Title
Resolution to Approve Renewal of a Three-Year Support Agreement with Microsoft Corporation ($139,359.00)
Memorandum
The attached resolution seeks authorization to approve a three-year Support Agreement with Microsoft Corporation, payable in three annual installments of $45,536.00 for FY2016, $46,447.00 for FY2017 and $47,376.00 for FY2018 totaling an amount of $139,359.00 for three years.
Fiscal/Budget Impact: This expenditure is planned for and budgeted in the FY2016, will be budgeted in the FY2017 and FY2018 Information Technology Services Fund budget.
The City of Ann Arbor received quotations for renewal of the Microsoft Support Agreement from three vendors and determined that purchasing the Support Agreement directly from Microsoft Corporation, and not from a value-added reseller, will provide the lowest on-going support cost to the City.
This renewal agreement parallels renewal of the City’s Microsoft Enterprise Agreement approved (Resolution #15-0523) that provides access to current software licenses, upgrades and maintenance for Microsoft Windows Desktop Operating Systems, Office365, Windows Server Client Access Licenses, Exchange Mail Client Access Licenses, SQL Server and SharePoint Server Client Access Licenses.
This support agreement provides City IT personnel 24/7 access to Microsoft technical support, consultation and strategic planning services for Microsoft Operating Systems, Office 365, Windows Server, Exchange Mail, SQL Server Database Servers and SharePoint Web Servers.
This allows City IT personnel the ability to efficiently and effectively operate, maintain and sustain the City’s network computing environment providing service delivery to the organization.
Funds for this expense are budgeted and approved in the FY2016 Information Technology Service Fund Budget and planned for in the FY2017 and FY2018 IT Fund Budgets.
Authorization of the payment plan will allow for the issuance of a Purchase Order in the amount of $45,536.00 for FY2016, as well as the authorization of payment of the balance by purchase orders of $46,447.00 for FY2017 and $47,376.00 for FY2018 totaling an amount of $139,539.00 for three years
Staff
Prepared by: Russell Hanshue, IT Infrastructure Services Manager, ITSU
Reviewed by: Tom Shewchuk, IT Director, ITSU and Tom Crawford, Financial Services Administrator and CFO
Approved by: Steven D. Powers, City Administrator
Body
Whereas, The City of Ann Arbor requires Support for Microsoft Client Access Licenses for Office 365, Windows Server, Exchange Mail, SQL Server and SharePoint Server be efficiently and effectively maintained and operated to sustain the City’s network computing environment and continue to enhance the level of city service delivery;
Whereas, Renewal of the Microsoft Support Agreement will continue to provide the City of Ann Arbor access to enhanced technical support, three years of unlimited technical training, consultation and annual strategic consulting services;
Whereas, Renewal of the Microsoft Agreement provides the City of Ann Arbor the flexibility of spreading the payments for the purchase of this 36-month support agreement over three fiscal years;
Whereas, Funding for this expenditure is planned for and budgeted for in the FY2016 Information Technology Budget; and
Whereas, The City has planned for the Enterprise Agreement in the FY2017 and FY2018 Information Technology Fund;
RESOLVED, That City Council approve renewal of a Three-Year Support Agreement with Microsoft Corporation for a total of $139,359.00, subject to annual budget appropriations during the term of the Agreement;
RESOLVED, That City Council approve a purchase order in the amount of $45,536.00 for FY20016 to Microsoft for year one of the Agreement; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this Resolution regardless of fiscal year, including the execution of any supplemental documents required by Microsoft after approval as to form by the City Attorney.