Explanation
BACKGROUND:
This legislation authorizes the Director of the Department of Technology (DoT) to enter into a contract with OARnet/OSU, a non-profit organization, for VMWare software licensing, maintenance, and support services. The original agreement (EL011737) was authorized by ordinance 1716-2010, passed December 13, 2010. The agreement was most recently renewed by authority of ordinance 0826-2021, passed by Columbus City Council on April 19, 2021, establishing purchase order PO270714. The total cost associated with this ordinance is $371,367.10 for the coverage term period from April 2, 2022 to April 1, 2023.
Through the State of Ohio Virtualization Program, authorized for the city’s use by Ordinance No. 582-87, for VMware software licensing renewal, 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 to the City reflects the agreed upon public sector discounts available to all participants in the State of Ohio Virtualization Program. The policy for anyone renewing software purchased under the Ohio State University VMware contract can only be renewed through OARnet. (See attached OARnet letter).
Server virtualization is the conversion of one physical server into multiple individual and isolated virtual storage spaces. This industry standard was adopted by the Department of Technology in 2009 to reduce the costs of Data Center operations. This also reduces power consumption, cooling requirements, and provides further capabilities for recovery and availability of information systems. VMWare software is the core component that is needed in order to operate virtual servers that run critical applications for the enterprise such as Accela, CUBS, and 311.
FISCAL IMPACT:
In 2020 and 2021, the Department of Technology legislated with OARnet/OSU, $77,164.10 and $370,143.69, respectively for VMware software licenses, maintenance fees, and associated services. This 2022 ordinance for $371,367.10 is to cover the cost associated with VMWare software licensing, maintenance, and support services through April 1, 2023. Funds to cover these costs are budgeted and available within the Department of Technology, Information Services Division, Information Services Operating Fund.
CONTRACT COMPLIANCE:
Vendor name: OARnet/OSU, 1224 Kinnear Rd Ste. 130, Columbus, OH 43212; CC#/FID#: 31-6025986 (105); (DAX Vendor Acct. #: 005303); Expiration Date: Non-Profit Organization (NPO)
Title
To authorize the Director of the Department of Technology to enter into a contract with OARnet/OSU for existing VMWare software licensing, maintenance and support services; and to authorize the expenditure of $371,367.10 from the Department of Technology, Information Services Division, Information Services Operating Fund. ($371,367.10)
Body
WHEREAS, this legislation authorizes the Director of the Department of Technology (DoT) to enter into a contract with OARnet/OSU a non-profit organization, for VMWare software licensing, maintenance, and support services for $371,367.10 with a coverage term period of April 2, 2022 to April 1, 2023; and
WHEREAS, the use of the Ohio Department of Administrative Services Cooperative Contract is authorized for the city's use by Ordinance Number 582-87; and
WHEREAS, the policy for anyone renewing software purchased under the Ohio State University VMware contract can only be renewed through OARnet; and
WHEREAS, the original agreement (EL011737) was authorized by ordinance 1716-2010, passed December 13, 2010 and was most recently renewed by authority of ordinance 0826-2021, passed by Columbus City Council on April 19, 2021, establishing purchase order PO270714; and
WHEREAS, 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; and
WHEREAS, VMWare software is needed in order to operate virtual servers. Server virtualization has been adopted by the Department of Technology to reduce the costs of data systems, reduce power consumption and cooling requirements, and provide further capabilities for recovery and availability of information systems; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Technology to authorize the Director of Technology to enter into an agreement with OARnet/OSU for VMWare software licensing, maintenance, and support services in order to facilitate and maintain uninterrupted services from the supplier, for the 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 Technology (DoT) be and is hereby authorized to enter into a contact with OARnet/OSU, a non-profit organization, for VMWare software licensing, maintenance, and support services through the State of Ohio Virtualization Program, authorized for the city’s use by Ordinance No. 582-87, for VMware software licensing, maintenance, and support services. The total cost associated with this ordinance is $371,367.10, for the coverage period from April 2, 2022 to April 1, 2023.
SECTION 2: That the expenditure of $371,367.10 or so much thereof as may be necessary is hereby authorized to be expended from: (see attachment 0773-2022 EXP)
Dept.: 47 |Div. 47-02|Obj Class: 03 |Main Account: 63946|Fund: 5100 |Sub-fund: 510001|Program: IT005|Section 3: N/A| Section 4: N/A | Section 5: N/A | Amount: $371,367.10 | {software licensing/ maintenance and support services}
SECTION 3: That the City Auditor is authorized to make any changes to revise the funding source for any contract or contract modifications associated with this ordinance.
SECTION 4: 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 5: That this ordinance shall take effect and be in force from and after the earliest period allowed by law.