Agenda Item #13.4
For Council Meeting of: August 8, 2023
CITY OF SANTA ROSA
CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: KRISTIE BARTLETT, DEPUTY DIRECTOR
INFORMATION TECHNOLOGY DEPARTMENT
SUBJECT: RATIFICATION AND AUTHORIZATION OF INCREASED COMPENSATION FOR CONTINUED COOPERATIVE PURCHASE OF COMPUTER AND SERVER EQUIPMENT FROM DELL MARKETING L.P.
AGENDA ACTION: RESOLUTION
RECOMMENDATION
It is recommended by the Information Technology and Finance Departments that the Council, by resolution, authorize the City’s continued purchase of computer and server equipment from Dell Marketing L.P. utilizing a cooperative purchase approach under the Minnesota National Association of State Procurement Officials (NASPO) Agreement(s) No. 23004 and associated California Participating Addenda with an increase in compensation in an amount not to exceed $2,000,000 for a total not-to-exceed amount of $5,016,358.79, as follows: (1) ratify purchases dating back to August 1, 2022 in an amount not to exceed $387,452.42; (2) approve and authorize the City Manager, Purchasing Agent or designee to continue to utilize NASPO Agreement(s) No. 23004 and California Participating Addenda No. 7-15-70-34-003 (expires October 31, 2023) and any successor California Participating Addendum in an amount not-to-exceed $1,612,547.58 for the purchase of such computer and software equipment through June 30, 2025.
EXECUTIVE SUMMARY
Staff recommends that Council ratify certain prior purchases of computer and server equipment dating back to August 1, 2022 in an amount not to exceed $387,452.42 and to approve and authorize the City Manager or designee to continue to purchase computers (PCs, laptops, tablets), monitors and servers from Dell Marketing, L.P in an amount not-to-exceed $1,612,547.58 under the existing and updated NASPO Agreement and California Participating Addenda utilizing the City’s cooperative purchasing authority. The City has designed a selection, purchasing and deployment process, called the “PC Replacement (PCR) Program”, optimized for efficiency and cost management for the ongoing replacement of approximately 2,000 PCs, laptops, tablets and servers for city staff use.
BACKGROUND
Annually, the IT Department budgets funds for the PCR Program, which is designed to capture the cost of future replacement of computers on 5-year basis for PC’s and a 4-year basis for laptops/tablets. The IT Department also purchases equipment from Dell for other departments which is not part of the PC Replacement Program.
ANALYSYS
The City currently spends roughly $550,000-$600,000 per year on Dell equipment, which is an increase over years past. This is due to multiple factors, including the increase in cost of hardware, the purchase of additional public safety projects, EOC (Emergency Operations Center), the Covid-19 pandemic and staff working hybrid on-site/remote schedules, and other departmental projects requiring servers and PC equipment not originally estimated to procure under the original 2017 agreement. The City is also continuously adding applications needed by departments that require additional server resources.
PRIOR CITY COUNCIL REVIEW
On June 20, 2017, the Council, by Resolution No. RES-2017-120, approved the purchase of Dell hardware through the NASPO cooperative purchase agreement and the California Participating Addendum, for the amount of $1,500,000 for a 5-year period.
On November 5, 2019, the Council, by Resolution No. RES-2019-161, approved of adding additional funds in the amount of $965,000, for a new total of $2,465,000.
On January 25, 2022, the Council, by Resolution No. RES- 2022- 011, approved of adding additional funds in the amount of $ 451,358.79, for a new total of $3,016,358.79.
FISCAL IMPACT
The funds needed for the current fiscal year for PCR purchases from Dell are included in the Information Technology department Fiscal Year 2023-24 adopted budget as a regular expenditure and will be included in subsequent years budget requests when presented to Council. Other departmental projects requiring additional PC’s, servers, monitors and Dell equipment are budgeted through the departments’ operating budgets as needed.
ENVIRONMENTAL IMPACT
This action is exempt from the provisions of the California Environmental Quality Act (CEQA) under CEQA Guidelines Section 15061(b)(3) and 15378 in that there is no possibility that the implementation of this action may have significant effects on the environment, and no further environmental review is required.
BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.
NOTIFICATION
Not applicable.
ATTACHMENTS
Attachment 1 – Current NASPO ValuePoint Master Agreement No. 23004 (NASPO cooperative agreement) (Dated 7/14/2023) Resolution
PRESENTER
Kristie Bartlett, Deputy Director Information Technology
PURCHASE OF COMPUTERS THROUGH DELL, INC
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