CC SR 20171205 J - Microsoft Enterprise AgreementRANCHO PALOS VERDES CITY COUNCIL
AGENDA REPORT
AGENDA DESCRIPTION:
MEETING DATE: 12/05/2017
AGENDA HEADING: Consent Calendar
Consideration and possible action to approve an agreement for $102,256 with Crayon
Software Experts for a three-year Microsoft Enterprise Agreement (EA).
RECOMMENDED COUNCIL ACTION:
(1) Approve entering into the Microsoft Enterprise Agreement for the proper licensing
of the City's Microsoft software.
FISCAL IMPACT: $33,626 for the first year and $34,315 for years 2 and 3, for a total
cost of $102,256.
Amount Budgeted: $35,000 (Year 1 only)
Additional Appropriation: N/A
Account Number(s): 101-400-1470-5201 .°
ORIGINATED BY: Dan Landon, IT Manager'
REVIEWED BY: Gabriella Yap, Deputy City Manager.
APPROVED BY: Doug Willmore, City ManagerQ,� ��
ATTACHED SUPPORTING DOCUMENTS: ✓�'
A. Sample Microsoft Enterprise Agreement (page A-1)
BACKGROUND AND DISCUSSION:
Pursuant to the recommendation in a 2011 assessment of the Information Technology
(IT) department by Nexlevel Technology, the City Council authorized entering into an
agreement with Compucom (now known as SoftwareOne) for the licensing of Microsoft
software, known as a Microsoft Enterprise Agreement (EA). The Microsoft EA is a
three-year licensing agreement that first expired in December 2014, was renewed with
CompuCom, and is now due for renewal in December 2017.
The Microsoft EA allows for the use of all the City's Microsoft software to include
desktop and server operating systems, applications such as email (Exchange) and the
City's intranet (Share Point) as well as SQL databases for the City's line of business
applications, as well as the client access licenses (CAL's) required by Microsoft. In
addition to licensing, the EA provides several other benefits to the City such as
upgrades to more current versions at no cost known as Software Assurance, product
training, and support calls for Microsoft products.
1
Pending the expiration of the current EA, the City conducted a bidding process to insure
the lowest prices were being paid, and while the various proposals received were very
close in price, Crayon Software Experts (Crayon) was slightly lower. The City contacted
three (3) reference companies who all provided positive reviews, and is requesting City
Council authority to enter into a three-year agreement with Crayon as the low-cost
bidder.
The Microsoft EA is a license for the use of Microsoft products, not for professional
services. Microsoft will not allow any changes to the agreement, and requires a
Purchase Order prior to preparation of the final agreement which will be presented for
signature at a later date.
Additionally, while the proposals were based on the current quantity of licenses, each
year Microsoft requires that the City perform a "true -up" to account for additional
licenses that were put into use for new computers, servers or systems. These
additional licenses will make the actual cost of this agreement slightly more than the bid
cost, so any additional true -up cost will be included for City Council approval during the
annual budgeting process.
ALTERNATIVES:
In addition to the Staff recommendation, the following alternative actions are available
for the City Council's consideration:
