SUBJECT/RECOMMENDATION:
Title
Approve License and Services Agreements to Microsoft, Inc. of Redmond, WA, and Planet Technologies, Inc. of Germantown, MD for an amount not to exceed $1,670,000.00 for cloud based office management software licensing, software maintenance, and professional services, and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
The City has used Microsoft’s Office Software since 1996 when it implemented a wide-area network computing environment. Microsoft Office has become one of the corporate standards for business management software and has initiated a move to cloud based (hosted) software with MS Office 365. The City currently uses MS Office 2007 and has been since 2009.
Under the current software use model, the City owns individual MS Office licenses and the software is loaded on individual computers (MS Word and MS Excel), or is assigned to individual users (MS Exchange).
The terms of the new licensing model will require the City to pay an annual subscription fee for each user and will include access to the MS Office Suite products via the internet and include individual cloud based storage for each user (ranging from 50 GB to unlimited storage per user).
The transition to cloud based services will provide the City with improved backup of critical data stores, improved network security and virus protection, improved access and device compatibility, among some of the benefits.
The cost for the initial licensing and migration will be $231,117.60. Subscription services will remain fixed for 3 years and increase at a fixed rate for years 4-6, for a total 6-year cost of $1,503,676.98.
The City will use Planet Technologies, Inc. to assist with the data conversion and migration for an additional $87,885.10.
A total project contingency of approximately 5% ($78,437.92) will be included for any additions to licensing needs, changes in user licensing requirements, and professional services in support, maintenance and system administration.
Vendor selection is in accordance with Sec. 2.564(1) (d), Code of Ordinances - Other government bid. The City will piggyback on the State of Florida Contract # 43230000-15-02 Licensing Solutions Providers (LSP) of Microsoft Software and Services. Microsoft licensing is offered from SHI International, Inc., of Summerset, NJ, via State Contract # 43230000-15-02, and is the State’s sole provider of Microsoft Licensing.
Planet Technologies, Inc. was also selected in accordance with Sec. 2.564(1) (d), Code of Ordinances - Other government bid. The City will piggyback on the General Services Administration (GSA) Contract # GS-35F-0360J.
APPROPRIATION CODE AND AMOUNT:
Funds are budgeted and available in Information Technology CIP Project 94830, MS Licensing & Upgrades for planned expenditures in the current fiscal year. Expenditures for future fiscal years will be budgeted in the Information Technology Admin Services budget.