Finance & Management Committee
October 24, 2023
AGENDA REPORT
TO: Jestin D. Johnson FROM: Tony Batalla
City Ad
ministrator Director, Information
Technology Department
SUBJECT: Oakland Network Upgrade DATE: September 25, 2023 City Administrator Approval Date:
REC
OMMENDATION
Staff Reco
mmends That The City Council Adopt A Resolution Authorizing The City Administrator To Enter Into A Cooperative Purchase Agreement With Presidio Networked Solutions Group, LLC., For A Not To Exceed Contract Grand Total Amount Of $1,023,111.57 With A Term Starting November 7, 2023 And Ending December 31, 2025 To Upgrade The City’s Core IT Network Switching Infrastructure With Next Generation Hardware, And Waiving The Local/Small Local Business Enterprise Program Requirements.
EXECUTIVE SUMMARY
Staff Recommends That the City Cou
ncil Adopt a Resolution authorizing the City Administrator to enter into a cooperative agreement with Presidio Networked Solutions Group, LLC., to upgrade the City’s core IT network switching infrastructure with next generation hardware and, waive the local/small local business enterprise program requirements for information technology agreements.
BACKGROUND / LEGISLATIVE HISTORY
A network switch is a de
vice that connects and forwards data both to and from other devices on a network. The City of Oakland’s network is substantial and located at 5 separate sites across the City. Currently, Oakland is relying on network switches that are significantly beyond their replacement date. Upgrading Oakland’s network switches will also deliver critical security features to protect the City’s network from unauthorized access and data breaches.
The Information Technology Department (ITD) has developed a strategic plan that identifies and prioritizes critical projects required to update, modernize, and “harden” the City’s IT infrastructure and systems to ensure security and reliability for City staff and residents who access services electronically. With the passage of the FY 2023-2025 budget, the City Council approved funding for projects that accomplish the above goals. ITD has prioritized projects in order of need. Replacing and modernizing the City’s core network infrastructure is a top priority.
ITD maintains a complex technology environment. Network infrastructure is required to connect facilities and to other networks, including the Internet. Network switches are fundamental tools that connect and guide data to the right location across the City’s technology infrastructure.
Oct 12, 2023
Jestin D. Johnson, City Administrator
Subject: ITD Enterprise Systems
Date: September 25, 2023 Page 2
Finance & Managemen
t Committee
October 24, 2023
ANALYSIS AND POLICY ALTERNATIVES
The City’s core network infrastructure is currently running end-of-life Cisco modules, meaning that the hardware is no longer supported or updated by the vendor. If the hardware fails, the only method to restore would be to buy spare parts through the secondary market. The recommended Cisco Catalyst core switches will provide a robust network for the devices and equipment used throughout the City, and the new hardware will further support the increasing demand for performance, scalability, data, voice, security, and applications running on the City’s network.
This project will fully upgrade the City’s Cisco core switches, including the unsupported modules, with fully supported, modernized hardware and software components. The entire City network also includes distribution and edge switches; this project will only replace the core switches, as described in the scope of work. In staying with ITD’s prioritization of projects for funding available, ITD recommends the City’s distribution and edge switches be upgraded at a later date.
For business continuity and system security reasons, it is critical that the City’s network switches be replaced and upgraded to secure, modern, flexible technology that will allow ITD to actively monitor the City’s overall technology systems. The City must coordinate effectively on these systems to advance the Citywide priorities of vibrant, sustainable infrastructure and responsive, trustworthy government. When not maintained or renewed properly, the aging technology can lead to downtime, including systems outages, lapses in service, and a disconnect period for staff and residents who rely on these systems. By ensuring business continuity, this policy seeks to ensure secure, timely, and consistent access to Citywide systems is available to staff and residents who require their use.
Cooperative Purchase
Oakland Municipal Code Section 2.04.080 [Cooperative Agreement Purchasing] of the Oakland Purchasing Ordinance authorizes the use of agreements of "...other governmental jurisdictions or public agencies that were awarded pursuant to an appropriate competitive process" to meet the City’s Purchasing Ordinance requirements for the purchase of Information Technology products and professional services for this project/system. Thus, ITD recommends that the Council authorize the purchase of the Information Technology services and products through the use of a Cooperative Agreement via California NASPO ValuePoint Cisco AR3227 CA# 7-20- 70-47-01.
