1997-112 NOTE Change Order #1 - Ordinance No 98-090 attached
NOTE Change Order #2 - Ordinance No 98-273 attached.
ORDINANCE NO
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF MATERIALS,
EQUIPMENT, SUPPLIES OR SERVICES BY THE STATE, PROVIDING FOR THE
EXPENDITURE OF FUNDS THEREFORE, AND PROVIDING FOR AN EFFECTIVE DATE
WHEREAS, pursuant to Resolution 92-019, the State Purchasing General Services
Commmsmn has sohc~ted, received and tabulated competitive b~ds for the purchase of necessary
materials, equrpment, supplies or services in accordance with the procedures of state law on behalf
of the City of Denton, and
WHEREAS, the City Manager or a demgnated employee has rewewed and recommended
that the herein described materials, eqmpment, supplies or services can be purchased by the City
through the General Services Commission programs at less cost than the C~ty would expend if
bidding these ~tems individually, and
WHEREAS, the City Cotmcfl has prowded in the City Budget for the approprmUon of funds
to be used for the purchase of the materials, equipment, supplies or services approved and accepted
here~n, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I That the items in the following numbered lease agreement for materials,
eqmpment, supplies, or services, shown on "Purchase Order #73832" attached hereto, are hereby
accepted and approved as being the lowest responsible bids for such items
LEASEAGREEMENI VENDOR AMOUNT
2045 IBM CORPORATION $897,268 00
SECTiOIS_II That by the acceptance and approval of the above numbered items set forth
in the attached purchase order, the City accepts the offer of the persons submitting the bids to the
General Services Commission for such ~tems and agrees to acqmm the materials, equxpment,
supphes or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
General Services Commission, and purchase orders issued by the City
SECTION III That should the Ctty and persons submitting approved and accepted ~tems set
forth xn the attached purchase order rash to enter ~nto a formal written agreement as a result of the
C~ty's ratfficat~on ofb~ds awarded by the General Services Commission, the C~ty Manager or h~s
designated representative ~s hereby authorized to execute the written contract which shall be attached
hereto, prowded that the written contract ~s m accordance w~th the terms, conditions, specifications
and standards contained m the Proposal submitted to the General Servmes Commission, quantities
and specified sums contmned m the C~ty's purchase orders, and related documents here~n approved
and accepted
SECIIONiE That by the acceptance and approval of the above numbered ~tems set forth
~n the attached purchase order, the C~ty Council hereby anthonzes the expenditure of funds therefor
~n the mount and m accordance w~th the approved purchase orders or pursuant to a written contract
made pursuant thereto as authorized harem
SECTION V That th~s ordinance shall become effective lmmed~ately upon ~ts passage and
approval
PASSED AND APPROVED thlS~'"/e'~ay of ~ ,1996
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
STATE ORDINANCE
DATE APRIL 15, 1997
CITY COUNCIL REPORT
TO Mayor and Members of the C~ty Council
FROM Kathy DuBose, Executive D~rector of Ftnance
SUBJECT LEASE PURCHASE AGREEMENT #2045 - IBM CORPORATION
· g~OM3~ENI~AIII~ We recommend th~s Lease Agreement w~th IBM Corporatmn be approved ~n
the amount of $174,334 00 for the first seven months, $299,186 00 per year for 1998 and 1999, and
$124,562 00 for the year 2000 for a total of $897,268 00 over a 36 month permd
SUM]MARY. Purchase Order #73832 ~s for the first seven months of the acqmsmon of 296 Pentmm 166
pc work stations, 32 Pent~um 200 pc power work stations and 30 Pent~um 150 laptop computers These umts
