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File #: 18-5243   
Type: Purchase of Services
In control: City Council A Session
On agenda: 10/11/2018
Posting Language: Ordinance approving the City's use of the State of Texas Department of Information Resources contract DIR-TSO-4092 with SHI Government Solutions, Inc. in an amount of $14,728,471.89 for the Microsoft Enterprise Agreement for a term of five years. Funding in the amount of $2,546,432.25 for year one of this contract is available from the Adopted Fiscal Year 2019 Information Technology Services Department Fund Budget. [Ben Gorzell, Chief Financial Officer; Troy Elliott, Deputy Chief Financial Officer, Finance]
Attachments: 1. Microsoft Agreement, 2. Bid Tab, 3. A - SHI Quote-15796105, 4. B1 - SHI Quote-15753051, 5. B2 - SHI Quote-15775909, 6. C1 - SHI Quote-15753121, 7. C2 - SHI Quote-15776010, 8. D1 - SHI Quote-15753149, 9. D2 - SHI Quote-15776064, 10. E1 - SHI Quote-15753177, 11. E2 - SHI Quote-15776113, 12. F1 - SHI Quote-15753183, 13. F2 - SHI Quote-15776153, 14. Draft Ordinance, 15. Ordinance 2018-10-11-0805
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DEPARTMENT: Finance


DEPARTMENT HEAD: Troy Elliott


COUNCIL DISTRICTS IMPACTED: Citywide


SUBJECT:

Microsoft Enterprise Agreement


SUMMARY:

This action will authorize the City to utilize the State of Texas Department of Information Resources (DIR) contract DIR-TSO-4092 with SHI Government Solutions, Inc. in an amount not to exceed $14,728,471.88 for the Microsoft Enterprise Agreement for a term of five years. Funding in the amount of $2,546,432.25 for year one of this contract is available from the FY 2019 Information Technology Services Department Adopted Operating Budget.

BACKGROUND INFORMATION:

Microsoft Windows and Microsoft Office are integral to the City's critical Public Safety and business systems including CAD, SAP, 311, BuildSA, HIPAA and Credit Card systems. The City's current license position with Microsoft is stand-alone licenses that are limited to older versions of Microsoft desktop and server products. Some of these versions are ten years old and will be phasing out of support starting next year. In order for the City to stay compliant with state and federal requirements and remain compatible with newer business processes and applications, the City must update its licensing for Microsoft products.

ITSD has negotiated pricing with Microsoft through a third-party reseller, SHI Government Solutions, Inc., for two agreements to support all of the Microsoft products utilized by the City. The Microsoft Enterprise Agreement (EA) for State and Local Governments covers end user and desktop products including Windows 10 for desktops and laptops as well as Microsoft Office. The Server Cloud Enrollment (SCE) is a separate agreement tailored for datacenter products such as Microsoft Server and Microsoft SQL Server for data bases. ITSD has secured reduced pricing for a five year term with annual payments. In order to secure these savings, ITSD executed the agreement citing City Council Ordinance 2017-11-09-0893. The action approved through this o...

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