From
Keshnel Penny, Chief Information Officer
Title
AT&T Dedicated Internet Pricing Schedule revision with AT&T Corp, in the new estimated annual amount of $23,232, nearly a $38,174.04 reduction from previous years’ expenditures; the term of this pricing schedule agreement will be for three years (approximately $69,696 cumulatively)
Presenter
Keshnel Penny, Chief Information Officer
Recommended Action
Approve
Analysis
In the summer of 2019, the Information Technology Department along with the Management Services Department began working with The Spyglass Group, LLC for possible cost savings across the City’s telecommunications expenditures. One of the focus areas looked at was our pre-existing dedicated internet and bandwidth services agreement with AT&T Corp.
As a result of this effort, the estimated annual amount to be paid to AT&T shall be decreased by the sum of $38,174.04, to reflect the pricing schedule revision as described in Exhibit “A”, making the new estimated annual amount to be paid to the vendor under such contract approximately $23,988.00 annually; this pricing schedule agreement will be for 36 months with an approximate cumulative total estimated at $69,696.
Texas Local Government Code 252.048 requires City Council approval of a change order when the cumulative cost of the change order exceeds $50,000 or is a reduction of 25% or greater with the consent of the contractor. With approval of this action, the City Manager will be able to accept and execute AT&T’s proposed Dedicated Internet Pricing Schedule revision agreement.
Financial Consideration
Funds are available in FY 2019/2020 General Fund, IT Administration (151010) Cable TV/Internet Services (61550) and will be charged accordingly through the end of the current fiscal year. Funding for future fiscal years will be paid from that year's approved budgets.