Title
Fiscal Year (FY) 2025/26 Renewal of Maintenance/Technical Support Service Agreements for Citywide Information Technology Related Software and Hardware [Published for 10-Day Review 06/06/2025]
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..FileID
File ID: 2025-01093
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion authorizing the Interim City Manager or designee to: 1) renew the annual software license and subscriptions, hardware and software maintenance, and technical support service agreements with Adlib Publishing Systems, Atlassian, County of Sacramento, Elite, EMC Corporation, EnChoice-CYA Technologies, ESRI Inc., Formstack, Generis Corp, Greyheller, LLC (doing business as (DBA) Appsian), Harris Computer/System Innovators, Image Access Corporation, LCP Tracker, Netbox Labs, Online Solutions, LLC, Oracle America, SalesForce, Selectron, SiteImprove, Source Code Technology Holdings/Ninetex USA, Inc, Survey Monkey, for a cumulative total amount not to exceed $4,283,500; 2) execute Supplemental Agreement numbers: a) 2018-1703-05 with FrSecure, for IT security assessment, for a new not-to-exceed amount of $719,410; b) 2022-0356-06 with Full Stack Labs, for website development services for a new not-to-exceed amount of $940,000; c) 2022-0381-03 with Infinity Technologies for ongoing GIS maintenance, for a new not-to-exceed amount of $427,000; d) 2024-0890-02 with Integrity Data and Fiber (IDF) for telecommunication cabling services for a new not-to-exceed amount of $7,100,000; e) 2015-1310-08 with RCW for Hyperion application support services for a new not-to-exceed amount of $1,367,275; f) 2015-1637-06 with RSM US LLP for Purchase Card Industry (PCI) auditing services for a new not-to-exceed amount of $826,830; g) PRC003154 with Stack Nexus for Salesforce Support Services for a new not-to-exceed amount of $490,000; h) 2014-084-11 with XIGO/Asignet for Telecom services and billing maintenance for a new not-to-exceed amount of $520,000 and 3) execute a contract with the County of Sacramento for FY2025/26 for access to the California Law Enforcement Telecommunications System for an amount not-to-exceed $336,720.
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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-FY 2025/26-IT Technical Support and Maintenance
3-Agreements
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Description/Analysis
IssueDetail
Issue Detail: In May 2025, 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 FY2024/25. The review revealed that the City has ongoing agreements with multiple vendors, which must be renewed to maintain essential services. 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 Procurement of Goods Policy.
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 6, 2025, 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 a continuing administrative, organizational, or maintenance activity that will not result in direct or indirect physical changes in the environment. (CEQA Guidelines sections 15378(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 perform a review of IT purchases completed during that year and compare 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, and support service agreements identified in Attachment 2 will create a new not-to-exceed amount of $7,195,195. Staff have spent considerable time negotiating with all suppliers to minimize or, where possible, eliminate these annual increases. At such times 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 FY2025/26 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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