25E - AGMT - INTERNET ACCESS SRVS

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Internet Access Services August 20, 2012 Page 2 The City's dependence on Internet service continues to grow with time. There are more visitors to the City web site, additional software applications that rely on Internet access, higher volume of Internet email, and the growing use of information gathering via the Internet. As part of the first amendment to this agreement, the service capacity had to be increased by over 100 percent. It is hard to conceive of City business operations being able to continue without Internet access. In addition, the technical complexities of connecting to the City computing infrastructure to the Internet are very challenging, time consuming and costly. As part of the City technical staff's discussions with Cogent Communications, Inc. on exercising a second optional renewal, Cogent has offered the City an 11 % reduction in charges for a term of three years. Given the essential nature of Internet Service to the City and the potential for cost savings, the City staff recommends the approval of an amendment to the agreement with Cogent Communications, Inc. with discounted monthly costs for a term of three years. All other terms and conditions, including the ability of the City to exit the agreement for any reason with 30 days notice, would remain. FISCAL IMPACT Funds are budgeted and are available in the FY11-12 Technology Fund account for contractual services (account no. 10910147-62300). APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director Finance & Management Services Agency 25E-2