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HomeMy WebLinkAbout25F - AGMT TELEPHONE SYSTEMREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 6, 2017 TITLE SECOND AMENDMENT TO AGREEMENT WITH NEC CORPORATION OF AMERICA, INC. FOR TELEPHONE SYSTEM MAINTENANCE (STRATEGIC PLAN NO. 712D) CINIANAGEPQ RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 151 Reading ❑ Ordinance on 2n° Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Authorize the City Manager and the Clerk of the City Council to execute a second amendment with NEC Corporation of America, Inc. to provide maintenance and support services for the City's telephone system for a one-year extension, beginning July 1, 2017 through June 30, 2018, in an amount not to exceed $184.235, subiect to non -substantive chances aDDroved by the Citv Manager and City Attorney. DISCUSSION The City uses an NEC telephone system to allow voice and facsimile communication with the public and City staff. The system consists of a network of 15 telecommunication systems that support every Department in the City. These systems are located at City Hall, Police Department headquarters, Police sub -stations and Jail, City Yard, Work Center, Parks and Recreation centers, and the Santa Ana Zoo. The systems are linked internally through the main City Hall telephone system and include over 2,000 telephones and approximately 2,220 voice, fax and modem extensions. In order to ensure the proper functioning of this extensive system, the City contracts for maintenance services. Some of these services include: providing an on-site dedicated service technician to perform repairs, moves, additions and changes; 24-hour system monitoring and service response; replacement of defective telephone system equipment; providing engineering support; and providing new telephone equipment. 25F-1 Second Amendment to Agreement for Telephone System Maintenance June 6, 2017 Page 2 In June of 2011, the City Council approved an agreement with NEC Corporation of America, Inc. to provide telephone maintenance, repairs and installation of replacement systems and services for City Hall and all off-site locations. The term of this agreement and its renewals will expire on June 30, 2017. During the term of this agreement, the Information Technology Department will be issuing an RFI to select a new VOIP phone system. Depending on the implementation timeline of the new system, the support needs of the existing system will be determined and, if necessary, a RFP will be issued for continued support. NEC Corporation of America, Inc. has provided excellent maintenance and service during the term of its agreement with the City. Staff recommends extending the current agreement for a one-year period beginning July 1, 2017, to ensure continued operation of the City's telephone system. This will be the second amendment to the agreement. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #7 — Team Santa Ana, Objective #2 (establish communications plans to engage and inform employees and the community about City Activities), Strategy D (Invest in software/resources that will help streamline the flow of information to City staff and the public). FISCAL IMPACT Funds are budgeted and are available in the FY17-18 Information Technology Network and Telecommunications account for contractual services (account no. 10920140-62300). APPROVED AS TO FUNDS AND ACCOUNTS: (i -/w Ja c Ciulla Francisco Gutierrez M C of Technology Innovations Officer Executive Director Information Technology Department Finance & Management Services Agency EXHIBIT: 1. Second Amendment to Agreement 25F-2 Exhibit 1 SECOND AMENDMENT TO AGREEMENT WITH NEC CORPORATION OF AMERICA, INC. THIS SECOND AMENDMENT to the above -referenced agreement is entered into on June 6, 2017, by and between NEC Corporation of America, Inc. ("Vendor"), 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 ("City"). RECITALS A. The parties entered into Agreement #A-2011-164, effective July 1, 2011 ("Agreement"), by which Vendor agreed to provide telephone system maintenance and equipment for the City's telecommunications systems. The term of the Agreement was for three years, from July 1, 2011 through June 30, 2014, with three additional one-year options exercisable by the City. B. The parties executed a First Amendment #A-2014-162 to exercise the first option and extend the term of the Agreement for an additional one-year period, from July 1, 2014 through June 30, 2015. C. The parties executed an Exercise of Second Option #A-2011-164-01, to extend the term of the Agreement for a second additional one-year period through June 30, 2016. D. By letter #A-2011-164-02, dated June 1, 2016, the parties extended the term of the Agreement for a final one year period through June 30, 2017. E. The parties now wish to further extend the term of the Agreement, amend the scope of services and to increase the amount to be expended under the Agreement. The Parties therefore agree: 1. Section 1, Scope of Services, is amended such that the City reserves the right to unilaterally reduce or eliminate services, including but not limited to, the level of technician coverage. The reduction or elimination of services shall result in a_proportionate reduction of the _ payment to the Vendor. 2. Section 2, Term, is amended to extend the Agreement for an additional one-year period beginning July 1, 2017, and ending June 30, 2018. 3. Section 3, Compensation, is amended to include an additional $184,235 for services to be performed by the Vendor. The rates and charges are identified in Exhibit A and incorporated by reference to this Agreement. 4. Except as modified by this Second Amendment, and all prior Amendments and extensions, all terms and conditions of the Agreement shall remain in full force and effect. Page 1 of 2 25F-3 IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment to the Agreement on the date and year first written above. ATTEST MARIA D. HUIZAR Clerk of the Council APPROVED AS TO FORM SONIA R. CARVALHO City Attorney 11 1 By: JOUN M. FUNIC Assistant City Attorney RECOMMENDED FOR APPROVAL JACK CIULLA Chief Technology Innovations Officer CITY OF SANTA ANA NEC CORPORATION OF AMERICA, INC. Name: Title: Page 2 of 2 25F-4