CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Approve the award of Cooperative Procurement 21-116, Telecommunications and Internet Services, to AT&T Corporation for an amount not to exceed $276,602 and for a two-year term
body
DEPARTMENT: Information Technology
SUBMITTED BY: Jacqueline Nguyen, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The City of Naperville requires various telecommunications and Internet services such as traditional analog phone lines, advanced voice services and features such as Centrex, Voice over Internet Protocol (VoIP) services including Session Initiation Protocol (SIP) links, and Internet Services. The City’s current telecommunications contract (17-057) was awarded to AT&T Corporation by the City Council in March 2017 for a three-year term from May 1, 2017 through April 30, 2020. With change orders this was extended through March 31, 2021.
DISCUSSION:
The new contract with AT&T will include four addendums covering the following four service areas:
1. IP Flex - covers the SIP trunks that connects the City’s VoIP desktop telephone system to the outside world
2. Centrex - covers phone lines with complex features and capabilities include 911 lines, lines to City Dispatch and Call Center, phone lines in Council Chambers, etc
3. Complete Link - covers various circuit costs and phone lines with simple, analog service such as those to parking decks and similar locations
4. AT&T Direct Internet - covers the City’s primary Internet service over a 1 Gbps link, and Internet links required for the SIP trunks
Last year the total cost of these services was typically between $11,000 and $11,500 per month. There is some small cost variance due to varying monthly usage from different phone call lengths in minutes and call destinations across tariff bands.
The new contract prices for telephony services, apart from Internet circuits and services, did not change materially, and none is anticipated. The new contract prices for Internet circuits and services did decline and would reduce total monthly cost approximately $1,000 if there are no changes to the network. However, changes to the network from additional Internet bandwidth and services are anticipated which will effectively offset any price reductions. Additional changes to cost could occur from changes in telephone related taxes or surcharges. In total no material change to monthly costs is expected.
Staff has identified an approved cooperative contract, State of Illinois Cooperative Contract 19-448-DOIT-TELEC-P-4610 (formerly CMS131864A) through AT&T Corporation, for the procurement of the telecommunications and internet services. The term of the new contract will be from April 1, 2021 through May 31, 2023.
FISCAL IMPACT:
CIP#: N/A
Telecommunications and Internet services is expensed to the account numbers listed below. A combined total of $194,800 has been budgeted for Local/Long distance and Internet services in 2021. Year 2 of this award will be budgeted accordingly in the FY2022 budget process.
|
Account Number |
Fund Description |
Total Budget Amount |
|
16101100-542412 |
General Fund |
$243,600 |
|
16101100-542415 |
General Fund |
$532,700 |