Title
Contract: Fiscal Year (FY) 2024/25 Renewal of Maintenance/Technical Support Service Agreements for Citywide Information Technology Related Software and Hardware [Published for 10-Day Review 06/07/2024]
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..FileID
File ID: 2024-01099
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion authorizing the City Manager or the City Manager’s designee to: 1) renew the annual software license and subscriptions, hardware and software maintenance, and technical support service agreements with Atlassian, County of Sacramento, Elite (formerly Thomsan Reuters Elite), EMC Corporation, EnChoice-CYA Technologies, ESRI Inc., FDM Software, Generis Corp, Greyheller, LLC (doing business as (DBA) Appsian), Ipro Tech, LLC, Oracle America, SalesForce, Site Improve, Source Code Technology Holdings/Ninetex USA, Inc, for a cumulative total amount not-to-exceed $3,140,000; 2) execute Supplemental Agreement numbers: a) 2019-0249-06 with Enterprise Networking Solutions, Inc. for ServiceNow application maintenance support for an amount not-to-exceed $100,000; b) PRC000753-06 with Full Stack Labs for 311 mobile applications support services for an amount not-to-exceed $25,000; c) 2022-0356-05 with Full Stack Labs for an amount not-to-exceed $120,000; d) 2022-1006-002 with Impact Innovations Systems, Inc. for Citywide Content Management System upgrade and enhancement services for an amount not-to-exceed $120,000; e) 2022-038-02 with Infinity Technologies for the support of ongoing GIS maintenance, support and services for an amount not-to-exceed $150,000; f) 2018-1576-06 with Innovyze/Autodesk, Inc. for utility asset management software maintenance for an amount not-to-exceed $105,000; g) 2015-1310-07 with RCW for Hyperion application support services for an amount not-to-exceed $95,300; h) 2021-0218-04 with SmartERP for applications support services for an amount not-to-exceed $120,000; i) 2020-0397-04 with Tyler Technologies for electronic police citation software maintenance for an amount not-to-exceed $335,000; j) 2019-0684-06 with Visionary Integration Professional (VIP) for Salesforce application support services for an amount not-to-exceed $100,000 and k) PRC000824-05 with Western Advance Technology for K2 application support services for an amount not-to-exceed $300,000; 3) execute new agreements: a) with Adlib Publishing Systems, Inc. for document transformation software with automatic renewal periods; b) with the County of Sacramento for FY2024/25 access to the California Law Enforcement Telecommunications System for an amount not-to-exceed $394,068; c) with EnergyCAP for energy management and accounting software products and services for an amount not-to-exceed $180,036 with automatic renewal periods.
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Contact
Contact: Darin Arcolino, Chief Information Officer, (916) 808-0403, darcolino@cityofsacramento.org; Ignacio Estevez, IT Manager, (916) 808-7349, Iestevez@cityofsacramento.org; Cassy Vaioleti, Program Specialist, (916) 808-8047, cvaioleti@cityofsacramento.org; Information Technology
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Presenter
Presenter: None.
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Attachments
Attachments:
1-Description/Analysis
2-IT Technical Support and Maintenance Contracts
3-Supplemental Agreements
4-New Agreements
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Description/Analysis
IssueDetail
Issue Detail: In May 2024, the City’s Information Technology (IT) Department conducted an annual review of all citywide IT-related software licenses, systems, and maintenance/technical services purchased in FY2023/24. The review indicated that the City has ongoing agreements which must be renewed to continue necessary services from multiple vendors where the annual expenditures per vendor exceed $100,000, some of which exceed $250,000. Sacramento City Code sections 3.56.290 and 3.64.040 require Council authorization for purchases of and leases for $250,000 or more. These purchases are necessary to ensure the continued delivery of programs and services citywide to support required computer hardware and software maintenance for critical enterprise and business systems, and technology infrastructure that directly support city business operations. Without this support, city systems would not receive the necessary upgrades, patches, and support needed to function properly making the City more vulnerable to information security breaches and susceptible to dangerous viruses and other malware that could quickly result in a total shutdown of most computer systems.
Staff recommend increasing the spending authority to cover the annual renewal of software licenses, and software and hardware system maintenance and support services agreements with the vendors listed in Attachment 2.
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PolicyConsiderations
Policy Considerations: The recommendations in this report are in accordance with the goals, objectives, initiatives and operating principles of the IT Department, Sacramento City Code chapters 3.56, 3.64, and 3.68, and Administrative Policy Nos. 4001, 4104 and 4102.
The Sacramento City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action. This item was published for 10-day review on June 7, 2024, in compliance with the City Code.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Action (“CEQA”): The recommended action is not a “project” that is subject to the California Environmental Quality Action (“CEQA”) because it is an administrative activity that will not result in direct or indirect physical changes in the environment and involve continuing administrative or maintenance activities. (CEQA Guidelines section 15378(a), (b)(2), and (b)(5).)
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Sustainability
Sustainability: Under Phase 1 of the City of Sacramento’s Climate Action Plan, all applicable “Green” technology initiatives will be considered prior to the purchase of IT equipment hardware and software.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: During the third quarter of each fiscal year, IT staff performs a review of IT purchases completed during that year and compares that against the amount approved by Council for that fiscal year. In certain situations, where the overall total or individual limit by the vendor is expected to exceed the approved amounts, or in cases involving unanticipated purchases of IT hardware, software and/or services, individual spending requests will be prepared for Council’s approval. Although annual contract amounts may fluctuate, Council has approved an average of $6 million per year for software licenses and maintenance/technical support services over the past five years.
The vendors listed in Attachment 2 have met the City’s policy requirements for contracting and are providing licenses and ongoing support services for City software and hardware systems to support on-going technology services through agreements that were previously approved by Council or through the City’s regular procurement process. The license and support service agreements identified in Attachment 2 provide the required support for several of the City’s most critical business systems. To increase efficiency, the IT Department has determined that it is in the City’s best interest to present this request for spending authority in an annual consolidated fashion rather than preparing multiple requests throughout the year.
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FinancialConsiderations
Financial Considerations: The request for authority to renew the software licenses, software and hardware system maintenance, support service, and execute new agreements identified in Attachment 2 will create a new not-to-exceed amount of $5,284,404. Staff have spent considerable time negotiating with all suppliers to minimize or, where possible, eliminate these annual increases. At such time that the overall total or individual limit by a vendor exceeds the amounts in the approved motion, or in cases involving unanticipated purchases, separate Council authorization will be requested. Funding for the renewal of ongoing license and maintenance/operational support services is included in the FY2024/25 Approved Operating Budget and various Capital Improvement Program budgets.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Where applicable, the City’s LBE program requirements have been followed for any contracts issued by the City under this report.
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