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Home My WebLink About25D - MICROSOFT SOFTWARE AND PRODUCTSREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JANUARY 4, 2011 TITLE: AMENDMENT TO AGREEMENT FOR VOLUME LICENSING FOR MICROSOFT SOFTWARE AND PRODUCTS THROUGH COMPUCOM, INC. r CIT MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ? As Recommended ? As Amended ? Ordinance on 1s` Reading ? Ordinance on 2nd Reading ? Implementing Resolution ? Set Public Hearing For_ CONTINUED TO FILE NUMBER Authorize the City Manager and Clerk of the Council to execute the attached amendment to the Enterprise Licensing Agreement with CompuCom, period in an annual amount of $432,000 subject Manager and City Attorney. DISCUSSION Inc., to extend the term for an additional three-year to non-substantive changes approved by the City Software license is a legal instrument which grants end-users the right to use and redistribute software without copyright infringement. As such, the City is required to obtain software licensing to comply with legal requirements by purchasing individual licenses or through an enterprise licensing agreement. Purchasing an enterprise license for the entire organization is a cost effective means for managing software as a resource and insuring the City's compliance with software use laws and agreements. City Council authorized such a volume licensing agreement in January 2008. Staff requests Council approval an agreement amendment to extend the term of Enterprise and Select Volume Licensing Agreements with Microsoft Licensing, GP for an additional three-year term. The City licenses a great many products from Microsoft Corporation which is by far the largest manufacturer of software used by the City. The Microsoft Enterprise Agreement, negotiated by the County of Riverside, has provided the City with a managed, all-inclusive solution to license Microsoft products. Acting as Microsoft's reseller for the agreement has been CompuCom, Inc. CompuCom was selected after the City conducted in 2008 a competitive process among five firms qualified to serve as the "Large Account Reseller" under the County of Riverside/ Microsoft agreement. Over the past three years, CompuCom has provided excellent service to the City and is again recommended to act as the "Large Account Reseller" on behalf of the City under the Microsoft volume license programs. By piggy-backing on the County of Riverside's Microsoft Enterprise Agreement, the City will receive substantial savings over either consumer pricing or the standard Microsoft government rates for other volume licensing programs. In addition, the agreement entities the City to premium services upgrades, patches, revisions and technical support during the 3-year term of the agreement. The City would also piggy-back on a State of California Select volume license agreement for the occasions 2501-1 when the City needs Microsoft products not available or in such small quantities not to be economical under the Microsoft Enterprise Agreement. CompuCom would also act as the City's Select "Large Account Reseller." FISCAL IMPACT Funds are available in the Information Services Technology Plan Other Contractual Services (1091014762300). The recommended action incorporates a 10% contingency if additional licenses are needed during the three-year term. APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director Finance & Management Services Agency 25D-2 25D-3 FIRST AMENDMENT TO LARGE ACCOUNT RESELLER AGREEMENT BETWEEN THE CITY OF SANTA ANA AND COMPUCOM SYSTEMS, INC THIS FIRST AMENDMENT, made and entered into this _ day of , 201_ by and between CompuCom Systems, Inc., a Delaware corporation (hereinafter "CompuCom"), and the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California (hereinafter "City"). RECITALS A. The City and CompuCom entered Agreement A-2008-013, dated January, 7th 2007, hereinafter referred to as "said Agreement", by which CompuCom has provided large account reseller (LAR) Microsoft Licensing services for the City's purchase of Microsoft products. B. The parties now desire to amend said Agreement to extend the term and to increase compensation to provide licensing fees during the extended term.. WHEREFORE, in consideration of the mutual and respective covenants and promises hereinafter contained and made, and subject to all of the terms and conditions of said Agreement as hereby amended, the parties agree as follows: 1. Section 2.a., COMPENSATION, shall be deleted in its entirety and replaced with the following: "a. City agrees to pay, and CompuCom agrees to accept as total payment for its services, the fees and charges for Microsoft licenses and related products purchased through CompuCom as Microsoft's LAR, as identified in Exhibit B-1, attached hereto and incorporated by reference. The total sum to be expended under this Agreement shall not exceed $432,000, annually, during the three year term of this Agreement. Section 3, TERM, shall be deleted in its entirety and replaced with the following: "This Agreement shall commence on January 7, 2008 and terminate on December 31, 2013, unless terminated earlier in accordance with said Agreement. The term of this Agreement may be extended upon a writing executed by the Executive Director of Finance and Management Services and the City Attorney." 