CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Cooperative Procurement 26-271, Microsoft Enterprise Agreement, to CDW Government, LLC for an amount not to exceed $2,403,483.05 and for a three-year term
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DEPARTMENT: Information Technology
SUBMITTED BY: Jacqueline Nguyen, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The City of Naperville has used an Enterprise Agreement (EA) to license and manage Microsoft software since 2005. The EA is offered through Microsoft and administered by vendors to sell Microsoft products because Microsoft does not sell directly to the public. The City’s current EA was renewed for a three-year term beginning in January 1, 2023 and is expiring on December 31, 2026.
An EA streamlines license management within the City, simplifies purchasing, and provides for predictable payments throughout the agreement. Under an EA, the costs for both maintenance and new purchases are distributed over the three-year term and prices are locked for the entirety of the contract. During the contract, additional software licenses may be added as needed. These are either purchased during the year or paid for with a true-up order at the end of a year. Additions may be necessary due to growth in users or adoption of new software. The IT department forecasts the growth and new software adoption for the EA’s three-year period based on current information and understanding. Should the City’s future needs for Microsoft software depart materially from this forecast, IT will initiate a change order for the contract.
Regular software updates are included in the EA at no additional cost through the Microsoft Software Assurance program. The program provides technical support, training, and planning services.
The State of Illinois holds a Microsoft Large Account Reseller Statewide Master Contract which provides pricing levels on all Microsoft products. The state contract is awarded to CDW Government, LLC, a Microsoft Licensing...
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