CITY COUNCIL ACTION REQUEST
DEPARTMENT(S)
Finance
CEQA
Not a Project, File No.
PP17-003,
Agreements/Contracts
(New or Amended)
resulting in no
physical changes to
the environment.
COORDINATION
Airport, City Attorney's
Office; City Manager’s
Budget Office
Director Approval
/s/
Maria Öberg
COUNCIL DISTRICT(S)
6 CMO Approval
9/3/2025
SUBJECT: First Amendment to the Agreement with Intergraph Corporation, dba Hexagon’s Asset Lifecycle Intelligence Division for Migration to a Software-as-a-Service Enterprise Asset Management Subscription
RECOMMENDATION
Adopt a resolution authorizing the City Manager, or her designee, to negotiate and execute the First Amendment to the Agreement with Intergraph Corporation, dba Hexagon’s Asset Lifecycle Intelligence division (Madison, AL), for migration to a software-as-a-service enterprise asset management subscription at the San José Mineta International Airport to retroactively extend the term of the agreement for up to four additional one-year option terms, through July 31, 2029, under the same terms and conditions, subject to the appropriation of funds.
BASIS FOR RECOMMENDATION
The City Council authorized an agreement with Infor Public Sector, Inc., now Hexagon’s Asset Lifecycle Intelligence, in May 20161, for an enterprise asset management software subscription for the San José Mineta International Airport to manage its facilities maintenance and asset management data. The initial term of the agreement was from September 1, 2017 to August 31, 2020, with five one-year options to extend the term until July 31, 2025.
The agreement for the San José Mineta International Airport facilities maintenance and asset management subscription is one of four agreements the City of San José (City) has with Hexagon’s Asset Lifecycle Intelligence, each with a different contract term end date. Additionally, Finance Department staff understands that other City departments are interested in procuring similar subscriptions. To maximize savings for the City by leveraging economies of scale, staff intends to conduct a competitive solicitation for a new Citywide agreement to consolidate the existing four agreements and allow for expanded use by other City departments. Extending the term of this agreement as requested will align its end date with those of the other three existing agreements, helping to ensure a coordinated transition to a new Citywide agreement.
Approval of this recommendation will ensure that the San José Mineta International Airport can continue using the enterprise asset management system and receive related maintenance, support, and subscription services while working through a competitive solicitation process for a new agreement and a potential transition to a different platform. The maximum compensation for the option term beginning August 1, 2025, and ending July 31, 2026, is not to exceed $140,000, and any future options will be subject to the appropriation of funds.
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
1 May 2016 City Council resolution: https://records.sanjoseca.gov/Resolutions/RES77742.PDF COUNCIL AGENDA: 9/23/25
FILE: 25-1004
ITEM: 2.8
COST AND FUNDING SOURCE
The recommended amendment to this agreement for $140,000 is funded by the Airport Non- Personal/Equipment appropriation in the Airport Maintenance and Operation Fund. The 2025-2026 Adopted Operating Budget was approved on June 10, 2025 and adopted on June 17, 2025 by the City Council.
FOR QUESTIONS CONTACT: For procurement and contract related questions, please contact Albie Udom, Deputy Director of Finance – Purchasing and Risk Management, at [email protected]. For program related questions, please contact, Gene Frazier, Deputy Director, San José Mineta International Airport, at [email protected]