AGENDA CAPTION:
Title
Consider approval of Resolution 2025-06R, approving a contract with GTS Technology Solutions, through the Texas Interlocal Purchasing System Cooperative, for the purchase of software licensing and technical support for virtual infrastructure software for a term of one year, with the option to renew for up to two additional years in the amount of $122,880.00 per year; authorizing the City Manager, or her designee, to execute the contract on behalf of the city; and declaring an effective date.
Body
Meeting date: January 7, 2025
Department: Information Technology, Mike Sturm, Director
Amount & Source of Funding
Funds Required: $122,880.00
Account Number: 10001280-52395, 21006322-52395, 22006335-52395
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Background Information:
The City relies on value-added resellers (VAR) to procure technology and services that support the City's technology services. GTS Solutions is a Texas-based value-added reseller that offers a variety of technology services. GTS Solutions utilizes the Interlocal Purchasing System or TIPS cooperative contract to offer pricing discounts to the City. The contract agreement with GTS Solutions is to purchase software licensing and technical support for virtual infrastructure software. Virtual infrastructure software, often referred to as a "hypervisor", is a software application that allows multiple virtual machines (VMs) to run on a single physical server, essentially creating a software-defined environment where users can access computing resources like CPU, memory, and storage as if they were separate physical machines, providing greater flexibility and resource utilization compared to traditional physical hardware setups.
Benefits:
• Cost efficiency: Reduces hardware costs by allowing multiple VMs to run on a single physical server.
• Scalability: Easily add or remove virtual machines as needed to adapt to changing demands.
• Flexibility: Enables quick provisioning of new virtual servers without physically installing new hardware.
• Disaster recovery: Easily migrate VMs to different physical hosts in case of hardware failure.
The City has utilized virtual infrastructure software for the past 15 years. It is a critical and dependable system for managing the City's virtual infrastructure. The City opted for a three-year contract to receive substantial pricing discounts. Each renewal will be paid yearly.
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Recommendation:
Staff recommend award of contract to GTS Technology Solutions, Austin, TX, in the annual amount of $122,880.00 with the option for two additional one-year renewals, resulting in a total of three years and $368,640.00 through the Purchasing Cooperative TIPS contract #230105 for the renewal of licensing and support of virtual infrastructure software.