3. Except as hereinabove modified, the terms and conditions of said Agreement and all Exhibits thereto, remain unchanged and in full force and effect. 25D-4 IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to Agreement the date and year first above written. ATTEST: MARIA D. HUIZAR Clerk of the Council CITY OF SANTA ANA DAVID N. REAM City Manager APPROVED AS TO FORM: Date JOSEPH W.FLETCHER City Attorney Laura Sheedy Assistant City Attorney COMPUCOM SYSTEMS, INC. (NAME) (Title) Date 25D-5 EXHIBIT B-1 COMPUCOM SYSTEMS, INC. Software quote And Microsoft EA - 3-year True Up Price Schedule Effective January 1, 2011 through December 31, 2013 25D-6 Com uCom - software uote Quoted by Sam Andrews CompuCom 3320 Data Drive Suite 100 Rancho Cordova CA 95670 Phone 818-988-2195 sam.andrews com ucom.com P/ease fax your POs to Client Assistance Center at 800-366-9994 You ma 7 . y call 800-400-9852 option 2 to check status on orders. f Quoted to: City of Santa Ana Tom Ger en ter en santa-ana.or Quote to renew expiring EA enrollment# Date 1211712010 4693512, January 2011 Important. Please provide the email address of the recipient desi nated to g receive a Com uCom "order confirmation" Quantity Part # Descrf tion Unit Price Ext. Price ente rise'' ?oducts Professional Desktop (SA) [this bundle includes Office Pro Plus, Windows 7 Enterprise upgrade and 2,000 A07-00042 Core CAL] $ 133.50 $ 267,000.00 2,000 359-00792 SQL CAL (SA) Device CAL $ 24.92 $ 49,840.00 additional roducts $ _ 2 395-02504 Exchange Server Enterprise SA $ 605.06 $ 1 210.12 3 312-02257 Exchange Server Standard SA $ 105.67 , $ 317.01 Forefront TMG Standard Edtn 1-Process6r (SA) 1 4WD-00286 - new name for ISA Server $ 195.80 $ 195.80 1 H04-00268 Sharepoint Server (SA) $ 735.82 $ 735.82 17 076-01912 Project (SA) $ 92.91 $ 1,579.47 54 228-04433 SQL Server Standard Server (SA) $ 136.71 $ 7 382.34 8 228-03148 SQL Server Standard 1-Processor (SA) $ 1,071.15 , $ 8 569.20 12 P72-00188 Windows Server Enterprise (SA) $ 352.09 , $ 4 225 08 140 P73-00226 Windows Server Standard (SA) $ 108.34 , . $ 15 167.60 20 P71-00886 Windows Server Datacenter 1-Processor (SA) $ 359.20 , $ 7,184.00 Windows Remote Desktop Services CAL (SA) 1,032 6VC-01253 Device CAL $ 12.65 $ 13,054.80 _ new Items'added at start of next FA term $ - Exchange Server Enterprise (StepUp) from Exch 1 395-03039 Svr Std $ 1,189.02 $ 1,189.02 Forefront TMG Standard Edtn 1-Processor 1 4WD-00285 (Lic/SA) $ 456.84 $ 456 84 10 228-04437 SQL Server Standard Server (Llc/SA) $ 312.69 . $ 3,126.90 Windows Server Enterprise (StepUp) from Win 1 P72-00815 Svr Std $ 568.76 $ 568.76 Windows Server Datacenter 1-Processor 14 P71-01541 Ste U) from Win Std Svr $ 585.30 $ 8 194 20 3 R39-00374 Windows Server External Connector (Lic/SA) $ 703.74 , . $ 2,111.22 NOTEM Please type "Electronic Software Delivery" on our PO Product-total $ 392,108.18 Sub-Total $ 392 108.18 8.75 Tax ESD - nontaxable , $ Shipping No Charge Total Y our ANNUAL EA renewal rice Jan 2011, 2012 and 2013 $ 392,108.18 Prices good for 30 days total of 3 years of payments =T $ 1,176,324.54 Pass-Through Warranty and Other Rights. As a reseller, end-user warranties and liabilities (with respect to any third party hardware and software products provided by CompuCom) shall be provided as a pass-through from the manufacturer of such products. All software products are subject to the license agreement of the applicable software supplier, as provided with the software packaging or in the software at time of shipment. Santa Ana -3YR EA (final) - 12-20-10 REV 25L-27 EXHIBIT B-1 12-20-10 25D-7 City of Santa Ana - 3 year price-protected True Up table For term 2/1/2011 to 1/31/2014 CompuCom Systems, Inc. Sam Andrews, sam.andrews@compucom.com, 818-988-2195 F. t1?V? ` t ,True U True U g r tl Party Desripion '`, ,^ r ;{ ?`Y + of ?? F' enterprise products A07-00041 Professional Desktop (Lic/SA) $678.42 $566.46 $454.50 359-00765 SQL CAL (Lic/SA) Device CAL $171.84 $145.44 $119.04 additional products 395-02412 312-02177 4WD-00285 H04-00232 076-01776 228-04437 228-03159 6VC-01251 P71-01031 P72-00165 R39-00374 P73-00203 Exchange Server Enterprise (Lic/SA) $4,251.90 $3,597.78 $2,943.66 Exchange Server Standard (Lic/SA) $742.68 $628.44 $514.20 Forefront TMG Standard Ed 1-Proc (Lic/SA) $1,375.80 $1,164.12 $952.44 Sharepoint Server (Lic/SA) $5,170.86 $4,375.38 $3,579.90 Project (Lic/SA) $597.54 $497.10 $396.66 SQL Server Standard Server (Lic/SA) $941.70 $796.86 $652.02 SQL Server Standard 1-Provessor (Lic/SA) $7,527.12 $6,369.12 $5,211.12 Windows Remote Desktop Svcs CAL (Lic/SA) Device $88.80 $75.12 $61.44 Windows Server Datacenter 1-Proc (Lic/SA) $2,524.08 $2,135.76 $1,747.44 Windows Server Enterprise (Lic/SA) $2,474.28 $2,093.64 $1,713.00 Windows Server External Connector (Lic/SA) $2,119.38 $1,793.34 $1,467.30 Windows Server Standard (Lic/SA) $761.40 $644.28 $527.16 Santa Ana -3YR EA (final) - 12-20-10 REV 25L-28 EXHIBIT B-1 12-20-10 25D-8