w~ll be d~stnbuted throughout the C~ty of Denton to upgrade the ctty's computer capabdlty as approved m
the Information Serv~cas Long Range Plan
The above referenced purchase order ~s written ~n the amount of the first seven (7) months payment of a total
36 month lease/purchase agreement Assuming Council approval, a new purchase order w~ll be written for
the 12 months of 1997-98 physical year and for subsequent months through May, 2000
The prices for the acqms~tmn of th~s eqmpment are taken from the State of Texas General Serwces
Commission Contract for purchases or leases from Quahfied Information Servtces Vendors The General
Services Commission contract hstmgs satisfy all competitive b~ddtng reqmrements (Texas Local
Government Code Section 271 082, 271 083, 60lb, Sectmn 3 081VTCS, and Attorney General ruhng
number DM-350)
Presentations were made to the Informatmn Services Adwsory Board and Pubhc Utthty Board by Gary
Colhns, D~rector of Infonnatwn Services Both adwsory boards approved the recommendatmn to lease the
eqmpment over a 36 month per~od and to utthze the General Serv~cas Comm~ssmn Cooperative Purchasing
Program
PROGRAMS: DEPARTMENTS OR GROUPS AFFECTED. Information Services D~ws~on, C~ty of
Denton Staff and Cmzens of Denton
~ Funds for th~s lease/purchase acqms~t~on are available from 1996-97 budget funds
for the first seven months Subsequent payments wall come from approprmte budget fundmg
Attachments Memorandum from Kathy DuBose, Executive D~rector of Finance
Mmutes from Information Services Advisory Board
Purchase Order #73832 to IBM Corporation
Respectfully submitted
K~ith~Bc~e
Executive D~rector of F~nance
Approved by
Name Tom D Shaw, C P M
Tttle Pumhas~ng Agent
861 AGENDA
3
CITY of DENTON, TEXAS MUNICIPAL BUILDING · 215 E McKINNEY , DENTON, TEXAS 76201
(817) 566-8200 · DFW METRO 434 2529
MEMORANDUM
TO Mayor and Members of C~ty Councd
FROM Kathy DuBose, Executive D~rector of F~nancec~
DATE Aprd 9, 1997
SUBJECT Personal Computer Acquisition
The Long Range Technology Plan was developed to address serious technology ~ssues facing the C~ty,
~ncludmg the replacement of old and obsolete equipment, replacement of functionally obsolete
software, connect~wty and standardization of various networks and equipment, and ensuring that we
can dea[ w~th problems assocmted w~th the year 2000
As we move forward w~th th~s plan, we wdl bring to you for approval d~fferent elements du.ng the
next three years of ~mplementat~on
The ~ssue of personal computer acqum~t~on presented here allows us to equip many employees w~th
long needed access to ~nformat~on and to upgrade obsolete equipment We have worked extensively
w~th North Texas Computer Serwces (NTCS) and Utd~tms staff to develop a recommendation consmt~ng
of personal computers for three ddferent levels of users (~ e workgroup user, power user, and mobde
user) All current personal computers that meet the minimum specdmat~ons or can be easdy upgraded
wdl be retained We will take sealed bids for d~spomt~on of the dmcontmued machines as a group, as
there are maintenance serwce companies that buy used equipment for parts
In leasing thru equipment, we will be able to analyze our needs at the end of the three year lease term
as to whether we should purchase at that t~me or "roll over" the lease m part or m whole to upgraded
equipment The first year lease fee ~s ~n the current year's budget and future payments wdl be
budgeted ~n subsequent years
Both the Information Serwces Adwsory Board and the Pubhc Utd~ty Board recommend approval
If you have any questions, please let me know
AFF01417
4
"Dedtcated to Quahty Servtce
MINUTES OF
INFORMATION SERVICES ADVISORY BOARD
MEETING OF MARCH 06, 1997
The Informatmn Services Advisory Board meeting was held on Monday, March 06, 1997, at
6 00 p m, m the Infonnauon Services conference room
