TITLE
Recommendation to adopt Specifications No. RFP TI20-074 and award a contract to PC Specialists, Inc., of San Diego, CA, to provide personal computer replacement and installation services, in the amount of $540,000, with a 15 percent contingency in the amount of $81,000, for a total amount not to exceed $621,000 for the first year; with the option to renew for four additional one year periods in an annual amount of $270,000, with a 15 percent contingency in the amount of $40,500, for an annual contract amount not to exceed $310,500, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary amendments; and
Increase appropriations in the General Services Fund Group in the Technology and Innovation Department by $270,000, offset by funds available. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with PC Specialists, Inc., to provide personal computer (PC) replacement and installation services.
The Technology and Innovation Department (TI) is responsible for maintaining over 5,000 PCs used to deliver City services. This role includes replacing aging PCs, installing new units, and configuring PCs to connect with the City network. Approximately 20 years ago, TI implemented a program to replace City-owned computers on a lifecycle basis that reflects the industry standard. The replacement cycle changed from four to five years in 2019 due to improvements in technology. The replacement cycle was designed to refresh the technology to take advantage of the latest innovations and reduce the ongoing costs associated with maintaining older equipment and software.
To ensure that PCs are replaced on schedule, the City must replace approximately 1,000 computers per year, depending upon actual deployment dates. However, due to the Civic Center move in 2019, PC replacements planned for offsite departments were delayed. Therefore, TI proposes increasing PC replacements from 1,000 to approximately 2,000 in the first year of the recommended agreement with PC Specialists to replace the PCs outside of the five-year life cycle. TI is now deploying PCs using a laptop first approach to meet the changing demands of remote work and a more mobile workforce.
The Request for Proposals (RFP) was advertised in the Long Beach Press-Telegram on September 24, 2020, and 462 potential proposers specializing in computer (PC) replacement and installation services were notified of the RFP opportunity. Of those proposers, 28 downloaded the RFP via the City’s electronic bid system. The RFP document was also made available from the Purchasing Division, located on the sixth floor of City Hall, and the Division’s website at www.longbeach.gov/purchasing. A RFP announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 35 local, minority-owned, and women-owned business groups. Five proposals were received on November 3, 2020. Of those five proposers, one was a Minority-owned Business Enterprise (MBE); one was a Women-owned Business Enterprise (WBE), four were certified Small Business Enterprises (SBEs), and two were Long Beach businesses (Local). PC Specialists, Inc., of San Diego, CA, (MBE), was the lowest responsible bidder.
Local Business Outreach
In an effort to align with the City’s outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the PlanetBids database to download RFP specifications. Through outreach, 35 Long Beach vendors were notified to submit proposals, of which none downloaded or submitted a proposal. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the proposer pool.
This matter was reviewed by Deputy City Attorney Erin Weesner-McKinley on January 21, 2021, Business Services Bureau Manager Tara Yeats on January 19, 2021, and by Budget Management Officer Rhutu Amin Gharib on January 27, 2021.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP TI20-074 and award a contract concurrently is requested on February 16, 2021, to ensure the contract is in place expeditiously.
FISCAL IMPACT
The total first year cost will not exceed $621,000, which includes $540,000 for PC replacements and installation and a 15 percent contingency of $81,000. Costs for annual PC replacement and installation services are recovered from client departments through the annual TI Memorandum of Understanding (MOU). Of the $540,000 in year one, $270,000 is currently appropriated in the General Services Fund Group in the Technology and Innovation Department. The remainder of year one contract costs are unbudgeted; therefore, an appropriation increase in the amount of $270,000 is requested in the General Services Fund Group in the Technology and Innovation Department, offset by funds available. Following year one, the contract costs will be funded using existing appropriation and recovered from client departments via the TI MOU. There is no appropriation increase requested for the 15 percent contingency portion of the contract at this time. Any work not currently budgeted will only proceed at such time that appropriations have been approved by the City Council. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
LEA D. ERIKSEN
DIRECTOR OF TECHNOLOGY AND INNOVATION
APPROVED:
THOMAS B. MODICA
CITY MANAGER