Item No: 5K.
Meeting Date: November
26, 2012
From: Mike
Thornton, Purchasing Manager for
Stan Carter,
Director of Information Technology
Subject: Resolutions
approving a three year agreement for Microsoft Volume Licensing of computer
software
Staff Recommendation:
Staff
recommends approval of the resolutions allowing the Mayor to sign Microsoft
Volume Licensing program forms and approval of the three year term for a total
of $318,449.10 paid in annual installments of $106,149.70 paid to SHI.
Analysis:
The
City of Leesburg uses various desktop and back office Microsoft computer
software products in the various day-to-day operations of the City. The City is required to own a software
license for each of the products used for each employee using that
product. This purchase is for those licenses
through Microsoft Volume or Enterprise License program. The City is purchasing the licenses through
SHI which is a Florida State Contract reseller of Microsoft products.
The
City will be purchasing licenses for the following Microsoft products in the
quantities listed:
|
Item
Description |
Quantity
of Licenses |
Annual
Cost per License |
Extended
Annual Cost |
|
Microsoft
Office Standard (Word, Excel, etc) |
400 |
$
109.00 |
$43,600.00 |
|
Windows
Upgrade 7 & 8 |
400 |
$
43.00 |
$17,200.00 |
|
Core
Client Access License (CAL) |
450 |
$
69.00 |
$31,050.00 |
|
Exchange
Server-Standard (e-mail) |
1 |
$
313.95 |
$
313.95 |
|
SharePoint
Server |
1 |
$2,325.75 |
$
2,325.75 |
|
SQL
Server Standard |
4 |
$1,642.00 |
$
6,568.00 |
|
Core
Infrastructure Server Site |
1 |
$2,892.00 |
$
2,892.00 |
|
Software
Assurance Open License Program |
1 |
$2,200.00 |
$
2,200.00 |
|
Total Annual Cost |
$106,149.70 |
||
The
initial term of this agreement is three years.
Following the initial term the City will have the option of extending
the agreement an additional three years.
It is during this additional three year term the City will realize
savings from the Microsoft Software Assurance Program. During the additional term the annual cost
will be reduced to $63,549.50 for the same licensed items previously
listed. The total three year cost on the second term will be $190,648.50. This decrease will result in an annual
savings of $42,600.20 and a total savings over three years of $127,800.60.
This
agenda item is an all or none. All three
attached resolutions must be approved or all three must not be approved. No one resolution can stand on its own for
this project.
SHI
is an authorized Microsoft reseller and an awarded vendor on the State of
Florida contract for IT software.
Options:
1 Approve each of the resolutions required for
the City to enter into this agreement with Microsoft
Corporation and SHI; or
2.
Such alternative action as the Commission may deem appropriate.
Fiscal Impact:
The
current budget includes this year’s annual payment, year two and three will be
included in subsequent budgets. The IT
division is 90% allocated to the Utilities so the General Fund will only pay
10% a year or $10,614.97.
Submission Date and Time: 11/21/2012 7:11 PM____
|
Department: _Information Technology___ Prepared
by: _Mike Thornton_______ Attachments: Yes____
No __X___ Advertised: ____Not Required ______ Dates: __________________________ Attorney
Review : Yes___ No ____
_________________________________ Revised 6/10/04 |
Reviewed by: Dept. Head ________ Finance Dept. __________________ Deputy
C.M. ___________________ Submitted
by: City Manager ___________________
|
Account
No. _001-1633-513-5210___ Project
No. ___________________ WF No.
______________________ Budget ______________________ Available
_____________________ |