1. Direct the City to rebid the Microsoft Enterprise Agreement.
2. Direct the City to explore other licensing options.
3. Take other action(s).
2
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tfji6en
Quote Date: 10.27.17 Customer
City of Rancho Palos Verdes
Attn: Dan Landon
Phone: 310-544-5311
Email:
RFO#
Quoted by:
Crayon Software Experts LLC
8111 LBJ Freeway, Suite 1000
Dallas, TX 75251
Charles Golden
Phone: 469-329-0293 Fax: 303-682-1506
Email: charles.eolden@crayon.com
Part Number
Description
Unit Quantity Qty
Monthly Net Unit Price
Annual Net Unit Price
F Extended Amount
Pricing and Usage Year 1
Enterprise Products - Licenses and Software Assurance
76A-00016
EntCAL ALNG SA MVL Pltfrm UsrCAL wSrvcs
120
$ 91.12
$
10,934.40
269-12442
OfficeProPlus ALNG SA MVL Pltfrm
120
$ 77.49
$
9,298.80
KV3-00353
WINE3perDVC ALNG SA MVL Pltfrm
120
$ 34.20
$
4,104.00
Additional Products - Licenses and Software Assurance
395-02504
ExchgSvrEnt ALNG SA MVL
1
$ 589.93
$
589.93
076-01912
Prjct ALNG SA MVL
6
$ 95.13
$
570.78
H04-00268
SharePointSvr ALNG SA MVL
1
$ 990.15
$
990.15
359-00961
SQLCAL ALNG SA MVL UsrCAL
75
$ 30.42
$
2,281.50
228-04433
SQLSvrStd ALNG SA MVL
4
$ 130.64
$
522.56
D86-01253
VisioStd ALNG SA MVL
4
$ 42.11
$
168.44
9EA-00278
WinSvrDCCore ALNG SA MVL 21-ic CoreLic
36
$ 112.13
$
4,036.68
9EM-00270
WinSvrSTDCore ALNG SA MVL 21-ic CoreLic
8
$ 16.04
$
128.32
Total Year 1 Payment
$
33,625.56
Part Number
Description
Unit Quantity Qty
Monthly Net Unit Price
Annual Net Unit Price
Extended Amount
Pricing and Usage Year 2
Enterprise Products - Licenses and Software Assurance
76A-00016
EntCAL ALNG SA MVL Pltfrm UsrCAL wSrvcs
120
$ 92.99
$
11,158.80
269-12442
OfficeProPlus ALNG SA MVL Pltfrm
120
$ 79.09
$
9,490.80
773-00353
WINE3perDVC ALNG SA MVL Pltfrm
120
$ 34.91
$
4,189.20
10011111111-
Additional Products - Licenses and Software Assurance
395-02504
ExchgSvrEnt ALNG SA MVL
1
$ 602.03
$
602.03
076-01912
Prjct ALNG SA MVL
6
$ 97.08
$
582.48
H04-00268
SharePointSvr ALNG SA MVL
1
$ 1,010.46
$
1,010.46
359-00961
SQLCAL ALNG SA MVL UsrCAL
75
$ 31.02
$
2,326.50
228-04433
SQLSvrStd ALNG SA MVL
4
$ 133.31
$
533.24
D86-01253
VisioStd ALNG SA MVL
4
$ 42.97
$
171.88
9EA-00278
WinSvrDCCore ALNG SA MVL 21-ic CoreLic
36
$ 114.42
$
4,119.12
9EM-00270WinSvrSTDCore
ALNG SA MVL 21-ic CoreLic
8
$ 16.35
$
130.80
Total Year 2 Payment
$
34,315.31
A-1
Part Number
Description Unit Quantity
Qty
Monthly Net Unit Price
Annual Net Unit Price
Extended Amount
Pricing and Usage Year 3
Enterprise Products - Licenses and Software Assurance
76A-00016
EntCAL ALNG SA MVL Pltfrm UsrCAL wSrvcs
120
$ 92.99
$
11,158.80
269-12442
OfficeProPlus ALNG SA MVL Pltfrm
120
$ 79.09
$
9,490.80
KV3-00353
WINE3perDVC ALNG SA MVL Pltfrm
120
$ 34.91
$
4,189.20
Additional Products - Licenses and Software Assurance
395-02504
ExchgSvrEnt ALNG SA MVL
1
$ 602.03
$
602.03
076-01912
Prjct ALNG SA MVL
6
$ 97.08
$
582.48
H04-00268
SharePointSvr ALNG SA MVL
1
$ 1,010.46
$
1,010.46
359-00961
SQLCAL ALNG SA MVL UsrCAL
75
$ 31.02
$
2,326.50
228-04433
SQLSvrStd ALNG SA MVL
4
$ 133.31
$
533.24
D86-01253
VisioStd ALNG SA MVL
4
$ 42.97
$
171.88
9EA-00278
WinSvrDCCore ALNG SA MVL 21-ic CoreLic
36
$ 114.42
$
4,119.12
9EM-00270
WinSvrSTDCore ALNG SA MVL 21-ic CoreLic
8
$ 16.35
$
130.80
Total Year 3 Payment
$
34,315.31
Total Deal Value Years 1-3
$
102,256.18
** Pricing Expires in 30 days from date of quote**
**All items included in this RFQ are new, unused, not refurbished, with original manufacturer warranty.**
Remit to Address:
Crayon Software Experts, LLC
Attn: Finance Manager
8111 LBJ Freeway, Suite 1000
Dallas, TX 75251
Phone: 469-329-0290
invoice.cus@crayon.com
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