Title
Resolution to Approve a Purchase Order to CBTS and Appropriate the Necessary Funds to Upgrade the City’s Mitel VOIP Phone System. ($159,696.72) (8 Votes Required)
..Memorandum
This memorandum and resolution request approval of a purchase order to CBTS in the amount of $159,696.72 to upgrade the City’s Mitel VOIP phone system. This upgrade will provide the City with the latest technology and options to support employees and the citizens of Ann Arbor.
The current VOIP system is over 11 years old, is no longer at a supportable level, and parts are becoming more difficult to obtain. The new system will incorporate modern technology, provide redundancy, accommodate new E911 compliance.
CBTS, previously Suntel Systems, Inc., is recommended as a best source because they originally implemented the City’s Mitel VOIP system and have provided good support over the past decade. CBTS possesses knowledge of our existing system, which will lead to a more efficient upgrade. In addition, retaining our current Mitel VOIP system will eliminate the need for the City to purchase new phone handsets in the amount of approximately $150,000.00 and incur additional training expenses for employees.
Mitel is extending a Government Sector Discount in the amount of $13,281.70 and CBTS is extending 1 year of support free of charge that normally costs the City $29,880.00 per year.
Budget/Fiscal Impact: Information Technology budgeted $100,000.00 to upgrade the system in FY 2020. After design and planning the total cost of the upgrade is $159,696.72. Therefore, an additional $59,696.72 is being requested from the FY20 Information Technology Fund fund Balance.
Staff
Prepared by: David Harris, Senior Network Lead
Reviewed by: Tom Shewchuk, IT Director
Reviewed by: Tom Crawford, Financial Service Area Administrator and CFO
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, The City’s Mitel phone system is in need of an upgrade and is a crucial enterprise communication tool necessary for the daily operations and for the safety and security of the employees of the City of Ann Arbor;
Whereas, the upgraded VOIP system will provide the City with a state-of-the-art phone system that will facilitate compliance with the new E911 requirements;
Whereas, Funding for the Mitel System Upgrade is budgeted for in the amount of $100,000.00 in the approved FY20 Information Technology Fund budget;
Whereas, $59,697.00 is being requested from the FY20 Information Technology Fund Balance;
Whereas, CBTS complies with the requirements of the City’s Non-Discrimination and Living Wage ordinances; and
Whereas, The City Administrator recommends that the City Council waive competitive bidding requirements for this purchase as CBTS is a best source for servicing the City’s Mitel equipment as it has detailed knowledge of the Mitel system and City configuration that will reduce the overall hours needed to perform the upgrade and implementation;
RESOLVED, That, upon the City Administrator’s recommendation, the City Council authorizes the purchase described herein without competitive bidding as it is a best source for the services;
RESOLVED, That City Council approve a purchase order with CBTS for upgrade of the City’s Mitel VOIP Phone System in the amount of $159,696.72 in accordance with the attached quote;
RESOLVED, That the City Council appropriate $59,697.00 from the FY20 Information Technology Fund fund Balance to the FY20 Information Technology Fund budget to fund this purchase; and
RESOLVED, That the City Administrator be authorized to take all necessary actions to implement this resolution, including changes that do not exceed the authorized expenditure amounts.