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Third Amendment to Agreement for <br />Telephone System Maintenance <br />June 5, 2018 <br />Page 2 <br />years. The new system will be integrated with the NEC telephone system so that both systems <br />can co -exist until all lines have moved completely off of the older system. <br />In order to ensure a safe migration and proper function of this extensive system, it is <br />recommended to contract for reduced maintenance services with NEC Corporation of America, <br />Inc. until final phase over and migration is complete. NEC telephone maintenance and services <br />include: on-site dedicated service technician to perform repairs, moves, additions and changes; <br />24-hour system monitoring and service response; replacement of defective telephone system <br />equipment; providing engineering support; and providing new telephone equipment <br />NEC Corporation of America, Inc. has provided excellent maintenance and service during the <br />term of its agreement with the City. Staff recommends extending the current agreement for a <br />one-year period beginning July 1, 2018, to ensure continued operation of the City's telephone <br />system. This will be the third amendment to the agreement. This new agreement reflects a <br />$46,250 annual reduction from the previous amount. <br />STRATEGIC PLAN ALIGNMENT <br />Approval of this item supports the City's efforts to meet Goal #7 — Team Santa Ana, Objective #2 <br />(establish communications plans to engage and inform employees and the community about City <br />Activities), Strategy D (Invest in software/resources that will help streamline the flow of <br />information to City staff and the public). <br />FISCAL IMPACT <br />Funds in the amount of $287,500 are budgeted and available in the FY18-19 Information <br />Technology Network and Telecommunications account for contractual services (account no. <br />10920140-62300). <br />Jackffiulla <br />Chie echnology Innovations Officer <br />Info ation Technology Department <br />Exhibit: 1. Third Amendment to Agreement <br />APPROVED AS TO FUNDS AND ACCOUNTS: <br />Francisco Gutierrez po <br />Executive Director <br />Finance and Management Services Agency <br />25H-2 <br />