MEMBERS PRESENT: Don Edwards, Lisa Green, Vlckl McCombs, and Maureen
Sarlnger
MEMBERS ABSENT: Warren Searls, Renae Seely, and Lupe Tovar
OTHERS PRESENT: Gary Collins, and Kathy DuBose from the City s[aff
Viola McCombs made the motion to approve the minutes from the February 17, 1997,
Information Services Advisory Board meeting Maureen Sarmger seconded the motion, and it
passed unammously
A discussion was held regardmg the recommendation of the leasing of computers
Gary stated that North Texas Computer Services had helped m detenmmng configurations, lands
of machines to consider, and lease rates based on type of equipment as well as avaflabthty of
equipment Kathy DuBose added that Utilities has worked on flus with us
Gary sa~d our work group will be a Pentmm 166, 32MB, with a 15" momtor The umt cost for
the IBM ~s $2,096 75, Compaq is $2,119, and HP is $2,327 78
Don Edwards asked who else subuntted pricing Gary responded that these three had submitted
prlcmg North Texas Computer Sarwces made a recommendation, and Glen Fisher from
Utilities concurred
Gary said that there would be no CD-ROMs m the work groups but that the power users would
have CD-ROMs There will be 15" momtor, 10/100MB ethernet card m all of them, and
Windows '95, wl~ch constitutes the price
Maureen asked what constitutes power users Gary mentioned electrical engmeenng, civil
engineering (for example m Jerry Clark's area), and work requmng a lot of graplucs as
examples of users who would have a need for more powerful PCs When the lmtial survey was
done, Greg Galluzzi identified which people were power users or work group users Currently,
the list ts being re-exanuned Some positions will be reclassffied from work group to power
user or vice versa, as appropriate Moreover, there are some new positions that did not ex~st
when the survey was originally done Although these are pretty close estimates at this tune,
Information Services Advisory Board Minutes
March 06, 1997
Page 2
there will be a recounting of the inventory so that the numbers can be finalized Kathy DuBose
stated that we have also had some systems die
Gary continued to describe the proposal All 8086s, 286s, 386s, and (hopefully) 486s will be
replaced with PenUums Some of the unused 486s may be useful in "control areas" where there
are no people behind them, e g, traffic signals or heating and air condinonlng systems
Vlckt wanted to know what would happen to the discontinued 286s, 386s and 486s Gary
responded that we would take sealed bids for disposition of the entire group of unused PCs
Maureen mqmred about locating sources to bid on the discarded equipment Gary answered that
there is a marketplace for used PCs, or there are maintenance servmes that buy used equipment
for parts Kathy said that we have people that do auctions a few times a year
Gary summarized the proposals regarding the lease rates Leasing the IBM equipment on the
work group slde comes in lower For the power user (Pentmm 200, 64MB, CD-ROM, ethernet
card, 17" momtors), the Compaq is the least expensive cost overall On the laptops,
consideration was gxven to Olivetti, NEC, and Toshiba because the pricing was much higher on
the IBMs, Compaqs, and HPs
Vlcki asked the purpose of the laptops Gary stated that those were for directors or executive
directors to take home, for travel, etc That would be m the lieu of a desktop computer
Vlcki expressed some concern She had done some calculating herself and thought that
financially it would be less expensive to pumhase the eqmpment--ownershlp vs leasing Gary
explained to the group the purpose of leasing instead of purchasing This lease would have a
three-year fair market value, at the end of the three years, we can either pay the market value
or renew the lease on new equipment
