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HomeMy WebLinkAboutRes2020-060 Sponsored OF SEWARD,ALASKA by: Meszaros RESOLUTION 2020-060 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A PURCHASE AGREEMENT WITH SHI FOR THE PURCHASE OF DELL SERVERS AND STORAGE SYSTEMS IN THE AMOUNT OF $74,388.36, AND APPROPRIATING FUNDS WHEREAS, the City's current datacenter consists of 21 servers which houses the City's data and software vital to the day to day operations of City staff; and WHEREAS, of these 21 servers, 17 will be out of warranty and past the industry standard useful life of five years by November, 2020; and WHEREAS, as these systems continue to age, the likelihood of failure increases, as does the potential for loss of productivity for City staff that rely upon these systems; and WHEREAS, many of these same servers are running operating systems that are no longer being supported by Microsoft; this poses an elevated security risk to the City network, data, and computer systems due to a lack of updated security patches from Microsoft; and WHEREAS, Seward City Code §6.10.120 (9) exempts from competitive procurement procedures,the purchase of electronic data processing software and hardware systems; and WHEREAS, the MIS department staff has spent time working with multiple vendors over the past year to evaluate systems that will help meet a number of goals that are not limited to the following: 1) Provide redundancy and increase recoverability of the City's data systems (reduce potential down time in the event of a failure); 2) Run the current workload in the datacenter while allowing for future expansion as workloads increase; 3) Utilize modern virtualization technology to fully utilize the hardware purchased; 4) Round-the-clock, continuous hardware support with high availability of replacement parts with fast shipping to Alaska; and WHEREAS, the MIS department has selected Dell as the hardware vendor for this project, and will work with SHI to purchase this hardware, and the appropriate hardware support, from Dell; and WHEREAS, this system will utilize the built-in functionality of the Microsoft Server operating system to allow MIS staff to virtualize the current workloads, and thus meet the goals of this project without the need for additional third-party software or support; and WHEREAS, this purchase will include five new servers and one new storage area network(SAN) device; and CITY OF SEWARD, ALASKA RESOLUTION 2020-060 WHEREAS, this will allow the MIS department to upgrade the datacenter, make all MIS systems up-to-date and fully supported, and confidently receive security patches to reduce security risks for the City's network and data systems. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. The City Manager is hereby authorized to enter into a purchase agreement with SHI for the purchase of Dell servers and storage devices, as attached herein. Section 2. The City Council finds that the public interest is served by authorizing a sole source purchase agreement with SHI for the purchase of servers and storage systems, and that this purchase meets the exemption from competitive procurement requirements in accordance with Seward City Code §6.10.120(9). Section 3. Funding in the amount of$74,388.36 is hereby appropriated from the Capital Acquisition Fund reserves account no. 80010-0000-3400 to capital equipment account no. 80010-1121-8103. Section 4. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 27th day of July, 2020. IT WARD, KA Christy Terry, ayor AYES: Osenga, Seese, Baclaan, Butts, Crites, McClure, Terry NOES: None ABSENT: None ABSTAIN: None ATTEST: renda J. Ball .M-•••••.. 0 City Clerk ; V •1?GO ���►•.� (City Seal) . _ • I SEAL = • � i ti•. F OF .P.••. Agenda Statement Meeting Date: July 27, 2020 To: City Council From: Scott Meszaros, City Manager F`, 1 . . 0 Agenda Item: A Resolution of the City Council of the City of Seward, Alaska, authorizing the City Manager to enter into a purchase agreement with SHI for the purchase of servers and storage systems in the amount of$74,388.36 BACKGROUND & JUSTIFICATION: The City's data center consists of twenty-one servers:four servers in the Police department, two in the Harbor, one in Public Works, one in the Electric department, one in the Library, and twelve in City Hall. Of those servers, seventeen will be out of warranty and past the industry standard useful life of five years by November of 2020. As these systems continue to age, the likelihood of their failure increases, as does the potential for loss of productivity for City staff that rely on these systems; and Many of these systems are also running operating systems that are no longer supported by Microsoft, and thus are no longer receiving vital security patches and software