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Information Technology <br />www.santa-ana.org/IT <br />Item # 18 <br />City of Santa Ana <br />20 Civic Center Plaza, Santa Ana, CA 92701 <br />Staff Report <br />January 20, 2026 <br />TOPIC: Volume Licensing and Maintenance for Microsoft Software and Products <br />AGENDA TITLE <br />Agreement with Insight Public Sector, Inc. for Volume Licensing and Maintenance for <br />Microsoft Software and Products (Specification No. 26-005) (Non -General Fund) <br />RECOMMENDED ACTION <br />Authorize the City Manager to execute an agreement with Insight Public Sector, Inc. to <br />provide volume licensing and maintenance for Microsoft software and products in an <br />amount not to exceed $2,900,000, for a term beginning February 1, 2026 and expiring <br />January 31, 2029. (Agreement No. A-2026-XXX) <br />GOVERNMENT CODE §84308 APPLIES: Yes <br />DISCUSSION <br />The City of Santa Ana (City) licenses many products from Microsoft Corporation. The <br />City's core software infrastructure is based on Microsoft's desktop, server, collaboration, <br />and development products. The Microsoft Enterprise Agreement positions the City to <br />continue to acquire product licenses, subscriptions, and software assurance at a volume <br />discount. <br />The risk from the liability of using unlicensed Microsoft products could be monetarily <br />very large. Purchasing a Microsoft enterprise volume license for the entire organization <br />is a cost-effective means for managing Microsoft software as a resource and greatly <br />simplifies licensing by requiring a single transaction to acquire licenses for the City. In <br />addition, the enterprise volume license allows the City to obtain software assurance <br />which will provide the City with the legal right to continue to receive the current version <br />of some Microsoft products used by the City, including our Windows Servers and SQL <br />Server databases. <br />The City is planning to migrate to Microsoft 365 starting in 2026. Microsoft 365 is a <br />cloud -powered subscription service providing access to Microsoft's popular productivity <br />apps (Word, Excel, PowerPoint, Outlook) plus cloud services like OneDrive storage, <br />Teams collaboration, and advanced security features, available across devices (PC, <br />Mac, mobile) with continuous updates and optional Al integration (Copilot). <br />