After continuing to discuss these concerns, Don recommended that the group make a motion to
go forward with what was being presented before the Board Maureen made the motion to
recommend that the City Council approve the leasing of IBM PCs for the work group maclunes,
Compaq PCs for the power user machines, and NEC for the laptop machines from IBM Lisa
seconded the motion, and it passed with a 3-1 vote
There being no further business, the meeting was adjourned at 7 45 p m
APR 10 1997
CITY OF DENTON
LE~3AL DEPT
AN ORDINANCE AUTHORIZING THE EXECUTION OF A CHANGE ORDER TO A LEASE
AGREEMENT FOR PC'S, MONITORS AND PERIPHERAL EQUIPMENT BETWEEN THE
CITY OF DENTON AND IBM CORPORATION, PROVIDING FOR AN INCREASE IN THE
QUANTITY OF ITEMS AND AN INCREASE IN THE ANNUAL LEASE PAYMENT AMOUNT,
AND PROVIDING AN EFFECTIVE DATE (BID # 2045 TO IBM CORPORATION FOR
$367,354 42)
WHEREAS, on 04-15-97, the C~ty awarded a 36 Month Master Lease Agreement for PC'S,
MONITORS, LAPTOP, DOCKING STATIONS AND PERIPHERAL EQUIPMENT TO IBM
CORPORATION m the annual mount of $298,932 00, and
WHEREAS, the City Manager hawng recommended to the Council that a change order be
authorized to amend such lease agreement w~th respect to the scope and pnee and sa~d change order
being m eomphanee wtth the reqmrements of Chapter 252 of the Local Government Code, NOW,
THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
~ That the change order increasing the amount of the lease agreement between
the Ctty and IBM Corporatxon copy of wbaeh ~s attached hereto, m the amount of SIXTY EIGHT
THOUSAND FOUR HUNDRED TWENTY TWO and 42/100 Dollars ($68,422 42) plus one
payment of $7,250 00, ts hereby approved and the expenditure of funds therefor ~s hereby authorized
The master lease annual amount ts amended to read $367,354 42 plus one payment of $7,250 00
$]ECTION II. That this ordinance shall become effecttve tmmed~ately upon xts passage and
approval
PASSED AND APPROVED flus the /-/ day of f/ ,1998
ATTEST
JE~,IIFER WALTEI~S, CITY SECRETARY
HEBER? L PROUTY, CITY A~TORNEY
204~C~tNG~ O~ER O~ANCE
AN ORDINANCE AUTHORIZING THE EXECUTION OF A CHANGE ORDER TO A LEASE
AGREEMENT FOR PC'S, MONITORS, AND PERIPHERAL EQUIPMENT BETWEEN THE
CITY OF DENTON AND IBM CORPORATION BY IBM SUBCONTRACT WITH NTCS, INC
THE LOW BIDDER FOR SUCH EQUIPMENT UNDER THE BIDDING PROCESS
ADMINISTERED BY THE TEXAS GENERAL SERVICES COMMISSION, PROVIDING FOR
AN INCREASE IN THE ANNUAL LEASE PAYMENT AMOUNT, AND PROVIDING AN
EFFECTIVE DATE (LEASE # 2045 TO IBM CORPORATION CHANGE ORDER # 2 IN THE
AMOUNT OF $20,469 00 OR $6,822 00 ANNUALLY)
WHEREAS, on 4-15-97, the City awarded a contract for LEASE # 2045 - LONG RANGE
TECHNOLOGY PLAN m the amount of $896,796 00, and Change Order # 1 on April 7, 1998 in
the amount of $205,267 26, and
WHEREAS, the City Manager hawng reconunended to the Council that Change Order # 2
be authorized to amend such lease agreement with respect to the scope and pnce and smd change
order being In compliance with the reqmrements of Chapter 252 of the Local Government Code by
reason of the equipment being leased having been bid by the Texas General Services Comn'usslon,
NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I. That the change order increasing the amount of the lease agreement between
the City and IBM Corporation copy of winch ,s atlached hereto, m the amount of TWENTY
THOUSAND FOUR HUNDRED SIXTY NINE and no/100 Dollars ($20,469 00), is hereby
approved and the expenditure of funds therefor is hereby authorized per a subcontract between
NTCS, Inc and IBM
SECTION II. That tbas ordinance shall become effective lmmedaately upon its passage and
approval
PASSED AND APPROVED thls the /~'-~-~ dayof ~~~_ ,1998
J~I~z~-vIILLER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HEBERT L PROUTY, CITY ATTORNEY
2045 C~ANGE ORDER $$2 ORDINANCE