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FY18 Maintenance Contract Award for Cisco Software Maintenance
Information Technology is requesting award of the county Cisco software support agreement, a budgeted FY18 maintenance expense, as a three-year contract sold by NETSYNC and funded through Key Government Finance. The NETSYNC offer was evaluated the best by Collin County for Cisco Software Maintenance based on a competitive quote process. This three-year contract arrangement is similar to the maintenance agreement currently in effect for the county owned Cisco hardware. The cost of the maintenance contract will be $545,762.04, or $181,920.68 per year for three years. The payment schedule is:
Annual Payment Payment Date
$ 181,920.68 7/1/2018
$ 181,920.68 1/1/2019
$ 181,920.68 1/1/2020
The three-year agreement represents a savings of nearly $132,000 over the three year term when compared to the cost of a single year renewal plan.
As with any other multi-term agreement, non-appropriation clauses are in effect per state statute should the court elect not to fund our Cisco maintenance in future fiscal years.
Purchasing Department Action
Commissioners' Court consideration and any action regarding approval to (1) award contract 2018-314 through DIR Contract DIR-TSO-4167 for Software Maintenance, Cisco Unified Communications Licensing (CUWL) Phone, for a three (3) year period to Netsync Network Solutions, Inc. as the lowest and best bidder meeting specifications per the attached (2) approval of agreement with Key Government Finance which allows the County to make three (3) equal payments over the three (3) year period and authorize Purchasing Agent to execute Payment Plan Agreement and County Judge to execute Purchaser's Certificate.
The department is recommending entering into a three (3) year agreement that will lock in the pricing for three (3) years. Payments will be split equally over that period of time per the attached Finance Agreement with Key Government finance, Cisco Systems Capital financing partner. Agreement includes a non-appropriation clause. The cost will be $181,920.68 each year for the three (3) year period at a zero percent interest rate to the county.
The Key Government Finance Agreement has been reviewed by legal counsel Greg Hudson and he will also give the Purchaser's Counsel Opinion and sign once approved by Commissioners' Court. sh
HR and/or IT Action
Budget Department Action
Budgeted funds available in FY 2018 in the amount of $181,920.68 and funding will be available for future years if approved by Commisioners' Court during adoption of the budgets each year. General Fund (0001).
Auditor's Office Action
Funds available in the General Fund.
Software Maintenance, Cisco Unified Communications Licensing (CUWL) Phone (Contract No. 2018-314) to Netsync Network Solutions, Inc., approval of an agreement with Key Government Finance, Inc. and further authorize the Purchasing Agent to finalize and execute the Payment Plan Agreement and the County Judge to finalize and execute the Purchaser’s Certificate, Information Technology.
Information about available funds
Funds NOT Available:
Account Code(s) for Available Funds
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