HomeMy WebLinkAbout2009-01-13; City Council; 19694; Microsoft Online Business Productivity SuiteCITY OF CARLSBAD - AGENDA BILL
AB#
MTG.
DEPT.
19,694
01/13/09
IT
APPROVING ENROLLMENTS
MICROSOFT'S ONLINE BUSINESS
PRODUCTIVITY SUITE AND THE
APPROPRIATION OF FUNDING
DEPT. HEAlJ (¥
CITY ATTY. ($&*
CITY MGR. V
RECOMMENDED ACTION:
Adopt Resolution No. 2009-012 approving the enrollment into Microsoft's Online Business
Productivity Suite and the appropriation of funding.
ITEM EXPLANATION:
Consistent with the citywide Information Technology Strategic Roadmap and Resolution No.
2007-276, the Information Technology (IT) Department is continuing to migrate to a more
standardized computing environment using Microsoft products and services. This overall effort
simplifies the computing services IT provides to internal and external customers and improves
overall user experience.
The next phase of this standardization effort includes the migration of the City's e-mail system
from Novell GroupWise to Microsoft Outlook and deploying additional Microsoft collaboration
tools, specifically SharePoint and Live Meeting (collectively "Application"). In order to determine
the best way to build and support this revised and expanded environment, the IT Department
issued a Request for Proposal to determine whether to "host" the Application internally or
whether the Application could be better provided by a third party.
Three potential scenarios were evaluated: (1) a "hosted solution" also known as "Software as a
Service" (SaaS), where the Application resides at a third party's data center and is managed by
the third party; (2) a "managed service" where the Application resides at the City's data center
and is managed by a third party; and (3) the Application resides at the City's data center and is
managed by City IT staff.
Staff performed a Best Value and a Total Cost of Ownership (TCO) analysis on each of the
three scenarios listed above; and the hosted solution (SaaS) was determined to provide the
greatest value at the lowest costs. See Table 1 below - Best Value and TCO Summary - MS
Collaboration Services: Hosted vs. Managed vs. In-House for more detail. The hosted solution
is a "pay as you go," subscription based pricing model. In addition to lower overall costs, the
hosted solution provides for large scale data center security and redundancy; 24/7 monitoring,
support and availability; access via the Internet from anywhere; simplified deployment; and
reduced reliance on City IT staff for support and maintenance. As such, the IT Department
recommends deployment of these Microsoft Application tools as a "hosted solution" provided
and managed by the Microsoft Corporation.
DEPARTMENT CONTACT: Gordon Peterson 760-602-2454 gpete@ci.carlsbad.ca.us
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION: APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
/D
D
D
D
CONTINUED TO DATE SPECIFIC
CONTINUED TO DATE UNKNOWN
RETURNED TO STAFF
OTHER -SEE MINUTES
D
D
D
D
Page 2
Table 1 - Best Value and TCO Summary - MS Collaboration Services: Hosted vs. Managed vs. In-House
Best Value Analysis (1 to 5, 5 being the highest)
MINIMUM CRITERIA
Cost
Accessibility
Security / Environment resilence
7/24 Monitoring and Response
Directory integration/SSO
Disaster Recovery
Scalability
IT Staff Workload
TOTAL SCORES
WEIGHT*
30
10
10
10
10
10
10
10
100
Microsoft Hosted
Score
5
5
5
5
3
5
5
5
Total
150
50
50
50
30
50
50
50
380
LANSolutions Managed
Score
4
3
3
3
5
3
3
3
Total
120
30
30
30
50
30
30
30
290
In-House Managed
Score
2
3
3
2
5
3
3
1
Total
60
30
30
20
50
30
30
10
220
TCO Summary
Total Cost for 4 years)$ 337,152 $ 395,728 $ 816,945
FISCAL IMPACT:
The total cost for the hosted solution is $227,000 and an additional appropriation for this
amount is being requested. This cost includes the conversion of our existing GroupWise e-mail
system to Microsoft Outlook ($65,000); end user training ($20,000); online use of these
Microsoft Application tools through November 1, 2010 when the City's Enterprise Agreement
with Microsoft, approved by City Council on October 16, 2007 expires ($121,000); and a project
contingency fund ($21,000). There are sufficient funds in the Information Technology Fund to
cover these expenses to the end of the Enterprise Agreement. After November 2010, the cost
of these online Applications will be approximately $72,000 annually and will be funded through
the Information Technology operating budget.
Gratuitous Services: The expense of migrating and the tools needed for the migration from the
City's existing GroupWise e-mail system to Microsoft Outlook would normally cost the City
$95,000; however Microsoft has agreed to donate $30,000 in services towards the cost of
migration. Therefore, the cost for migration has been reduced by this donation of services to
$65,000.
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, this
action does not constitute a "project" within the meaning of CEQA and therefore, does not
require an environmental review.
EXHIBITS:
1. Resolution No. 2009-012 approving the addition of the Online Services to the
Enterprise Agreement with Microsoft and the appropriation of funding.
