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CC - Approval of a Purchase Order with CDW-G to Purchase Storage Disks, Licenses, Installation, Start-up Configuration and Maintenance for the City’s Storage Area Network in an Amount Not-to-Exceed $37,938.10.
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Meeting Date: October 10, 2016
Contact Person/Dept: David Leuck
Phone Number: (310) 253-5961
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [] Attachments: []
Commission Action Required: Yes [] No [X] Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (10/04/16); CDW-G (Jeff Butchko, 9/28/16)
Department Approval: Michele Williams (09/29/16)
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RECOMMENDATION:
Staff recommends the City Council approve a purchase order with CDW-G for the purchase of storage disks, licenses, installation, startup configuration and maintenance for the City’s Storage Area Network in an amount not-to-exceed $37,938.10.
BACKGROUND:
On April 22, 2013 Council approved replacing Information Technology’s (IT’s) end-of-life Storage Area Network (SAN) unit with a new 3PAR series unit from Hewlett Packard.
A SAN is a device containing a large number of hard disks. Using networking technology it allows multiple physical or virtual servers to attach to it as if the hard disks were installed in the server. This allows servers to be created and space allocated to them quickly. With a virtual server, there is no need to buy any hardware, as it is all provisioned through software. The SAN allows drive sizes to be increased when needed, and space to be recovered for new servers when virtual servers are decommissioned. SAN technology also allows for making copies of existing servers before they are updated, or as test servers so new features can be tested before being moved to production.
The SAN is the heart of the virtual server technology that IT uses. In a virtual environment servers exist as files in the memory (RAM) on one of five very large servers. They store their data on the SAN. Disaster avoidance technologies spread the files across a number of hard disks so a disk failure has no effect on servers in operation. The unit also has error correction technology, disks on standby, multiple power supplies, and other enhancements to safeguard what is stored on the unit’s disks.
DISCUSSION:
Over three and a half years IT has continued to replace physical servers with virtual servers and provision new projects using virtual servers wherever possible. This reduces project costs by relieving the City from having to buy hardware in many cases. The software license costs remain the same since licenses will still be needed. It also has allowed data storage spaces for servers to grow when needed without delays. Virtual server technology has also allowed IT to provision more RAM to the virtual servers and extra processors without the need to buy physical items.
To control the initial purchase price, IT provisioned the new SAN with fewer drives than the unit was able to hold estimating the, then current, need and several years of growth. IT has now reached the point where capacity should be added to the unit. At present IT is utilizing between 80% and 95% of the 28 Terabytes of usable capacity in normal operations.
In the last few years, IT has been using the SAN’s ability to make temporary copies of groups of servers prior to major updates such as service packs and security patches. IT has also used the ability to build servers quickly to produce a full set of servers for a new project so they can be built up and be tested prior to going into production, and then any superseded servers are erased and their space released.
Industry best practice is to work within an amount of space such that it does not go above 90% usage, so space remains available to make backups, copies, and allow the unit to dynamically re-allocate space as needed. IT is running between 80% and 95% in routine operations leaving little for new projects or expansions of existing servers. The enclosure has 38 remaining slots out of 96 and IT intends to fill the unit. This is expected to serve IT’s operational needs and leave space available for three to four years of additional growth.
IT obtained configuration and part numbers from Hewlett Packard for the needed components to acquire the disks, licenses, maintenance, and startup and integration service.
IT worked with a Hewlett Packard authorized dealer, CDW-G, to obtain pricing. CDW-G provided pricing using a multiple award buying cooperative. IT requested that CDW-G examine all the cooperative schedules they were a part of to ensure the City received the best pricing. Since the City qualifies for a number of buying programs this is an important consideration, and IT also independently verified with two other vendors that the City was receiving the best price.
Pursuant to Culver City Municipal Code (CCMC) Section 3.07.045.G, the purchase of the goods and supplies is excepted from formal competitive bidding requirements when competitive bid procedures have already been utilized by the City or another public agency or non-profit entity whose main purpose is to help public agencies make purchases. CDW-G is offering pricing based on the National IPA Technology Solutions schedules. The purchase will be made with pricing through The National IPA program (http://www.nationalipa.org/Pages/default.aspx). This program gives the City preferential pricing using the buying power of multiple award contracts. The installation services for this purchase is a de minimis portion (less than 5%) of the project and will be included with the purchase order.
FISCAL ANALYSIS:
Funding to make this purchase and installation is available in the IT Replacement Fund (30724100). Purchasing and installing the disks will result the expenditure of $37,938.10 including tax and shipping.
The initial maintenance will be purchased as part of the acquisition and later be rolled into the City’s overall maintenance coverage with Hewlett Packard.
ATTACHMENTS:
None.
MOTION:
That the City Council:
1. Approve a purchase order with CDW-G for the purchase of hard disks, operating system licenses, startup/installation services, and maintenance in an amount not-to-exceed $37,938.10; and
2. Authorize the Purchasing Officer to execute the purchase order on behalf of the City.