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COMPUTER SYSTEM REPLACEMENT PROGRAM
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DEPARTMENT: INFORMATION TECHNOLOGY
PRESENTED BY: STEVE ELY, DIRECTOR
CONTACT INFORMATION: STEVE ELY, DIRECTOR (714) 754-4891
RECOMMENDATION:
recommendation
Staff recommends the City Council:
1. Authorize the use of the National Association of State Procurement Officials (NASPO) ValuePoint Cooperative Master Program Agreement with Dell Technologies.
2. Approve the purchase of 150 computer systems to replace existing end-of-life computers.
3. Authorize the Interim City Manager, or designee, to execute a purchase order with Dell Technologies in the amount of $220,349.
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BACKGROUND:
On June 4, 2019, City Council approved the Computer System Replacement Program. The Information Technology (IT) Department replaced 760 obsolete computer systems over three phases with the project being completed in 2022. The warranty for these computers expired in 2024. The obsolete devices are prone to issues and causes IT Staff to have to troubleshoot and/or make repairs as much as they can. In addition to dedicating time for repairs, some replacement parts are no longer produced or prove costly after five (5) years.
Computer systems are the most utilized pieces of equipment in the City, and replacing them with new, updated devices will allow employees to be more efficient in their daily duties and provide the assurance that data will not be lost due to aging equipment. In addition, the City has extended the manufacturer’s warranty from three (3) years to five (5) years to ensure the systems perform over their expected lifespan of five (5) years.
ANALYSIS:
The City’s existing computer systems are outdated and need to be replaced based on a 5-year replacement schedule. Repairing the devices is not dependable as parts may be discontinued, obsolete, or too costly to purchase. Technology changes rapidly, and the old devices will stop being supported by the latest operating systems, applications, and the manufacturer. City staff rely heavily on their computers for their daily duties and slow computers will affect their efficiency. New software or upgrades to current software may not be compatible with end-of-life computers and could pose a cybersecurity threat.
New computer systems will allow the City to keep pace with rapidly changing technologies, which will enhance efficiency, cybersecurity, productivity, and collaboration for staff.
IT staff recommend purchasing replacement computer systems from Dell Technologies. Staff intend to purchase the equipment from Dell Technologies through existing cooperative bids as permitted by Section 2-165(b)(5) of the Costa Mesa Municipal Code. Purchasing the equipment through the State’s Participating Addendum meets all requirements set forth in the City of Costa Mesa’s Purchasing Policy and ordinance and all requirements set forth by the State of California in regard to regional, state, and national cooperative purchasing agreements.
Dell Technologies utilizes the State of California’s Participating Addendum (# 7-23-70-55-001) to the National Association of State Procurement Officials (NASPO) ValuePoint Cooperative Purchasing Program Master Agreement# 23026. NASPO has established an approved vendor list following a nationwide competitive bid process.
This process ensures the City receives the lowest available pricing and meets the competitive bid process requirements. The IT Department is proposing Dell equipment due to staff’s experience when dealing with computer system equipment issues and their prompt and quality customer service.
ALTERNATIVES:
City Council could choose not to approve this program; however, this is not recommended as the aging devices will cause a loss of productivity and increase the City’s cost to maintain them.
FISCAL REVIEW:
Funding for the Computer System Replacement Program is available in the Fiscal Year 2025-26 Adopted Budget in the IT Replacement Fund (Fund 603).
LEGAL REVIEW:
The City Attorney’s Office has reviewed this agenda report and approved it as to form.
CITY COUNCIL GOALS AND PRIORITIES:
This item supports City Council Goals and Core Values:
• Maintain and Enhance the City’s Infrastructure, Facilities, and Equipment.
• Support Innovation, Collaboration, & Sustainability.
CONCLUSION:
Staff recommends the City Council:
1. Authorize the use of the National Association of State Procurement Officials (NASPO) ValuePoint Cooperative Master Program Agreement with Dell Technologies.
2. Approve the purchase of 150 computer systems to replace existing end-of-life computers.
3. Authorize the Interim City Manager, or designee, to execute a purchase order with Dell Technologies in the amount of $220,349.