Title
Report regarding a resolution approving a purchase agreement for the procurement of information technology (IT) equipment / computer hardware and authorizing the City Manager to execute the agreement with Dell Marketing L.P. in the amount not to exceed $240,396.66. (Jacob Gilchrist, Director of Capital Projects)
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RECOMMENDATION
Recommendation
Staff recommends City Council approve a resolution authorizing staff to procure information technology (IT) equipment / computer hardware from Dell Marketing L.P. in the amount not to exceed $240,396.66.
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BACKGROUND
The Civic Campus Phase II - Library | Parks & Recreation (pf2103/pf2207) requires information technology (“IT”) equipment and computer hardware for the successful operation of the facility. In 2020, staff, led by Director of Information Technology Tony Barrera, coordinated with the project consultants from (SmithGroup & Kitchell CEM) to select the appropriate computer and technology systems.
The equipment provided for in this contract includes computers, monitors, printers, scanners, and peripherals. The equipment is made by Dell Technologies, which is the current standard for computers, monitors and peripherals used by City Departments. Continued standardization of IT products facilitates maintenance and potential troubleshooting of these products by the SSF IT Department.
In addition to the civic campus computer equipment, staff will be replacing 50 computers as part of the annual equipment replacement process. The city’s computer life cycle is five years, but Information Technology department extends the life to six years depending on use and trouble tickets. The cost for the equipment is $53,562.98 and funding has been allocated from the equipment replacement for fiscal year 2022-23.
Staff recommends the use of a National Association of State Procurement Officials (“NASPO”) ValuePoint Cooperative Purchasing Program for this IT equipment purchase. Cooperative purchase programs allow the City to “piggyback” on other agencies’ bid processes and take advantage of already contracted low prices. Use of cooperative purchasing programs is a way of obtaining goods and services by aggregating volume, securing value pricing, and reducing administrative overhead. Use of purchasing cooperatives significantly reduces the time and resources needed to competitively bid goods and services contracts, resulting in better overall value. The estimated Dell Technologies contract is $240,396.66.
NASPO ValuePoint is a non-profit organization created to pursue cooperative contracting opportunities and conduct competitive solicitations through the development of multi-state sourcing teams following the procurement laws of the state chosen to lead the procurement. The sourcing teams develop the request for proposals, evaluate responses and recommend award to the NASPO ValuePoint board. Once awarded, master agreements are available to all states, their political subdivisions, and other eligible entities. The State of California utilizes the NASPO cooperative purchase scheme through the execution of a Participating Addendum agreement.
The City may enter into a “piggyback” contract, under SSF Municipal Code section 4.04.040(b), if the contract terms are valid and have been negotiated by another governmental agency using a quote or bid process that substantially conforms to the procedures established by state law and the City purchasing ordinance. Further, the City’s purchasing policy requires the bid process on the piggybacked contract to have been completed within the last year. Staff and the City Attorney have reviewed the processes and procedures for NASPO/state participating addendum and found them to be in compliance with SSF purchasing procedures.
FISCAL IMPACT
The information technology (IT) equipment /computer hardware costs for Library | Parks & Recreation amounts to $186,833.68 and is included in the current total project budget of $103,000,000 for pf2103/pf2207. No additional funding appropriation is required.
The equipment to be replaced as part of the annual replacement process amounts to $53,562.98. was previously approved by City Council as part of the fiscal year 2022-23 budget. No additional funding appropriation is required.
RELATIONSHIP TO STRATEGIC PLAN
This effort is included in the City’s Strategic Plan. It aligns with Priority #2 which is focused on enhancing quality of life and Priority #3 which is focused on enhancing public safety.
CONCLUSION
In conclusion, staff recommends City Council approve a resolution authorizing staff to procure information technology (IT) equipment / computer hardware from Dell Marketing L.P. in the amount not to exceed $240,396.66.