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CC - CONSENT ITEM: Approval of a Blanket Purchase Order with Logicalis Inc for Fiscal Year 2023-2024 in an Amount Not-to-Exceed $250,000 for the Purchase of Replacement Hardware and Network Infrastructure.
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Meeting Date: August 14, 2023
Contact Person/Dept.: Michele Williams / Information Technology
Phone Number: (310) 253-5959
Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X]
Attachments: Yes [] No [X]
Commission Action Required: Yes [] No [X] Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (08/09/2023)
Department Approval: Michele Williams, Chief Information Officer (08/02/2023)
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RECOMMENDATION
Staff recommends the City Council approve a Blanket Purchase Order with Logicalis Inc for Fiscal Year 2023-2024 in an amount not-to-exceed $250,000 for the purchase of replacement hardware and network infrastructure.
BACKGROUND/ DISCUSSION
On January 9, 2023 City Council approved an agreement with Logicalis Inc for network software/hardware maintenance support for the city’s telephone and data networking systems. Each year the IT Department combines the maintenance contracts for networking equipment currently in service with any newly purchased equipment to create a master renewal strategy for all components. Additionally, during the annual budget process, end-of-life networking components are identified for recommended replacement in the upcoming fiscal year. The Adopted Budget for Fiscal Year 2023-2024 includes funds for the replacement of end-of-life network switches, end-of-life desktop phones, and the purchase of additional conference room network equipment to support virtual meetings.
Staff recommends purchasing the networking components and related hardware from Logicalis as they are the existing vendor who provides the City’s SmartNet maintenance and support contract. When new components are purchased, they will be added to the City’s enterprise maintenance agreement. Given that these purchases will occur at various times throughout the fiscal year, staff recommends purchasing via a blanket purchase order for an approved not-to-exceed amount. A blanket purchase order will improve internal tracking of purchases and streamline workflow approvals.
As a government entity, the City is eligible to receive reduced rates from Logicalis for the hardware and network infrastructure purchases. Logicalis provides the City with pricing under the NASPO (National Association of State Procurement Officials) ValuePoint Master Agreement #AR3227, Cisco Participating Addendum CA #7-20-70-47-01. NASPO agreements leverage the purchasing power of public entities delivering competitively sourced pricing.
Pursuant to Culver City Municipal Code (CCMC) Sections 3.07.055.B, 3.07.055.E and 3.07.055.G, respectively, formal bidding procedures shall not apply where the equipment is a component for equipment of a system previously acquired by the City, and is necessary to repair, maintain or improve the City’s utilization of the equipment (Subsection B); and where items to be purchased are computer software, hardware maintenance or software maintenance services (Subsection E); and where competitive bid procedures have already been utilized by the City, another public agency, including, but not limited to, federal, state and county governments, including, state of California agencies, counties, cities, joint power agencies and special districts, or nonprofit agencies whose main purpose is to assist cities or other public entities (Subsection G). This procurement complies with all the above listed exceptions.
FISCAL ANALYSIS
The authorization to issue a blanket purchase order with Logicalis Inc would result in an expenditure not-to-exceed $250,000 for the purchase of end-of-life network devices/switches, end-of-life desktop phones, and the purchase of additional conference room network equipment to support virtual meetings. Sufficient funds are included in the Adopted Budget for Fiscal Year 2023-2024 in CIP Account No. 42080000.730100.PZ388 (Technology Replacement Fund).
Newly purchased hardware and network components will be added to the city’s enterprise maintenance/support agreement with Logicalis Inc. Increases to the ongoing maintenance agreement will be budgeted in Account No. 10124100.600200 (Information Technology - R&M Equipment) during the budget process for in future fiscal years.
ATTACHMENTS
None.
MOTIONS
That the City Council:
1. Approve a Blanket Purchase Order with Logicalis Inc for Fiscal Year 2023-2024 in an amount not to exceed $250,000 for the purchase of replacement hardware and network components; and
2. Authorize the Purchasing Officer to execute such purchase order on behalf of the City.