other procurement processes are not used:
Netraid has the current contract to provide this service through SA005798, authorized under ordinance 1524-2015, therefore it would not be in the best interests of the City to procure these services from another vendor.
4. How cost of modification was de...
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