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Consent
Item No. 11.
| MEETING DATE: 02/21/2023 |
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| TO: | HONORABLE MAYOR AND COUNCILMEMBERS |
| FROM: | JIM SADRO, CITY MANAGER By: Mel Shannon, Director of Finance |
| SUBJECT: | APPROVE THE PURCHASE OF NETWORK VIRTUALIZATION EQUIPMENT FROM DELL COMPUTERS, INC.
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RECOMMENDATION:
That the City Council approve and authorize the City Manager to execute a purchase order in the amount of $182,187.50 with Dell Computers, Inc. for the purchase of one Dell EMC PowerStore 500 Storage unit and one PowerEdge R650 server.
DISCUSSION:
Staff is recommending the purchase of one Dell EMC PowerStore 500 storage unit in the amount of $156,746.73 and one Dell PowerEdge R650 server in the amount of $25,440.77, for a total cost of $182,187.50. This purchase will replace an existing data storage unit and server that were purchased and installed in February 2015 and January 2016, respectively. The City's existing equipment has reached the end of their useful life and are no longer supported by the Dell manufacturer warranty. Replacing the existing equipment will increase system reliability and stability, as well as improve connection speed from 1GBps (gigabytes per second) to 10GBps, along with increasing the data storage capacity from 20TB (terabytes) to 30TB for the City's network system.
Staff recommends acquiring this equipment in accordance with Municipal Code section 4.20.70 - Exceptions to Bidding Requirement for Purchase of Goods and Services; Section C "When the city can utilize cooperative governmental purchasing contracts or pricing for a given item or service which was established by another governmental agency’s successful bid award for that general or specific type of item or service, and which had been conducted on a negotiated or competitive basis." Dell equipment is included as part of the National Association of State Procurement Officials (NASPO) ValuePoint competitively bid contract program. The NASPO ValuePoint program is a purchasing cooperative of the state Chief Procurement Officers of all 50 states, D.C., and the US Territories, and all contracts are awarded following competitive solicitations led by member states in accordance with state procurement statutes. Staff reviewed the NASPO pricing for the Dell equipment being proposed for purchase and, after negotiating price and terms with Dell, were able to secure a final pricing quote that was approximately 60% below the NASPO bid pricing.
Staff recommends acquiring this equipment in accordance with Municipal Code section 4.20.70 - Exceptions to Bidding Requirement for Purchase of Goods and Services; Section C "When the city can utilize cooperative governmental purchasing contracts or pricing for a given item or service which was established by another governmental agency’s successful bid award for that general or specific type of item or service, and which had been conducted on a negotiated or competitive basis." Dell equipment is included as part of the National Association of State Procurement Officials (NASPO) ValuePoint competitively bid contract program. The NASPO ValuePoint program is a purchasing cooperative of the state Chief Procurement Officers of all 50 states, D.C., and the US Territories, and all contracts are awarded following competitive solicitations led by member states in accordance with state procurement statutes. Staff reviewed the NASPO pricing for the Dell equipment being proposed for purchase and, after negotiating price and terms with Dell, were able to secure a final pricing quote that was approximately 60% below the NASPO bid pricing.
FISCAL IMPACT/SOURCE OF FUNDING:
The cost to replace the existing equipment was included in the Fiscal Year 2022-2023 adopted budget (Account #165152-8919); therefore, there are sufficient budgeted funds for this purchase and no additional appropriation is being requested.
GENERAL PLAN RELEVANCE/CITY COUNCIL GOALS & OBJECTIVES:
T. 1.9 City Operations