City Council
259 N. Wilma Avenue
Ripon, CA 95366
MEMO
To: Honorable City Council
From: Daniel Sauer, Chief of Police
Date: 07/08/2025
Subject: Phone System Upgrade
RECOMMENDATION:
Amend the agreement authorizing the purchase of a new phone system and infrastructure in the not to exceed amount of $24,823.04 and approve the and authorize the Mayor to sign the threeyear service contract in the not to exceed amount of $26,532.24 annually (funding source:
General Fund-85%, Water Fund-8%, Sewer Fund-6%, and Garbage Fund-1%).
UPDATE TO ORIGINAL STAFF REPORT:
In June 2025, the City Council approved the agreement with 8x8 to provide a new phone system.
Staff was notified after this City Council action that the agreement did not include fees, taxes and surcharges. Below is a summary of the changes to the amounts that were previously approved:
Original Amount Updated Amount
Cost to Purchase Phone System
and Infrastructure
$23,550.89 $24,823.04
Annual Service $20,688.00 $26,532.24
Staff is recommending the City Council amend the previous action to include the updated amounts to include fees, taxes, and surcharges.
ORIGINAL STAFF REPORT:
BACKGROUND:
The City of Ripon currently operates an on-premises Private Branch Exchange (PBX) system manufactured by Avaya. This system manages incoming phone lines from the City’s current providers, Frontier Communications and TelePacific Communications (TPX), and directs calls to the appropriate phone. The Avaya PBX system was originally installed in the early 2000s by the phone service contractor NWN Carousel. Avaya ceased sales of parts for the system in 2009 and ended official support in 2016. As a result, any support required for the system is now provided by NWN Carousel on a time and materials basis.
The City owns the PBX system and does not have a contract with NWN Carousel, meaning the City’s primary expenses for the existing system are limited to phone line costs, which is estimated at $55,800 per year. Because of the lack of parts and support available for the outdated PBX system, there would be no immediate solution if this system failed, potentially leaving the City without phone service for days or even weeks.
City staff is recommending to upgrade the phone system to improve the long-term reliability of the City’s phone system.
DISCUSSION/ANALYSIS:
Staff has reached out to multiple vendors in search of potential solutions, upgrades, and possible replacements for the current system. The table below is a summary of the options evaluated.
Vendor Type Initial
Cost
Annual
Cost
Advantages Disadvantages
Current
system
Phone
lines
n/a $55,800 Lack of spare parts
and technical
support
Avaya
System
(Newest
Version)
On
Premise
$26,341.50 24,785.76 City owns/controls
hardware
Greater control
over data
High initial cost
Limited scalability
Disaster recovery
limitations
8x8 Cloud $23,550.89 $20,688 Affordable Pricing
Feature Rich
24/7 Support
User Friendly
interface
99.95% up time
Rated top 10 VoIP
providers
Can integrate with
a maximum of 60
other applications
Transition will be
challenging
Ring Central Cloud $26,341.50 $24,992.16 Feature rich
Advanced
analytics
99.999% up time
Comparatively
expensive
Metered long
distance calling
Transition will be
24/7 support
Rated top 10 VoIP
providers
Over 300
supported
applications
integration
challenging
Microsoft
Teams
Cloud $21,660.00 $33,108.00 Feature rich
Microsoft
application
integration
Widely accepted –
user familiarity
Most expensive
Lacking support
Transition will be
challenging
Not in top 10 VoIP
providers
City staff is recommending a transition from the current on-premises PBX system to the 8x8 internet-based hosted PBX system for the following reasons:
Hard-wired lines are being phased out globally due to the increasing adoption of modern communication technologies and the fact that copper wire infrastructure is expensive to maintain.
The 8x8 system is rated in the top 10 business VoIP providers for 2025. The 8x8 system comes with built in features at no extra cost (e.g., video conferencing, mobile app, analytics, customizable features for phone trees, call forwarding, visual voicemails, etc).
The 8x8 system was recommended by Ric Small from WayPoint Network Solutions, who has worked with 8x8 for several years and found the platform to be user friendly and customer service helpful.
The transition from the current on-premises PBX system to an internet-based system will require a coordinated effort from in-house IT, phone service providers, and our 911 support team. Among the vendors evaluated, 8x8 has provided the clearest explanation and the most helpful assistance regarding the transition process.
Once the 8x8 system is operational, the City will be able to cancel the current phone line contracts, eliminating the current annual expense of $55,800.
This transition will move the City from an entirely on-premises system that is no longer supported and is in a critical state to a cloud-hosted solution that offers immediate hardware, software, and user support. Additionally, the new system will modernize the City’s phone capabilities, enabling features such as auto-attendants, call screening, mobile app support, voice and video conferencing, call analytics, and a wide range of other advanced functionalities.
FISCAL IMPACT:
The budget for Fiscal Year 2024-2025 does not include these costs for the replacement and upgrades of the phone system. The one-time cost for new phone equipment is $14,850.89.
Additionally, IT staff must also acquire infrastructure equipment to support the updated technology at an estimated cost of $8,700, for a total initial cost of $23,550.89. The initial cost along with the annual cost of $20,688 will be funded by the General Fund (85%), Water Fund (8%), Sewer Fund (6%), and Garbage Fund (1%).
Over the 3-year contract period, the total cost of the 8x8 phone system is estimated to be $90,000, which represents an $80,000 savings compared to the current expense of the on-site PBX system.
Attachments:
1. 8x8 Agreement