Title
MOTION TO APPROVE THE RENEWAL OF CISCO SMARTNET TOTAL CARE FOR THE CITY’S CORE CISCO INFRASTRUCTURE HARDWARE IN THE AMOUNT NOT TO EXCEED $196,215.78 FROM NETSYNC UTILIZING THE STATE OF FLORIDA ALTERNATE CONTRACT SOURCE #43220000-NASPO-19-ACS (DATA COMMUNICATIONS PRODUCTS AND SERVICES), PURSUANT TO SECTION 35.18(C)(5) OF THE CITY’S CODE OF ORDINANCES.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinances is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.18 of the City's Code of Ordinances is regarding "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS."
- Section 35.18(C) states that "Only the following situations are exempt from the competitive bid and competitive proposal requirements of this section:"
- Section 35.18(C)(5) states that, "Utilization of other governmental agencies' contracts. Commodities or services that are the subject of contracts with the state its political subdivisions or other governmental entities including the United States Government, are exempt from this section, provided, however, that this division shall apply only if the contract expressly permits or if the awarding jurisdiction and/or the vendor agree to allow the city to purchase therefrom and if either: (i) the commodities or services are the subject of a price schedule negotiated by the state or federal government or by competitive bid by another governmental agency and not on any preference; (ii) or the price offered for the commodity or service exactly equals or is lower than the governmental contract from vendors awarded the governmental contract. Where an award is made pursuant to this paragraph, the terms and conditions agreeable to the City may be used in lieu of those terms and conditions of the contract with the other governmental agency."
- Section 35.21 of the City's Code of Ordinances is titled "AWARD OF CONTRACT."
- Section 35.21(A) of the City's Code of Ordinances is titled "City Commission approval.”
- Section 35.21(A)(1) states, "An initial purchase of, or contract for, commodities or services, in excess of $100,000, shall require the approval of the City Commission, regardless of whether the competitive bidding or competitive proposal procedures were followed."
SUMMARY EXPLANATION AND BACKGROUND:
1. The City relies on Cisco equipment to support its essential IT operations. This Cisco infrastructure includes just under 400 pieces of critical IT equipment, such as firewalls, telecommunication gateways, switches, wireless controllers, and network servers.
2. To ensure the Cisco infrastructure operates with the highest levels of reliability and integrity, the City maintains Cisco SmartNet Total Care (SmartNet) coverage. SmartNet is a service program designed to minimize downtime by providing rapid, expert technical support and flexible hardware replacement through Cisco’s Technical Assistance Center (TAC). SmartNet enables the Technology Services Department (TSD) staff to resolve issues efficiently, reduce overall system risk, improve visibility into the condition of the infrastructure, and enhance operational efficiency through proactive hardware and software management that is critical to City operations and IT security.
3. Historically, the Technology Services Department has been responsible for procuring, installing, and maintaining Cisco equipment. With each acquisition of Cisco equipment, the City also purchased SmartNet coverage for the individual item. Procuring Cisco equipment and SmarNet coverage on one-by-one or as needed basis result in a fragmented environment with multiple SmartNet providers, varying warranty expiration dates, and inconsistent coverage terms. This approach has also created complex and challenging management, operational, and budgeting environment.
4. Because of the challenges created by the patchwork coverage, TSD staff completed an effort (in 2020) to identify and catalog all Cisco equipment eligible for SmartNet coverage. This cataloging effort was coordinated with NetSync. NetSync subsequently worked with Cisco to consolidate existing, expiring, and previously non-covered SmartNet eligible equipment into a single agreement with unified termination date.
5. Between 2021 and 2025, the Commission approved annual twelve-month purchases and renewals of Cisco SmartNet Total Care for the City’s core Cisco infrastructure, with coverage running continuously from February 1 through January 31, with the most recent renewal extending coverage through January 31, 2026.
6. The Technology Service Department would like to renew Cisco SmartNet Total Care for the City’s Core infrastructure hardware for twelve months covering service dates: February 01, 2026 - January 31, 2027.
7. The State of Utah, Division of Purchasing, in conjunction with National Association of State Procurement Officials Cooperative Purchasing Program (NASPO ValuePoint), awarded Contract # AR3227 for "Data Communications Products and Services" on October 31,2019, to Cisco Systems, Inc., and the contract has been renewed and has an expiration date of September 30, 2026.
8. The State of Florida entered into a Participating Addendum to the NASPO ValuePoint Cooperative Procurement Program Master Agreement # AR3227, Administered by the State of Utah. As a result, the State of Florida utilizes Alternate Contract Source (ACS) #43220000-NASPO-19-ACS for the purchase of data communication products and services for State of Florida Agencies and other eligible users utilizing the pricing and options via NASPO ValuePoint Master Agreement # AR3227.
9. The City of Pembroke Pines is an eligible user of the State of Florida Alternate Contract Source (ACS) # 43220000-NASPO-19-ACS. As defined by Florida Administrative Code Rule 60A-1.001, eligible user means "Political subdivisions, including counties, cities, towns, villages and districts, as described by Section 1.01(8), F.S., and instrumentalities thereof."
10. The Technology Services Department has obtained a quote from NetSync, as an Authorized Reseller for Cisco on the State of Florida Alternate Contract Source (ACS) # 43220000-NASPO-19-ACS, in the amount not to exceed $196,215.78.
11. Request Commission to approve the purchase of Cisco SmartNet Total Care for the City’s Core Cisco infrastructure hardware in the amount not to exceed $196,215.78, from NetSync, utilizing the State of Florida Alternate Contract Source #43220000-NASPO-19-ACS (Data Communications Products and Services), pursuant to Section 5.18(C)(5) of the City's Code of Ordinances.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: Amount not to exceed $196,215.78.
b) Amount budgeted for this item in Account No: $196,215.78 is available in account # 001-513-2002-546801-0000-000-0000 (IT Maintenance Contracts)
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5-year projection of the operational cost of the project: Not Applicable
e) Detail of additional staff requirements: Not Applicable.
FEASIBILITY REVIEW:
A feasibility review is required for the award, renewal and/or expiration of all function sourcing contracts. This analysis is to determine the financial effectiveness of function sourcing services.
a) Was a Feasibility Review/Cost Analysis of Out-Sourcing vs. In-House Labor Conducted for this service? Not Applicable.
b) If Yes, what is the total cost or total savings of utilizing Out-Sourcing vs. In-House Labor for this service? Not Applicable.