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HomeMy WebLinkAbout25I - TELEPHONE MAINTENANCE REQUEST FOR COUNCIL ACTION ~ ~ 81TY COUNCIL MEETING DATE: MAY 17, 2004 TITLE: CLERK OF COUNCIL USE ONLY: AMENDMENT OF AGREEMENT NEC BUSINESS NETWORK SOLUTIONS, INC. WITH APPROVED 0 As Recommended 0 As Amended 0 Ordinance on 1" Reading 0 Ordinance on 2nd Reading 0 Implementing Resolution 0 Set Public Hearing For ~(2tr;)'(2~-- CITY MANAGER' CONTINUED TO FILE NUMBER RECOMMENDED ACTION Direct the City Attorney to prepare, and authorize the City Manager and Clerk of the Council to execute an amendment to the agreement with NEC Business Network Solutions, Inc. to exercise an option for the first one- year extension in an amount not to exceed $200,000 for telephone maintenance and additional related equipment. DISCUSSION _he City's extensive voice communications network system provides telephone service to City Hall and to all off-site locations. In June of 2001, the City Council approved a three-year agreement with NEC, with a provision for three 12-month renewals, to provide telephone maintenance, repairs and the installation of replacement systems and services for the City's private telecommunications system network. The term of this agreement commenced on June 26, 2001 and will expire on June 25, 2004. The City twice previously amended the agreement to change the scope of services and related compensation. This will be the third amendment to the agreement. The City's Telecommunications Services staff recommends that the City exercise its option under the original agreement to extend the term for a one-year period. Compensation under the agreement for service and maintenance will decrease approximately $26,000 from the past annual term due to the warranty coverage for upgraded telephone systems installed during this past year. Further, staff recommends that authorization be provided to acquire additional telephone equipment and related services for this vendor in an amount not to exceed $50,000. Requirements for such equipment regularly emerge in the course of normal City operations and, at times, under .critical circumstances. Since the City telephone system is standardized nd exclusively provided by this vendor under the terms of the existing 251-1 Amendment to Agreement with NEC Business Network Solutions, Inc. May 17, 2004 Page 2 competitive selected agreement, alternative brands and vendors are not an issue. FISCAL IMPACT Funds are budgeted and are available Services account for contractual services 2~1l. (út¡~ Roderick R. Coloma Executive Director Finance & Management Services Agency 251-2 in the FY 03-04 Communication (account no. 102-171-6291).