CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Option Year One of Cooperative Procurement 21-343, Cellular Phone Services, to Verizon Wireless for an amount not to exceed $278,000 and for a one-year term
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DEPARTMENT: Information Technology
SUBMITTED BY: Jacqueline Nguyen, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
In October of 2021, the City Council awarded Cooperative Procurement 21-343, Cellular Phone Services, to Verizon Wireless for a period of one year. This award is for the first of two option years to extend those services.
Certain staff positions are assigned cellular smartphones to enhance their productivity and to promote effective communications with other staff, the Mayor and City Council members, and with key vendors and contractors.
Examples of enhanced productivity include ambulance personnel transmitting data to the hospital while they are en route with patients, and City staff monitoring water, sewer, and electric services remotely 24 hours a day. The use of smartphones to enhance productivity by City staff continues to grow. Examples include new smartphone applications used by the Fire and Police departments and interworking between public safety radios and cellular networks.
The City procures cellular phone services using the State of Illinois cooperative contract with Verizon Wireless. The contracted services include voice, text, and data as well as a smartphone for each user. The cost of the smartphone is included in the monthly costs and is available for an upgrade every ten months.
The cellular voice and data service provider markets are very competitive as service providers offer plans and promotions that change regularly and can contain complex terms and conditions. The Information Technology (IT) department monitors and periodically evaluates alternative service providers.
DISCUSSION:
Verizon, the current wireless cellular phone services vendor, has provided excellent service with minimal problems and has been responsive in troubleshooting and addressing any service problems that were identified. The Information Technology (IT) Department requests the award of the first of two option years. The term of the option year will be from October 3, 2022, through October 2, 2023, with one option year remaining.
To Information Technology (IT) Department continues to monitor and evaluate alternatives to Verizon for any cost savings and/or performance gains. At this time, the IT Department is not aware of any material change in cost or performance from an alternative vendor that would offset the significant effort and cost of switching service providers.
The terms of the current state contract with Verizon, CMS793372P, allow the City to terminate service at any time without penalty. At the time of this procurement, Verizon and the State of Illinois were in negotiations over a new, updated contract.
FISCAL IMPACT:
Cellular Phone service is budgeted in the account numbers listed below for citywide phones and associated. A total of $302,577 was budgeted in 2022, for which $210,909 has been expended. A total of $305,335 has been submitted as part of the FY2023 submission, which is currently under review. There are sufficient funds remaining to cover the FY2022 portion of the contract.
Pending review and approval, the requested amounts for FY2023 are expected to be within budget.
|
Account Number |
Fund Description |
Total Budget |
2023 Proposed |
|
16101100-542415 |
General Fund |
$518,739 |
$593,399 |