2. Microsoft Consulting Services Work Order.
'»* \
1 RESOLUTION NO. 2009-012
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROVING ENROLLMENT IN
3 MICROSOFT'S ONLINE BUSINESS PRODUCTIVITY
4 SUITE AND THE APPROPRIATION OF FUNDING
5 WHEREAS, the Information Technology Department is continuing to migrate to a
6
more standardized computing environment using Microsoft products and services; and
7
WHEREAS, the next phase of this standardization effort includes the migration of8
9 the City's e-mail system to Microsoft Outlook and the deployment of additional Microsoft
10 collaboration tools; and
11 WHEREAS, a Request for Proposal was distributed to determine the best
12 manner in which to deploy, support and maintain said services; and
13
for Proposal, the City's selection team recommended a "hosted solution," that will be
WHEREAS, after careful review and evaluation of the responses to the Request
14
provided and managed by Microsoft Corporation; and
16
WHEREAS, Microsoft Corporation has agreed to donate $30,000 worth of
17
"gratuitous" services to the City to offset a portion of the costs related to the migration of
the City's GroupWise e-mail system to Microsoft Outlook; and
WHEREAS, sufficient funds are available in the Information Technology Fund for
21 this effort; and
22 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
23 Carlsbad, California, as follows:
24 1. That the above recitations are true and correct.
25
2. That enrollment in Microsoft Online Services under the City's Master
26
Enterprise Agreement is hereby approved and the Mayor is authorized to execute all
£* /
required documents on behalf of the City.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
3. That the City accepts the donation of services related to the Novell
GroupWise to Microsoft Outlook e-mail migration, valued at $30,000 from the Microsoft
Corporation, and the Mayor is authorized to sign the Microsoft Consulting Services
Work Order dated January 14, 2009
4. That the Finance Director is authorized to appropriate $227,000 in the
Information Technology Fund for this project.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council
of the City of Carlsbad on the 13tb day of January ,
2009, by the following vote to wit:
AYES: Council Members Lewis, Kulcbin, Hall, Packard and Blackburn.
NOES: None.
ABSENT: None.
ICLAUDE A LEWIS, Mayor
ATTEST:
LORRAINE: M. WOOD, City Clerk1
(SEAL)
Microsoft Consulting Services Work Order
(For Microsoft Internal Purposes Only)
MCS (WO Type 1 - lite)-
(Public Sector)
Work Order Number: 20081000
Project Code: 1-QENTAT
Client ID;
Client Type:
Vertical Industry:
Customer Purchase Order Number.
This work order is made pursuant to the Microsoft Master Services Agreement (the "agreement") effective as of
«rTo^\ua.rij ll{ otOC^ by and between the undersigned customer ("you") and the undersigned Microsoft affiliate
("we," "us, or our"). The terms of the agreement are incorporated herein by this reference. Any terms not
otherwise defined herein will assume the meanings set forth in the agreement. This work order is comprised of this
cover page and the work order terms below, which are incorporated herein by this reference.
Customer Invoice Information
Name of Customer
Street Address
City
Country
City of Carlsbad
1635 Faraday Ave
Carlsbad State/Province
CA
USA Postal Code
92008
A/P Contact Name (This person
receives invoices under this work order.)
Gordon Peterson
Contact Gpete@ci.carlsbad.ca.us
E-mail
Address
Phone (760) 602-2454
Fax (760) 602-8555
Invoicing
We will invoice you according to our fiscal monthly billing schedule for services performed and expenses incurred
during the previous period. Our invoices for payment will be directed to your representative for payment at the
address shown above. Customer must Select One:
X Customer requires Purchase Order for payment of invoice: Please indicate Purchase Order No. here
and send actual PO to Microsoft.
D Customer does not require Purchase Order for payment of invoice. Provide Accounts Payable Name and
Phone No.
Source to confirm Per Diem limits - hotel, rental car, meals, etc.
Contact Name:
Web site address:
Contact E-mail address:
(if applicable):
Contact phone No.:
(NorthAmerica)(SLG)WorkOrder1litev6.3(Apr04)Cover Page Work Order page 1 of 4
Period of Performance
Services under this work order will commence on the Effective date. This work order will expire on JuneSO, 2009.
In order for us to continue work after the expiration date, you and we must agree in writing to a new work order or
an amendment to this work order identifying the new expiration date and any other terms upon which you and we
agree.
Payments to Microsoft should be made to the following, include reference to our invoice number:
By Check: Microsoft Enterprise Services, P.O. Box 844510, Dallas, TX 75284-4510, or if by overnight
delivery, Microsoft Enterprise Services, Lockbox #844510,1401 Elm Street, Fifth Floor, Dallas, TX 75202
By Wire: Microsoft Enterprise Services #844510, Acct 3750825354/ ABA#0260-0959-3, Bank of America, N.A.
