CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Cooperative Purchase 22-232, HP Enterprise Support, to Hewlett Packard Enterprise Company for an amount not to exceed $143,425.06
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DEPARTMENT: Electric Utility
SUBMITTED BY: Brian Groth, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
As part of the Smart Grid Initiative, the Electric Utility (Utility) purchased Hewlett Packard (HP) equipment in the form of servers, computers, and storage. In order to ensure continued high availability operation, the Utility maintains maintenance agreements with all vendors for Smart Grid assets.
An HP maintenance agreement is required to support the servers and storage systems implemented at both the Electric Service Center and Municipal Center in support of the Smart Grid Initiative. A total of 17 physical servers and two storage area network (SAN) storage arrays are included in the agreement. The agreement covers replacement of any defective physical component as well as software and firmware upgrades.
DISCUSSION:
In 2022, Hewlett Packard Enterprise (HPE) added additional functionality to gain access to automated AI-based insights, self-service, and self-help capabilities with direct real-time analytics about our implementation. This provides additional troubleshooting tools and insights into our systems to help minimize downtime and outages as well as better forecast storage growth/needs. HPE techs will provide additional support options to help troubleshoot and provide guidance on usage, configuration, and capacity management to help the Utility team resolve issues quicker minimizing downtime and help proactively identify smaller issues before they compound into larger outages.
Staff has identified an approved cooperative contract, Midwestern Higher Education Compact Cooperative Contract MHEC-12152020 through Hewlett Packard Enterprise (HPE), for the procurement of the support services. Due to periodic additions, deprecations, and upgrades to the HPE equipment on the network, the Utility selected a one-year term to renew support.
The term for support services will be from September 19, 2022 through September 18, 2023.
FISCAL IMPACT:
CIP#:
HP Enterprise Support is expensed to the Software and Hardware Maintenance account listed below. The 2022 budget includes $117,075 for HP Enterprise Support, which is $27,952.89 less than the requested award. The cost of this contract increases 29% over the prior year due to the added functionality noted above and the addition of support for servers which rolled off from the initial 5-year purchase. Regardless, the requested award can be accommodated within the Electric Utility budget in 2022.
|
Account Number |
Fund Description |
Total Budget Amount |
|
40331300-531312 |
Electric Utility |
$1,387,373 |