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CC - (1) Approval of an Agreement with ConvergeOne for the Purchase of Cisco Networking Infrastructure Equipment Replacements and Cisco SmartNet Maintenance in an Amount Not-to-Exceed $360,142; and (2) Authorize the Chief Information Officer to Approve Amendments to the Agreement in an Additional Amount Not-to-Exceed $36,014 (10% of Base Contract for Unexpected Costs).
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Meeting Date: June 11, 2018
Contact Person/Dept: Ruben Arellano, Information Technology
Phone Number: 310-253-5950
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [X] Attachments: []
Commission Action Required: Yes [] No [X] Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (06/06/18); ConvergeOne Sales Representative, Chris Marquez (06/01/18)
Department Approval: Michele Williams (05/31/18)
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RECOMMENDATION
Staff recommends that the City Council (1) approve an agreement with ConvergeOne in an amount not-to-exceed $360,142 for the purchase of Cisco networking infrastructure components and Cisco SmartNet maintenance services; and (2) authorize the Chief Information Officer to approve amendment(s) to the agreement in an additional amount not-to-exceed $36,014 (10% of base contract for unexpected costs). These items will replace end of life units and provide maintenance support for hardware equipment located at the City Hall and other City facilities.
BACKGROUND
The City’s networking infrastructure includes Cisco devices to support data and and voice communications. A majority of the networking components were installed during the PBX/Network Project in 2011 when the City transitioned to voice over internet protocol (VOIP). The migration from the Mitel PBX to the Cisco PBX system afforded the City a robust, flexible and easy to maintain system. The Cisco PBX solution is also tightly integrated with the network. The network has now been in service for approximately seven years and many of the components are approaching end-of-life and are no longer eligible for maintenance.
In 2011 PBX/Network Project replaced aging network switches and the Mitel PBX. The city has leveraged 7 to 8 years of service from these devices. The original project had a cost of approximately $1.3 million dollars. The proposed replacements are expected to have a similar long service life and represent best business practice networking standards.
The manufacturer (Cisco) discontinues systems, both hardware and software, replacing them with newer more capable systems to handle increased loads, more robust security and enhanced feature sets. The present hardware platform (core and edge data switches) are End of Life (EOL) and need to be replaced to receive continued manufacturer support.
Cisco’s support of the City’s infrastructure is critical to maintain security through updates and software patches. Hacking and malware are used by cyber criminals to compromise networks through a lack of patching or exploits found in operating software. Only the manufacturer can release patches and they will only do that for models that are not at or beyond EOL.
IT has worked with Cisco to obtain the latest technology solution to replace the EOL components in support of the city’s requirements and have identified the optimal solution.
DISCUSSION
The data network consists of a concentrator, core data switches, and site switches. They are the backbone of the City’s network communications. The purchase of new hardware requires that the replacement be compatible and integrated with the phone system which was updated in September 2017.
Replacing the concentrator had been planned for 2018-19 but a key component was EOL before the rest of the unit. It was determined that replacing just that component would result in spending approximately 50% of the cost of replacing it entirely. As a result the replacement of the concentrator was rolled into this project. Cisco was motivated to move the City to its newest technology solution and provided additional discounts. By moving to the latest switch technology staff was able to leverage the approved budget to include additional components (switches and concentrator) and upgrade the security licenses as part of the operating system licenses.
The Cisco 9500/9300 Core and Edge Fabric switching solution with its associated application software is the recommended solution to meet the needs of the City now and for the foreseen future. The City’s current network infrastructure solution has lasted seven years. It is expected that the replaced system will have a similar usage life.
The decision to continue using Cisco hardware and software will facilitate leveraging the acquired knowledge staff has gained over the past seven years from administering the current system. Many components from the original system purchase will continue to be used with the new hardware system. (i.e. phone system, voice equipment, etc.) This system has proven to be reliable and robust in the feature set.
Pursuant to Culver City Municipal Code (CCMC) Section 3.07.055.B, this purchase is exempt from bidding requirements, as the equipment is a component for equipment or a system of equipment previously acquired by the City, and is necessary to repair, maintain or improve the City's utilization of the equipment.
Futher, pursuant to CCMC Section 3.07.055.G, the purchase of the goods and supplies is exempt 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. ConvergeOne is offering pricing based on the California Multiple Award Schedules (CMAS) Contract #3-15-70-2486F.
FISCAL ANALYSIS
There is sufficient funding in the Computer Replacement Fund account (30724100) to support this expenditure. Once a final configuration was determined, the purchase was priced via a California Multiple Award Schedules (CMAS) pre-bid contract. This gives the City the best pre-negotiated price for local government entities.
ConvergeOne’s CMAS price quote is $360,142.
A contingency of $36,014 (approximately 10% of hardware purchase) for implementation, cabling, or hardware is requested to be authorized resulting in a total project expenditure not to exceed $396,156.
ATTACHMENTS
None.
MOTION
That the City Council:
1. Approve an agreement with ConvergeOne for the purchase of Cisco networking infrastructure components and Cisco SmartNet maintenance services; and
2. Authorize the Chief Information Officer to approve amendment(s) to the agreement in an additional amount not-to-exceed $36,014 (10% of base contract for unexpected costs); and
3. Authorize the City Attorney to review/prepare the necessary documents; and
4. Authorize the City Manager to execute such documents on behalf of the City.