To: Board of Supervisors
From: County Administrative Office
Agenda Section: Consent
Vote Requirement: Majority
SUBJECT:title
Microsoft Enterprise Agreement with Dell, Inc. Regarding the Provision of Software Licenses and Support and Hosting Services Required for the Continued Use of Microsoft O365 Online Platformend
RECOMMENDATION(S):Recommendation
That the Board of Supervisors:
1. Waive the requirements of the Humboldt County Nuclear Free Ordinance with regard to the attached Microsoft Enterprise Agreement with Dell, Inc.; and
2. Approve, and authorize the Board Chair to execute, the attached Microsoft Enterprise Agreement with Dell, Inc. and related documents attached hereto regarding the provision of software licenses and support and hosting services required for the continued use of the Microsoft O365 Online platform; and
3. Authorize the Humboldt County Purchasing Agent, or a designee thereof, to execute any and all subsequent amendments to the attached Microsoft Enterprise Agreement with Dell, Inc., after review and approval by County Counsel, Risk Management and the County Administrative Office - Management and Budget Team; and
4. Direct the Clerk of the Board to return one (1) fully executed original copy of the attached Microsoft Enterprise Agreement with Dell, Inc. to the County Administrative Office - Information Technology Division for further processing.
Body
STRATEGIC PLAN:
The recommended actions support the following areas of the Board of Supervisors’ Strategic Plan:
Area of Focus: Workforce & Operational Excellence
Strategic Plan Category: 9999 - Core Services/Other
DISCUSSION:
On December 13, 2022, the Humboldt County Board of Supervisors (“Board”) approved the current Microsoft Enterprise Agreement with Dell, Inc. regarding the provision of software licenses and support and hosting services required to use the Microsoft O365 Online platform. The attached Microsoft Enterprise Agreement with Dell, Inc. will allow the Information Technology Division of the Humboldt County Administrative Office to obtain software licenses and support and hosting services that are required for the County of Humboldt’s continued use of the O365 Online platform.
Section 6.8 (Cooperative Purchases) of the Humboldt County Purchasing Policy allows the County of Humboldt to acquire services and pricing through an existing contract with other governmental entities. The attached Microsoft Enterprise Agreement with Dell, Inc. is a cooperative purchase agreement for Microsoft product licensing and maintenance as negotiated by the County of Riverside with discounted prices that have been made available to all California counties.
The following items regarding the attached Microsoft Enterprise Agreement with Dell, Inc. should be taken into consideration:
• The requirements of the Humboldt County Nuclear Free Ordinance must be waived prior to approval and execution of the attached Microsoft Enterprise Agreement with Dell, Inc., since Microsoft will not modify its standard agreement to accommodate local ordinances.
• Dell, Inc. has been notified in writing that it is required by California law to prepare and maintain accurate and complete financial, performance and payroll records relating to the licenses and services provided pursuant to the terms and conditions of the attached Microsoft Enterprise Agreement, and such records must be made available to the California State Auditor and any other duly authorized local, state, or federal agencies for a period of three 3 years after expiration or termination of the attached Microsoft Enterprise Agreement.
• Dell, Inc. has been notified in writing that the attached Microsoft Enterprise Agreement, and any and all documents related thereto, will be posted on the County of Humboldt’s website and made available to the public upon request in accordance with the laws of the State of California, including, without limitation, the Ralph M. Brown Act and the California Public Records Act.
Accordingly, staff recommends that that the Board approve, and authorize the Chair of the Board, to execute the attached Microsoft Enterprise Agreement with Dell, Inc. regarding the provision of software licenses and support and hosting services required for the continued use of the Microsoft O365 Online platform. Staff also recommends that the Board authorize the Humboldt County Purchasing Agent, or a designee thereof, to execute any and all subsequent amendments to the attached Microsoft Enterprise Agreement with Dell, Inc., after review and approval by County Counsel, Risk Management and the County Administrative Office - Management and Budget Team in order to avoid any unnecessary delays in the provision of needed software licenses and support and hosting services required for the continued use of the Microsoft O365 Online platform.
SOURCE OF FUNDING:
Information Technology Internal Service Fund (3550-118)
FINANCIAL IMPACT:
|
Expenditures (3550-118) |
FY25-26 |
FY26-27 Projected* |
FY27-28 Projected* |
|
Budgeted Expenses |
$925,922.68 |
$925,922.68 |
$925,922.68 |
|
Total Expenditures |
$925,922.68 |
$925,922.68 |
$925,922.68 |
|
Funding Sources (3550-118) |
FY25-26 |
FY26-27 Projected* |
FY27-28 Projected* |
|
Fees/Other |
$925,922.68 |
$925,922.68 |
$925,922.68 |
|
Total Funding Sources |
$925,922.68 |
$925,922.68 |
$925,922.68 |
*Projected amounts are estimates and are subject to change.
The total cost incurred under the attached Microsoft Enterprise Agreement with Dell, Inc. is approximately Two Million Nine Hundred Eighty-Seven Thousand Seven Hundred Sixty-Eight Dollars and Four Cents ($2,987,768.04) for a period of three (3) years. The annual cost is Nine Hundred Twenty-Five Thousand Nine Hundred Twenty-Two Dollars and Sixty-Eight Cents ($925,922.68) per year and includes the following breakdown: Eight Hundred Fifty-Two Thousand Eighty-Four Dollars and Seventy-Three Cents ($852,084.73) for Office365, Seventeen Thousand Six Hundred Sixty-Four Dollars and Sixty-Nine Cents ($17,664.69) for network infrastructure and (Fifty-Six Thousand One Hundred Seventy-Three Dollars and Twenty-Six Cents ($56,173.26) for department add-on licenses such as Power BI, Visio and Microsoft Project.
Costs for network infrastructure, as indicated in Section 1 - Licenses and Software Assurance of the price quote provided by Dell, Inc., will be allocated based on the number of licenses required per department as part of the Information Technology Internal Service Fund charges. Expenditure appropriations related to the attached Microsoft Enterprise Agreement with Dell, Inc. have been included in the adopted fiscal year 2025-2026 budget for Information Technology budget unit 3550-118.
STAFFING IMPACT:
Approval of the attached Microsoft Enterprise Agreement with Dell, Inc. will not impact current staffing levels.
OTHER AGENCY INVOLVEMENT:
None
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board may choose not to approve the attached Microsoft Enterprise Agreement with Dell, Inc. regarding the provision of software licenses and support and hosting services required for the continued use of the Microsoft O365 Online platform. However, this alternative is not recommended as it will not allow for the continued provision of vital email services, security enhancements and productivity software.
ATTACHMENTS:
1. County of Humboldt PKG04950295
2. Dell_US_QUOTE_3000197132132.1
PREVIOUS ACTION/REFERRAL:
Meeting of: 12/13/2016, 1/7/2020, 8/24/2021, 12/13/2022
File No.: 16-8934, 19-1763, 21-1171, 22-1616