HomeMy WebLinkAboutItem FAGENDA REPORT
DATE: October 8, 2001 P
TO: Honorable Mayor and City Council
THRU: John B. Bahorski, City Manager
FROM: Pamela Arends -King, Director of Administrative Services/Treasurer
SUBJECT: Award Professional Services Agreement for Information
Technology Infrastructdre and Consulting Services
SUMMARY OF REOUEST:
Staff requests City Council award the professional services contract for information
technology and consulting services agreement for one year to MTSI Inc. and authorize
City Manager to execute agreement pending City Attorney review.
The City's reliance on computers and an integrated computer network has increased
significantly over the past three years. Due to the additional demands, the stability of the
system is crucial. Because of budget constraints, the current network system was setup to
fulfill minimal needs rather than long -range use. Unfortunately the City's network needs
have expanded and its limited capabilities have impacted the day -to -day operations of the
City. Common problems staff has with the network is the loss of e-mail, limited space,
applications working one day but not the next and network printers not working
consistently. Another area of concern is the actual security of the network system.
Currently the network is very vulnerable and has no security measures. Staff has
communicated their frustrations with the network and just want it to work so they can
complete their duties. It has been determined the City needs to work with an information
technology infrastructure and consulting firm with staff educated in information systems
and certified through the various vendors the City will use such as Microsoft and Cisco.
MTSI Inc.'s headquarters are located in Diamond Bar, California and they have another
office in Georgia and two offices in India. Their staff is educated in information systems
and is certified with the various vendors the City uses. The firm provided the City with
several references who were contacted and were very pleased with the services they
received and are currently receiving. MTSI Inc. is currently providing services for the
City of Diamond Bar so they are familiar with the particular needs of municipalities.
The attached service agreement describes the services MTSI Inc. will provide. The
services the firm will provide are assisting in the installation and configuration of new
Agenda Item
c October 8, 2001
Information Technology Professional Service Agreement
and existing network equipment, acquired by the City; evaluate network infrastructure
and make recommendations towards improving the current systems; assisting in the
information systems connectivity for the City and its 5 remote locations. It will also assist
in upgrading and fine- tuning the existing network infrastructure; assist in maintaining the
stability and reliability of the computer network; provide assistance for new and existing
software installations and upgrades for the existing computer systems. Other services
include providing PC software technical support for existing and new users; trouble shoot
PC and network servers; participate in management review meetings for the City's
computer systems; and evaluate Internet Services and make recommendations for in-
house web hosting and e-mail.
FISCAL IMPACT:
MTSI Inc. provided the City with two options of service. (See attached service
agreement) Option A provides the City 24 hours of onsite service a week for $8,000 a
month with additional days/hours purchased at $90 an hour. Option B provides the City
24 hours of onsite service and 16 hours per week offsite service for $10,000 a month.
Emergency services for weekends or holidays will be purchased at $125 per hour with a
minimum of 4 hours.
Staff has determined Option A should meet the City's needs. Total cost for the annual
contract is $96,000. This annual charge equates to an hourly fee of $77 which is very
reasonable considering the average hourly rate for staff with information systems
education and vendor certifications runs from $115 to $125 per hour. The City budgeted
$75,000 for annual information technology maintenance. This figure was based on what
the City was paying the IT consultant at the time for approximately 15 -20 hours per
week. The City was charged $75 per hour extra for services MTSI Inc. will be including
in it's contract services such as upgrading existing network infrastructure, installation of
new software and software upgrades. The average annual cost to the City for IT
consulting services for the past two years was $103,000. By using MTSI Inc., the City
will be saving about $7,000 a year.
Total increase in the General Fund's budget for MTSI Inc.'s services is $21,000 that will
be covered from undesignated fund balance. The current undesignated fund balance is
$3,292,000. With the increase in the budgeted expenditure, the undesignated fund
balance will be $3,271,000.
RECOMMENDATION:
Staff recommends Council award the professional service agreement for information
technology and consulting services for one year to MTSI Inc. and authorizes the City
Manager to execute the agreement pending City Attorney review.
a October 8, 2001
Information Technology Professional Service Agreement
Pamela Arends -King
Director of Administrative Services/Treasurer
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November 29, 2001
Managing Technology Solutions
International Inc.
Attention: Contracts Administrator
21700 East Copley Drive, Suite 187
Diamond Bar, California 91765
Forwarded for your records is a fully executed copy of the
IT Infrastructure and Consulting Services Agreement between
Managing Technology Solutions International, Inc. and the
City of Seal Beach. The Agreement was approved by the Seal
Beach City Council at their regular meeting of October 8`",
2001 pending review of the document by the City Attorney.
Very truly yours,
Joanne M. Yeo, City Clerk
City of Seal Beach
Encl.
t .
