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RiversideCA.govMeasure Z-Datacenter/Disaster Recovery Modernization and Maintenance City CouncilJanuary 27, 2026Innovation and Technology Department RiversideCA.gov2
•The City’s datacenters are responsible for the storage, processing, and distribution of large volumes of Citywide data, supporting enterprise applications, billing and financial systems, permitting systems, and public safety systems.•The City currently operates a primary datacenter along with a backup system failover disaster recovery site located at the Emergency Operations Center (EOC). •However, the existing datacenter infrastructure is approximately six years old and nearing the end of support, creating increased operational risk. •If an emergency were to impact City Hall and the EOC failover datacenter simultaneously, internal and public-facing services could experience significant disruption.BACKGROUND
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•To address these risks and resolve support deficiencies, modernization of the primary datacenter and the recovery site is required, including equipment upgrades to strengthen the City’s continuity of operations. •In recognition of critical infrastructure gaps, the Budget Engagement Commission and the City Council allocated funding through Measure Z in 2017 to maintain the City’s digital infrastructure and improve resiliency to ensure continued City operations during emergencies.BACKGROUND RiversideCA.gov4
DISCUSSION
Broadcom’s acquisition of VMware has introduced:-Increased licensing complexity and higher costs-Less favorable terms for public sector organizations-Reduced long-term operational flexibility due to industry consolidation Nutanix offers a compelling alternative:-Transparent, predictable subscription licensing-Lower risk of unexpected cost increases-Proven public-sector support and vendor stability Strategic outcome:-Nutanix aligns with the City’s goals for cost control, flexibility, and infrastructure sustainability 1/15/2026
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DISCUSSION
Five-Year TCO Analysis (2026–2030):-Nutanix reduces total costs by approximately $2 million compared to historic Dell/Broadcom costs-Higher Year One investment ($1.25M) offset by significant long-term savings Cost Structure Benefits:-3-year Nutanix subscription fully amortized by Year Four-Ongoing annual maintenance drops to approximately $138K-Approximate 75% reduction versus Broadcom’s historic recurring licensing costs RiversideCA.gov6
•Initial Investment Includes:•Hardware for two clusters•Nutanix software licensing (3 years)•Training, change management, and full migration support•Phased Migration Strategy:•Remaining clusters migrated over multiple fiscal years•Maintains service continuity and spreads capital expenditures•Funding Status:•Fully supported by existing MZ reserves within the IT operating budgetDISCUSSION
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FISCAL IMPACTThe total fiscal impact of this action is $1,373,174.55. Sufficient funds are budgeted and available in the Technology Replacement Program Administration, Capital Purchases, Measure Z Account.
RiversideCA.gov8
RECOMMENDATIONS1. Approve the purchase of HCI solutions utilizing Nutanix technology from Impex Technologies Inc., through the NASPO contract AR2472 in the amount of $1,248,340.50 plus a contingency of ten percent (10%) in the amount of $124,834.05 for a total amount of $1,373,174.55; and2. Authorize the City Manager, or designee, to execute the agreement, including making minor non-substantive changes.