CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Change Order #2 to Contract 14-098, Harris Radio System Maintenance Agreement, to L3Harris Corporation for an amount not to exceed $2,117,943.69 and a total award of $5,484,140.22 and for an additional four-year term
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DEPARTMENT: Police Department
SUBMITTED BY: Robert W. Marshall, Chief
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
In 2008, the City of Aurora received a Public Safety Interoperable Communications Grant (PSIC) from the Federal government to allow the Cities of Naperville and Aurora to improve communication capabilities for first responders to better serve our communities. The City of Naperville installed and accepted the Harris Open Sky radio system in partnership with the City of Aurora in November 2010. The interoperable voice/data radio system provides state of the art public safety communications on a federal, state and regional basis. The Open Sky radio system is proprietary hardware and software, which must be maintained by the Harris Corporation. The partnership with Aurora allows the two cities to share the infrastructure enabling cost sharing and reduced redundancy.
The installation included a warranty and maintenance contract for a three-year period from November 17, 2010 through November 2013. The maintenance contract included 24/7/365 monitoring and dispatching by Harris Corporation and covered the radio infrastructure, consoles, mobiles, portables, repeater stations, software, microwave equipment and other miscellaneous equipment.
In October 2013, City Council approved the award of 14-098 to extend the warranty and maintenance of the Harris Open Sky radio system an additional six (6) years to April 30, 2019.
In August 2016, City Council approved Change Order #1 to Contract 14-098 to extend the contract an additional two (2) years from May 1, 2019 through April 30, 2021.
In June 2019, City Council awarded Contract 19-111 to L3Harris Corporation for the upgrade of the Harris Radio System to ensure that this mission critical network continues to effectively and efficiently serve first responders while enabling Naperville to make progress toward becoming P25 (interworking standard) compliant. This upgrade resulted in reduced annual maintenance costs for the two years from May 1, 2019 to April 30, 2021 because it is more cost-effective for the vendor to support a more modern platform.
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DISCUSSION:
The Harris Open Sky radio system has hardware and software components that are supported with a 24/7/365 maintenance agreement. This level of maintenance is needed to ensure the operation of the equipment for an emergency radio system that is utilized by police, fire and other city departments.
• A maintenance contract on the hardware and software of the Harris Radio system is mandatory and ensures the ongoing operation of this system.
• The maintenance contract includes 24/7/365 monitoring and dispatching by Harris Corporation and covered radio infrastructure, software, consoles, mobiles, portables, repeater stations, microwave equipment and other miscellaneous equipment. The current maintenance agreement ends on April 30, 2021.
• The Harris Radio system has served Aurora and Naperville well and L3Harris continues to be strong partner to the Cities.
• The Harris system upgrade in 2020 ensures that this mission critical system continues to effectively serve the City for years to come.
Naperville and Aurora negotiated and secured a number of substantial discounts and cost savings from L3Harris by extending the maintenance agreement until April 30, 2025:
• The annual maintenance cost for the next four years is substantially discounted contingent upon the City’s approval of the hardware and software maintenance extension.
• The City of Aurora has already extended their contract four more years, realizing significant savings.
The table below provides a summary of the cost per the current agreement and the savings the City will receive by extending the maintenance contract for four more years.
|
Service Year |
Start Date |
End Date |
Cost per current contract |
Rate if choose Yearly renewal |
Rate if choose 4-year renewal commitment |
|
Year 10 |
05/01/2019 |
04/30/2020 |
$435,674.03 |
N/A |
N/A |
|
Year 11 |
05/01/2020 |
04/30/2021 |
$481,599.97 |
N/A |
N/A |
|
Year 12 |
05/01/2021 |
04/30/2022 |
N/A |
$536,001.26 |
$494,541.24 |
|
Year 13 |
05/01/2022 |
04/30/2023 |
N/A |
$588,281.20 |
$526,281.29 |
|
Year 14 |
05/01/2023 |
04/30/2024 |
N/A |
$602,989.73 |
$540,989.73 |
|
Year 15 |
05/01/2024 |
4/30/2025 |
N/A |
$618,139.43 |
$556,131.43 |
The below table provides a detailed history of the Harris Radio System Maintenance Agreements
|
Amount |
Description |
|
$2,235,052.27 |
Original Harris Maintenance Agenda Item through 2019 |
|
$1,224,684.24 |
Change order #1 through 4/30/21 |
|
$3,459,736.51 |
Revised Contract Amount after Change Order #1 |
|
|
|
|
|
|
|
$(63,002.81) |
Amendment from Harris Upgrade 2020 maintenance savings |
|
$(30,537.17) |
Amendment from Harris Upgrade 2021 maintenance savings |
|
$3,366,196.53 |
Revised Contract Amount after Harris Upgrade Amendment |
|
|
|
|
|
|
|
$2,117,943.69 |
Change order #2 through 4/30/25 |
|
|
|
|
$5,484,140.22 |
New Revised Contract Amount after Change Order #2 |
|
|
|
FISCAL IMPACT:
CIP #: N/A
The maintenance cost for the citywide radio contract is expensed to the equipment maintenance accounts listed below. A total of $435,600 is budgeted in 2020 for this expense. Annual maintenance cost will be budgeted in future years based on the referenced schedule.
|
Account Number |
Fund Description |
Total Budget Amount |
|
21241100-531303 |
General Fund |
$556,724 |
|
21241300-531303 |
Electric Utility Fund |
$90,204 |
|
21241500-531303 |
Water Utility Fund |
$43,449 |