MT51
October 2nd, 2001
Mrs. Pamela Arends -King
Director of Administrative Services
City of Seal Beach
City Hall 211 Eighth Street
Seal Beach, California 90740
Dear Pam:
RE: IT Infrastructure and Consulting Services Agreement for Seal Beach.
MTSI will provide the City of Seal Beach with consulting services to maintain the
city's IT infrastructure commencing on Monday, October 15t', 2001
until November 15t, 2002.
It is our understanding that MTSI will assist the City of Seal Beach's IT
department as its System Administrator involved in the following responsibilities:
Assist in the installation and configuration of new and existing network
equipment, acquired by the City of Seal Beach i.e. routers, switches,
servers and workstations.
Evaluate network infrastructure and make recommendations towards
improving the current systems.
Will assist the information systems connectivity for the City of Seal Beach
and its 5 remote locations:
o Maintenance Yard at Police Station
• Maintenance Yard on Ocean and First St
• City Hall
• Police Station
• Lifeguard Station
• Assist in upgrading and fine- tuning the existing network infrastructure.
• Assist in maintaining the stability and reliability of the computer network.
• Provide assistance for new and existing software installations and
upgrades for the existing computer systems, (software to be provided by
the City of Seal Beach.)
21700 E. Copley Dr., Suite 187 • Diamond ear, CA 91765
Tel. 909.860.8271 • Fox 909.860.8364
wvnv.mhiinc.wm
• Provide PC software technical support for existing and new users.
• Trouble shoot PC and network server.
• By participating in Management review meetings for the city's computer
systems, MTSI will provide our professional input and make
recommendations on best practices, wherever applicable.
• Evaluate Internet Services and make recommendations for in -house web
hosting and email.
FEES:
Option A
Services will be based on a week day (Monday to Friday) engagement of a
maximum of 3 days per week or maximum of 24 hours per week, the monthly
billing will be $8,000.00. MTSI will invoice the city $4,000.00 on the 15" and last
day of the month. Invoice is payable within 15 days.
Additional days/hours may be purchased at $90.00 per hour with 72 hour
advance notice at a minimum of 4 hours billing for each week day (Monday to
Friday)
Option B
Services will be based on a week day engagement (Monday to Friday) of 5 days
per week with a maximum of 3 days or 24 hours per week onsite and 2 days or
16 hours per week offsite dedicated service with 4 hours on site response time.
The monthly billing will be $10,000.00 per month. MTSI will invoice the city
$5,000.00 on the 15° and last day of the month. Invoice is payable within 15
days.
Weekend / Holiday and Extended Coverage (after 12 hours on week days):
The fees for weekend, holiday or extended services (more than 12 hours on a
single week day) will be billed at a time and material rate of $125.00 per hour
(minimum of 4 hours). MTSI will respond to all service requests from the City of
Seal Beach within 4 hours.
Please Note:
All expenses are extra and MTSI will make every attempt to obtain the City of
Seal Beach's prior approval.
21700 E. Copley or., Suite 187 • Diamond Bar, CA 91765
Tel. 909.860.8271 • Fox 909.860.8364
w .mhiincxom
/1
MT51
MANAGING tEOWOLOGY
SOLIMI IN ftMONAL,M
Price Criteria:
The price will be based o the following criteria:
1. This is a joint pro' ct agreement between
Beach, the avail bility of key City of Seal E
entire project is equired. This core team's
remain until the nd of the project.
2. Timely availabili and access to buildings
development en 'ronment, such as hardw //////
3. City of Seal Beac and MTSI Inc both reye
change the consult nt staffing on the pr le
reasonable advance otice.
4. WARRANTY DISCLAI ERS
OR WARRANTIES REG E
HEREUNDER, INCLUDIN
REPRESENTATIONS OR Vu
FITNESS FOR A PARTICUL
5. DAMAGE LIMITATIONS. Ne
consequential or incidental d
liability to City of Seal Beach
services hereunder will be lir
compensation received by M
6. ENTIRE AGREEMENT. Th'
between the parties with re
Services and supersedes II
thereto.
Inc. and the City of Seal
staff, involved in the
:ioation and others shall
the technical and
, software, network etc.
e the right to review and
due to any reason, with
MTSI I c. MAKES NO REPRESENTATION
JG TH SERVICES TO BE PROVIDED
JT N T LIMITED TO
RRANTIES OF MERCHANTABILITY OR
4rty shall be liable for special,
ges, including loss of profits, and MTSI's
any of er damages relating to the
I to an a ount not to exceed the
Inc.
Agreement co titutes the entire agreement
pest to the IT in tructure Consulting
prior oral and writte agreements relating
7. TERMINATION. Either rty can terminate this agNement with 30 days
advance notice, prior to a termination date of the contract (i.e. 11/15/02).
