AGENDA CAPTION:
Title
Consider approval of Resolution 2021-28R, approving a Change in Service to the agreement with Dell Marketing, LP through the Texas Comptroller of Public Accounts Department of Information Resources program for the purchase of VMware equipment and support services in the estimated annual amount of $49,821.26 and authorizing four additional annual renewals; authorizing the City Manager or his designee to execute the appropriate documents to implement the Change in Service; and declaring an effective date.
Body
Meeting date: February 24, 2021
Department: Information Technology Department - Mike Sturm, Director (by Lynda Williams, Purchasing Manager)
Amount & Source of Funding
Funds Required: $49,821.26
Account Number: 10001280-52395 $16,607.09, 21006322-52395 $16,607.08, 22006335-52395 $16,607.09
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Fiscal Note:
Prior Council Action: Resolution 2019-10R
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Background Information:
The Texas Comptroller of Public Accounts Department of Information Resources (DIR) awarded a contract (DIR-TSO-3763) to Dell Marketing LP for VMware, a virtualization and cloud computing software provider. In December 2016, the City entered into a contract with Dell Marketing L.P. By using the DIR contract, the City is receiving built-in discounts negotiated through the contract.
The City originally purchased VMware software in 2010 from Unique Digital (VMware has since been purchased by Dell) when the City started developing the virtual environment. Over the years, the City purchased various upgrades, expansions, and add-ons of VMware software. The maintenance renewals from these purchased were spaced out throughout the year and to consolidate the licensing we worked with Dell to co-term all VMware license into one yearly bill.
VMware being the critical backbone of the City’s technical infrastructure, it is essential to maintain multiyear licensing and support. The additional renewals will allow the City to streamline and more efficiently maintain our support with VMware, while greatly reducing administrative overhead. Currently there are no planned or budgeted expansions to VMware, and this should allow the licensing renewals to stay consistent for the next few years.
To avoid an estimated $10,000 late fee, the change in service for the renewal was approved for an additional 12-month period for an annual amount of $49,821.26, for a total contract amount of $189,933.01.
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Recommendation:
Staff recommends approval of the Change in Service to the agreement with Dell Marketing LP. (Contract No. 217-162) in the amount of $49,821.26 and an authorization for additional annual renewals.