updates. This lack of support poses an increased security risk to the City network and data systems. The current datacenter configuration wherein each individual server is storing departmental data, and/or running a specific software package, lacks redundancy. If a server fails, the data and software on that server would potentially be unavailable until it can be restored from backups or replaced. Either option can take days or weeks depending on parts availability and shipping times. Over the past year, MIS department staff worked with multiple vendors to evaluate systems that will meet a number of goals, not limited to the following: 1) Provide redundancy and increase recoverability of the City's data systems(reduce potential down time in the event of a failure); 2) Run the current workload in the datacenter while allowing for future expansion as workloads increase; 3) Leverage modem virtualization technology to fully utilize the hardware purchased; 4) Round-the-clock, continuous hardware support with high availability of replacement parts and fast shipping to Alaska. 5) Increase the security of the City's data and systems. After reviewing systems from multiple vendors, the MIS department has selected Dell as the hardware vendor to replace the current systems in the City's datacenter. Dell has a great reputation for customer service in Alaska and is the hardware vendor of choice for many Alaskan entities in the public and private sector. We have worked with SHI to utilize the existing Sourcewell purchasing contract to ensure this purchase is under the $85,000 that was budgeted in the 2020 MIS budget. This purchase will include five new servers and one Storage Area Network (SAN) 62 device. Of these servers, three will be used to replace the current servers in City Hall, one will replace the servers in the Harbor office, and one will replace the server in the Electric department. The Community Library&Museum server is currently under warranty and can be replaced utilizing purchasing avenues available to them as a non-profit entity. The servers in the Police department will be replaced with the remaining existing servers from City Hall that are still under warranty and running operating systems supported by Microsoft. INTENT: To authorize the City Manager to enter into a purchase agreement with SHI for the purchase of five Dell servers and one Dell Unity Storage device in the amount of$74,388.34. Funds for this purchase will come from the Capital Acquisition Fund 80010-1121-8103. CONSISTENCY CHECKLIST: Yes No NA 1 Comprehensive Plan: X 2 Strategic PIan: X 3 Other: X FISCAL NOTE: Funding for this purchase will come from the Capital Acquisition Fund undesignated reserves account no. 80010-0000-3400 and expensed to the capital equipment account no. 80010-1121- 8103. Approved by Finance Department: ATTORNEY REVIEW: Yes No X RECOMMENDATION: 060 Recommend approval of Resolution 2020-_ , authorizing the City Manager to enter in purchase agreement with SHI for the purchase of five Dell servers and one Dell Unity Storage device in the amount of$74,388.34 63 Pricing Proposal Quotation#: 19043931 Created On: 6/19/2020 Valid Until: 7/19/2020 City of Seward Inside Account Executive Dustin Phillips Adam Ferrara AK 290 Davidson Avenue United States Somerset, NJ 08873 Phone:(907)224-4039 Phone:732-652-3097 Fax: Fax: 732-564-3099 Email: dphillips@cityofseward.net Email: Adam—Ferrara@shi.com All Prices are in US Dollar(USD) Product Qty Your Price Total 1 Dell PowerEdge R640 Server-3 Years Pro Support 3 $7,226.34 $21,679.02 EMC-Part#: 3000063520868.1 Contract Name: Sourcewell-Technology Catalog Solutions Contract#: 081419-SHI Coverage Term:6/19/2020—6/19/2023 2 EMC Support on Servers+Unity box-3 Years Pro Support 1 $41,678.00 $41,678.00 EMC-Part#:3000063540948.1 Contract Name: Sourcewell-Technology Catalog Solutions Contract#: 081419-SHI Coverage Term:6/19/2020—6/19/2023 3 Dell PowerEdge T440 Server-3 Years Pro Support 2 $5,515.67 $11,031.34 Dell-Part#: 3000063520867.1 Contract Name: Sourcewell-Technology Catalog Solutions Contract#: 081419-SHI Coverage Term:6/19/2020—6/19/2023 Subtotal $74,388.36 Shipping $0.00 *Tax $0.00 Total $74,388.36 *Tax is estimated. Invoice will include the full and final tax due. Additional Comments Hardware items on this quote may be updated to reflect changes due to industry wide constraints and fluctuations. Quotes may be updated to reflect changes due to industry wide constraints and fluctuations We are constantly striving to provide you with World Class Support! We'd love to hear about your quoting experience with this brief survey! The products offered under this proposal are resold in accordance with the terms and conditions of the Contract referenced under that applicable line item. 64