TITLE
Recommendation to authorize City Manager, or designee, to execute a contract, including any necessary amendments, with RD Systems, Inc., of Tustin, CA, for access control services, in an annual amount not to exceed $740,000 for a period of one year, with the option to renew at the $400,000 level for two additional one-year periods, at the discretion of the City Manager; and
Increase appropriations in the General Services Fund (IS 385) in the Technology and Innovation Department (TI) by $340,000. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with RD Systems, Inc. for access control services, in an annual amount not to exceed $740,000. This includes a one-time cost of $340,000 in the first year to integrate the new Civic Center with existing City access control systems. The remaining $400,000 will be needed on an annual basis by departments citywide. The access control need was included in the equipment category of the critical technology infrastructure needs presentation to the City Council on December 5, 2017.
A formal procurement process was completed in February 2015, to identify the most qualified firm to provide access control and video monitoring services for the City. RD Systems, Inc., was awarded the contract and issued a Blanket Purchase Order (BPO) in May 2015, pursuant to the City purchasing guidelines, in an annual amount not to exceed $200,000 for a period of three years, with the option to renew for two additional one-year periods. The initial BPO to RD Systems, Inc., was for $180,000. Under the City’s purchasing regulations, this did not require City Council approval. On September 1, 2015, City Council approved additional funds in the amount of $181,172 for the period ending May 31, 2016, for the East Police Substation project. In November 2016, $92,000 was added to this BPO for Fleet and Library projects. These supplemental increases, along with the annual $200,000 amounts, resulted in a total contract authorization of $853,172 over the three-year period.
The increase in contract authority is now being requested due to the aging of City systems and the increased demand for access control services, both in the current and new Civic Centers. Should maintenance and repair volumes not continue to increase as expected, it may not be necessary to exercise the full contract authority in later years. However, to maintain current systems and integrate access control into the new Civic Center, the increase in contract authority is recommended.
This matter was reviewed by Deputy City Attorney Amy R. Webber on February 20, 2018 and by Budget Analysis Officer Julissa José-Murray on February 22, 2018.
TIMING CONSIDERATIONS
City Council action is requested on March 13, 2018, to ensure that these services for the new Civic Center project and other City departments can be made in a timely manner.
FISCAL IMPACT
The total contract cost is $740,000 in the first year. This amount includes a one-time cost of $340,000 to integrate the new Civic Center with existing City access control systems. An appropriations increase in the General Services Fund (IS 385) in the Technology and Innovation Department (TI) of $340,000 to budget this one-time expenditure is included in the recommendation. The source for the one-time component of the contract is General Services Fund funds available, which is consistent with the funding plan detailed in the December 5, 2017 critical technology infrastructure needs presentation. The remaining amount of $400,000 is offset by charges to department budgets for access control projects, as needed. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
LEA ERIKSEN
INTERIM DIRECTOR OF TECHNOLOGY AND INNOVATION
APPROVED:
PATRICK H. WEST
CITY MANAGER