Waiver Of Local Business/Small Local Business Program Utilization Requirement Justification
The Local/Small Local Business Enterprise (L/SLBE) Program, Ordinance No. 13647 C.M.S., requires a minimum fifty-percent (50%) participation for all professional service contracts valued at or over fifty thousand dollars ($50,000) when there are at least three certified businesses listed in the industry, trade, or profession that c onstitutes a major category of work;
and if at least three L/SLBEs are not certified, then the requirement is either waived, or the 50% requirement may be set at a percentage from 50 % to 0%, but not less than 20% if at least one L/SLBE is certified and available. However, the Council may, in its discretion, waive the requirements of the L/SLBE Program; and
Jestin D. Johnson, City Administrator
Subject: ITD Enterprise Systems
Date: September 25, 2023 Page 3
Finance & Management Committee
October 24, 2023
Staff has determined that the required upgrades and improvements must be able to integrate into existing systems and facilities and therefore limits the qualified vendors that can provide the equipment and professional services to facilitate the upgrades and improvements at the lowest possible cost. Additionally, such information technology contracts will need to be completed within a shortened time span and will be used to upgrade existing systems, and the waiver of the LBE/SLBE requirement is reasonable and economical under the circumstances.
The ability to renew and upgrade existing systems will provide significant cost savings and other efficiencies to the City, requiring the use of vendors who are familiar with the existing information technology architecture.
Therefore, Staff recommends that the Council waive the Local Business/Small Local Business utilization program requirement for this project and the renewal of ongoing Information Technology services. This proposed Resolution would pertain only to the scope of services outlined in Phase 1 of this network switch replacement project. The Cisco Catalyst switches are manufactured by a singular entity, and there are limited technical professional service teams qualified to migrate Oakland’s existing, aging switches to this next-generation hardware.
Oakland seeks a team that can provide just-in-time professional engineering, testing, and practice management professionals, ensuring the project is cost-effective and as streamlined as possible. Therefore, to update and install new network switches, and to minimize potential service disruptions, and providing business continuity, it is in the City’s best interests to waive the Local and Small Local Business Enterprise (L/SLBE) requirements.
FISCAL IMPACT
This proposed Resolution will be funded via ITD’s current FY 2024 budget. These funds have been identified specifically for infrastructure, cybersecurity, and network upgrades and are located here: General Purpose Fund (1010), Network Security and Maintenance Organization (46471), and Cyber Incident 2023 Project (1006997).
The total cost of this project has been quoted at $900,611.57 for the Cisco hardware and $122,500.00 for the professional services for a combined grant total not to exceed the amount of $1,023,111.57.
COORDINATION
This report and legislation have been reviewed by the Office of the City Attorney, the Controller’s Bureau, and the City Administrator’s Office.
PAST PERFORMANCE, EVALUATION AND FOLLOW-UP
ITD has completed previous projects with Presidio Networked Solutions Group, LLC, and deemed their performance satisfactory.
Jestin D. Johnson, City Administrator
Subject: ITD Enterprise Systems
Date: September 25, 2023 Page 4
Finance & Management Committee
October 24, 2023
SUSTAINABLE OPPORTUNITIES
Economic: Ensuring that robust and cost-effective enterprise systems and platforms are available to City staff for daily use and residents as their business with the City touches related applications. Maintaining existing systems appropriately is the most efficient solution for the City.
Environmental: Enterprise IT solutions focus on digital transactions that reduce the need for traditional printing and copying. Safe and effective data storage and cybersecurity solutions secure City data and give staff confidence in using these electronic repositories.
Race & Equity: The IT Department must ensure that City Staff have the systems and services necessary to provide critical services to the community to support racial equity goals to address disparities. Failing to maintain robust and secure network infrastructure and services can negatively impact City Staff’s ability to provide these services to the community.
ACTION REQUESTED OF THE CITY COUNCIL
Staff Recommends That The City Council Adopt A Resolution Authorizing The City Administrator To Enter Into A Cooperative Purchasing Agreement With Presidio Networked Solutions Group, LLC., In The Not To Exceed Contract Grand Total Amount Of $1,023,111.57 And With A Term Ending Date Of December 31, 2025, To Upgrade The City’s Core IT Network Infrastructure With Next Generation Hardware, And To Waive The Local/Small Local Business Enterprise Program Requirements.
For questions regarding this report, please contact Tony Batalla, Information Technology Director, at 510-238-3319.
Respectfully submitted,
TONY BATALLA
Director, Information Technology Department