The Parties hereby execute
Executed By: MTSI Inc.
Signature:
Name:
Title: Consultant Date:
Agreement as of the date set Vrth below:
Executed By: City of Seat Beach.
Signature:
Name: John Bahorski
Title: City Date:ootober S,
Manager 2001
21700 E. Copley Dr., Suk 187 a Diamond Bar, CA 91765
Tel. 909.860.8271 • Fax 909.860.8364
..mfsiinccom
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AGENDA REPORT p�
DATE: October 8, 2001 M
TO: Honorable Mayor and City Council
THRU: John B. Bahorski, City Manager
FROM: Pamela Arends -King, Director of Administrative Services/Treasurer
SUBJECT: Award Professional Services Agreement for Information
Technology Infrastructure and Consulting Services
SUMMARY OF REQUEST:
Staff requests City Council award the professional services contract for information
technology and consulting services agreement for one year to MTSI Inc. and authorize
City Manager to execute agreement pending City Attorney review.
BACKGROUND:
The City's reliance on computers and an integrated computer network has increased
significantly over the past three years. Due to the additional demands, the stability of the
system is crucial. Because of budget constraints, the current network system was setup to
fulfill minimal needs rather than long -range use. Unfortunately the City's network needs
have expanded and its limited capabilities have impacted the day -to -day operations of the
City. Common problems staff has with the network is the loss of e-mail, limited space,
applications working one day but not the. next and network printers not working
consistently. Another area of concern is the actual security of the network system.
Currently the network is very vulnerable and has no security measures. Staff has
communicated their frustrations with the network and just want it to work so they can
complete their duties. It has been determined the City needs to work with an information
technology infrastructure and consulting firm with staff educated in information systems
and certified through the various vendors the City will use such as Microsoft and Cisco.
MTSI Inc.'s headquarters are located in Diamond Bar, California and they have another
office in Georgia and two offices in India. Their staff is educated in information systems
and is certified with the various vendors the City uses. The firm provided the City with
several references who were contacted and were very pleased with the services they
received and me currently receiving. MTSI Inc. is currently providing services for the
City of Diamond Bar so they are familiar with the particular needs of municipalities.
The attached service agreement describes the services MTSI Inc. will provide. The
services the firm will provide are assisting in the installation and configuration of new
Agenda Item
� Y\
October 8, 2001
Information Technology Professional Service Agreement
and existing network equipment, acquired by the City; evaluate network infrastructure
and make recommendations towards improving the current systems; assisting in the
information systems connectivity for the City and its 5 remote locations. It will also assist
in upgrading and fine - tuning the existing network infrastructure; assist in maintaining the
stability and reliability of the computer network; provide assistance for new and existing
software installations and upgrades for the existing computer systems. Other services
include providing PC software technical support for existing and new users; trouble shoot
PC and network servers; participate in management review meetings for the City's
computer systems; and evaluate Internet Services and make recommendations for in-
house web hosting and e-mail.
FISCAL IMPACT:
MTSI Inc. provided the City with two options of service. (See attached service
agreement) Option A provides the City 24 hours of onsite service a week for $8,000 a
month with additional days/hours purchased at $90 an hour. Option B provides the City
24 hours of onsite service and 16 hours per week offsite service for $10,000 a month.
Emergency services for weekends or holidays will be purchased at $125 per hour with a
minimum of 4 hours.
Staff has determined Option A should meet the City's needs. Total cost for the annual
contract is $96,000. This annual charge equates to an hourly fee of $77 which is very
reasonable considering the average hourly rate for staff with information systems
education and vendor certifications runs from $115 to $125 per hour. The City budgeted
$75,000 for annual information technology maintenance. This figure was based on what
the City was paying the IT consultant at the time for approximately 15 -20 hours per
week. The City was charged $75 per hour extra for services MTSI Inc. will be including
in it's contract services such as upgrading existing network infrastructure, installation of
new software and software upgrades. The average annual cost to the City for IT
consulting services for the past two years was $103,000. By using MTSI htc., the City
will be saving about $7,000 a year.
Total increase in the General Fund's budget for MTSI Inc.'s services is $21,000 that will
be covered from undesignated fund balance. The current undesignated fund balance is
$3,292,000. With the increase in the budgeted expenditure, the undesignated fund
balance will be $3,271,000.
RECOMMENDATION:
Staff recommends Council award the professional service agreement for information
technology and consulting services for one year to MTSI Inc. and authorizes the City
Manager to execute the agreement pending City Attorney review.
• October 8, 2001
Information Technology Professional Service Agreement
'Adt64,14 -4-1�
Pamela Arends -King
Director of Administrative Services/Tmasurer