city of San Antonio


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File #: 20-4334   
Type: Miscellaneous Item
In control: City Council A Session
On agenda: 9/17/2020
Posting Language: Ordinance approving a lease agreement with CPS Energy for the City’s lease of 2,400 square feet of data center floor space in CPS Energy’s Data Center. [Ben Gorzell, Chief Financial Officer; Craig Hopkins, Chief Information Officer, Information Technology Services]
Attachments: 1. Fiscal Impact Form - #20-4334 CPS-E Data Center Lease Operating, 2. Draft Ordinance.pdf, 3. Ordinance 2020-09-17-0663
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DEPARTMENT: Information Technology Services


DEPARTMENT HEAD: Craig Hopkins


COUNCIL DISTRICTS IMPACTED: City Wide


SUBJECT:

Data Center Lease Agreement with CPS Energy for relocation of the City's Downtown Data Center.


SUMMARY:

This ordinance will authorize a lease agreement between the City of San Antonio ("City") and CPS Energy for the City's lease of 2,400 square feet of data center floor space in CPS Energy's Data Center. Upon lease signing, a one-time lump sum for contribution towards construction of the space in the amount of $650,000 is due. Funding for construction is available from the FY 2020 - FY 2025 Capital Improvement program. In FY 2021, 10 months of rent will be incurred for a total of $568,304. The annual recurring costs are $723,360 with a yearly 1.5% escalation fee. Funding for lease costs is included in the FY 2020 Information Technology Services Department Operating Budget.


BACKGROUND INFORMATION:

The City has two data centers, the Downtown Data Center and the South Data Center. These two sites support the City's broadband network and provide the City with internet connectivity, computing and network infrastructure. The data centers are mission critical sites operated and maintained by the Information Technology Services Department (ITSD) that support Public Safety systems, critical business systems such as SAP, BuildSA, and 311, as well as day-to-day operations for all City departments.

In 2018, ITSD assessed the feasibility of building a data center in a new location or leasing data center space. The assessment determined that building a data center at City Towers would have required extensive renovation to the building to add uninterruptible power systems, cooling systems, and redundant generators and fuel tanks. ITSD also assessed commercially available data center leasing options from Cyrus One, H5 and CPS Energy's Data Center.
The criteria used to assess data center lease sites included redundant acces...

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