City of Long Beach - File #: 23-0914

• File #: 23-0914
• Version: 1
• Name: TI - Kyndryl Holdings-mainframe migration
• Type: Resolution
• Status: Adopted
• File created: 7/26/2023
• In control: City Council
• On agenda: 8/15/2023
• Final action: 8/15/2023
• Title: Recommendation to adopt resolution authorizing City Manager, or designee, to execute a contract, and any necessary documents including any necessary subsequent amendments, with Kyndryl Holdings, Inc., of New York, NY, for the transition of the City of Long Beach in-house mainframe systems to a hosted mainframe service, in an annual amount of $1,534,810, with a 20 percent contingency in the amount of $306,962, and an one-time cost of $101,549, for the transition and configuration of the hosted mainframe environment for the first year. The total annual contract amount will not exceed $1,841,772 for a period of three years, with the option to renew for two additional one-year periods, at the discretion of the City Manager; and Increase appropriations in the General Services Fund Group in the Technology and Innovation Department by $445,027, offset by a transfer of funds set aside from the LBCOAST project. (Citywide) Levine Act: Yes
• Sponsors: Technology and Innovation

Date	Ver.	Action By	Action	Result
8/15/2023	1	City Council	approve recommendation and adopt	Pass

TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute a contract, and any necessary documents including any necessary subsequent amendments, with Kyndryl Holdings, Inc., of New York, NY, for the transition of the City of Long Beach in-house mainframe systems to a hosted mainframe service, in an annual amount of $1,534,810, with a 20 percent contingency in the amount of $306,962, and an one-time cost of $101,549, for the transition and configuration of the hosted mainframe environment for the first year. The total annual contract amount will not exceed $1,841,772 for a period of three years, with the option to renew for two additional one-year periods, at the discretion of the City Manager; and

Increase appropriations in the General Services Fund Group in the Technology and Innovation Department by $445,027, offset by a transfer of funds set aside from the LBCOAST project. (Citywide)

Levine Act: Yes

DISCUSSION
City Council approval is requested to enter into a contract with Kyndryl Holdings, Inc., to provide hosting services for the transition of the City of Long Beach (City) in-house mainframe systems to a hosted mainframe for City applications.

In 2008, the City purchased the existing mainframe from IBM to host large enterprise systems. Today the mainframe hosts the critical applications used to manage business functions of Budget (BPREP), HR/Payroll, and Labor Distribution. The current mainframe hardware is at risk of physical failure due to its age and complexity of maintenance. Additionally, the operating system that is currently running on the mainframe has been out of support with IBM since 2016. Since then, the Technology and Innovation Department (TID) has leveraged a best effort contract via a third-party company for support of the mainframe.

As part of the LBCOAST Phase 2 project, the mainframe applications and services were planned to be transitioned from the existing mainframe and onto more modern computing...