D Attachments required with Invoice (Status Reports/Time /Expense Breakouts, Other):
Place of Performance/Project Point of ContactfCustomer Satisfaction Contact)
Name of Customer City of Carlsbad Project leader (This person is your point of
contact for all service-related matters under
this work order.)
Bob Fries
Street Address Same as above, unless otherwise
agreed between parties.
1635 Faraday Ave
Contact
E-mail
Address
Bob Fries
Bob.Friestf Jci.carlsbad.ca.us
City Carlsbad State/Province
CA
Phone (760) 620-2789
Country Postal Code Fax (760) 602-8555
By signing below the parties acknowledge and agree to be bound to the terms of the agreement and this work order.
Narfie of Kustomer (please print)
o|0&flsbad/y
Name
Microsoft Corporation
Signature
Name of person signing (please print)
Claude A. Lewis
Name of person signing (please print)
David T. Gallagher
Title of person signing (please print)
Mayor
Title of person signing (please print)
Director of Contracts
Signature date
January 14, 2009
Effective date
01/02/09
(NorthAmerica)(SLG)WorkOrder1litev6.3(Apr04)Cover Page Work Order page 2 of 4
1. Services. We will perform the services identified below for you or as described in the Services
Statement of Work for the GroupWise to Exchange Mailbox Migration Project (SOW) attached hereto
and incorporated by reference. Any dates provided are estimates only. Most of the services will be
performed at the place of performance identified on the cover page or at such other facility as you
specify in writing. Some services may be performed off-site at our facilities. All off-site services will be
coordinated with your project leader for the services. Because we are performing the services under
your direction, based on an estimated period of performance and fees, we do not warrant that any
services deliverables will be completed or be satisfactory to you within the estimated period or fees.
2. Fees.
a. Billable: You will pay the following hourly rates and any reasonable out of pocket travel and living
expenses (if any) for the individuals assigned. We reserve the right to utilize whichever labor
categories in whatever quantities we determine, in our sole discretion, are appropriate to perform the
services. Any total fee and labor hours stated are estimates only. The fees do not include fees for
products. Unless otherwise specified in the invoice, you will pay us within 30 calendar days of the date
of our invoice.
Labor Category/Activity
(Insert Title of Project)
Resource
Architectural Consultant
Principal Consultant
General Manager
Practice Manager
Engagement Manager
Project Manager
Senior Consultant
Consultant
Associate Consultant
Technician V
Technician IV
Technician III
Technician II
Technician I
Technician
Associate Technician
Units
Units
0
0
0
0
5
0
35
0
0
0
0
0
0
0
0
0
40
Estimated Travel Cost To Not Exceed:
Estimated Total Cost:
Estimated Total To Not Exceed
0
Description
Description
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Hours
Total Estimated
Hours
Days
Rate
Hourly Rate
$286.00
$271.00
$271.00
$271.00
$256.00
$256.00
$256.00
$234.00
$214.00
$250.00
$232.00
$206.00
$180.00
$155.00
$129.00
$103.00
$
Proposed Cost
Proposed Price
$0.00
$0.00
$0.00
$0.00
$1,280.00
$0.00
$8,960.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$10,240.00
$1,600.00
$0.00
$
$11,840.00
b. Gratuitous Services: For the services listed herein above Microsoft has agreed to provide up to
105 additional hours of "gratuitous" services for which City of Carlsbad shall have no legal or moral
obligation to pay and for which Microsoft waives any entitlement to compensation. By providing
these gratuitous services Microsoft intent is to be in compliance with applicable laws and regulations
regarding the provision of gratuitous services. Specifically, it is understood that all services and
services deliverables(s) provided under the applicable work order are for the sole benefit and use of
the City of Carlsbad and its wholly owned subsidiaries and are not provided to or for the benefit of
any individual or other government employee. Microsoft reserves the right to utilize whichever labor
(NorthAmerica)(SLG)WorkOrder1litev6.3(Apr04)Terms and Conditions Work Order page 3 of 4
categories in whatever quantities we determine, in our sole discretion, that are appropriate to
perform the gratuitous services. Any total fee and labor hours stated herein are estimates only.
The following costs will be covered by Microsoft's Gratuitous Services:
Resource Hours
Program Manager 20
Senior Consultant - Exchange 85
Senior Consultant - Directory 0
Total Gratuitous Hours 105
3. Your responsibilities. In addition to your responsibilities described in Section 1, "Services", above,
you will, at your expense, provide us the following:
a. access to all necessary on-site facilities, including office space, telephones, analogue
modems or PPTP, computer equipment, internet access, and test and monitoring equipment;
b. access to and copies of relevant technical information;
c. access to and sufficient time with your technical, management, and other personnel as
necessary for us to perform the services; and
d. a project leader as your primary point of contact with us and to provide technical direction to
our personnel performing the services.
4. Cost or Pricing Data. We will not, under any circumstances, accept work that would require the
submission of cost or pricing data.
Terms and Conditions Work Order page 4 of 4
(NorthAmerica)(SLG)WorkOrder1 lit
ev6.3(Aprt>4)