Administrative
Report
H.10., File # 22-4415 Meeting Date: 7/19/2022
To: MAYOR AND CITY COUNCIL
From: Chris Benson, Information Technology Director
TITLE
APPROVE A MICROSOFT ENTERPRISE AGREEMENT (EA) RENEWAL UNDER THE COUNTY OF RIVERSIDE CONTRACT (RIVCO) #004-KAYLEED-S-04, MICROSOFT MASTER AGREEMENT #8084445, WITH INSIGHT PUBLIC SECTOR, INC. PER CITY OF REDONDO BEACH BID #2122- 021 FOR MICROSOFT SOFTWARE LICENSING FOR A THREE-YEAR TOTAL AMOUNT NOT TO EXCEED $1,077,378.51 AND THE TERM AUGUST 1, 2022 THROUGH JULY 31, 2025.
EXECUTIVE SUMMARY
The Microsoft EA renewal licenses the City for Microsoft 365 applications including Office 365, Windows 10 Enterprise, Enterprise Mobility + Security, Advanced Threat Protection and Exchange Online email. Also included in the renewal are Windows Server Data Center licensing, Azure commitment and an upgrade of security services to level G5. The City will renew its agreement under the County of Riverside contract which entitles the City to Microsoft Level D pricing, the deepest discount available to governmental agencies, plus an additional 4% discount from Insight Public Sector, Inc. (except Azure metered services at Level D). By leveraging the County contract, the City locks in pricing on the above products for the full term of the agreement and minimizes upfront costs by spreading payments over three years.
BACKGROUND
In 2010, as part of a major technology refresh, the City migrated from a Novell centric environment to Microsoft. This was a major step in mainstreaming the IT environment by moving to more commonly used and supported software. The project fit within the IT strategy of supporting the organization technologically as part of a continued effort to increase the productivity of employees, and support the effective delivery of services to the public.
The City has successfully implemented Microsoft OneDrive, SharePoint Online, Exchange Online, Azure, Teams, Advanced Threat Protection and Email only licenses for commissioners. The City’s intranet site (SeaNet) was migrated from a legacy content management solution to SharePoint Online.
This EA renewal consists of Microsoft 365 Suite of applications which includes Office 365 (Word, Excel, PowerPoint, Exchange Online, OneDrive, SharePoint Online, Teams etc.) Windows 10 Enterprise, Windows Server Data Center, Enterprise Mobility + Security, Advanced Threat Protection and Email only licenses for commissioners. It also includes a security services upgrade at level G5 which includes Advanced Security, Identity and Access Management, Advanced Compliance and
H.10., File # 22-4415 Meeting Date: 7/19/2022
access to more Analytical modules.
Some highlighted G5 services include, but are not limited to:
Advanced Security
· Zero-day threat and malware protection
· Actionable insights to global attack threats
· Behavior-based attack detection, built-in threat intelligence, forensic investigation and mitigation
· Bring enterprise-grade visibility, control, and protection to cloud applications on mobile devices · Use Data Loss Prevention (DLP) across cloud applications on mobile devices · Find threats from internal users
· Windows Emergency Outbreak Protection
· Attack Simulator
Identity and Access Management
· Identity and access management with advanced protection for users and Privileged Identity Management (PIM)
· Detecting vulnerabilities and risky accounts
· Teams chat DLP
Advanced Compliance
· Advanced eDiscovery
· Advanced Data Governance
· Intelligent classification and encryption for files shared inside and outside organization Analytics
· Microsoft Graph
Purchasing Vehicle
In January, 2020 Riverside County issued an amendment for Microsoft Enterprise Licensing to continue providing a more cost-effective Microsoft license management program for participating California state and local governments. Riverside awarded nine Licensing Solutions Providers (LSP) to participate in the agreement.
The City issued BID #2122-021 for Microsoft EA Renewal to the approved LSP’s and received the following responses for a 3-year agreement:
Insight Public Sector, Inc. $1,077,378.51
Crayon Software Experts, LLC $1,080,137.67
Zones $1,214,146.99
SHI International Corp Did not respond
Software One, Inc. Did not respond
CDW-G, LLC Did not respond
Dell Marketing Did not respond
Softchoice Did not respond
GovConnection No longer part of Riverside Contract
H.10., File # 22-4415 Meeting Date: 7/19/2022
Zones $1,214,146.99
SHI International Corp Did not respond
Software One, Inc. Did not respond
CDW-G, LLC Did not respond
Dell Marketing Did not respond
Softchoice Did not respond
GovConnection No longer part of Riverside Contract
Per BID #2122-21, the City will use Insight Public Sector, Inc. as its EA renewal vendor.
COORDINATION
Information Technology staff worked directly with Microsoft and Insight Public Sector, Inc. to complete the Microsoft renewal forms. The Microsoft EA Enrollment renewal was approved as to form by the City Attorney’s office. Bid #2122-021 was processed by the Financial Services Department.
FISCAL IMPACT
The FY 2022-23 cost of $359,126.17 for the Microsoft EA Enrollment will be paid from the FY 2022- 23 IT Department Internal Service Fund. Year 2 and 3 licensing costs of $359,126.17 each will be budgeted for in future fiscal years. Subsequent renewal costs may vary due to changes in user counts, workstation counts and potential increased utilization of Microsoft online services and Azure cloud services.
Participation in the RIVCO contract enables the City to receive Microsoft discount pricing at Level D, which is only available to governmental organizations with 15,000 seats or higher. Insight Public Sector, Inc. has provided an additional discount of 4%.
This renewal locks in pricing across the three-year agreement period. Pricing is expected to increase at the next RIVCO contract renewal in August, 2025.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
· Agmt - Microsoft Enterprise Agreement Renewal
· BID #2122-021 Results
· BID Response - Insight Public Sector, Inc.
· Microsoft 365 E3 vs E5 Features.pdf
· Microsoft 365 - US Government.pdf